Thread regarding Oracle Corp. layoffs

EWC Memo - Significant Reduction in Force.

Dear colleagues,

on January 27th 2020 the European Works Council (EWC) has been notified by European management that they are planning transnational changes that might lead to a significant reduction in force.

These kinds of plans require the involvement of the EWC through an information and consultation meeting. Before and during this meeting the EWC must be informed about the planned changes and has the opportunity to consult on those changes. For this purpose a conference call took place on February 10th.

We would like to inform you about the content and outcome of this call as follows:

Oracle conducted a series of business reviews at the end of Q2 FY20 and decided that due to the development of the business a number of measures are necessary to adapt the spending of the company to the revenue situation. You all have already seen the significant reduction on travel expenses which forms part of this program.

The EWC was introduced to a number of plans to severely reduce the headcount in a number of organizations, in some cases accompanied by structural changes. In aggregate Oracle intends to remove up to 920 roles while approximately 200 new positions will be created. The EWC has asked on various occasions on the affected European countries and the number of affected headcounts per country. However, Central Management has only supplied the list of affected countries. These are Austria, Belgium, Bulgaria, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Luxemburg, Netherlands, Norway, Poland, Portugal, Romania, Spain, Sweden and UK. Not affected are Cyprus, Croatia, Malta, Slovakia and Slovenia.

Please be aware, that your country might not face the same percentage of redundancies as outlined below or might not be affected for each line of business that’s presented here in your country.

  • EMEA CSM, SaaS

The CSM SaaS organization will hand over the handling of Service Requests to the Support organization, increase the number of customers per CSM, raise the ARR thresholds, increase the number of CSMs per manager and change the ratio between Hub and Field employees. The organization plans to reduce the headcount by approximately 20%.

  • EMEA TECH PreSales & CSM

Management introduced a plan to merge the TECH Presales and CSM organizations into one new organization named Technical Cloud Customer Experience Team. Within this new organization there will be four different roles: Cloud Experience Manager, Cloud Architect, Cloud Adoption Project Manager and Cloud Specialist. In addition to this organizational change, Oracle plans to reduce the headcount in this merged organization by 8%.

  • EMEA TECH Solution

The EWC was presented a plan to reduce the headcount of this organization by 14%, accompanied with some consolidation of teams.

  • EMEA Business Development Group

The Business Development Group which as of now covers CX, HCM, ERP, TECH and Systems will focus their activities on TECH and ERP and reduce them in the other areas. In addition all activities will be centralized in two of the existing hubs (Ireland & Egypt). This would lead to a headcount reduction of 30%.

  • Applications Oracle Digital Western Europe

Oracle plans to significantly change the Go-To-Market model for Application Sales in Western Europe. The current model has not given the results management was expecting. Therefore the EWC got presented the following plans:

For each of the three product pillars (HCM, CX, ERPM) a Mid-Market pillar will be set up. These groups will report into the WE Sales lead of the respective product pillar. For HCM and CX these will be Hub-based, for ERPM this will based in the field. This includes PreSales.
Oracle Digital Applications Western Europe will cease to exist. This will result in a headcount reduction of 500 roles (Sales and PreSales).
For the new Mid-Market groups there will be approximately 200 new positions (Sales and PreSales).
Autonomous Database

The ADR organization was just created this fiscal year. As the KPIs don’t reflect the expectations from management, Oracle decided to adjust the headcount to the current situation. This will lead to a reduction of headcount by approximately 28%. Management underlined that is still a very important building block of the strategy.

  • Alliances & Channel

A&C plans to simplify of the organization through the unification of the Go-To-Market for TECH, Systems and VADs. The focus will be on Mid-Market and Field implementations as it is today in the A&C SaaS organization. In addition the role of the Digital Partner Center will be strengthened. Along with these changes A&C aims to reduce the headcount by 35 roles.

  • Summary

The EWC put strong emphasis on the communication plans to the employees for these changes. Regarding Oracle Digital the EWC has been given the date of the planned communication to employees. This will start on Wednesday 4th of March. The EWC has not been given any details on communication plans for other lines of business. We do believe that only an early and open communication of the

planned changes and headcount reductions does treat the employees with the necessary respect and avoids rumors. Please be aware that local communication time and content may differ because of local legal requirements.

The EWC also discussed the need for more engagement on the topic of redeployment of impacted employees. We believe that Oracle should take a much more active role in this process. Management confirmed that they will support employees seeking for redeployment within Oracle.

While the EWC understands some of the reasons why Oracle has to adjust the plans to the current situation, we also do believe that the current situation results out of some strategic management decisions which had already been subject for debate at previous EWC meetings. The EWC regrets that Central Management had not taken the employee representatives´ feedback into account on those subjects in the past.

Source
Post ID: @uzd+13OV3PPH

by
| 24443 views | | 23 replies (last )
Post ID: @OP+13O3pmet

23 replies (most recent on top)

I do not think they will stop at this.

Realistically, corporate IT budgets are being frozen as we speak, a major recession is just starting.

