Wednesday, 18 March 2015

More Bad Luck - OR - Bad Decisions

They say you can make your own luck. In fact Napoleon Bonaparte when asked to promote an officer always asked 'Is he lucky?' or more correctly 'Il a de la chance?' 


Judging by recent court cases and headlines there are some very unlucky people in CSC.
Follow the links to three current stories and make up your own mind.

Story One:

CSC's ServiceMesh named as source of bank exec bribe

Was winning deal at top Oz bank seen as value-fluffer before acquisition?

http://www.theregister.co.uk/2015/03/18/cscs_servicemesh_named_as_source_of_bank_exec_bribe/

US firm ServiceMesh founded by former Al Gore adviser at 



CBA's kickback scandal raises new questions about banking 


CBA IT Exec Charged With Bribery, ServiceMesh Allegedly Involved.

http://www.forbes.com/sites/benkepes/2015/03/17/cba-it-exec-charged with-bribery-servicemesh-allegedly-involved/


Story Two:
NEW ORLEANS (CN) - A defense contractor lured scores of 

computer technicians to work in war zones with false 

promises of competitive hourly pay, the aggrieved workers 

claim in court.

In a lawsuit filed in the New Orleans Federal Court, 66 

computer technicians say they were hired by Computer 

Sciences Corporation in 2006 and afterwards, after the 

company received numerous contracts to provide services in 

Kuwait and Afghanistan to support the war effort.
http://www.courthousenews.com/2015/03/17/workers-say-defense-contractor-stiffed-them.htm

Story Three:

CSC employee morale at "all-time low"

CRN USA reached out to CSC, requesting comment from the company or CEO Lawrie, but did not hear back after multiple requests by phone and email.
http://www.crn.com.au/News/401514,csc-employee-morale-at-all-time-low.aspx



37 comments:

Anonymous said...

Story 3 is the only one with current relevance.a company's transformation is going to fail when increased earnings per share is achieved on the backs of the employees. It is not a coincidence that the poorest performing region is in CSC is the one where CSC can and has treated employees the worst. 'Employee engagement' is non existent when you are screwing employees over on salary, bonuses, commissions, raises and working conditions.

Anonymous said...

Yes! A disgruntled employee is easy to smash like a mosquito in summer... but have you ever tried to sleep with thousands of angry mosquitoes? This company has no future because people no longer care about any other thing that finding another job and in the meanwhile collect their cheap salary. If you pay with peanuts you get monkeys and when you pay with disrespect, abuse and humiliation what you get is a time bomb.

Anonymous said...

Story #1 Maybe the esteemed EBG leader now has done his CSC ethics compliance training and sees the error of his ways? Actually, does anyone above pleb level actually have to do the training? I doubt it!

Story #2 Not actually a Mikey problem - makes a change. This is from the Laphen "lets be Blackwater" days. We all know how well that went. Possibly the biggest mistake pre-Mikey. Still, at least those former employees weren't the ones trussed up and stuck on a plane to some CIA black site hell hole.

Story #3 An Aussie story about CSC employees only tells the story from down there.

I suggest there is only one place where things haven't got worse - India - and that's only because working conditions were never exactly brilliant to start with. Even CSC can't think of ways to grind those poor buggers any worse than they are ground by everyone else.

USA, UK, Nordic and AUS things better in the past, but since Mikey...

Anonymous said...

I left CSC recently and it is like a cloud of depression has lifted off me. More money. Better Job. And I now realise that probably every one on the account was depressed - everyone feeding off everyone else's depression. I feel for the guys i left behind. Based on the above their lives will become 'interesting'. But unfortunately some will still hang on for a never coming redundancy deal. Well i suppose hope springs eternal!

Anonymous said...

Couldn't agree more. Working at CSC has hit an all time low. Accounts are running at a loss & Clients can smell the desperation from CSC staff who are imploding internally. This wont end very well. CSC can't maintain existing clients let alone win new business. The Service Mesh scandal in Australia is really the icing on the cake. Service Mesh was meant to be the next big offering in the Cloud suite. Most would predict that customers wont go near Service Mesh & CSC now. Mikey better find a buyer quick smart before the share price tumbles to record lows.

