https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12206907
6 replies (most recent on top)
Repost from another thread. @XKOdUn6-3amm makes a good point.
As a follow-up to my comments below, when you think about the future of Xerox, you must think about it from the perspective of Icahn/Visentin who are focused on selling Xerox to the highest bidder.
Offshoring jobs have nothing to do with costs, although it is a nice side benefit. The goal is to quickly convert these jobs to contractor positions. Why? Because it makes it cleaner for whoever buys the company to take over all the back-office administrative functions in one fell swoop.
Let's say HP purchases Xerox. HP has a backend administrative support system of their own, and they want to leverage those synergies to maximize profit. Firing US workers is messy and challenging. But, if you have offshore contract workers, all it takes is a phone call and that part of the process is done. This adds value to Xerox/Icahn.
What does HP want? Xerox's MPS contracts, XBS Sales Reps and access to the A3 SMB market. What doesn't it want? Bloated backend administrative supports structures, archaic IT systems, etc.
Everything is being done for a purpose: Sell to HP (or FujiXerox as plan B at a higher price than what was offered last year)
Again.. why do they keep investing in offshore? Is there anymore business we can lose..
NZ and AU FX where transferred under control of Singapore. From what I hear it s---s. Completely different markets and Singapore doesn't adapt the products for it. No communication. No pay raises. A maze of difficulty to find internal support. I also hear the new FX management, just like the old, hides things from Fuji hoping to fix issues before they are realized.
ONE more scandal.. ain’t nothing for this company.. considering the big screw ups like the fraude issue previously this week. But I mean with all this going on, as you mention, not sure if they understand the magnitude of their screw ups will eventually lead them to nothing. You only get a few shots in life.
This would count as 48 engineers throwing a tantrum. It has no bearing on what is happening with Xerox in the US/Europe.
Xerox still has a 25% stake in Fuji Xerox. The $500M accounting scandal had a much larger impact on Xerox ($125M) and any further large scandals would have an impact on Xerox. But, 48 engineers complaining that they aren't getting a big enough raise? No, I don't think the Xerox boys are too worried about it.