Friday, September 26, 2003

Sprint's moves win early praise, but work only starting: "Sprint Corp.'s dramatic reorganization already has gained the support of the often-skeptical community of industry analysts and consultants. ...

"Sprint CEO Gary Forsee is making his bet. His goal: get away from selling commoditized services (local, long-distance and wireless [and Internet/DSL]) from a middle-of-the-pack position. Instead, sell all three together nationwide in a way that cannot be replicated.

"Ultimately, the transformation represents a fundamental shift for Sprint that I expect will move us forward to a new level of performance," Forsee said in the same written release that pointed to annual $1 billion cost-cutting efforts. Former Sprint executives said the idea had been talked about at the company before, but the trigger was never pulled. ...

"Industry observers said a sweeping change that puts the company in an industry-leading position would be convincing enough. ... Even if there are mass layoffs, Gartner's Neil said he likes the idea of cost-cutting coming through a focused reorganization, as opposed to CEOs just slashing the work force when costs get too high. ..."

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