TMO's turnaroun

www.HPARCHIVE.com IN THIS ISSUE

his issue launches the 31st the President's Quality Award-HP's year ofMEASURE publica­ version of the Malcolm Baldrige tion. And we hope that the National Quality Awards. content reflects the cur­ There's one significant change rent state of HP. in the January-February issue of TThere's no more timely topic than MEASURE that should delight dozens change, so we begin with an exami­ of readers. Because we get our U.S. nation of the Test and Measurement mailing labels from the master Person­ Organization's incredible turnaround. nel data base, ifyou work for HP in HP's oldest business, which depended the United States, you automatically largely on the defense industry, has get a copy ofMEASURE. For married undergone an impressive metamorpho­ couples who both work for HP, that sis. Once "stodgy," as one employee means they each get a copy. Several described it, today it's pursuing the employees have written or called to On the cover: Product/process explosive telecommunications and complain about this duplication. assistant Angie Hagle works on multimedia markets. So, starting now, a new computer a microcircuit for an HP network analyzer at the microelectronics This issue also reports on the program will generate only one mail­ center in Rohnert Park. California. results of two general managers' task ing label per household, and the copy Photo by Ken Kobre. forces, which examined two items goes to the person whose name comes of employee interest: the perceived first alphabetically. loss ofthe HP way and-an irritating Of course, computer programs source to some-forced relative being what they are, ifyou list your ranking. address with Personnel as 100 Walnut We repeat our popular look at Avenue and your spouse lists it as 100 new products during the past year Walnut Ave., you'll still get two copies. in "To market, to market," and high­ You can correct that with your Person­ light one product that typifies HP's nel department. global nature. Ifyou each want your own copy of Next come two stories that probe MEASURE-roommates sharing an drug testing: the role HP equipment apartment, for example-contact us plays in detecting drug use, and a and we'll put you on a separate mail­ debate on pre-employment drug test­ ing list. ing by two employees. We hope we're providing the kind The varied use of HP products also of employee magazine you want­ surfaces in "The Palmtop Nutritionist," both in content and delivery. an application story about the HP 95LX Ifyou have suggestions for stories palmtop computer, and "Another road­ or other improvements, please let side attraction?" which provides an us know. inside report on Biosphere 2, the sci­ Jay Coleman entific experiment in the Arizona MEASURE editor desert, which some experts claim yielded more fiction than science. And Chairman, President and CEO Lew Platt unveils the first winners of

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www.HPARCHIVE.com THE INSIDE STORIES

FEATURES DEPARTMENTS 4 The transformation of TMO 8 People HP's oldest business re-invents itself to capitalize John Minck reflects on the chal­ on the fast-growing corrununications industry. lenging and terrifying switch to a new field. 10 Employer of choice? What is HP doing to keep and attract top talent? 20 On my mind For starters, improving its ranking system and Two HP employees debate the pros revitalizing the HP way. and cons of pre-employment drug testing. 14 To market, to market Page 18 MEASURE highlights some of 1993's best new 26 Your turn products. MEASURE readers share their views on matters of importance. 16 World traveler One of the top new products shows the global 27 Letter from Lew Platt nature of HP's business today. HP's chairman, president and CEO announces the first winners of the 18 A sporting chance President's Quality Award. An HP-equipped drug lab helps level the playing field for collegiate and professional athletes. 28 ExtraMEASURE News from around the HP world. 22 The palmtop nutritionist Page 22 A new software program and the HP 95LX palm­ top computer form a recipe for success.

24 Another roadside attraction? HP equipment worked well, but was Biosphere 2 a breakthrough or a bust?

MEASURE

Editor: MEASURE is published six times a year for employees and associates of Hewlett-Packard Company. It is produced Jay Coleman* by Corporate Communications, Employee Communications Department, Mary Anne Easley, manager. Address corre­ spondence to MEASURE, Hewlett-Packard Company, 20BR, P.O. Box 10301, Palo Alto, California 94304-1185 USA. The Associate editors: telephone number is (415) 857-4144; the fax number is (415) 857-7299. Cornelia Bayley, Betty Gerard

Art Director: ·Copyright 1994 by Hewlett-Packard Company. Material may be reprinted with permission. Annette Vatovitz *Member, International Association of Business Communicators (lABC).

Graphic designer: Hewlett-Packard Company is an international manufacturer of measurement and computation products and systems Thomas J. Brown recognized for excellence in quality and support. HP employs 96,200 people worldwide and had revenue of $20.3 billion in its 1993 fiscal year. Photo research: Carol Parcels

Intern: Nancy Fong * MEASURE magazine is printed on recycled paper with vegetable-based ink.

January-February 1994 3

www.HPARCHIVE.com HANGE The transformation of

New customers, new By Jeff Weber products and new ways to do business propel HP's It's no fairy tale. HP's Test and Measurement Organization oldest organization on a (TMO), which had gone from riches to rags in recent years, is fast track for change. back on the road to prosperity again and is poised to reclaim its title as HP's "crown jewel organization." Indeed, there are strong indications that TMO is again deserving ofsuch lofty status. HP's oldest business has basi­ cally re-invented itself to capitalize on new opportunities in fast-growing areas such as communications. And the results are promising. While most of its major competitors are struggling to break even in a difficult economic environment, TMO grew by 4 per­ cent in fiscal year 1993. And in the fourth quarter of 1993, TMO was HP's most profitable organization. "Best of all," says Chairman, President and CEO Lew Platt, "when you talk to the people in TMO, there's a renewed sense of enthusiasm." Not long ago, "enthusiasm" wouldn't have been the word to describe the atmosphere in TMO. "Apprehension" might have been more like it-or even "despair." In late 1989 and early 1990, TMO's business and profits started declining sharply. Worldwide spending on TMO's mainstay-defense and aerospace-was shrinking, and the organization was struggling to offset the decrease in orders. The future didn't look particularly bright for any of the three major parts of TMO-the Electronic Instruments Group (EIG), the Microwave and Communications Group (MCG) or the Communications Test Business Unit (CTBU). At the point when TMO's business appeared ready to go into a freefall, Ned Barnholt was named vice president and

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www.HPARCHIVE.com general manager of the organization. (He has since been named a senior vice president.) After studying the issues facing TMO, Ned came to two conclusions. On one hand, TMO was being buffeted by fluctuating business cycles. But more importantly, the organization was encountering profound changes in its customer base, in the kinds of products customers wanted to buy, and in the way TMO needed to con­ duct business to be successful. Several factors were contributing to TMO's problems. A large amount of R&D spending wasn't paying off. The sales force wasn't always able to respond to customers' needs. And overall, the organization's size was not in sync with the level of business. "We looked at all ofthat and decided we needed to change a few things to put our business on track again," Ned says. One of the first decisions was a series of organizational changes in late 1991 and early 1992. "The changes allowed our divisions to focus more on key growth opportunities," says Ned. "We targeted the communica­ tions industry because it's going to be a major driver in the electronics busi­ HP assemblers at MCG's microelectronics center in Rohnert Park, California, manufacture ness ofthe '90s." component parts that go into test and measurement instruments. The organizational changes helped TMO adapt to new paradigms and to formation. It was an eye-opening expe­ "I felt it had become a survival target promising growth opportunities. rience. Says Ned, "I concluded there issue for TMO," Ned says. "Our busi­ In MCG, for instance, the Spokane was more to change than reorganizing ness had undergone fundamental Division refocused on wireless com­ -we needed to take a deeper look at changes, and we needed leadership to munications, a new lightwave organi­ our organization and bring about even take us in new directions." zation was formed to concentrate on more profound change." An HP research project headed by fiber optics, and the old Stanford Park At the TMO general managers' meet­ Susan Curtis, a specialist in organiza­ Division was transformed into the ing in September 1992, Ned talked tional change, found that the com­ Video Communications Division to about the need to build customer­ pany's senior managers had strong concentrate on the explosive video focused organizations that are flexible management skills-not necessarily and multimedia markets. enough to respond to changes in TMO's strong leadership skills. After the changes, Ned visited a markets. He also talked about the impor­ Ned told the general managers that number of divisions to get a first-hand tance ofleadership to transform TMO. they needed to lead change, not just view of the progress in TMO's trans- manage it. "Managers are good at

January-February 1994 5

www.HPARCHIVE.com TMO

managing an ongoing business," he "We were doing evolutions ofprevi­ says, "but leaders build businesses." ous product lines. We weren't moving At that same meeting, the general in new directions. We needed to break managers identified major impedi­ away and look at new opportunities ments to change at TMO. The feed­ from a fresh point ofview." back was open, honest and emotional. Today, TMO is overflowing with For Ned, it was also depressing. "It new opportunities. A growing propor­ sounded like lots ofthings were bro­ TMO isn't stodgy any more, says Roberto tion ofthe organization is implement­ Favaretto (right), G.M. of TMO's European ken, and we needed to make even fur­ Field Operations, here talking with col­ ing many ofthe processes outlined ther changes in our organization and league Tansel Ozyar. in Project TMO, and the results are strategies to be successful." impressive. Nearly every division has But that dialogue-now known improving leadership skills and key adopted major new business initia­ within TMO as "speaking the unspeak­ management processes. The task tives. "We've gone from not knowing able"-proved to be a watershed in force also found room for improve­ getting issues on the table and moving ment in TMO's decision-making forward. A general managers' task process and in the way it handled force was assembled to identify TMO's accountability. As a result ofthe gen­ key problem areas and benchmark eral managers' task force, the organi­ "Who would have thought best practices at HP's successful zation launched Project TMO-a set stodgy old TMO would be in Computer Products Organization of principles, techniques and proc­ the multimedia business?" (CPO), as well as at other companies. esses designed to help TMO succeed Task force members visited CPO in an environment of rapid change. facilities in Boise, Idaho, and were The linchpin of Project TMO is the what to do to not having enough impressed with what they saw. "CPO concept ofvisionary leadership. One resources to do as much as we'd like," is focused on what it takes to be suc­ problem identified by the task force Ned says. cessful," says Duane Hartley, G.M. of was that TMO spent far too much Limited resources, coupled with time focusing on internal processes. an industrywide trend to focus on "We weren't always focused on our core competencies and outsourcing, markets and customers," says Ned. have prompted some creative-and "With visionary leadership, we spend successful-solutions for TMO: "Despite their success, they a lot more time in the market and with partnerships, alliances, acquisitions live in fear that success can go customers. Essentially, we build our and opportunistic organizational away very quickly. " whole culture around customers." structures. Visionary leadership starts with The reorganization of MCG, for "scanning"-a thorough investigation example, shifted all ofthe group's the Microwave Instruments Division of current and potential markets. In a traditional general-purpose test-and­ and a member of the task force. technique known as scenario plan­ measurement instruments into the "Despite their success, they live ning, information gathered through Microwave Instruments Division every day in fear that success can go scanning is analyzed to determine if it (MID), freeing other divisions to focus away very quickly. They are highly could lead to successful new business on new opportunities in what MCG motivated to maintain an obsessive initiatives. Carried out effectively, General Manager Dick Anderson calls focus on customer needs, as well as the process creates an environment a "communications revolution"-the what the competition is doing." encouraging change and risk-taking­ convergence of computers, communi­ The general managers' task force exactly what TMO needed. cations and consumer electronics. came away from Boise with many "In the late '80s and early '90s, we So far, it looks like a shrewd good ideas. The organization needed had run out of big ideas," Ned says. decision. MID enjoyed a strong to work on several areas, including performance in 1993, and new prod­ clarifying its strategy to win and uct initiatives at the Spokane and

