Terry Newsome here — after 22 years with Capgemini, it’s clear that deeper issues are hitting the company harder than just tariffs, the soft economy, or AI’s impact.
Capgemini seems caught between two worlds: trying to be a high-end management consultant and a low-cost pure play. This confusion is costing them. Recent months saw major layoffs, including many Vice Presidents, a shrinking North American SAP practice, and cuts in sales staff—all while new sales struggle to gain traction.
Financially, 2024 was rough: sales and operating margin dropped, spooking investors despite a slight net profit increase. The share price took a hit.
Employee morale is low, too—complaints about pay stagnation, slow career progression, poor management, internal politics, and work-life balance issues are common.
Capgemini faces a tough road ahead. Whether new leadership and strategy can turn things around remains to be seen.
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