Pestl Analysis
B TECH HUMAN RESOURCE MANAGEMENT
PERSONNEL MANAGEMENT 4
ASSIGNMENT 1: SOC FRAMEWORK FOR HP
BACKGROUND
In the mid 1990s, global computer major HP1 faced major challenges in an increasingly competitive market. It’s culture emphasized teamwork and respect for co-workers, which over years translated into a consensus-style culture that proved to be a disadvantage to the fast-growing Internet business era. To cope with the changing industry and its demands HP appointed Carleton Fiorina in 1999 as the company CEO whom in her term of office brought signifant changes and was largely known for her risk taking and overly ambitious measures in pursuits of saving the company only to increase market share for a short period (revenues grew 15% financial year ending in October 2000-January net profits were well below the stock market, December 2000 laid off 1,700 marketing employees). She restructured the organization in trying times and introduced structures and procedures that improved their performance however didn’t make room for capacity delivery capabilities as their grew increasingly following that, further restructured it again causing unclear ambiguous responsibilities of profits and losses between front and back end managers. As a result there was no clear financial control and increased disorder prevailed. Analyst criticized her for being too ambitious and tackling HP problems all at the same time.
INTRODUCTION
Change is an act of making or becoming different from what was previously. Which in general can be thought of as inevitable, as long as life exists and persists, change is bound to occur. In the context of organizations today the quality of people and their engagement will increasing be key factors in organizational survival and growth. One can tell the absence or poor management of change in the workforce and overall organizational structure can deter the revenue sales and market share of that organization as witnessed in the above predicament
PERSONNEL MANAGEMENT 4
ASSIGNMENT 1: SOC FRAMEWORK FOR HP
BACKGROUND
In the mid 1990s, global computer major HP1 faced major challenges in an increasingly competitive market. It’s culture emphasized teamwork and respect for co-workers, which over years translated into a consensus-style culture that proved to be a disadvantage to the fast-growing Internet business era. To cope with the changing industry and its demands HP appointed Carleton Fiorina in 1999 as the company CEO whom in her term of office brought signifant changes and was largely known for her risk taking and overly ambitious measures in pursuits of saving the company only to increase market share for a short period (revenues grew 15% financial year ending in October 2000-January net profits were well below the stock market, December 2000 laid off 1,700 marketing employees). She restructured the organization in trying times and introduced structures and procedures that improved their performance however didn’t make room for capacity delivery capabilities as their grew increasingly following that, further restructured it again causing unclear ambiguous responsibilities of profits and losses between front and back end managers. As a result there was no clear financial control and increased disorder prevailed. Analyst criticized her for being too ambitious and tackling HP problems all at the same time.
INTRODUCTION
Change is an act of making or becoming different from what was previously. Which in general can be thought of as inevitable, as long as life exists and persists, change is bound to occur. In the context of organizations today the quality of people and their engagement will increasing be key factors in organizational survival and growth. One can tell the absence or poor management of change in the workforce and overall organizational structure can deter the revenue sales and market share of that organization as witnessed in the above predicament