6 MEASURE

www.HPARCHIVE.com Video Communications divisions have greatly exceeded expectations. Growth also is anticipated in two other relatively new product areas: fiber optics and systems solutions. Another trend in the '90s-cross­ divisional cooperation-is exempli­ fied in EIG's alliance with Ford Motor Company. Nearly half of EIG's entities are involved in providing systems to design, manufacture and test sophisti­ cated electronic networks in Ford vehicles. This teamwork helped EIG double its automotive business in one "We've gone from not knowing what to do to not having enough resources to do as much year, and G.M. Tom Vos believes there as we'd like," says Ned Barnholt, senior vice president and TMO general manager. are many more opportunities in the auto industry. But time is of the essence. have the major share of that market," Favaretto, G.M. ofTMO's European "Many of these situations have says CTBU G.M. Byron Anderson, Field Operations. "One of the com­ finite windows, often less than five whose organization achieved dramatic plaints from the sales force was that years," Tom says. "We've found ways growth in 1993. "It's an example of the the communications market was mov­ to team up, rather than reorganize, to power of good customer connections." ing fast-but TMO wasn't fast enough take advantage of opportunities." Another factor in TMO's turnaround with new products. I don't hear that So has CTBU, which is organized in involves new manufacturing processes complaint today." a series of small R&D and marketing and consolidations, which have dra­ A key challenge is making sure the entrepreneurial units. CTBU prides matically improved order fulfillment principles of Project TMO are clearly itself on working closely with cus­ and product competitiveness. understood throughout the organiza­ tomers to find solutions. In one case, While there have been notable suc­ tion. "As we drive change further in CTBU actually rented a competitor's cess stories, Ned is quick to point out TMO, everyone must be involved," product and loaned it to a customer that Project TMO is "work in process." Ned says. "Our people have tremen­ until HP could provide a superior Several follow-up task forces are dous insight; they want to participate product. In tum, the customer worked working on issues connected with in building a successful organization." with CTBU to develop test equipment TMO's management process, people From Roberto's perspective, it's and culture, decision-making and only a matter of time before employ­ leadership. ees are as enthusiastic as senior man­ "One important thing about Project agers about TMO's transformation. TMO is the tremendous amount of "It's an exciting time to work in TMO "It's an exciting time to work in learning going on among the general because there's so much dynamism in TMO because there's so much managers and everyone else involved," the way we're looking at market dynamism..," Ned says. "This collective learning is opportunities. TMO is fun again." absolutely essential-and never­ The luster's back on HP's crown ending. As soon as we think we've jewel. M for a new telecommunications system got it figured out, something else that transmits voice, video, data will change." (Jeff Weber is a senior communi­ and images. Nimbleness wasn't previously TMO's cations representative for HP in "We were first to market with that hallmark. "Who would have thought Sonoma County, California.-Editor) kind of test equipment, and now we stodgy old TMO would be in the multi­ media business?" says Roberto

January-February 1994 7

www.HPARCHIVE.com PEOPLE Teaching an old dog new tricks By Cornelia Bayley Remember the Sputnik satellite? The and I said, 'If we meet quota, I'll jump Russians launched it in the fall of in that pool next year!' We had some A long-time test and 1957-the year before John Minck great new products that year-includ­ started working at HP. John remem­ ing HP's first spectrum analyzer-and measurement veteran bers during his job interview talking we hit 27 percent growth. Of course, reflects on the organization with Barney Oliver (who was then everyone reminded me ofmy promise." and the challenging and V.P. for Research and Development) John rented an old-fashioned striped about Sputnik and its signal Doppler swimsuit with long legs, donned a sometimes "terrifying" effect. HP engineers had helped stocking cap and gloves and jumped move to a new field. Stanford Research Institute (SRI) use into the pool. Says John, "John Young the Doppler effect to find the slant was on the other side of the pool with range of the satellite and to determine a hot toddy for me when I got out. how high it was in the sky. Those were fun times." "I was doing okay discussing the "John Young was the G.M. and he Doppler effect, but pretty soon I was brought in professional management in over my head. Barney smiled at me ideas. He introduced the processes for and said, 'I think I'll have you talk to setting up product planning and real marketing procedures. We all felt the Microwave Division was the top divi­ sion, the most professional division," he says. "Ifwe meet quota, I'll jump in The division grew rapidly in those that pool next year!" early years and split off businesses about every 10 years. "In 1970, about half of the division went to Santa somebody in marketing' and that's Rosa, California. What was left at SPD how I started in marketing at HP." grew and in 1980 another half split off With a master's degree in engineer­ to become the Spokane (Washington) ing administration from Stanford, John Division. In 1990, another operation, became marketing manager ofthe Microwave Test Accessories, also Microwave Division in Palo Alto, went to Santa Rosa. California, in 1964, which evolved into "I call the Microwave Division the the Stanford Park Division (SPD). mother division," says John, "because John remembers an HP holiday even though it was only one of the party in 1964. There was a sprinkling four charter divisions, it was the divi­ of snow on the ground. The sales sion that brought in professional man­ quota for 1965 had been set aggres­ agement ideas and spawned so many sively high-20 percent higher than other divisions." the three previous no-growth years. More recently, John has been part John recalls, "We were looking at of another change, the end of his old the snow around the swimming pool, home in SPD and the beginning of the

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www.HPARCHIVE.com new Video Communications Division (VID), currently in Santa Clara, California. The transition from SPD to VID caused a lot of turmoil for people­ personally and professionally. "I was troubled because I wasn't sure that somebody like myself with so many years in just the microwave line-and I'm an older man-I wor­ ried whether I could change my spots," admits John, who is now VID's marcom manager. One ofthe first stages ofthe change was transferring SPD products to other divisions. This was especially hard because many of the products were brand new and highly successful. "These were great products, and we sent them away. It hurt-even though it was the right thing to do. Like true soldiers, we just got together John Minck, who has been an outspoken proponent of women in management, talks here with Kaaren Marquez, a production manager for the Video Communications Division. and started sending all the drawings and photographs and a few people, watching how the production studios so many things we weren't sure of. and away they went," says John. operated and observing the video Everybody was running 100 miles VID's charter is to design and man­ studio environment. an hour." ufacture professional equipment for "They did the best market research Coming from a division that led video applications in production and job I've ever seen in all my years at the market to a market in which HP post-production studios, as well as HP," says John. "It's called 'BMFO,' is an unknown was another challenge. broadcast and cable transmission building market-focused organizations." "Success gives you a lot of confi­ There was something happening dence, and our customers loved our technologically just as HP entered the microwave products-they didn't video market-video was changing know HP for video test equipment. from analog to digital technology. We have a whole brand recognition 'There were so many things The timing of this change gave HP image to build up, which we're start­ to do and so many things we an advantage. We had competencies ing to do." weren't sure of." that competitors didn't have and Having been through so many HP couldn't get very fast. John says, "It transitions, John continues to be opti­ gave us that once-in-a-lifetime oppor­ mistic about HP's future: ''I'm totally operations. To learn about the video tunity to move in during that tran­ in Joel Birnbaum's court with the market in 1992, VID people traveled sition, and launched us into the MC2 idea. We have the tools around to hundreds of customer sites and professional video studio business." this company to do a smashing job companies where they spent time What did it feel like, entering this meeting that vision of the future of new field? "Terrifying," says John. communications!" M "There were so many things to do and

January-February 1994 9

www.HPARCHIVE.com MPLOYEE SURVEY

Employer fchoice? By Mary Anne Easley To reassert HP's leadership as an companies in the electronics industry. "employer of choice" is one of Chair­ Outside the United States, data is man, President and CEO Lew Platt's compared with high-tech industry What is HPdoing to keep three Hoshin goals for 1994. norms and with country norms. and attract top talent? Lew plans to measure progress Survey data is different for each For starters, improving its toward that goal by monitoring entity and is made available only to Employee Survey results. Until last employees in that entity, to group and ranking system and year, Employee Survey scores had sector management, and to Lew. A revitalizing the HP way. been declining and no longer exceeded few issues, though, keep coming up industry norms in a few categories. at locations around the world. Here "We need to reassert our position MEASURE reports on two issues of as the best place to work in order to special concern to employees. keep today's talented and committed "I support your efforts to promote employees," he says, "and to continue the HP way," Craig Porter, a software to attract the best candidates." HP's engineer in the Professional Services Employee Survey, begun in 1989, Division, told Lew in an HP Desk continually measures employees' message. While most employees satisfaction with HP. Before that, the didn't send personal notes to Lew, company used an outside consultant many talked about the erosion of to conduct two surveys-called the HP way and still more were just Open Line-in 1979 and 1985. But HP thinking it. Results of Employee needed feedback more frequently and Surveys conducted around the world from employees around the world. showed the same disappointment Today's survey-no longer admin­ and frustration. Employees were con­ istered by an outside consultant but cerned that the HP way was eroding by Corporate Personnel-measures and a special task force appointed employees' opinions and attitudes in in 1991 by then-CEO John Young 13 categories, including pay, benefits, recommended to Lew in his first communication, and entity and corpo­ months as CEO that he focus atten­ rate management. At first optional, it tion on revitalizing the HP way. That has been required since 1992. Con­ task force, led by John Weidert, G.M. ducted in each division, sales region ofIntegrated Systems Division in or country at least every two years, Sunnyvale, California, was composed the survey is a way to continuously ofgeneral managers representing HP's monitor whether HP employees think various businesses and geographies. HP is an employer of choice. The Weidert task force was one To see how HP stacks up, Employee of two thatJohn Young appointed Survey results are compared with after he'd asked general managers to those of other companies, including identify two or three issues from their

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www.HPARCHIVE.com Debbie Sherk of Lake Stevens (Washington) Instrument Divi­ sion's manufacturing depart­ ment says of the HP way, "1 think it's coming back. I'm see­ ing more managers become focused on making sure more people, especially direct-labor people, are feeling comfortable with the HP way."

January-February 1994 11

www.HPARCHIVE.com Choice?

