Why are we no longer making personal computers?

Already the former head of IBM (who was recently replaced by Ginny Rometti), Mr. Sam Palmisano, was known for some, sometimes abrupt and decisive actions, while he served as CEO of one of the largest corporations in the world. These actions can be treated in different ways, but in any case it is interesting to find out what the director of this level was guided by when making decisions at the global level.

And not so long ago, there was a chance to find out why IBM became exactly the company that it is now - Sam gave an interview to The New York Times , in which, in particular, he answers the question: “Why IBM sold its own production of computers to Lenovo ? "

First, according to Sam Palmisano, with him, IBM focused its efforts on moving out of the “low-margin and fading business sectors” and, not surprisingly, Sam said the personal computer market was the first in this category.

According to Sam, he did not see the opportunity for innovation (at least in the corporate market) in the PC production and sales sector and felt that "the hub of innovation will shift to the field of services and software." In principle, we see that this is exactly what is happening in the field of information technology today, however, for Sam it was a very difficult decision, which was made with difficulty and the negotiation process was delayed.

Sam also says that when a company announced through internal channels a desire to sell its “personal” part (which made the company exactly what it is today), many companies, including Dell and other PC manufacturers / vendors, expressed a desire acquisitions, IBM nevertheless decided to cooperate with China (that is, in fact, IBM sold the production not to a private Chinese company, but to the Chinese government, which controls absolutely everything, especially production), which wants to expand its global influence with from their own corporations.

Those who are interested in the story of Sam can read the original text in which the former head of the company tells a lot about how IBM works and at what level, and most importantly how, decisions are made in one of the most advanced companies in the world. Naturally in English.

In an interview with another publication - Harvard Business Review, Sam described 5 steps that, in his opinion, would lead many companies to success without a clear mission and help them figure out which direction to take:

Step 1. The strategy and organization of work should impose a vision of the company's future on all products, services and the work itself.
Step 2. Get rid of the business that "does not suit you" and acquire the skills that you really need.
Step 3. Make sure your business model is profitable.
Step 4. Strengthen the teams and make them able to satisfy the buyer / client, but do not inflate them to uncontrollable sizes.
Step 5. Take care of success within the company and within yourself.