Printcafe lays off 10% of workforce

Printcafe has laid off around 35 staff, or almost 10% of its workforce, as it attempts to soften the blow from poor conditions in technology markets.

Andrew Schaer, the firm's senior vice president of marketing, said the move was pre-emptive. "We looked at the next few quarters and wanted to be proactive," he said.

It would leave the print software developer in a better position "should economic conditions remain the way they are and IT spending remains flat," he added.

The firm hopes to make annual savings of £1.6m ($2.5m) through consolidating job functions, and will be left with 325 staff.

As part of the reorganisation, Printcafe has reshuffled its product management and customer support functions.

The firm has put Bob Bierwagen, its senior vice president of product management, in charge of its entire product range.

Meanwhile, Bob Rothschild, vice president of global services, has been given control of all its customer service and support functions, which now form one global unit. Rothschild joined Printcafe earlier this year from Deloitte Consulting, where he handled clients going through process changes.

Schaer said Printcafe was also implementing a Siebel customer relationship management system to give it a common technological infrastructure across all product support areas.

Printcafe chief executive Marc Olin said that the moves would make the firm "more responsive" to customers' needs, and that they would drive efficiency and cost savings.

As PrintWeek went to press, Printcafe's share price lay at £1.90 - less than a third of its £6.40 value when the firm conducted its Initial Public Offering in June.

Story by Gordon Carson