UPFRONT Editor: Brad Whitworth HP graphics play heavy role Art director: a Annette Yatovitz in box-office smash.

Associate editors: Betty Gerard Joanne Engelhardt

Contributors: omputer securityis making could view the overall effect ofthe pro­ Gregg Piburn headlines around the world. (See posed graphics display at anygiven Karen Gervais C storyon page 16 bystaffer Betty point in the script. Gerard about HP's own efforts in the The final images were all created on a Circulation: field.) But HP also helped dramatize single design station using a desktop Kathleen Gogarty the problem through a supporting role computerconnectedwith an HP 9874A in the movie "WarGames." digitizer onwhich the draWings were In the spectacular closingscenes of done. The large size (up to 18 feet) of the movie. tension builds in the make­ the war-room screens meant the com­ believe U.S. defense command post. putergraphics had to be photographed MEASURE Wall screens and computer terminals from a very high-resolution vector dis­ "Man is the measure of all things." around the room flash with the chang­ play (the HP 1345A) driving an HP -Protagoras (circa 481-411 B.C.) ing pattern ofapproachingenemy 1336Adisplay tube. The huge mass of nuclear missiles. draWings was stored on an HP flexible Measure is published six times a It's all a skillful illusion created by disc drive. then played back-one year for employees and associates computergraphics consultantColin frame at a time-by three otherdesk­ ofHewlett-Packard Company. Pro­ Cantwell. using four HP 9845C desk­ top computers. each connected to a duced by Corporate Public Rela­ top computers alongwith other HP motion picture camera by a 16-bit tions. Internal Communication eqUipment. interface. Department. Gordon Brown. Colin and his firm. Crystal Chip. These computer-controlled camera manager. Address correspon­ spent 10 months on the project. which stations usually filmed three to four dence to Measure. Hewlett-Pack­ was a critical part ofthe film's dramatic frames a minute. 24 hours a day. seven ardCompany20BR. PO Box 10301. action. He designed and programmed days a week-slowlyexposing the Palo Alto. California. 94303-0890 halfa million frames ofcomputer 17.000 frames ofcomputergraphiCS USA. Report change of address to graphics. which were then reproduced reqUired for each minute ofaction your local personnel department. on film an.d projected onto screens be­ on the sound stage. hind the actors on the war-room set. "Under thegun ofsuch time pres­ Hewlett-Packard Company de­ Whatappeared to be 12 large ani­ sure. it was important to use a com­ signs and manufactures comput­ mated wall maps were actually images putersystem thatwas trouble-free and ers. electronic test eqUipment. beamed from a batteryofsynchronized could evolve the perfect version ofa pic­ handheld calculators. electronic movie projectors located off-camera. ture as rapidlyas possible." Colin says. components. medical electronic The manysmall terminal screens Colin. who designed the original mod­ eqUipment and instrumentation showed similar images that had been els for "StarWars" among his other for chemical analysis. Manufac­ transferred to Videotape. screen credits. has longbeen an admi­ turing facilities are located in 23 The multiple images had to mesh rer ofthe 9845C. As a consultant to HP. U.S. cities in eight states and in with the dramatic action. so Colin first he did the graphics for the original 10 cities in nine countries in the used the computer to draw 100 pages of demonstration package for the desktop rest ofthe world. HP sales and ser­ storyboard in order that the director when it was introduced in 1980. M vice offices can be found in more than 80 U.S. cities and (including distributorships) in apprOXi­ mately 200 cities in 70 countries around the world. ON THE COVER Meetthe HP 150 ... the company's newest entry in a busy personal computer market. The machine's most dramaticfeature is its touch­ sensitive screen which lets you point your way through a com­ puterprogram. Measure looks in­ sideHP's ComputerGroups atthe changes the machine hascaused in the organization. Cover photo by Tom Upton.

Hewlett-Packard computer graphics were used In a splashy way In ''WarGamesn war room.

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www.HPARCHIVE.com HP's newest per­ sonal office com­ puter, featuring a touch-sensitive screen, puts the companyina fiercely com­ petitive market where there have already been casualties. But HP people around the world are betting that the new machine and the changes in the HP organization will provide just

When HP unveiled the HP 150personal computer in September, the companyfound itselfin a market filled with uncertainty, competition and pitfalls the likes of which ithad never seenbefore. HP tackled the challenges as ifthe company's future depends on it. In manyways it does. "Success in personal computers is absolutelyessen­ tial to continuing in the business we are already in," says JohnYoung, HP president. It's much like a set offalling dominoes. IfHP isn't successful in the personal computer market, itwon't be successful in the entire computer market. And ifHP

January-February 1984 3

www.HPARCHIVE.com lar for the HP label, knOWing that it for HP's new machine. stands for quality and superior tech­ "Our objective in designing the HP nology. Market research had been in­ 150 was not to build another IBM per­ formal, based largely on HP engineers' sonal computer look-alike," explains opinions ofwhether customers' engi­ Tom Anderson, general manager ofthe neers would accept a product under Personal Software Division in Santa consideration. Clara, California. The personal computer market has One important difference was HP's changed that. With 1983 sales ofabout choice to use twin 3 112-inch floppy disc 7 million machines, the personal com­ drives as the HP 150's standard instead puter is much more ofa mass con­ ofan IBM compatible 5 1/4- inch drive. sumerproduct. But to the casual con­ The reason was simple. The 3 112-inch sumer, there's a fuzzy line dividing drives, made bySonyand introduced personal computers for the home (the by HP more than a year ago, are less ex­ Ataris, Colecos, Sinclairs and Commo­ pensive than their larger cousins, use dores) from personal computers for less space, and have had a failure rate business (the IBM PCs, Apples and one-fourth that ofthe 5 1/4-inch drives. doesn'tsucceed in computers (now DECs). Part ofthe reason: More than Yet both discs hold the same amount of more than halfthe company's revenue), 200American companies now manu­ information. it would hamper the company's overall facture personal computers, double the But the feature which most clearly performance. number ofonly two years ago. Dozens sets the HP 150 apart from the IBM PC Paul Ely, executive vice presidentof ofEuropean andAsian companies have is its touchscreen. the ComputerGroups, puts it another alsojumped into the market. Jim Sutton, an R&D section man­ way. "At some point toward the end of ager at the Personal Software Division the decade, personal computers will be explains that the touchscreen was origi­ ourprimarybusiness ifwe are a suc­ More than 200 American com­ nally designed as an option. "Over the cessful computer company." course ofthe development ofthe prod­ To be sure, HP has had offerings in panies now manufacture per­ uct, we convinced ourselves first ofthe the personal computer market before. sonal computers, double the value ofthe touchscreen and second of In 1977, HP established its commit­ number of only two years ago. our ability to manufacture it for a cost ment to the young industrybycreating low enough to make it a standard fea­ the Personal ComputerOperation in ture ofthe product." the Corvallis (Oregon) Division. That Invisible beams ofinfrared light group's Series 80 computers, intro­ HP is aiming the HP 150 for the busi­ crisscross the HP 150'sscreen. When duced in 1980, have become one ofthe ness market. "Companies will put a your fingertip breaks both a vertical most popular in the technical and engi­ computeron every desk longbefore and a horizontal beam, it sends a signal neering markets and serve as work­ there'll be a computer in every home," to the computer, justas ifyou'd horse controllers for many instrumen­ says Srini Nageshwar, manager of touched a key on the keyboard. tation systems. PCG's retail marketing program. One industryobserver feels HP's But confusion has overshadowed Despite the fuzziness in both the touchscreen goes beyond other point­ such successes. In addition to Corval­ companyand the marketplace, ing devices such as the mice and light lis' Series 80, the DataTerminals Divi­ Hewlett-Packard has had a good track pens. "It's almost as ifthe touchscreen sion in Sunnyvale, California, was record. "We had more than $500 mil­ turns your finger into a conduit be­ cranking out the 100series ofpersonal lion in sales in the personal computer tween your mind and the computer." office computers, while people in Fort marketin 1982," Cyril points out. To take advantage ofthe touch­ Collins, Colorado, were responsible for But to focus its efforts, HP set about screen, most ofthe software packages the 200 series ofdesktop computers for in early 1983 to revamp its product for the new computer were written with the technical market. thinking, modifythe Computer fingertip control in mind. "We had several organizations in the Groups' organization, improve its For example, the first screen you're company that were somehowaddress­ dealer program and begin consumer likely to see when you turn on the HP ing the market," says Cyril Yansouni, advertising (see boxes about dealers 150belongs to PAM (for PersonalAppli­ now general manager ofthe Personal and advertising on pages 5 and 7). cations Manager). This software ComputerGroup (PCGl. "but none of PCG decided to build the HP 150 to shields you from memorizing the doz­ them had it as their major focus." microcomputer industrystandards: ens ofnitty-gritty commands needed to In some ways, it was as ifHP's the MS-DOS operatingsystem and the run the computer's operating system. strengths were working against the Intel 8088 microprocessor, both popu­ With the touch of the finger, you can company. HP had become successful by larized by IBM's PC. That decision choose programs to run, can copy files selling from engineer to engineer. Cus­ made it relatively easy for outside soft­ and discs and can load software. tomers had been willing to pay top dol- ware writers to rewrite their packages A Personal Card File program puts

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www.HPARCHIVE.com the familiar desktop rolling card file in­ side the HP 150 computer. As you touch the on-screen "knobs," the card file spins to the proper spot in the alpha­ bet. Touch an index tab and bringup a full-screen version ofthat card, com­ Amonarch butterfly poseson a fingertip during the filming of the TV commercials. plete with the familiar tab at the top and two little cut-outs at the bottom. TURNING HP INTO A BRAND NAME Other best-selling software packages, The personal computer industry million advertising their products like WordStar® and VisiCalcl!\llet you spent more than $500 million on ad- this past year. pointyour way through the program. vertising in 1983, and HP joined the It's television and print advertis- When the HP 150 entered the market crowd early last November with its ing that will increase consumer this wealth ofsoftware was ready. This own "settingyou free" campaign. awareness ofHP's personal com- up-front emphasis on software was "a HP is hoping to make its name a puter products. Those ads will help first for an HP personal computer divi­ household word in an industry draw people into retail outlets to see sion," says one industryobserver. which is only seven years old. The and perhapsbuythose products. "Never before have so manysoftware company's ad budget for personal Butunlike the soap and cornflakes packages rolled out ofHP's doors back­ computer products quadrupled to fields, computerconsumers are still to-back with the hardware." approximately$35 million, and HP's learningabout this young industry IBM started the move toward relying first product television commercials and its product offerings. upon outside software houses when it took to the air in November. (A series "There's a real evolution ofcon- introduced the best-selling IBM PC in offive television spots in 1981 was sumer perception in the market- 1981. Before that. most personal com­ aimed more at enhancing the com- place," explainsJim Eaton, advertis- puter manufacturers wrote their own pany's overall image.) ing manager for the Personal operating systems and software. The In the new television spots and ComputerGroup. rationale was that once consumers had printadvertisements in major na- "There's tons ofresearch about purchased the hardware, they'd have to tional publications like Business who buys personal computers and come back to the same company for all Week, the Wall StreetJournal and why. But the marketplace is chang- their software. Time, HP's slow-moving caterpiller ingso fast that data from 1980and But IBM turned the industry upside becomes a butterfly. Some people 1981 are meaningless today." down by providingall hardware and have even compared the metamor- Before HP's television ads were software technical specifications to phosis to the company'sattempt to ever seen on the air, theywere tested third-party manufacturers so they change its image from specialty- bya group ofconsumers. A foot-deep could develop their own add-on prod­ marketcomputersupplier to main- stack ofmedia research helps Jim ucts. Many ofthe software packages stream personal office computer decide in which markets, at what now available for the new HP 150 manufacturer. times and during which shows HP's gained their popularity when theywere "Working at a sure and steadypace TV spots will be most effective. HP is introduced for the IBM PC. Because the almost always produces results. The beefing up its efforts to gather two machines use the same operating problem is, itdoesn't getyou much meaningful information. system, it was easyfor third-party soft­ attention," says the announcer as a "The research function is critically ware vendors to modify them for the HP black-and-gold caterpillercrawls important," says Jim, "for it shows 150, adding enhancements that take across the keyboard ofan HP 150. us where this very young market is advantage ofthe touchscreen feature. "So even though Hewlett-Packard going." Oneofthe five functional The new directions in hardware and technologyhas produced a number areas in the Personal Computer software strategyweren't the only ma­ offirsts, some ofyou still don't know Grouporganization is now the mar- jorchangeswithin HP. In a company who we are. Maybe nowyou will." keting information systems depart- known far and wide for its emphasis on Personal computer manufactur- ment ofBill Bondurant. Bill's group decentralized operations, top manage­ ers, including HP, are beginningto also does work for the combined ment decided to recentralize the per­ realize what the soap and cornflakes ComputerGroups' Marketing Infor- sonal computer efforts. people recognized long ago: Brand mation Center. The resulting Personal Computer preference amongconsumers In addition to the nationwide ad- Group came together in January 1983 shapes the marketplace. Marketing vertising campaign, the companyis under Cyril Yansouni. The group's anddistribution have become more backing its dealers with a coopera- charter is to develop and to manufac­ important than research and devel- tive ad program that provides them ture personal and portable computers, opment. That's whyApple spent up- with funds and material for their ward of$40 million and the personal own local advertising. computerdivision ofIBM spent$45 WordStar ® is a U.S. trademark oj MicroPro International. VisiCalc ® is a U.S. registered trademark oJVisiCorp. January-February 1984 5

www.HPARCHIVE.com tions about personal computer prod­ the full HP product line. It's often pro­ ucts. Each ofthe center's 33 employees hibitively expensive for a dealer to keep has been trained as an expert in one or the complete product offering on the two software applications. floor ofthe store. To prepare these experts for days These PC centers don't act as sales filled with telephone questions and offices, but are points ofinformation, complaints, the center held three spe­ support and training. Customers still cial trainingsessions in September. place orders through local dealers. Trainers from Pacific SouthwestAir­ Starting early this year the HP 150 lines, who normally teach passenger will be introduced to markets outside agents how to handle irate travelers, the U.S. "With the HP 150, we can enter showed HP people how to deal with the international marketplace and be tough individuals on the phone. a force because we understand how The follOWing week, a former police to localize a product," says Alan chieftaught center employees how to Nonnenberg, manager ofmajor break questions into small, easily han­ accounts for PCG. dled components and how to probe "With HP's application centers, we terminals, and workstations. There are tactfully for underlying complaints. have local development capability in now sixdivisions and four operations The third sessionleatured HP field major countries outside the U.S. to in the group: managers who discussed the types customize personal computers and • Personal Office Computer Division of inquiries dealers most frequently software to local market needs." • Personal Software Division receive from customers. The application centers in European • Grenoble Personal Computer Today the center fields as manyas markets have been working with the Division 250 telephone calls a day. As more HP U.S.-based Personal Office Computer • Portable Computer Division 150s are sold, that number will grow. and Personal Software divisions to tai­ • Vancouver Division In dozens ofkey markets across the lor hardware, firmware and software • Roseville Terminals Division U.S., HP has opened personal com­ to local customs. For example, the • Personal Computer Distribution puter centers. In these companyshow­ French version ofthe HP 150 features Operation rooms, set up in HP sales offices, French keyboards, displays French • Puerto Rico Operation prospective customers can see dem­ error messages and runs French • Singapore Operation onstrations ofpersonal computers, application software. • Brazil Operation peripherals and software. Can HP be successful in the U.S. and The hot manufacturing spot in the Customers are often sent to the cen­ the rest ofthe world with the HP 150? A group today is the Personal Office Com­ ters by local HP computer dealers to see recent study byDatamation magazine puter Division in Sunnyvale, Califor­ ranked HP as the world's fifth largest nia, which builds the HP 150 using personal computer manufacturer. In­ some ofthe newest manufacturing dustry experts at Future Computing techniques available in the corpora­ OFFICE PERSONAL put HP in fourth place in the office per­ tion. Just-in-time scheduling ofparts COMPUTER MARKET­ sonal computer race. With HP's sound keeps inventories (and, therefore, SHARE LEADERS (U.S.) financial position and its reputation costs) low. Delivery trucks rumble regu­ 1983 for high-quality products, the chances larly to the plant's loading dock to drop for success are good. offsupplies from vendors. Many ofthe IBM 26.0% Orders, shipments, and dealer sign­ computer's components, including the Apple Computer 21.0 ups all have exceeded targets so far. In plastic cabinetry, are manufactured Radio Shack 13.4 fact, manufacturingspace for HP 150 byoutside firms. Hewlett-Packard...... 6.5 production is being increased beyond In another HP building in nearby Digital Equipment. .. .. 3.2 its original target. Santa Clara, employees ready software TeleVideo Systems ... .. 2.4 As Forbes magazine reporter for the HP 150 at the Personal Software Zenith 2.3 Kathleen Wiegner told her readers, Division. One ofitsbusiest places is Osborne Computer 2.3 "Ofthe handful ofcompanies that has the new HP COACH customer center. It Commodore 2.2 even a chance to give IBM a run for its derives its name from its toll-free tele­ Texas Instruments. .. .. 2.1 money in microcomputers, Hewlett­ phone number: 1-800-HPCOACH. Victor Technology...... 2.1 Packard is a strong contender." M Experts from all parts ofHP­ Altos Computer 2.1 accountants, personnel experts, mas­ Other 14.7 ter schedulers, test technicians, com­ Source: Future Computing puterprogrammers, hardware support of Richardson, Texas experts, secretaries-joined HPCOACH to answer customers' telephone ques-

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www.HPARCHIVE.com LET'S MAKE A DEAL , It's a fact: Most personal computers for business are sold through retail stores. With the introduction ofthe HP 150came a heightened interest in establishing a second-to-none dealer program for Hewlett-Packard. "In the past. the dealer channel was not essential to us," says Cyril Yansouni, general manager of the Personal ComputerGroup (PCG). "When we had to make a trade-off, it was always in the direction ofour directsales force." HP had 420 outlets in Its dealer network at the end of 1982. "But many ofthem were not the optimal, mainstream dealers," says Alan Nonnenberg, former managerof the retail program and now major accounts manager for the Personal Computer Group. "Ofcourse, at the time, we didn't have a mainstream product either." Retail computer stores, Ilk.this one In Los Gatos, CGI"omla, playan Important role In HP's The HP 150 helped change that. personal computer marketing plan. Today the machine can be found on the shelves ofmore than 600 retail • Dealertraining. HP now offers for all ofHP's personal computer outlets in the U.S. The dealers range product and service training to the products. in size from small specialtycom­ dealer's sales and technical staffs. • Stockingthe HP 150.A new floor­ puter shops to international chains • Distribution. HP established a Ing plan lets dealers work on a pay­ like ComputerLand. new central distribution center in as-you-sell basis with a third-party The presence ofthe HP 150on Sunnyvale, California. The new dis­ credit company. The new plan also dealers' shelves has solved a problem tribution center's goal is to have lets dealers stock systems free for 60 many HP salespeople were facing smaller orders on the dealer's door­ days, then pay interest on them for when they called on customers. "Our step one week after the order arrives. up to 180 days. Demo systems are direct sales people would calion the • Cooperative selling. HP will con­ available on consignment. people who make the decisions on centrate its direct personal com­ There's also a new mechanism In which personal computers to buy for puter sales efforts on about 150 place to Improve the improvements. their company," explains Alan. "And large, national accounts. In those or­ Once each quarter, a group of 10 to those decision-makers would say, ganizations, HP will offer employee 12 dealers will meetwith company 'I was in a computerstore over the purchase programs run by local representatives to provide feedback weekend and I didn't see HP repre­ dealers. In all othercompanies, HP on products, promotions, HP's ad­ sented. How do you compare with... sales reps will work with dealers. An vertisingand other topics. This new "We had ignored the fact that incentive program encourages coop­ organization is called the HP Dealer those people were also normal con­ eration over competition. Advisory Council. sumers on Saturdays and that • Dealer hotline. Technical ques­ "We recognize that the dealer sales theyvisited computerstores. On tions from dealers about personal channel Is a major driving force In Mondays they carry those ideas computers, peripherals, software the personal-computer market today back to work with them." and operating systems come to a and in the future," says John Young, To earn shelfspace alongside the new toll-free hotline at PCG head­ HP's president. "With this new Apples, IBMs and Digitals ofthe quarters In Cupertino, California. A dealer program, Hewlett-Packard is world, HP revamped its arrange­ second toll-free hotline (1-800-FOR­ striving to establish a Widespread, ments with dealers. Among the HPPC) handles general inquiries full-service dealer presence." improvements: about advertising and pre-sales data

January-February 1984 7

www.HPARCHIVE.com

ew companies well into their fifth featured the now-famous light-bulb since the product was introduced. decade can boast that the first technique introduced by Bill and Dave Among the names on the long customer Eproduct they ever made still sells. to help stabilize the amplitude output roster is Walt DisneyStudios, HP's first Fewer still can pointwith pride that the ofthe audio oscillator. A key difference big customer in 1939. Disney bought original product featured technology is that the 200CD has an expanded a 200A for soundwork on the classic that isn't obsolete in this high-tech age. frequency range that requires a movie "Fantasia."Through the years, Hewlett-Packard can say both. second light bulb. the 200Aand the 200CD have been The 200Aaudio oscillator, named Differences aside, the 200A and the used to design, produce and maintain by Bill Hewlett and Dave Packard so it 200CD symbolize excellence in the au­ telephones, stereos, radios and other sounded as iftheir young company of­ dio-testing field. Max says that it was audio equipment. fered a slew ofproducts, has been mod­ a sign ofcommitment to quality for a But perhaps the most famous HP au­ ified slightly through the years and is shop to use an HP audio oscillator. dio oscillator is a miniature gold-plated now called the 200CD. But the basic And, up until the 1960s, electronic 200A, built in the mid-1950s. Bill and technology and the original concept textbooks discussed the technique Dave received the shining instrument invented by Bill while an engineering used in producing both products. to commemorate the lO,OOOth audio student at Stanford University remain. "HP audio oscillators were in engi­ oscillator to roll offthe production line. "Bill and Dave were on track with neering classrooms across the coun­ In all, the 200A, the 200CD and the the way theybuilt the 200A," says Max try," Max says. "There was a whole rest ofHP's broad line ofsignal source Ramble, signal source product market­ generation ofengineers who grew products have reaped great rewards for ing engineer at the Lake Stevens In­ up with the 200Aand the 200CD... the company, Max says. Since 1939, HP strument Division, where the 200CD And that familiarity with the product has seen a 20 percent compounded an­ now is made. "The technology has on campus later creates customers for nual growth rate from these products. stood the test oftime." the 200CD. Max and the LSID sales and And, as Max points out, it only proves The 200A was retired in 1953, the support group estimate that more than that, with the light bulb. Bill Hewlett year after the 200CD took over. Both 100 tons of200CDs have been sold had a better idea. M

BILL'S BRIGHT IDEA When Bill Hewlett was a Stanford University master's candidate, he turned a light bulb into a bright idea. Itwas so bright that from it the young Hewlett-Packard Company was born. Bill was workingwith a Wien Bridge oscillator, which was used to generate an output signal and to test Hewlett-Packard Company's first product audio equipment, such as radios was the 200Aaudio oscillator. and telephones. The problem with the Wien Bridge was that the output amplitude became unstable when varying levels ofelectrical current were transmitted through the in­ strument during testing. The solution? Insert a light bulb. The light bulb's resistance fluc­ tuated with the changing levels of electrical current in the oscillator and compensated for those changes. The result was a stabilized output amplitude and the beginning ofone Bill Hewlett holds this 1968 version of the ofthe most successful stories in \ audio oscillator that launched HP. corporate history.

January-February 1984 9

www.HPARCHIVE.com YOUR TURN Invites Measure readers to comment on matters of importance to HP employees.

• / flight was cancelled the daybefore my WHAT WE HAVE interview. IN COMMON /,' There wasn't enough time to arrange Over the years as I have moved from , another commercial flight, so I drove a position to position within HP, I have companycar-a three-hour drive each been exposed to a variety ofexceptional way. Although my trip was pleasant, I wonder ifthe six hours on the road Hewlett-Packard people. These people have exhibited manyvaried talents, would be offset by the "approximately skills and attitudes. To help me keep 45 minutes" flying time? the "HP way" alive and well in the '80s Havingbeen a civilian test navigator (ajob we all share, by the way), I have before coming to HP, I was looking for­ ward to my flight. Perhaps another day. used three concepts to describe their common attributes. DONALD DROZDENKO 1. Theyare professionals, aware of San Jose their roles in the organization and their contributions to HP. They address HP's aviation department takes a ANOTHER BIGGIE numberoffactors into consideration problems with honestyand objectivity before deciding to cancel ajright: the and maintain high standards ofper­ In the March-April 1983 issue of formance for themselves and those Measure I noted the "Small List numberofpeople scheduled tofly in each direction, the weather, the desti­ around them. ofSome ofHP's Biggests." 2. They have a strongsense ofowner­ This photo from my own memora­ nation and the aircraft beingflown. Aviation's DebbieBuffo explains, "It's ship about their organization and their bilia captures at least a better conten­ responsibilities. Quality is taken as a been a long time since we've had to der for HP's "biggest" product than personal commitment, profitability is those in the article. cancel a Rosevilleflight because we didn't have enoughpeople. More often a part ofevery decision and a sense of The sale was made at a trade show urgency is brought to every task. where I met with officials ofthe U.S. than not, it's the weatherthatdisrupts ourschedule." 3. They view their positions with a government's Office ofTelecommunica­ service orientation, seeking to create tions Policy (OTP). The following Mon­ a supportive, team environment in day HP had an order for a complete mo­ which an awareness ofthe strengths bile spectrum monitoringsystem: a and weaknesses ofpeople around van complete with antennas, portable them can lead to a strong feeling of power and an HP 8580Aautomatic contribution by all members ofthe spectrum analyzer in a multibay rack. organization. This was then produced by the former I hope other HP people find these con­ Microwave Division. cepts useful in approaching theirjobs. The system was used largely to collect JOHN JONES data on government communication Santa Clara channel use. This allowed OTP to make best use ofthe available spectrum. So for those people who ask ifHP Your HP airline article told us not to be makes or made the Packard automo­ surprised ifwe sawan airplane with bile, you can now answer, "No. But "HP" on the tail at our local airport. we did sell a rather special Hewlett­ That reminded me ofthis photo I've Address letters via company Packard motorhome." been savingofa plane used to demon­ mail to Editor, Measure, Public REED OGDEN strate HP products. Relations Department, Building Santa Rosa The modified DC-6B flew in January 20BR, Palo Alto. Via regular 1969 to Hawaii, New Zealand, Aus­ postal service, the address is tralia, Asia, Africa and LatinAmerica Measure, Hewlett-Packard Com­ FLYING WITH HP with more than 100 instruments, com­ pany 20BR, PO Box 1030I, Palo The article on "HP's No-Fuss Airline" in puters and calculators on board. Alto, CA 94303-0890. Try to limit the November-December issue was very EBO CAVALLINI your letter to 200 words. Please interesting. Santa Rosa sign your letter and give your Approximately one year ago, I was to location. Names will be withheld attend an interviewat Roseville, Cali­ on request. Where a response is fornia. I was scheduled to fly on one of indicated, the best available com­ the HP planes from San Jose to Rose­ pany source will be sought. ville and then return later that day. But, because I was the only passenger, the

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www.HPARCHIVE.com •

Star tracker operator Allan Meyer checks the monitor tor the on-board telescope during an observatory flight. HP NI\sI\ computers 714 helpNASA program takeoff A 10-year-old converted cargo plane flies astronomical missions as part of the National Aeronautical and SpaceAdministration (NASA) Airborne Science Program.

A meteorologist's brainstorm put HP collecting weather data. on a pleasant collision course with The computer worked so well­ NASA's Airborne Science Program even while airborne-that NASA more than 15 years ago-an associa­ people decided they'd like to have a tion that has ballooned both in data processing system as part of scope and in the amount ofHP hard­ their standard equipment. ware and software flying scientific "A lot ofus wanted to buy com­ missions around the world. puter equipment," recalls NASA's Today, HP computergear aboard Carl Gillespie, who has been part of two NASA planes studies far-away the program since the 1970s. "Be­ galaxies and down-to-earth weather cause we're a governmental agency, systems. It all began when a scien­ we had to go out for bids. Though tist from the GoddardWeather Satel­ HP's bid was not the lowest, the lite Instrument Group brought an winning bid came from a smalljob HP 2100 with him on board a Con­ shop that used HP equipment." vair 990 airplane used by NASA for While a lot ofthe HP equipment is

January-February 1984 11

www.HPARCHIVE.com this artist's conception of the planet Uranus shows the rings which Before every Kuiper Airborne Observatory mission, the crew works up were detected during a flight of the Kuiper Airborne Observatory. a flight plan (this one covers the western U.S.) on an HP computer. airborne, more can be found on the Over the years, scientific teams on anotherabrupt dip occurred, then ground at NASA's Ames Research both planes have made many signifi­ another, and another and another." Center in MountainView, Califor­ cantcontributions to the fields of Only later did he realize that the nia-homebase for the flights. astronomyand meteorology. sudden dips were caused byshad­ 1\\70 HP 2113 computers on each The C-141, known as the KUiper ows ofthe rings ofUranus as they plane are the program's real work­ Airborne Observatory (KAOl. is the passed over the telescope. horses. They do"housekeeping" flagship ofthe program. A large hole More recently, a special camera chores like storing and generating in the side ofthe hull holds a 36­ attached to the telescope took com­ flight paths, logging the aircraft's inch-diameter reflecting telescope. puter-generated, false-color photos action and keeping the plane on Its advantage over earth-bound tele­ ofthe space shuttle Columbia as it course. On the converted Lockheed scopes is the clearer infrared image flew past KAO for landing. The pho­ C-141 cargo plane used for astro­ ofthe galaxies it can produce by tos showed the temperature ofthe nomical missions, one ofthe com­ flying at altitudes from 41 ,000 to speCial tiles on the plane's Wing, puters stores the coordinates and 45,000 feet. body flap and fuselage. magnitudes ofmore than 250,000 "Watervaporweakens the infrared Meanwhile, the missions flown by stars from the SmithsonianAstro­ signal, so by flying above 99 percent the Galileo II (a Convair 990) depend physical Observatory StarCatalog. ofthe moisture, the telescope is able heavily on the weather. The plane Then, on command, the computer to observe the infrared radiation looks for all kinds ofstorms-hurri­ produces maps ofstar fields. emitted bystars, planets, nebulae canes, thunderstorms, monsoons­ But the HP computers' most im­ and galaxies," says Carl. and meets them head-on. "Scien­ portant tasks are controlling the The observatory's most famous tists call these natural phenomena on-boardscientific equipmentand discovery came in March 1977 when .targets ofopportunity, '" says Sarah collecting the data gathered by the astronomers found that the planet Young ofInformatics General, the teams offlying astronomers, geolo­ Uranus had several rings. This find­ company that prOVides the data pro­ gists and meteorologists. ing came as a surprise to all on cessing support stafffor the air­ Other HP equipment, both on the board. They had trained the tele­ borne programs. "Sometimes we de­ ground and in the air, supports the scope on the planet that night to ob­ cide to alter our flight plan midway primarycomputers. An HP 2108 serve the eclipse ofa distant star. and scout out such a target." computer controls a video tracker. Cornell University's James Elliott On a weather fact-finding trip, an 1\\70 HP 7906 disc drives store pro­ was the principal experimenter on airborne lasersystem on board the grams and data. Four HP 7970 digi­ that mission: "Thirty-five minutes Galileo II fires a beam through the tal tape drives (mountedsideways in before the starwas expected to be airsurroundinga thunderstorm. the C-141 )log data. And an HP covered by Uranus, the star's light The laser scatters the dust, pollen 6942A multiprogrammer provides unexpectedly dimmed for a few and small particles in the air. By Signals for the flying scientists. seconds ... a few minutes later, measuring the shift of the particles,

12 MEASURE

www.HPARCHIVE.com the wind velocity can be determined. The on-board computersystem prints the results 40 seconds after the laserscans the sky. "These studies provide meteorolo­ gists with a more complete picture ofwhat happens during a storm," explains Sarah. In 1979, the Galileo II was in Asia for an international studyofmon­ Jim Pantaleo and sarah Young manage the data-processing portion of NASA's soons called MONEX (monsoon ex­ Airborne SCience Program on both the Gallleo II (used for weather exploration) and the periment). For two months the plane Kuiper Airborne Observatory (used to study sfars and planets). took a variety ofatmospheric read­ ings: temperature, density, pres­ sure, humidity, ultraviolet sky radi­ THE SKY'S THE LIMIT ance, etc. The data was used to improve short-range predictions of Years ago, a programmer hustled a gram. Most spendat least partof monsoon rainfall. hodgepodge ofHPeqUipmentoutof their time flying day-. week-or a NASA jetaircraft and into a tiny When the El Chicon volcano month-long missions withscien­ erupted in southern Mexico in 1982, Samoan hotel room. After he set it tists whose experiments have been it formed a sulfuric acid cloud that up. he plugged itall Into a wall outlet. accepted byNASA. now covers one-third ofthe globe. Whammo! Every light in the hotel Jim remembers his first flight on Scientists aboard the Galileo II used blackedout. the KAO. "We were able to help the HP equipment to collect data about Jim Pantaleo, who helped shep­ astronomers byentering their data the cloud layer. herd NASA's Airborne Science Pro­ on ourcomputer. "A lot ofthe instrumentation that gram through its Infancy more than "Before that, there wasn't a lot of we test laterends up on a space­ 15 years ago. says such a scene was dependence on oursystem. Itwas shuttle mission oron a weather sat­ not unusual in the earlydays. Jim is used for star plots, but that was ellite," says Sarah. now a staffspecialist for Informatics about all. As the need for data col­ "We're on the brink ofbeing able General, a firm thatcontractswith lection became more critical, the to understand some of the larger NASA and otherorganizations to dependence on our computereqUip­ interactions ofthe Earth and its provide technical. computerand ment telescoped." atmosphere." management services. Most ofhis A typical flight carries oneor two Lately a cousin of the Galileo II and work centers around KUiper Air­ Informatics employees. They solve the KUiper Airborne Observatory borne Observatory(KAO) missions. hardware orsoftware problems In has been grabbing a lot ofheadlines. Jim's counterparton the Galileo II is the air, plot flight plans andadjust IRAS, the Infrared Astronomical SarahYoung, who's beenwith the those plans If weather forces the Satellite (ajoint development ofthe NASA project for seven years. plane to alter its course. United States, the Netherlands and Eventually. the hotel lights came "The computerflies the KUiper the United Kingdom launched in backon and the computerdid its Airborne Observatory." says Jim. January 1983) has mapped the sky. job. "We've had good use out ofour "It must follow a precise flight plan Explains Carl Gillespie, "Because HP systems-and rarely under the to keep the telescope pointing IRAS is in space where there is no best ofcircumstances,"says Jim. accurately." water vapor, it has been able to look The humid Samoan atmosphere Sarah points out that the Infor­ at things never seen before." But caused some unusual challenges for matics people don't analyze the IRAS exhausted its supply ofliquid the computer eqUipment. "Theoreti­ scientific data. "We help the experi­ helium and now is a piece of junk. cally a computer is supposed to sit iiI. menters take their data. Sometimes we areasked to write analysis pro­ "The KAO will be able to follow up an air-conditioned room." says Jim. grams, and we rely on our trusty on some ofIRAS' interesting find­ "I don't think anyof this eqUipment HP 1000s to do the analyses.-' ings," explains Carl. And that may has ever seen an air-conditioned Sarah'sjob means she must be produce some more sales for HP. room." The HP computer is part ofa ready to fly anywhere on the globe From their exposure to HP prod­ cache ofgear used on scientific mis­ withjusta moment's notice. After ucts on the airborne observatory, sions around the world. The data­ seven years on the project. she's astronomers from around the world processing functions on the mis­ have purchased HP gear for their sions are managed by Informatics. used to hervagabond existence. "At least," she says. "one day is never own observatories. Informatics has a staffof 12­ like any other." Now that's high-flying praise. M hardware technicians, program­ mers, etc.-on the airborne pro-

January-February 1984 13

www.HPARCHIVE.com CLOSEUP Zooms in on the ever­ changing world of HP people, products and places.

FOCUSING ON SAN DIEGO When ABC-TV's "Good Morning, America" cameras came to San Diego, Cali­ PEDALING COMPUTERS fornia, they were looking for cooperative efforts between industry and edu­ HP-Netherland's Enno Graal tack­ cation. One stop was at Poway High School. les the obstacle course during the Hewlett-Packard's San Diego Division adopted the school a little more than 1983 Computastars final compe­ a year ago as part of a company program to improve computer literacy in 14 tition in Birmingham, England. California high schools. Each school received 10 HP 86 personal computer The yearly international sports systems (complete with monitors, printers, disc drives, software and with event pits teams from many com­ plotters made at the nearby San Diego Division). An HP representative visits puter companies' factories, sales the school to give math teachers technical and training assistance. offices, software houses and data Joe Costa, the division's employee relations manager, demonstrates one of processing departments against the computers for two high school students and the ABC film crew. one another. HP'sDutch team, in its first year ofComputastars competition, fin­ ished eighth of 11 in the women's category and fourth of 29 in the men's battle. And cyclist Enno Graal finished second in the men's all-round and took the silver medal ON THEIR WAY UP back toAmstelveen. Three years ago materials engineer­ ing managerAl Jonesbrought 10 people together (a handful ofColorado Springs Division employees and a like number of salespeople who call on HP) at the foot of Pikes Peak. Their mutual objective: climb the 14,OOO-foot mountain and have a fun time doing it. Al's ideagrew into an annual event that promotes improved relations between HP and its vendors. This year 87 people made the trek to the top, including (left) sales rep Gary Massey from Front Range Marketing Company and HP materials engineer Alan Engle. The entire group met after­ wards at the HP recreation area in Colo­ rado Springs for a barbeque.

14 MEASURE

www.HPARCHIVE.com COLORADO BALLET KEEPS TOM KRANTZ ON HIS TOES If you've seen "The Nut­ cracker" ballet, you remem­ ber the enchanted moment when the toy nutcracker grows to person size. Something like that re­ HIT ME WITH YOUR BEST SHOT cently happened to Tom At the picnic for HP employees in Frankfurt, Germany, one of this year's most Krantz of the Engineering popular booths featured the photographic images of the sales headquarters' ProductivityDivision in Fort managementstaff. Collins, with the help of a The object of the game: knock down a manager's photo for a prize. (Just don't Series 200 desktop compu­ try it at the office on Monday morning.) From left, top row: Gerhard Beitz, Fritz ter and other HP products, Schuller, Wolfgang Rucker, Dieter Hoffman, Jiirgen Hengstmann. Bottom row: Experimenting with soft­ Gunter Ziepa, Klaus Stamer, Dieter Egermann, Dieter Schlosser and Vli ware normally used for en­ Weltzien. gineering graphics, Tom re­ created a cunning little nutcracker from artwork originally designed by Con­ nie Asher and used by the Colorado Ballet to promote its recent Denver perfor­ mance of the classic. Tom's wife Sharon, who is on the ballet staff, showed the HP­ plotted nutcracker at work -and Tom was asked if he could enlarge it. Tom obliged by producing some images of a four-foot nutcracker, using the larg­ est paperavailable on the HP 7585 plotter.

