...INTRODUCTION Cisco Systems was started by a team of husband and wife, Leonaid Bosack and Sandy J. Lerner in 1984. They developed the first specialized microcomputer that enable two or more networks communicate with each other by deciphering, translating and funnelling data between them. This microcomputer also called as “multi-protocol” router has opened up and boosted the functionality of the Internet world. Over the years, Cisco managed to become the spearhead in the data networking equipment market which saw the company provided and manufactured large-scale router that powered the Internet. As Cisco Systems grow and expand over the years, so did the company’s product portfolio. With routers and switches being the core products of the company, other products and services such as hubs, access products (connection for remote access), web scaling products and technologies, security products, InterWorks for SNA, IOS software and network management has slowly become a part of Cisco Systems product portfolio. This expansion of portfolio was made possible through the several acquisitions and partnerships. By 1998, Cisco managed to hold either number one or number two position in 14 of the 15 markets in which it competed. This has made Cisco the top choice among large companies to buy company’s line of products and services. This situation may also reflect from the strong financial growth of Cisco. From 1994 until 1998 Cisco’s total assets sky-rocketed from $1.1 billion to $8.9......
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...Ethical Strategy Review of Cisco Systems ethical strategy, what they say, what they do, and how it impacts their stakeholders. 2010 Contents Introduction 3 Background Information 3 Cisco’s Ethical Strategy 6 Stated Ethical Strategy 6 Stakeholder Analysis 9 Employees 9 Customers 13 Government 15 Suppliers 17 Shareholders 18 Communities 20 Institutionalization of Ethics 21 Explicit Components 21 Implicit Components 22 Corporate Environmental Management 23 Environmental Policy 23 Environmental Management Systems (EMS) 24 Crisis Management Policy 25 Overall Evaluations and Conclusions 26 Recommendations 27 Works Cited 29 Appendix 32 Appendix A - Cisco Code of Business Conduct 33 Appendix B - Cisco Ethics Decision Tree 34 Appendix C – Cisco Systems Inc. Board of Directors 35 Appendix D – Cisco CSR Awards and Recognition 36 Appendix E – Cisco’s Supplier Code of Conduct 39 Appendix F – Cisco’s Supplier Ethics Policy 40 Introduction The purpose of this paper is to see how a Cisco integrates their ethical and socially responsible practices into their business. The paper will look at the company background, and history. It will then analyze the ethical strategy of the company by reviewing the stated ethical strategy, statements and documents that support that strategy and how the strategy impacts the major stakeholders of the company. An examination of how Cisco institutionalizes their ethics strategy into the......
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...Cisco Systems, Inc. - Organizational Behavior and Communication University of Phoenix Communication for Accountants COM/530 January 14, 2013 Abstract An organization’s espoused values are the mission, philosophy, vision, and value statements. These statements represent what the organization values and the enacted values show what the company does. This paper will show the alignment between the espoused values and the enacted values along with describing how the role of communication influences the perception and organizational culture and identify the role of conflict in group communication in Cisco Systems, Incorporated. Cisco Systems, Inc. - Organizational Behavior and Communication The values of an organization originate from the organization’s mission, philosophy, values, and vision statements. How the organization performs may be the same or different from its values. The intention of this paper is to establish if not only Cisco Systems’ espoused values align with its enacted values but also describe how the role of communication plays in the perception and organizational culture along with observing the role of conflict in group communication. Organizational Culture “Cisco Systems remains the world’s largest provider of the routers, switching systems and related hardware, and software and services needed to interconnect computers and make high-speed telecommunications possible” (Cisco System, Inc., 2010, p. 27). One reason Cisco Systems is at the top......
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...isco Systems: The Supply Chain Story Cisco Systems Inc. is a worldwide computer networking company based out of San Jose, California. From Cisco’s beginning they as a company aimed to connect all members of the supply chain. Cisco’s initial product was the router, which contained an operating software called Internet Operating System (IOS). This product launched Cisco as a company and led to their future goal of a completely integrated supply chain. The first integration, a customer support site, came a year after the router was launched and it allowed customers to download and upgrade software as well as technical support through e-mail. This support center continued to grow through the early nineties and was eventually replaced by a customer support system on their website. The customer support system was continually added to and by 1995 it included; company and product information, technical and customer support, and most importantly it introduced the ability to sell products and services online. Cisco’s main desire behind this system was to streamline the process of customer support and allow the information to more easily utilized. In 1996, Cisco implemented another Internet application called “Networked Strategy,” this introduced online order entry and allowed the information to flow through Cisco’s supply chain. The order information was sent to Cisco’s ERP system which in turn sent it out to the various suppliers and manufacturers, allowing for a......
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...1. Cisco systems 2.1 Income Statement Cisco Systems (CSCO) Income Statement | | | | | Fiscal year ends in July. USD -- millions except per share data. | 2009-07 | 2010-07 | 2011-07 | Dell 2011 | Revenue | 36117 | 40040 | 43218 | 61494 | Cost of revenue | 13023 | 14397 | 16682 | 50098 | Gross profit | 23094 | 25643 | 26536 | 11396 | Operating expenses | | | | | | Research and development | 5208 | 5273 | 5823 | 661 | | Sales, General and administrative | 9968 | 10715 | 11720 | 7302 | Total operating expenses | 15772 | 16479 | 18862 | 7963 | Operating income | 7322 | 9164 | 7674 | 3433 | | | | | | | Interest Expense | 346 | 623 | 628 | 199 | Other income (expense) | 717 | 874 | 779 | 116 | Income before taxes | 7693 | 9415 | 7825 | 3350 | Provision for income taxes | 1559 | 1648 | 1335 | 715 | Net income from continuing operations | 6134 | 7767 | 6490 | 2635 | Net income | 6134 | 7767 | 6490 | 2635 | Net income available to common shareholders | 6134 | 7767 | 6490 | 2635 | | | | | | | Earnings per share | | | | | | Basic | 1.05 | 1.36 | 1.17 | 1.36 | | Diluted | 1.05 | 1.33 | 1.17 | 1.35 | Weighted average shares outstanding | | | | | | Basic | 5828 | 5732 | 5529 | 1944 | | Diluted | 5857 | 5848 | 5563 | 1955 | | | | | | | 2.2 Balance Sheet | | | Cisco Systems (CSCO) Balance Sheet | | | | | Fiscal year ends in July. USD -- millions except per share data. | 2009-07...
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...integration process? Re: Acquiring other companies is an important strategy for Cisco to rapidly offer new products, reach new markets, and grow revenue. Cisco strengths were its large scale production reaching to large customer base, good reputation, and good financing capabilities. However, unlike other networking companies Cisco doesn’t always develop new technologies on it own and have to rely on acquisition. Cisco acquisition selection should the meet criteria to ensure it meets its acquisition objectives- the companies should have compatible vision for industry and product perspective, share complementary culture, produce short and long term benefits to Cisco shareholders and company should be geographically located close to Cisco. While, for smother acquisition integration Cisco should setup consistent and adaptable product, personnel and manufacturing acquisition process and at the same time continually refine the process from the lessons learned. Q2. Does the Cisco’s process adequately address the challenges of the Summa Four acquisition? Re: Summa Four was a leading provider of programmable switches which will enable Cisco to offer value- added telephony applications to new and existing service providers. Due to the deregulation of the telecommunications industry, service providers were in a competitive race to develop and deliver these types of enhanced services to their customers. Cisco announced it would acquire the Manchester, New Hampshire—based......
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...Cisco Systems, Inc.: Collaboration on New Product Introduction Viking Project Cisco 1. What are the challenges and risks faced by technology companies in new product introduction? When an introducing new product there are several challenges and risks that technology companies face and must take into account before starting development. The technology industry is rapidly changing with new technology being developed and introduced every day. Therefore, time is of most importance and indeed a challenge that technology companies face. There were several examples of ´time to market pressure´ in the case of Cisco Systems Inc. While their new product took several years of development work they had a deadline they had to meet and launch the product extremely quickly, or else they faced the risk of losing market share. In these years of development, new product introduction can be very expensive where companies usually risk spending a lot of money and make large number of prototypes with little certainty that the product design will meet customer requirements. When the product finally enters the market, customers might already have a product that fulfills their needs or they might not even want such a product any longer since the industry is in constant change. Thus, a two-way street with customers is very important in a product´s development as mentioned in the case. Furthermore, in our globalized world today, technology companies also face the challenge of making a design that......
