Dell's President of Global Operations, Mike Cannon, and Chief of Marketing, Mark Jarvis, are leaving the company less than two years after being brought on by Dell CEO Michael Dell, who returned to the helm of the computer maker in 2006. Dell, once the top global PC maker, has fallen behind competitor HP, holding only 13.6% of the global market, contrasting with HP's 18.4% share. Consequently, to adapt to lowered demand, the company is restructuring itself in an attempt to cut costs; whereas Dell's sales are currently managed by three regional headquarters around the world, the new company structure hopes to centralize these structures.
Dell has already cut 8000 jobs this year, and analysts predict at least one more round of layoffs in 2009. "It's a big shake-up," said Tim Ghriskey, chief investment officer for Solaris Asset Management. "Will it succeed over the long term? Who knows? But I think a shake-up is positive."