I

90 Part One The Management Control Environment

Neither Cisco, nor the members of the Cisco team have looked back since. In 1995
Chambers assumed the helm as CEO and John Morgridge moved up to chair the board .
ing the last five years of the twentieth century, Cisco continued to grow at an average raterjf _ DJ
over 40 percent a year, eclipsed the market cap of even GE an leroso in > and acqyj

more than 70 companies to further develop and expand its market

, Cisco
presence
reinvented
, product
itself
offerin
enngj„.,
as an e-b
^
technological expertise , and headcount . . . . Along the way
ness, saving more than $800 million a year $350 million
( of which was attributed to the Ci 3
co ^
14
Connection Online ), a sizable portion of their 2000 net earnings of $2.6 billion .

Discussion Questions t

1. Can other corporations benefit from investing in e - business functionality to the same extent
that Cisco has?
2 . What can other corporations learn from Cisco’s approach to guiding the e-business trans-
formation? 1 i ymji t • •
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