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...John Morgridge joined Cisco as a CEO in the year 1988. The very first thing he notices in the organization was the lack of professional management team. Initiation for professional management team was the first kick off for the organization. Professional management is considered to be the foundation of any big organization and Cisco started with this thereby sticking with the fundamentals. The professional team clashed with the founders ending up them leaving the company and giving a free hand to Morgridge to handle the organization in a disciplined manner in terms of management. Cisco as an organization started off with a very positive note thereby centralizing the functional areas. Except product marketing and research and development all the other areas (finance, human resources, manufacturing, IT, customer support etc.) were centralized. Although the initial changes in the organization doesn’t claims to the success factor for future implementation, but yes it certainly add a bit to It thereby streamlining the management with a transparent and clear view to proceed. The company was doing extremely well after going public in 1990 and in 1993 reaching the $500 million target. From this it can be clearly seen that the company was in a rapid move to success from the moment it became public in 1990. Analyzing the requirements in the right stage and planning for it is the first initiation which stands for cisco’s success. The need was addressed with respect to the future......
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...Introduction Cisco is a worldwide leader in networking that transforms how people connect, communicate and collaborate. For the year 2012, Cisco reported its fourth quarter and fiscal year results for the period which ended on July 28, 2012 with net sales of $11.7 billion. Cisco was incorporated in December 1984 in California. Cisco’s stock ticker is CSCO. The stock was added to the Dow Jones Industrial Average on June 8, 2009, and is also included in the S&P 500 Index, the Russell 1000 Index, NASDAQ 100 Index and the Russell 1000 Growth Stock Index. Cisco headquarters are located at: 170 West Tasman Dr. SAN JOSE, CA 95134-1706 United States +1-408-526-4000 (Phone) Executive Compensation Compensation for executives consists of three parts including the base salary, variable cash incentive awards, and long term equity based incentive awards. As the chart below displays, the base salary for John Chambers is set at $ 375,000 which is well below the 25th percentile and has remained unchanged since FY 2008. Cisco establishes base salaries at the beginning of the fiscal year based on the performance of the previous year. Performance measure and goals for determining annual cash incentive awards for the executives are pre-established in Code Section 162. The pre-established goals are established based on Cisco’s accomplishment of the financial performance goals, customer satisfaction criteria, and the individual executive’s contribution. Bonuses for all executive officers......
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...Cisco Systems, Inc. 2011 Annual Report Annual Report 2011 Letter to Shareholders To Our Shareholders, Fiscal 2011 was one of the most transformative years we have seen at Cisco. We prioritized, simplified, and took action to drive Cisco’s continued market leadership. We aggressively changed the way we do business to become a faster and more agile partner, with the goal continuing to be to increase our ability to deliver unique value to our shareholders, customers, partners, and employees. Throughout our transformation, we continued to execute as we grew fiscal year revenue to over $43 billion. More importantly, we laid the groundwork needed to position Cisco for the next stage of growth and profitability. We believe the network will continue to grow in importance and could become our customers’ most strategic information technology (IT) asset. We will continue to develop technologies, services, and software platforms that enable our customers to leverage the network to solve their greatest business challenges, which in turn will drive, in our view, greater customer and shareholder value for Cisco and also solidify our leadership position in an ever-evolving networkcentric world. In this current environment, we are fortunate to be a company built on a number of tremendous strengths. From a technology standpoint, innovation and customer support have remained Cisco hallmarks, and we have built the most trusted brand in networking, as evident by our continuing market......
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...resistance to reform. Second, CISCO Systems, Inc. retained a centralized management of the functional organization structure to ensure a stable organizational basis for promoting a significant innovation. Third, a powerful elites team. The project team composed of excellent IT elites, and organization motivated them efficiently in order to make them respond to the challenges actively. Fourth, Strong sense of responsibility and strong support came from the partners. CISCO chose the larger and stronger companies to be the partners in order to reach the win-win situation. CISCO chose KPMG as the integrated partner was based on the company's experience talents who have excellent professional knowledge and rich experience. As Cisco’s ERP software vendors, Oracle Corporation has stronger production capacity than other vendors, it has the ability to meet the standard of Cisco’s implementation of ERP project; at the same time, Oracle made a commitment about the long-term development of software package function. Fifth, the company’s advanced management idea and efficient operation pattern. The team's implementation strategy employed a development technique referred to as "rapid iterative prototyping." 2) What were the most important things that Cisco managers did right? What did they do wrong? The most important things that Cisco managers did right were: First, they made the right decision that exchanged Unix systems for ERP systems in order to meet the demand......
