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Will Motorola Rise From the Ashes?
An anonymous reader writes "According to ZDNET the once almighty Motorola is going to split into two companies, 'If the split goes through as planned, what will remain will be the "broadband and mobility solutions" business, which includes enterprise mobility, government and public safety, and Motorola's home and networks divisions.' Engadget claims to have an insider's email that details where it all went wrong, paying particular attention to mismanagement at the highest levels. What makes all of this even more of a shame though is that Motorola's latest product lineup seems to be receiving critical acclaim but with the company in so much termoil, will it ever rise out of the ashes?"
Their company may turn around like HP did(please see the 10-year chart for the whole picture) after they boot the incompetent upper management like HP booted Carly Fiorina(note: she ran HP from 1999-2005 and oversaw the HP/Compaq merger, among "other things").
On the other hand, it may be interesting to see what would happen if Motorola split "for real" just as Agilent split from HP.
It's yet another classic case of a complete lack of management and leadership, way too much politics and a complete lack of understanding of what products they're selling and how they're produced. The products were actually there, and the people (one who sadly passed away), to achieve success were there, but it's been squandered. They're not the first, and they won't be the last. The management and executives at Motorola are, and were, incompetent losers, and that's the label they carry and the price that they pay for those golden parachutes.
Desperate measures such as the breaking up of a business is always a big indication that no one has a clue what to do and that people who don't understand what the business does have taken over.
Yup. I can personally attest to that. At the last company, the CEO was forced out due to backdating shenanigans (i.e., the stock game that all tech companies in Silicon Valley played). The guy who took over promised at every meeting that he was prepared to take it to the next level, that we were going to kick everyone's butt, etc. Within one year, the company had been sold, and he probably took a 10million+ golden parachute into retirement (the company hadn't even gotten to $1billion in yearly sales) - all for having performed exactly one job; selling the company to someone else. Not only that, but the price for the company had been boosted by financial games with revenue recognition that looked great on paper for the next quarter, but which absolutely wrecked long-term sales. 2 years after takeover, we're finally recovering from the idiocy. It's only because we are the unquestioned leaders in a red-hot market that the company didn't just completely tank right after the sale.
Since then, I've had a very dim view of CEOs and the games they play. I've gotten to the point where I think that a number of companies succeed in spite of their CEOs, not because. Not only that, but the only time that CEOs are held accountable is if they've done something criminal. Being merely incompetent and raiding corporate coffers is enough to get awarded an 8 to 9 figure severance package. Personally, I compare it to someone joining a WoW guild, raiding the Guild bank for everything that's worth anything, and then being handed everyone's gold as an incentive to leave the guild. Despicable doesn't even come close to describing what I think of thse CEOs.
Those who can, do. Those who can't, sue.
Last figures I saw showed that the US mobile phone market was around 7% of the global mobile market. That's barely even significant, and considering how hostile it is to hardware manufacturers it's probably one I wouldn't bother competing in. It's not even as if it's worth it for the marketing - no one buys a phone because it's popular in the USA.
I am TheRaven on Soylent News
Seriously, Motorola would be trivial to turn around. I could manage it in a fraction of the time it would take most executives to, and I'm cheap at the price. So could many geeks who have a similarly broad-based background and no patience with waffling. (Waffling should be left to waffle irons.)
Of course, no geek capable of running Motorola will ever be offered the job. We're far too outspoken, way too radical, most (myself included) have never been contaminated with a Harvard business degree, and most (again myself included) have managed to avoid managerial roles because we can't stand having zombies as co-workers. (Holy water supersoakers aren't enough.
Motorola won't hire anyone dangerous enough to succeed. And this is a mission where you need someone who is dangerous, a wildcard, unpredictable. You don't hire a banker to pull off a commando raid, you don't hire a businessman to rescue a disintegrating corporate giant. If they had any sense, they'd be looking for a troublemaker. They WANT Motorola to cause trouble. Causing trouble means they're still breathing. This troublemaker must be able to come up with novel, irrational, but totally brilliant solutions to the current engineering problems. Only problem is, The Doctor doesn't like being pinned down like that.
There is one other option, which has a better chance of success. Start a new company, a company that, businesswise, should logically not exist, that makes no sense given current attitudes, but sells like nothing else. Then openly and outright offer each and every (decent) engineer at Motorola the option of jumping ship. Don't buy the IP, buy the workforce. What's Motorola going to do? Sue each person individually over non-compete? And will the courts even listen to such a case if Motorola isn't producing anything worth a damn to compete with? Yes, it's playing with fire, but look at every single brilliant engineer, every single brilliant company owner, anyone who has ever truly risen far enough above the masses to see anything worthwhile - they all played with fire, in the most insane and dangerous ways possible. And they made it work for them.
It's a small world and it smells funny; I'd buy another if it wasn't for the money; Take back what I paid (SoM)
The company I worked with at the time was a competitor of Motorola in the cellular handset market, and so we reviled them for their chutzpah in patenting RF power control and modulation schemes, but their micros and their automotive power semiconductors were awesome back in the day.
Less is more.