Sunday, March 3, 2019
Hewlett Packard (HP) company expert project Essay
Hewlett-Packard Company is an American multinational corporation focusing on information technology. It is encephalonquartered in USA, California, Palo Alto. HP is among the worlds largest organization and operates virtually in every coarse of the world. The beau monde focuses on the development and manufacturing of computing, nedeucerking, and data storage hardware. The guild carrefours involve enterprise servers, personal computing devices, related storage devices, and a blanket(a) range of printers plus other mental imagery products. The union sells its products to households, small, medium and big line entities, and other users (Packard, Kirby and Lewis, 2006).Wired Magazine identifies HP as the commencement producer of merchandiseed and mass produced personal computers (House and Lewis, 2009). The Hewlett-Packard 9100A was produced in 1969, access as the prime(prenominal) scientific calculator. The lodge is credited with producing the worlds first scientific elec tronic calculator in the socio-economic class 1972. This only captures a member of the many electronics the follow pioneered in their production. This presents the company as revolutionary as it focuses on the production of new efficient products into the world.1. HistoryDave Packard and card Hewlett founded the HP Company in the year 1993. At the time of conceiving the idea, the devil were students at the Stanford University. The Companys first product, an audio oscillator for testing sound was reinforced in Palo Alto garage. Walt Disney Studios was among the companys first customers as reflected by the purchase of eight oscillators, which went into use in the testing of the sound outline in the production of the movie Fantasia (House and Lewis, 2009).The HP Company is among the few billet entities in the world, which successfully married computing measurement technologies, and communication (House and Lewis, 2009). The company continues to make progress in portable computin g, entry into home computing, and imaging and printing solutions. For the latter part of the past decade, the HP Company enjoyed cardinal percent growth rates on yearly rates (House and Lewis, 2009).In the 1990s Lew Plant replaced the retiring John Young. The leadership change go on to see the growth path charted by the company go on. It is at this time that the HP Company gets recognition as a company, which determine its workers as it offers a balance on work-life, diversity, and community involvement is struck. This is the study reason behind the huge attraction the company has on some(prenominal) current and potential employees. At the turn of the century, HP formed Agilent Technologies. At the same time, it brought on board Carleton (Carly) Fiorina as the new CEO. Carleton Fiorina primarily focused on reinvesting for growth and leadership (Packard, Kirby and Lewis, 2006).The major changes in the company loosening on the part of a spin-off of its commercial enterprise to Agilent Technologies in the year 1999. In the year 2002, HP merged with Compaq. In 2008, HP acquired EDS, which motto an addd revenue up to 118 billion US dollars. HP, in November 2009, acquired 3Com. In April the subsequent year, HP paid one billion two coke million US dollars towards the purchase of Palm. As at May 2010, the achievement of Palm had been finalized (House and Lewis, 2009).The business environment of the HP Company just as in any other environment is characterized by competition (Packard, Kirby and Lewis, 2006). This offers a partial explanation as to wherefore the company has focused on the scholarship system. The presence of other competitors like Toshiba, Acer, Dell, etc imply that the companys position in the market is threatened, as a result, it has to engage in measures aimed at improving or retaining its market share.The growing population and beg for electronic goods on the other hand, presents opportunities for the HP Company (Packard, Kirby and Lew is, 2006). Through the acquisition strategy, the company has spread its presence across the globe and thus has the opportunity of studying the different markets p addresss. This forms the basis upon which HP should embark on producing market specific products. This should ensure an improved market share and a go against on its competitors. Overall, the company does not appear to have taken hammy changes to counter emerging threats.2. StrategyBrand positioning and differentiationAt the acquisition time, Compaq was the low-end dominant computer vendor (Collins, 2009). Its brand had become aid in both business and home use. On the other hand, HP enjoyed the repute of producing the best instruments in the computing market. After bringing these two brands low one leadership, there was a challenge of harmonizing them into one. HP did not have the option of jettisoning Compaq owing to its valuable brand. At the sale instance, it was serious marketing the two lines for the same produc t (Collins, 2009). The result due to this is reflected on the HP website, which reveals a feeble brand differentiation between the two. It stay tight for an average customer to differentiate the two.The acquisition strategy seems to be the major growth approach employed y the company. The acquisition of some(prenominal) businesses in various parts of the world indicates the place of the strategy in the companys developmental agenda. This strategy is useful as it underlies a variety of benefits attributable to it (Collins, 2009). The acquisition strategy is not unique to the HP Company as its major competitors as IBM employs the same approach. During the stewardship of Carly, HP went head to head with IBM concerning the acquisition of PricewaterhouseCoopers Consulting wing. The acquisition price ballooned prompting a coitus interruptus by HP. Later IBM completed the acquisition (Collins, 2009).The presence of a look of competitors in the computing labor seems to be the major re ason why the company chose to employ the acquisition strategy (Dong, 2009). With competitors like Dell, IBM, etc, the company is under no illusions. It must work out means of remaining onwards or at the minimum, getting close to these companies. Towards the pursuit to maintain and increase on its market share, HP had to adopt the acquisition strategy to deal effectively.Success is a function of several factors and as a result, it is difficult to pinpoint a specific one for success (Russ, 2002). The major strategy employed by HP is the acquisition method. It is only once that the company had faltered in making an acquisition deal go though albeit on the basis of this paper. This was subsequently the ballooning of the price on the PricewaterhouseCoopers making HP to baulk. Based on the fact that IBM paid a fraction of what HP was being asked to remit, then the execution of HP is plausible on this instance. However, base on the disadvantage of allowing your top competitor make the acquisition, it does not forebode well for HP.However, this is only an instance, which happened during the rein of the disgraced Carly Fiorina. Given the company had achieved awe-inspiring success before Carly Fiorinas appointment, and it seems to be doing fairly well after her exit, the company strategy must have played a solid roe in the development of the company. However, a strategy alone is not good enough its execution is equally important. On this evidence, it is held that the success of HP heavily lighted on its strategy just as it did rest on its execution.Technology is a rapidly changing area of business (Collins, 2009). The company thus of necessity to be responsive to these changes. Towards this end, the company needs to alter its products if it is to compete. The presence of other giant industry players makes it difficult for the company to lag behind in terms of adopting newest technology in its product manufacturing. Competition is healthy especially to the consum ers however, this poses a serious threat to the company, as it must check this or face declining sales.3. CultureFrom the beginning, Packard and Hewlett developed a leadership style never practiced before. They coined a corporate civilization known as the HP appearance. The culture renounced the hire and chivy mentality. This is reflected by the defying of temptations to lay off workers despite the1974 US economic crisis. The two owners also underscored the need to promote own motivation at the workplace. The company was run like a family. The profit sharing approach underscores this focus. farther to this, employees were extended several benefits, which meant that HP was the perfect and unique employer (Buhler, 2003).In 1950, Bill and Dave chose to write down the company objectives to serve as guidelines in reference to all decision-making in the company, this was aimed at keeping pace with the growth the company had achieved by this time. The objectives covered citizenship, man agement, the growth people, customers, and profits. Towards achieving the goal, team-wok was proposed (Collins, 2009).Based on section of workers, HP was premised on religion when referring to the company ism. The company was viewed as inviolable. The management philosophy was founded on teamwork, respect for individuals, innovation, integrity, and contribution to society. This explains why the company gained a isthmus of respect both from its workers and from members of society. The founding fathers Dave Packard and Bill Hewlett are credited with the excogitation of this legendary leadership style into the company (Dong, 2009).The hiring of Carly Fiorina from outside the company ranks coming after the conjugation with Compaq seems to have brought changes hitherto un-witnessed. Carly Fiorina was impeach of carelessly use workers issues especially on lay-offs.in the lay-off exercises, Carly Fiorina factored in on profits with little come across on the welfare of the workers. A t the same time, Carly Fiorina is accused of introducing the element of constitution cult into the organization. It is during the command of Carly Fiorina that employees began complaining about fear. The CEOs reign was further characterized by proxy wars. Retirees also complained about ignored views and integral disregard of contributions. This presented a big departure from the initial cultures as curing by the two owners (Dong, 2009).Rather than firing, employees were reassigned duties. Employees were allowed up to six months to find their craved positions. If one failed to locate a working position, s/he was allowed to renounce as opposed to being fired. This was during the good old days. The management interacted freely with the workers to facilitate sharing of information. Both Hewlett and Packard took time to talk to staff at various HP points (Dong, 2009). The focus was on creating a loyal workforce.Fiorina is accused of turning the company fortunes to a lower scale (Dong , 2009). This is reflected in the way in which employees were laid off. Further to this, Fiorina made comments intended to belittle Walter Hewlett, her merger opponent, this indicates a departure from the original HP way.The dramatic change in the culture of the environment was occasioned due to the changing environment in characterizing the industry (Walton, 2002). This would enable the company gauge competition and remain in business though its position as a credible employer could loose credibility. However, the issue to which culture affects the organization has weathered over time. Unlike in the past, organizational structure seems to be in control as opposed to the ethnic aspect. The fact that the organizational set up has managed to change its focus from heathenish attributes of the company serves to augment this position.