The ranking system's new guidelines recent Employee Surveys that needed Performance Rank Band (PRB) Distribution guidelines top management attention. Maximum pay 10-15% PRB5 Top performers Of the issues they chose, one-pay (15% absolute maximum) and performance-was deemed so ------large as to need its own task force, PRB4 and Larry Cattran, Analytical Product ---- 80-90% Group's U.S. factories operations ------ldistribution within band PRB3 manager, was named to lead it. John is managed by supervisor and Wiedert and his group addressed the ------direct management chain) remaining issues, including the HP PRB2 way, several organizational issues under the heading "corporate manage­ ------ment" and development. PRB1 Improvement needed 0-5% "Every member of our task force is Minimum pay earnest about improving HP as a place to work," says John. "We weren't selected because our divisions have opment and the growing complexity from people. They could have talked the best scores." of the company, we've lost sight of the all day." They consolidated a dozen or so HP way. They recommended that all Lew is taking these recommenda­ issues into five categories, determined levels of management renew attention tions seriously, rekindling the HP way probable causes ofthe problems and to the HP way and practice it. and asking all employees-especially recommended solutions. In response to employee complaints managers-to pay attention to it. In HP is losing its "human touch," they that managers "sugar coat" bad news, his first year as CEO, he's managed by said. Because ofbusiness pressures, they recommended more open, hon­ wandering around the world, and by downsizing, speeded up product devel- est communication. example, listening to employees, talk­ As to the organizational issues, they ing about the HP way, encouraging recommended the following solutions: teamwork, and "telling it like it is," The Weidert task hold managers more accountable for avoiding putting a happy face on seri­ results; inform employees about the ous problems. force recommended: company's strategic vision so they can What is it that irritates employees • Renew attention to the HP way better understand frequent organiza­ most about HP's ranking system? Ask and practice it. tional changes; emphasize teamwork just about anyone and you'll get one and cooperation across businesses; or both ofthe following responses: • Managers should communicate and better focus on fewer areas that "Forced relative ranking." openly, honestly. are critical to the company, especially "Being ranked by managers who • Hold managers more account­ as the rate of change accelerates. don't know me." able for results. Partway through the process, task In recent years, many entities have force members validated what they'd "forced" a designated percentage of • Better inform employees about done so far. They tried out their ideas employees into each of the five per­ HP's strategic vision. on people in their organizations. formance bands. In order to compare • Emphasize teamwork and "We knew we were right in the employees' performance with others cooperation across businesses. nerve stream of HP," says John. who perform similar jobs, managers "People gave us good feedback and participated in cross-functional rank­ • Better focus efforts and we modified our plan as a result. At ing sessions, often comparing the resources in the face of accel­ my own division, I had two meetings erating change. with employees. I had great support

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www.HPARCHIVE.com jT' • 1 JiffMli HYDRANT I performance ofpeople in their own group with others they did not know. Both practices rankled employees and left many managers refusing to accept responsibility for the result. The task force that dealt with the issue, led by Larry Cattran, accepted a tough assignment. "We talked to lots ofpeople in try­ ing to understand all aspects of this issue, inside HP and at several other admired companies," says Larry. He says that while they found many people dissatisfied with ranking, HP people-almost without exception­ rrrrrmrrrrJIfflrn. share some basic beliefs: that pay David Lee (left, with Grace Lo and Willy Shih) of the Taiwan Customer Escalation Center thinks the ranking process is right for HP in today's competitive business environment, but should be based on performance; that he adds, "Communication between a manager and employee is very important to make people perform differently and those the ranking process successful." differences can be categorized; and that HP's pay system must remain be in the top and bottom bands. They comes more responsibility at each require that no more that 10 to 15 per­ entity for managing overall salaries cent of employees be ranked in the relative to the competitive market. top band and that 0 to 5 percent be "This is not a perfect system," Larry ranked in the bottom band. admits. "In fact, from polling other The task force that dealt with The other major change: cross­ the issue (of ranking) accepted functional ranking sessions are no longer required. Instead, managers­ a tough assignment. with the approval of their management -will rank their direct reports based "I had great support from competitive (in other words, we have on how well they meet job expecta­ people. They could have talke to pay enough to attract and keep tions and performance objectives. all day." talented people, but we can't afford "I wish I could say ranking distribu­ to pay more than the market leaders). tions will never be forced again," says "Since we believe in pay for per­ Pete Peterson, vice president of Per­ companies, our task force learned formance, there must be some way to sonnel. "But if overall pay is too far there is no perfect pay system." differentiate performance. After look­ under or too far over the competitive However, adds Pete, "I believe these ing at many alternatives, we finally market, managers may have to use changes take into account employees' concluded that a ranking system is them to make adjustments." concerns with the ranking process still needed, but our current one needs These two changes-allowing more and our business need to ensure that some modifications." flexibility in the middle bands and HP's pay is competitive." M HP will retain its five-band ranking allowing direct management ranking system, but now allows managers to replace cross-functional ranking much more flexibility in the three meetings-effectively eliminate what middle bands (see box on page 12). irritates employees most. The only companywide guidelines will "Of course, this doesn't mean every employee will now be ranked higher," says Pete, adding that with flexibility

January-February 1994 13

www.HPARCHIVE.com ar Looking back at the tough economic and competitive environment of 1993, HP Chairman, President and CEO Lew Platt said order and revenue growth indicated "we've successfuUy swum upstream-a very pleasing result and a testament to the effectiveness ofour new-product programs." Here's a sampler ofthe year's new products:

The lIP ENVIZEX family of X sta­ tions is the industry's first complete The lIP OmniBook 425 is HP's first multimedia X terminal family. It offers 486-based superportable personal audio support, local scanner support computer, with almost a 50 percent and an internal floppy drive so users improvement in performance over the can make the maximum use of collab­ 386-based HP OmniBook 300 intro­ orative multimedia software applica­ duced earlier in the year. The new tions such as HP MPower.. model is the lightest 486-based por­ table PC with a full-sized keyboard.

The lIP 3D Capillary Electropho­ resis system uses a different tech­ nique for separating compounds than HP's other analytical systems. Fully automated, it incorporates a new high-sensitivity diode-array detector designed for on-capillary detection. HP Extended Light Path Capillaries The lIP DeskJet 1200C and 1200CIPS provide triple the usual sensitivity. printers, already recipients of several Low levels of impurities in biological The lIP OpenView Operations awards, are inl\iet office printers with macromolecules and compounds Center broadens the market-leading full-color graphics capability. Both (such as amino acids, vitamins and OpenView network-management soft­ print high-quality black text (600 x 300 pesticides) can be analyzed. ware platform to include systems dots-per-inch in high-quality mode) at management. With it, such tasks as laser speed (up to 7 pages per minute). software distribution, backup, print­ Both printers are optimized for plain spooling and performance monitoring paper printing. can be done remotely, giving the IT staff centralized control over its dis­ tributed multivendor client/server network.

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www.HPARCHIVE.com The HP 83000 F330t digital IC test system is HP's entry into the The HLMA-CPOO greenish-yellow The HP VidJet Pro print manager digital IC production-test market. lamp expands HP's high-brightness uses new imaging technology to cap­ New software makes it possible to light-emitting diode lamp line. The ture, organize, analyze and archive set up tests in two to three days that AlInGaP LED lamp produces 1,000­ video information from any source could take up to several weeks on millicandela typical intensity when and print it on plain paper or trans­ conventional systems. It is designed operating at 20-mA current-more parencies, using most HP printers. to help manufacturers of high­ visible light than an equivalent incan­ Its market is professional broadcast performance devices ship quality descent lamp with the same electrical engineers; a version for home users parts less expensively. input, and ideal for outdoor use, such will follow. as moving message panels. Other 1993 products of note: HP LaserJet 4L and 4ML printers, first to conserve energy when not in use, and HP LaserJet 4Si and 4SiI MX printers... HP Vectra 486 PCs with built-in networking capability and infrared technology...HP Optiva 95R remanu­ factured toner cartridge...HP NetServer LM series... HP JetDirect EX external network interface...HP 100LX palmtop PC... Corporate Business Servers with the industry's highest on-line transac­ tion processing (OLTP)...HP Dashboard The HP 75000 broadband series 2.0 for Windows...HP Trapezoidal The HP SS7 signaling network­ test system for the development and Linear Array transducer...HP Chem­ monitoring system provides tele­ testing of ATM and broadband ISDN Server 4900 network-server family...a phone companies and carriers with (B-ISDN) networks is the first product total-performance benchtop GCIMS real-time information that serves as of its kind. A new and comprehensive system...HP 7686 PrepStation system an early warning of developing trou­ approach to testing, it meets the needs which automates sample preparation... ble. Completely independent of exist­ of designers who are challenged with HP 70000 modular measurement ing network equipment, it operates high-speed and new complex broad­ system...HP 8921D dual-mode cell-site during network overloads or failures band network services. test system... HP 75000 Series 95 fam­ -collecting data on problems and ily of VXI modules for SONET tribu­ diagnosing their cause. tary production test...HP TestJet tech­ nology, which enhances the HP 3070 board-test systems. And tum the page for one more...

January-February 1994 15

www.HPARCHIVE.com Local suppliers provide sheet­ Special large-size inkjet car­ metal parts (such as the back tridges using HP's proprietary panel tray holding the main technology are made for the World board); plastic-molded parts 650C by the Inkjet Supplies (the end cover and top part); Business Unit's operations in gears and hardware. San Diego, California, and traveler Corvallis, Oregon. The HP DesignJet 650C color plotter -which uses HP's inkjet technol­ ogy to speed up the formerly pain­ staking process of making large­ w=--- format plots- is a good example of the cosmopolitan nature of many of HP's product offerings. Both its content and its manufac­ turing locale reflect the global nature of HP's business today. Introduced in May, the 650C was designed by the San Diego (California) Division (SDD), working closely with the Inkjet Supplies Business Unit. It was necessary to redesign the inkjet cartridge size to fit the needs of the two 650C models, which make plots up to 24 or 36 inches wide. Sweeps of ink-monochrome or color-move rapidly across the paper, producing output up to 10 times faster than pos­ sible with the line-by-line drawings of pen plotting. In terms of dollar value, half the material going into the 650C comes from sources in Asia Pacific and Europe. Inkjet cartridges are made in San Diego and Corvallis, Oregon. Other parts of low-to-medium value are sourced locally. This April, the 650C will complete a phased move of production to the Barcelona (Spain) Division as SDD The 650e-a color and shifts to a new charter. Worldwide monochrome inkjet plotter­ comes in two models that use marketing of the plotter already is different paper widths. The done in Barcelona. EIAO size (shown here) is In addition to serving the market 36 inches wide; the D/A1 size is 24 inches wide. With inkjet for technical drafting, the big plotter technology, the plotters can is being used to design brochures, do up to 100 high-quality plots packages, T-shirts and posters and per day. output for continuous-roll applica­ tions. And more big ideas for the 650C are coming all the time. M -Betty Gerard

16 MEASURE

www.HPARCHIVE.com ,..

