Mis-match

by Volker Weber

Lots of things have been said about IBM laying off some of their best people, offering some of them jobs in low-wage regions. This from a company with record profits, in business areas that report record growth over years.

I understand that businesses have to adjust to changing markets. If a company feels it needs to lay off people, that can only mean one of two things: bad outlook or bad ethics. We will see what it is for IBM.

Comments

Volker, that is somewhat over simplified. Keeping profit up is essential for raising capital, which is essential for investing in new business, innovations and new ideas. And good profits are even essential for customers selecting their vendors. No customer wants to buy from an unhealthy vendor. I do not think it´s a clear cut decision between money and moral.

Felix Binsack, 2009-02-09 17:40

Felix, IBM tells me its business is booming and healthy.

Volker Weber, 2009-02-09 17:51

what strikes me odd is that they try to keep it under hidden instead of telling whats done. hiding stuff under the carpet usually misfires.

Flemming Riis, 2009-02-09 20:19

Well the IBM x86 server business for example is neither booming nor healthy. No surprise for me as I see projects now being won by vendors that have a full story from Desktop / Mobile solutions to Servers.
And even if a business is booming and healthy raising shareholders value often can be a challenge. At the end you often end up charging more for less and cutting costs. Unfortunately in many segments there now are oligopolies and the big players share a common strategy.

Henning Heinz, 2009-02-09 21:13

Is it signs of the time? Jobs are shifted from the US to Asia and South America. IBM is becoming less and less a US company. Less the half of the workforce is US based for quite a while and almost half of the revenue comes from units with managers that don't have a US boss short of Sam. So the business might have been healthy but might not sustain in the US.
We live in interesting times as the old Chinese curse goes.

Stephan H. Wissel, 2009-02-10 11:36

Recent comments

Ingo Seifert on Grandmas Smoking Weed for the First Time at 11:28
Oluf Lorenzen on IBM Verse :: It could be worse at 13:37
Andrew Magerman on Verse: Die Neuerfindung der E-Mail, according to IBM at 10:48
Harald Gärttner on Verse: Die Neuerfindung der E-Mail, according to IBM at 00:22
Ian Bradbury on Verse: Die Neuerfindung der E-Mail, according to IBM at 00:00
Ian Bradbury on Brands and social media at 23:46
Frank Mueller on Ausflug nach Köln at 20:27
Hubert Stettner on Nigel Stanford :: CYMATICS :: Science vs. Music Nigel Stanford:: CYMATICS :: Science vs. Music at 13:27
Stephan Perthes on Nigel Stanford :: CYMATICS :: Science vs. Music Nigel Stanford:: CYMATICS :: Science vs. Music at 13:20
Ingo Seifert on Verse: Die Neuerfindung der E-Mail, according to IBM at 12:16
Volker Weber on Verse: Die Neuerfindung der E-Mail, according to IBM at 10:35
Christian Henseler on Verse: Die Neuerfindung der E-Mail, according to IBM at 10:13
Ingo Seifert on Verse: Die Neuerfindung der E-Mail, according to IBM at 08:00
Michael Jäckel on Nix klappt. Nur die Tür. at 22:53
Michael Sampson on Use and Adoption of IBM Connections: State of the Market 4Q2014 at 21:13
Christian Henseler on Verse: Die Neuerfindung der E-Mail, according to IBM at 19:41
Ingo Seifert on Ausflug nach Köln at 17:09
Ingo Seifert on Verse: Die Neuerfindung der E-Mail, according to IBM at 17:04
Alex Heller on Ausflug nach Köln at 13:11
Hubert Stettner on Ausflug nach Köln at 11:04
Markus Heyl on Microsoft did not buy all of Nokia at 10:43
Bernd Vellguth on Verse: Die Neuerfindung der E-Mail, according to IBM at 10:29
Lars Berntrop-Bos on Microsoft did not buy all of Nokia at 09:52
Stephan H. Wissel on Microsoft did not buy all of Nokia at 03:33
Volker Weber on Microsoft did not buy all of Nokia at 23:26

Ceci n'est pas un blog

vowe.net is a personal website published by Volker Weber a.k.a. vowe. I am an author, consultant and systems architect based in Darmstadt, Germany.

rss Click here to subscribe

Hello

About me
Contact
Publications
Certificates
Amazon Wish List
Frequently Asked Questions
Follow @vowe on Twitter

Local time is 13:55

visitors.gif

Tip jar

Archives

As most of my articles roll off the front page rather quickly, I am making an archive of previous posts available here. You can also use the handy search box at the top of the page if you are looking for something particular.

Last 30 days
More archives

Mobile tag for this page

© 1992-2014 Volker Weber.
All Rights Reserved.

Impressum