...Acquisitions Professor: Hsia Hua Sheng Department: Accounting, Finance and Controls, Module: 3/2015 Assignment # 1 The merger between Hewlett Packard and Compaq Local Team 2 Mark Hollenstein Andre Nadjarian Glasson Fonseca Patricio Ducó Jan 8th , 2014 1. What would a SWOT analysis of HP and Compaq reveal? The main takeaway from this analysis is that the macro environment was tough, especially after the 9/11 attack and the technology industry was getting increasingly competitive and ever-changing. Therefore, even though both companies had their strengths, management was aware that the same business model would not last much longer. They were both clinging from very weak businesses: HP from the imaging and printing solutions that was already threatened by other brands and was evolving into digital solutions. Compaq was relying on a PC distribution model that was already showing signs of decay, especially shown by the negative operating margins they had even though they were the leaders in the market. Clearly they both needed a profound change and understood that combining with a company with opposite strengths could be a viable solution to ensure continued growth and the needed skills to adapt their model for the future, where enterprise 2 FGV15-303: Mergers and Acquisitions Case 1: The merger between Hewlett Packard and Compaq services was developing fast (as shown by IBM resurgence) and the PC industry demanded a low-cost distribution model. ...
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...AGILENT TECHNOLOGIES INTRODUCTION Agilent technologies is a spin-off from Hewlett-Packard (HP). For the first three to four months after the spin-off announcement, Agilent operated as “NewCo” while the team assessed over ten thousand names for the new company. Finally they ended up with „Agilent‟ partly as a way to remind themselves every day that speed was one of their core values and it was a constant reminder to them and their employees that this was the standard that they had to hold themselves to. The company revealed the new name, logo and tagline “Innovating the HP Way”. Seven months later, on November 1, 1999, Agilent began operating as a separate stand-alone company. On November 18, 1999, Agilent launched its initial public offering, which at $2.1 billion, was Silicon Valley‟s largest IPO to date. From a small garage in Palo Alto, California, to employees around the world serving customers in 120 countries, Agilent has a long history of innovation and leadership in the communications, electronics, semiconductor, test and measurement, life sciences and chemical analysis industries. BIRTH OF AGILENT TECHNOLOGIES Agilent's foundation was laid by two entrepreneurs Bill Hewlett and Dave Packard in the form of Hewlett-Packard, a company started by them to provide test and measurement equipment. HP provides products, technologies, software solutions and services to consumers, small and medium sized businesses and large enterprises, including customers in the government...
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...685 STRATEGIC PLANNING COMPANY AUDIT HEWLETT PACKARD Contents Abstract 3 HP Background 3 Company Mission 4 HP’s Corporate Objectives 5 Mission and governance Analysis 5 Recommendations 6 HR Report on HP 7 Recommendation 8 Internal Analysis 8 Recommendation 8 Mergers Acquisitions and Spin-offs 9 Recommendation 9 External and Global Environment 9 External Analysis 10 Recommendation 11 Porter five forces Analysis of HP 12 Recommendation 14 SWOT Analysis 14 Conclusion / Recommendation 15 Reference: 16 Abstract This Company audit was conduct using publicly available information about Hewlett-Packard. The Audit includes mission statement, company philosophy, PEST SWOT, Financial Analysis, market position analysis, corporate governance analysis. The analysis uses industry standards for company audits such as, Porter, SWOT, and PEST as a guideline for the areas to be assessed. HP Background Hewlett Packard is a publicly traded company on the New York Stock Exchange. The firm was started by Bill Hewlett and David Packard. The merger with Compaq was one of HP’s major strategic moves recently. Even in naming the new company the two founders flipped a coin in the famous garage, Dave Packard won the coin toss but conceded to pit Hewlett name at the front. "It is necessary...
