DXC uses Digital growth as a Bull $$it explanation since it can’t be quantified. DXC can call anything Digital transformation since there a many definitions of what it is. It’s a con game. Wish the analysts would ask how it’s quantified since it is purely an arbitrary way of categorizing the DXC business. All BS to camfalouge the reality that DXC is a sinking ship. Get out of this company ASAP.
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Difficult to evaluate without the stats.
8o% was all I heard, which I presume is 89% of whatever sales quota they set themselves for the (I presume) quarter.
But what is the average deal size for DXC’s ‘digital’ offering?
How many deals in the pipeline?
Are they all qualified deals?
What’s many days does it take, on average, to complete a deal (sales velocity)? The delay in singing them was presumably another headwind that meant they could not claim any real revenue yet - so is it just around the next corner, Mike?
This turnaround has so many corners it is now facing where it started. A bit like the share price.
Agreed. IMHO that is why ML has not executed the 'good' bank 'bad' bank split yet... The CXD 'bad' ITO vessel is ready launch, but it would hold the majority of the revenue at present! Leaving Molina, TESM & Luxsoft in DXC.
This the only strategy I believe ML has, but he cannot execute on it!
At present the run off in both sides of the business is a problem. I talk to TESM engineers who are perplexed at the difference between the promise and actual. The integration work with DXC serviceNoo proposition was barely touched - more effort went into arguing terms and cost of a SOW.
So yes, all commercial outfits 'tickle' the books a little, but I have seen the tick boxes in sales 'farce' - recognition is 100% arbitrary. The 80% projected increase of digital revenue is evidence of desperation for a 'pat on the back', how many quarters can that work? Plot a graph using 80% digital increase against 10% YOY revenue decline to reveal the 'crunch date'.
This arbitrary allocation of revenue to "digital" can only run for so long when the overall revenues are declining. Within a quarter or two it will be impossible to claim 36% growth in "digital" because by then nearly all the remaining revenue will be classed as "digital" and then even analysts will be asking how come there is no "traditional" left when its obvious the few large remaining clients still using DXC are clearly using them for "traditional" only while they work with others to migrate to their new environments. DXC is largely being used by their large clients to keep the lights on for the old environments until they are no longer needed, and nothing else.
Stuff like this:
DXC LEF perspectives: Digital platforms reduce trade-offs between the value disciplines. The latest generation of modern digital platforms connects firms with their business ecosystems and is becoming intelligent, distributed and autonomous.
@10zT2dsI-gvk it's not a biggest dic—ad competition. Others are doing it, doesn't make it right.
DXC are not alone spouting the digital BS. Same can be said of many organizations, all empty sales & marketing buzz words.