Wednesday 28 November 2012

HP (Hewlett Packard) Case-Study



This article presents the results from a study and analysis of both the corporate and business strategic activities of the famous HP (Hewlett Packard) Company.
  • It begins by defining some key strategic terms (including vision, mission, and stakeholders), that are used in this article. 
A corporate mission answers the question of “What we do?” It defines the purpose of a business, as well as its present capabilities. It is intended to give the employees and customers a genuine but concise description of what an organization does. It also serves as a roadmap to the vision.


A vision answers the question of “Where we want to go?” The vision can only be achieved over a long period of time, and other times it is completely unattainable and instead serves as a motivating factor for an organization to reach greater heights.

Stakeholders include a group of people or an individual affected by an organizations decisions or activities such as the customers, employees, investors, and even its immediate environment.
  • It states the companies mission and vision statement, and how the companies objectives meets the need of its stakeholders. 
Mission Statement: “We are a leading global provider of products, technologies, software, solutions and services to individual consumers, small- and medium-sized businesses, and large enterprises, including customers in the government, health and education sector.” (Professor Ahmed)
Vision Statement: “We believe diversity is a key driver of our success. Putting all our differences to work across the world is a continuous journey fueled by personal leadership from everyone in our company. Our aspiration is that the behaviors and actions that support diversity and inclusion will come from the conviction of every HP employee - making diversity and inclusion a conscious part of how we run our business throughout the world.” (hp)

Customers: providing products of high quality and value
Shareholders: ensuring organizational growth and maximizing profit
Employees: rewarding performance, creating a comfortable work environment, and empowerment
Society: its contribution to technology, economic growth, and social responsibility.
  • It spells out the businesses the company operates in and how it seeks to achieve competitive advantage. 
Businesses: It sells computing and technological products and services to homes and businesses.
Competitive Advantage: As emphasized in its vision statement, HP fosters a diverse and inclusive working environment, free from any form discrimination. This produces an innovative environment, such that it brings together a large number of employees of altered philosophies and brainpower, and provides each of them with an equal chance to participate in the company’s activities. “A diverse, high-achieving workforce is the sustainable competitive advantage that differentiates HP.” (hp)

  • It also seeks to identify the companies Strengths, Weakness, Opportunities, and Threats, (also known as SWOT).



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STRENGTHS
-Brand name: HP is famous for its products that are used in several countries and continents.
- Diversified Products: It doesn’t focus in the production of one item, but specializes in a variety.
- Technological contribution:  HP has been in the technology market for a long time, and has contributed to its development.

WEAKNESS
- Inconsistency: the organization has an imprecise vision, which makes it difficult to know where its heading to 
- Leadership Structure: the management system lacks accountability, and has slid off from the old inclusive tradition.
- Conflict: The altered interests of the board members, and employees to some extent.



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OPPORTUNITIES
- Research: It can explore future customer needs, and discover how to meet them.
- Innovation: HP should think outside the box and establish new products and ways to out do its competitors.
- Printer: Its global dominance in the printing sector will result to increasing profitability.
THREATS
- Competitors:  Rival companies such as Apple can win over its potential customers
- Technological innovation: when there is a change in time or advancement, and HP is slow to respond, it is likely to lose its position in the market.
- Bankruptcy: If HP begins to lose its customers and investors, the company will continue to decline and declare itself bankrupt. 
    

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