Name: Carly S. Fiorina
Position: President and CEO, Hewlett-Packard Company
Fiorina Personal Seven Laws of Growth and Career Success:
1. Find difficult challenges, this is the joy of work.
2. Set clear goals and clearly understand how to grow, lead, and win.
3. The potential of individuals and companies is absolutely based on self-assessment.
4. Understand the power of a team, no one can do it all by themselves.
5. To paraphrase Churchill, "Never, never give up. Most great victories happen in the last game."
6. There must be a balance between confidence and humility. Enough confidence can make you perform well, but you also need to know how to ask for advice when appropriate.
7. Love what you do, success requires a little passion.
Review of major events:
In February 2005, the board of directors of HP, a world-renowned IT company, announced that Carly Fiorina would no longer serve as CEO. The reason is that HP after the merger did not achieve the performance promised to the capital market and shareholders. It is said that on the day her dismissal was announced, the stock price of HPQ (HPQ) rose by nearly 7 percentage points on the New York stock market, proving the market's disappointment in Carly Fiorina.
In fact, if we go back to the international computer manufacturing market in 2000, Hewlett-Packard and Compaq were at loggerheads with each other. Growth is slow again. HP and Compaq are both top 100 international companies with strong histories and cultures. They have always been at the forefront of the market in the IT field, and it is difficult for each other to make significant progress and escape competition from the other. Under such a situation, after Carly Fiorina took office at HP, she changed the fate of the two companies with her generous actions.
In early September 2001, a piece of news that shocked the world appeared prominently in major media outlets: "The American computer giant Hewlett-Packard announced that it would acquire another American company based on stock exchange for US$25 billion. "Compaq, a famous computer manufacturer," Carly Fiorina, then CEO of Hewlett-Packard, completed the merger of two well-known large companies in the world with a shocking and generous move, creating a new IT giant. Analysts at the time believed that the merger of HP and Compaq Computer would make the new HP the most complete provider of IT products and services in the industry, both for business customers and the consumer market. At the same time, it would also Leaders in the IT industry such as Dell and other major manufacturers pose a great threat.
Industry insiders believe that Fiorina, the then female head of HP, was the protagonist in manipulating the merger. However, analysts cannot understand how she accomplished such a big move. In their view, Fiorina is a layman who knows nothing about computers, but in fact, she is an out-and-out entrepreneur with far-sightedness.
A woman who likes to face challenges
No one would have thought that a salesperson at the American Telephone and Telegraph Company (AT & T) would become one of the top 50 companies in the United States after climbing all the way up. The first female president. People often think that in the grandfathered technology company Hewlett-Packard, the person who quickly promoted changes must be a fierce and tough woman. However, many people who came into contact with her eventually discovered that Fiorina had more than just a smart mind. Her friendly smile, greetings and comforting communication style were all impressive.
Fiorina's father is a lawyer and her mother is an artist. Her college majors were medieval history and philosophy. She started out as a secretary and a teacher, then worked on sales calls for AT&T.
Until 1995, Fiorina directly participated in the overall design of AT&T's spin-off of Lucent Technology and played an important role in it. Afterwards, she rose to prominence and was promoted to the global service supply business department of Lucent Technology in 1998. The administrative director manages a department that accounts for 60% of the company's total revenue.
What motivates a gentle and gentle woman to take charge of the operation of such a huge enterprise? Fiorina said the most important thing is to have the confidence and courage to face challenges.
She once said: In 1984, I was 30 years old and working at AT&T. At that time, the company had just been reorganized and everything was in disarray. So I decided to work in the cross management department, which was the messiest department. My colleagues thought I was crazy. No one could figure out what was being done there, what was to be done, everything seemed chaotic. In fact, that's what attracts me the most. I enjoy challenges, good or bad, knowing that I will have an impact and make a difference.
At that time, the bills of local telephone companies in the United States were the largest expenses in AT&T's business. Fiorina and her team went through each bill one by one. She recalled that the room was filled from floor to ceiling with cardboard boxes filled with bills. In the end, I really found out that it was overcharged. Most people may not find this interesting. But the goal we set ourselves is to check every bill, confirm every overcharge, and establish an account checking system. Later, employees across the country installed the system and saved the company millions of dollars.