Hewlett-Packard Corporate Organization January 1994

CHAIRMAN,PRESIDENTAND CHIEFEXECUTIVEOFFICER Lew Platt

I I I I I I FINANCEAND MEASUREMENT TESTAND COMPUTER COMPUTER GEOGRAPHIC ADMINISTRATION SYSTEMS MEASUREMENT PRODUCTS SYSTEMS OPERATIONS Bob Wayman DougCarnahan Ned Barnholt Rick Belluzzo Wim Roelandts Alan Bickell

CORPORATEAFFAIRS MEDICAL ELECTRONIC PERSONALINFORMATION SYSTEMS EUROPE/MIDDLEEAST/ - AND GENERALCOUNSEL I-- Ben Holmes - INSTRUMENTS I-- PRODUCTS f-- TECHNOLOGY - AFRICA Jack Brigham TomVos Bob Frankenberg Carl Snyder Franco Mariotti

~ I ;g ;0 () INTERNALAUDIT ANALYTICAL MICROWAVEAND DESKJETPRINTER WORKSTATION AMERICAS I f-- Cobbe <: GeorgeAbbott I-- Dieter Hoehn I-- COMMUNICATIONS - Dick Snyder - SYSTEMS I-- George m Dick Anderson GaryEichhorn o "3

PERSONNEL COMPONENTS COMMUNICATIONS HARDCOPYIMAGING SYSTEMS& ASIA PACIFIC Pete Peterson - Bill Craven I-- TEST - Antonio Perez - SERVERS '-- LeeTing Byron Anderson Rich Sevcik

CONTROLLER MASS STORAGE SALESAND INKJETSUPPLIES SOLUTIONS CUSTOMER RayCookingham - RaySmelek - MARKETING I-- Dana Seccombe I-- INTEGRATION SUPPORT Larry Potter Mike Leavell Jim Arthur

INFORMATIONSYSTEMS HPPRODUCT LASERJETPRINTER COMPUTER R&D, BobWalker - PROCESSES I-- CarolynTicknor I-- MANUFACTURING HPLABORATORIES Bill Kay Dick Love Joel Birnbaum

CORPORATE SALES,DISTRIBUTION SALESAND DEVELOPMENT - AND SUPPORT '-- MARKETING Tom Uhlman Dick Watts Manuel Diaz

TREASURY Larry Tomlinson ~- FINANCE AND ADMINISTRATION MEASUREMENT SYSTEMS Bob Wayman Doug Carnahan Executive Vice President Vice President

GEOGRAPHIC OPERATIONS CORPORATE AFFAIRS AND ANALYTICAL PRODUCTS GROUP Alan Bickell GENERAL COUNSEL Dieter Hoehn Senior Vice President Jack Brigham Vice President and General Manager Vice President Analytical Business Unit - Europe EUROPE/MIDDLE EAST/AFRICA Waldbronn Division Franco Mariotti CORPORATE LEGAL Group/U.S. Factories Senior Vice President and Director General Legal Little Falls Site Field Sales: France, Germany, Italy, United Intellectual Property SID Site Kingdom, International Sales Europe, Nordic, Product Businesses Unit Iberian, The Netherlands, Belgium, Switzerland CORPORATE COMMUNICATIONS, Yokogawa Analytical Systems CORPORATE PHILANTHROPY Marketing, Sales, Support Manufacturing: France, Germany, Italy, Spain, Roy Verley United Kingdom, The Netherlands Director COMPONENTS GROUP AMERICAS Bill Craven GOVERNMENT AFFAIRS Vice President and General Manager George Cobbe Bob Kirkwood General Manager Director Avantek Field Sales: Canada, Latin America, United States Communications Components Division Optoelectronics Division Manufacturing: Brazil, Canada, Mexico INTERNAL AUDIT George Abbott Optical Communication Division Director Malaysia Components Operation ASIA PACIFIC Singapore Components Operation Lee Ting Marketing, Sales, Support General Manager CONTROLLER Ray Cookingham Field Sales Regions: Australasia, Southeast Asia, Vice President and Controller MASS STORAGE GROUP China, Hong Kong, India, Japan, Korea, Taiwan Ray Smelek Manufacturing: Australia, China, India, Japan, PERSONNEL Vice President and General Manager Korea, Malaysia, Singapore, Taiwan Pete Peterson Boise Site Operations Vice President Colorado Memory Systems Corporate Marketing and International Services Computer Peripherals Bristol Division Dick Warmington CORPORATE DEVELOPMENT Disk Memory Division General Manager Tom Uhlman Storage Systems Division Director WORLDWIDE CUSTOMER SUPPORT OPERATIONS MEDICAL PRODUCTS GROUP Jim Arthur INFORMATION SYSTEMS Ben Holmes Senior Vice President and General Manager Bob Walker Vice President and General Manager Multivendor Services Division Director Asia Pacific Geographic Business Unit Operations Services Division Cardiovascular Business Unit Software Services and Technology Division REAL ESTATE Diagnostic Cardiology Finance and Remarketing Division Laine Meyer Imaging Systems Response Center Operations Director Interventional Cardiology Support Materials Organization Clinical Systems Business Unit Europe Field Operations TAX, LICENSING AND CUSTOMS Monitoring Systems Americas Customer Support Larry Langdon Prenatal and Anesthesia Care Asia Pacific Field Operations Director Clinical Information Systems European Geographic Business Unit RESEARCH AND DEVELOPMENT TREASURY Marketing and Distribution Business Unit Joel Birnbaum Larry Tomlinson Health Care Information Systems Senior Vice President, R&D and Treasurer Medical Customer Services Director, HP Laboratories Massachusetts Medical Operation HP Labs, Palo Alto HP Labs, Bristol Integrated Circuits Business Division HP Labs, Japan

Note: Listed here are divisions and some operations-the latter typically have significant worldwide product-line responsibility and report directly to group or business unit management.

WWW.HPARCHlvE.co:m:...... ;;;;;;;;:======:- i TEST AND MEASUREMENT COMPUTER PRODUCTS COMPUTER SYSTEMS Ned Barnholt Rick Belluzzo Wim Roelandts Senior Vice President Vice President Senior Vice President

Worldwide T&M Sales and Marketing Sales, Distribution and Support Worldwide Sales and Marketing Larry Potter Dick Watts Manuel Diaz Vice President and General Manager Vice President Vice President and General Manager Europe Sales/Marketing ELECTRONIC INSTRUMENTS GROUP Logistics and Distribution Americas Sales/Marketing Tom Vos Asia Pacific Distribution Operation Asia Pacific Sales/Marketing General Manager North American Distribution Organization Global Accounts/Strategic Partners Automated Test Business Unit Computer Products Distribution Europe Global Marketing/Channel Strategy California Semiconductor Test Operation Hachioji Semiconductor Test Division PERSONAL INFORMATION PRODUCTS GROUP Computer Order Fulfillment and Manufacturing Manufacturing Test Division Bob Frankenberg Dick Love Boeblingen Instrument Division Vice President and General Manager Vice President and General Manager Colorado Springs Division Asia Pacific PC Division Boeblingen Computer Manufacturing Operation Integrated Systems Division Corvallis Division Computer Interconnect Operation Korea Instruments Operation Grenoble PC Division Exeter Computer Manufacturing Operation Lake Stevens Instrument Division Network Server Division France Manufacturing Operation Loveland Manufacturing Center PC Software Division Hachioji Computer Manufacturing Operation Lyon Instrument Systems Operation Roseville Networks Division India Manufacturing (HCUHP) New Jersey Division Networked Computer Manufacturing Operation Personal Measurements Operation DESKJET PRINTER GROUP Europe Order Fulfillment Santa Clara Division Dick Snyder Americas Order Fulfillment VXI Systems Division General Manager Asia Pacific Order Fulfillment Asia Peripherals Division MICROWAVE AND COMMUNICATIONS GROUP San Diego Printer Division SOLUTIONS INTEGRATION GROUP Dick Anderson Vancouver Division Mike Leavell Vice President and General Manager Vancouver Manufacturing Operation Vice President and General Manager Kobe Instrument Division Vancouver Printer Operation Federal Computer Operation Microwave Instruments Division Integrated Systems Division Microwave Technology Division HARDCOPY IMAGING GROUP Professional Services Division Queensferry Microwave Division Antonio Perez Telecommunications Systems Business Unit Santa Rosa Systems Division General Manager Singapore Network Operation Spokane Division Barcelona Division Telecom Network Dperation Video Communications Division Greeley Hardcopy Division Telecom Platform Operation San Diego Division COMMUNICATIONS TEST BUSINESS UNIT Video Printer Operation WORKSTATION SYSTEMS GROUP Byron Anderson Gary Eichhorn General Manager LASERJET PRINTER GROUP Vice President and General Manager Network Test Division Carolyn Ticknor Advanced Systems Division Telecommunications Systems Division General Manager Entry Systems Division Telecommunications Test Division Advanced LaserJet Operation Panacom Automation Division Boise Printer Division Workstation Technology Division HP PRODUCT PROCESSES Bergamo Hardcopy Operation Bill Kay Network Printer Division SYSTEMS TECHNOLOGY GROUP Director Carl Snyder Corporate Engineering INKJET SUPPLIES BUSINESS UNIT General Manager Corporate Environmental Management Dana Sec combe Grenoble Networks Division Corporate Product Marketing General Manager Information Networks Division Corporate Procurement Manufacturing Operation Open Systems Software Division Corporate Quality Media Operation Systems Technology Division R&D SYSTEMS AND SERVERS GROUP Rich Sevcik General Manager Commercial Systems Division Cooperative Computing Systems Division General Systems Division System Peripherals Dperation

SOFTWARE BUSINESS UNIT Tilman Schad General Manager Mechanical Design Division Network and Systems Management Division Software Engineering Systems Division Work Management Dperation

www.HPARCHIVE.com HEWLETT-PACKARD COMPANY has four Operations are organizational units dedicated conduct of the company and its officers. It is major business organizations. Computer activi­ to particular tasks, usually in support of a prod­ the Board's duty to protect and advance the ties are organized into the Computer Systems uct group or various divisions within a group. interests of the shareholders, to foster a contin­ Organization, which is responsible for systems­ They generally are smaller than a division and uing concern for fairness in the company's rela­ related products (sold primarily through its don't have the full complement of functions, tions with employees, and to fulfill all require­ direct sales force, with additional channel part­ relying instead on a host division or site for ments of the law with regard to the Board's ners), and the Computer Products Organization, some services. Operations often evolve into stewardship. responsible for printers and personal computa­ divisions. The Board counsels management on general tion products (sold primarily through dealer business matters and also reviews and evalu­ and third-party sales channels). The Measure­ FINANCE AND ADMINISTRATION ates the performance of management. To assist ment Systems Organization includes medical, The functions within Finance and Administra­ in discharging these responsibilities, the Board analytical, components and mass storage busi­ tion provide expertise, leadership and direction has fonned various committees to oversee the nesses and oversees integrated-circuits activity. in their areas of responsibility to support the company's activities and programs in such The Test and Measurement Organization com­ company's interests with employees, sharehold­ areas as employees' benefits, compensation, prises a wide range of advanced electronic­ ers, customers, government and communities. fmancial auditing and investment. based measurement products and systems, and Finance, comprising Controller, Treasury, an HP Product Processes organization. 'The lat­ Tax, Licensing and Customs, along with Real CHIEF EXECUTIVE OFFICER ter provides all the HP businesses with vision, Estate and Corporate Development, works The Chief Executive Officer is responsible for access, education and implementation assis­ together with HP's businesses to achieve the the direction and long-range performance of thE tance in product-related processes that will pro­ company's financial and operating objectives. company, subject to the authority of the Board vide a sustainable competitive advantage. Information Systems provides the system capa­ of Directors. Support activities for all products are focused bilities to support HP's business processes. Reporting directly to the CEO are manage­ in a separate Worldwide Customer Support These functions oversee financial, business ment of the four major business organizations Operations. planning and other administrative processes, and Geographic Operations, which provides Field activities are organized into three and have responsibility for managing financial infrastructure for their activities, Finance and geographies, which are responsible for finance, assets and shared service activities that are Administration, Worldwide Customer Support accounting, legal, personnel, quality, informa­ integral to effective resource utilization. Operations, Research and Development, Inter­ tion systems, facilities, fleet and other infras­ Personnel provides leadership in the world­ nal Audit and the General Counsel. tructure serving the sales and support func­ wide development and communication of per­ tions. Management of Europe/Middle sonnel policies, processes and programs which MANAGEMENT COUNCIL East/Africa and Asia Pacific also has a coordi­ facilitate, measure and improve the quality of Primary responsibilities of this body are to nation responsibility for manufacturing in these management and teamwork. It provides people­ review and formulate operating policies, and to geographies, which have their corporate devel­ related data and consulting services that con­ tum policy decisions into corporate action. The opment and public affairs functions. Manage­ tribute to business decision-making, and admin­ Council, chaired by the Chief Executive Officer ment ofAmericas has similar responsibilities isters those people-related processes that can views on a quarterly basis the achievement of for Canada and Latin America. be done most cost-effectively when centralized. performance expectations as reflected in the The Corporate Affairs departments of Com­ forward planning of the business organizations, BUSINESS ORGANIZATIONS munications, Government Affairs and Philan­ and monitors their operating results. Within the four major organizations, the compa­ thropy address HP's many constituencies. Management Council members serve various­ ny's major fields of interest are organized into The General Counsel oversees the Corporate lyon five committees charged with policy-set­ six product-related businesses (Computer Sys­ Legal Department, which has responsibility for ting responsibility for operations, personnel, tems, Computer ProdUCts, Test and Measure­ providing advice and counsel on legal issues, sales and marketing, planning and quality, and ment, Medical Products, Analytical Products legal risks and the protection of company information technology. and Components). Each business determines its assets in the context of the legal environment. respective market strategies, ensures that prod­ The General Counsel is responsible to the MANAGEMENT STAFF ucts and systems satisfy customer needs, and is Chairman, President and CEO to assure legal The Management Staff is chaired by the Chair­ responsible and accountable for activities rang­ matters are appropriately addressed company­ man, President and CEO, and serves as the ing from product generation and manufacturing wide. senior business staff of the company. Its to sales and marketing. Internal Audit provides the Board Audit Com­ emphasis is on issues which span major organi­ Worldwide field marketing and manufacturing mittee, Chief Executive Officer, operational zational boundaries, with a focus on ensuring enable the company to apply its unique range of management and the external auditors with an coherent strategy and implementation. It is computation and measurement solutions to the independent review and evaluation of the inter­ involved in major resource allocation decisions business and technical problems of customers nal business controls established by the compa­ and certain decisions delegated by the Board of globally. ny to safeguard its image and assets and to Directors. It comprises the heads of the four ensure compliance with company standards of major business organizations, Finance and GROUPS, BUSINESS UNITS, DMSIONS, business conduct, applicable laws and regula­ Administration, Geographic Operations, World­ OPERATIONS tion. wide Customer Support Operations, Research Each product group represents a portfolio of and Development, General CounseVCorporate related businesses and is responsible for direct­ RESEARCH AND DEVELOPMENT Affairs and Personnel. ing and coordinating the activities of its divi­ HP Laboratories is the corporate research and sions and operations. development organization that provides a cen­ A business unit is typically a subset of a tral source of technical support for the product­ group, concentrating on a single business. development efforts of HP operating divisions. While the entities within a business unit may be It researches or develops advanced technolo­ geographically dispersed, they are linked by a gies, materials, components and theoretical common strategy designed to offer customers analyses for immediate use by divisions and for fully integrated HP solutions. the development of new areas of business. F/ijiW HEWLETT~ HP divisions have worldwide product-line Research and development activities are .:~ PACKARD responsibility for their respective product lines. broadly decentralized throughout the operating Corporate Communications Many divisions are vertically integrated, with units. The Senior Vice President of R&D also 3000 Hanover Street their own R&D, manufacturing, marketing, per­ serves as the Director of HP Laboratories. Palo Alto, California 94304-1185 sonnel, controllership and quality-assurance functions. All divisions have important social BOARD OF DIRECTORS * Printed on recycled paper and economic responsibilities in their local The Board of Directors and its Chairman have communities. ultimate responsibility for the legal and ethical 5962-7014E (1194)

www.HPARCHIVE.com Most m'otors, fans and sensors Below are two examples used in the HP DesignJet 650C of output from the 650C. color plotter come from Taiwan Computer-created graphic and Japan, with one motor designs or mechanical designs from Germany. Assembly of (top) can be printed out. the carriage board for sensors Photos (bottom) or other is done by HP's Grenoble Sur­ illustrations can be scanned face Mount Center in France. in and printed.

\--'\- '\­ . \- . r:' ':.-~ ------

January-February 1994 17

www.HPARCHIVE.com All professional football teams undergo rigorous testing for possible use of anabolic steroids in an HP-equipped lab. Asporting chance HP analytical gear and INDIANAPOLIS, Indiana-Dr. Larry University/Purdue University at Bowers isn't faster than an Olympic Indianapolis (IVPUI) campus-handles a Midwest drug-testing sprinter, stronger than a professional 18,000 specimens. A positive result lab help level the playing football defensive tackle or able to could mean that the athlete is banned field for collegiate and leap 20-foot-high pole-vaulting bars in from competition for a matter of a a single bound. But he may have just few weeks-or for life. professional athletes. as much impact on the event results. The lab uses a battery of HP ana­ Dr. Bowers is the director ofthe lytical equipment-including high­ Indiana University (IV) Sports Medicine performance liquid chromatographs, drug-testing lab-the lab that tests for gas chromatographs and mass anabolic-steroid use by every college spectrometers-that resembles an and professional sports team in the HP showroom. United States. Each year the IV lab-a part of the IV Medical Center on the Indiana

18 MEASURE

www.HPARCHIVE.com "Our lab puts a gleam in our HP salesman's eye," Larry says. "There are 23 International Olympic Commit­ tee (IOC)-accredited labs in the world, and by and large, everyone is using HP equipment." Founded in 1984, the IV lab got its first real test in 1987 when it handled all drug testing for the Pan American Games, held that year in Indianapolis. The lab grew in prominence during the late 1980s, mirroring the increase in performance-enhancing drugs by college and professional athletes. The biggest culprits were anabolic steroids-banned substances that increase muscle mass and endurance. Only one other U.S. lab-at the University of California at Los Angeles -is accredited by the laC. So the IV lab's 15-person staff maintains a busy pace year round. "About 75 percent of the 18,000 Dr. Larry Bowers, director of the Indiana University Sports Medicine drug-testing lab in specimens come to us in two three­ Indianapolis, talks with HP customer engineer Vince Blue. month periods," Larry says. "There's usually a 14-day turnaround for results, There are two kinds of testing: reportable results. The laboratory although we can produce results in • In-competition testing deternlines is "blind" as to the identity of the three days when it's essential." whether athletes were using anabolic athelete, so personal confidentiality HP played a key role in the IV lab's steroids during events. The classic is maintained. dramatic rise in productivity a year example is Canadian sprinter Ben As a dedicated sports enthusiast, ago when the lab switched from Johnson, who was stripped of his gold Larry views his job both from a clini­ Pascal workstations to an HP-UX medal at the 1988 Summer Olympics cal and a fan's perspective. network. Tests that used to take 54 in Seoul, Korea, when his drug test "From an analytical standpoint, minutes now are finished in 28 minutes. came back positive. it's very interesting to see what new "We doubled the peak capacity of • Out-of-competition testing occurs at drugs are being used and how that the six gas chromatograph/mass spec­ any time-for example, during train­ changes constantly. That keeps us on trometer systems to an equivalent of ing sessions. The athlete may be given our toes. 12," Larry says, "just by changing two days' notice or the tests can be "As a fan, I think that potentially the software. unannounced. "A team official may we could have a deterrent effect on "HP's service and support are walk up to the player and say, 'It's drug use. Maybe athletes will see that probably just as big selling points. your day,'" Larry says. these drugs are bad for their health, It's important for us not to have down The IV lab analyzes as many as and we can help convince young time, and HP has given us very good 256 samples per day, and one sample athletes never to use drugs in the service all along the way." can generate seven to eight tests that first place." M require further analysis. In a year, the lab accounts for more than 75,000

January-February 1994 19

www.HPARCHIVE.com ON MY MIND

The pros and cons of drug testing (Editor's note: Some people like it and others laws, rules and customs we live with (e.g., having to wear hate it, but few people are neutral on the an ID badge). I have worked in environments (outside of HP) where drug use was unchecked, and in those environ­ subject of drug testing. ments, the kinds ofproblems frequently cited to justify On January 1, HP joined the growing testing-theft, absenteeism and lowered productivity­ number of U.S. companies who use drug test­ were rife. There are other companies whose policies and practices ing in some form when the company began I personally find restrictive and invasive, and for that rea­ testing new hires as a condition of employ­ son I would not work for them under any condition. That ment. By March 1, it will be used at all is my choice. Ifany job candidate values his or her "right" to illicit drug use more than the potential for ajob and locations in the United States. career at HP, then so be it. The decision to begin drug testing prompted Drug use and abuse is not a victimless crime; it is a deep a number of employees to speak out-some and pernicious societal behavioral problem that inevitably impacts the abuser's friends, family and coworkers. HP's for and some against the new policy. Here's testing policy may be an imperfect attempt to deal with how two employees see it. (The letters are that problem within the range of its corporate rights and printed with permission). responsibilities, but it is at least a start and, again, a wel­ come one.

