P. 1
ciscofinal2-110414095612-phpapp01

ciscofinal2-110414095612-phpapp01

|Views: 0|Likes:
Published by Pratick Tibrewala
ciscofinal2-110414095612-phpapp01
ciscofinal2-110414095612-phpapp01

More info:

Categories:Types, Presentations
Published by: Pratick Tibrewala on Apr 12, 2014
Copyright:Traditional Copyright: All rights reserved

Availability:

Read on Scribd mobile: iPhone, iPad and Android.
download as PPTX, PDF, TXT or read online from Scribd
See more
See less

04/12/2014

pdf

text

original

CISCO SYSTEMS - INTRODUCTION
• Founded in 1984 • Incorporated on December 10, 1984

• Have 72,935 employees
• Surpassed 39 billion in revenue in 2008 • Corporate headquarters located in San Jose, California

• 32 factories worldwide, 30 of them are outsourced.
• Spends nearly $5.3 billion a year in R&D

CISCO SYSTEMS – INTRO – RECENT EVENTS
• Video Easier to Create, Consume, Search and Share Across the Enterprise

Cisco Demonstrates Leadership in Virtualized, Scalable, CloudReady Data Centers with Customer and Technology Milestones

Cisco Connects Businesses to Consumers via Video

Cisco's Chambers Problem Cisco Competition .NETWORKING AND COMMUNICATION • Industry: Networking and Communication supplies and services • Industry Consolidation – Few competitors in their main product area • In 2006 they had 70% of the share of its core router and switch market. Juniper Networks and Hewlitt-Packard selected as benchmarks.

employees. . and ecosystem partners. Cisco has a very bland and basic mission statement that only ranks as an “ok” (5) on the MVV evaluation.CISCO‟S MISSION STATEMENT Shape the future of the Internet by creating unprecedented value and opportunity for our customers. investors. Live. and Learn. Play. Vision Changing the Way We Work.

•I N D U S T R Y ( T A S K ) E N V I R O N M E N T •A S S E S S M E N T O F C O M P E T I T I O N •M O S T C R U C I A L T H R E A T S A N D O P P O R T U N I T I E S .•R E M O T E ( S O C I E T A L ) E N V I R O N M E N T . . WITH SCORE.

REMOTE (SOCIETAL) ENVIRONMENT OPPORTUNITIES THREATS • • Innovation Product and services expansion • • • • • • Economic slowdown Price wars Product substitution Margin erosion Consolidation trend Consumer loyalty • • Market of Airline Industry Reusing existing Cisco gear to act as mobile POPs • Cloud Computing .

MSFT – Threat of new entrant (bundle unified communications software) GOOG – Threat of new entrant (desktop video conferencing market) Vyatta – Substitute (open source hardware) Asterisk – Substitute (open source VoIP) • • • Switching costs are high(reduce buyer power) Acquisitions removes some threat of startup success Growth in the consumer market and cloud computing • • • . Cisco has taken control of its supply chain Router and switch market share discourages new entrants • • Flip Video – bargaining power of buyers.INDUSTRY/TASK ENVIRONMENT OPPORTUNITIES THREATS • • Low supplier power.

ASSESSMENT OF COMPETITION OPPORTUNITIES THREATS • Increase competition in bottom layer switch market • • • Mirrorless SLRs are the response to Flip video Juniper announced data center Juniper entered into a partnership with IBM to handle network connectivity for the latter‟s cloud computing 3COM emerging into markets like China Juniper‟s high-end switches (EX) and Junos OS HP‟s low cost switches • • Smart Grid Technology Asian Market – Tata Communications • • • • Server growth – up 700% • Cloud-centric software .

8 .4 – 8. ~ 47/5 = 9.4 Avg.SUMMARY – MOST CRUCIAL OPPORTUNITIES AND THREATS OPPORTUNITIES THREATS • Increase competition in bottom layer switch market (9) • • HP‟s low cost switches (10) MSFT – Threat of new entrant (bundle unified communications software) (7) • • • • Server growth (10) Cloud Computing (10) Smart Grid Technology (10) Asian Market (8) • • Consolidation trend (7) Juniper/IBM (9) • Juniper‟s data center (10) Avg. ~ 43/5 = 8.6 O-T ~ 9.6 = .

.

75 $ 117.00 $ 7.00) 2005 2006 2007 2008 2009 2010 CISCO SYSTEMS INC $ 5.767.198.83 $ 511.000.00 $2005 2006 2007 2008 2009 2010 Company Name $(2.001.000.00 Cisco $4.398.580.00 $ 7.134.00 JUNIPER NETWORKS INC $ 354.00 $ 6.00 $ 8.00 HP Juniper $2.761.329.333.052.000.44) $ 360.00 Net Income (in Millions) $6.00 $ 7.00 $ 7.00 $ 618.000.00 $ 8.00 $ 6.NET INCOME TRENDS CSCO & BENCHMARKS $10.741.000.40 .264.00 $8.000.00 HEWLETT-PACKARD CO $ 2.00 $ 5.660.00 $ 8.03 $(1.

4 0.70% 0.35 0.3 Estimate 0.00% 0.5 0.01 2.43 10-Oct 0.70% .1 0.03 7.CSCO QUARTERLY EARNINGS VS. CONSENSUS ESTIMATES 0.2 0.39 0.42 10-Jul 0.42 11-Jan 0.02 5.37 Difference Surprise % 0.4 0.25 0.02 5.15 0.40% 0.45 0.05 0 1-Jan 1-Feb 1-Mar 1-Apr 1-May 1-Jun 1-Jul 1-Aug 1-Sep 1-Oct Actual Difference Earnings History EPS Est EPS Actual 10-Apr 0.35 0.42 0.

REVENUE BY PRODUCT CATEGORY AND SERVICE 90% 80% 70% 60% 50% 40% 30% Q1 Q2 Q3 Q4 20% 10% 0% Routers Switches New Products Other Total Product Service .

69 8.093.KEY INCOME STATEMENT DATA FY2010 HP Cisco Juniper Sales Cost of Sales Pretax Income Basic EPS .00 $ 11.00 $ 9.033.Exclud Extra Items Net Income (Loss) $ 126.00 $ 40.767.00 $ 12.46 778.Exclud Extra Items Diluted EPS .00 $ $ $ 1.00 $ 92.00 $ $ $ 1.761.15 $ $ $ 3.36 1.200.18 1.78 3.415.15 618.753.00 $ $ $ 4.083.40 .858.33 7.040.27 1.

98 1.80 $ 81.00 $ 49.214.607.130.403.233.00 $ 44.00 .88 8.85 535.00 $ 124.00 $ 51.763.934.00 $ 83.00 $ 3.00 $ 54.40 3.00 $ 11.00 Cisco $ 39.00 $ 4.00 $ $ $ $ $ $ $ $ Juniper 2.00 $ 2.449.00 $ 19.467.18 1.845.KEY BALANCE SHEET DATA FY2010 HP Cash Total Current Assets PP&E Total Assets Other Investments Total Current Liabilities Total Liabilities Total Stockholders' Equity $ 10.608.722.191.859.184.421.05 6.267.503.861.00 $ 40.37 493.286.471.941.00 $ 36.

00) $ 207.16 .00) $ (532.42) Change in Cash & Equiv $ (2.00 $ - $ - Operating Activity $ 11.064.350.00 $ 10.00 $ 10.00) $ (11.75) Financing Activity $ (2.173.581.931.00) $ 621.69 Dividends Paid .Cash $ 771.00 $ 773.CASH FLOW DATA FY2010 HP Cisco Juniper Cash Flow 12mm $ 13.34 Investing Activity $ (11.922.00 $ 812.137.00 $ (72.359.913.00) $ (1.

779 6.108 7.398 9.753 1.674 2.357 Return on Investment Financial Leverage 15.800 9.303 9.184 1.397 19.574 17.097 0.292 .959 15.357 1.037 21.659 Cisco 2.546 Juniper 2.951 7.956 13.IMPORTANT FINANCIAL RATIOS FY2010 HP Current Ratio Quick Ratio Net Profit Margin Return on Assets Return on Equity 1.634 2.

3*C + 0.500 2009 2.” 2005 Z Value 2.0 indicate question marks.292 2010 2. Scores falling between 1.81 indicate significant credit problems while scores above 3.0 indicate a healthy firm.4*B + 3. where.902 2006 2.2*A + 1.0*E.473 2008 2.81 and 3.166 .APPLYING ALTMAN‟S BANKRUPTCY FORMULA Z = 1. A = Working Capital / Total Assets (%) B = Retained Earnings / Total Assets (%) C = EBIT / Total Assets (%) D = Market Value of Equity / Total Liabilities (%).6*D + 1. and E = Sales / Total Assets “Scores below 1.315 2007 2.

Z-VALUE 3.5 2 1.5 0 2005 2006 2007 2008 2009 2010 Upper Limit Z Value Lower Limit .5 1 0.5 3 2.

450 0.INDEX OF SUSTAINABLE GROWTH 0.300 0.200 0.500 0.100 0. where P = (Net Profit before Tax / Net Sales) x 100 D = Target dividends / Profit after Tax L = Total Liabilities / Net Worth T = (Total Assets / Net Sales) x 100 .400 0.350 0.050 0.250 0.000 Jul05 Jul06 Jul07 Jul08 Jul09 Jul10 g* score g* = [P(1-D)(1+L)] / [T-P(1-D)(1+L)].150 0.

000 8.000 4.INVENTORY TURNOVER FY2010 16.000 2.000 14.000 Inventory Turnover 12.000 6.000 10.000 HP Cisco Juniper .000 0.

-based Cisco Systems Inc.'s (Cisco) three tranches of senior unsecured notes. 2011-Standard & Poor's Ratings Services said today that it assigned its 'A+' issue rating to San Jose. Calif.CREDIT RATINGS Issuer Credit Rating Ratings Rating Date Foreign Long-term A+ 10-Feb-06 Foreign Short-term Local Long-term A-1+ A+ 31-Jan-11 10-Feb-06 Local Short-term A-1+ 31-Jan-11 March 9. .

CISCO STOCK PRICE HISTORY .

CSCO STOCK PRICE – 5 YEAR TREND .

CSCO STOCK PRICE – 2 YEAR TREND .

FINANCIAL SUCCESS STATEMENT
In fiscal 2010, we saw a solid return to balanced growth across geographies, product and customer markets exemplified by Cisco reaching over $40 billion in fiscal year revenue. We focused our efforts on defining true innovation and operational excellence within our company. And we improved our position as a strategic partner to customers worldwide by showing how the network has become, in our view, the most strategic asset in communications and information technology (IT) today.

CISCO LONG TERM TOTAL SALES FROM 2006-2010
• 2006 = 23.38 Billion

• 2007 = 34.90 Billion
• 2008 = 39.60 Billion • 2009 = 36.10 Billion • 2010 = 40 Billion

CISCO LONG TERM QUARTERLY SALES FROM 2006-2010
2006 Quarter 1: 6.50 Billion Quarter 2: 6.60 Billion 2008 Quarter 1: 9.60 Billion Quarter 2: 9.60 Billion

Quarter 3: 7.30 Billion
Quarter 4: 7.98 Billion 2007 Quarter 1: 8.20 Billion

Quarter 3: 9.60 Billion
Quarter 4: 10.40 Billion 2009 Quarter 1: 10.30 Billion

Quarter 2: 8.40 Billion
Quarter 3: 8.90 Billion Quarter 4: 9.40 Billion

Quarter 2: 9.1 Billion
Quarter 3: 8.2 Billion Quarter 4: 8.5 Billion

00 Billion Quarter 2: 9.80 Billion .80 Billion Quarter 3: 10.40 Billion Quarter 4: 10. 2010 Quarter 1: 9.CISCO LONG TERM QUARTERLY SALES FROM 2006-2010 CONT.

$1.$3.$3.$211 TOTAL PRODUCT .236 .202 OTHER PRODUCTS .$3.700 Q2 IN MILLIONS ROUTERS .835 SWITCHES . CISCO Q1 IN MILLIONS ROUTERS .104 OTHER PRODUCTS .$229 TOTAL PRODUCT – $8.$3.151 NEW PRODUCTS .672 SWITCHES .SALES BY STRATEGIC BUSINESS UNITS IN QUARTER 1 AND 2 OF 2011 • Strategic Business Units = divisions or groups of divisions composed of independent product-market segments that are given primary responsibility and authority for the management of their own functional areas.532 NEW PRODUCTS .$1.$8.

49 -1.53 -0.19 -0.01 0.MARKET SHARE OF STOCKS Company Name CSCO JNPR Cisco Systems.03B MSFT 25. Juniper Networks.05 HPQ 41.46 +0.07 39.94B .34 +0.63B 21.24 -0.56% 89. HewlettPackard Company Price Change Change % 0.05% 212.59% Market Cap 96.42% -2.33% 12.12B 17. Inc.07 -1. Inc.87B ALU AlcatelLucent (ADR) Microsoft Corporation 5.

etc. Cisco is also considered a industry leader.MARKETING TACTICS • Tactics = specific operating plans that detail how a strategy is to be implemented in terms of when and where it is to be put into action. security. switches. . wireless. They specialize in routers. optical networking. • • Market Location Tactics: Offensive Cisco has always been known to take a frontal assault because they are a market leader. They go head to head with its competition. Timing Tactics Historically a first mover supported by being a first mover in technology.

They do this to block challenger‟s logical avenues of attack. .MARKETING TACTICS • Market Location Tactics: Defensive Cisco takes the path of raising structural barriers. Some factors of Porters they use are: Offering a full line of products in every profitable market segment to close off any entry points. Keep their items reasonably priced for their most popular products and services.

• Customers drive our business strategies to achieving success and excellence in everything we do. and will continue to be our key focus for developing products and services that accelerate their capability to prosper in the Internet business. .CISCO SUCCESS STATEMENT • Cisco has had many success stories throughout the years which is a large part in being a industry leader.

CISCO SUCCESS STATEMENT CONT. With this business intelligence.000 users to VPN in only three months. . Cisco transitioned tens of thousands of teleworkers and remote office workers worldwide to remote access VPNs. To determine if additional capacity was needed. Cisco used Cisco NetFlow in conjunction with various open-source tools to characterize existing traffic and then extrapolate expected traffic. • An example of a success story is: In 2001 the cost of direct DSL and ISDN access increased markedly. Cisco successfully transitioned 22.

There is little market for such a product when consumers can video chat for free over the internet instead of paying $600 for the equipment and a $25 a month service fee. Cisco‟s video-conferencing system for living rooms has been a strange product to market.MARKETING PROBLEMS • • The dominance in network switches that Cisco holds is waning. • • . Hewlett-Packard has been particularly aggressive in the switching market since they have entered.

.

Worldwide Government Affairs. General Counsel and Secretary Blair Christie Chief Marketing Officer. Corporate Communications • Wim Elfink Executive Vice President. Cisco Services and Chief Globalization Officer . Legal Services. Chief Financial Officer John T.CORPORATE MANAGEMENT TEAM • • • • Frank A. Chambers Chairman and Chief Executive Officer Mark Chandler Senior Vice President. Calderoni Executive Vice President.

Operations. Chief Operating Officer • Randy Pond Executive Vice President.CORPORATE MANAGEMENT TEAM CONT. Lloyd Executive Vice President. • Robert W. Processes and Systems . Worldwide Operations • Gary B. Moore Executive Vice President.

MANAGEMENT TEAM .DIVERSITY • • Board – 13 members. 2 internal 65 Executives • 56 men • 9 women Executive Biographies .

The core of Cisco‟s executive compensation continues to be pay for performance. supplemental executive retirement plans. 4. Compensation Committee is solely independent directors. . special benefits. perquisites. CEO compensated below targets and median of the peer group of three out of the last five years. Have no employment or severance agreements. or tax equalization.EXECUTIVE COMPENSATION • Compensation Governance. 3. Provides shareholders with the opportunity to cast advisory votes on compensation 2. and the framework includes the compensation governance features discussed below: 1.