It will get worse before it gets better.

by
|
Post ID: @5pmf+13O3pmet

LLG was leaving lots of traces about the Cloud farce.

Also, lots of EMEA top management was involved in diverse channel Stuffing and corruption issues.

EMEA EWC conversations with EMEA Management were also great.

by
|
Post ID: @3ucb+13O3pmet

No suprise at all! I remember standing in front of the crowd of CX Pre Sales in Malaga. And doing training how to win against Salesforce!

The problem?

When I asked the room (20 -30 people) If they want to know

  1. Why Salesforce is overselling CX in 9/1 they didn't even want to hear it!
  2. One guy started shouted on me
  3. They complained I dare to disagree with official strategy

Outcome?

I decided to leave Oracle and return to Salesforce because Oracle CX in Europe was travelling circus not a sales organisation!

They measured sales by having “discussion” with the customer (in other words customer was willing to see hundreds PowerPoint slides)

But of course as everyone know CX didn’t need to sell number was always comfortably hidden in Apps West Europe!

Now someone start to ask why Salesforce outsell CX 9/1

No surprise

by
|
Post ID: @2qkz+13O3pmet

So people keep talking about LLG in EMEA being corrupt. Any examples / war stories to share?

Also, he has been sidelined in favour of another French guy, Philippe Matthieu.

He’s the one with the mandate to reduce EMEA HC.

Also, that AB is still in the apps business is laughable, “Go to your customers, meet them often and listen to them. It will accelerate your deals!”

Imagine that! Relationships, listening and delivering on customer’s expectations can work.

Va t’faire enculé AB. Et nique ta mère LLG.

by
|
Post ID: @1yzt+13O3pmet

Being completely serious: Corona will get rid of some of the “problem”. With 135k employees, a few thousand dead are expected.

Lots of tech companies have already mandated home office and cancelled large meetings/events across. Not O (with few exceptions).

by
|
Post ID: @1fgl+13O3pmet

Which All Hands were you on on? I did not hear these words at all (you brought that on yourself, etc)

by
|
Post ID: @1bol+13O3pmet

What about Systems LOB RIFs?

by
|
Post ID: @1vup+13O3pmet

I imagine this is not the whole picture. 920 is not that many considering ORACLE has ~135k active employees. Anyone knows, or heard of other areas or countries being impacted by this?

by
|
Post ID: @1udi+13O3pmet

@1zbn+13O3pmet, completely spot on-

by
|
Post ID: @1sdh+13O3pmet

to: Post ID: @1jtu+13O3pmet

These countries have better laws to protect workers which include requiring better notice of what is happening. Unless Bernie wins don't expect that to happen in the USA

by
|
Post ID: @1pgz+13O3pmet

I believe Loic LG needs to "downsize" by 25%. Given his remit -ECEMEA and APAC it will be the "high cost" western countries that bear the brunt of it. Oracle has 5000 (approx) emps in Bucharest, Romania. I'd say they will be untouched.

It's a shame the front end of the org is taking the brunt of this - it's the backend making lousy, badly-designed products, uncompetitve offerins, acquiring products (customers) left right and center, confusing market message and then letting the licence police loose to wrangle money out of the whole friggin' mess is the real issue.

I'm ex-Oracle. I couldn't give a fupp about them now.

by
|
Post ID: @1foy+13O3pmet

The industry and the Oracle customers should know the real reasons of the ongoing decline (of the Oracle empire) and these resulting headcount reductions ...

These reductions and reorgs will NOT bring about any change at all, if the Mexican army style top management remains focused only on their own bonus, instead of the customer!

Year long destructive sales tactics have been going on with:
(-) selling years of fake cloud and other fake deals re-packaging licenses over and over (think of ISV,PAH, embedded,BPS,...), that are the result of massive fake TCO and ROI powerpoints and excels..
(-) pushing-down-the-throat of the customers multi$ ULA or PULA's based on "threats to do an audit", resulting in scorched earth that would make Napoleon jealous.
(-) selling totally empty products (with slogans only) like ADB) instead of focusing on real customer solutions that provide roi,
(-) pushing immature and non-functioning ExaCC [email protected] instead of the excellent Exa On-Prem (8M!)
Oracle's internal sales processes are rotten to the core, and demotivating its staff by
(-) reducing commission payout to 0 or a minimum instead of helping to sell to customers
(-) blowing up pipe line to create mist to the upper levels, and when the mist fades blame it on the sales guy.
(-) breaking up territories for their own "divide and concur".
Anyone that tries to cry "the emperor has no clothes" gets branded a negative and is demotivated out or fired.
Oracle's Management is only busy with themselves and guilty of
(-) creating massive, non-communicating power islands that compete internally (Field vs Digital/ODA vs Exa/NetSuite vs Fusion/Cloud vs On-Prem) iso with the competition
(-) moving all functions to so-called "hubs", and at the same time sub-dividing virtually all processes into a too low granular components, resulting in deadlock, gridlock,
(-) destroying the proud and experienced local product support organisation, replacing it by websites, a remote hub only focused on closing tickets. Quality has degraded to a level that virtually all customers log priority 1 tickets, given 2,3 and 4 are lost in a blob of quick excuses.
(-) impossible T&C handling linked to extreme complex approval matrices oriented at over-controling employees that are handled as criminals by default. All that leading to the removal of any customer flexibility.

and the list is by far exhaustive. It could go on and on and on ...