(Gary Hypes is a learning products engineer at HP's • Network Printer Division in Boise, Idaho.-Editor) Putting new hires to the test • Drug testing of all applicants who receive ajob offer By Gary Hypes began January 1, 1994, at four HP sites: Boise, Idaho; Corvallis, Oregon; Roseville, California; and Vancouver, Having seen a variety of Washington. On March 1, all HP sites in the United electronic postings protest­ States will follow suit. ing HP's decision to begin HP tests for five classes ofdrugs: marijuana, cocaine, testing ofjob applicants for opiates, phencyclidine (PCP) and amphetamines. The illicit drug use, let me offer pre-employment drug test is a condition of all U.S. a contrary point of view: new hires, including college recruits and internal I'm glad to see it, and I temporary workers. HP has no plans at this time to think it's long overdue. conduct random testing of current employees. As I see it, HP's interview "We have a commitment to providing a safe and and selection process has productive work environment," says Pete Peterson, always looked beyond the vice president of Personnel, in explaining why HP candidate's technical ability to do the job. Character, judg­ reluctantly instituted drug testing. "This is an effort ment, citizenship and discipline are all among the factors to screen out future problems... typically evaluated in assessing a candidate's potential "We've been in a small minority of large compa­ for long-term contribution. Illicit drug use, in my opinion, nies that don't drug-test applicants when making a raises significant questions in each respect. job offer, and in some of the communities where we I agree that requiring a candidate to provide a urine operate, HP has been the only large employer not sample is awkward-for both parties-and is invasive of doing so." the individual's privacy. So too, however, are many of the

20 MEASURE

www.HPARCHIVE.com ofmethods. To eliminate fraud, HP is requiring a witness in the room to observe the sample process. 5) The legality ofthe procedure for positions not impact­ ing public health and safety is still a gray area in California. Subjecting HP to the risk of a lawsuit seems expensive and unnecessary. 6) Drug testing is already having a negative impact on the morale and productivity of many HP employees, partic­ By Dennis Mitrzyk ularly those people who have to explain this program to college students. Many ofthe campus recruiters I've polled I find myself compelled to are very upset with this policy and plan to quit college write regarding HP's new recruiting when pre-employment drug testing is imple­ pre-employment drug­ mented. Others have said they will refuse to participate in testing policy. on-site interviews of candidates subjected to drug testing. As with most issues After several years as campus coordinator for the Uni­ involving civil liberties and versity of Michigan, I'm sorry to say I will no longer be our rights to privacy and involved with campus recruiting. protection from unreason­ 7) Pre-employment drug testing is going to result in the able search, this is an emo­ loss ofvaluable talent to some of our fiercest competitors. tionally charged issue for I know a very talented consultant who has worked with me and many other HP HP over the years who said he wouldn't even consider employees. There are many reasons I feel this program is working for HP again if he were required to suffer this ill-advised: "affront to [his] dignity." 1) Drug testing doesn't fit HP's image as a company that 8) According to my calculations, this program is going trusts and believes in its people. My understanding of the to cost HP $150,000 or more annually-almost enough to HP way is that you have faith in your people to do the right put another salesman on the street. thing and if they show they can't handle this responsibility, 9) HP is testing for five classes of drugs; of those, only then you take appropriate action. Drug testing sends just marijuana is detectable more than three days after use. If the opposite message: guilty until proven innocent. tests are scheduled, "hard-core" users easily could "stay 2) Everyone I talk to in Personnel acknowledges that clean" for the test. Casual marijuana users, on the other HP really doesn't have a "drug problem" per se. Further­ hand, would test positive. more, there's no data available on damage to HP resulting 10) Legal drugs (alcohol, caffeine, nicotine) cause sig­ from job-related drug abuse. nificantly more property damage, health problems and 3) I've asked many HP managers why we are so deter­ death than all illegal drugs combined. mined to do this. The most common answer is because I've been with HP my entire career of 13 years. Over the everyone else is doing it-about two-thirds of the Fortune years, HP has continued to be a great company and a great 500 companies have drug-testing programs. However, in place to work because it's never forgotten that its people Silicon Valley very few companies have pre-employment are its most important resource. I implore HP to rethink drug testing. Some-Silicon Graphics comes to mind­ pre-employment drug testing. have made it clear they will not subject employees to drug testing. (Dennis Mitrzyk is the headquarters account manager 4) Drug tests are unreliable. False positives and false for General Electric in HP's Global Accounts Sales negatives are not uncommon. Unless the procedure is Program in Cupertino, California.-Editor) closely monitored, tests easily can be defeated by a variety

January-February 1994 21

www.HPARCHIVE.com PPLICATION

The palmtop nutritionist By Mary Lou Simmermacher sonal nutrition profile by answering a in Colorado Springs for 13 years, few short questions about their age, decided in January 1992 to accept For lO-year-old Ryan Lee, there's no weight, height, gender and activity HP's voluntary-severance incentive such thing as a spontaneous snack. level. Then they enter foods they eat, to complete development of the Because he has juvenile diabetes, such as a Big Mac sandwich from Personal Food Analyst with his part­ Ryan eats six times a day and chooses McDonald's or one-half cup of sliced ner, Ric Rooney, vice president of foods carefully to keep his blood strawberries. The Personal Food marketing at Mirical. sugar at the proper levels. In the Analyst automatically records the Because of their common interest middle of the night, low blood sugar calories and nutrients and displays in sports, nutrition, exercise and elec­ feels like monsters entering his body the remaining calorie and nutrient tronics, Mike and Ric often brain­ through his feet. When his blood values they should have that day. It stormed ways to monitor what they sugar is high at school, it's tough averages food intake for up to seven ate. "We hated having to write every­ for Ryan to think clearly and spell days, displaying dietary statistics in thing down and tally totals at night," correctly. bar graphs that quickly show patterns says Mike. "We wanted to design a Jay Lee, Ryan's father and a com­ of excesses or deficiencies. professional-caliber nutritional pro­ ponent engineer at HP's Colorado When Jay, who is a runner without gram for the average person that was Springs (Colorado) Division, has a health or weight problem, began powerful, easy to use and portable." found the "perfect tool" to analyze monitoring his own diet, he was sur­ With the introduction ofthe HP 95LX Ryan's food choices: the HP 95LX prised at how he ate. Although he was in April 1991, "HP basically gave us a palmtop computer running the gift," says Mike. "We were so excited Personal Food Analyst, a nutritional because this is what we had been software program from Mirical Corp. waiting for-a computer the size of a Jay and his wife, Nancy, review what calculator and as powerful as a desk­ Ryan eats, his blood sugar and his lilt's terrific to have a bright top; one that prints, figures percent­ activity level to determine how much little guy to work with." ages and does mathematical analysis insulin Ryan needs. in bar graph form." "Ryan enjoys the palmtop because Mike and Ric now could put infor­ it's game time with dad," says Jay. "He confident his fat intake was just right mation into users' hands. "So many goes through the list ofwhat he ate, -less than 30 percent of his total people go to doctors or trainers and and we have time to talk about his day calories-the Personal Food Analyst pay for their technical expertise over at the same time. Then he practices showed that it actually was 40 to and over again. Carrying the Personal spelling on the HP 95LX or plays games 45 percent. Food Analyst is like having your own like Tiger Fox and Space Invaders. "I quickly discovered that the con­ personal nutritionist in your pocket." It's terrific to have a bright little guy tributor was my choice of the shortest While Mike and Ric appreciate the to work with." cafeteria line-a daily cheeseburger at feelings of health and productivity The Personal Food Analyst, an lunch," Jay says. "When I started eat­ that result from years of sound nutri­ encyclopedia of nutrition, runs on the ing more chicken and salad, fat levels tion, Mike admits that "no one can eat HP 95LX from a tiny disk the size of went down and my other nutrients perfectly all the time. We have fun a credit card. Users first create a per- went up. Physically, I felt better." cheating a little on our food plan Mike Hidrogo, who is president of because as long as we stay within the Mirical Corp. and had worked for HP

22 MEASURE

www.HPARCHIVE.com Nancy and Jay Lee use an HP 95LX palmtop computer to analyze their son Ryan's nutritional needs during breakfast in Colorado Springs. boundaries that the Personal Food "There are two major killers in the 'Should I have a hamburger and french Analyst recommends, we can go United States: heart disease and can­ fries?' and you have information on ahead and enjoy the experience." cer. For both, nutrition is at least 50 the amount offat in the palm ofyour On a recent business trip, they percent of the problem." hand, then that would make a big dif­ were pleased with their dinner Jil's students assess their own diets ference in your choice. Information choices: vegetable pasta for Ric and with the HP 95LX and the Personal can make a difference if people put it a chicken sandwich for Mike. The Food Analyst. They also use these into practice." Boston cream pie on the dessert tray, tools to monitor the diets ofpregnant Mirical Corp. has two mottos: however, was irresistible. "Ric and I women during another part oftheir Application of knowledge is power, looked at the pie, then at each other program. and education helps prevention. "So and said at the same time, 'Ifyou'll do "Low birth weight is a risk factor many people simply eat the food they it, I'll do it. '" says Mike. "And we did." for babies, and proper food makes see; we help them see the food they Another advocate of healthy eating a big difference in their size and eat," Mike says. is Jil Feldhausen, a registered dieti­ health," says Jil. "Good nutrition For more information, call Mirical cian and clinical lecturer at the Uni­ needs to start very young to have the Corp. at 1-800-732-7707. M versity ofArizona College ofMedicine. most impact. The problem is that She is using the HP 95LX and the Per­ symptoms don't show up until age 40, (Mary Lou Simmermacher is a sonal Food Analyst to simplify nutri­ 50 or 60, so older people often begin press relations representative in tion education for medical students. eating more fruits and vegetables. HP's Corporate Communications "Without a doubt, nutrition should "We know that the most effective department.-Editor) be a concern for everyone," says Jil. place to affect choices is at the point of purchase," says Jil. "Ifyou ask,

January-February 1994 23

www.HPARCHIVE.com ERSPECTIVE Another roadside attraction? By Tom Ulrich geological forces, but as a biological super-organism that adjusts and regu­ lates itself. The HP equipment inside And adjust and regulate Biosphere Biosphere 2worked well, 2 it did. but is the experiment a Across the cart path from Biosphere 2, technicians track conditions inside breakthrough or a bust? the Biosphere over a 10-megabit­ per-second local-area network. An ORACLE, Arizona-It's late September HP 9000 computer running HP-UX -an hour north of Tucson, where retrieves data from HP computers Highway 77 meets the red clay and located in the command room and saguaro of Canada del Oro. Sunlight basement of the wilderness areas. burnishes Biosphere 2, whose mechan­ Workstations beneath the rain forest, icallungs swell with dank vapor. The savannah, desert and agricultural Biosphere holds its breath in the crisp areas gather data from nearly 2,000 morning air. sensors. More than 20 HP 9000 Series Gulping the desert mist and survey­ 300s located along the Ethernet gave ing the vast horizon, eight men and Abigail Alling leads the eight "biospheri­ technicians and biospherians a win­ women march away from the airlock ans" out of Biosphere 2 during the Septem­ dow on their biological world. of this 21st-century cathedral. Wired ber 1993 re-entry ceremonies. "HP computers performed their with the tools of our age and replete tasks with minimal problems," says with tower, farm, wilderness and foot vivarium that project visionary orberto Alvarez-Romo, vice presi­ John Allen sought to seal off from our dent of mission control. own biosphere. Light, energy and "Our greatest challenge," added HP information could enter Biosphere 2 project manager Roger Brathwaite, -gases, liquids and solids could not. "was coordinating data collected from 'They've had a lot ofdifficulties "They've had a lot of difficulties the sensors with analysis performed over two years... a lot of over two years," says Margaret in the analytical lab. Sensors reported surprises. " Augustine, project manager for Bio­ sphere 2. "A lot ofsurprises-things they didn't expect." 3,800 species ofplant and animal, Bio­ Counting re-entry, technicians sphere 2 cloistered eight biospherians opened the airlock 29 times to retrieve "Our greatest challenge was in a three-acre world for two years. samples or bring in supplies. coordinating data collected "Re-entry into the Earth's biosphere," In some ways, the biospherians' from 2,000 sensors... " as project leaders describe the Septem­ two-year study was less a scientific ber 26 celebration, completes the first experiment than a morality play. part of a 100-year study designed to Project leaders did not build data instantaneously; analytical equip­ separate Biosphere 2 from the rest of Biosphere 2 to test scientific hypoth­ ment can take hoUTS, if not days, to the planet. eses in a traditional way. They placed verify a single result." The biospherians endured. their faith in the Gaia hypothesis, Typically, scientists craft experi­ "It's a different atmosphere-a very which states that the Earth is a living ments that allow them to change a different atmosphere!" says Abigail creature. Its climate and surface single variable while holding others Alling after she emerges from Bio­ are controlled by the plants, animals constant. This much control allows sphere 2. "I keep wanting to breathe and micro-organisms that inhabit it. them to establish cause-and-effect more, because it feels so good." Taken as a whole, the planet behaves, Alling managed a 7,200,000-cubic- not as a zillion-ton rock shaped by

