1. A Case Study Presentation
On HP
By
Sukumar sharma
Mojahid Islam
Kashif Reza Khan

2. Relevance:
 Importance of Organizational Culture in managing
people & performance.
Impact of Organizational Culture during
organization’s change process
Importance of implementation of ‘Change Process’ in
planned manner (without up-rooting the Culture)

3. Organizational Culture:
 a system of shared values or characteristics held by
members of an organization that distinguishes from
other organizations.
 Seven primary characteristics capturing Organizational Culture:
 Innovation & Risk taking
 Attention to detail
 Outcome orientation
 People orientation
 Team orientation
 Aggressiveness


4. HISTORY
• Founded in 1939 in a garage with an initial investment
of US $ 538.
Today:
Multi-national IT corporation with net revenue over US $
115 billion.
The founders……. The garage…… The product …. The logo then

5. The HP Way – HP’s Corporate Objectives
The founders stated (in 1950s !!!)
“..The achievements of an organization are the results of the
combined efforts of each individual in the organization
working towards common objectives….”
o Profit
o Customers
o Fields of Interest
o Growth
o People
o Management
o Citizenship
Open & relaxed culture, Encouraged creativity
Servicing all stake holders with integrity and fairness
Profit sharing programs
Employee Empowerment
Promoted people within
Perfect job security. Avoided lay off even during difficult period
in 1970’s.

6. The HP Way – HP’s Organizational Values
• To have trust and respect for individual
• To focus on a high level of achievement and contribution
• To conduct business with uncompromising integrity
• To achieve common objectives through teamwork
• To encourage flexibility and innovation
The HP Way – Unique Management Techniques
• Management by Objectives (MBO)
• Open Door Policy
• Open Communication
• Management by Wandering Around (MBWA)

7. The turbulent period….1990s’
• Competition increased.
• Operations expanded (83 product divisions at multiple locations)
• Hewlett retired in 1987, followed by Packard in 1993
Impacted Organizational Culture
Laying off employees
Carly Fiorina was appointed as the CEO in 1999

8. The Carly Way
 Cost cutting measures and lay off employees
 Sought regular updates from key units
 pressurizing on employees
Linked compensation to improvements in customer
approval ratings
Introduced 360 deg. Appraisal system
Bonus based on HP’s performance vs. competitors’
performance
 merger with CompaqResult : Financial
Performance dipped in
2001

9. The HP Way
Collaborative
approach / Team work
Performance, People,
Values ….all are
important equally
Egalitarian culture
Employees are not
expendable
The Carly Way
Star approach
Performance first…
everything else later
No emotional
attachment
Hire & fire policy

10. Carly stepped down in 2005.
HP present corporate values are almost same as those followed
earlier.
The continues its journey…..without Carly.
Impacts of Carly Way
Lower Employee morale
Negative impact on company’s performance
Fearful & uncertain working environment
Shift in compensation policy

11. The End