Perhaps the reason for late launches is lack of funds??
From Reuters:
Dell has asked employees to consider taking up to five days of unpaid holiday as it struggles to cut costs in the face of weak global demand.
The number two computer maker, which is near the end of a program of 8,900 job cuts, is also offering voluntary redundancy and has instituted a global hiring freeze.
Chief Executive Michael Dell announced the moves in an email to employees. He said he expects further consolidation in the technology industry, and encouraged companies to ride out financial turbulence by focusing on hard returns, rethinking businesses and investing.
"Being stunned into inaction is exactly the wrong thing to do right now," he told a conference in San Francisco, adding that the company is investing in cloud computing to deliver services over the web.
At the same time, Dell aims to cut operating expenses in its fourth quarter, said company spokesman Jess Blackburn. "The intent is to better position Dell for long-term competitiveness," said Blackburn.
"We are asking employees on a voluntary basis to consider taking off (up to) five days... as unpaid time off as a flexible way to reduce costs for the company." Employees are being asked to take the time off in the next three months.
Weak PC demand
Dell has seen soft global demand for personal computers because of the economic downturn. The company reported a steep dip in second-quarter profit in August and said it would sharpen its focus on increasing market share in emerging markets such as India.
The Texas-based company said in August it had cut 8,500 jobs out of a planned 8,900 headcount reduction to adjust its business for sluggish global demand.
Dell announced earlier this year it plans to reach annual savings of $3 billion in three years.
Speaking at Salesforce.com's developers conference in San Francisco, Michael Dell argued that the future of the technology industry is in cloud computing, rather than fixed on local computer hardware.
Dell said he expects 80% of Fortune 1000 companies to be using cloud services within the next few years.
He said Dell is creating a cloud of its own around IT services, and he predicted the company's efforts will ultimately help bring IT service costs down.`
Reuters
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While taking days off sucks, it is only 2% of the total work year. I think retaining employees and asking them to reduce their work time by 2% is better than laying off 2% of the workforce.
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...maybe a sign Dell needs to get its rear in gear, up the quality of its product beyond its competitors, and do something drastic to reclaim the market share they lost by being last to the market with Centrino 2 units?
Better Quality Product = less money wasted when people with warranties get stuff fixed, because it needs fixing less often.
Cuts in premiums charged for their products, to get customers back on their side?
Who knows. -
Maybe they could cut costs by redirecting all of those new computers that sit in the refurb store to all of us who wait weeks for our computers to get built.
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But then I cant buy the brand new machines at 1/2 the price ...
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redrazor11 Formerly waterwizard11
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30 percent is the norm -- but sure when the coupons are GOOD its possible.
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Circuit city is closing like, 150 stores right before the holiday season, and just today I drove by one with a sign up that said "now hiring for holiday season". Typical BS for the average workers. Get laid off, then maybe take a pay cut and work as a 'temp'.
My final gripe is that all of this good news was sent via email. They may be a global company, but that is as spineless as Radioshack. They did basically the same thing as some of you may recall. Only they were shutting up shop for good pretty much. -
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Hmmmmm...Nope, I wouldn't like this...
Unpaid leave?? In this economy as almost every working person is potentially struggling to *just get by*??? Peep's with children, health issues, bills, etc...
Why don't the Dell *Upper Exec's / Board Members* give up some *benies* that they have? Why not they take *Unpaid Leave* along with their employees.
This is just, my own opinion..
Cin -
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P.S. ALL of those activities boost the stock price. Wonder how those stock options are looking?
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I agree, it is only fair that executives also take the voluntary unpaid leave too. I do think that it is better than loosing your job but of course it makes it even harder if you are struggling with bills. I wish the company well but it does need to look at improving products. After all, it's flagship line, XPS, has not been updated to Centrino 2 and it's competitors have done that for their lines. I would certainly not be looking at Dell now with the centrino 2 options out there at reasonable prices.
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They can still promote products, and cut back on other areas w/out hitting the heart of their company hard being *their emmployees*
Cin -
You want to know the fastest way to save millions?
Simple. Have all the top execs, Micheal Dell included, simply not take their bonuses. That should save a few billion dollars alone. -
What will be really interesting is if Dell uses the cost savings they generate from this horrible rip off for workers in order to repurchase their own stock. They have done that in the past. That would mean a HUGE payday for the top management and a BIG one shoved up the you know where for workers. Making those sacrifices for nothing more than a stupid stock price gain. -
There seems to be a pattern to this strategy. I know a few people who are suffering because of this strategy (their companies won't be named). If they open their mouths they get a hatchet job. People are being fired for mind numblingly innane infractions. Meanwhile the execs are raking in huge profits.
The city of philadelphia is doing the exact same thing. -
God save the king! How can we protect him from the wrath of the shareholders? -
Just a thought, I tend to check Dell's driver/software updates on a near daily basis. This includes all releases within the last 7 days. As of today, the last release was 10/29. This is very unusual as Dell has been releasing various updates almost daily for as long as I can recall.
Perhaps its just a coincidence or maybe its something more... -
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When times are though, people will cut back on luxury goods, be that cars, tvs, laptops or pcs. -
There is nothing new here, this is business as usual. Dell has done this at least once in the past. Its a common practice in corporate america (good or bad). -
They are transferring all of their service to the Philippines, a lot cheaper for Dell, I heard that with 5 bucks they can pay 5 employees an hour.
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yomamasfavourite Notebook Evangelist
Exactly, Dells got so big that its no longer about building computers, its about management and profit for the ceo, directors and shareholders.
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still waiting the XPS serial......
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You can kinda know something is wrong when every other company has jumped on the bandwagon of releasing Montevina based notebooks and multiple models at that.
Now if you take a look at Samsung's new notebook, it looks strikingly similar to the new Dell Studio XPS supposedly will be announced in November. Dell really needs to get some innovation going! -
They need to *realign* a great amount of things...take some cuts where they need be (at the top, that's how I feel) And, start focusing on the *product* again, getting it released in a quicker amount of time! Also, they need to really focus on the *customer* ~ the service they provide to us all!
Cin -
They can stop repurchasing their own stock for one thing, and put the money where it belongs: In development!
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This says a lot for Dell and its management. Also the fact that they are closing all of the factories in the US and transferring all the work to Asia.
ANd now they want employees to work for free???? -
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With all of their computers being built in Asia they will become just like the rest of the computer manufacturers and lose the special identity they had of one of the few computers still made in the United States. -
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Cin. -
Dell is already laying off US employees and moving the work to Asia. So the employees take 5 days off without pay and then still get laid off? -
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There is nothing in that news bit however, that directly stated that you have to take the time off or lose your job. They are looking for "volunteers". That's why it has me so suspicious. Circuit City went bankrupt the other day but I still saw a sign up at one asking for "seasonal help". Evidently, they are going to try to get through Christmas, but what do you think happens after that? -
yomamasfavourite Notebook Evangelist
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They aren't closing up shop. They got a lifeline from Bank of America but in reality the tax payers.
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Lulz... updates for this topic.
Dell apparently just got rid of their CTO... looks like he'll no longer work for Dell after December. -
http://www.reuters.com/article/technologyNews/idUSTRE4AC04820081113
Cin -
This pretty much says it all.............sound familiar?
The company's top management, so called fat cats go from company to company and destroy the companies and send work overseas and layoff American workers.
When they destroy a company they cut American workers and give the companies stock holder a little increase, then knowing the company will go down the tubes they depart, getting a so called golden parachute. --- and off the go to the next one to destroy. -
Cin
Dell asks employees to take unpaid leave
Discussion in 'Dell' started by aja58, Nov 5, 2008.