Lack of executive execution.

IBM’s problems can be boiled down to one fundamental issue. Lack of executive execution. IBM executives always tell Wall Street what they want to hear (streamlining, spin-offs, efficiency, profit, revenue growth, etc etc etc) BUT IBM can’t execute a plan for beans.

Even when IBM spends millions on consultants who lay a plan out as to what to do, the quarterback can’t complete the pass. What’s the problem? IBM does not hold their executives responsible. It’s time for AK to play hardball. Put a statement out that 50% of all executive positions will be eliminated by a certain date. Make the judgement criteria execution of stated plans as they relate to profit.

Want to bet we see results? Gerstner hired in, in April By Dec of the same year the executive ranks were 50%. (13 levels down to 7) It’s time to hold the executives accountable and demand results

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https://seekingalpha.com/article/4451811-ibm-stock-5-years

All the graphs you wish were going up, are going down. And vice-versa. Not good. Splitting the company is just going to add more complexity - basically doubling the number of management layers for one half to get something done by the other half.

Let the games begin

https://seekingalpha.com/article/4451811-ibm-stock-5-years

You make it to Director or higher levels, you're automatically untouchable and a legacy. Even if you're unqualified. (i.e. ex-finance or HR personnel in charge of Security Ops).

Most leaders get a 6 month window to make fundamental changes to almost any organization, before their honeymoon is over. AK’s window has passed and no matter what he tells the street, Wall Street doesn’t believe him. How do we know IBM is dead money with a 5% yield. That doesn’t mean it will stop farming the branch. In fact they have doubled down on that strategy, but do you see any growth initiatives coming from the current executive team? NOPE Just same ole same ole thus Wall Street has valued it accordingly and growth isn’t baked into their model. Dividend is. NOTE GTS spin-off is based on the same play. (dividend play baked into a commodity services company loaded up with debt and shrinking) Wall Street has moved on to other innovative companies who have demonstrated growth. The best expression for IBM right now is same play, different day. IBM’s execution is just way too slow with almost no growth innovation being demonstrated. Until Wall Street sees some fundamental management go to market change impacting growth, it will wallow.

Never happen in IBM!!! Executives think their sh-t doesn’t stink!!! They believe everything their Id--t VPs tell them…like their sh-t doesn’t stink!!

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Lack of executive execution.

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