Pitney Bowes is famous for its postage machines, which you can find in just about every mailroom across the country. After all, the Stamford, Conn.-based company has been in that business for nearly a century. But CEO Marc Lautenbach is trying to change that. He’s transforming Pitney Bowes into fast-growing businesses like e-commerce as large companies are outsourcing the shipping aspects of their operations.
Speaking with Fortune’s Susie Gharib, Lautenbach says Pitney Bowes is now working with major retailers like Macy’s, Saks, and eBay and shipping its products, especially to customers around the world. “There’s a bunch of complicated stuff in those transactions,” explains Lautenbach. “Customs, duties, who the right shipper is. And Pitney Bowes solves all that.”
Lautenbach joined Pitney Bowes four years ago after spending three decades at IBM. He has the tech know-how and novel ideas to lead the company’s transformation. “You take something you’re really good at. You move left and right and you create something that is very differentiated,” he says. “And that to us is the recipe for how you transform the company.”
So far, that recipe has not been appealing for many investors. Shares are down about 20% this year on weak and disappointing earnings. Still, Lautenbach is confident about stronger results in 2017. When asked whether Pitney Bowes would be open to a merger, he defended the company’s strategic plan: “Listen, our board is open to anything that makes sense for our shareholders. That said, our vision is that we are best as a standalone company.”