Microsoft Cutbacks: The 1993 “Shrimp and Weenies” Memo
Reading through Microsoft CEO Steve Ballmer’s annual state-of-the-company memo with its efficiency improvements, cost reductions and cutbacks in worker benefits that are already prompting complaints from Microsoft (MSFT) employees, it’s hard not to recall the company’s now-infamous "Shrimp and Weenies" memo. Penned in May of 1993 by Mike Murray, Microsoft’s head of human resources, the message encouraged frugality in the company’s rank and file with this simple message: "One of the reason’s we’re successful (and wealthy) is because we’ve been serving weenies (not shrimp) for the past 17 years! No need to change the menu." Here, in its entirety, is that memo: Shrimp and Weenie GuidelinesAs you finalize FY94 budgets and prepare for the next fiscal year, the following set of reminders and guidelines are provided as a convenience. 1. Shrimp and WeeniesAs one drives into Reno, Nevada there is a sign saying, "Reno, the biggest small city in the world". One might wonder if we should erect a similar sign at our entrance, "Microsoft, the biggest small company in the world." When you think small, you don’t spend big. Every penny counts, every new headcount is precious, and you feel personally accountable for the top line (revenue), the bottom line (profitability), and all the stuff in between.









