Cisco Case Analysis

Cisco Case Analysis

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  • Cisco designs, manufactures and sells Internet Protocol (IP)-based networking and other products related to the communications and information technology industry and provides services associated with these products and there use. Their product portfolio consists of a broad line of products for transporting data, voice, and video within buildings, across campuses, and around the world.
  • Cisco was founded in 1984 by a group of computer scientists from Stanford University.Cisco was incorporated on December 10, 1984 in California.At the end of Q2 FY2011 (ending January 29, 2011) Cisco has 72,935 employees Surpassed 39 billion in revenue in 2008Corporate headquarters located in San Jose, California32 factories worldwide, 30 of them are outsourced.Spends nearly $5.3 billion a year in R&D, making us one of the top R&D spenders in the world.
  • Video Easier to Create, Consume, Search and Share Across the EnterpriseCisco Demonstrates Leadership in Virtualized, Scalable, Cloud- Ready Data Centers with Customer and Technology MilestonesShipped its one millionth Nexus 10Gb Ethernet portReached nearly 4,000 customers, 1,000 being repeat buyersCisco's Unified Computing System revenue grew more than 700%Cisco Connects Businesses to Consumers via VideoAugment in-person meetings and interactions with lifelike video experiencesHD recording and sharing on FaceBook, Flipshare and You Tube
  • More Speaking Here
  • Fiscal 2010 was a defining year for Cisco following the unprecedented global economic challenges of the year before. This was our opportunity to show the world what a truly great company we are, and to position ourselves to extend our leadership in the years ahead.   — John Chambers, Chairman & CEO
  • In fiscal 2010, Cisco reported record net sales of over $40 billion, an increase of 11% compared to a year ago. Annual product sales were $32.4 billion, up 11% year-over-year. Service revenue represented 19% of annual sales or $7.6 billion, up 9% from a year ago. Sales across all of our geographic theaters increased when compared to fiscal 2009. We attribute this increase to an improvement in overall demand derived from a gradually recovering global economy as well as, in our view, increased demand for the architectural approach to products and services that only Cisco can offer.
  • Cisco has a robust balance sheet. The company features significant cash and cash equivalents and investments of 39.861 billion. Its investments, which are primarily short term in nature, stood at 35.280 billion, compared to last years 29.283 billion.
  • Because of the amount of cash that Cisco holds on to it has inflated our “T” value which causes our index to decrease.
  • Beg: Amanda Sales long term trend (5 years).
  • AmandaSales by long term (5 years) broken down into quarters… shows growth and decline throughout the years.
  • Amanda Sales by quarters continued
  • AmandaSales by SBU. What SBU is. Q1 and 2 of 2011 Management pg. 148
  • Amanda Market Share of stoves vs. industry and competitors (averages over the past 5 years). to a cisco representative and they do not compute their market share, but other companies do it for them occasionally. This is market share of stocks
  • AmandaMarketing tactics, timing tactics and market location tacticsStrategic Management pg. 192-195
  • AmandaMarketing location tactics cont.
  • AmandaI asked Maddocks about the success statements…Got from Cisco website, searched success statement
  • AmandaSuccess statement cont.
  • Handout form teacher
  • AmandaThe structure of the top management / executive team at Cisco (corporate management not board of directiors).
  • AmandaTop management cont.
  • AmandaCompensation. Cisco representative said they don’t give out exact amounts, but this is how they decided to compensate top management for the 2010-2011 years.
  • Chambers - Salary of $382,212, the San Jose company said in a regulatory filing last week. He was awarded stock options valued at $5.69 million and got $4.6 million under the nonequity incentive plan
  • Amanda Direction of top management team, asked maddocks where to get info from.
  • -$132 million which translates to -9% where Alcatel-Lucent has gained 8%
  • Switches join multiple computers together to create a LAN or WAN.
  • Extend the working life of capital assetsAvoid or defer construction of new facilities
  • Contributing $10 million of product, services and supportCare-at-a-distance technology that combines video, audio and medical informationThe cameras and electronic scopes will enable patients to see and listen to the medical exam in the same manner as the clinician, according to CiscoEnables members of a patient’s care team–primary care provider, specialist physicians, care manager, family members and others–to meet, regardless of location or distance, said the company.
  • Handout from teacher
  • The company’s robust balance sheet enhances its investors’ confidence as well as allows it to investin the future growth avenues.
  • Electricity outages cost U.S. industry about $50 billion per year.Reduce U.S. greenhouse gas emissions equivalent to 60 to 211 million metric tons of CO2 annually in 2030.Generate approximately 280,000 direct jobs across various categories.Obama administration has also increased the maximum award available through ARRA's Smart Grid Investment Grant Programfrom $20 million to $200 million, and the Smart Grid Demonstration Projects from $40 million to $100 million. A power network utilizing present computing technologies will eliminate blackouts and brownouts due to under-capacity, and will enable better overall reliability through advanced monitoring and management.
  • Regulatory - Operations. Efficiency measures that impact new or existing buildings, changes that impact assets that are direct emitters (e.g., vehicle fleet, diesel generators), and changes that would impact the price of energy (fuels and electricity).Cisco sees a limited risk from increasing operational costs caused by stricter building codes or increasing electricity, fuel and transportation costs. Cisco is not a heavy emitter of greenhouse gases and is therefore less sensitive to changes in regulations than carbon-intensive industries.Physical – Impact could be actual labor availability or political instability caused by or attributed to climate changeGeneral - Market and brand risks are probably the biggest and most clearly defined risks specifically because Cisco has positively differentiated itself with respect to climate change and operational, product and solutions activities to reduce GHG emissions.To address risks associated with regulations on fuel/energy taxes, Cisco has developed an Energy Management department to continually track and monitor Cisco’s global energy consumption and associated GHG emissions. This department also is charged with identifying, evaluating and implementing projects to improve the efficiency of Cisco’s operations and minimize Cisco’s carbon footprint.
  • Data – All information about Cisco is confidential and is not for their use.Ethics – We follow the law, No bribes, avoid conflict of interest, avoid unfair business practices, anti-corruption, avoid political and charitable contributions on Cisco’s behalf and unauthorized lobbying.Health and Safety – Regulatory compliance, Hazard ID and risk mitigation, documentation and inspection, suppliers must implement control measures to ensure environmental protection.
    1. 1. Cisco Systems Inc.
    2. 2.Part One: Introduction and External Analysis
    3. 3.Cisco Systems - Introduction
      • Founded in 1984
      • 4.Incorporated on December 10, 1984
      • 5.Have 72,935 employees
      • 6.Surpassed 39 billion in revenue in 2008
      • 7.Corporate headquarters located in San Jose, California
      • 8.32 factories worldwide, 30 of them are outsourced.
      • 9.Spends nearly $5.3 billion a year in R&D
    4. Cisco Systems – Intro – Recent Events
      • Video Easier to Create, Consume, Search and Share Across the Enterprise
      • 10.Cisco Demonstrates Leadership in Virtualized, Scalable, Cloud- Ready Data Centers with Customer and Technology Milestones
      • 11.Cisco Connects Businesses to Consumers via Video
    5. Networking and Communication
      • Industry: Networking and Communication supplies and services
      • 12.Industry Consolidation – Few competitors in their main product area
      • 13.In 2006 they had 70% of the share of its core router and switch market.
      Juniper Networks and Hewlitt-Packard selected as benchmarks.
      Cisco's Chambers Problem
      Cisco Competition
    6. 14.Cisco’s Mission Statement
      Shape the future of the Internet by creating unprecedented
      value and opportunity for our customers, employees, investors,
      and ecosystem partners.
      Changing the Way We Work, Live, Play, and Learn.