Fiorina also said that it is really fun to be able to accomplish things that others think are impossible, and that she learned these lessons from her parents since she was a child. She said my father had health problems and doctors told him he would never be able to play football, but he ended up doing very well at it. He grew up in a small Texas town and became a professor and federal judge. My mother's family, on the other hand, did not believe that a girl needed to read too much and were not willing to help her pay for college. So she left home to join the Air Force and later became an outstanding artist.
To grow into a strong, confident, life-loving, career-focused manager, Fiorina summarized her seven rules for personal growth and career success:
1 ． Find difficult challenges, this is the joy of work.
2. Set clear goals and clearly understand how to grow, lead, and win.
3. The potential of individuals and companies is absolutely based on self-assessment.
4. Understand the power of a team, no one can do it all by themselves.
5. To paraphrase Churchill, "Never, never give up. Most great victories happen in the last game."
6. There must be a balance between confidence and humility. Enough confidence can make you perform well, but you also need to know how to ask for advice when appropriate.
7. Love what you do, success requires a little passion.
A CEO who doesn’t understand computers
HP, headquartered in Palo Alto, California, is the world’s second largest computer manufacturer and was founded in 1939. The founders were William Wheeler and David Pook, two engineers who graduated from Stanford University. The name of HP was derived from the combination of their surnames. At that time, two engineers, Wheeler and Pook, opened the company in their garage in Palo Alto. However, no one expected that 60 years later, HP would become a company spanning 120 countries around the world, with 104 branches and 12,350 employees. A large international company with employees.
In March 1999, Hewlett-Packard, the global computer manufacturing giant with a long history, announced that it would split the company into two, establishing a computing and imaging products company and a measuring instrument and medical equipment company. Levi Pratt, who has served as president since 1992, also announced his resignation. So, who will replace this veteran as president so that HP remains in a winning position?
The board of directors of Hewlett-Packard Company specifically proposed four major abilities for the new CEO: First, he must have excellent leadership skills, forward-looking vision and the ability to formulate overall strategies.
Second, you must have the management and financial management capabilities of an excellent enterprise. Third, you must have strong enterprising spirit, competitiveness and vitality. Fourth, you must have experience in developing online markets and the ability to manage and expand new markets.
It is understood that there were four people competing for this position at that time, and Fiorina was the only one among them who did not understand computers. Fiorina told HP's search committee that HP should hire her because she didn't understand computers.
Fiorina believes that what she can bring to HP is not computer expertise, but new ideas and new directions. Her more than 20 years of experience at Lucent can help HP enter the field of communications and networking. Dick Heikebon, a senior director of HP and one of the search committee members, mentioned that the search committee and the board of directors unanimously selected Fiorina because she not only has relevant knowledge in the information industry, but also has the qualities required by a CEO of a high-tech company. Required skills.
Fiorina studied philosophy in college and is a CEO with a humanistic touch. Particularly knowledgeable about history, philosophy, etc., which many people with high-tech backgrounds lack. The company's selection committee believes that Fiorina is a relatively macro and objective role that will help the company continue to develop.
HP also paid a considerable price for hiring Fiorina. According to information provided by Fortune magazine, Fiorina was worth $10 million at the time. The top three most influential people in the world are all founders or owners of companies. As a professional manager, Fiorina is due to her unique expertise and dynamic and passionate leadership. Only because of her style and ability to do things, HP was willing to pay a high price to compensate for her benefits and pension at her previous company, so that she could contribute to HP without any worries. Because of this, Fiorina became one of the top 50 most influential business leaders in the world at that time. It is reported that when HP officially announced that Fiorina was appointed as the company's president and chief executive officer (CEO), it immediately caused a sensation in the global IT community and the stock market. HP's stock price jumped by $2.75 that day, hitting a record high of $116.75 per share at the time.
