General DataCom Restructures To Focus Product Lines - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
News

General DataCom Restructures To Focus Product Lines

General DataCom Industries Inc. disclosed a majorrestructuring last week, splitting the company into two divisions: Broadband Systems and Network Access. Each will have its own profit-and-loss responsibilities, and its own dedicated sales, marketing, and engineering staff.

GDC sells asynchronous transfer mode equipment to telecom carriers and network-access equipment to end-user organizations. Charles Johnson, chairman and CEO of General DataCom, says it was becoming difficult for sales and other personnel to know the company's two product lines well. "It's like having a sales force that sells airplanes and cars," he says.

GDC expects to incur a $2.5 million charge against first- quarter 1999 earnings, which the company will offset in fiscal 1999 through expense reductions resulting from streamlining business operations. GDC hopes the reorganization will cut $10 million a year--but more important, that it will bring in additional revenue with faster product development and sales cycles, and a more tightly focused employee base.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
The State of Cloud Computing - Fall 2020
The State of Cloud Computing - Fall 2020
Download this report to compare how cloud usage and spending patterns have changed in 2020, and how respondents think they'll evolve over the next two years.
News
How to Create a Successful AI Program
Jessica Davis, Senior Editor, Enterprise Apps,  10/14/2020
News
Think Like a Chief Innovation Officer and Get Work Done
Joao-Pierre S. Ruth, Senior Writer,  10/13/2020
Slideshows
10 Trends Accelerating Edge Computing
Cynthia Harvey, Freelance Journalist, InformationWeek,  10/8/2020
Register for InformationWeek Newsletters
Video
Current Issue
[Special Report] Edge Computing: An IT Platform for the New Enterprise
Edge computing is poised to make a major splash within the next generation of corporate IT architectures. Here's what you need to know!
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll