Cisco has been around for quite some time now bringing networking oriented solutions to the world, not only that Cisco has also made its mark when it comes to offering support for the wireless systems as well. But amid these economic crises, Cisco is forced to initiate personnel layoffs regarding slower than usual sales and abysmal returns. The potential catalysts that led to such devastation are usually traded wars, macroeconomic pressure but more pressingly the COVID-19 Novel Coronavirus.
How Cisco has been Running the Show all These Years?
Before coronavirus and when the world's economy was strong, technology only started to get innovative, and other infrastructure-based changes were in the air the networking solutions were in exponential demand and Cisco was the only company running the show.
As technologists carried on with the modernization of their infrastructure they were jolted down by various obstacles such as legacy based infrastructure, poor system integration, and poorly skilled personnel. There was a demand to deliver new applications or the creation of more efficient IT environments, Cisco covered the consumer market by developing sustainable and faster modes of networking. The introduction of wireless networking systems and a customizable infrastructure were the layouts of the bigger plan that Cisco rolled out into the market.
So, the bottom line is that Cisco had a great run shaping the networking based requirements of the modern world and in the process did make a few leaps some proved to be marvelous successes while others not so much. This, in a nutshell, corresponds to the incredible and successful milestones that Cisco was able to achieve over the years and it will continue to do so in the future but not with intensive labor and workforce that was already working with Cisco before coronavirus shook our world. There is more to these layoffs and the future of networking as perceived by Cisco networking in the upcoming years.
Cisco: the Layoffs Amid Coronavirus
A spokesperson from Cisco filled in the media about the situation within Cisco international that is developing about layoffs. According to them, it is still a consistent and ongoing process and nothing has been made final yet. Cisco is playing it smart and very intelligently even when the economy is in the ruins and the overall situation doesn't seem to get better anytime soon. They have started to analyze their current resources and expenses while aligning them to meet the current requirements of the customers and partners.
Despite the fact that the company would have to fire various employees and close down a few departments the overall approach of Cisco is still focused on innovation and how through customization the company can go on shaping the future of digital businesses with less manual input and more help from technology.
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Cisco seems to be focusing on the development of the digital future without intensive manual labor working for them as lockdown due to coronavirus already revealed that much of the work can be done online or using software and tools.
So, the current focus of the company would be to implement the same strategy as it continues to move forward. Although the interview of the spokesperson with the media was practically lengthy no details about how many layoffs are expected to be done by Cisco along with the business areas that would be affected were shared. According to an estimate Cisco has almost 75000 employees working for them globally, serving different sections of the business.
Many tech and digital companies are already facing the ill effects of the coronavirus pandemic and have taken a heavy blow both financially and morally, so the idea of uprising innovation and customization would remain bleak this year but there are companies like Cisco who are willing to bounce back stronger. Stock prices of the tech companies have been in a constant plummet since the coronavirus outbreak and it is expected to remain the same until the focus is once again shifted towards building better technological assets as a process of recovering from the ill effects of the outbreak.
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Dell, Microsoft, and Apple have sustained dedicated losses through and through not only in the stock markets but in other various global markets. With the production of new items next to nothing due to serious industrial halt in China, there is a scarcity of both technology and the equipment, without which nothing much can be done. Unless the world bounces back terrifically to combat this macroeconomic depression, things are never going back to normal.
Cisco: Approaching the Future with a Changed Approach
As for Cisco, the company has also faced about 4% decline in revenue this very year which is another pressing reason to justify the layoffs the company is about to initiate. Much internal news about the finical situations of the company and the kickbacks that it received points out that the blow has been more severe than Cisco anticipated. About 480 employees were laid off by Cisco in August in California followed by a chain reaction of the same nature exploding in the rest of the world, where other employees of the Cisco working for various sections or departments of the business were laid off.
Only in November did the tech giant announced a restructuring which has been designed and worked on by various professionals working at Cisco. According to this restructuring, the company is going to better address how the customers are buying its networking and cloud-based products and how the overall experience can be enhanced too. The restructure did define some leadership changes that are going to take place in the near future at Cisco and a combination of some of the business units such as its enterprise networking and data center segments.
If asked, Cisco played out beautifully in this economic uncertainty, bringing two different segments who basically serve the same purpose together and then laying off the extra employees whose jobs and roles can be played out perfectly by the others.
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