Avaya's Reorganization Plan Filing: 10 Key Takeaways For Partners

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Cost-Cutting Initiatives

To improve operating efficiency and streamline costs and its overall balance sheet, Avaya implemented corporate cost-cutting measures -- which contributed to annual cost reductions of more than $700 million over three years, according to the filing.

Approximately $400 million resulted from headcount reductions, while $200 million was from cutting costs associated with declines in product revenue. Approximately $100 million was saved from reducing non-employee costs, such as vendor re-negotiations, process automation initiatives, and reducing costs associated with unused or under-utilized facilities.

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