24 MEASURE

www.HPARCHIVE.com relationships. Inside Biosphere 2, thousands ofvariables change simultaneously. Computers controlled variables such as temperature and precipitation in ways that reflected natural ecosys­ tems. They kept the desert dry and the rain forest wet. They couldn't regu­ late the balance of gases inside the Biosphere. Once technicians sealed the air lock on September 26, 1991, Biosphere 2 "Great technology, but no science" is how one scientist described Biosphere 2's initial two­ started to evolve its own atmosphere year experiment. HP computers performed extremely well, according to Biosphere officials. -one that supported life, but not the "Technology and automation are director of university programs for no substitute for solid science," HP's NASA's Goddard Space F1ight Center Roger Brathwaite says. in Greenbelt, Maryland. Five months after sealing Biosphere "It is my great hope," primatologist Once technicians sealed the 2, Edward Bass, chairman of the Jane Goodall says at re-entry, "that air lock, Biosphere 2started to board for Space Biospheres Ventures, some of the technology and under­ evolve its own atmosphere. gathered eight scientists to evaluate standing that will come as the result the Biosphere. While members of this of the last two years is subject to sci­ review board recognized its potential entific scrutiny. That this truly will biospherians. By January 1993, atmo­ as a laboratory to study bio-geo­ help human beings allover the planet spheric oxygen fell to 14.2 percent­ chemical cycles, restoration ecology -throughout Biosphere I-to learn the concentration found at 13,400 feet and human isolation, they questioned more about the effect that each one of above sea level. Biospherians com­ the less-than-rigorous science prac­ us has on the planet on which we live." plained offatigue, headaches, sleep­ ticed here. A crew of six or seven plans to lessness and other symptoms of Panel members observed that enter Biosphere 2 in March for a altitude sickness. project leaders created a network to 10 1/2-month stay. M Technicians pumped 30,000 cubic collect and store data without soft­ pounds ofliquid oxygen into the ware to interpret results. "They chose (Tom Ulrich helped write the Biosphere through its mechanical to invest in collecting data, not analyz­ original proposal for the computer lungs. Atmospheric oxygen rose to ing it," Roger said. "We suggested network that operates Biosphere 2. 19 percent. By late August, oxygen analytical packages, but that decision He works for HP's Integrated concentration slipped to 17 percent. could only be made by scientists." Systems Division in Sunnyvale, Technicians added 15,000 cubic The Scientific Advisory Committee California. -Editor~ pounds of liquid oxygen to raise the issued a report midway through the concentration to 21 percent. project. The committee recommended While oxygen levels inside the that project leaders hire a director of Biosphere decreased one-third, car­ basic science, write a science plan, bon dioxide concentration increased publish findings in peer-review jour­ tenfold. Microbes in the soil robbed nals and develop procedures to guar­ oxygen from the air, converting it to antee integrity of computer data. carbon dioxide gas, which seeped into "Great technology, but no science," the Biosphere's concrete foundation. concluded Gerald Soffen, Scientific Advisory Committee member and

January-February 1994 25

www.HPARCHIVE.com YOUR TURN

Stay out of politics While HP has shared its positions You are correct:from 1970 to 1989, with employees in the past, this is HP had a distributor agreement and I'm dismayed to see Lew Platt and thefirst rather broad appealfor indi­ not ajoint venture with Blue Star. other HP representatives lobbying viduals to get involved in an issue In fact, Blue Star was the distributor employees and Congress in favor of directly. The decision to encourage for all HP products until October NAFrA. NAFrA may appear to be letters to Congress on NAFTA was 1989, according to Himanshu Jani, worded to do good things, but it's made only after setting guidelines. corporate communications and edu­ fatally flawed in execution and They call for an issue ofoverriding cation managerfor HP India. enforcement provisions. importance to HP-and one where On November 1, 1989, the distrib­ An ABC-TV poll showed public employees' individual efforts can utor agreement ended and gave way opinion running against NAFrA by make a crucial difference in the to an HP and Blue Starjoint venture, 4 percent margin (before the vote in outcome. Employees are free to forming Hewlett-Packard India Congress). Lew's communications express-or not express-theirper­ Limited (HPI). HPI handles T&M, to managers and employees to send sonal opinions on either side of CSO and CPO products. With thefor­ favorable letters to the Congressmen the question. mation ofthe HCL HP joint venture didn't present the alternative and JIM WHITTAKER in December 1991, CSO was moved majority viewpoint, effectively disen­ Government Affairs out ofHPI. In November 1990, HPI franchising those U.S. employees who took over HP's medical products, have studied NAFrA and come to a and analytical products were still different conclusion. Rough passage distributed by Blue Star until Volunteer environmental organiza­ I was rather disappointed with the November 1993. tions (such as the Sierra Club) and "Passage to HP India" photo feature The 190 employees cited to be in consumer advocates (such as Ralph on HP India in the September-October the New Delhi office were actually Nader) have opposed NAFrA. But 1993 MEASURE. There were factual spread across six sales and support environmental and labor side agree­ errors like the statement that in 1970, offices in India. ments were stripped by the Clinton HP booked high-tech passage to India Asfor the rickshaw (or more pre­ Administration. We can't trust politi­ by launching ajoint venture with cisely-the triped) cover, the intent cians on the basis ofpromises alone. India's Blue Star Ltd. to distribute was not to imply that it was a dom­ I feel that HP should stay out of HP's analytical products and elec­ inant mode oftransportation in controversial politics. tronic components. In fact, it was not India but rather one ofthe many STEVE HEAD ajoint venture; it was a distributor different ways oftraveling Cupertino, California agreement. It was for T&M, comput­ around town.-Editor ers and medical products, besides HP was convinced that passage of analytical. I think, at that time, com­ NAFTA would be crucial in order to ponents were a part of T&M! Please send mail continue growing our own interna­ The cover is misleading, too. While Do you have comments about tional business in the three countries rickshaws are not uncommon (in big something you've read in MEA­ involved, and to bulwark u.s. efforts cities like Bombay, Delhi, Madras, SURE? Send us your thoughts. to negotiate similar deals to open Bangalore, you can find them only in Ifwe publish your letter, you'll export markets elsewhere in the certain areas), I wonder what percent­ receive a free MEASURE T-shirt world. Your assessment ofthe value age of our sales/service people travel (one size fits most). Of NAFTA and the company's are by this mode on a day-to-day basis? I Fax comments to (415) 857­ therefore in wide disagreement. HP would assume it is less than 1 percent! 7299. Address HP Desk letters to employees are, ofcourse, entitled to Again, in 1989, when the New Delhi Jay Coleman; by company mail their own opinion, and HP has an office was formed, it was not with 190 to Jay Coleman, Building 20IBR, equal right to determine the business employees there! Palo Alto. Please limit your let­ impact ofsuch critical public policy RAJANGA SIVAKUMAR ter to about 150 words, sign your issues-and to offer its views to Bangalore, India name and give your location. We legislators. reserve the right to edit letters.

26 MEASURE

www.HPARCHIVE.com LETTER FROM LEW PLATT

HPs chairman, president and CEO announces the first winners of the President's Quality Award.

'm proud to announce the first recipients of the President's Quality Award-awards that we presented at the recent General Managers' meeting in Santa IClara, California. The seven winning entities are: • the Customer Services Business Unit and Patient Care Monitoring Systems within the Medical Products Group; • two sales organizations-HP Taiwan and United Kingdom; • Malaysia Manufacturing; • the Support Materials Organization; • and a combined entry of the Optical Communication Division and the Singapore Components Operation. What makes these entities so Lew (center) celebrates the sale of HP's 20 millionth printer with Dick Hackborn (left), special? As you probably know, they recently retired head of the Computer Products Organization, and Dick's successor, Rick survived a demanding review process Belluzzo, at the COMDEX computer show in Las Vegas, Nevada. to achieve this honor. First, they had to score at least 3.0 Why are they the elite? three largest organizations-Computer on the Quality Maturity System (QMS) First, they have proven financial Systems, Computer Products, and review-our internal program that success. Second, they have high Test and Measurement. I'm confident examines the entity's strategic and customer-satisfaction ratings. And, that this will change over time and customer focus, its planning, process finally, they have improving employee­ that entities throughout the company management, improvement, and its satisfaction results as measured by will work hard to rank among HP's leadership and employee participa­ their HP Employee Survey scores. quality elite. tion. Group G.M.s have chosen 92 That's why I like the President's I'll visit each of the seven winning entities to be reviewed during the past Quality Award better than other qual­ entities during 1994 to congratulate two years. ity measurement programs such as those employees personally. And you Of the 92 reviews, 12 entities scored the Malcolm Baldrige award. The can read more about the winners in 3.0 or higher on a scale of4.0. In Baldrige award does an excellent job the March-April issue ofMEASURE. November, business-organization ofmeasuring an organization's quality Ifyou work for one ofthose enti­ managers and group G.M.s nominated processes. However, it doesn't stress ties, you should be very proud. Ifyou 10 of those 12 entities for considera­ all three components and give each don't, you can learn a lot from them. tion for the President's Quality Award. equal weight in the way the President's HP's Planning and Quality Committee Quality Award does. then reviewed the entries and recom­ Our award also ties in nicely with mended seven finalists. In December, our CEO Hoshins this year ofimproved I examined the finalists with my profitability (financial success), order staff and we agreed on the seven fulfillment (customer satisfaction) and entities above. "our people" (employee satisfaction). Clearly, these entities represent You probably noticed that our first the very best of HP. They really are President's Quality Award winners quality role models for the rest of don't include any entities from our the company.

