Another member of the COC resigning was announced today. Multiple VPs and SVPs have resigned in December. From the trenches it looks like the rate of executives fleeing increases.
Anyone taking bets on how long Mike lasts before he is forced out?
7 replies (most recent on top)
Forget about strategies and double down in Advance 3M. That will produce quickest EPS gain.
3M fu---d around strategically and are now finding out. They had a solid cash position going into the pandemic. Roman should have used that cash to get larger market share, not smaller. Now that the economy is 'warm' to 'hot' again, 3M is caught on the back foot and is hemorrhaging staff. To be honest, there just isn't that much fat left to cut. To get smaller 3M will have to shed businesses. Alternatively they can fire Roman and bring in someone who actually wants to grow a business.
The respirator GM% is being squeezed, but from a very, very high level. Gross Margin for N95s can be 75% or more depending on model. They have always been stupidly profitable. An Aura respirator has a factory cost of only 10 cents or so. Most companies would ki-l for 3M's margins on PPE and some other commodities. These margins are seriously one of 3M's best kept (or widely ignored) secrets.
It is the less inherently profitable businesses that are going to take the hardest inflation hit. The consumer-facing businesses like Home Care, Office Supplies, and CMSD will be the ones in the most trouble.
Advance 3M implementation and the 3M model is completed we will soar!!!? Okay, who knew Mike Roman was trolling the layoff boards?
Yes but since Advance 3M will be more fully implemented in 2023, the situation will dramatically improve
What does HR books say?
People don't leave companies, people leave bosses......
Roman had been dealt a good hand when taking over but just like your average poker player , he starts playing loose and then puts stupid stakes on nothing hands, he needs to start tightening up and playing sensible again, with other companies looking at splitting the depts up 3M should remain tight, the pfas will be sorted by 2024,
Even its Chief Legal officer is leaving. Doesn't give confidence on its impending legal cases?