January-February 1984 15

www.HPARCHIVE.com Talk to folks around Hewlett-Packard data bases have moved out to smaller Computer security: about the trendy subject ofcomputer computers in offices, factory floors and security and sooner or later the movie homes-and ensuring their protection "WarGames" is mentioned. is a whole new game. The celluloid adventure ofa teen-age Indeed, the first companywide rules Could computerbuffwho accidentally plugs on computer security-issued in into the Defense Department's NORAD 1977-emphasized the physical protec­ system was make-believe, ofcourse, tion ofmainframe computers and mea­ but questions linger. How vulnerable sures for disaster recovery. Concern "War­ are the computers throughout HP to about guarding information is newer, physical damage or assault on data? and a section on control techniques for Since the company is both a user and a data hasjustbeen added to the compa­ Games" manufacturer ofcomputers, what are ny's information systems manual. the broader implications ofcomputer Putting those techniques into prac­ security for HP? And what can we do to tice is up to local management, happen protect ourselves? with Corporate internal auditors The difficulty with attempting a coming around periodically to straightforward answer is the implied take a look. challenge to computer mischief-makers The Information Systems Steer­ atHP? who are likely to be less beguiling than ing Committee (lSSC), which co­ the young hero of"WarGames." ordinates HP's data processing Chances are that ifwe publicly declare activities, recently formed a our internal computer systems are safe permanentsubcommittee on from invasion, we become an attractive computer security. target. And ifwe admit there are gaps Says ISSC chairman Carl Cottrell, in our defense... we still become an at­ "We hope to come up with speCific mini­ tractive target. mum standards for computer se­ What is clear, however, is that secu- curity that top management will rity measures which are doing a credit­ buy into and that Internal Audit ablejob for Hewlett-Packard todaywill will use as a model. .. need tightening in the future. Access to While tight local-level computer computerized information is becoming security is important, it is not gOing more Widely dispersed through the to be enough to do thejob, Carl adds. spread ofpersonal computers and com­ "We're moving in the direction of puter networks. The days are ending public packet-switch networks, when a mainframe computer and its which are not secure, and opening stored data could be secured by means ourselves to more vulnerability. ofenclosure in a locked room. Today "Ifyou knowyou're part ofa .... ····;~::::;;;~~~~~~l~~r~~::::::~:~~:~~.: 16 MEASURE

www.HPARCHIVE.com public network, you'd better be vigilant." which department is the"owner" ofthe Raphael, manager ofR&D information Bill Ashton, who manages all Corpo­ information and what capabilities each resources, expects to come up with a rate administrative systems, heads individual usershould have. Different proposed set ofaudit gUidelines for ISSC's securitysubcommittee. He sees degrees ofcontrol are established de­ R&D computing thatwill be meshed a balancing act, "workingat increasing pending on the nature ofthe data. with the ISSC subcommittee's effort. the securityofcomputers without los­ The ComputerSupport Division in­ "Worrying aboutsecuringour in­ ing people's ability to communicate and cludes a section on computersecurity formation is a new idea for many HP to do theirjobs." in systems-manager training that it people, as for industrygenerally," Bert "We're trying hard as a company to gives all HP 3000 customers, both in­ says. A new Scientific Computing Facil­ make iteasy, simple and friendly to use side and outside the company. itywhich is currentlybeing installed at computers," he says, "butat the same The HP 3000 computer itselfhas the HP Labs in Palo Alto will have strict time we have to recognize that everyone ability to insist on the entryofa two­ administrative security. doesn't need access to all types of level password before permitting some­ "There's a real danger ofoutside information." one to log onto a terminal. Regularly threats to security ofresearch data," changing that coded password and explains Tony Fanning, who is now GUARDING ACCESS keeping it well-hidden from view are concentrating on aspects ofR&D secu­ In the professional area offinance, part of the human aspects ofgood com­ rity in Bert's group. "We want to keep strictcontrols have always been puter security. out the browsers who arejustcurious, the norm for handling ledgers In one scene in "WarGames," the cur­ the hobbyists who find it a challenge to and money transactions­ rent password to the high-school com­ try to break in, the poachers who want manuallyorbycomputer. Simi­ puter is readily available from a scrib­ to profit from information theygain larly, personnel departments are bled note on a desk. It is used by the and the destroyers who compulsively used to treating employee rec­ teen-ager in the movie to break in to steal or contaminate material." ords with strict privacy. change grades. Such direct access by But in the atmosphere ofthe outsiders via telephone lines can be EVERYONE'S BUSINESS R&D labs, the notion ofplacing prevented ifthe computer is eqUipped Paul Haefner ofCorporate manufactur­ restrictions on using the com­ with "dial-back" software. Itworks by ing systems, who oversaw the new sec­ puteras a software research disconnecting the call and calling back tion in the information systems man­ tool runs counter to the tradi­ to a preViously approved telephone ual dealingwith data security, sees tion offree exchange of number to double-check the identityof computersecurity as the business of promising ideas. Further­ the would-be user before allOWing the everyone at HP. more, HP engineers are now en­ connection. "In the past, controls were the couraged to continue their work away Some new considerations come into province ofaccountants and from the lab through a computer home­ playwhen the computingeqUipment is auditors," he says. "Butwhen loan program. movable. A Corporate task force is com­ you're dealing with information As one observer said, "Lab notebooks pleting gUidelines for workstations, rather than numbers and physi- were considered prettysacred and en­ concentrating on the powerful new cal controls, you're talking gineers didn't carry them home. Now HP 150. Says chairman Luis Hurtado­ about all aspects ofour busi­ the lab notebook is likely to be in some­ Sanchez, "It's obvious that the trans­ ness and a more pervasive one's home computer." portabilityofthe workstation and its issue." At a best guess, HP is relying five to peripherals creates some physical secu­ One ofthe company's mod­ 10 times as much today on computer­ rity considerations. Do you require els for preventive security is ized information as it did a decade ago. property passes? Record serial num­ the Corporate Comput­ Perhaps 70 percent ofthe company's bers? Engrave identification numbers? ing Center in Palo business activity is dependent on com­ Anchor the equipment to a desk?" Alto (formerly known puters. The positions ofFISM (data "As to data security, users will need to as BayArea EDP). Doug DeVries, who processing manager in factories) and remember to back up files regularly and became responsible for its security in RISMIBISM (the counterpartjob in not assume that the long-lived floppy 1978, is mentioned almost as fre­ sales regions and branch offices) have discs will last forever," he says. "Flop­ quently as "WarGames" in HP conversa­ been created in recent years to provide pies with sensitive data should be tions about computersecurity. He day-to-day management ofcomputing taken out ofthe machine and stored often serves informally as a consultant activity. under lock at night because theycan be to other companylocations. Individual systems are assigned to carried away in a pocket." The center is the hub for processing "systems managers" who determine Since R&D computing has boomed the company's critical systems for pay­ in the past two years, Corporate Engi­ roll, worldwide communications, order neering has also started to look at the processing, invoiCing and accounts re­ exposure ofHP information in com­ ceivable, among others. puter files, focusing on R&D. Bert Data access to mainframes in the

