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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

3070.0. "Latest Drastic cuts" by ASABET::J_TOMAO (Sixteen down, sixteen to go!) Fri May 13 1994 17:44

This is the latest to float around - FYI
    
    All headers removed
     


                  I N T E R O F F I C E   M E M O R A N D U M

                                        Date:     13-May-1994 07:33am EDT
                                        From:     Vin Mullarkey @MLO
                                                  MULLARKEY.VIN AT PNDVUEA1 at MLMAIL at MLO
                                        Dept:     Corporate Finance
                                        Tel No:   223-4447

TO: See Below

Subject: Q4 COST ACTIONS                                             

The attached memo reflects the decisions made at last week's Senior
Leadership Team meeting.  Please forward to your management.
***********************************************************************


                  I N T E R O F F I C E   M E M O R A N D U M

                                        Date:     13-May-1994 07:26am EDT
                                        From:     Vin Mullarkey @MLO
                                                  MULLARKEY.VIN
                                        Dept:     Corporate Finance
                                        Tel No:   223-4447

TO: DIGITAL MANAGEMENT
 
Subject: Q4 COST ACTIONS                                                        


In an effort to improve upon the most recent financial forecasts all 
units of the company have been directed to take additional steps to 
reduce spending this quarter.   Accordingly, the Senior Leadership 
Team has approved the following actions:

o   Stop expenditures on external consultants.

    -	 Stop new and cancel existing purchase orders for external 
         consultants except where they are involved in the delivery of 
         services for which there is an existing revenue contract or 
         to meet legal obligations.

o   Stop both domestic and international travel, not in direct support
    of Q4 product orders or services contracts.

    -	 Cancel travel unless related to direct customer activity.


o   Stop all off-site meetings.

o   Freeze capital spending.

    -	 Defer all categories of capital spending including internal 
         equipment (i.e., IEG).

o   Stop external employee training.

    -	 Cancel and defer these activities except approved degree 
         tuition reimbursement programs.

o   Defer all purchases of office supplies (including software 
    purchases).


CHECK THIS OUT:
+++++++++++++++

In addition to the above actions, the Senior Leadership Team has 
decided to suspend the matching of employee charitable contributions.

Purchasing managers have been instructed to cancel existing purchase 
orders by Friday, May 20 unless an exception has been approved by your 
respective Senior Leadership Team member and the Corporate 
Controller's office.  Requests for exceptions should include explicit 
business justifications.  Please work with your respective Finance and 
Purchasing managers to ensure these actions are immediately 
implemented.  Compliance will be closely monitored. Additional actions 
are currently being discussed and will be communicated shortly.


VM/pr



Distribution:
 
GRESHAM BREBACH @MLO
CABRINETY @ROYALT @MRGATE
MARC CHARDON @MLO
CHARLES CHRIST @SHR
DICK FARRAHAR @MLO
VIN MULLARKEY @MLO
BOB PALMER @MLO
ENRICO PESATORI @OGO
JOHN RANDO @OGO
TOM SIEKMAN @MSO
BILL STEUL @MLO
BILL STRECKER @MLO
ED MCDONOUGH @BXC
 

T.RTitleUserPersonal
Name
DateLines
3070.1save a quarter, spend somene else's livelihoodSSDEVO::KELSEYFri May 13 1994 18:1310
    Friday the 13th?
    
    The malarky in -1 doesn't even mention Post-Its (tm).
    
    It's an evil omen when senior financiers don't even know
    how to save this company money.
    
    sheesh! and they want to lay US off!
    
    -bruce
3070.2COSMOS is gone too......MSDOA::SCRIVENFri May 13 1994 18:1912
    By the By..... COSMOS (the place where all those officed supplies come
    from) has been disabled.  We can't even order envelopes.....  Our mail
    room has told us to "recycle your envelopes"!!!  I can see it now,
    
    	"Yes {Mr. Customer}, even though that quote was in ANY COMPANY'S
    name, it really is from Digital."
    
    Those that have expense accounts can probably go out and buy stuff, but
    their not processing MPV's (Misc. Procurement Voucer) either so; whats
    a mail clerk to do?
    