A manager who is good at communication
Fiorina has taught English, read history, and has a double master's degree in business administration and science. These backgrounds combine into her to form a special temperament. In terms of communicating with employees, she has a completely different style from HP's past leaders. In the past, HP's senior executives were mostly graceful leaders, but at the same time they were not highly inflammatory. Fiorina never reads her speech notes or uses slides when delivering her speeches. Instead, she uses vivid language that the audience can quickly accept. She has a background as an English teacher, so her language is very friendly and innovative. Her experience accumulated as a grassroots business engineer at Lucent makes her very aware of customer needs. Regardless of whether she has a technical background or not, she can quickly accept.
When she first took over as CEO of HP, Fiorina proposed a slogan that was not only acceptable to old colleagues, but also refreshing to those looking forward to reform: Preserve the best, reinvent the rest (translated as remove the waste) Save the best and create new opportunities). In her view, accepting more people with a tolerant attitude, rather than denying HP's past as a revolutionary, and fully acknowledging HP's many existing high-quality cultures can better encourage employees to show innovative courage and performance. Come.
After she took office, the original senior director Heike Bang has decided to retire. He is the hero who single-handedly launched HP's printer imaging and other businesses. However, Fiorina persuaded Heikebang to stay. Fiorina said that she needed someone to guide her, and she would only be willing to accept HP's job if Heikebang was willing to be the chairman. This was actually a very wise approach. Later development proved that Heikebang did play a role, shortening Fiorina's learning time and making HP employees feel that they maintained HP's style.
Fiorina joined HP, an IT company with a long history and brilliant performance, during a period of transformation.
However, with the development of the Internet, traditional large companies have been impacted due to too slow transformation, and time-honored brands like HP are no exception. HP's leadership also admitted that HP did not play a leading role in the first wave of network economic development, but they did not want to miss the opportunity again in the second wave of network development.
Before the complete transformation, HP first conducted a major internal reorganization. According to the business operations of the company, it is divided into four major departments: enterprise computer department, laser imaging system department, inkjet imaging technology department and computer product department, and presidents and executive officers of each department have been appointed. The presidents and executive officers of these four departments Each performs his or her duties and reports to the company president. In addition, another major move is that HP separated its department specializing in testing and measurement and established a new company, Agilent Technologies, specializing in communications technology and other businesses.
Faced with HP’s transformation, Fiorina said at the beginning of taking office that the main problem facing HP is to keep HP people from the basic innovation that the company had when it was founded more than 60 years ago. Spirits connected again. Secondly, it is necessary to get rid of bad habits. She said, be fast, not slow; be clear, not vague; be ahead of the trend, not follow, and be bold. This is the meaning of "eliminating the waste to retain the essential and creating new opportunities".
When talking about the resistance and obstacles to reform, Fiorina believes that when promoting reform and demanding changes, communication is a key issue, and leadership is even more critical. Despite today's advanced technology and widespread knowledge, these simple principles still apply. People need humane communication. They need to see their leaders in person and hear with their own ears what the leaders say is important and what it means to them.
Bold reform activist
However, Fiorina has been hoping to maintain HP's iconic status since taking office "reshaping the image plan" does not look promising. Since November 2000, Fiorina has carried out a large-scale and deep-seated reform. She said HP needs to be liberated from several years of sluggish, slow growth before it finds itself on the verge of death like IBM and Xerox did 10 years ago.
Fiorina told employees at the time that when we look in the mirror, we can see that our big company is declining. The core of changing HP is to make it a "versatile" company. Like a body that is constantly mutating, the new HP requires a balance, that is, it should be ahead of its opponents when completing short-term goals, while also taking a long-term view and opening up new markets.
In order to achieve this goal, Fiorina broke HP's 64-year-old decentralized approach, breaking up and merging all the company's 83 independent departments that only operated one product into four. One department, called the "end," develops and produces computers, and the other "end" develops printers and imaging equipment. These two departments hand off the product to two "front-end" sales and marketing departments, which are responsible for selling the product to individuals and companies respectively. Fiorina believes that the new approach facilitates collaboration within the company, laying a direct communication channel between senior managers responsible for sales and marketing and engineers, so that product development can fundamentally solve user requirements. She believes that purchasing different products from the highly fragmented branches in the past will cause a lot of trouble for users. Now, users only need to talk to one customer group to solve all their needs.