614 $1.470. Worldwide Operations and Business Development 2008 $375.002.116 $2.018.335 All Other Compensation ($) (7) $9.750(9) $7.607.677 $71.340.939 $1.984.096 2008 $447.159. Justice Executive Vice President.732.577 2008 $859.635 2007 $425.661.TOP FIVE – 2010 COMPENSATION & TENURE John Chambers – $18.090 Total ($) $11.000 2007 $451.023 $3.052.802 — $1.621 2008 $401.450 $871.205 $1.605(8) — — — $458.227 $2.484.566.075 $673.116 $2.514 — $483.503 $392.287 $3.329.727 $1.875 $113.087 $7.500. Chief Financial Officer (1) Dennis D.395. Calderoni Executive Vice President.000 $4.400 $392.706.590.985 $7.231 $5.9 million in 2010 Fiscal Salary Year ($) (2) Name and Principal Position John T.926.707 2008 $750.005. Chambers Chairman and Chief Executive Officer Frank A. Chief Financial Officer (1) Wim Elfrink Executive Vice President.464.000 2007 $350.098 $5.757 $1.897 $10.771 $18.452.700 $2.122.050(10) $7.619.465 $650.227 $2. Powell Former Executive Vice President.154 — — $871.253 $3.692 Bonus ($) (3) — Stock Awards ($) (4) Non-Equity Option Incentive Plan Awards Compensation ($) (5) ($) (6) $3.535 $9.126. Cisco Services and Chief Globalization Officer Richard J.436 $1.000 — $7.812 .

• Focus on core networking capabilities while expanding into product markets where the network as a platform is increasing. collaboration. video. and networked Web 2. .DIRECTION OF TOP MANAGEMENT TEAM • Continue to seek to expand share of Cisco‟s customers‟ information technology spending.0 technologies. • Focusing primary attention include those related to the increased role of virtualization/the cloud.

TOP MANAGEMENT PERFORMANCE INDICATORS QUALITATIVE FACTORS QUANTITATIVE FACTORS           Strategic Direction (4) Implementing Strategy (5) Building Mgt. (5) Succession (4) Labor Relations (4) Technology Leader (5) Board Relations (4) Investor Relations (5) Com./Gov Rel‟ns (4)           Return on Assets (5) Return on Investment (4) Return on Equity (4) Return Meas. Trends (4) Cash Flow (4) Profit Growth (4) EPS (4) Dividend Payout (4) Stock Price (4) Total Return to SH (1) Total = 44 Total = 38 . Team (4) Management Qual.

70% of decisions made by groups.5 years .MANAGEMENT ANALYSIS • Chambers recently introduced collaborative decision making. • 20% of senior leaders have left since the switch • 30 new businesses. 20 more to come • Average Tenure – 11.

     CURRENT CORE COMPETENCIES DISTINCTIVE COMPETENCIES CORPORATE-LEVEL STRATEGIES  Short Term & Long-Term CORE SBU LEVEL STRATEGIES 5 CRITICAL PERFORMANCE INDICATORS .

HP. etc…) . Dell.CURRENT CORE COMPETENCIES  Hardware product development  Acquisitions . Microsoft.)  Collaboration Services  Network Flexibility/Scaling (data center/hardware/software capacities) and virtualization  Strategic Alliances (AT&T.“Buy-the-startups” (Cisco's acquisition strategy is best-inworld and we particularly look for acquisitions that capitalize on market disruption through new technologies and new business models. Nokia. IBM. Intel.

DISTINCTIVE COMPETENCIES  Acquisitions  Smart-grid technology (form of routing or switching) as noted by CEO John Chambers. .

CURRENT LONG-TERM CORPORATE STRATEGIES Strategy: One Cisco • Grow faster than the market • • Protect and extend product market leadership Innovate .

and newScale. Inc. Enter into new markets: • Smart Grids • Media solutions • Sports and entertainment • Virtual healthcare • Education .$5.CURRENT SHORT-TERM CORPORATE STRATEGIES Internal innovation . Inlet technologies.3B+ spent on R&D annually Acquisition – continued integration of Pari Networks.

MIS/INFORMATION AGE READINESS • • Incredible website Use the products they develop • Recently upgraded their ERP to Oracle 11i • Purchasing • Data Storage • Technical Support About Cisco .

BORDERLESS NETWORKS GROUP • • Comprised of Routers and Switches Increased their revenue by 33% from „09 to ‟10 • • • Q2 „FY11 Sales down $132 million 70% of the market share Improve application velocity and enhance collaboration while reducing branch IT operational expenses by up to 70 percent 19% 7% 16% Routers Switches 24% 34% Advanced Technologies Others Services .

