Hewlett Packard Restructuration 2000

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INTERNATIONAL STRATEGY MARKETING - Organisation of international marketing activities Lundi 14 octobre 2013 Hewlett Packard case From an internal point of view we can see the simultaneous changes had various outcomes. First of all, it is important to state that the company was facing terrible issues dealing with its survival in the market regarding competitors growing faster than HP. This means, HP had to take action to shift toward a new organization for the company. This was not considered as an option but as a necessity at the time. The business was about to sink, therefore the new CEO had to re structure the company. Attempting to change the strategy of the company is the core achievement to shift to the new organization. None can be done without it. This is a fact; nevertheless a company cannot just switch to another organization just like this. Indeed the process is heavy and complex, leading to massive changes at all levels. This can make it very tough to process for everyone within the company who has not been well informed about all the simultaneous changes. The changes are even deeper in the structure, having a huge reassessment of the company's business structure is a huge chunk to remodel. The idea was good but it could also lead to confusions internally. For example, we can suppose that at the beginning people will get confused between the business units they have to report to and soon which indeed would lead to a decrease in effectiveness on the short term. The company's culture shift was hard to deal with. HP's motto was as Dave Packard words:" A core ideology which includes a deep respect for the individual, a dedication to affordable quality and reliability, a commitment to community responsibility, and a view that the company exists to make technical contributions for the advancement and welfare of humanity."(David Packard

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