I wonder if they are actually afraid to focus on changes that would support the growth of this company? I believe that DXC needs profound changes if it wants to achieve organic growth and changes imply risk and uncertainty. And while they’re afraid to do the right things, DXC is sinking.
4 replies (most recent on top)
They are Not afraid to do the right things, THEY have NO Fu-king clue of the right things
@1pnl+1cp6PQpP great informative post - unfortunately the downward trend of this company and previous incarnation of CSC started well before DXC formation, really accelerated into downward direction - under disastrous leadership headed by Mike L, things are continuing downward by Mike 2 - no change at all.
If DXC activity is (or lack of) is viewed through the lens of management with a 'growth mindset' it could appear that way... Almost as if a startup is usure of next big investment step required to grow...
But f-ck me, this a large monster, behaving like a celestial 'red giant'.. However DXC cannot blame gravity, only a constant silent ineptitude!
They're doing what their contracts of employment tell them to do. Even Mike 2 is under contract and has objectives to hit. His rewards are based on that. Being a company that's listed on Wall Street, everything is about the short term. Common sense tells you two things:
- It takes time to grow a business, whether through M&A or organic growth. A typical 'large' deal for a company like DXC can take six to nine months to win, so when your compensation package is driven by in-quarter profits, deals like this aren't attractive. A 20 person bid team working on something that takes a year to win? Forget it!
- The easiest way to short term profit is cost-cutting. Of course, you can't cut your way to long term profits or sustainability, but when your compensation is all about short-term results, you don't get.
This is why Mike S is largely behaving the same as Mike L.
Then of course, there's Luxsoft. What a mistake to make. DXC, a business with close links to the defence & security sectors in the US and UK, buys a Russian company to form a key part of its capability. It's hardly surprising that the UK defence and security sectors now don't want to work with DXC, is it? From their perspective, Iran, Russia, China, etc are hostile states. Yet DXC is delivering a key capability from one of them.