Between the Lines

Larry Dignan, Andrew Nusca and Rachel King

10 fixes for RIM to avoid 'chaos'

By | June 30, 2011, 9:56am PDT

Summary: A RIM executive reportedly sends a plea to CEOs Mike Lazaridis and Jim Balsillie suggesting change. Here are 10 fixes for the company.

Updated. See RIM’s response below.

The folks at BoyGeniusReport claim they have obtained an internal letter from beleaguered (but still market-leading) mobile phone maker Research in Motion, and it’s an interesting peek into the problems that have the company falling behind rivals Apple and Google in U.S. mobile market share.

BGR claims the letter was written by a “senior executive” as a plea to co-CEOs Jim Balsillie and Mike Lazaridis to move swiftly and forcefully to get the company back on track. (I’ve placed a call to RIM’s media relations team to confirm that the letter is indeed real; I’ll update when I hear back.)

Speaking on behalf of many employees, the exec writes:

We are in the middle of major ‘transition’ and things have never been more chaotic. Almost every project is falling further and further behind schedule at a time when we absolutely must deliver great, solid products on time. We urge you to make bold decisions about our organisational structure, about our culture and most importantly our products.

Ten talking points culled from the letter:

  1. Focus on the end user experience. “We often make product decisions based on strategic alignment, partner requests or even legal advice — the end user doesn’t care. We simply have to admit that Apple is nailing this.”
  2. Denial isn’t just a river in Egypt. “Rather than constantly mocking iPhone and Android, we should encourage key decision makers across the board to use these products as their primary device for a week or so at a time — yes, on Exchange! This way we can understand why our users are switching…it’s incomprehensible that our top software engineers and executives aren’t using or deeply familiar with our competitor’s products.”
  3. Lack of leadership. “Teams still aren’t talking together properly, no one is making or can make critical decisions, all the while everyone is working crazy hours and still far behind.”
  4. Stop trying to squeeze water from a rock. “We can’t afford any more initiatives based on carrier requests to squeeze out slightly more volume.”
  5. Look long-term. “There is a serious need to consolidate our focus to just a handful of projects. Period.”
  6. Quality begets quantity. “It takes guts to not allow a product to launch that may be 90% ready with a quarter end in sight, but it will pay off in the long term.”
  7. Ditch carriers and get cozy with developers. “BlackBerry smartphone apps suck.”
  8. Foster open communication. “No one in RIM dares to tell management how bad our tools still are. Even our closest dev partners do their best to say it politely, but they will never bite the hand that feeds them.”
  9. Rethink the marketing strategy. “A product’s technical superiority does not equal desire.”
  10. Go hard or go home. “RIM has a lot of people who underperform but still stay in their roles.”

Whether the letter’s real or not, the advice is worthy for any large corporation hazy on its mission. The point: fundamental fixes start at the top.

UPDATE: Looks like it’s real, or at least being treated as such by RIM. They’ve responded in a blog post of their own. In sum: “We know, we know. We got this, trust us.”

Highlights:

  • Disbelief. “It is particularly difficult to believe that a ‘high level employee’ in good standing with the company would choose to anonymously publish a letter on the web rather than engage their fellow executives in a constructive manner.”
  • Denial. “RIM is nonetheless fully aware of and aggressively addressing both the company’s challenges and its opportunities.”
  • Admission. “There is a fundamental business reality however that following an extended period of hyper growth, it has become necessary for the company to streamline its operations in order to allow it to grow its business profitably while pursuing newer strategic opportunities.”
  • It’s cool, shareholders! “The company is thankfully in a solid business and financial position to tackle the opportunities ahead with a solid balance sheet and substantial international growth.”

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Andrew J. Nusca is associate editor of ZDNet and editor of SmartPlanet.

Disclosure

Andrew Nusca

Andrew J. Nusca does not hold any investments in the technology companies he covers.

Biography

Andrew Nusca

Editor

Andrew J. Nusca is an associate editor at ZDNet and editor of SmartPlanet. As a journalist based in New York City, he has written for Popular Mechanics and Men's Vogue and his byline has appeared in New York magazine, The Huffington Post, New York Daily News, Editor & Publisher, New York Press and many others. He also writes The Editorialiste, a media criticism blog.

He is a New York University graduate and former news editor and columnist of the Washington Square News. He is a graduate of the Columbia University Graduate School of Journalism. He has been named "Howard Kurtz, Jr." by film critic John Lichman despite having no relation to him. He lives in his native Philadelphia with his wife, cat and Boston Terrier.

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RE: 10 fixes for RIM to avoid 'chaos'
John Hanks 5th Jul
@ThatOtherApple

Which BB has terrible battery life?
Which touch screen keyboard do you use with one hand or in a taxy on a bumpy street?
Every time I use an iPhone or Android I get so pissed off because the precise control isn't there and no AutoText kills me with having to type complete phrases over and over. Tell me, how do you enter the current date in 3 keystrokes on an iCrap?
0 Votes
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I have an easier fix. Shut the shop and return the money to shareholders. RIP RIM
0 Votes
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YEAH!!! BROWSER!! YEAH!!!
woulddie4apple 30th Jun
@browser.
Same goes for Micr$ux, HP, HTC, Motorola, and Nokia. You all lost to Apple. Rather than wait until your stock is worth $0, give the shareholders the last bit of value they will ever see from you and give them their money back.
0 Votes
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RE: 10 fixes for RIM to avoid 'chaos'
fer.paredesb@... 30th Jun
@woulddie4apple Obvious troll is obvious.
0 Votes
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@woulddie4apple A polite reminder to everyone, please don't feed the trolls.... that is all.
0 Votes
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@cbstryker: I'm sorry, I apologize
woulddie4apple 30th Jun
You are right. I shouldn't have responded to browser.
0 Votes
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@woulddie4apple
HAHAHAHA keep in mind some Android Companys (Samsung) are worth more than your beloved Apple.
0 Votes
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YEAH!!! BROWSER!! YEAH!!!
samliu0207@... 1st Jul
@woulddie4apple
whatever, what a waste of digits
0 Votes
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@browser.

