Do they plan to reorganize the company after they are done with layoffs ( I mean done for now). Are they going to eliminate some teams, merge departments…. At least from my point of view things can’t stay the way. My team was hit by layoffs and we’re having trouble making the deadlines ever since. I can’t see us as a functioning tram if things continue to be like this
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Luxsoft is the only acquisition with the potential to grow. How wrong that turned out to be. Now its MS sucks! #MIKESSUCKS
I don't understand why anyone would consider Luxoft a big winner?
Its a bunch of tiny groups of programmers in dozens of countries doing small scale coding projects for hundreds of customers. Not exactly a USP is it and where is the value in what Mikey bought? Its also not very repeatable.
Is this the future for "digital"? Lots of tiny projects?
CSC and HPES used to deliver multi million dollar projects and now we are looking at selling penny sweets?
The reason why you used to see the same names (CSC, HPES, IBM etc) doing the big projects was because they had the capital to make that scale of IT work. If we are talking about just needing some random contractor coders to do a couple of weeks of keyboard bashing, that's a pretty low barrier to entry and one where we'll be competing with every man and his dog.
@1ass, I disagree that Luxsoft is the only acquisition with the potential to grow. UXC Eclipse was growing quite nicely until DXC (then CSC) offered to acquire it. Growth stalled as people left following the acquisition (but DXC hadn't really taken over at that point); it picked up for a bit the plummeted as people fled once they saw the horror that was DXC. If DXC had left UXC Eclipse alone and allowed it to manage itself, things would have been good. Then DXC acquired Tribridge, and the same thing happened. Same for eBECS. To be acquired by DXC is the touch of death for a company.
#ISeeDXC flood the internet with ML hastag and then people will see the company for what it is. cr-p
Strategy moving forward:
1) WFR
2) Reorg
3) Bad quarter
4) Repeat
They have been doing this for years!
ML seems to have two levers he's willing to use: layoff or acquire. Reorg assumes there has ever been an intentional organization to start. He tends to pit his underlings against one another and whomever survives gets to make the decisions. The digital strategy is something that has moved with Jim Smith as he's won over ML. I very much agree with the poster on the malleable nature of what DXC thinks it is. Too much of the business has been forced into a model that is NOT efficient and CSAT scores have reflected this.
A lot of companies use terms like "restructuring" "downsizing," "reorganizing," "incremental synergies," "offshoring," and "streamlining." to mean: layoffs.
For DXC its "Workforce optimisation" has been a 5-year long round of consistent layoffs as it appears to race downhill searching for a pivot point where digital revenue might start to pick-up.
Clients I know understand DXC is no longer investing in ITO and tools for their own staff and are now having to risk assess DXC's quality of service, client relationship, level of innovation and partnership value to their business and financial audit committees.
I know they dislike DXC no longer meeting face-to-face to discuss ideas. They don't want DXC sales guys coming in who don't understand their business, they hate that. They like to trust a single point of contact and build a relationship but feel that all that has gone and replaced with a monthly SLA call to India to discuss the same problems as last month.
I would say that the clients think the DXC guys on the ground are good technical guys but are hampered by DXC leadership. As all they hear is talk about needing approval for everything and no-one empowered to take decisions.
Do DXC have a clear idea of what they want to be? They have flipped-flopped all over the place in their strategic decisions, possibly as a result of different consultants advising on the latest trends, partnering and offerings. Key people are fired for not selling enough of unfinished offerings and delivery has been late and uncoordinated.
So far, Luxsoft has been the only acquisition that has potential to grow it 1 Billion revenue to 3 Billion in the next two years if DXC nurture it properly and don't destroy it like the others.
As for the rest of DXC. That's just been a constant decline in sales, revenue and staff and there's nothing to suggest that will change.
Could you sum up in 20 seconds what makes DXC unique and a preferred supplier over its competitors? Find out. Learn it. Believe in it. Start to sell it.
Then next week repeat the process as things will have changed.
There won’t be anything to reorganise soon. Share price is in free fall, down 4.40% today. Not looking good. I wonder how long Mikel ha left, or will he go down with the Shareholders?
The "get-fit and then growth" cr*p was always a smoke screen.
It was just cut, cut, cut with the hope someone would buy, but no-one did....and now DXC shareholders are staring at further losses - LOL.
The layoffs will never be done.
its getting worse.
1000s of new layoffs are expected.
especially in the so called complex countries
By the time they got around to getting the reorg into the system, it would be outdated. As long as ML is at the top of the org chart, nothing else matters.
Just miss out a few stops.