What’s the cost of a so-called “digital transformation”? Judging from recent layoffs hitting big business technology companies, it appears to be more than 60,000 jobs over the past year.
Cisco’s decision this week to slash 5,500 employees highlights an unfortunate truth in an era in which businesses are bombarded with the message that they must go “digital” or face irrelevancy and extinction.
Essentially, Cisco wants to focus more on higher-growth product lines involving software and less on its slowing legacy networking hardware business.Yes, businesses must stay competitive in a rapidly changing technological world. But doing so is not as easy as buying the latest software service in the cloud or analyzing buckets of marketing data that have been unexamined since the early 2000s.