Organization_Structure

Organizing Paper Cassandra Randle MGT/330 June 16, 2010 Dr. Annette Williams Organizing Paper Hewlett Packard Company (HP) was founded in 1939 by Bill Hewlett and Dave Packard. HP is headquartered in Palo Alto, California and is the world largest IT Company, generating revenue in excess of 114 billion dollars. HP serves more than one billion customers in more than 170 countries on 6 continents. HP has approximately 150,000 employees worldwide. The company’s mission is to invent technologies and services that drive business value, create social benefit and improve the lives of customers - with a focus on affecting the greatest number of people possible. HP dedicates $3.5 billion annually to its research and development of products, solutions and new technologies. In order for HP to maintain these numbers it has to have strong organization strategy in place. Organizational Structural Organizing is the function of management that deals with the gathering and sorting of resources that an organization needs in order to achieve the organizations goals effectively and efficiently. HP uses its resources to assign authority figures, divide the work into specific departments and tasks and to coordinate different tasks within the organization that needs to be completed. HP original organizational structure was the matrix but in 2007 changed to a decentralized structure. The decentralized structure prepares them for change because lower level management has the authority to make important decisions and changes when needed. The management understands that HP consists of many departments and allows these departments to focus on the completion of these tasks. Management recognizes that each department must communicate or else it cannot provide the best product to the customer. Understanding the departmentalization of HP ensures the company goals are achieved and its resources such as Human Resource and Technology affect the organization’s structure. Human Resource The function of the human resource department ranges from hiring employees, explaining benefits to processing payroll. The human resource department must ensure that each department is sufficiently staffed at all times. They must replace employees who have resigned, been promoted or terminated. The founders of HP put value not only on making creative products but also on creating a friendly corporate culture. These beliefs became the foundation of the “HP Way”. The HP Way is to earn trust and loyalty of others; give respect for individuals and their responsibilities and create an environment that both celebrates individualism and supports teamwork. The managers at HP are required to share corporate objectives and help the employees to understand their role and responsibilities. The employees are taught to pursue corporate goals through open communication. The HP Way inspires entrepreneurship among its employee and encourages them to challenge themselves. The company shares the profit and employees get rewarded according to their performance; communication and teamwork are core values; lastly management trusts its employees. ------------------------------------------------- HP Way ------------------------------------------------- Strategies and Practices Corporate Objectives Values ------------------------------------------------- Open Communication Commitment to Employees Passion for Customers ------------------------------------------------- Workforce Planning Leadership Capability Trust & Respect ------------------------------------------------- Professional Development Global Citizenship Achievement & ------------------------------------------------- Total Rewards Growth Contribution ------------------------------------------------- Diversity & Inclusion Market Leadership Results through ------------------------------------------------- Flexible Work Arrangements Profit Teamwork ------------------------------------------------- VoW Customer Loyalty Speed & Agility ------------------------------------------------- Open Door Policy Innovation ------------------------------------------------- Standards of Conduct Uncompromising ------------------------------------------------- Balanced Scorecard Integrity ------------------------------------------------- Performance Management ------------------------------------------------- MBO ------------------------------------------------- TCE In 2007 the Human Resource department in keeping with the transformation of the company, recruited people from the outside and promoted people internally. With this new division it created a new culture and philosophy of building strong results. They created a self-service model for managers and employees. This portal allows the employees to do things like change their addresses, modify their W-2, select benefits or view their paystubs. It allows managers to promote employees, increase salaries, submit performance appraisals or open a requisition. Creation of the portal allowed the human resource department to concentrate on the transformation of the company and other things such as the acquisition and integration of new companies. In this transformation was developed the Center of Expertise. Under this center is Total Rewards which consists of compensation and benefits; training for leadership development, career development, sales programs and new technology. There is also a workforce planning center of expertise that works with the Finance Department. In this center the financials are projected as well as the quality of people needed, the locations where people are needed and what time. The human resource department encompasses many tasks. Technology In order to succeed in the business industry a company needs to understand its customer’s needs and create what they want. HP found out that the customer needed a light weight, useful notebook PC through its Research & Development centre. Hence, it created just that; a New Commercial Notebook PC Compaq which packs the power and performance necessary for mobility into a stylish design. HP also finds out about its customer needs through online feedback forms and survey. Via that, HP was also able to understand that not everyone was able to use their products so it created the HP accessibility products which can be accessed by anyone including people with disabilities and age – limitations. Example of such product under the Personal System Group industry is the Mobile Speak Pocket which was specially made for the visually impaired people. In addition to the many computers, HP also manufactures printers, printer supplies, workstations, mobile computing devices servers, software and has a contract with the search engine Bing. Hewlett-Packard has optimized the use of human resources by changing their overall system to be more cost efficient and user friendly. HP has optimized the use of technology by constantly advancing in their manufacturing of new products to fit the modern day demands of the people. References Hewlett-Packard (2007, November), Hewlett-Packard Development Company Retrieved June 16, 2010 from http://www.hp.com Bateman and Snell. (2009). Management: Leading and Collaborating in a Competitive World (8th ed.), Retrieved May 25, 2010, from http://www.ecampus.phoenix.edu