      Cisco has a very bland and basic mission statement that only ranks as an “ok” (5) on the MVV evaluation.
    7. 15.External Analysis
      • Remote (Societal) Environment.
      • 16.Industry (Task) Environment
      • 17.Assessment of Competition
      • 18.Most Crucial Threats and Opportunities, with score.
    8. Remote (societal) EnvironMent
      • Innovation
      • 19.Product and services expansion
      • 20.Market of Airline Industry
      • 21.Reusing existing Cisco gear to act as mobile POPs
      • 22.Cloud Computing
      • Economic slowdown
      • 23.Price wars
      • 24.Product substitution
      • 25.Margin erosion
      • 26.Consolidation trend
      • 27.Consumer loyalty
    9. Industry/Task Environment
      • Low supplier power, Cisco has taken control of its supply chain
      • 28.Router and switch market share discourages new entrants
      • 29.Switching costs are high(reduce buyer power)
      • 30.Acquisitions removes some threat of startup success
      • 31.Growth in the consumer market and cloud computing
      • Flip Video – bargaining power of buyers.
      • 32.MSFT – Threat of new entrant (bundle unified communications software)
      • 33.GOOG –

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        Threat of new entrant (desktop video conferencing market)

      • 34.Vyatta – Substitute (open source hardware)
      • 35.Asterisk – Substitute (open source VoIP)
    10. Assessment of Competition
      • Increase competition in bottom layer switch market
      • 36.Smart Grid Technology
      • 37.Asian Market – Tata Communications
      • 38.Server growth – up 700%
      • 39.Cloud-centric software
      • Mirrorless SLRs are the response to Flip video
      • 40.Juniper announced data center
      • 41.Juniper entered into a partnership with IBM to handle network connectivity for the latter’s cloud computing
      • 42.3COM emerging into markets like China
      • 43.Juniper’s high-end switches (EX) and Junos OS
      • 44.HP’s low cost switches
    11. Summary – Most Crucial Opportunities and Threats
      • Increase competition in bottom layer switch market (9)
      • 45.Server growth (10)
      • 46.Cloud Computing (10)
      • 47.Smart Grid Technology (10)
      • 48.Asian Market (8)
      • HP’s low cost switches (10)
      • 49.MSFT – Threat of new entrant (bundle unified communications software) (7)
      • 50.Consolidation trend (7)
      • 51.Juniper/IBM (9)
      • 52.Juniper’s data center (10)
      Avg. ~ 47/5 = 9.4
      Avg. ~ 43/5 = 8.6
      O-T ~ 9.4 – 8.6 = .8
    12. 53.Part Two: Internal Analysis
    13. 54.Net Income Trends -CSCO & Benchmarks
    14. 55.CSCO Quarterly Earnings vs. Consensus Estimates
    15. 56.Revenue by product category and service
    16. 57.Key Income Statement Data FY2010
    17. 58.Key Balance Sheet Data FY2010
    18. 59.Cash flow Data fy2010
    19. 60.Important Financial Ratios FY2010
    20. 61.Applying Altman’sBankruptcy Formula
      Z = 1.2*A + 1.4*B + 3.3*C + 0.6*D + 1.0*E, where;
      A = Working Capital / Total Assets (%)
      B = Retained Earnings / Total Assets (%)
      C = EBIT / Total Assets (%)
      D = Market Value of Equity / Total Liabilities (%), and
      E = Sales / Total Assets
      “Scores below 1.81 indicate significant credit problems while scores above 3.0 indicate a healthy firm. Scores falling between 1.81 and 3.0 indicate question marks.”
    21. 62.Z-Value
    22. 63.Index of Sustainable Growth
      g* = [P(1-D)(1+L)] / [T-P(1-D)(1+L)], where
      P = (Net Profit before Tax / Net Sales) x 100
      D = Target dividends / Profit after Tax
      L = Total Liabilities / Net Worth
      T = (Total Assets / Net Sales) x 100
    23. 64.Inventory Turnover FY2010
    24. 65.Credit Ratings
      March 9, 2011-Standard & Poor's Ratings Services said today that it assigned its 'A+' issue rating to San Jose, Calif.-based Cisco Systems Inc.'s (Cisco) three tranches of senior unsecured notes.
