Seriously, is there something DXC management is working toward? Is it a sale? Bankruptcy? Something else?
I personally can't figure out what's the endgame here. But there must be something, right? I mean, the top management is paid as much as they are because they are so smart, they must know what they are doing? Right?
End game = Mikey retires with a handsome pay check and the steak cutter leaves shortly afterwards.
@thp 1) DXC management can hardly run one mile without needing pure oxygen 2) the chairs they're sitting on are more stable than themselves, and 3) oh yes, they grow. Through their stomachs, that is.
To imply that there is a plan actually gives senior management much more credit than they probably deserve!
Plan? You mean all this chaos was as a result of someone trying to plan it?
The mission and values? Well, that's not a plan. Its just some guiding principles arenot practiced or demonstrated from the top, so why would anyone else bother? Sure there's a backstop of professionalism in everyone, but no-one left would go beyond the call of duty. Its human instinct. If you are not valued; if no-one thanks you and if your only reward is being layed off, then it stands to reason you are not going to do more than the minimum. Its basic management psychology: What motivates individuals.
What is CLEAR anyway?
CUSTOMER focus. That is, ignore the red SLA's and the big names that have left in the past 4 years. Perhaps it means to stop over-promising what can't be delivered and for the top management to start to listen to the customers - they are actually more tech-savvy than DXC in a lot of areas now - as they've invested and are wondering why DXC isn't being as innovative as they are.
Leadership. LOL! Oh wait, a minute. Perhaps "L" really IS for "LOL?" DXC LOL (leading on little). So what is Leadership? It's the art of getting someone else to do what you want them to do because THEY want to do it! But there is no leadership. There's layers upon layers of management that do nothing but stay on the phone all day; write powerpoint status reports, fill in layoff scoring and do appraisals with strangers once a year. A waste. Get rid. Layer 1 lead by 7 layers of donkeys (ok, not all donkey's but most of the thoroughbreds raced out of DXC long ago).
Execution excellence. Inconsistent across the globe as there are no agreed standards or processes for anything and pricing models and offerings jump wildly. Deals are priced according to what DXC thinks the client is willing to pay as the cost of being successful is far higher.
Aspiration? I think new joiners aspire to do their best, but then leave because (judging by their comments on glassdoor) of the 'toxic environment' caused by 'constant cost cutting and layoffs'.
Results? Share price dropping 30% is certainly a result.
Get fit, stablize, grow? DXC is still in the 'get fit', unfortunately, it is still unhealthy.
Grow? No tangible signs as revenue declines together with a lack of investment. The total DXC spend on Research & Development last year was zero. They are assuming the skills can be bought in when needed, only they are not allowing anyone to buy them in.
If there is a plan, it won't be one for the company or its staff, it will be one focussed on securing one person's wealth, retirement and secret exit to avoid the lawsuits.
With the HPE $666 million award, Mike's not going anywhere soon.
They are planning on putting together a plan, but every time the plan is almost done they Lay off the planners.
Maybe HPE will buy DXC. LOLOLOLOLOLOLOLLLL!!!!!
Plan working as designed 1) Get Fit 2) Stabilize 3) Grow
Get Fit by eating cut steak
Stabilize by Jo holding you
Grow your houses, bank account
I thought the plan was: 1) Get Fit 2) Stabilize 3) Grow
Seems like the tread mill is still exercising all the hard working peple like yourself and I worry for your health. You need to realise that it is a tread mill and will never stop, the prison governor designed it that way.
No doubt management does/did have some kind of endgame in mind - probably being highly ranked in their sector but DXC has never really had a strategy - 'selling more Digital stuff' is not a strategy.
Sadly for those involved the DXC story will be relatively brief and will not end well. It will involve more revenue declines, more cost cutting in a futile attempt to shore up profits and EPS and ultimately a purchase of what's left by one of the large outsourcing companies.
DXC’s 30% share price slump just adds pressures to its partners, not least Mphasis (owned by blackrock) who rely on DXC for 28% of their own revenue. Oh dear.
Mphasis now find themselves having to re-review their own guidance and will feel pricing pressures until they can reduce their dependence on DXC. Analysts think mphasis won’t be able to scale up quick enough to offset the DXC revenue declines that are expected to continue for another 3-5 years.
If DXC can split off its digital side, expand Luxsoft in Bengaluru and find a way of ditching DXC legacy, costs, headwinds and non-profitable contracts in a sell off, then it might be able to survive. But if it continues , then analysts predict another 3-5 years of revenue decline which I think is quite generous to assume it will last that long.
endgame = DXC split up, sold off, taken over.
By now, DXC was supposed to be a lean structure with a bit of core growth with a few shiny baubles (Luxsoft).
Instead its the worst of all worlds, a hollow carcass, far from being ready for sale, with no chance of independant survival.
Soon to go the way of Toys R us / Tandy etc
That last part was sarcasm, in case somebody is wondering.