Digital Equipment Corp executives will this week float another of its frequent reorganisation plans, PC Week believes – and it will be a stunner for the demoralised sales force, since the paper hears that it will suffer an eviscerating lay-off. The plan will be presented to the board by Enrico Pesatori, head of DEC’s Systems […]
Digital Equipment Corp executives will this week float another of its frequent reorganisation plans, PC Week believes – and it will be a stunner for the demoralised sales force, since the paper hears that it will suffer an eviscerating lay-off. The plan will be presented to the board by Enrico Pesatori, head of DEC’s Systems Business Unit and marketing and sales organisation, rather than chairman Robert Palmer, and according to the trade weekly calls for the creation of a holding company consisting of five business units, covering storage, multi-vendor services, personal computers, peripherals, and supplies and consulting. The plan, which still requires board approval, would involve a big switch away from direct sales, leading to the firing of most of DEC’s current sales force and associated administrative workers. The immediate goal is said to be to lay off 7,000 employees, with another 20,000 going next year. The multivendor services group will be responsible for the VAX and Alpha systems business and will concentrate on high-end sales to specific Fortune 500 customers, the insider sources told the paper.
