Morse said goodbye to CEO Kevin Alcock today as it unveiled a trading update which said full year revenues will come in below last year's. The IT services vendor said that it had experienced “some deterioration in short term services in the final quarter of the year as clients have reduced discretionary spend”. While first half …
Selling services isn't easy!
As an ex-employee I can't help but wonder whether Morse really understands services, especially the big ERP business.
With the erosion of margins in the hardware marketplace Morse decided to move from hardware into services. To this end it bought a couple of small Oracle practices and a very large SAP practice. However, a successful services organisation is very different from a successful hardware seller. There are some who might say that Morse didn't seem to know how to sell services. It concentrated on the large projects (all SAP) and looks as if it has run into a few problems. So another re-organisation and a change of management is announced (there were several during my employment). In the meantime do something, anything! I understand that Morse has now withdrawn from the Oracle Applications world and made the Oracle Apps team redundant. For the sake of those left, I hope they get it right this time.
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