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Technology Stocks : ARC (ALRC)-A revamped and transformed web-centric IT company
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To: Tom Hua who wrote (34)6/13/2000 4:53:00 PM
From: WhatsUpWithThat  Read Replies (1) of 87
 
Eliminate hundreds of small accounts

There's nothing more powerful than management who aren't afraid to turn away bad business. It's too easy to get so caught up chasing revenues you start missing on the important things...like margin. Good move.

grossing bill/pay of just 1.2

Yikes! I run IT for an engineering firm in Canada, where multiples are so thin it's hard for other types of consultants to imagine...and even WE make better than 1.2! See above.

Instead of having 52 branch managers
Not only do you lose 52 salaries/expenses, more importantly you lose 52 silo effects within the company by getting out of the branch mentality...as long as they successfully empower the recruiters so that you don't have 3 regional directors each micro-managing too broad a horizontal group. Curiosity: are the regional directors new to the org, or were they incumbents?

I notice such mundane items as help desk among their services. You can make great money on these...or NO money if you don't have super tight control, since they're typically a per-seat price. Are they reducing their work in this area specifically, or rather trying more to expand the high-value high-margin work with their new model? Would seem to me the help desk work is too commodity to remain attactive?

Thks for the dialogue.
WUWT
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