Just two days after taking over the CEO position at Dell from Kevin Rollins, founder Michael Dell has been quick to make his presence felt.
According to USA Today, Dell sent a memo to employees on Friday eliminating bonuses for 2006 and reducing the number of managers at the company to help cut costs, as well as announcing that he wouldn't be hiring a COO, would be pushing faster product development and will expand into new business to drive up revenues.
In the E-mail, the report continues, Dell says the company ended its fiscal year with "great efforts, but not great results. This is disappointing and it is unacceptable." He adds that he intends remaining CEO for the next several years.
To replace the 2006 bonuses, Dell says the company will budget for above-market raises in 2007 and readjust targets for bonuses. He will also cut the number of managers who report to him from 20 to 12.