Business Today

Rebooting Microsoft

Will CEO Satya Nadella's game plan work?

Tall, wiry with a runner's physique, a clean shaven pate and a ready smile, Satya Nadella leans forward and listens intently to the question before thinking for a bit and framing the answer. We have just asked him a leadership question.

"When I evaluate leaders, I talk about three attributes. And it is the same set of attributes I have got to hold myself accountable for," he says.

"One, every leader has to bring clarity in what is an uncertain and ambiguous context. You cannot wait for all the information to come in before you take a decision. The second piece is are you able to galvanise and create energy? And then of course, finally, you have got to drive success. You cannot say, hey, I got everything right except I was not able to drive success."

Nadella scores high in all three areas. As the Chief Executive Officer, he has brought a certain clarity to Microsoft's strategy, unleashed enormous energy in the Microsoft troops and finally, achieved success if you look at the steep rise in Microsoft's market valuation since he joined.

When Nadella took charge in early 2014, Microsoft seemed to have lost the strategy plot completely. It was still enormously profitable and successful, but was faltering on all new initiatives.

In 2013, under then CEO Steve Ballmer, the company's profits stood at $21.86 billion on revenues of $77.85 billion. It was sitting on a cash pile of $77 billion, primarily because of its Windows and Office businesses, which gave it a lock on the desktop market. On the other hand, PC sales started slipping while smartphones and other mobile devices took off. In fact, global PC shipments fell to 315 million in that year, a drop of 9.8 per cent, according to IDC, while mobile shipments hit

You’re reading a preview, subscribe to read more.

More from Business Today

Business Today4 min read
Transforming Spaces
Dinner by the lakeside, or sleep in a royal tent, or how about serene calm nature, or maybe a memory wall… or my favourite, tiny lobsters? What are we talking about? Wallpapers—which over the past few years have entered into a new realm of home desig
Business Today7 min read
Alpha Tale
THE WEALTHY INVESTOR in India has never had it so good. For that, they must thank the robustness and resilience of the country’s financial markets. And their money managers. While not a single portfolio manager catering to the affluent class in India
Business Today2 min readSecurity
Troubleshooting
INDIA IS SEEING A RISE IN CYBERCRIMES AND THE GOVERNMENT IS FOCUSSED ON FIGHTING THIS THREAT. THERE HAS BEEN A SUBSTANTIAL INCREASE IN FUNDING FOR CYBERSECURITY IN THE INTERIM BUDGET 2024, WITH THE FIGURE TOUCHING ₹999 CRORE—NEARLY FIVE TIMES THE BUD

Related