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Technology Stocks : Nortel Networks (NT)
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To: OrionX who wrote (6409)8/3/2000 12:21:53 PM
From: RetiredNow  Read Replies (1) of 14638
 
You know, I think there is a misconception on this thread as to what IT really does. IT does not manage printers and networks, etc. IT builds web services and sites that help employees throughout the company be more productive. For instance, instead of having a whole staff of people manning the phones to listen to customers complain and then a whole other staff to resolve those disputes, we can create a web dispute submission application. Then we save money on those people who would otherwise have to man the phones. This is one example of many, many applications that the web can be used for.

So when a company like Nortel outsources this group, they are outsourcing the folks that need to work side by side with the business employees within the company, in order to make them as efficient as possible. Outsourcing this talent, means they don't want to focus on keeping the business machine well oiled. Why do all of you think Cisco is so lean and mean? It's not a miracle. It's Cisco's judicious and heavy investment in webifying all their internal business processes. This is how they have the highest revenue per employee of any of the networking companies. They leverage their employees throught the use of technology.

If any of you don't get this, then you aren't really plugged in to what the Internet really can do. The public Internet is only the tip of the iceberg. The companies that use the Internet in their daily existence are the ones that are building sustainable competitive advantage.
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