Unified communications supplier Unify has announced it will cut its workforce by half as it undergoes a major restructuring plan aimed at transforming it into a software-first business with more emphasis on integration and managed services.
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The 50% reduction will see Unify shrink from a 7,700-strong company to a slimmer, 3,800-head outfit. Its central European operations will account for about half of the cuts.
Unify representatives were unable to disclose where else, or in what functions, the cuts would be made.
As part of the restructuring process, Unify plans to shift to a multi-tier go-to-market model and consolidate a number of sites, including a review of the future location of its global headquarters.
The organisation said it saw dramatic shifts in how communications and collaboration tools were used in the workplace – to which it is already responding with its recent rebrand and Project Ansible launch – as well as growth in cloud-based network solutions and an influx of software-oriented firms into the sector, which were causing some price pressure.
The company said it needed to move away from its hardware roots.
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“Unify must transform in order to remain competitive, so we are taking these necessary and very difficult steps in order to position Unify to fully respond to the needs of our customers and the marketplace,” said CEO Dean Douglas.
"This includes greater focus on technology deployment options."
From a technological perspective, further simplification of its OpenScape portfolio and increased delivery of higher-value services packages will be high on the agenda.
Unify also revealed plans to use Project Ansible – currently in the pre-beta testing phase, with a release date expected in October 2014 – as a catalyst to enhance the overall customer experience.