Thread regarding 3M layoffs

No executive bonuses if the main reason they make their numbers is by eliminating positions. Evaluate them based on what they actually did vs cutting cost. Anybody can run the numbers and balance a check book.

Leadership should get bonuses based on organic growth or at least a significant portion. For decades organic growth has been minimal/flat. When you have money you can do that and nobody knows any better.

3M does not have the cash to buy growth anymore, if they don’t figure out how to grow organically, sadly things with continue and annual cuts will continue.

The difference with cuts this time is it is just not a percent headcount reduction. They are having to cut entire programs/services as there is no way to balance the numbers. Too much cash bleeding on lawyers snd payout on case losses with much more to come.

The shame in this is leadership knew they were eliminating LSS for quite some time. More than a couple months. Guessing at least four. They continued to hire BBs and MBBs into these roles that they knew they were eliminating. Many of these people had good jobs and would NOT have been eliminated. Responsible leadership would have recognized the likelihood of this happening and frozen all new hires/replacements. They could have spun it as a positive message and not alarmed people. They did not. They recruited, advertised, persuaded people to to take jobs that would be eliminated. At least highly likely. These are the types of decisions that breathes either incompetence or a cold cold heart.

Roman and Patolawala couldn’t find a successful business plan with a map.

From a business perspective: I'd adopt a requirement that any position that is a Division Director and above must be lead by people who have some level of history or expertise in the markets they serve. With one exception, I have seen way too many Division VPs come through PSD in the past 25 years and not have a clue regarding the products, markets, or industries they serve. They become bean counters and bullies because they have no relevance or credibility with the external markets. And, "No" traveling for a few days with a sales rep doesn't meet this requirement.

Did Mike Roman himself create this thread in a desperate attempt to come up with a plan?

I have a colleague who got a double promotion to become LVS director. Such a lucky chap to benefit from this A3M structure.

Someone in LVS eliminated my job as part of the A3M failure. 3M quickly realized what an asin-ne mistake that was and re-hired me. The silver lining: now that my resume is circulating out there, recruiters contact me frequently for external opportunities. I think I'm finally ready to abort mission and escape this dumpster fire.

Interesting to hear so many candid feedback on the LVS roles. Isn't this created as part of "Advance 3M"?

Well done M.R.! Your operating model s.u.c.k.s

I work in a plant

So far, what I have seen from area LVS group is - their job duties is to consolidate information from the area sites and report up to global. That's all. Mainly one way information requests.

Mind you. These PowerPoint experts are of high JG14-16

Segment marketing—-start pumping out slides!!! Not.

One of the first things I'd do as CEO, aside from eliminating all LVS jobs, is revise the interview questionnaire for CEO candidates such that the first question is, "share your thoughts about GE leadership". If they approve, the interview ends then and there.

Re: You see so many LVS directors, but they don’t have any direct reports!

That's because they lean-value-streamed out (aka eliminated) the jobs of the ppl reporting under them! If you report up through any LVS person, get your resume updated and watch your back. One can never be safe anymore. If they start asking you questions about how much time you spend on x activity, be scared. Be very scared! I speak from experience.

@ Eliminate all LVS job

Fully agree on that!

I wonder why that group was created in the first place?? Totally no value added at all.

You see so many LVS directors, but they don’t have any direct reports!

Not sure if you can really "save" the company without more spins after the health care business. The world has changed and the 3M philosophy of "make a little, sell a little" at high margins is no longer relevant for most businesses. A lot of smaller companies compete with 3M in certain markets and they are singularly focused on volume and beating 3M on cost and price.

The company had an incrediblely great 1st 100 years but I can't see how it will succeed without breaking into at least 4 or 5 pieces, focused just on certain markets and businesses.

The shrink the core concept is the right idea but 3M is only doing it to cut costs without a master game plan for the future. We are like Tyco some 20 Years ago.

The bummer is that the days of a large CRL and other functions can no longer be supported in these and future times. No doubt this is bad news if you are in these areas but look for a job at a manufacturing site before it's too late.

The spun off businesses may end up merging with a company to make a stronger entity. Just hire the new CEOs from other industry competitors, please don't keep the current crop of business vps and never again hire a GE reject or supposed superstar like mcnerney or monish.

Merge it w DuPont or basf

Need to invent something new and invest in new manufacturing assets. All the cutting costs and laying people off hasn’t worked for the last 8 years, why should it work going forward?

I was in exec conf for about a decade and retired last year very early due to Monish, Roman, and general incompetent COC and seeing the company declining and doing basically the opposite of everything that shod be done.

I always emphasized transparency and trust in the divisions I led. That was not valued by Monish or Roman even though we always delivered results- which was easier since our teams let people do their jobs.

3M is on the totally wrong track and this list of changes looks very accurate to me.

I hope the board reads this string

1. Terminate Monish and hire someone not affiliated with GE.
2. Eliminate all LVS jobs.

When someone hands you a bag of p00p, cut the bottom out first!

Next CEO needs to build Trust !! divestitures , acquisitions, Spin-offs, Claims, Vision , Road map don’t work if underlying culture is toxic. From top to bottom and reverse, there is no trust.

Who ever is backing the CEO and the entourage read this !!

A CEO cannot turn this around. Needs a trustee ship to make some decisions and follow thru actions.. not keep shifting priorities and strategies..

@rew+1iQ2AWty , do agree with you.
I think BGs are suffering, 3M product Portfolio are commoditised in Majority of their portfolio yoy and then for balance they have priced themselves out..
Meantime, 3M needs to simplify their structures to remove costs and focus on the core.. they are competing with younger, meaner and most times simpler to deal with. We have too heavy an infrastructure so it’s bound to collapse..
If only cosmetic changes continue to be done or lame acquisitions.. you cannot outrun ones structure.

All activities set up by MR and entourage are all retrospective .. neither directional only reactive…

#5 in the first response. Thesingle most important thing you could do is to recalibrate profitability expectations with shareholders. Given our mature portfolio of solutions, our markets are no longer big enough at the profitability guidance currently expected to continue to grow the company. Start going after high volume business 3M is too arrogant to pursue as is.

#1 eliminate layers in the management structure
#2 eliminate all things “digital”. Focus on the core - material science
#3 stop the SAP program.
#4 focus on hiring talent. Stop outsourcing talent.
#5 go after low margin high volume
#6 consolidate plants
#7 pray for good outcomes from all the lawsuits.

The reason for the bloated structure is the outcome of Advance 3M operating model. Many layers were added during this period, and it created many new SVPs, VPs and Directors. Many of them received an "instant" title promotion to make them feels good.

If I am next CEO I will remove many of the fatty layers

Sell off valuable assets starting 2023

Get rid of the bloated management structure. We don't need a nanny manager for every 8 to 12 worker bees!

Fire Monish

I am from EO employee and current structure is like this

CEO
EO Group president
Area SVP
VP
POL
Plant Dir
Senior Mgr
Department Mgr
Supervisor
Employee (Me)

Exactly

Only 4 levels of reporting structure:
CEO--VP--Director--Empolyees