    25. 66.Cisco Stock Price History
    26. 67.CSCO Stock Price – 5 year trend
    27. 68.CSCO Stock Price – 2 year Trend
    28. 69.Financial success Statement
      In fiscal 2010, we saw a solid return to balanced growth across geographies, product and customer markets exemplified by Cisco reaching over $40 billion in fiscal year revenue. We focused our efforts on defining true innovation and operational excellence within our company. And we improved our position as a strategic partner to customers worldwide by showing how the network has become, in our view, the most strategic asset in communications and information technology (IT) today.
    30. 71.Cisco long term Total sales From 2006-2010
      • 2006 = 23.38 Billion
      • 72.2007 = 34.90 Billion
      • 73.2008 = 39.60 Billion
      • 74.2009 = 36.10 Billion
      • 75.2010 = 40 Billion
    31. Cisco long term Quarterly sales from 2006-2010
      2006 2008
      Quarter 1: 6.50 Billion Quarter 1: 9.60 Billion
      Quarter 2: 6.60 Billion Quarter 2: 9.60 Billion
      Quarter 3: 7.30 Billion Quarter 3: 9.60 Billion
      Quarter 4: 7.98 Billion Quarter 4: 10.40 Billion
      2007 2009
      Quarter 1: 8.20 Billion Quarter 1: 10.30 Billion
      Quarter 2: 8.40 Billion Quarter 2: 9.1 Billion
      Quarter 3: 8.90 Billion Quarter 3: 8.2 Billion
      Quarter 4: 9.40 Billion Quarter 4: 8.5 Billion
    32. 76.Cisco Long Term Quarterly Sales from 2006-2010 cont.
      Quarter 1: 9.00 Billion
      Quarter 2: 9.80 Billion
      Quarter 3: 10.40 Billion
      Quarter 4: 10.80 Billion
    33. 77.Sales by strategic business units in quarter 1 and 2 of 2011
      • Strategic Business Units = divisions or groups of divisions composed of independent product-market segments that are given primary responsibility and authority for the management of their own functional areas.
      ROUTERS - $1,835 ROUTERS - $1,672
      SWITCHES - $3,532 SWITCHES - $3,151
      NEW PRODUCTS - $3,104 NEW PRODUCTS - $3,202
      TOTAL PRODUCT – $8,700 TOTAL PRODUCT - $8,236
    34. 78.Market Share of stocks
    35. 79.Marketing Tactics
      • Tactics = specific operating plans that detail how a strategy is to be implemented in terms of when and where it is to be put into action.
      • 80.Timing Tactics
      Historically a first mover supported by being a first mover in technology. They specialize in routers, switches, wireless, security, optical networking, etc. Cisco is also considered a industry leader.
      • Market Location Tactics: Offensive
      Cisco has always been known to take a frontal assault because they are a market leader. They go head to head with its competition.
    36. 81.Marketing Tactics
      • Market Location Tactics: Defensive
      Cisco takes the path of raising structural barriers. They do this to block challenger’s logical avenues of attack.
      Some factors of Porters they use are:
      Offering a full line of products in every profitable market segment to close off any entry points.
      Keep their items reasonably priced for their most popular products and services.
    37. 82.Cisco Success statement
      • Cisco has had many success stories throughout the years which is a large part in being a industry leader.
      • 83.Customers drive our business strategies to achieving success and excellence in everything we do, and will continue to be our key focus for developing products and services that accelerate their capability to prosper in the Internet business.