Local country (sales) management is as guilty as the sales hierarchy above them, up to the highest C-levels, as they brown-nose themselves into higher M-levels and deny reality - down right negationism ...
Local supporting functions, such as HR, finance, legal, support, business services all join the sales-initiated destruction.
Look at what happened to HP 10 years ago ... the parallel is striking ...

Fixes for the above is the real reorganisation that should happen, and only remediation of the above can put Oracle back on the right track for a successful future...

by
|
Post ID: @1zbn+13O3pmet

Sales was never the problem. The Oracle development mafia is the problem. Clueless and corrupt.

by
|
Post ID: @1fao+13O3pmet

Oracle is planning to layoff what might amount to 1,300 workers in several of its European offices, according to a report published Wednesday in The Irish Times.

https://www.crn.com/news/cloud/report-more-than-1-000-oracle-layoffs-likely-to-hit-europe

by
|
Post ID: @1mxn+13O3pmet

Just in time for St Patrick's Day! If the CoronaVirus doesn't get you, the boomers at the helm of MV Motormouth Larry will!

Here's the latest from EMEA: https://www.irishtimes.com/business/technology/fears-for-dublin-jobs-as-oracle-believed-to-be-cutting-1-300-roles-1.4192769

“As our cloud business grows, we will continually balance our resources and restructure our teams to help ensure we have the right people delivering the best cloud products to our customers around the world,” a spokeswoman said."

Translation:

In Oracle’s second quarter, revenue from cloud and on-premise licence business fell 7 per cent to $1.13 billion (€1.01 billion).

by
|
Post ID: @1gst+13O3pmet

Yeah, better screenshot this. I’d like to ask why the non-US employees get so much more information on what is happening. In the US you are a mushroom. Kept in the dark and fed bullsh|t

by
|
Post ID: @1jtu+13O3pmet

Just the beginning. Look at the trends. Cloud is the future and Oracle cloud barely registers and the autonomous database is simply invisible.

https://trends.google.com/trends/explore?q=oracle%20cloud,aws,azure,autonomous%20database,google%20cloud

After spending years fleecing customers for VMware implementations, what CIO would dare bring anything with the word Oracle on it anywhere near the cloud with its potentially unlimited number of cpu's? Anyone in IT knows you have to stick Oracle on its own tightly controlled servers on ancient tech otherwise the license costs will bankrupt you. And when those Oracle servers are all that is left in your inhouse datacentre as everything else is in the cloud, you eventually find a way to turn them off no matter how business critical.

I see the CIO's of Europe are starting to collectively lobby the EU commission to protect them from Oracle. These are the customers Oracle sales is trying to entice onto Oracle cloud when they have all been burnt in the past and where they now have clear alternatives. No wonder sales is not performing!

https://fd.nl/ondernemen/1319877/the-stranglehold-of-the-software-giants

The future job market is in migrating workloads off Oracle. Lucrative business with lots of eager customers.

by
|
Post ID: @sgi+13O3pmet

@vpa+13O3pmet, why do you say so?

by
|
Post ID: @nex+13O3pmet

Who’s “All Hands” call are you referring to?

by
|
Post ID: @qxc+13O3pmet

I was on the All Hands. Tone was just absolutely shocking, “You people weren’t productive enough and didn’t sell so we have no choice. You brought this on yourselves”.

No coherent go to market strategy in most lines of business, infighting over who owns an account rather than equitable account alignment across the whole business (field and inside sales), SE resource only for renewal accounts, virtually no market awareness, no attempt to differentiate vs more nimble competitors, punitive customer audits, no attempt to build equity in customer accounts, no CSM support, impossible to contract with, plenty of people with big titles who do nothing than shout from the sidelines and add no value.

And then to say it is the front line staff who failed.

by
|
Post ID: @plp+13O3pmet

Oracle HR and C&E requesting from this site to remove posts with details on the Org's that will be eliminated

by
|
Post ID: @vpa+13O3pmet

Winning strategy = fire 920 people

  • Eliminate EMEA PaaS/IaaS CSMs (the opposite of every other cloud provider on the planet)
  • Eliminate CX and HCM Business Development teams; centralize everyone else in Ireland and Egypt
  • Reduce EMEA SaaS CSMs (the opposite of every other cloud provider on the planet)
  • Reduce autonomous database sales
  • Eliminate OD Apps Western Europe
  • Reorg alliances and channels into one big happy family

Hire 200 Mid-Market Sales people in hubs

by
|
Post ID: @yrq+13O3pmet

hard to read.
can someone summarize.

by
|
Post ID: @uyk+13O3pmet

Post a reply

: