Friday, February 04, 2005

Outsource Of PC Business, Er Sale, Inspires Loss Of Customers

Half of the IBM customers surveyed indicated that they would most likely switch to another vendor if the sale goes through.

Hello! This is the logical endgame of massive corporate outsourcing. You lose your corporate memory by moving manufacturing overseas, telling yourself that all the corporate functions like marketing and design will stay here. With a severed connection to manufacturing, marketing and sales founders, and you end up with losses that can't be reversed. Ultimately, you sell out to the foreign manufacturer who previously 'helped' you with your manufacturing costs and you've managed to scuttle your investors capital, your employees jobs and security, and all you've really produced is a bunch of golden parachutes for the gussied-up, coiffed morons who created the mess. Customers and employees vote with their dollars and their feet, respectively.

The worst part, THE WORST PART, is that these same morons will fix up the CV's to call themselves 'turnaround specialists' of something equally banal, and go to some other company and repeat the process all over again. This type of behavior is happening to companies that have had waves of layoffs because they no longer retain "Corporate Memory". They forget the last time they were down this road, and take the same wrong turns to end up in the same old place. And then they hire a 'turnaround specialist' to help them find their way out.

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