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...Change management project: The HP merger with Compaq Table of content: • HP- presentation • Subject of change- Hp’s merger with Compaq • Promoters of the change and their motivation • Resisting forces • Critical mass • Trigger. Reducing resisting forces. Results • Change process-dynamics of the forces that promote change and the inertial forces • Analysis of the result. Residual stress • Conclusions HP In 1938, two Stanford graduates in electrical engineering, William Hewlett and David Packard, started their own business in a garage behind Packard’s Palo Alto home. One year later, Hewlett and Packard formalized their business into a partnership called Hewlett-Packard. HP was incorporated in 1947 and began offering stock for public trading 10 years later. Annual net revenue for the company grew from $5.5 million in 1951 to $3 billion in 1980. By 1997, annual net revenue exceeded $42 billion and HP had become the world’s second largest computer supplier. HP posted net revenue in 2009 was $115 billion, with approximately $40 billion coming from services. In 2006, the intense competition between HP and IBM tipped in HP's favor, with HP posting revenue of US$91.7 billion, compared to US$91.4 billion for IBM; the gap between the companies widened to $21 billion in 2009. In 2007, HP's revenue was $104 billion,] making HP the first IT company in history to report revenues exceeding $100 billion In 2008 HP...
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...HEWLETT-PACKARD CASE ANALYSIS Pooya Mehmandoost University of Houston-Victoria April30, 2014 Management and organizational behavior Executive summary The world’s leading PC and printer manufacturer, Hewlett-Packard, was facing multiple problems during the first decade of the 21st century. It provides hardware, software, and services to consumers, small and mid-sized business. Companies such as Hewlett-Packard are supposed to be a stable, rock-solid institution, where a change in CEO rarely happens. But it doesn't always happen that way. In the past six years, HP changed CEO four times. This case study aims to elaborate the reasons of major problems and issues that HP has recently faced in different levels of its management and focuses on corporate behavior of the Hewlett Packard Board of directors and its effect on corporate culture and structure within the organization according to the concepts of the management and organizational behavior (MOB) theories. This study is based on real facts that occurred with the Board of Directors of the Hewlett Packard organization. Business magazine, academic articles, and online submissions, as well as books about the HP way of business were diagnosed for their structure, content, and accuracy of the topic. The research draws attention to the fact that the combined companies experienced many problems-financial, cultural, and structural-resulting in poor performance of Carly Fiorina, who was named CEO of HP in 1999 and fired in 2005...
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...HEWLETT-PACKARD GRIFFIN CONSULTING GROUP Jason Blauvelt Paul Ciasullo Owen Hawkins Sunday, April 15, 2012 CONTENTS Executive Summary ..................................................................................................................... 4 History ........................................................................................................................................... 5 Bill Hewlett and Dave Packard .............................................................................................. 5 Expansion .................................................................................................................................. 6 The Age of Computers ............................................................................................................ 7 Acquisitions, Innovation, and New Markets ....................................................................... 7 Struggles in Recent Years ........................................................................................................ 8 Financial Analysis ........................................................................................................................ 9 Overview ................................................................................................................................... 9 Chart 1: Stock Performance Over 5 Years............................................................................. 9 Chart 2: Basic Financial Information...
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...Hewlett-Packard Company Company Profile Publication Date: 16 Apr 2010 www.datamonitor.com Europe, Middle East & Africa 119 Farringdon Road London EC1R 3DA United Kingdom t: +44 20 7551 9000 f: +44 20 7551 9090 e: euroinfo@datamonitor.com Americas 245 5th Avenue 4th Floor New York, NY 10016 USA t: +1 212 686 7400 f: +1 212 686 2626 e: usinfo@datamonitor.com Asia Pacific Level 46 2 Park Street Sydney, NSW 2000 Australia t: +61 2 8705 6900 f: +61 2 8088 7405 e: apinfo@datamonitor.com Hewlett-Packard Company ABOUT DATAMONITOR Datamonitor is a leading business information company specializing in industry analysis. Through its proprietary databases and wealth of expertise, Datamonitor provides clients with unbiased expert analysis and in depth forecasts for six industry sectors: Healthcare, Technology, Automotive, Energy, Consumer Markets, and Financial Services. The company also advises clients on the impact that new technology and eCommerce will have on their businesses. Datamonitor maintains its headquarters in London, and regional offices in New York, Frankfurt, and Hong Kong. The company serves the world's largest 5000 companies. Datamonitor's premium reports are based on primary research with industry panels and consumers. We gather information on market segmentation, market growth and pricing, competitors and products. Our experts then interpret this data to produce detailed forecasts and actionable recommendations, helping you create new business opportunities...
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...TRANSFORMATION Leadership at HP | Under supervision of DR. Ahmed Farouk | | This report will present transformation process of hp corp. By discussing the following topics: Organization background, organization culture specifically “hp way”, One of the leaders who leaded the company towards a great transformation, hp before and after the transformation and finally discussing the role of the human resource in the transformation process. | | | 1/30/2012 | | CONTENTS 1. INTRODUCTION …………………………………………………………………………………… | 03 | 2. ORGANIZATION BACKGROUND ……………………………………………………………….2.1 HP Background …………………………………………………………………………………..2.2 HP Mission Statements …………………………………………………………………………..2.2 HP Vision Statements ……………………………………………………………………………2.3 HP Workforce …………………………………………………………………………………… | 0505111212 | 3. THE RISE AND FALL OF "THE HP WAY" ……………………………...................................... 3.1 Rising the HP Way ……………………………………………………………………………….3.2 Losing the HP Way ……………………………………………………………............................ | 131316 | 4. HP SIGNIFICANT TRANSFORMATION ……………………………………………………….. 4.1 HP Before The Transformation …………………………………………………………………4.1.1 Lewis Platt ……………………………………………………………………………4.1.2 HP's Carly Fiorina: The CEO of HP …………………………………………………4.1.3 HP's Carly Fiorina: The Transformation leader ……………………………………...4.2 Hp Transformation ………………………………………………………………………………...
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...qualified employees. Without this primary function, no company can achieve its full potential. Recruiting workers can be a difficult task, especially in times of low unemployment. The further up the ladder the position is, the harder the position will be to fill. Recruitment and retention may depend on adequate or competitive compensation packages. These packages must be carefully scrutinized based on industry standards. Although pay may be the most important of the compensation package, it is not the only part. Traditional benefits such as health insurance and vacation also play a role. However, newer benefits, such as flexible packages and telecommute options can also be very attractive for some positions. Talent management's job is to find out what compensation packages are needed and then see if those, or something similar, can be offered. After employees have been recruited, the next thing talent management must do is integrate them in a way that is most advantageous to the company. This may involve creating non-traditional positions or creating positions that are shared among two or more individuals. This position sharing takes the focus away from individuals and personalities, but requires more...
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...Improvements 15 Threats 15 Rivals 15 Smartphones 16 Economic Slowdown 16 Current Strategy 17 Business Level Strategy 17 Corporate Level Strategy 19 Recommendation 20 Risks 22 Implementation 24 Appendices 26 Appendix A: HP Company Mission Statement 26 Appendix B: Worldwide Portable PC Shipments (2011-2012) 27 Appendix C: Worldwide Desktop PC Shipments (2011-2012) 28 Appendix D: Worldwide Tablet Computer Shipments (2011) 29 Appendix E: SWOT Analysis 30 Appendix F: The Pathfinder Model 31 Works Cited 32 Company Profile Hewlett-Packard first began its modest operation in 1939, when its founders Bill Hewlett and Dave Packard began making its first product, the audio oscillator. In the early years, the company often faced a lack of focus on its products and created everything from electronic products to agricultural products. In 1980, HP manufactured its first PC. From there, Hewlett-Packard (HP) grew to be the world’s leading PC manufacturer. (HP Interactive Timeline) The company is headquartered in Palo Alto, California, but bases its U.S. operations in Houston, Texas. HP conducts business in over...
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...Lenovo Group Limited is the world's fourth largest personal computer manufacturer after Hewlett-Packard and Dell of the U.S. and Acer of Taiwan.In 2005, it purchased IBM's PC division. Lenovo produces desktops, laptops, servers, handheld computers, imaging equipment, and mobile phone handsets. Lenovo also provides information technology integration and support services, and its QDI unit offers contract manufacturing. Its executive headquarters are located in Beijing, China and in Morrisville, North Carolina, USA. It is incorporated in Hong Kong. Lenovo makes a variety of products for world wide sale.These products include: Lenovo ThinkCentre desktops Lenovo ThinkPad laptops and tablets Lenovo ThinkStation workstations Lenovo ThinkServer servers IdeaCentre desktops IdeaPad consumer-oriented laptops Lenovo 3000 J Series desktops Lenovo 3000 C, N, and V Series laptops LCD and CRT monitors ThinkVision projectors and monitors An agreement allows Lenovo to sell IBM-branded desktops and laptops until 2010. Ownership As of October 31, 2008, 50.4% of Lenovo is owned by public shareholders, 42.3% by Legend Holdings Limited...
