HTC CEO blasts internal bureaucracy

 

Meetings, but no decisions.

The chief executive of troubled Taiwanese mobile phone maker HTC has sent out a company-wide email, saying there is a need to "kill bureaucracy" to deal with a record drop in sales.

Peter Chou emailed employees and board members, complaining that "bureaucracy crept in without clear ownership. We agreed to do something but we either didn't do it or executed it loosely." 

News agency Bloomberg obtained a copy of the email from Chou, and it was confirmed to be authentic by an HTC spokesperson.

In the email, Chou accused HTC of having people "meeting and talking all the time without decision, strategic direction or sense of urgency."

Chou said HTC's competitors could leverage their scale and brand awareness as well as big marketing budgets, enabling them to do things HTC could not do. 

He urged the company not to allow small things to kill major goals and to build on its culture, committed employees, and customer relationships, to emerge from its current rut.

HTC began in 1997, producing personal digital assistants, but switched to making smartphones under its own brand in 2006, hitting record revenue growth in 2010 and 2011, before falling sharply this year.

The company held roughly 16 percent of the world's smartphone market and its shares reached a price of $41.56 before sliding to around $6.50 currently.

This represents a $28.8 billion drop in market capitalisation and the company has cut jobs and costs to as sales and profitability have declined.

The central bank governor of Taiwan, Perng Fai-nan, has urged the island nation's government to step in and assist HTC, which is facing withering competition from Apple and Samsung as well as being embroiled in patent infringement court cases.

Copyright © iTnews.com.au . All rights reserved.


HTC CEO blasts internal bureaucracy
HTC CEO Peter Chou. Source: HTC
 
 
 
Top Stories
CBA sued over frozen millions in IT bribery scandal
Eric Pulier's not-for profit lodges lawsuit in US.
 
NewSat's Lockheed Martin satellite contract cancelled
No certainty as to refinancing for struggling company.
 
Don’t mention digital disruption to David Whiteing
Buzzwords don’t curry favour with CBA's new CIO - it’s all just innovation to him.
 
 
HTC CEO Peter Chou. Source: HTC
Sign up to receive iTnews email bulletins
   FOLLOW US...
Latest articles on BIT Latest Articles from BIT
New features are coming to Outlook.com
May 27, 2015
Outlook.com, thanks to its predecessor Hotmail.com, is one of the world's major webmail services ...
Windows 10 to feature integrated apps for Android and iOS
May 27, 2015
Microsoft reveals multi-platform Cortana connectivity for Windows 10. What the heck is that, and ...
Microsoft launches Office for Android preview
May 22, 2015
Microsoft has launched a preview of Office for Android smartphones. Pre-release versions of ...
Microsoft is working on an iOS email chat feature called Flow
May 22, 2015
Microsoft is working on a new chat app, but at the moment we know more about what we DON'T know, ...
Windows 10 free upgrade: Microsoft details who gets what
May 22, 2015
Microsoft was meant to be streamlining its OS with Windows 10, so why is upgrading so confusing? ...
Latest Comments
Polls
Should Optus make a bid for iiNet?

   |   View results
Yes
  43%
 
No
  57%
TOTAL VOTES: 641

Vote