Cisco’s precipitous fall last April was a dope slap to anyone who thought the slowing economy was just about dotcoms and wouldn’t affect more established businesses that have solid sales and real profits. It was the two in the one-two punch of the downturn. We all adored Cisco. It represented everything that was smart and prosperous in our times. It was the model new economy company, centered in the information age with best practices in everything from high-tech human resources to e-commerce, plus a seasoned executive team that knew how to grow revenue and deliver both shareholder value and profit.So it came as a shock to learn that this paragon was going to take a record-setting $2.2 billion write-off on its inventory and lay off some 8,500 people. How could Cisco of all companies have screwed up so badly? It felt like a betrayal. It was scary. The subsequent flurry of articles in the business and trade press reflected those sentiments and sought to explain this inconceivable turn of events in a way that would let the rest of us distance ourselves from the failure. The theories of culpability ran from Cisco’s voracious mergers and acquisitions strategy to its executives’ inability to predict the future, to a wanton act of God.In late April, Senior Writer Scott Berinato told me he had a different take on what happened at Cisco, and he’d like to write the story. I had some reservations. I didn’t want to jump on the bandwagon of what seemed to be a mounting orgy of Cisco bashing. More important, I questioned whether this was really a story for CIO. We’re not a technology trade magazine?we don’t cover the vendor community. And we’re not a pure business book. There had to be an IT angle.Two conversations and a lengthy e-mail later, Scott convinced me that there was an IT angle and that this was an important story for us to cover, in part because of Cisco’s iconic status. So many of our readers look up to Cisco and its systems and wish they had what Cisco has. Given how much Cisco does right, it’s important to understand what went wrong. Still, “What Went Wrong at Cisco” (beginning on Page 52) is a different kind of story for us, and I’d like to know what you think about it. You can reach me at lundberg@cio.com. Related content brandpost Sponsored by Freshworks When your AI chatbots mess up AI ‘hallucinations’ present significant business risks, but new types of guardrails can keep them from doing serious damage By Paul Gillin Dec 08, 2023 4 mins Generative AI brandpost Sponsored by Dell New research: How IT leaders drive business benefits by accelerating device refresh strategies Security leaders have particular concerns that older devices are more vulnerable to increasingly sophisticated cyber attacks. By Laura McEwan Dec 08, 2023 3 mins Infrastructure Management case study Toyota transforms IT service desk with gen AI To help promote insourcing and quality control, Toyota Motor North America is leveraging generative AI for HR and IT service desk requests. By Thor Olavsrud Dec 08, 2023 7 mins Employee Experience Generative AI ICT Partners feature CSM certification: Costs, requirements, and all you need to know The Certified ScrumMaster (CSM) certification sets the standard for establishing Scrum theory, developing practical applications and rules, and leading teams and stakeholders through the development process. By Moira Alexander Dec 08, 2023 8 mins Certifications IT Skills Project Management Podcasts Videos Resources Events SUBSCRIBE TO OUR NEWSLETTER From our editors straight to your inbox Get started by entering your email address below. Please enter a valid email address Subscribe