January-February 1994 27

www.HPARCHIVE.com EXTRAMEASURE

News from around the HP world

HP women "attaining full potential" HP women from Germany, The European group of France, Italy, the u.K., Spain, 20 women came from a Sweden and Belgium broke cross section of different new ground in November cultures, functions, busi­ by attending a two-day con­ nesses and experience. The (From left) Clare George, Antonia Figini, Rosewitha Kolb and Nora Cantini discuss common issues at the recent European Women's ference entitled, "Women in workshops tackled tough Conference in Geneva. Europe: Attaining full poten­ issues such as the "glass tial," to share their experi­ door," career develop­ Andriecut, an HP Romania tional Labor Organization ences and to give as well as ment and balancing work manager. "Even though that said, based on current garner advice. and family. people make you feel that trends, women will take The conference was The conference gener­ it's not true, you know that 475 years to achieve equal­ sparked by a videotape of ated open and frank dis­ it's a reality." ity with men in managerial Lew Platt's June speech at cussion. "Women have to Conference organizers positions in companies of the U.S. Technical Women's be twice as good to go half cited a worldwide survey by all sizes. Conference. as far," said Mariana the Geneva-based Interna-

Laying an old friend to rest A group of current and Ed McCracken of Silicon retired HP employees Graphics had worked gathered on a gray, rainy for HP in Building 40 at November morning in one time. Cupertino, California, to Chuck Silberstein, HP bid farewell and lay an old district sales manager for friend to rest. sales force 40, still remem­ They watched as Building bers "looking out the win­ 40-first the home ofthe dows and seeing apricot Cupertino Division, then orchards all around the the Data Systems Division parking area and rabbits -was tom down, piece coming up to our win­ by piece. dows." He joked, "We never Retiree Bob Tuttle and Bill Gray from HP Facilities talk about the Former occupants mused had to worry about parking good old days as they watch the demolition of Building 40 on the Cupertino. California, site. that Queen Elizabeth strolled back then." through Building 40 in 1983. Current CEOs Jim Treybig of Tandem Computers and

auoteworthy ~ When you talk to the people who are actually doing ~ You've heard the story of the blind man walking ..the work, you can learn a lot. ~ ..around an animal trying to find out what it is. I think '93 was the year we discovered our order-fulfillment Alan Bickell, senior vice president, Geographic Opera­ problem is an elephant, not a dog. ~ tions, talking to HP employees during communication sessions at sales offices in Rockville, Maryland, and Fort Chairman, President and CEO Lew Platt describing his Lauderdale, Florida. 1993-94 order-juifillment Hoshin goal at an employee communication session in Palo Alto, California.

28 MEASURE

www.HPARCHIVE.com HP is a bargain for $4,100 A new board game, Palo AltoOpoly, is a takeoff ofthe original game, Monopoly, and features landmarks well-known to Palo Altans, including Printer's Inc. book­ store, Jose's Carribean restaurant and, of course, Hewlett-Packard Company. HP is a bargain at a mere $4,100, but you can lose your shirt at Stanford Uni­ versity, which charges $500 in tuition each time you land on it. Even worse­ players landing there lose two turns because they must finish their Instead of going to jail, a roll of the dice can land a player in the recycling bin, and dissertation. passing "Go" earns a whopping 52,200 on the board of the Palo AltoOpoly game. HP employees can buy the game through the HP Company Store. For game and store infor­ mation, call Telnet 857-3000. For every game sold, the Early printers make a big impact Lucile Salter Packard Children's Hospital at Stanford Early models ofthe HP available to people at an receives one dollar. DeskJet 500, HP ThinkJet affordable price, Jon says. and HP LaserJet printers "You'd have to be blind, soon will become part of deaf and dumb not to real­ the Smithsonian Institu­ ize the position HP has in tion's National Museum of the marketplace." American History. HP sold its 20 millionth They will be housed in printer in 1993. a collection called "Com­ puters, Information and Society." The collection, says the Smithsonian's Dr. Jon $2.65 million worth of recognition Eklund, consists of "those HP has donated $2.65 mil­ In the first year ofthe things that were widely lion in computer equipment three-year program, the accepted in the market­ and cash to the Massachu­ Media Lab will receive 11 place and therefore had a setts Institute of Technol­ HP 9000 Series 700 work­ big impact on people's Models of HP's early printers, ogy's (MIT) Media Lab. stations, in addition to lives." HP was the first to including the HP ThinkJet, are The donation will be used test and measurement make high-quality printing now part of the Smithsonian Institution's collection. in a collaborative project instrumentation. with HP to improve human The grant is part of HP's interaction with computers External Research Pro­ by programming them to gram, which allows HP recognize more than just collaboration with educa­ numbers and text. tional researchers at U.S. universities.

January-February 1994 29

www.HPARCHIVE.com EXTRAMEASURE

o o ~ Despite this good per­ z BOTTOM "'9 formance, HP's stock u LINE a: I dipped on the New York ..::< For the fourth quarter of fiscal year 1993, ended Stock Exchange on the day HP announced Q4 October 31, Hewlett­ Packard reported an earnings. Financial mar­ 87 percent increase in kets apparently were dis­ net earnings, a 32 per­ appointed that earnings cent increase in net fell slightly short of their revenue and 24 percent expectations, and that growth in orders. HP reported a continued Net earnings for Q4 increase in cost of sales. totaled $298 million or Janet Logan took top vegetarian honors for her meatless meatloaf. $1.18 per share on some CPO Where's the beef? 254 million shares of ICHANGES common stock outstand­ Executive Vice President The Beef Council would be chasing intellectual and ing, compared with $68 Dick Hackborn retired outraged, Betty Crocker culinary pursuits. million, or 28 cents per from HP on November and Julia Child would be As vice president of share, in the year-ago 30, and V.P. Rick envious, but country singer Prime Timers, an age 60­ quarter (after special Belluzzo succeeded k.d. lang would sing its and-over lifelong learning charges taken in Q4 him as general manager praises. program, she continues her FY92). of the Computer Prod­ When Janet Logan education about new sub­ Net revenue increased ucts Organization (CPO). whipped up her meat-free jects and things-induding to $5.7 billion in Q4, com­ Hackborn continues on meatloaf for family dinners, new ways to make meatloaf. pared with $4.3 billion in the board of directors. she didn't know it would Even with her newly the same quarter of FY92. The Hardcopy Prod­ win her accolades among won fame, Janet says she's Q4 orders were a ucts Group that Belluzzo meatloaf connoisseurs. not a strict vegetarian­ record $5.5 billion, up headed ceases to exist; Her meatloaf recipe won and still likes to have a real from $4.4 billion in the three of its business first place in The Great beefy hamburger or steak year-ago quarter. units (DeskJet Printer, every now and then. American Meatloaf 1992 Looking at total FY93 Hardcopy Imaging, If you'd like a copy of National Recipe Contest­ results, HP's net revenue LaserJet Printer) have Vegetarian Division. Janet's barbecue veggie­ rose 24 percent to $20.3 been elevated to group Retired from HP Cor­ burger loaf recipe, contact billion, compared with status and report to porate Personnel in 1987, Joan Gruenebaum on $16.4 billion in FY92; Belluzzo, along with the Janet now lives in Paradise HP Desk or at Telnet orders were up 24 per­ In~et Supplies Business (yes, it really exists), Cali­ 857-4140. cent to $20.8 billion Unit. Also reporting to fornia, and spends her time (from $16.8 billion) and Belluzzo is the Personal net earnings were $1.2 Information Products billion, an increase of 21 Group (PPG) and the percent over the $972 Mass Storage Group million earned in FY92 (MSG), which has trans­ (before special one-time ferred in from the charges were taken). Measurement Systems Organization (MSO).

30 MEASURE

www.HPARCHIVE.com NEW OFFICER Software Technology ITITLES divisions have been Promoted to senior vice restructured. Newly president: Ned Barn­ formed entities: the Multivendor Services HP and the holt, V.P. and G.M. of the Test and Measure­ Division under G.M. Roger Costa and the ment Organization environment Software Services and (TMO); Joel Birnbaum, Technology Division V.P.-R&D and director Environmental progress flows HP Labs; Wim Roe- ' under G.M. Mark SolIe. HewI~tt-Packard has cut required to file if they use landts, V.P. and G.M. of Lane Nonnenberg is G.M. of a new Opera­ chemIcal releases in the or manufacture any of the Computer Systems tions Services Division. United States by 24 percent approximately 300 chemi- Organization (CSO). 19~1 Transferred to WCSO: from to 1992, for a cals above certain quantities. Elected V.P.: Ray the Finance and Remar­ cumulatI,:,e reduction of 76 Companies must describe Cookingham, con­ keting Division, and percent SInce 1987. the amount ofthese chemi- troller; Manuel Diaz, Tha~ Complementary Prod­ translates into a cals that they release to the G.M., CSO worldwide ~eductlOn ucts Sunnyvale with Jeff of 192,000 pounds environment, send to sew­ sales/marketing; Gary 1~92 Landre as the new G.M. In and 2 million pounds age plants or send offsite Eichhorn, G.M., Work­ dunn? the past five years. for handling. station Systems Group; ThIS performance is Larry Potter, G.M., NEW based on reports to the U.S. TMO sales/marketing. IHATS Environmental Protection Laine Meyer to direc­ Agency that companies are MORE CHART tor, Corporate Real CHANGES Estate...Ray Brubaker I to G.M., San Diego In MSO, the Mass Stor­ Printer Division. age Group has a new Cynthia Danaher to Storage Systems Division G.M. of Imaging Systems under G.M. Bob Tillman. in the Medical Products CPO's LaserJet Printer Group...Mike Matson to B.D. has a new Advanced G.M., Integrated Circuits LaserJet Operation under Business Division. Neal Martini. Virgil Marton to In TMO's Communi­ G.M., Telecom Networks cations Test B.D., the Operation...Heng Te to former Queensferry G.M., Telecom Platform Telecom Division is now Operation...Peter Bohn the Telecom Test Divi­ to G.M., Mechanical sion; a new Telecom Design Division. Systems Division is Wolf Gruber to G.M. under G.M. Tom White. 610S P f-\ERE. 3 of HP Austria...Stein I I In Worldwide Custo­ Surlien to G.M. of HP DRAWING BY ZIEGLER;@ 1993ITHE NEW YORKER MAGAZINE. INC. mer Support Operations Sweden... Kunio Hasebe (WCSO), the former to G.M., Hachioji Semi­ System Support and conductor Test Division.

January-February 1994 31

www.HPARCHIVE.com PARTING SHOT

Starstruck What a difference a night makes-particularly when comparing the two day- and night-time photos that Steve Galchutt, HP Colorado Springs, Colorado, marcom program integrator, took He was on a backpacking trip in Utah's Needles National Park He recounts his star-snapping tale: "1 was watching an un­ eventful sunset (no clouds) when 1got the idea to try photographing the stars. "After I readied my camp for nightfall, 1set up my tri­ pod and pointed my camera at the North Star. It's just off the edge of the Big Dipper. "After dark, 1set my lens Skill, a little caffeine and a lot of luck account for Steve Galchutt's perfect timing while photograph­ wide open (f3.5), and with a ing the sky over Utah's Needles National Park. cable release, I locked the shutter open to record the "This time 1was pleas­ swirl of celestial bodies. antly surprised when 1got "Fortunately, I had one my film back and saw the too many cups oftea before results. What I find amazing bed and woke up just is how time allowed me to before the morning light. record an image not visible I've tried star photography to the human eye. It makes before and have overslept one wonder what images the daybreak, which over­ remain hidden from our exposes any star traces left conventional vision." on the film.

MOVED LATELY? CHANGE OF ADDRESS SHOULD BE REPORTED TO YOUR PERSONNEL DEPARTMENT. r/i~ HEWLETT$ Bulk Rate ~e. PACKARD U.S. Postage MEASURE Magazine Paid PO Box 10301 Permit 3917 HMHH~~*H~H CAR PT SCJqT ~~ Palo Alto, California 94304-1185 '" ~~ RP02 Portland, OR KENNETH L MACY q7 15485 OEAR CRE~K ROAn (.~ BOULDER CRFEK-• ..r·, 9«·]()6) -'J. r.,2? ""'11'1'1"111" "111111"""'1"1"""'" "',II

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