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Technology Stocks : Dell Technologies Inc.
DELL 127.68-4.5%11:33 AM EST

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To: Chuzzlewit who wrote (49326)7/1/1998 11:17:00 AM
From: rudedog  Read Replies (1) of 176387
 
Chuz -
That's the arrogance of large, entrenched management.

I think you are exactly right here. Especially in North America, the top management had developed the channel-stuffing strategy (which allowed them to 'make the numbers' independent of the real sales performance), the 'shelf space' strategy (and the more I dig into that, the more I understand how easy it would be to make things look a lot rosier than they are) and the 'high volume' sub-1K strategy. As you say these were all high risk long term, since they mask the real performance of the company and delay or change the feedback that managers need to stay in touch with customers.

The huge turmoil in the North American sales division, where basically the top 3 layers of management are completely different than they were at the end of 1997, indicates the displeasure of top management with the 'old guard' approach. We'll see if they have the energy to root out the old practices.
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