Thread regarding SAS Institute layoffs

Bingo. JMP needs SAS. But a SAS buyer may not need JMP.

A couple of things: has SAS outsourced landscaping, the HCC, on-campus childcare, or cafés yet? I know the cafés were at one time partially outsourced to Bon Appetit, but that was reversed when the campus reopened. I’d think those areas would be low-hanging fruit for reducing headcount.

Also, regarding revenue per employee for JMP, I’d be surprised if it’s better than the figure for SAS. Several years back, one of my products was also sold with JMP and I attended several of their conferences. JMP spent money rather like a drunken sailor. Big-name speakers, tons of copies of the speakers’ books, tons of giveaway items, and catering out the wazoo. Unless these events were a radical departure from how JMP usually budgets, I don’t imagine it’s a pretty picture.

Revenue per employee is certainly a metric that will receive a long thoughtful examination by any buyer with at least half a brain.

If the plan really is for a sale or for an IPO to come to fruition, there will be a hastening of the pace. The current revenue per employee demands that. Current efforts are too slow compared to what is needed.
That means identifying those who do not have a direct impact on revenue or are associated with negative ROI products. Easier to give them 30 days to find another job at SAS and then lay them off if that doesn't happen...versus retooling those people. Replacement IT folk from India is a much better buy, which in itself has a boosting effect for revenue per employee. That path will continue, but as said before, the pace will quicken. Noticeably.

Then there is JMP. Founder JS is almost as old as JG. Very interesting dynamics between those two. The list of what they have in common is indeed a very short list. JS never talks about HIS JMP succession plan. Hmmm. If JMP had an attractive revenue per employee metric, then JMP would be standing on their own feet, and blowing their ho-n loudly. Instead, JMP is just "there" in the background at SAS, quietly humming along, likely knowing they are enjoying a parasitic life. Actions over the years strongly suggest that JMP needs SAS way more than SAS needs JMP. Anyone want to bet that JMP has an even more dismal revenue per employee than SAS? JMPers will jump on me for saying that. The difference between me and JMPers is the viewing lens. My viewing lens is the vision of a buyer, identifying value, identify poor performers, and making a decision of whether a purchase is a good investment. By itself, JMP might not be on that list, and even if it is, it could fall off. The juice that JMP produces may not be worth the squeeze to keep it operating. Hence no buy. JMPs best chance is to continue their parasitic life attached to SAS, HOPING they come through okay on the other side post sale/IPO. Hope is not a plan!

All of this may be moot. Earlier I said that if the plan really is for a sale or for an IPO to come to fruition, there will be a hastening of the pace. What could i mean if we do not see a hastening of the pace? Perhaps the talk of a Sale/IPO is merely flirtatious behavior. Two old men flirting to the market for attention, hoping to receive validation that they still have some game left. Sizzle and no steak. No sale/IPO intended. Time will tell.

SAS needs more programmers in India and less groundskeepers in Cary to raise those numbers.