NCLH Laid off all the Ship and Land IT depts

[Panhandle Couple]

1 hour ago, SRQMom said:

My neighbors son "was" part of the IT Team in Miami that handled the email servers on all the ships for internal communications.  He got laid off on Thursday with the entire department.  Even his bosses, bosses, boss was let go.  Totally unexpected.  All got severance so no official word needs released yet to comply with the required notice when a large % is laid off.  So, my thoughts still remain, since this isn't a "little here, little there" type layoff, is NCLH going under? What affect will this have on operations, etc.

It's called outsourcing your IT. 

Happens all the time. See the previous link provided.

Looks like NCL has been on a 15 month path to get to this point.

Using Amazon Web Services seems like a step up from trying to keep an internal department up to speed on all computer systems.

Amazon processes a million transactions a minute (my guess),so they might know what they are doing.

Since this was 15 months, surely many people knew about it. Sounds like some of it has been up and running for 8 months now.

[luv2kroooz]

2 hours ago, RocketMan275 said:

If anything, this is sign that NCL isn't going under.  They are managing their expenses to maintain their viability.

"Managing their expenses"......😂😂😂

[luv2kroooz]

3 hours ago, SRQMom said:

My neighbors son "was" part of the IT Team in Miami that handled the email servers on all the ships for internal communications.  He got laid off on Thursday with the entire department.  Even his bosses, bosses, boss was let go.  Totally unexpected.  All got severance so no official word needs released yet to comply with the required notice when a large % is laid off.  So, my thoughts still remain, since this isn't a "little here, little there" type layoff, is NCLH going under? What affect will this have on operations, etc.

Sorry to learn about your neighbors son. According to the below link, of the 3 major cruise lines, NCLH has the highest probability of entering bankruptcy. 

 

 https://valueinvesting.io/NCLH/probability-of-bankruptcy#:~:text=The Probability of Bankruptcy of,current fundamentals and market conditions.

[Menocchio]

3 minutes ago, luv2kroooz said:

"Managing their expenses"......😂😂😂

They said they were cutting costs. Did you think they were talking only about hash browns and lobster tails?

[All-ready2cruise]

21 minutes ago, Menocchio said:

They said they were cutting costs. Did you think they were talking only about hash browns and lobster tails?

Oh no, I'm sure they meant the lobster claws as well!! Just for your convenience though, lolol. 

[luv2kroooz]

40 minutes ago, Menocchio said:

They said they were cutting costs. Did you think they were talking only about hash browns and lobster tails?

Hash browns, home fries, french fries, baked potatoes, potato chips, potato pancakes, mashed potatoes, all of them...for my convenience and yours.

 

I heard they were even making a sail and sustain cocktail out of old potatoes.... No potato will be safe from the butchering....

 

Lobster, you ask, lobster was cut years ago ..only on NCL...no complimentary lobster.... Based on customer feedback and market research, customer preferences are evolving and contemporary cruisers dislike lobster. So, being the innovative cruise line, they replaced the lobster with tilapia.

 

They remain, at your service,  and cant wait to welcome you onboard to experience these industry leading offerings.

Edited Monday at 08:09 PM by luv2kroooz

[graphicguy]

4 hours ago, schmoopie17 said:

No.

That was my point.  How it got from IT changes to NCL is going under befuddles me.

 

I was with a huge tech company and we had our IT done by an outside source.  And, given how poorly the NCL IT dept had been recently, I'm not surprised they decided to contact it out.

 

They are getting ready to have the Aqua float out.  And, are bringing out 4 more mega ships in the next several years.

 

They are sailing full.  I

 

Their business model is fine.

 

I'm probably more at risk for filing bankruptcy than Elon Musk is.  Anyone can compare anything and spin it any way they want.

 

What I don't understand is why those of us who are cruise fans like predicting doom and gloom for the industry.

Edited Monday at 08:39 PM by graphicguy

[roddy good boy]

3 hours ago, Panhandle Couple said:

It's called outsourcing your IT. 

Happens all the time. See the previous link provided.

Looks like NCL has been on a 15 month path to get to this point.

Using Amazon Web Services seems like a step up from trying to keep an internal department up to speed on all computer systems.

Amazon processes a million transactions a minute (my guess),so they might know what they are doing.

Since this was 15 months, surely many people knew about it. Sounds like some of it has been up and running for 8 months now.

Well, clearly some people in top management knew about it. What often happens is that they tell staff that they’ve established or contracted an off-shore team to assist the State-side (US) team. They have State-side train and ‘work with’ the off-shore team for a period of time to familiarize them with operating systems. Management may even tell the US team that off-shore will just be handling certain designated projects. Next thing you know (when off-shore is up and running), pink slips and complete outsourcing. 