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...Assignment # 2 – Chapter 14 Case – “Hewitt-Packard Company” 1. Discuss the three most serious problems you have identified in the case. Defend why you think they are the most serious. When Mark Hurd, the new CEO, took over, he found matrix structures ambiguous, confusing and inefficient. The main reason is that there is no clarity on the roles that each unit in the matrix is intended to play. Unit roles suppose, responsibilities and relationships in a way that is clear, but not excessively detailed and hierarchical. Although the matrix seems to be a logical organizational solution, Fiorina, has not found it an easy structure. She has struggled with ambiguous responsibilities and reporting relationships, been slowed down by the search for consensus decisions, and found it hard to get all the different units to work constructively together. In fact, CEO Carly Fiorina was so preoccupied with immediate issues that she lost sight of her ultimate objectives. Fiorina and her staff consider that the HP Way is an anachronism of a different, slower time, and that for the company to survive and succeed in the future it must be driven purely by a rational business strategy. After all of the layoffs, organizational changes, assertion of executive hierarchies and the destruction of traditional company rules of behavior, the HP Way that the old-timers are fighting to save is probably already dead. Fiorina and her team appear not to believe in the Way, they are now reduced to appealing...
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...in the rapidly developing computer industry. In this extremely competitive industry, the developing technology and evolving computer applications have contributed to this type of business environment. Over the last two decades, the popularity of personal computers has made the computer market attractive to consumers worldwide. As mentioned before, Apple developed as a major player in the computer industry in its early years. Apple grew to a publicly traded company by 1980. Apple continued to experience early success in the industry being the first computer company to reach one billion dollars in annual sales in 1982. Apple Computers faces a highly competitive industry with competition including companies such as Dell, Gateway, IBM, Hewlett-Packard, Fujitsu, and NEC. Apple’s main strategy in this growing industry focuses on innovation. Steve Jobs, Apple’s chief executive officer, said: “We would like to see our market share grow. Our strategy...
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...compatible with the various idiosyncrasies of the different telephone companies. In the late eighties AMD decided to devote its focus mainly to designing and manufacturing microchips. The company chose to compete directly with Intel and their established chip architecture. AMD acquired ATI Technologies in 2006, marking the company’s serious entry into the graphics industry. AMD’s jump into graphics got off to a rocky start. Later that year, AMD and its main rival in the graphics industry, NVIDIA, were accused of price fixing and faced court proceedings. After a prolonged period of poor performance, AMD announced plans to spin-off manufacturing operations to form a joint venture with Advanced Technology Investment Co. The new venture is called Global Foundries Inc. This partnership allowed AMD to focus solely on chip design and leave manufacturing to its partner. The spin-off...
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...GRADUATE SCHOOL OF BUSINESS STANFORD UNIVERSITY CASE NUMBER: EC-16 MAY 2000 HP E-SERVICES.SOLUTIONS The concept behind e-services is there’s a particular task, asset, or capability that you want to gain access to, that now can be made available to you over the Net, because it’s now being created as an Internet service. ––Linda Lazor, Director of Operations, ESS, Hewlett-Packard How does any large company reinvent itself? Can a company with a past have a future? I mean that’s basically the question that we’re posing because a lot of people claim that anyone who has a past does not have a future in this world. ––Nick Earle, President, ESS, Hewlett-Packard In early April 2000, Nick Earle sat in his cube on the upper level of Building 44 of the HewlettPackard (HP) campus in Cupertino, California. He wore a wireless telephone headset, which allowed him the freedom to jump up and wander about his team’s open cubes as he fielded calls from potential business partners. Earle, age 42, was President and Chief Evangelist of the 90person E-Services.Solutions (ESS) group. The group had grown out of a task force he had put together more than a year earlier. Asked to create an Internet marketing strategy, he and several other “frustrated radicals” created a plan which ultimately led to the formation of the ESS group. ESS now held the mandate to develop an Internet strategy and framework for all of HP. Earle and his team faced tough challenges. They had pulled together some great technologies...
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