Dell To Save $3B in 3 Years

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News Posted: Mon, Mar 31 2008 5:14 PM

Dell is planning to save $3 billion dollars over the next three years by cutting back on spending.  The first thing to go will be their facility in Austin.

Dell Inc. is also reaffirming its plan -- announced last year -- to cut at least 8,800 jobs, or about 10 percent of its work force. In the last nine months of fiscal 2008, the Round Rock, Texas-based company cut 3,200 jobs.

Dell may also be looking to streamline or outsource parts of their financial services, not unreasonable given the current economic situation in the U.S.  Other areas of the company may also be receiving reviews and cutbacks in order to increase profitability.



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AjayD replied on Mon, Mar 31 2008 8:03 PM
Cutting jobs in order to boost profit margins is not uncommon among large companies. Although such practices look good if you only consider the numbers, or are a stock holder, you can't cut 10% of your workforce without paying a price. Dell already outsources jobs to India any chance they can get. Lets hope they manage to save some jobs for the US.

 

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ice91785 replied on Mon, Mar 31 2008 8:59 PM
And IMO outsourcing ultimately leads to poor customer service ratings/reviews as there is then often language barriers (often in the form of thick accents) to overcome that already-angry customers do not have the patience to deal with......

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AjayD replied on Mon, Mar 31 2008 9:58 PM

Having had many a call relegated to India for tech support or customer service I agree completely ice. Everyone I have ever dealt with has been very patient and respectful, but difficult to understand and ultimately not all that helpful. In a way I feel bad for these people. With the way these call systems are setup, you are so exasperated after navigating through the impossible automated menu that by the time you actually get to speak to someone you have worked yourself into a frenzy. 

 

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replied on Tue, Apr 1 2008 4:03 PM
Sigh, more outsourcing. Rediculous. Who is gona buy their products when the majority of Americans are out of work ? I am not usually a doom and gloom person but I honestly dont see how our economy will ever recover with more and more people loosing jobs every year.
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 Didn't Dell win the worst customer service award?  Outsourcing only increasing the chances of it going even more downhill.

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