Fat Yahoo (YHOO) Finally Cutting Bloat...Slowly

Yahoo is quietly thinning its vast ranks of senior managers. Kara Swisher reports the departure of two more vice presidents, VP of Media Engineering Bharath Kadaba and SVP of operations finance Rachel Glaser, who follow Chief Marketing Officer Cammie Dunaway out the door.

The thinning is good: Yahoo needs to cut at least $250 million out of its cost structure and streamline an innovation-choking bureaucracy. Our concern is that this slimming isn’t happening fast enough.

One source suggested that the quiet departures are “Jerry’s way” of executing a mass firing and upgrading his team. Jerry’s certainly entitled to have his own style, but the advantage of across the board cuts is that the medicine is taken in one ghastly dose. At the current rate of attrition, the Yahoo slimming plan will take years to execute, and the company can’t afford to wait.

Next critical step: Reorganize the sales force so customers and potential customers don’t have to wait weeks to get a response.

See Also:
Yahoo Layoffs: Drumbeat Grows Louder
Yahoo: Lights On, Nobody Home (Advertisers Sound Off)

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