    Toodles.....JP
3070.3LEDDEV::CHAKMAKJIANShadow Nakahar of ErebouniFri May 13 1994 19:5520
I heard that supplies included soap and toilet paper for the bathrooms...


















:-)
3070.4AWATS::WESTERVELTFri May 13 1994 20:021
If they're taking the toilet paper, at least they could leave the soap!
3070.5Why?VIVALD::SHEAFri May 13 1994 20:297
Are these steps being taken to ensure a profitable Q4?  Would these measures make
the difference.?

Or or we in such a decline that we (those that are left) will be forced to forage
for food?

How depressing!
3070.6SLT: Leading the Focus on Frugality and FiddleworkDPDMAI::UNLANDFri May 13 1994 20:4920
    re: .0  stopping travel and offite meetings ...
    
    Pardon me, but is anyone really bothering to read this memo?  My main
    customer just came back from DECUS, and his first words to me were:
    
    "Gee, every second person at DECUS was a Digital person. Where were
    all the customers?"
    
    And I've been invited to no less than two different offsite meetings
    next week (I haven't decided which one to go to, waiting to see what's
    catered in for lunch).
    
    Meanwhile, we have revenue projects on hold because we can't purchase
    a $200 piece of PC software to complete the job. And we have highly-paid
    sales and software professionals spending even *more* time doing more
    reports and justification memos than ever before, instead of spending
    time with customers. The office is full of people these days, typing
    away at their terminals furiously, but for what?
    
    Geoff
3070.7'Networking' as a perk for the Elite.PEAKS::LILAKWho IS John Galt ?Fri May 13 1994 21:1310
My guess is that a lot of DEC, Er, Digital employees at DECUS
were managers taking advantage of the fact that *they* sign for
travel and wanted to be able to take advantage to 'network' with 
customers for future employment opprotunities.

Of course, the rest of us will be left holding the bag as
per usual.

-Publius
3070.8CUPMK::AHERNDennis the MenaceSat May 14 1994 03:557
    RE: .6  by DPDMAI::UNLAND 
    
    >The office is full of people these days, typing away at their terminals
    >furiously, but for what?
    
    Updating their resumes?
    
3070.9stop the bleeding!!CSOADM::ROTHWhat, me worry?Sat May 14 1994 04:368
.0 sounds like a first-aid solution for a head wound: Apply turnicate
(sp?) to the neck, hold tight until bleeding stops.

I understand our need to be frugal, but geesh... how are we to do routine
business like this? Mr. Unland rightly cites an example of this kind of
folly.

Lee
3070.10If you can't fix it , Micro-Manage it!GUCCI::CLANEThem Special Effects Is FantasticSun May 15 1994 03:163
    Jack Smith (Mr. "Read my lips: no more Post-It Notes!") must still be
    with us.
    
3070.11 ???CHEFS::HEELANDale limosna, mujer......Sun May 15 1994 20:436
    Interesting......if, as is rumoured, some of the recent top-level hires
    are on short-term contracts and are not regular employees, then we are
    likely to see their disappearance soon, seeing that all expenditure on
    external consultants is stopped forthwith.?
    
    John
3070.12NOVA::FISHERTay-unned, rey-usted, rey-adyMon May 16 1994 13:378
.7
    >My guess is that a lot of DEC, Er, Digital employees at DECUS
    >were managers taking advantage of the fact that *they* sign for
    >travel and wanted to be able to take advantage to 'network' with 
    
    That would be a violation of PP&P, wouldn't it?
    
    ed
3070.13NPSS::BRANAMSteve, Network Product SupportMon May 16 1994 16:346
I realize this is a very personal decision, but I vote:

Keep the toilet paper.
Axe the soap.

Gotta have your priorities.
3070.14best think this throughDPDMAI::EYSTERAnother Prozac moment!Mon May 16 1994 17:015
    Thought I taught you better'n that, Steve!  You can always wash your
    appendages after any dirty deed with soap, but you can't get rid of the
    odor (from even an inadvertant slip) with toilet paper, now, can you?
    
    							Tex
3070.15DECWET::FARLEEInsufficient Virtual...um...er...Mon May 16 1994 17:315
Whoever said that we got a vote???