However, industry insiders at the time believed that her bet was too big for Fiorina and the Silicon Valley pioneer she founded in 1938. At that time, the founder of HP broke the old model, abolished the company's hierarchy, and introduced a series of new measures, such as the implementation of a profit-sharing system and employee cubicles, etc., which not only laid the foundation for a corporate culture that HP is proud of, but also Make it a pioneering company.
Similarly, Fiorina is also taking risks, but what she wants to do is more radical. Fiorina is not satisfied with solving problems one at a time, but wants to complete the reform of all aspects of HP at once, which means The company's strategy, organizational structure, corporate culture, compensation system, everything from how to stimulate innovation to straightening out the company's internal procedures. Even professors from the Ecole de Lausanne, Switzerland, believe that this reform is difficult to carry out. In January 2001, after Hewlett-Packard announced the layoffs of more than 1,700 people, the stock fell from $67 per share after the stock split in July 2000 to $40, 19 lower than when Fiorina first took the helm.
Subsequently, Fiorina's steps were even greater than people imagined. When the reform of the entire company had not yet achieved much results, Fiorina took the step of merging Compaq. chess. Industry insiders have exclaimed and commented on how much danger this 87 billion giant HP will bring to the market, and then said that the situation of this merger is not optimistic. Whether it is adjusting the personnel structure or the market structure, it will take at least half a year to a year and a half to truly be able to participate in the market competition. If the entire company does not grasp the pace well, this time will be even longer. Delayed in the future, this will affect the profit schedule of the new HP.
But Fiorina hopes that the new HP will advance the reform process at the speed of network expansion. Regarding people's doubts, she explained that people do not drive in a straight line when sailing, but people will adjust their routes according to the times and the current situation. People familiar with HP's situation believe that in the case of economic slowdown, Fiorina's projected revenue increase plan will definitely be affected.
Fiorina, however, has always insisted that the company's decline in performance will not change her long-term plans. She has always said that the scariest thing is not to speed up the action, but the biggest risk is to stay put. At the same time, Fiorina is not blind. She leads her team to use mature legal methods in the United States to identify the specific aspects of contradictions and conflicts that arise in many mergers through technology comparison, market analysis, digital models and future trend forecast assessments. Implementing them one by one made the entire board of directors and the market recognize this fact, and finally completed the merger that shocked the entire global IT market at that time.
It can be said that without Fiorina’s firm belief in going forward, such a huge project would have been wiped out long ago.
A reform that is still difficult to draw a conclusion
Facts have proved that after more than three years and four years of running-in and development, Fiorina’s initiative has not fundamentally made a difference. HP grew at the expected pace, and by 2005 HP's stock was in the doldrums. Analysts pointed out that HP is a large company with a long history, and its management system and cultural traditions are deeply rooted. It is very slow to turn around like a 10,000-ton ship. At the same time, in the market, HP has been in a period of adjustment in many aspects after the merger, and it is still difficult to fully coordinate and develop the market for different products in a targeted manner and obtain more profits like a normally operating enterprise. Fiorina herself even said that more than three years was indeed longer than she expected for the stock market at the time, but compared to a large company like HP, lagging development is inevitable. When two large companies come together, they need to reorganize their layout and then expand. She firmly believes that her innovation will have a positive impact on HP in the future. When the HP board of directors announced that she would step down, the American media generally believed that although Fiorina had left, her brilliant performance had proven her outstanding leadership and organizational management skills. She was treated with the respect she deserved.
Whether the future HP will develop due to this major innovation that occurred at the beginning of the century is still unknown and remains to be tested by time. However, Carly Fiorina used her superb intelligence and courageous behavior to perform the most glorious moment of her life on HP's stage. As an audience, I believe the whole world has applauded her wonderful "performance" !