Anonymous said...

>> I suggest there is only one place where things haven't got worse - India - and
>> that's only because working conditions were never exactly brilliant to start with.

You'd have thought so, but the vibe from contacts over there is morale is getting worse there too

Anonymous said...

The only thing for the rank and file employees to do is to devote as much time and effort to finding the next job, and hopefully getting a well timed payout to leave if possible. To get the time, perform the exact amount of effort it takes to accomplish your job, no more, no less. If you know what you are doing and take some pride in your work, you have a good chance of working the system so you will have the spare time and energy to find the next thing instead of spending extra hours each day fixing problems or micro managing people for the most banal of tasks.

Anonymous said...

Agree, but the share price wont tumble as Mikey keeps buying back shares and the sale rumours are just there to prop up the share price too, same way they have been for the last 20 years. Mike is incentivised on keeping the share price above $55 at certain points in time, so will do all he can to paper over the cracks and prop up that share price, including spreading rumours.
Oh and he als gets to sell all the shares he bough at $35 for a hugely inflated price.

Anonymous said...

Good advice @22:47. Might be that Lawrie too must start looking beyond the environs of CSC. The gambits to position the company for a sale or splitting up its parts look to be dissipating. Yes, he was smart enough to sell and personally benefited when the stock reached its recent peak. At some point very soon he or someone at the level of executive management must employ damage control. The plan to encourage self attrition among the employees worked a little too well and I can attest from this side of the waters that the company has lost significant talent. This loss poses a potential threat to the contract. Extrapolate that to other contracts and one can perceive the quagmire that Lawrie and his minions have visited on CSC.

Anonymous said...
This comment has been removed by a blog administrator.
Busy Bee said...

Comments are welcome but not those that single out a country or race for CSCs problems. Commentators need to bear in mind that all CSC problems and scandals are either US or Europe or Australia based. And therefore need to think again before they criticise others.

Anonymous said...

I am from India and am aware of happenings @ CSC India. What I have stated is what I have experienced. The reply was for morale of the employees and in the context that things are on the bright side in India. I don't think this is the case. Mgmt standards are far worse.

Anonymous said...

Seeking Alpha seem to think that CSC shares should be worth more, because of the potential for buyout. Maybe they aren't worth more because nobody believes the buyout rumours to be true:

http://seekingalpha.com/article/3022296-the-long-case-for-computer-sciences-starring-jana-partners

Anonymous said...

Nobody does a better job of training resources and not using them than CSC India. Spent 6 of my best years there, learnt a lot in my domain, improved my soft skills, got the money I wanted....and now I serve another master who covets me more. People who have my domain focused skillset from CSC India are recruited aggressively by this firm.

CSC in India...a story of bad leadership and vision...but what a great bunch of people. I miss them all.

Anonymous said...

Common theme here as always, a great bunch of people working for a terrible company. The last straw for me was making UK employees take 5 days at Christmas - making out the reason was because some people were not taking all their holidays - why not simply target those people? Typical lies from a company that has no regard for it's employees what so ever. That lack of regard showed with a workforce who largely continued to care for their clients but could not give a toss about CSC. I was glad to get out even without the redundancy.

Anonymous said...

Again we see another one biting the dust. Our latest HR leader is gone and the role is being divided up. Guess who gets some... the mistress (Chief of Staff) in waiting. Here we are taking ethics courses and it seems that nepotism is not part of ethics. O Well that is another story.

Anonymous said...

Beginning of last month on here I pointed out Mikey had dumped some shares - I said:

"Mikey dumps another 8000 shares 9th/10th March - another half a million dollars. Million dollar exit in 2 weeks.
Only another 10 million dollars he holds now"

And now, end of March, another 8000 shares (roughly half a million dollars) exactly 30 thirty days after the last dump.

If you look at the pattern, since July he's been dumping his stock at roughly half a million a month. Nice pay packet, but its hardly showing confidence in the company to be consuming your annual share allocation as revenue like that. Then again, I don't think anyone believes him to be in it for the long run, this is pump and dump.

I suppose he gets some more shares next week though.

Did any of you know that Mikey is also a director of Juniper Networks? I didn't until just now....