    38. Cisco success statement cont.
      • An example of a success story is:
      In 2001 the cost of direct DSL and ISDN access increased markedly. Cisco transitioned tens of thousands of teleworkers and remote office workers worldwide to remote access VPNs. To determine if additional capacity was needed, Cisco used Cisco NetFlow in conjunction with various open-source tools to characterize existing traffic and then extrapolate expected traffic. With this business intelligence, Cisco successfully transitioned 22,000 users to VPN in only three months.
    39. 84.Marketing problems
      • The dominance in network switches that Cisco holds is waning.
      • 85.Hewlett-Packard has been particularly aggressive in the switching market since they have entered.
      • 86.Cisco’s video-conferencing system for living rooms has been a strange product to market.
      • 87.There is little market for such a product when consumers can video chat for free over the internet instead of paying $600 for the equipment and a $25 a month service fee.
    40. Analysis of Management Position
    41. 88.Corporate management team
      • Frank A. Calderoni
      Executive Vice President, Chief Financial Officer
      • John T. Chambers
      Chairman and Chief Executive Officer
      • Mark Chandler
      Senior Vice President, Legal Services, General Counsel and Secretary
      • Blair Christie
      Chief Marketing Officer, Worldwide Government Affairs, Corporate Communications
      • WimElfink
      Executive Vice President, Cisco Services and Chief Globalization Officer
    42. 89.Corporate management team cont.
      • Robert W. Lloyd
      Executive Vice President, Worldwide Operations
      • Gary B. Moore
      Executive Vice President, Chief Operating Officer
      • Randy Pond
      Executive Vice President, Operations, Processes and Systems
    43. 90.Management Team - Diversity
      • Board – 13 members, 2 internal
      • 91.65 Executives
      • 92.56 men
      • 93.9 women
      Executive Biographies
    44. 94.Executive compensation
      • Compensation Governance. The core of Cisco’s executive compensation continues to be pay for performance, and the framework includes the compensation governance features discussed below:
      Provides shareholders with the opportunity to cast advisory votes on compensation
      Have no employment or severance agreements, special benefits, supplemental executive retirement plans, perquisites, or tax equalization.
      CEO compensated below targets and median of the peer group of three out of the last five years.
      Compensation Committee is solely independent directors.
    45. 95.Top Five – 2010 Compensation & Tenure
      John Chambers – $18.9 million in 2010
    46. 96.Direction of top management team
      • Continue to seek to expand share of Cisco’s customers’ information technology spending.
      • 97.Focus on core networking capabilities while expanding into product markets where the network as a platform is increasing.
      • 98.Focusing primary attention include those related to the increased role of virtualization/the cloud, video, collaboration, and networked Web 2.0 technologies.
    47. Top Management Performance Indicators
      Qualitative Factors
      Quantitative Factors
      Strategic Direction (4)
      Implementing Strategy (5)
      Building Mgt. Team (4)
      Management Qual. (5)
      Succession (4)
      Labor Relations (4)
      Technology Leader (5)
      Board Relations (4)
      Investor Relations (5)
      Return on Assets (5)
      Return on Investment (4)
      Return on Equity (4)
      Return Meas. Trends (4)
      Cash Flow (4)
      Profit Growth (4)
      EPS (4)
      Dividend Payout (4)
      Stock Price (4)
      Total Return to SH (1)
      Total = 44
      Total = 38
    48. 99.Management Analysis
      • Chambers recently introduced collaborative decision making. 70% of decisions made by groups.
      • 100.20% of senior leaders have left since the switch
      • 101.30 new businesses, 20 more to come
      • 102.Average Tenure – 11.5 years
    49. Part Three: Current Strategic Position
      • Current core competencies
      • 103.Distinctive Competencies
      • 104.Corporate-level strategies
      • 105.Short Term & Long-Term
      • 106.Core SBU Level Strategies
      • 107.5 Critical Performance Indicators
    50. Current Core Competencies
      Hardware product development
      Acquisitions - “Buy-the-startups” (Cisco's acquisition strategy is best-in-world and we particularly look for acquisitions that capitalize on market disruption through new technologies and new business models.)