[graphicguy]

4 hours ago, SRQMom said:

My neighbors son "was" part of the IT Team in Miami that handled the email servers on all the ships for internal communications.  He got laid off on Thursday with the entire department.  Even his bosses, bosses, boss was let go.  Totally unexpected.  All got severance so no official word needs released yet to comply with the required notice when a large % is laid off.  So, my thoughts still remain, since this isn't a "little here, little there" type layoff, is NCLH going under? What affect will this have on operations, etc.

My guess is they knew it was coming, whether they wanted to admit it or not.  The performance of their WEB site alone over such a long period of time would net major changes.  You can't hide that.

 

When it's as dismal as it has been, changes had to be expected.

 

Hope the transition period is brief and positive.

 

 

[YVRteacher]

Let’s just hope they don’t establish a contract with the people that developed Princess’ app.

[EngrJones]

1 hour ago, graphicguy said:

What I don't understand is why those of us who are cruise fans like predicting doom and gloom for the industry.

Some people just live in a doom and gloom world.  It's more fun over here on the sunny side of the street.🌻

[debenson0723]

8 hours ago, SRQMom said:

My neighbors son "was" part of the IT Team in Miami that handled the email servers on all the ships for internal communications.  He got laid off on Thursday with the entire department.  Even his bosses, bosses, boss was let go.  Totally unexpected.  All got severance so no official word needs released yet to comply with the required notice when a large % is laid off.  So, my thoughts still remain, since this isn't a "little here, little there" type layoff, is NCLH going under? What affect will this have on operations, etc.

My son worked in the IT department of Amazon and his whole department got laid off a few years ago. They still haven't gone under. 🤣

[graphicguy]

42 minutes ago, debenson0723 said:

My son worked in the IT department of Amazon and his whole department got laid off a few years ago. They still haven't gone under. 🤣

AWS does that ALL THE TIME…good people, too!

 

 

[fredflint]

12 hours ago, All-ready2cruise said:

If this, "rumour" is confirmed, it will clarify what's going on with my Latitudes rewards. 

I booked another cruise. I (might be) in November on the Breakaway, however, my account needs to be corrected first.  The IT department started working on the problem on the 8th of June.  Still nothing fixed but, I'll wait.  I wanted to book another cruise to make it a BtoB but won't until it's a go.  I keep my fingers crossed and hope for the best.  

 

This news article seems to have come from Dec. 15, 2022 from news industry. If so, I'm pretty sure it's done.  Pretty sure I can't post their article. 

I don't buy it yet either. I'll be calling my IT guy later today to confirm or deny. 

Sorry it is not the IT department that fixes something like that in my opinion. Crediting an account or changing a value of something in an account is just a person with that ability.  

IT issues affect more than one person, as it the database is corrupt, no one can book reservations, etc..  If you could not access a page or site that would be IT related.  Posting a credit to your account is not something the IT department would do.

 

I know the IT on the ship as in when you have issues with the internet or the system did not log you off is a seperate company as I found out when many people had issues on my last cruise.  It was so bad they actually had security down there with the Internet person who really did not know what she was doing she finally just gave everyone 2 days credit as I recall.  This again is not an IT solution but she had the ability to do this and it made the customers all happy vs sitting there ad having dozens of people vent their frustration with losing connection and not being able to log off! 

[BirdTravels]

9 hours ago, luv2kroooz said:

I heard they were even making a sail and sustain cocktail out of old potatoes.... No potato will be safe from the butchering....

 

At least get the cocktail right. Watermelon skins from the MDR trash, discarded cucumber guts, discarded almond croissants from the Haven breakfast buffet,  bell pepper tops found in the MDR trash, coffee grounds from Haven stateroom Nespresso machine pods, rotten bananas from the Haven stateroom fruit bowls, flat champaign from the Atrium bar (i.e., prosecco not Veuve), and pineapple skins from the Garden Cafe. All sold for top dollar.

 

 

 

 

 

Oh yeah,,, and they serve flights of the sustainable drinks to the Diamond and Ambassador members. 

 

[DominicAUS]

Just because a company outsources/offshore work doesn’t mean they’re going under, just means they can get similar results with less cost.

 

They have to answer to shareholders on their profit results each year, how they do it is to find cost savings as we’ve all seen and some behind the scenes. 

[luv2kroooz]

3 hours ago, BirdTravels said:

Oh yeah,,, and they serve flights of the sustainable drinks to the Diamond and Ambassador members. 

......and to first time cruisers that have the Free at Sea promotion. 😂😂😂

 

My favorites were the banana one and the pineapple surplus.

[Panhandle Couple]

15 hours ago, luv2kroooz said:

Sorry to learn about your neighbors son. According to the below link, of the 3 major cruise lines, NCLH has the highest probability of entering bankruptcy. 

 

 https://valueinvesting.io/NCLH/probability-of-bankruptcy#:~:text=The Probability of Bankruptcy of,current fundamentals and market conditions.

So what is the difference between 

18 (Carnival)

19 (RCL)

22 (NCL)

Mean in the real world?

Note that major hotels are around 10 %, except Wyndham which is over 25%.

