5 4, “Big Blue” IBM has announced a global Layoffs From 10,000 to 1.3 million restructuring plan. Followed, UT Starcom, Ericsson, Kyocera, Olympus have in the 6, 7, 10, announced the layoffs, which shock the world one which will affect the industry giant is cutting costs through layoffs and phase transition or to give up some old business.
Industry that, when the world’s top electronics companies have to change the traditional manufacturing thinking, China’s electronics companies are still immersed in the “world factory” where unable to extricate themselves when conducting international mergers and acquisitions, the docking is still the traditional manufacturing industries.
Dismissing staff was underway Following year the United States Oracle, Siemens, Pioneer massive layoffs in Japan, after another round of layoffs coming climax.
The face of poor first quarter operating results, IBM5 4 month announced a lay off 10,000 to 1.3 million restructuring plan. According to IBM’s plans, layoffs from the second quarter, Germany, Britain, Italy and France will bear the brunt of the business sector, and consulting departments of the Government expects most of the layoffs will take up places. IBM said the company plans to abolish some of these countries, middle management and replace it with formation of a number of multinational management team, hopes to improve the management of a more flat areas in Europe and other operational efficiencies, and enhance direct contact with customers.
Enjoy the “Little Smart King,” said UT Starcom 6, confirmed that 1,400 workers laid off in the world. This opens the UT Starcom largest one ever layoffs at the same time, the company decided to expand the field of supply chain and IT outsourcing services in order to achieve reduction of 40 million U.S. dollars per quarter, operating expenses of the target.
Telecommunications giant Ericsson said on the 7th, due to unfavorable sales in the next 6-9 months, they plan to close down the San Diego area in the United States
CDMA Headquarters. Ericsson spokesman said the department currently employs almost 300 people there, but its implementation will lead to the dismissal of up to 250 employees, and the rest of those who will be assigned to Ericsson’s other departments. Ericsson said the CDMA mobile system business unit to streamline the agency’s program is designed to further improve operational efficiency.
Ericsson announced layoffs in the same day, the Japanese electronics components and Mobile Manufacturer Kyocera has also announced that the CDMA in North America, will mobile phone manufacturing outsourcing, and in its mobile phone unit, cut 1,700 employees, in order to reverse the cell phone sector losses.
Japanese camera maker Olympus company also released news on the 10th, as carried out to restore profitability as part of a restructuring plan, Olympus cameras will be reduced by a loss of 4000 jobs, equivalent to the 30% of the total number of department employees. Olympus side said the job cuts will mainly focus on the activities of the two cameras at the China plant.
Olympus on May 9 announced its first loss of its annual report, said it was mainly by
Digital Cameras Fierce price competition. Olympus plans to lay off by the end of September to complete the task, when its total number of imaging department staff was reduced from the current 14,000 to 10,000 people.
Facing the pains of the global electronics industry Although various companies have different reasons for layoffs, but almost all of the indications are that: the old mode of production under the traditional manufacturing industry is gradually declining. To UT Starcom example, UT Starcom top of the layoffs explained that “has made the original UT Starcom successful strategy to promote the company’s future is no longer the same high growth, companies face enormous challenges at this stage Therefore, the structure must be reorganized. ”
A few days before the announcement of layoffs, UT Starcom recently announced 2005 first-quarter results, in the first quarter, net sales rose 44.9% while net profit fell 30% year on year, only 38 million U.S. dollars. This result allowed the sustained fall in stock prices, a drop of up to 30%, setting a historical low of 7.24 U.S. dollars. UT Starcom will be blamed poor earnings performance of China’s PHS market downturn. UT Starcom executives said PHS products have matured, and began to far more than the company expected the speed of recession. But apart from PHS in addition, UT Starcom almost do not have a strong competitive industries.
IBM’s downsizing moves are not entirely without symptoms. Since the 14 reported disappointing first-quarter earnings report, the computer giant has already hinted of layoffs. The first quarter of this year, IBM in France, Germany, Italy and Japan, sales fell by 5%. As sales of the four countries account for about IBM’s total global income 1 / 4, so the company’s overall first-quarter profits were obviously affected, and this is IBM decided to lay off the main set in Europe, an important reason.
Clearly, the global electronics manufacturing industry is facing a turning pain. Pattern from the view of the global electronics industry, that of traditional electronics manufacturing is gradually transition to or from the economically developed regions, including China, the economic sub-developed areas. However, this transformation will need to pay or transfer, such as layoffs, declining corporate profitability, cost of temporary, or even the danger of this slide into bankruptcy.
However, despite all the difficulties, industry is turning to face the global electronics industry, and this is for IBM has brought many would rather give up the glory of the PC business to endure the pressure of the reasons many new industries to the electronics manufacturing industry does business opportunities.
In China should be alert At present, most enterprises are still immersed in the “world factory” in unable to extricate themselves. Even a banner called the TCL International conducting international mergers and acquisitions when the docking is still the others abandoned the traditional manufacturing industry, not to lead the TCL truly internationalized new profit source.
In fact, eight from the 20th century, the beginning nineties, due to the promotion of information technology, international manufacturing industry has undergone major changes. The change embodied in the virtual manufacturing entity manufacturing began to shift, from the purely manufacturing to final assembly manufacturing network transformation, local manufacturers shift manufacturing to the transformation from purely manufacturing to manufacturing service transformation.
It is in this situation, the “China” is behind the prosperity of the enormous crisis. Since the end of 2003, China’s manufacturing enterprises are facing shortage of resources, manpower costs and environmental aspects of many problems.
Although China has attracted worldwide attention as a great power of industrial production, but the lack of technology
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