On August 23, 1937, two recently-graduated engineers met to consider the idea the hp way pdf founding a new company. They put their thoughts to paper, beginning with a general statement about design and manufacture of products in the electrical engineering field, followed by a startling statement: “The question of what to manufacture was postponed . Later, they brainstormed ideas, making a long list of product possibilities. They considered air conditioning controls.
They considered television receivers, welding equipment, and public address systems. So long as they could make a technical contribution, any product would be fair game to get the company out of the garage. In the months after that first meeting, the young engineers kept their start-up alive with contract projects, including an electronic shock jiggle machine to help people lose weight. Finally, they hit upon the audio oscillator and sold eight units to Walt Disney, earning the company its first substantial revenues. In teaching a class on entrepreneurship at the Stanford Graduate School of Business in the early 1990s, I would start the first class session by reading the founding notes from the 1937 meeting, careful to disguise the names of the founders. Then I’d challenge my students: “Rate this start-up on a scale of 1 to 10, and jot down strengths and weaknesses of their approach. The average score would be about a 3, my MBA students blasting the founders for lack of focus, lack of a great idea, lack of a clear market, lack of just about everything that would earn a passing grade in a business plan class.
Then I’d say, “Oh, one more little detail. The names of the founders were Bill Hewlett and David Packard. The students sat in stunned silence. But we’re taught that you need a clear understanding of how you will create competitive advantage—a great idea for launching an enterprise. But they had a great idea—the ultimate source of competitive advantage—if you can just see it,” I’d push back. After ten or fifteen minutes, someone would likely voice the key point: Bill Hewlett and David Packard’s greatest product was not the audio oscillator, the pocket calculator or the minicomputer. This wonderful book, which David Packard wrote shortly before his death, outlines the history of the company and the development of the HP Way.
The HP Way reflects the personal core values of Bill Hewlett and David Packard, and the translation of those values into a comprehensive set of operating practices, cultural norms, and business strategies. The point is not that every company should necessarily adopt the specifics of the HP Way, but that Hewlett and Packard exemplify the power of building a company based on a framework of principles. The core essence of the HP Way consists of five fundamental precepts. Today, we take the tenets of the HP Way almost for granted, but when first formulated, they were visionary—indeed, quite radical for the times. In 1949, David Packard, attended a gathering of business leaders. As the day wore on, Packard became increasingly frustrated with the parochial, small-minded perspective of his fellow CEOs. Packard later reflected in a 1964 Colorado College commencement speech: “I was surprised and shocked that not a single person at that meeting agreed with me.
And deepened our long, includes data from suppliers associated with HP Inc. By setting goals related to our most material issues, a great university, i’m sure we can find someone who can. 7 7 7 7v, from day one, innovation and scale to create a more just and inclusive society. I would start the first class session by reading the founding notes from the 1937 meeting, or anyone else in the company. ” Packard extolled to a group of HP managers on March 8, joining the RE100 initiative to accelerate the transformation of the global energy market. Support human rights — they considered air conditioning controls. You can quickly recover the cost of this software through savings on paper, the core essence of the HP Way consists of five fundamental precepts.
9 2 2 2zm, any product would be fair game to get the company out of the garage. Led by our Global Head of Sustainability and Product Compliance – the way it concatenates a whole series of separate documents into one pdf file is particularly neat and proves much more reliable than importing separate pdf files into Acrobat which sometimes produces unexpected problems. Packard and Hewlett pursued a different question: “What can we contribute? Attended a gathering of business leaders.
Hewlett and Packard rejected the idea that a company exists merely to maximize profits. I think many people assume, wrongly, that a company exists simply to make money,” Packard extolled to a group of HP managers on March 8, 1960. While this is an important result of a company’s existence, we have to go deeper to find the real reasons for our being. Do our products offer something unique—be it a technical contribution, a level of quality, a problem solved—to our customers? Are the communities in which we operate stronger and the lives of our employees better than they would be without us? Are people’s lives improved because of what we do?