As I understand it, there's a committee being set up to study
Lavatory Efficiency Enhancement techniques.  Their results
are expected Q1FY95...
3070.16STOHUB::SLBLUZ::BROCKUSI'm the NRA!Mon May 16 1994 17:558
>>As I understand it, there's a committee being set up to study
>>Lavatory Efficiency Enhancement techniques.  Their results
>>are expected Q1FY95...

Acronymically, wouldn't that be the Lavatory Optimisation Organization?

JPB

3070.17generate revenue is another wayNYOS01::JAUNGMon May 16 1994 18:073
    Forget about the vote, toilet paper, soap .. to save the cost.  If we 
    are doing the same way as Singapore that $500.00 fine for not flushing 
    the toilet we may be very profitable!
3070.18???SWAM1::KIRBY_KRMon May 16 1994 18:362
    How about making the toilets PAY TOILETS to cover the expense of the 
    soap and paper?
3070.19SCCAT::SHERRILLMon May 16 1994 19:183
    
    I hope they put change machines in the restrooms then. It would be 
    a real pain to run around the office and ask for change.  
3070.20A good ideaEVMS::GODDARDLayoffs: Just say NoMon May 16 1994 19:2710
Re pay toilets

This could be good news for nonrevenue generating groups that are trying
to justify their existance. They could claim the monies from the proceeds
gained from use of said pay toilets. However youd invariably have the
odd manager overtaken by greed whod not properly stock the restrooms in
an attempt to make the bottom line look better....usually occuring near the end
of the quarter. Then again if corporate caught wind of it theyd probably grab
the $$$ for themselves by forming an internal pay toilet business unit (IPTBU).
 
3070.21AXEL::FOLEYRebel without a ClueMon May 16 1994 19:458



	Sounds like the making of yet another VP (with mandatory staff 
	positions!) position.

							mike
3070.22"AFBS" Automatic Facilities Billing SystemMCCOVY::RABBI::LIFLANDMon May 16 1994 19:4728
	Forget coin operated toilets.

	Lets go leading edge technology.
	KEYCARD entry in all restrooms. The readers
	could then send the badge numbers to a central
	(or distributed) processing center where
	It would not only collect data for billing
	purposes but could also inform your manager
	as to your where abouts. In the event that you
	make too many visits/hour (s)he could restrict
	your access. (this would make a good civil rights
	case). Finally the statistics gathered would
	assist in the optimization of the restroom cleaning 
	schedule and the reallocation of available unused
	space.

	Just think, how many jobs we may be able to
	save by putting the engineers and programmers
	to work developing such a system. We might even
	be able to sell a few. I can just see our new
	ad line "DIGITAL HAS TO GO NOW". We might even
	be able to answer the age old question "Do women
	really spend more time in bathroom...".

	!!! Ok, I may be getting carried away but don't
	be suprised if a senior manager picks up the 
	idea.
3070.23Weed carefully, ReadhopperDPDMAI::EYSTERAnother Prozac moment!Mon May 16 1994 20:2918
    OK, Goddard.  You're the type that works crossword puzzles, aren't you?
    For those of us who didn't read between the perforations, so to speak...
    
>This could be good news for nonrevenue generating groups that are trying
>to justify their existance. They could claim the monies from the proceeds
>gained from use of said pay toilets. However youd invariably have the
>odd manager overtaken by greed whod not properly stock the restrooms in
>an attempt to make the bottom line look better....usually occuring near the end
           ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^                              ^^^
>of the quarter. Then again if corporate caught wind of it theyd probably grab
^^^^^^^^^^^^^^             ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
>the $$$ for themselves by forming an internal pay toilet business unit (IPTBU).
    
      Phew!  Let me get my second wind!  Some of these are real stinkers, I
      tell ya!  But I'm not one to let something pass me, no, Sir!  Let me
      wipe this grin off my...face, and get back to work.
      
      							Tex
3070.24More lay-offs in the FieldSIERAS::MCCLUSKYMon May 16 1994 21:438
    re: .22  I heard that both Cirrus and Plus have been negotiating to
    pick the POS portion of the keycard idea.  Since we will be on line for
    the total, we can handle the financial transaction at the same time, if
    we make the keycard access the debit card (No credit facilities).
    
