> It's a sad thing because it's damaging serious businesses like telcos,banks,insurance companies.
Doesn't matter if it's damaging to the business in the long run, it makes their quarterly results look great, and that's all Wall Street cares about. Headcount is down, profit is up.
Who cares if their business logic will be a hot mess in 2 years because everyone competent got fired? Everyone high up will have already collected their performance bonus.
Far too many companies are afraid to take long term decisions which are better for the company but worse in the short term. This was cited as one of the primary reasons for Dell to go private again:
"My partners at Silver Lake Management and I successfully took Dell private a year ago in the largest corporate privatization in history. I’d say we got it right. Privatization has unleashed the passion of our team members who have the freedom to focus first on innovating for customers in a way that was not always possible when striving to meet the quarterly demands of Wall Street." [0]
Doesn't matter if it's damaging to the business in the long run, it makes their quarterly results look great, and that's all Wall Street cares about. Headcount is down, profit is up.
Who cares if their business logic will be a hot mess in 2 years because everyone competent got fired? Everyone high up will have already collected their performance bonus.
Far too many companies are afraid to take long term decisions which are better for the company but worse in the short term. This was cited as one of the primary reasons for Dell to go private again:
"My partners at Silver Lake Management and I successfully took Dell private a year ago in the largest corporate privatization in history. I’d say we got it right. Privatization has unleashed the passion of our team members who have the freedom to focus first on innovating for customers in a way that was not always possible when striving to meet the quarterly demands of Wall Street." [0]
[0] https://www.wsj.com/articles/michael-dell-going-private-is-p...