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Authors: Subhankar Dutta
Published by: Amity Research Centers
Published in: 2014
Length: 11 pages
Data source: Published sources

Abstract

Microsoft, the premium multinational company, had established its commercial supremacy in the global software market by manufacturing technologically advanced computer software, operating systems, internet software etc. After commencing its commercial journey from the year 1975, the company gradually earned global reputation in the software business under the able leadership of Bill Gates (Gates). In 2014, Gates stepped down as Chairman of Microsoft and immediately thereafter took over the new responsibility as technical adviser of the company. At the same time, Microsoft appointed Satya Nadella (Nadella) as the new CEO of the company in February 2014, replacing Steve Ballmer. After becoming the CEO of the company, Nadella set a new vision to change the commercial culture of Microsoft. As a first step, he planned to restructure Microsoft by introducing ‘mobile-first, cloud-first world’ model, merging all important Windows versions of software into one complete Windows operating system. Thereafter, Nadella announced job cuts of around 18000 employees by 2015, as part of the company’s restructuring process. Such a major employee retrenchment decision of Microsoft had largely affected the labour market. Moreover, Nadella’s job cuts announcement had led Microsoft to shut down the Xbox Entertainment Studios programme. In the backdrop of all these developments, it remained to be seen whether the new restructuring initiatives would help Microsoft to register a stable commercial growth under the efficient leadership of Nadella.
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Abstract

Microsoft, the premium multinational company, had established its commercial supremacy in the global software market by manufacturing technologically advanced computer software, operating systems, internet software etc. After commencing its commercial journey from the year 1975, the company gradually earned global reputation in the software business under the able leadership of Bill Gates (Gates). In 2014, Gates stepped down as Chairman of Microsoft and immediately thereafter took over the new responsibility as technical adviser of the company. At the same time, Microsoft appointed Satya Nadella (Nadella) as the new CEO of the company in February 2014, replacing Steve Ballmer. After becoming the CEO of the company, Nadella set a new vision to change the commercial culture of Microsoft. As a first step, he planned to restructure Microsoft by introducing ‘mobile-first, cloud-first world’ model, merging all important Windows versions of software into one complete Windows operating system. Thereafter, Nadella announced job cuts of around 18000 employees by 2015, as part of the company’s restructuring process. Such a major employee retrenchment decision of Microsoft had largely affected the labour market. Moreover, Nadella’s job cuts announcement had led Microsoft to shut down the Xbox Entertainment Studios programme. In the backdrop of all these developments, it remained to be seen whether the new restructuring initiatives would help Microsoft to register a stable commercial growth under the efficient leadership of Nadella.

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