    This will replace the attendants we have here in the field, and I hate
    having to tip a $1.00 just to have them say "Good morning" and hand me a
    hot towel.  
3070.25R.E. .19FUTURS::CROSSLEYFor internal use onlyTue May 17 1994 08:168
    
    >> ...................................................... It would be 
    >> a real pain to run around the office and ask for change.  
    
    
    Some people have been doing that around here for ages.
    
    Ian.
3070.26Toilet papaer wars!NEWVAX::MZARUDZKII AXPed it, and it is thinking...Tue May 17 1994 11:3120
    
     All this talk of toilet paper brings back past memories of cost
    cutting ideas in a land far away and a company that did not understand
    culture. You see, we were contracted to provide services. Those
    services naturally had some poddy paper associated with them. Well....
    seems we were putting in far to many cost overruns on the services.
     A war escalated, first came post-its, then office supplies, then cars,
    then bodies, and finally toilet paper. Toilet paper actually made the
    list due to the cultural differences we were experiencing.
    
     Those of us that were left defiantly paraded around the offices and
    complexes with personal toilet paper hung around our necks. Needless to
    say this provided the right kind of message to our management, and our
    hosts.
    
     Now if we could only drum up such a message from the field. I
    personally liked the eight-paks across my back. Made it unnecessary
    to carry a sleeping bag.
    
    -Mike Z.
3070.27Pay toilet revenue enhancement idea!!ASDG::SBILLTue May 17 1994 12:017
    
    Hey, I got an idea that'll really boost profits on the pay-toilet
    idea!! They could spike the coffee in the cafeteria with laxatives!!
    
    (good thing I don't drink coffee!!)
    
    Steve B.
3070.28Rationing is underway in AtlantaMIMS::THOMPSON_AElvis has left the auditoriumTue May 17 1994 12:5517
    Overheard in the toilet this morning...
    
    "Hey buddy, would you pass me the extra roll of toilet paper please?"
    
    A>  "Sorry, not only is there no extra roll, I'm not so sure there's
    even enough for me."
    
    (after a brief pause).. "Got a newspaper over there that I can use?"
    
    A> "Sorry, no newspaper"
    
    (again a brief pause)...
    "Got an envelope to spare?"
    
    A> " Sorry, but no envelope"
    
    "Got two fives for a ten?"
3070.29I sell clean corncobs....BIGQ::GARDNERjustme....jacquiTue May 17 1994 13:3638

    re: .28

    You forgot to ask for the SEARS catalog!


    Sign of the times:

    	

    		_________________________________________
    		|					|***
    		|					|
    		|	OUT 	OF	ORDER		|
    		|					|
    		|					|
    		|	WAITING FOR PARTS		|
    		|					|
    		|					|
    		-----------------------------------------
    			(written on paper toweling)
    			    affixed to potty door
    				HLO facility


    	




					
    *** been there for the last several months!
    		
    	

    This is real life folks!  At least they provide a couch to sit on
    in order for gravity not to kick in while waiting.
3070.30SNELL::ROBERTSlive free or re-elect SwettTue May 17 1994 14:383
    
    They could install parking meters at all the sites.  Every little bit
    helps ya know.
3070.31He will be missed...DPDMAI::EYSTERAnother Prozac moment!Tue May 17 1994 15:4914
    I've just received what I can only call extremely sad news. 
    Apparently, Jim Goddard's stand on the DEC 131313 utensil ordering and
    toilet reforms was not popular with management and he has been given
    his marching papers.  He said his manager actually tore up copies of
    both DEC 131313 AND ISO 90001 in front of him, laughing, during the
    exit interview.
    
    We shall miss Jim's input on cafeterias and output in toilets all over
    the world.  Please, fellow Deccies, the next time you pluck a fork from
    a utensil holder in the cafeteria or pass a piece of Charmin through
    the Hidden Valley, observe a moment of silence for Jim.  A good man,
    who did his damndest to effect meaningul change.
    