Anonymous said...

Interesting comment on Juniper. Mikey was a NED before he joined CSC. It is a total different place to CSC, the focus on product and long term investment. At the moment Juniper seem to look after it's people (cut a small number 18 months ago). Lots of the leadership are long term Juniper people. CEO really knows his tech. It is a nice people, nice place (if a little sleepy).....

Anonymous said...

I have just noticed that a number of my CSC friends have published themselves - quite recently - on Linkedin( I have been a member for over 2 years) . What do they know that I dont? :)

Anonymous said...

CHRO Donna Lesch gone already ?
Was she pushed or did she jump ?
What does that say about the leaderships ability to employ the right people...

Anonymous said...

Per the company-wide e-mail she "resigned".

Anonymous said...

I'm UK and didn't get any email, perhaps poster above didn't either

Anonymous said...

It was published on C3 about a week ago - not by company-wide e-mail. Wonder if that indicates she in fact resigned

Anonymous said...

She was one of Lawrie's minions. If others get caught up in the vacate momentum, then that could portend a move by his highness himself to depart, albeit a wealthier man than when he started.

Anonymous said...

No doubt in my mind that her departure was pre-planned. She was probably asked to be the "face" behind all of the ugly things that happened in the last year, knowing she would take the blame and the heat, while shielding the higher ups. She was most likely compensated highly for it.

Anonymous said...

Does that mean voluntary redundancy might be coming back?

Anonymous said...

Curiously, the L Prior New Year (fiscal) greetings speaks of a focus on people and teams. Is this the start of a damage control effort, particularly with the departure of Lesch? Big problem is whether too much damage has occurred to salvage CSC. For starters, management will need to curry a 'good will' posture with staff. That may not be so easily done. Little talk now of spin or sell offs and investors feeling less confident, hence the downward trend with stock. Lawrie made his money. He can leave at any point.

Anonymous said...

I hear that attrition rates are at an all time high in India, with retention bonuses making very little difference. Offering staff 30-40% pay rises to stay are also not working. What are they running scared from? CSC being sold to a competitor, who actually treats staff worse - is that even possible, the answer - Sadly YES (not going to name them here).

Anonymous said...

New financial year new LV. Of course its an annual thing now...

Anonymous said...

LV?

Anonymous said...

Poor people... feel sorry for them...

http://corporate.vattenfall.com/news-and-media/press-releases/2015/vattenfall-outsources-parts-of-it-operations/

CSC has been selected as the service provider after a tender process carried out according to European regulations. As part of agreement 122 Vattenfall employees mainly in Germany, Sweden and the Netherlands will be transferred to CSC and its partner AT&T.

- what do you think? Two years Vattenfall sues CSC for failed IT project.... cost overrun..... and when they want to go back inhouse the people they outsourced have been "let go" or made redundant.......

Anonymous said...

Based upon? A bit easy catching attention. Don't you think

Anonymous said...

I think this is good news for CSC. Am I missing something?

Anonymous said...

Bad news=122 careers destroyed.
Good news=A little "fuel" for a "timed CSC press release" in order to pump stock prices up just a bit on the day Mike Lawrie needs to make another bulk sale of CSC shares for personal profit.

Anonymous said...

It's tenuous stuff using this as a stick to beat CSC. Good news for CSC can mean good news for the folk that are still employed by them. As an ex employee it's good news to see that my ex colleagues might gain at the very least a crumb of job security. It's been a while since there has been anything newsworthy on this blog.

Anonymous said...

Announcement today, CSC will be split into two. One US Public Sector (US Federal Gov't contracts) and the other Commercial accounts. Smaller pills easier to swallow as a potential acquisition target?

Anonymous said...

CSC is a classic case of corporate America putting accounting capital ahead of intellectual capital. CSC stopping feeding the goose that laid the golden egg many years ago. As a management consultant and entrepreneur myself, who worked for CSC quite some time ago, I've watched this story from the sidelines and shaken my heads as former colleagues have been trodden on, bullied and disposed of, in a highly unethical manner. Fortunately in the markets and business world, what goes around comes around, and eventually Lawrie & all others involved in this greed-driven share-fest will get their come-uppance.