To stem the tide Unisys Corp has reportedly rid itself of services SVPs Larry Russell and Gerry Gagliardi and is looking for new blood to get revenue moving. CEO Larry Weinbach told Merrill Lynch & Co that he is reorganizing Unisys’ management and sales force. Details are expected around November 15. The realignment should reduce selling costs and confusion with customers compared to the previous structure where hardware and services salespeople called on customers separately, the brokerage says.
Rather belatedly Unisys is launching an its e-business strategy on October 27 in New York. It has been slow to the internet party, but the company’s strength in highly reliable and scalable systems should give it an entree to brick-and-mortar companies looking to go online, says Merrill.
Meantime, the company has just reported results that show its bet on NT has yet to pay off. NT enterprise services have been slow to grow due to the perception of scaling and availability problems with Windows NT, says Merrill. With Windows 2000 and Merced delays Merrill doesn’t think the company’s NT business will show much growth before the second half of next year.
