CSE Central IBM elected officials condemn company’s lack of strategic vision – ChannelNews

Gathered in the central CSE on April 20, 2022 for a consultation on IBM France’s strategy, the elected officials strongly criticized the orientations of Big Blue. According to them, IBM’s leadership a generation ago and its competitive advantages are almost ancient history.

“Our analysis is that IBM Management did not anticipate major market developments while continuing to pursue a financial policy favoring the maintenance of the dividend aimed at maintaining the level of the action in the short term to the detriment of our ability to ‘investment “deplores the CFDT secretary of the economic commission, in a motion which was voted unanimously.

For staff representatives, IBM has fallen behind on research budgets and is now “at the back of the leading pack” major IT players. The group lives on achievements such as the large Z system, including some major customers “dream of emancipation”. If a large project like quantum computing perpetuates the image of innovation, it “will not yield significant benefits for several years”.

In the immediate future, IBM has put cloud computing and consulting activities at the top of its priorities. Elected officials also express their doubts about the way this shift is being conducted. “Marginalised in the public cloud, IBM hopes to grab a significant part of the market for hybrid cloud, data analysis and “artificial intelligence”they write, while highlighting the strengths of the Redhat openshift and Watson software offering, as well as the consulting and engineering services that bring credibility and the ability to deliver solutions.

However, faced with formidable competitors, IBM has no choice but to approach the client with partner-competitors, “consistent but which reinforces our position as a second-tier player”.

Elected officials also believe that too much hope is placed in consulting, with very ambitious objectives for growth in turnover and profitability. They imply a strong investment to develop technological competence and business expertise. However, underline the elected officials “The new business model, which directly addresses a very small number of customers, raises questions about the ability to maintain turnover and the ability to orchestrate an ecosystem of partners who can also be competitors. »

Finally, elected officials are concerned about the adaptation of the workforce to the transformation of the company, following a large plan last year of voluntary departures. “The loss of 30% of the workforce and the massive transformations of professions have left many employees aside”they deplore everything, moreover criticizing the vagueness on this point of the strategic orientations presented.

“The elected representatives of the CSE Central deplore that the strategy of the Direction resembles a catalog of “good ideas” and “good intentions” to aim for very high commercial objectives, in particular for IBM Consulting. We are desperately looking for a well-considered and realistic industrial plan, with investment to match, particularly in human terms.”they say in conclusion.

A virulent analysis which contrasts with the optimism displayed by IBM after a first quarter which exceeded expectations and which reflects the persistence of a social climate marked by mistrust.

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CSE Central IBM elected officials condemn company’s lack of strategic vision – ChannelNews


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