Conference 7.286::digital

    re: Are we ahead of the inevitable trend
    
    This is one time I don't want to be a trend setter but yes
    we are ahead of the curve. Lots has been written about the 
    future of corporations and their employees. Cutting benefits
    and farming out software to programmers in India are just a few
    examples of the corporation of the future. Remember a CEO's first
    obligation is to the stockholders. Without their support he/she
    is a goner.

  Before everyone gets fired up and goes on an India-bashing spree, look up
  Ed Yourdon's book "The Decline and Fall Of The American Programmer". This has
  an appendix at the end where he analyzes the threat from foreign countries
  to the Anmerican Software Industry. He concludes that a mix of various
  factors make it impossible for any other country to have the same footing
  as the U.S Software industry when it comes to finding capital, innovation
  and getting the products out the door.

  The last time I looked the most successful software companies, packaged
  and systems integration ones were all American. Just because *WE* don't know
  how to do it efficiently (assuming that we get a sense of what it is that
  we are supposed to be doing :^)) doesn't mean much.

  Nari

    
    Regarding the CEO's (any CEO's) duty to the stockholders.  The
    largest stockholders (by far) in America are the pension funds.
    The ultimate owners of the pension funds are workers.  
    If America's large corporations continue to slash and burn their 
    workforces, the pension funds will eventually be affected.  The 
    pension fund managers know this (for example, how many people do you
    think have had to dip into their retirement money principal to cover
    expenses after a layoff?).  I therefore think that, eventually, 
    sanity will prevail on Wall St; fund managers will begin to look for
    longer term health rather than quarter-over-quarter performance.  The
    fund managers will realize that the morale of a company's workforce
    is integral to its success.  They will then insist on hiring CEOs
    that think like they do.  I hope.
    
    Glenn
    
    

    Re; .3
    
    	Unfortunately, Wall Street and Investment Consultants, have still
    to realize that long term health and profitability are better than
    short term (Quarter to Quarter) earnings mentality.   Everyone wants
    a 'get rich quick' attitute.   We are all extremly impatient, when it
    comes to go up the society earnings curve.   Why ?   Money is Power
    ("Lifestiles of the Rick and Famous"), therefore, the more money that
    we have, the more power (important in society) we are.
    
    	In Japan, money is not as powerful, although that is quickly
    changing to an 'Americanized' way.   I personally think that is why
    Japanese companies have been more succesfull in implementing long-range
    goals that their US counterparts.   Will it change ?   The answer is 
    maybe.   The CEO's that have perform the night to day chages (ie. Lee
    Iacocca) are our heroes.   You very rarely see a Long Range heroe, here
    in America.

    
    > You very rarely see a Long Range heroe, here in America.
    
    So your advice to the average CEO is "Become a Long Ranger, and
    Pronto!"
    
    %-)
    
       

    RE: .5
    
    	On the autobiography by Akio Morita (CEO Sony) 'Made in Japan'
    he discusses the fact that they (Sony Corporation) have a 100 year
    Long Range Plan.
    
    	If any corporation here have a 5 year sketchy plan that is never
    implemented is a lot to say.
    
    	The issue (my opinion) is not having it or not, is making it
    happen, make it a 'live' document.   Managing by Example, easy to say
    (we are great in lip service) hard to do.

    re: 2478.4

    Another Wall Street-bashing reply.  "Wall Street" isn't monolithic.

    Not everyone wants to get rich quick.  Unfortunately for Digital, both
    the people who want to get rich quick and the people who want to get
    rich slowly are avoiding the stock.
    
    The two topics you raise "...the more money that we have, the more
    power (important in society) we are" and the generic "the problem with
    Americans is that they are not Japanese" are beyond the scope of this
    conference.
    
    Frankly, I thought that after Ken Olsen, Al Mullin, and Mark
    Steinkrauss, Digital is finally out of the business of blaming Wall
    Street for all its troubles.  Old habits die hard.
                        

    Re: .7
    
    	Pat, I'm not blaming Wall Street or anybody else but all of us.
    	The society that has been created here in America is a
    consumeristic society based on money values.   Everyone wants to be the
    guy/gal with the bucks, because they are seen as succesfull,
    influential and powerful.   You said that not everyone wants to get
    rich quick, that maybe true, but you should see the amount of folks
    that send a fortune enrolling in highly questionable get rick quick
    schemes.    Moreover, there are even shows sponsoring get rich quick
    thru Real Estate Sales (to mention one).    It is always money involved
    and no one wants it tomorrow, if there is a way to get it today.
    We (the society as a whole) is at fault, not Wall Street, not the
    Financial Analysts, we are !!!!!
    

    re: .8
    
    "I'm [...] blaming [...] all of us"
    
    Got a mouse in your pocket?
    
    The creation and retention of wealth is _the_ fundamental prerequisite 
    for virtually all societal progress.  The more you create and the faster 
    you create it, the better off you are.
    
    Digital exists for the primary purpose of creating wealth for our
    shareholders.  Last I checked, we don't pay a dividend, so the only way 
    our investors get a return (through a higher stock price) is via some
    sort of getting rich scheme.  Like selling stuff for more than we paid
    for it, something we've not been very good at of late.
    
    Al
    

    RE: .9-
    
    >Digital exists for the primary purpose of creating wealth for our
    >shareholders. 
    
    	I _am_ a shareholder. My wealth is declining because in addition to 
    the stock price I am feeling the effect of benefit cutbacks that other
    corporations are absorbing as mentioned in .0. 
    
    	This topic was entered to point out that the benefit reductions we
    have experienced have not been applied by all players in the industry.
    It was not intended to highlight P&L obligations nor CEO performance 
    which is the direction of the replies.
    
    	I would appreciate some comments on the benefits issue, but spare
    the "trend" excuse. IMHO, we're abandoning the employee's well being
    in a desparate attempt to plunge into a Politically Correct
    Health Care agenda. I'm tired of the beauracracy required to receive
    the alledged benefits others have mentioned as problems here. There is 
    a difference between reduced benefits and deliberate poor service.
    
    Phil
    
    	

    Re: .10
    
    	Poor Service
    
    		The problem is that all corporations are trying to reduce
    cost (at all cost).   In getting new vendors we ONLY focus on cost,
    we don't look at the longer term (here we go again) QUALITY
    implications.     I can not be more in agreement, we are getting poor
    service (or less service).   Why ?    Because in changing IHMO or
    restricting some of the benefits (restricting can be in putting more
    burocracy on how to get them, therefore, less people claim it, [ I
    don't want all this trouble] or after you fill all that paperwork it
    is a good two/three weeks [ I have the money longer ].
    
    		So Cost Competitive at all cost, does it make sense......
    Of Course not, but we have been going that trend for the past five
    years.    Are we going to be leaders ?   Maybe.

    re: .0
    
    So,don't keep us in suspense,where did DEC rank in the survey?
    
    KEN

    RE: .12-
    
    	It was only a newspaper brief of the MONEY article. I've no idea
    where or if Digital ranked, but obviously <10th.
    
    Phil

>    	It was only a newspaper brief of the MONEY article. I've no idea
>    where or if Digital ranked, but obviously <10th.

Gee.  I would have guessed >10th!

-steve-

    	%$#@ shift key's flakey.. ;-)
    
    Phil