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...* Cisco Systems, Inc. is an American multinational technology company headquartered in San Jose, California, that designs, manufactures, and sells networking equipment. It was founded in 1984; 31 years ago, in San Francisco by Leonard Bosack and Sandy Lerner. The Current CEO is Chuck Robbins and their Headquarters is in San Jose, California, US. They operate worldwide and provide Tech for many companies and public households. USP: Cisco Sys's experimentations yield new products and services that outpace competitive threats They have over 30 different products in markets such as: * Networking Devices * Network Management * Cisco IOS and NX-OS Software * Interface and Module * Optical networking * Storage area networks * Wireless, Telepresence, VOIP, Security * Datacentres In 2014 Cisco Systems, Inc. made US$ 47.142 billion in revenue (a drop from 2013) “The Human Network” This was a big effort by Cisco during the early to mid-2000’s to enter into and have a bigger presence in the household consumer market. Throughout the mid-2000s, Cisco also built a significant presence in India, establishing its Globalization Centre East in Bengaluru for $1 billion, and planning that 20% of Cisco's leaders would be based there. However, Cisco continued to be challenged by both domestic Alcatel-Lucent, Juniper Networks and overseas competitors Huawei. Due to lower-than-expected profit in 2011, Cisco was forced to reduce annual expenses by $1 billion...
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...Cisco Case Study 1) What are the challenges and risks faced by technology companies in new product introduction? The challenges and risks faced by technology companies in NPI (New Product Introduction) are the rapid changes of the technology industry, low cost pressure and fulfillment of local and global requirements. Some of the challenges faced by any company are the ability to have the technical expertise and knowhow of market trends. The industry of technology is rapidly changing as it introduces new technology every day. Time is key for technology companies, as they can spend a lot of money developing products, and by the time it launches, they are not sure if the product will be successful. An example of time to market pressure was Cisco’s Viking project. Cisco was developing the Viking project, which is a router that would let broadband service providers consolidate their data, voice, video and mobile traffic in a single box. After four years of development, they had to redesign the project one year before it launched due to the changes of the customers’ requirements and market transitions. Cisco reviewed the customers’ needs and realized that the original development would not meet the escalating needs of service providers. By fall 2007, Cisco completely redesigned the product for increases speed and capacity. At the same time, there was a huge marketing transition happening. The explosion of video happened faster than anyone could have expected due to the......
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...COMPANY Case Cisco Systems: Solving Business Problems Through Collaboration Perhaps you’ve heard of Cisco Systems. It’s the company that runs those catchy “Human Network” ads. It also produces those familiar Linksys wireless Internet routers and owns Pure Digital Technologies, the company that makes the trendy Flip video cameras. But most of what Cisco sells is not for regular consumers like you and me. Cisco is a tried and true B-to-B company. In fact, it earned honors as BtoB magazine’s 2009 “marketer of the year.” Three-quarters of Cisco’s sales are in routers, switches, and advanced network technologies—the things that keep data moving around cyberspace 24/7. But over the past decade, in addition to all that hardware, Cisco has pioneered the next generation of Internet networking tools, from cybersecurity to set-top boxes to videoconferencing. But this story is about much more than just a tech giant that makes equipment and software that companies need to run their Internet and intranet activities. It’s about a forward-thinking firm that has transitioned from a manufacturer to a leadership consultancy. To make that happen, Cisco has perfected one major concept that seems to drive both its own business and its interactions with customer organizations—collaboration. Cisco is all about collaborating with its clients in order to help those clients better collaborate employees, suppliers, partners, and customers. COLLABORATION WITHIN AND WITHOUT John Chambers......
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...CASE: GS-66 DATE: 06/05/09 CISCO SYSTEMS, INC.: COLLABORATING ON NEW PRODUCT INTRODUCTION On November 13, 2007, more than 100 employees of Cisco Systems, Inc. assembled in classic Cisco fashion: they dialed in from multiple locations around the world for an important meeting. The purpose of the gathering was to get the green light from senior management to manufacture a new high-end router that would make the giant networking company more competitive in an age of surging Internet traffic.1 The project’s code name, Viking, said it all. The router for broadband service providers would break ground in power and speed, reminiscent of the Norse warriors and explorers of Europe during the eighth to eleventh centuries. The meeting represented a culmination of several years of development work by a cross-functional, global team of Cisco specialists in engineering, manufacturing, marketing and other areas. Just months earlier, in mid-2007, Cisco overhauled the project by sharply boosting the router’s speed and capacity. This would allow the company to leapfrog competitors and offer a low-cost, powerful new router platform for the next 10 to 15 years. That day in November, the Viking team was seeking an “execution commit” from senior management in manufacturing. If it got the go-ahead, Cisco would be ready to commit the resources to launch the new product. But the Cisco team knew it faced many challenges. The Viking project would be one of the company’s most......
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