New CEO Predictions

I have heard this before from a L3, and it’s worth mentioning now in case you’re in either group.

GBS and GIS will form two separate companies going forwards.

They already report separately for each business and have been doing so for a while now.

In the event of a sale it’s also easier to market two different companies to potential suitors.

I’ve read the horses blog and I don’t believe the doom n gloom posted there. Yes things are bad. But with no management bonuses and sacking Mary and Drum it should free up many millions, and similarly if they fix the operating model and let go of dead wood accounts things can be turned around.

One lesson they’ve learned is new hires on the lower levels are not the answer, nor are grads. They need experienced middle aged staff to bring stability and fix the problems.

Good luck, and even if they make cuts again (unlikely) there will be a MASSIVE queue of people waiting to exit who are on the right side of 60. So I wouldn’t stress too much.

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In case of GBS and GIS split there is no point in appointing a new CEO. Interim CEO might just finish the job and sell out these two.

We can then expect focus on billable utilisation to kick in, mass layoff. I think sales, presales and solution team will be in big trouble. They are not bringing new business and unable to retain existing customer contracts. The new company that acquired will have their own sales, presales team so these folks are not needed.

100% there is an international split within GIS and GBS. They don’t share managers either. There are no dotted lines either.

The two organisations are very much kept apart.

GBS is the borderline break even unit. Within GBS there are teams which are growth but also dead horses like apps.

GIS largely is broke in all teams.

The only reason they didn’t sell GIS or Workplace from GIS is they thought they turned a corner and clients still wanted legacy so they thought with the right strategy they could save it.

They did do some curious reorganising a while back that suggested some sort of split was imminent.... That I can tell you is true. It can only have been for that purpose the just went silent.

You’re right about the India resources as some of them are fantastic at their positions, but most need a playbook to get anything done and it’s always not my job response.

No one should ever say not my job, if it isn’t your area of expertise then work with who is asking to find who is !

I hope they look at India closely.

They have a pile of sh-t cooking there, with tens of thousands of Staff and the quality of output being very poor.

It doesn’t always have to be Europe and NA at the brunt of these cuts!! There’s nothing left to cut in the UK. We don’t even have any sites left to close.

Splitting the gbs and gis is a natural corollary to the existing mess we have. But having said that what to do with the thousands and thousands of bean counters and paper pushers hiding in the corporate side aka Finance, HR, Internal IT, Controllership etc. There are tons of losers in these spaces that always escape and poor customer facing delivery gets hit. Btw - one way or the other the network guys needs to be put in their place as well.

ditching GIS (same way IBM did with Kyndryl) makes sense, perhaps they may even be bought by Kyndryl now that company seems to have stabilised
Then the focus on GBS and identify and break out the pieces either worth investing in - or selling - depending on the long term strategy

d sacking Mary and Drum has that happened yet , if so their is no official news

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New CEO Predictions

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