"HP announced additional job cuts Thursday after it reported that fourth-quarter earnings rose 7 percent, exceeding analyst expectations.
Without the special charges, HP earned $1.5bn, or 51 cents a share. Analysts expected the number two personal computer maker to earn 46 cents per share, according to a survey by Thomson First Call.
HP's profits were partially eaten up by $1.57bn in retirement and severance packages for 15,300 employees who will be leaving the company in the next 15 months. That number adds 800 layoffs not factored in to the 14,500 announced in July by chief executive Mark Hurd.
"On July 19, we had a model. As we discussed then, we had to operationalise [sic] the model, and 14,500 moved to 15,300," Hurd said during a conference call with reporters. "It was our best view at the time."
The Inquirer"HP will cut even more staff after its CEO Mark Hurd announced financial results showing a 62 per cent drop in its financial fourth quarter profit.
Reliable sources warn the job cuts will affect support as HP recruits additional outsourcing partners. Many of these are in the learning stage but that's going to change.
For example, in Germany, a number of units are expected to go to partners in former East Germany. Customers expecting mission critical support will change from specialised standby engineers to re-vamped "support centres".
Some engineers will go to Synstar or suffer the WFR (workforce reduction).
Another insider said: "HP is mostly like a black hole. First growing after acquiring customers then imploding to a small black area invisible to the market." From which you will gather that morale within the ranks of HP is still not brilliant."
It’s amazing to see, the ONLY thing, HP top management has learnt in business school is reducing employee numbers in order to make the company value grow..!
RépondreSupprimerNowadays, we better be HP stock holder than HP employee, it seems being both is not easily possible!
Am I wrong?
I think the highest performing organizations are cynical
RépondreSupprimerWhen you look up the definition of cynical on Google you'll find things like "believing the worst of human nature and motives" or "having a sneering disbelief in; e.g., selflessness of others" or "believing or showing the belief that people are motivated chiefly by base or selfish concerns" or "skeptical of the motives of others".
http://h20325.www2.hp.com/blogs/marcello/archive/2005/07.html
Greenies Slam HP
RépondreSupprimerhttp://www.smarthouse.com.au/Computing/Industry/?article=/Computing/Industry/News/T8K3V2Q6
http://www.i4u.com/article4714.html
RépondreSupprimerHP Garage Opens for Visitors
And HP sends its employees on a way of garage
Chief Financial Officer Bob Wayman said HP expects revenues of $89.5 billion to $91 billion for its 2006 fiscal year, a range allowing for a lower result than $90.85 billion analysts had been expecting. However, Wayman said that the company expects earnings of $1.88 to $1.95 a share. Analysts had been expecting $1.82 a share.
RépondreSupprimerhttp://money.cnn.com/2005/12/13/technology/hp_meeting/
The projections are confirmation of new CEO Mark Hurd's first order of business since taking the reins from Carly Fiorina ... cutting costs. But up until now investors and analysts have heard little about how he plans to grow the company.
RépondreSupprimerGolden parachutes in a time of pink slips
RépondreSupprimerAfter Carly Fiorina screwed up as the CEO of Hewlett-Packard Co., the computer company deleted her – and gave her $21 million. When the Securities and Exchange Commission started investigating Krispy Kreme Doughnuts Inc., and shareholders filed a lawsuit about padded sales figures, the company rolled President Scott Livengood out the door – and gave him more than $32 million. And when CEO Harry Stonecipher, the self-styled “chief ethics officer” for Boeing Co., had an affair with an employee, the aircraft manufacturer sent him flying – and gave him $44 million.
http://www.businessrecord.com/Main.asp?SectionID=40&SubSectionID=75&ArticleID=2366
Los Angeles, CA 90017 December 2 2005
RépondreSupprimerA controversial bill was introduced earlier this month that would require public companies to reveal more about executive salaries and perquisites. The proposal does not dictate what companies can pay their executives. Instead, the law focuses on additional disclosure and related shareholder approval.
The Protection Against Executive Compensation Abuse Act (HR 4291), is sponsored by Rep. Barney Frank (D-MA). Frank’s bill would require public companies to:
Disclose additional details about how much executives earn in cash, incentives, and perks, and submit this for shareholder approval.
...
Carly Fiorina
Hewlett-Packard
$ 21 million
http://www.expertclick.com/NewsReleaseWire/default.cfm?Action=ReleaseDetail&ID=10934