January-February 1984 17

www.HPARCHIVE.com center is now guarded by a sophisti­ cently invited systems specialistJohn less they are qUite sophisticated." cated software security package (ACF2) ConryofHP-Winnersh to lecture on At HP Labs. the Measurement and which lets a user write the rules for who various practical aspects ofprotecting Communication Lab is doing advanced can access information. Actual entry to computers and their data.) cryptography research and data secu­ the huge central computer room is also A number ofother Corporate depart­ rity system design. The information strictlycontrolled. ments also have a stake in various as­ and signal processing depart- It took an investment ofseven per­ pects ofcomputersecurity. Lawyers ment under Kai Yiu has pro­ sonyears ofwork to bring the Palo Alto worry about protecting franchised duced an encryption appa­ computingcenter to its present level of software from unauthorized copying. ratus which can talk in real security. (Doug observes that a rule of GovernmentAffairs keeps an eye on time to HP 3000s and desk­ thumb in the industry is that about impending laws and regulations in tops. It can also be used for one percent ofa facility's annual data the area ofcomputer data. Jim Hacker, high-speed file encryption. One processing budgetshould be spenton manager ofCorporate Industrial Secu­ division is already cooperating in protecting its computer assets.) rity, is responsible for investigating any the project. episodes ofcomputercrime. "Through encryption. we can Whether it is good luck or good make sure that both users and DISASTER PLANNING defenses, HP has escaped headline­ messages can be authenticated." As part ofthat planning, the Loveland makingbreaches of its computer se­ Kai says. "and an intruderwon'L.:: Instrument Division's large EDP center curity. There have been some minor be able to understand the .:::: in Northern Colorado is kept ready to breaks. such as the service engineer scrambled message." He believes serve as a stand-in in case ofemer­ who left the telephone numberand that a data securitysystem should be gency. The Loveland and Palo Alto cen­ password ofthe office computer visible able to detect any change in data such ters have been testing their respective on his desk at home-and theywound as substitution. addition. deletion. or disaster procedures at each other's lo­ up on a "pirate bulletin board"shared modification. cations since 1980. bycomputer buffs. "A dozen Corporate people will roll in Butwhile the probabilityofcomputer here over a weekend with all their tapes tampering is low, the potential impact PROTECTING CUSTOMERS and eqUipment to construct a system on the company is high. As both a user and a seller ofits own that is a look-alike to their own," says Admittedly, proViding security for computers. Hewlett-Packard is doubly FISM Jim Hallock. The division's own networks ofcomputers will add an­ involved with computer security. processing is pulled off the computers other dimension. HP is now committed Provided as optional eqUipment with to accommodate a run-through to see to developing a worldwide interactive the HP 3000 is MONITOR-an interme­ that all procedures are right to network based on x. 25 packet technol­ diate-level system thatsits between the bring up critical Corporate sys­ ogy. portions ofwhich will use public machine's MPE operating system and tems in the substitute location. data networks. One consideration: the the applications being run. Each termi­ "Lots ofpeople are doing iso- public portion will be shared with out­ nal has its own friendly name and can lated things very well," says HP side users. be pre-set to start and stop at given internal auditor Ed Miller, HankTaylor. Corporate communica­ times with a particular application. who pays particular attention tions and office systems manager. be­ Explains R&D engineerSteve Rhodes to EDP. (See box.) "We'd like lieves HP "can narrow down the risk" in ofthe Manufacturing ProductiVity Divi­ to see these ideas made avail- several ways. sion. "MONITOR also keeps users from ...... :.: ;.. able to other entities as well." "We can limit the number ofuser ad­ wandering into sensitive transac­ ..•..:.:... ~/. . ..:::::::::.:., '/£.'::':"~' Corporate Internal Audit, ac- dresses from which calls are accepted." tions-it controls passage from one .;:;:::::::" •..•~.::::.:••.•.. cording to manager George Ab- he says. "To discourage invaders. the program to another." bott. is "not an enforcer but an awaken­ networkwill nag patterns ofrepeated Another module. CUSTOMIZER, er" when itcomes to both the physical short calls in addition to the HP 3000's maintains the"dictionary"which securityofcomputers and their data. password protection. We could also drives all applications and sets the "We see ifpeople at a location are con­ reject collect calls." rules for data access. cerned," he says. "We don't look in their Wim Roelandts. network R&D man­ To control installation ofits MPN desks, but we get uncomfortable ifwe ager for the Information Products software products. the division has de­ see sensitive printouts lying around." Group. is looking at encryption-the veloped the Option Install Program. It Each location is expected to have a scramblingoftransmitted data-to uses an encryption technique to pre­ computersecurityplan and its own protect against intruders who might vent users who don't know the proper controls in place to ensure the continu­ tap into lines between computers or be­ keys from installing options they ity ofprocessing and the integrity of tween a computer and terminals. "You haven't purchased. (It also allows HP data. can do encryption fairly simplywith application designers to add options to (Interest in computer security is computers." he says. "but it is also pos­ their products in a modularway.) shared by HP's outside auditors. Price sible for computers to crack the mathe­ Ed McCracken. general manager of Waterhouse's European auditors re- matical algorithms that are used un- the Business Development Group. be-

18 MEASURE

www.HPARCHIVE.com lieves that from now on the companywill increasingly perform securityaudits on the computer products that itbrings to market. LOCKING ITUP "As systems become more opera­ A numberofHPentities already • Securityhas been stressed in the tional-performing functions beyond have local security measures: Executive Computer Showcase. an handling financial data-our custom­ • The Microwave Semiconductor EDP centersetup at the Corporate ers will be even more concerned Division uses SECURITY 3000, from offices for use by top management. about securityof their computers. an outside vendor, which controls Software engineer JeffOrum, who "There's a dichotomybetween the log-on byasking one ofa setofper­ oversees that actiVity, included a need for our systems to be more secure sonal questions chosen in advance callbacksystems he developed for and more accessible at the same time. by the indiVidual-such as the make the HP 3000while at the Informa­ It is a challenge that we must address ofone's first car. "Every once in a tion Networks Division. Originally very seriously in our hardware and while I see someone smilingas they intended as a way to reverse phone software products." log on."says FISM Ron Reimert. The charges for engineers working at Can Hewlett-Packard itselfavoid a system also prevents people from home on terminals, the system has "WarGames" type of invasion in a world logging on over theweekend orat nowbeen enhanced to validate the filled with pirate bulletin boards listing unusual hours. userat a specified number. computeraccess information? • To make it easier to change pass­ • Customerengineers in the field BruceWoolpert ofthe Personal Soft­ words instantlyon hundreds ofjobs now carryan HP 75 eqUipped with ware Division. who oversees the HP on the HP 3000, the FortCollins Sys­ FIREMAN to exchange repair infor­ DESK electronic mail network in the tems Division and 20 othersites use mation with their office HP 3000. U.S.• suggests a simple defense. "The a program called STREAMER. It in­ Securitywas an importantconsid­ state ofthe art in computersecurity serts passwords where needed. eration In designing the interface right now is managing information • The Lake Stevens Instrument Di­ software. The project team ofCEs carefully and not being careless." vision has installed PLM (Program in Fullerton, California. developed he declares. Library Maintenance) to keep tight a special-purpose program which "It's all verywell, and necessary, to control on any changes to programs. limits the type ofmessages that lock the computer room at night and to It sees that the object code matches can be transmitted. limit access to accountstructures. But the source codeso that changes and • Corporate marketingadministra­ leaving passwords visible or terminals maintenanceare easy. tive systems has installed the Em­ logged on while you're at lunch is like • The Disc Memory Division takes ployee SecuritySystem (ESS) in all leavingyour credit cards lying around." a different approach with its Audit field EDP centers worldwide. It asks In the real-life world, Hewlett-Pack­ Control System, which each night the person logging on to give his ard's traditional openness has to be reports on program changes made or her employee number, a unique tempered when itcomes to the busi­ during that day. password and the name ofthe appli­ ness ofprotecting computer assets. M • Yokogawa-Hewlett-Packard has cation. ESS also buffers the user put together localized software to from direct access to computercom­ control powerful system-manager mands. The system is cross-checked log-on. twice a month with the region's • The European EDP center In Ge­ employee data base, neva has written a programcalled • As partofthe computersecurity DDSACCESS to control remote ac­ at HP-Netherlands. physical access cess to computerslinked byDS soft­ controls are in place to control ware. Users must meet certain spe­ printed outputs as well as to limit cial characteristicswhich have been who can enter the computer room, loaded into the computer.