      Collaboration Services
      Network Flexibility/Scaling (data center/hardware/software capacities) and virtualization
      Strategic Alliances (AT&T, Dell, HP, Intel, IBM, Microsoft, Nokia, etc…)
    51. 108.Distinctive Competencies
      Smart-grid technology (form of routing or switching) as noted by CEO John Chambers.
    52. 109.Current Long-term Corporate Strategies
      Strategy: One Cisco
      • Grow faster than the market
      • 110.Protect and extend product market leadership
      • 111.Innovate
    53. Current Short-term Corporate strategies
      Internal innovation - $5.3B+ spent on R&D annually
      Acquisition – continued integration of Pari Networks, Inlet technologies, and newScale, Inc.
      Enter into new markets:
      • Media solutions
      • 112.Sports and entertainment
      • 113.Smart Grids
      • 114.Virtual healthcare
      • 115.Education
    54. MIS/Information Age Readiness
      • Incredible website
      • 116.Use the products they develop
      • 117.Recently upgraded their ERP to Oracle 11i
      • 118.Purchasing
      • 119.Data Storage
      • 120.Technical Support
      About Cisco
    55. 121.Borderless Networks Group
      • Comprised of Routers and Switches
      • 122.Increased their revenue by 33% from ‘09 to ’10
      • 123.Q2 ‘FY11 Sales down $132 million
      • 124.70% of the market share
      • 125.Improve application velocity and enhance collaboration while reducing branch IT operational expenses by up to 70 percent
    56. Collaboration Group
      • Webex and TelePresence and other VoIP technologies
      • 126.90 percent of frequent users save at least two hours of work time per week through video collaboration
      • 127.It is possible to achieve 100% ROI in 5 years and payback periods of 21-40 months
      • 128.Reduction of 21 percent in corporate travel spending
    57. 129.
    58. 130.Cloud Computing GroupData Center and Virtualization
      • Energy efficiency
      • 131.Reduce energy costs
      • 132.Optimize use of space, power, and cooling infrastructure
      • 133.Infrastructure Consolidation
      • 134.Business Continuance
      • 135.Workforce Productivity
      Cloud Computing Explained
    59. 136.California Telemedicine Pilot Project
      • Contributing $10 million of product, services and support
      • 137.Care-at-a-distance technology that combines video, audio and medical information
      • 138.Patients will be able to view the medical exam
      • 139.Easiness of meeting
    60. Identification of sbu Level strategies and tactics
      • As mentioned earlier Cisco’s strongest market is with their switches.
      • 140.The revenue has declined 7% in the latest quarter because they are under attack by competitors such as HP.
      • 141.Cisco’s consumer products such as Linsksys routers, Flip video cameras, etc. don’t stand a chance against Apple.
      • 142.They need to market their products more efficiently and spend more money on marketing popular products than products that serve a small niche market.
      • 143.Cisco just unveiled a new home-entertainment system in January to hopefully “reinvent the entire TV experience.”
    61. Corporate Social ResponsibilityKey performance indicators
    62. 144.Corporate social responsibility key performance indicators
    63. 145.Corporate social responsibility key performance indicators
    64. 146.Corporate social responsibilitykey performance indicators
    65. 147.Part Four: Current Overall Position
      • Internal Strengths, Weaknesses
      • 148.Strategy Choice (Grand Strategy Matrix)
      • 149.Overall Problem/Success Statement
    66. Strengths:
      • Strong Market Position (9)
      • 150.Strategic alliances (9)
      • 151.Robust Balance Sheet (9)
      • 152.Human Network/Smart Grid (9)
      • 153.Strong Management (8)
      • Lack of presence in consumer market (8)
      • 154.High pricing - cheaper alternatives(8)
      • 155.Constant re-engineering (7)
      • 156.Brand Recognition (6)
      • 157.Acquisition Integration (9)
      Internal Strengths and Weaknesses
      Avg. ~ 44/5 = 8.8
      Avg. ~ 38/5 = 7.6
      S-W ~ 8.8 – 7.6 = 1.2
    67. 158.Swot Matrix and Grand Strategies
      Cisco – (1.2, 0.8)
    68. 159.General Statement of Conditions
      • Leader in almost all of our product markets
      • 160.Strong strategic alliances with MSFT, IBM, AT&T, Dell, Intel
      • 161.All sales in all geographic locations went up
      • 162.Low market share in consumer products
      • 163.Strategy of buy, build and partner
      • 164.Strong financial position
    69. Part 5: strategic Assessment
      • Long-Term Prospects and Options
      • 165.Short-term Prospects and Options
      • 166.How strategy options support long term survival.