COLLABORATION GROUP • • Webex and TelePresence and other VoIP technologies 90 percent of frequent users save at least two hours of work time per week through video collaboration • It is possible to achieve 100% ROI in 5 years and payback periods of 2140 months • Reduction of 21 percent in corporate travel spending .

.

.

CLOUD COMPUTING GROUP DATA CENTER AND VIRTUALIZATION • Energy efficiency • Reduce energy costs • Optimize use of space. power. and cooling infrastructure • • • Infrastructure Consolidation Business Continuance Workforce Productivity Cloud Computing Explained .

CALIFORNIA TELEMEDICINE PILOT PROJECT • • Contributing $10 million of product. services and support Care-at-a-distance technology that combines video. audio and medical information • • Patients will be able to view the medical exam Easiness of meeting .

Flip video cameras. The revenue has declined 7% in the latest quarter because they are under attack by competitors such as HP. They need to market their products more efficiently and spend more money on marketing popular products than products that serve a small niche market.IDENTIFICATION OF SBU LEVEL STRATEGIES AND TACTICS • • • • As mentioned earlier Cisco‟s strongest market is with their switches. etc. Cisco‟s consumer products such as Linsksys routers.” • . don‟t stand a chance against Apple. Cisco just unveiled a new home-entertainment system in January to hopefully “reinvent the entire TV experience.

CORPORATE SOCIAL RESPONSIBILITY KEY PERFORMANCE INDICATORS In the Workplace Employee Satisfaction % of employees 2005 2006 who agreed with 7 81% 85% statements about Cisco as a place to work Total voluntary attrition as % of ending head count 4.9% Number of 129 nonfatal injuries and illnesses during fiscal year 107 93 .4% 2007 86% Voluntary employee attrition Health and safety 6.6% 5.

51% .S.CORPORATE SOCIAL RESPONSIBILITY KEY PERFORMANCE INDICATORS Diversity In the workplace Women Women as % of total employees Women as % of total VP positions Ethnic minorities as % of total employees Ethnic minorities as % of total VP positions 22% 13% 42% 22% 14% 43% 22.8% 15.12% 43% Ethnic Minorities (U. only) 17% 17% 15.

4 sales 30.1 25.CORPORATE SOCIAL RESPONSIBILITY KEY PERFORMANCE INDICATORS Environment Worldwide energy consumption Normalized worldwide energy consumption Giga watthours (GWh) 753 856 898 GWh per $8n 30.7 Greenhouse gas 1000 tons of emissions carbon dioxide (tCO2) 312 349 311 Product recycling Tons of equipment n/a 4516 7102 .

000 459.019 Social and Economic investment n/a 165 160+ .CORPORATE SOCIAL RESPONSIBILITY KEY PERFORMANCE INDICATORS Social Social Investment Total corporate wide and foundation cash and in-kind contributions Number of hours volunteered by employees Number of students enrolled worldwide in Cisco Networking Academy Number of countries Cisco currently invests programs in $65 Million $115.935 501.000 160.723 466.8 Million Employee volunteerism Educational output 235.5 Million $116.000 130.

WEAKNESSES S T R A T E G Y C H O I C E ( G R A N D S T R A T E G Y MATRIX) O V E R A L L P R O B L E M / S U C C E S S S T A T E M E N T .I NTERNAL STRENGTHS.

2 .6 = 1. ~ 38/5 = 7.INTERNAL STRENGTHS AND WEAKNESSES Strengths: • • • • • Strong Market Position (9) Strategic alliances (9) Robust Balance Sheet (9) Human Network/Smart Grid (9) Strong Management (8) Weaknesses: • Lack of presence in consumer market (8) • • • • High pricing .6 Avg.8 S-W ~ 8. ~ 44/5 = 8.cheaper alternatives(8) Constant re-engineering (7) Brand Recognition (6) Acquisition Integration (9) Avg.8 – 7.