This is a nice spreadsheet display that simply cranks numbers without looking at underlying business base and customer perception.

 

That is how Chipotle ends up at 1%.

[Panhandle Couple]

14 hours ago, YVRteacher said:

Let’s just hope they don’t establish a contract with the people that developed Princess’ app.

The medallion is one reason I hesitate to sail with Princess again.

[luv2kroooz]

16 minutes ago, Panhandle Couple said:

So what is the difference between 

18 (Carnival)

19 (RCL)

22 (NCL)

Mean in the real world?

Note that major hotels are around 10 %, except Wyndham which is over 25%.

This is a nice spreadsheet display that simply cranks numbers without looking at underlying business base and customer perception.

 

That is how Chipotle ends up at 1%.

It means what it says.... that they believe Carnival is least likely to declare bankruptcy, then RCL, then NCL is most likely to declare bankruptcy based on whatever metrics they set and presumably apply consistently across the cruise industry. Someone above asked if NCL was going bankrupt. I have no idea (and neither do you or anyone else on here) and presented this analysis. As a shareholder of multiple hundred shares of NCLH and CCL stock, I certainly am not hoping for a bankruptcy for either.

[ontheweb]

2 hours ago, DominicAUS said:

Just because a company outsources/offshore work doesn’t mean they’re going under, just means they can get similar results with less cost.

 

They have to answer to shareholders on their profit results each year, how they do it is to find cost savings as we’ve all seen and some behind the scenes. 

Or they THINK they can get similar or better results/

[Panhandle Couple]

30 minutes ago, luv2kroooz said:

It means what it says.... that they believe Carnival is least likely to declare bankruptcy, then RCL, then NCL is most likely to declare bankruptcy based on whatever metrics they set and presumably apply consistently across the cruise industry. Someone above asked if NCL was going bankrupt. I have no idea (and neither do you or anyone else on here) and presented this analysis. As a shareholder of multiple hundred shares of NCLH and CCL stock, I certainly am not hoping for a bankruptcy for either.

You missed the whole point.

They apply the same metrics across all industries. It is a simple spreadsheet.

"They" have no special insight into the cruise industry and it seems into any others.

I brought up Chipotle because they almost went under a few years ago due to well publicized food poisoning issues.  If that were to happen again, they would quickly see a business drop because the public already has that association with their company. No number analysis can account for that.

 

I have a very good confidence that NCL, or any other cruise line will not go "bankrupt" any time in the near future, barring another pandemic.

[luv2kroooz]

11 minutes ago, Panhandle Couple said:

You missed the whole point.

They apply the same metrics across all industries. It is a simple spreadsheet.

"They" have no special insight into the cruise industry and it seems into any others.

I brought up Chipotle because they almost went under a few years ago due to well publicized food poisoning issues.  If that were to happen again, they would quickly see a business drop because the public already has that association with their company. No number analysis can account for that.

 

I have a very good confidence that NCL, or any other cruise line will not go "bankrupt" any time in the near future, barring another pandemic.

Great. My comments stand on their own.

[Menocchio]

2 hours ago, Panhandle Couple said:

So what is the difference between 

18 (Carnival)

19 (RCL)

22 (NCL)

Mean in the real world?

Yeah, those numbers are functionally identical. No one can assign probability of bankruptcy to within 4%. That's actually impossible, and trying to read that degree of certainty is just staring at noise.

 

What that actually means is that they think all three cruise lines have about a 20% chance of bankruptcy within the next 24 months. Which actually seems very high to me, given their public records and how 24 months isn't that long actually. 

 

But if you want to step back even further and look at the conclusion even more abstractly and just say that the cruise lines are in a precarious position and a number of factors (another pandemic, cruises being cancelled due to war and political unrest, another high-profile disaster a la the Concordia or the Triumph, general economic slowdown crashing the vacation industry, increasingly difficult seas due to global warming, hostile regulation addressing overtourism and/or pollution, etc) could bring them big problems. Then sure, that might be a defensible position. 

[The Traveling Man]

On 6/24/2024 at 10:01 AM, luv2kroooz said:

https://www.nclhltd.com/investors/news-events/press-releases/detail/608/norwegian-cruise-line-holdings-ltd-transforms-shore-side

Thank you for posting this.  It clearly states that software and hardware have been transferred out of house and to a vendor, but I failed to find any mention of jobs being outsourced.  It sounds like a systems conversion to a new platform, but not a complete offloading of IT responsibility.  The news release did mention a desire to develop and enhance AI technology.  That likely would result in an attrition of IT personnel at some future date.  If, however, I did miss a mention of outsourcing the IT labor force, could someone who read the article please point it out to me.  During my years as an IT professional I went through a number of systems conversions, wrote new software for some, and managed the conversion process for others.  Inevitably the result was the transfer, retirement, or departure of some employees, while others adapted to the new normal.  That is the vibe that I sense from this press release.