      • 167.Summary
    70. Long-Term Success – Consumer Product
      • Although Cisco has a huge line of products and services a long -term goal would be to improve their consumer products.
      • 168.Cisco can go about that by developing brand recognition within their consumer market.
      • 169.Market different products:
      • 170.
    71. Long-Term Success – Smart Grid
      • 49% of cyber security threats to the electrical infrastructure initiate from breaches of physical security.
      • 171.Cisco partnered with German electricity company Yello Strom to launch a smart-grid pilot project in 70 German homes and businesses.
      • 172.Eliminate blackouts and brownouts
      • 173.Promises to be a $20-billion-a-year business
    72. Long-Term Success – The Human Network
      The Human Network - this
    73. 174.Short Term Imperatives
    74. 175.BAMGSustainability ExerciseCisco Systems
    75. 176.1. Responses to
    76. 177.2. Other Related Goals & Performance
      • Optimize business operations and cut costs
      • 178.Extend lifecycle / reduced power consumption
      • 179.Optimized processes
      • 180.Simplified architectures
      • 181.Reduce Greenhouse gas emissions
      • 182.Innovative software added to the Cisco Catalyst switching portfolio
      • 183.Available for customers to download
      • 184.This reduces GhG emissions, saves energy and reduces costs
    77. Goals Continued
      • Reduce energy consumption and cost
      • 185.Power management
      • 186.Tracking and reporting
      • 187.Infrastructure consolidation
      • 188.Comply with government directives
      • 189.Recycling
      • 190.Use end-of-life programs that reduce the overall impact of the environment
      • 191.These end-of-life programs are designed to reuse or harvest the material commodities contained in the equipment collected and return those materials to the market where they are made into new products
      • 192.Create competitive differentiation
      • 193.Virtual worker
      • 194.Remote collaboration
      • 195.Resource virtualization
    78. 3. Smart Grid
      Smart Grid
    79. 196.4. Supplier Environmental Responsibility
      Global Supplier Enrollment Package
      • Supplier Profile Form, EFTP Enrollment Form, Certifications, Tax Requirements, and Supplier Diversity Policies
      • 197.Certifications
      • 198.Data Usage and Protection Certificate (Certificate I)
      • 199.Code of Ethics Certificate (Certification II)
      • 200.Supplier Environmental Health and Safety Certificate (Certificate III)
      • 201.Supplier Diversity Policies
      • 202.Cisco believes purchasing products from small, women-owned, small disadvantaged, minority, disabled veteran, and HUBZone enterprises are key to the economic vitality of both Cisco and the community.
    80. 5. Doing Enough?
      Yes, we think they are doing enough because:
      • They have produced many programs that make them socially and ethically responsible.
      • 203.Optimize operations
      • 204.Reduce GHG emissions
      • 205.Reduce energy consumption
      • 206.Recycle
      • 207.Create differentiation
      • 208.Supplier certifications and environmental requirements.
    81. Are they Challenged?
      "Are they challenged? Absolutely. But outside of Apple and Google, we don't see a company in the technology space that is as well positioned for growth.“
    82. 209.Any Questions?

    Category: Case study

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