Concentration Hori zontal Integration Vertical Integration Concentric Diversification +10 +9 +8 +7 +6 +5 +4 +3 Harvest 1. 3.8) +2 +1 +10 +9 +8 +7 +6 +5 +4 +3 +2 +1 0 -1 -2 -3 -4 -5 -6 . 4. 3. Maintenance -9 -10 Divest Threats . 3. Strengths Cisco – (1. 3.2. 2. Refor mulation of Concentration Hori zontal Integration Divest Liquidate 2.2 SWOT Matri x and Grand Strategies Opportunities Growth 1. 4. 4.7 -8 -9 -10 -1 -2 Weaknesses 1.SWOT MATRIX AND GRAND STRATEGIES Figure 6. Concentric Diversification Congl o me rate Diversification Joint Ventures -3 -4 -5 -6 -7 -8 1. 0. Turnar ound or Retrench ment Concentric Diversification Divest Liquidation 2. 2.

build and partner Strong financial position .GENERAL STATEMENT OF CONDITIONS • • Leader in almost all of our product markets Strong strategic alliances with MSFT. Intel • • • • All sales in all geographic locations went up Low market share in consumer products Strategy of buy. AT&T. IBM. Dell.

S U M M A R Y .L ONG-TERM PROSPECTS AND OPTIONS S H O R T .T E R M P R O S P E C T S A N D O P T I O N S H O W S T R A T E G Y O P T I O N S S U P P O R T L O N G TERM SURVIVAL.

theflip. • Cisco can go about that by developing brand recognition within their consumer market.aspx . • Market different products: • http://www.LONG-TERM SUCCESS – CONSUMER PRODUCT • Although Cisco has a huge line of products and services a long -term goal would be to improve their consumer products.com/en-us/products/design-yourown.

• Cisco partnered with German electricity company Yello Strom to launch a smart-grid pilot project in 70 German homes and businesses.LONG-TERM SUCCESS – SMART GRID • 49% of cyber security threats to the electrical infrastructure initiate from breaches of physical security. • • Eliminate blackouts and brownouts Promises to be a $20-billion-a-year business .

this .LONG-TERM SUCCESS – THE HUMAN NETWORK The Human Network .

SHORT TERM IMPERATIVES Company Pari Networks Market Opportunity Network Management Inlet Technologies Video MOTO Development Group Consumer Linesider Technologies Network Management Arch Rock Corporation Smart Grid .

.

1. RESPONSES TO CDPROJECT.NET .

saves energy and reduces costs • .2. OTHER RELATED GOALS & PERFORMANCE GREEN GOALS • Optimize business operations and cut costs • Extend lifecycle / reduced power consumption • Optimized processes • Simplified architectures Reduce Greenhouse gas emissions • Innovative software added to the Cisco Catalyst switching portfolio • Available for customers to download • This reduces GhG emissions.

GOALS CONTINUED • Reduce energy consumption and cost • Power management • Tracking and reporting • Infrastructure consolidation • • Comply with government directives Recycling • Use end-of-life programs that reduce the overall impact of the environment • These end-of-life programs are designed to reuse or harvest the material commodities contained in the equipment collected and return those materials to the market where they are made into new products Create competitive differentiation • Virtual worker • Remote collaboration • Resource virtualization • .

3. SMART GRID Smart Grid .

disabled veteran. • . Certifications. SUPPLIER ENVIRONMENTAL RESPONSIBILITY Global Supplier Enrollment Package • Supplier Profile Form. and HUBZone enterprises are key to the economic vitality of both Cisco and the community. womenowned. minority. EFTP Enrollment Form.4. and Supplier Diversity Policies • Certifications • Data Usage and Protection Certificate (Certificate I) • Code of Ethics Certificate (Certification II) • Supplier Environmental Health and Safety Certificate (Certificate III) Supplier Diversity Policies • Cisco believes purchasing products from small. Tax Requirements. small disadvantaged.

we think they are doing enough because: • They have produced many programs that make them socially and ethically responsible.5. DOING ENOUGH? Yes. • Optimize operations • Reduce GHG emissions • Reduce energy consumption • Recycle • Create differentiation Supplier certifications and environmental requirements. • .

But outside of Apple and Google.“ -Unknown .ARE THEY CHALLENGED? "Are they challenged? Absolutely. we don't see a company in the technology space that is as well positioned for growth.

ANY QUESTIONS? .

You're Reading a Free Preview

Download
scribd
/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->