And I have an easier one. License WP7 yesterday - the last hope RIM has of keeping its corporate clients. Of course there's always enterprise Android and Apple - oops no, there isn't wink
0 Votes
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RIM is a dead man walking. They are so far behind their competition, I can't imagine what kind of rabbit they could pull from a magic hat that would save them. They've been swallowed alive by extreme hubris and ineptitude. I don't give a rats behind about their co-CEO's, but I do feel for their many hard working employee's who will soon be standing in the unemployment line.
0 Votes
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@gtdworak

Far behind in what way?

Long battery life? NO
Sync with Outlook? No
Sync Notes and Tasks? No
Replaceable Batteries? No
Word Substitution/Autotext? No
On-handed operation on Qwerty KB? No
Low Data Usage = Lower cost? No
Communications Productivity? No
Security? No
Entertainment? Yes.
0 Votes
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As Dr Hibbert would prescribe
Alan Smithie 30th Jun
FIRE and lot's of it.
0 Votes
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RE: 10 fixes for RIM to avoid 'chaos'
OffsideInVancouver 30th Jun
@Alan Smithie

Brilliant.
0 Votes
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They need to look for a buyer...
0 Votes
+ -
RE: 10 fixes for RIM to avoid 'chaos'
oriorda Updated - 30th Jun
The letter makes a lot of very good points. I'm assuming he or she isn't making this stuff up.

It must be disappointing to many RIM shareholders to read management's immediate response. The bozos who have ignored the market for several years whilst Apple got ready to eat RIM's lunch can only think to criticise someone for speaking out. When I worked at IBM it was made very clear to me that if any of my people went above me to complain it was going to be me that copped the blame. The idea is, if you're doing your job as a manager nobody should even think of going around you, they would be more than happy to moan at you and expect YOU to fix things.

Obviously whoever wrote the open letter had zero confidence anything good would happen to him if he ventilated inside the company. This isn't something you criticize him for, management should take it on the chin and accept they are the ones who failed.

However, this is too much to expect from a group of execs who laughed at the iPhone when it came out and continue to scorn Apple (and probably Android) to this day.

My guess is they'll still be patting each other on the back as they rearrange the deckchairs one last time.
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RE: 10 fixes for RIM to avoid 'chaos'
Marc Erickson Updated - 30th Jun
@steftheref What he said!

It's obvious RIM management is in Egypt (denial)...
0 Votes
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Everyone knocks Elop, but he came into Nokia, took inventory, and had no hesitation cutting pet projects, departing from tradition and shaking things up. RIM could use Mr. Elop right now.
0 Votes
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Apple and Android are the 1 - 2 punch to RIM. Nokia is embracing M$ to counter. I think we will see some combining of technologies to save this company which has one foot in the grave and one on a banana peel. They don't have time to lose.
0 Votes
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RE: 10 fixes for RIM to avoid 'chaos'
neilpost Updated - 1st Jul
The points are mostly good, and no doubt the messenger will be shot and RIM will need to bring a hatchet man in like Nokia's Elop next year.

Point 11.

Port BES Client to iOS, Android, WP7. Evolve from a Bespoke hardware company, before Good Technologies take all your customers away with their 'bring your own smartphone, and add out enterprise grade secure messaging to it'.


www.good.com
0 Votes
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My company is in the process of dumping RIM in favor of Apple and Android. I never thought IT would do it (it seemed so married to RIM), but when everyone from the CEO on down complained about how awful their BlackBerry devices were, out they went. Personally, I am thrilled to be getting rid of the BB, which I never use because it's just so awful.
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Blackberry app for iPhone
ThatOtherApple 1st Jul
That's the fix. Not some convoluted top 10 list. K-I-S-S.

Dump the BB hardware entirely. BB needs to get back to doing collaboration software. The hardware they had to develop was a necessary evil because, at the time, there was no hardware to run their software on. That isn't an issue anymore. Put another way: they're not going to convince anyone to drop their iPhone in favor of a brick with 30+ buttons, a UI from hell and terrible battery life (yes, I have one of the newer ones). However, they just might convince enterprises that are allowing/welcoming personal iPhones/iPads to pay for a BB app that works with the existing infrastructure.
0 Votes
+ -
@ThatOtherApple

Which BB has terrible battery life?
Which touch screen keyboard do you use with one hand or in a taxy on a bumpy street?
Every time I use an iPhone or Android I get so pissed off because the precise control isn't there and no AutoText kills me with having to type complete phrases over and over. Tell me, how do you enter the current date in 3 keystrokes on an iCrap?

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