The jobs leaving Dayton are one thing, the driving force for their leaving are another.
If I were an NCR shareholder, I’d be looking at this move and wondering- besides the tax breaks, what competitive advantage does moving to Georgia offer. $60 million is chump change to a company that pulls down $5 billion a year. There has to be more to it.
Comparing cost of living in Dayton to Atlanta: Dayton wins.
Cost of commercial real estate in Dayton: Dayton wins.
Cost of moving 1,200 people to Georgia, or filling positions of those who won’t move? Staying in Dayton wins.
Traffic congestion: Dayton wins.
Access to water, which is already a big problem in Georgia, South Carolina and northern Florida: Dayton wins.
Yes, you can get on a flight direct to Shanghai in Atlanta- but, have you ever heard of teleconferencing? I’m sure Nuti knows about it- since he tried to manage NCR from NYC, where he also entered NCR into a high-rent office so he could chum around with his other CEO buddies.
And, last but not least, let’s look at the company performance under Nuti- who took the helm on Aug 8, 2005. Besides a bump for selling off Terradata, the crown jewel of NCR’s technology portfolio, he’s lost about 2/3rds of its value.
For this, he takes home at least $4 million a year. On an hourly basis, that’s almost $2K an hour. Shareholders, are you paying attention?
Lose Bill Nuti, stay in Dayton and ride out the economic downturn. This move could be suicidal for NCR, but Bill Nuti will still do just fine.