Forrester report a blow to Satyam

Forrester report a blow to Satyam

The new report says sourcing and vendor management executives will need to review their dependence on Satyam

CMN Correspondent

Wednesday, January 07, 2009

BANGALORE, INDIA: Even as Satyam tried hard to save its face by announcing on Monday the details of a Forrester Research, published on December 18, 2008, the details of another report, severely critical of the IT organization, came to light.

The report, named 'Satyam's Diversification Failure', published on December 30, 2008 stated that “Satyam’s management team made a major miscalculation that will likely haunt the company for years...".

The executive summary of the report also points to the possibility of “management and governance changes and even potentially the outright sale of the company” after the special board of directors meeting on January 10, 2009.

“Sourcing and vendor management executives will need to review their dependence on Satyam and ensure that they have strong contingency plans and change of ownership clauses in the event that Satyam is acquired or the fallout from this serious misstep affects the firm's ability to compete long term,” the Forrester report warns.

However, Satyam apparently feigned ignorance about this report while playing up the older report from the IT research firm.

The older report, “Satyam Ignites Innovation from the Bottom Up” is the ninth such paper in the research firm’s series entitled “India: The Innovation Giant (Re) Awakens.”

"I want to clarify 'Innovation', the Satyam report done on December 18. Innovation and miscalculations on Maytas are two separate issues." Sudin Apte, Senior Analyst, Forrester Research told NDTV.

The new report from Forrester is seen as blow to beleaguered Satyam, which is passing through a tough time following its aborted bid to take over Maytas.

©CyberMedia News

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almon. said on 1/8/2009 12:44:59 PM:
Lets give a chance for people to break thru, we always trying to bring someone down instead of supporting them to walk thru this issue and encourage progress. Think about the future of 53000 employees in this co, you might change your statements.

to almon.

GGBarve said on 1/8/2009 12:44:02 PM:
In future, antonym for Satyam should be officially declared as Maytas in all Sanskrit dictionaries.

to GGBarve

Srikanth, bangalore said on 1/7/2009 10:07:53 PM:
After what happened today, i think its end of satyam. the owner, founder itself spoke "asatya", so it should be renamed to "asatyam".

to Srikanth, bangalore