Someone put forth a jolly story about 3M and the various "captains" that have steered mother mining off course into being a shipwreck.
My take over 35 years plus two years of retirement is more sober, though I may enjoy some good ipa(s) tonight on a beautiful evening.
- The Firing this week of so many MTEs in huge numbers means 3M is throwing in the towel on bringing many new products to market. Perhaps it's a recognition that the pipeline isn't as loaded as it used to be. But my take is the company is on the verge of being broken or sold off into pieces. Let the new owners decide if they want the MTEs back or if they want to just run the course with the current products. This would be like an NFL team deciding its too cash strapped and can't afford to pay the draft picks so it's going low level free agency from now on.
- The mass firings via TEAMS are not a one time event but like the way things will be when the next wave of anywhere IMHO from 3 to 5 more get cut in August. The company doesn't care about optics anymore, only in making the spins or sell offs bare bones on costs and hope they can find a merger partner or acquirer. The simplest way to cut is mass firings. Ugly and very unlike the 3M of the 1980s when I started working. A very sad ending to a wonderful company.
- Tireman was hired not only to fire thousands but break up the old structure so that the costs of reassigning people will be easy when not a lot of people are left to reassign. It's a dark day everywhere but I have to believe this week at the Center may have been the worst ever.
- Vales exit was a shocker (deserved yes, but not anticipated). Roman has been a complete zombie for almost 2 years. Even WS sees this and seems to be challenging his :playbook. All this exit did is change WHO but not WHAT will happen in the break-up. Maybe the WHEN got pushed back 6 months but the new (outsider, likely) will be given a short leash by the board to break up. And don't be fooled when Mike told investors that they're went any more plans to spin other than HC. Monish is probably running the show and feeding Mikey just the drivel he needs to know.
- The real wild cards are A. The fate of the pension..which spin gets the assets and liabilities. And B. Retiree medical. When the company just drops it and tells you to find your own way. They are under no obligation to keep this even for Portfolio I folks.
Would appreciate any other views whether from the inside or those who have left.
But the Harvard Business Review will be studying 3M and GE in 5 years. Kodak is old news now.