Monday, July 13, 2009

McKinsey conversations with global leaders: John Chambers of Cisco

Listen to the McKinsey conversations with global leaders: John Chambers of Cisco. John Chambers is always an excellent leader to hear to. A few take aways:

-CISCO always looks at every downturn as an opportunity. John claims that, during everydownturn, CISCO always gained market share and emerged stronger than they went into it, as they don’t look short term and are able to anticipate and invest into market transitions. CISCO is able to do this as they are cash rich. I am sure CISCO can afford to do that with their 34B cash.

-Move fast but not with out process a process behind it that can scale, have flexibility, and be able to be replicated. Moving fast without a process would be equally as bad as not moving fast at all.

- CISCO think we are entering the second phase of the productivity growth and it's all going to be around collaboration and network-enabled technologies called Web 2.0 that enable collaboration. CISCO thinks that they can use this downturn to catch up, move aggressively while competition is cutting costs and lead this wave.

This is a big bet for CISCO but looking at their past, hopefully they pull this off. We want them to.

- John's answers to a question on " What does this mean for your customers?" is quite illustrative and impressive.