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Conference 7.286::digital

Title:	The Digital way of working

Moderator:	QUARK::LIONELON

Created:	Fri Feb 14 1986
Last Modified:	Fri Jun 06 1997
Last Successful Update:	Fri Jun 06 1997
Number of topics:	5321
Total number of notes:	139771

2769.0. "Anorexia Industrialis" by ATYV02::HILL (Come on lemmings, let's go!) Wed Nov 10 1993 06:30

    'Anorexia Industrialis':
    Cost cutting, and/or lean management, and/or concentration on core
    competencies, and/or down-sizing, and/or corporate rationalisation,
    taken to the point were an organisation starves itself to death.
    A newly recognised phenomena whose diagnosis is uncertain and whose
    cure is unpredictable.
    
    Questions:
    
    1 - How can you tell when an organisation's got it?
    
    2 - What would you recommend for therapy?

T.R	Title	User	Personal Name	Date	Lines
2769.1		POWDML::MACINTYRE		`Wed Nov 10 1993 11:05`	5
	Actually I see it as a longer-term cycle of binge and purge. Digital's recent history is more like that of a Bulimic Company. Marv
2769.2		QUARK::LIONEL	Free advice is worth every cent	`Wed Nov 10 1993 12:27`	3
	A better term I have heard for this condition is "wee-ness envy". Steve
2769.3	Does anyone understand downsizing?	FUNYET::ANDERSON	What chew lookin at?	`Wed Nov 10 1993 12:41`	17
2769.4	Cost-Cost-Cost=Bankrupcy.	ELMAGO::JMORALES		`Thu Nov 11 1993 14:44`	41
	MY OPINION ========== Cost Competitiveness alone will NOT yield the expected results and will NOT give any company Global Advantages. I have said this time an again, today's consumers are well read and educated. They will read the Consumer's Reports and other magazines before they buy non-perishable items. Therefore, things such as: 1) Reliability 2) Maintenance & Service 3) Repairs (how often) 4) Timeliness 5) Cost (not the tag price but longer term). 6) Upgrades/Options I've been doing analysis on several 'non-perishable' consumer items. One example: If you read the yearly Consumer's Report booklet in the automobile section this is what you will find. 1) US Made Automobiles a) cost: 99%++ are rated from average to much better than average. b) reliability: Over 90%++ are rated from Much Worst than average to worst than average 2) Japanese Automobiles a) cost: 90%+ are rated from Much Worst than average to average. b) reliability: 99%++ are rated from Much Better than average to better than average. The conclusion that I can draw for this is that the automobile consumers are interested in reliability first then cost.
2769.5	irrelevant rathole	WRKSYS::SCHUMANN		`Thu Nov 11 1993 16:28`	7
	re .4 > The conclusion that I can draw for this is that the automobile > consumers are interested in reliability first then cost. Huh? If so, how come US cars outsell Japanese cars by almost 3 to 1? (That's in the US!)
2769.6	What's your gauge?	35405::MCELWEE	Opponent of Oppression	`Tue Nov 16 1993 05:28`	17
	Re: .4- The disparity with C/R is how many "recommended" new cars become "used cars to avoid". The early 80's Rabbit had this happen. I will agree that consumers are critical when evaluating a product considered for purchase. The problem is that brand and traditional accompanying reputation no longer mean much, and the data is still out on "the new division that produces X product via subcontractor with the original logo". Marketinga product well takes time. Past pain effects progess . The many mergers/ unstable companies in this economy make buying decisions difficult at best. Digital is feeling all of the above. Phil
2769.7	You can not argue against success !!!	ELMAGO::JMORALES		`Tue Nov 16 1993 15:39`	18
	>>> Huh? If so, how come US cars outsell Japanese cars by almost 3 to 1 ? (That's in the US!). Absolutely right....that is in the US, we are not even close outside. Why, we ONLY focus on cost. Focus on cost is extremly easy.....just kick-out employees, cut travel, cust benefits (medical, life insurance, etc.), cut equipment and plant space. A single pen is the only thing needed, anybody can do it, no science, no leadership, no nothing. On the other hand to have Cost, Reliability, Quality, Delivery, Services, etc. requires leadership, creativity that we are currently lacking. Why argue against success, we can not !!!!!