    							Tex
3070.33MKO2 soldAWECIM::MCMAHONLiving in the owe-zoneTue May 17 1994 20:374
    Well, I just heard from a former co-worker that MKO2 has been sold.
    They will be moving the remaining people into building 1. The person
    who relayed this info was just tapped, as are apparently a sizable
    population of MKO2.
3070.34Hewlett Packard earningsMSBCS::BROWN_LTue May 17 1994 20:467
    More "good" news: Hewlett Packard announced earnings today...
    and had **$6.25B** in revenue, almost double of Digital's
    $3.25B in revenue this last quarter.  Assuming that Hewlett
    Packard remains as the "benchmark" for revenue per employee,
    and HP didn't add too many employees this last quarter, that
    doesn't bode well for employment here (unless our revenue
    increases substantially).  kb
3070.35Could happenTOOK::MORRISONBob M. LKG1-3/A11 226-7570Tue May 17 1994 22:326
>    They could install parking meters at all the sites.  Every little bit
>    helps ya know.

  Don't laugh. Some people (outside Digital) have seriously proposed this as
a way to encourage use of carpools and public transport. Yes, they do make
8-hour parking meters.
3070.36:^)STRATA::JOERILEYLegalize FreedomWed May 18 1994 04:4812
    RE:.29

    >This is real life folks!  At least they provide a couch to sit on
    >in order for gravity not to kick in while waiting.

    	This may be so in the ladies rooms, the men at DEC are expected to
    either tough it out or tie a knot in it.  :^) No couches for the guys 
    but now I at least I understand why women spend 3 to 4 times longer in 
    the ladies room than men.  There wouldn't be a magazine rack next to that
    couch would there? :^)

    Joe
3070.37Remember what Ken said: SELL!!!STAR::DIPIRROWed May 18 1994 17:176
    	If we keep chasing HP's revenue per employee number using our
    current technique of simply cutting costs and praying that revenues
    remain steady, we may need to get down to 1 or 2 people.
    	It appears that Fidelity is buying all the Digital buildings and
    hiring like mad. I'm hoping I can just stay in the same office and just
    start working for Fidelity at some point.
3070.38MKO2 (and MRO4) STILL DIGITAL PROPERTIESABACUS::CARLTONWed May 18 1994 19:0910
    Re: .33, not true.  MKO2 has not been sold.  It is "available" in the
    sense that any reaonable/attractive offers to buy or lease it will be
    "entertained", but none have been made and/or accepted to date.  I am
    plugged into the Site Mgt. committee and Site Services folks here and
    am aware that they are considering all possibilities to get more
    efficient with space.  
    
    Also, just saw a memo specifically shooting down this building sold
    rumor and the MRO4 one.  Perhaps things are in negotiation, but nothing
    has been consumated...
3070.39"Yup"BWICHD::SILLIKERCrocodile sandwich-make it snappyThu May 19 1994 17:444
    .38 - Hi Jack!  Yup, saw same official memo about the rumours of
    "selling" MRO4 and MKO2 being just that, rumours.
    
    Of course, in these crazy times, anything could happen.
3070.40MKO2 SOLD RUMOR?MRKTNG::L_MOORELinda Moore @MKOMon May 23 1994 16:506
    Hi,
    
    Just heard MKO2 will be sold (to Microsoft?). Any backup to this rumor?
    
    Linda
    
3070.41too good to be trueCVG::THOMPSONAn AlphaGeneration NoterMon May 23 1994 17:003
    Gee, I hope it's true. And that they're hiring.
    
    		Alfred
3070.42"I think that's old news"BWICHD::SILLIKERCrocodile sandwich-make it snappyMon May 23 1994 17:035
    Already being discussed in 3070.
    
    Cheers,
    
    /m
3070.43AKOCOA::BBARRYLaudabamusne RexMon May 23 1994 17:074
    <- hard to relate the pay toilets and parking meters discussions
    to MKO2 being sold to MS...
    
    /Bob<
3070.44Is recess over??AKOCOA::OUELLETTEMon May 23 1994 17:149
    
    
    	He's got a point...
    
    
    	Like we all have time to read about pay toilets and parking meters,
        sporks and such....
    
    	But I guess the way it's looking, many do.... 
3070.45WWDST1::MGILBERTEducation Reform starts at home....Mon May 23 1994 17:494
I saw a memo last week from someone in property
management that basically said the rumors about MKO and
MRO were untrue at this time.