Case ID: 409061     Solution ID: 34564

Cisco Systems 2001 Building and Sustaining a Customer Centric Culture Case Solution


Client centricity has been a critical part of the way of life at Cisco Systems since its origin. While some portion of this is owing to qualities set up by the originators and held by ensuing administration, it is likewise firmly joined with its authoritative engineering that reaffirmed those qualities. Until 2001, Cisco had a decentralized hierarchical structure with three specialty units composed around each of its three fundamental client sorts: Service Provider, Enterprise, and Commercial. Every unit created and advertised an entire product offering for its particular client assemble additionally reaffirming its confidence in the centrality of unmistakable clients. Various different frameworks, structures, and behavioral components reaffirmed the significance of client centricity. The 2001 market downturn, in any case, brought new difficulties as Cisco was compelled to lay off 18% of its workforce and rethink its hierarchical structure that was expensive because of duplication of exercises over each of the three client confronting specialty units. Eventually, Cisco Systems chose to change the organization from a decentralized to centralized organization. While perceiving that an incorporated, utilitarian structure was important to stay away from item and asset redundancies, it likewise debilitated Cisco's client centricity in that the centralization of R and D and promoting made them more far off from Cisco's clients. To beat the apparent misalignment between its structure and culture, Cisco presented various activities like the Customer Focus Initiative (CFI) to guarantee that while the structure was moving in the opposite direction of client centricity, the convictions and activities of its representatives kept up that core interest. In doing as such, administration acknowledged the feasible misalignment between its structure and culture and looked for approaches to make up for this apparent crevice.

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