Direct quote from the CEO: The cost-cutting is focused on simplifying the company -- Mattel will reduce the number of products it makes by 40 percent.
from an article on Bloomberg.
3 replies (most recent on top)
Reducing 40% of the skus = a 40% reduction in revenue / don’t let Bain tell you anything differently. This is exactly what happened in 2010 when they convince the company to cut anything below xx% margin. The result = we dropped $600 million in revenue which allowed several competitors to create massive footprints (and yet they found a way to make money on categories Bain deemed to small for Mattel).
I work for a competitor now and can’t wait til I can pick your brands off one by one. This is going to be fun!
40% product reduction = x workforce reduction?
Solve for x.
If you are a Millennial, x = YOU.
No more trophy’s for just showing up.
Cue “whaaaa whaaaa!”
Huge layoffs, I'm guessing a paradigm shift that has been underneath the surface since all the real talent was forced out or left on their own due to the total lack of true leadership. All hat, no cow.
A true ongoing train wreck which I had a front seat and watched happen before pulling my rip cord outta there, but seems I timed it perfectly as MattHell is now in a world of hurt because of a self inflicted wound.
Awesome.