January-February 1984 19

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ou have grown wearypainting stilllifes and Paris streetscenes. You decide to enlist in the French Foreign Legion. The year is 1816. Standing in line with other hungryartists, you go through various physical ex- aminations to prove whether you are healthyenough for the ri­ gors ofthe Legion. Out ofthe cor­ t ner ofyour eye you notice a distin­ gUished-looking gentleman approachingyou. He has a perforated wooden cylinder stuck in his ear. "Strange...verystrange,"you think to yourself. Suddenly, the man thrusts the wooden cylinder againstyour bare chest-theotherend still planted firmly in his ear. Willie Mitchell puts a shine on the metal parts of HP stethoscopes at the Waltham Division. "a mon Dieu, sacre bleu! What are you doing, monsieur?"you ask. "Pipe down and breathe, you idiotl" the man shouts. "You surely must nearly50years when a Sanborn Com­ "About three years ago, othercompa­ knowwho I am-ReneTheophile Hy­ panyengineer, Maurice Rappaport, nies realized HP was reaping the bene­ acinthe Laennec-the father ofchest combined efforts with cardiologist fits ofthis upper-echelon group with­ medicine." Howard Sprague to develop the first of out haVing to face anysubstantial "S'il-vous plait. Rene, what is that what has become known as the Rappa­ competition," Colleen adds. That is no thing stickingout ofyour ear?" port-Sprague stethoscope. Hewlett­ longer true. "Other companies are now "This, monsieur, is my latest inven­ Packard acqUired the Sanborn Com­ puttingout high-precision stetho­ tion," Rene replies. "I call it a monaural panyand its stethoscope in 1961. scopes with top marketing efforts." stethoscope." Unlike fast-changing computer tech­ The HP 280 is now sold almost exclu­ The chances ofhaving a modern-day nology, the stethoscope has remained sivelyby more than 90 distributors physiCian approach you with a wooden basically the same for years, according throughout the U.S. Manyare medical cylinder in the ear are slim. Today doc­ to Bob King, manufacturingengineer school bookstores or medical-surgical tors use the familiar binaural stetho­ at the Andover Division. "The design supplyhouses. scope-two flexible rubber tubes and mechanical workings ofthe HP 280 One aspect ofHP's instrument that attaching the chest piece to spring­ really haven't changed for manyyears," has helped keep it at the head ofthe connected metal tubes with ear pieces. Bob says. "There has been no need to class is the finish the metal portions On close examination, you might improve its acoustic quality." receive at theWaltham Division. notice that the stethoscope is manu­ Instead, HP is looking for ways to im­ "We thought it (a fine-jewelry finish) factured by Hewlett-Packard. prove the HP 280's durability and com­ couldn't be done," said Gene Fournier, The HP 280 Rappaport-Sprague fort. "We still receive some letters from fabrication section manager. "Butwe stethoscope is the company's lone entry doctors who would like the ear tips to fit managed to accomplish the task in the binaural stethoscope field. Ac­ more comfortably," Bob says. through the fine efforts ofmetal fin­ cording to HP marketing staffengineer While the technology and instrument isherWillie Mitchell." Colleen Janick, the HP 280 is the "Cad­ itselfhave changedlittle in recent The basic steps include polishing the illac" of the stethoscope marketplace. years, the marketingofthe HP 280 has metal, buffing itand coloring itagain Andover Division has R&D responsi­ seen sweepingchanges. after it is plated. Willie knows the steps bility for the HP 280 while Chelmsford Colleen says that before 1980 HP had by heart. He's been doing them 20 (an operation ofthe Medical Products the top end ofthe stethoscope market years. "I've been doing it for so long I Group) markets the product. all to itself. "Specialists and top profes­ think I could do itwith my eyes shut," Laennec's wooden cylinder and the sionals came to us to buy the HP 280," he says. "Theyasked for a jewelry finish HP 280 have the same basic function: she notes. Meanwhile many nurses and and they goUt." M listening to sounds produced within medical students for the most part the body, chiefly in the heart and lungs. chose to buylow-cost. limited-applica­ The ancestry ofthe HP 280 goes back tion stethoscopes.

January-February 1984 21

www.HPARCHIVE.com JOHN YOUNG HP's president describes the company's year-end results and the HP Board's Far East trip.

e've now closed the books on fiscal year 1983, andwe can Wlook back atlastyear's results with some satisfaction, particularly in light ofhow many ofour competitors fared. Our fourth quarterwas a record­ breaking one, with both orders and shipments at all-time highs for HP. This stronglast quarter contributed to total orders of$4.9 billion for the year, up 18 percent from 1982. Shipments grewby 12 percent, and earnings tracked those well with an increase of 13 percent. John Young poses with employees on the front steps of Samsung Electronics-HP's The improvement ofthe U.S. econ­ independent sales operation In Seoul, Korea. omy is reflected in the 27 percent growth in domestic orders. Interna­ This pastyear also included ~ome ef­ derived from this focus. As a result, tionally, the recovery has been slower. forts on costand expense controls. Our we've seen examples everywhere ofdra­ Economic uncertainty, coupled with a costs ofgoods sold increased 12 per­ matically lowered field-failure rates, continued strong dollar and the result­ cent, exactly tracking our sales growth. shortened cycle times, reduced inven­ ant increase ofHP prices outside the Growth in administrative costs was tories and lowered manufacturing U.S., contributed to a more modest 7 just 7 percent, reflecting a restraint in costs. We've used our own distributed percent growth in HP's international hiring and the payofffor the many sys­ information systems effectively to man­ orders. This disparity oforder growth tems we installed to improve productiv­ age our assets and accounts receivable. poses some challenges for us, as we ity in this area. Our productivity-defined as dollars of consider our international character a On the other hand, we made strong sales per employee companywide-has key strength. commitments to our R&D programs shown steady improvement. This trend We believe there are some actions we and our marketing activities. The latter will contribute to our ability to compete can take to better balance oursales and costs grewby 22 percent and included in world markets. value-added activities in other coun­ increased hiring in our field sales force, As a worldwide companycompeting tries. The establishment ofmore facili­ as well as stepped-up advertising. We in worldwide markets, HP has many ties in markets where we participate made these investments with a view to strengths to call upon. I have touched will enable us to create more value lo­ the long term, and I think we are al­ on only some ofthem in this message, cally, particularly in the form ofsoft­ readybeginning to see some positive but there is one asset that is so funda­ ware, and generate exports in some results. Our sparinguse ofassets in a mental that we often forget it. That instances. low-growth year enabled us to add to strength is a worldwide base ofemploy­ Fiscal year 1983 saw good progress in our cash balance, and we ended the ees who are committed to excellence in increasing our international presence. yearwith more than $700 million net all oftheir pursuits. With thisfounda­ It included the establishment ofnew cash on hand. tion, we can continue to build on our manufacturing facilities in England There are two strategic directions strong product lines and customer and Canada, the expansion ofopera­ I would like to note. The first is HP's base. I believe we can look forward to tions in Singapore and France, our in­ response to the evolVing way our cus­ 1984 with some optimism. creased equity position inYokogawa­ tomers use information personally to Hewlett-Packard, the inauguration ofa improve productivitywithin their new plant and Latin American software organizations. The HP 150 touch­ HP BOARD TOURS FAR EAST center in Guadalajara, Mexico, and the screen personal computersignaled a Last September. HP's Board ofDirec­ decision to locate a branch ofHP Labs new thrust into the mainstream mar­ tors held its annual overseas meeting in Bristol, England. ket for business-oriented personal in the People's Republic ofChina, and I All ofHP's productgroups reported computers. The product is offto a thought you might be interested in why increased sales during 1983. Computer strongstart. Our dealer program is de­ we chose that locale. sales growth of 14 percentjustbarely veloping ahead ofschedule, and major The 1983 international meeting,like outpaced instrumentgrowth of 11 per­ software suppliers have signed up to the one in Europe the previous year, cent, although our instrument people adapt their programs to use the demonstrates the fact that HP is a will be qUick to pointout that they led enhancements ofHP Touch. worldwide company. We have opera­ the fourth quarterwith a very strong A second strategic direction has been tions. customers and competitors 31 percentgrowth. Medical and analyt­ ouremphasis on quality as a competi­ throughout the world. One purpose ical products experienced growth rates tive element and the increased produc­ ofourFarEast tourwas to review our of 10 and 5 percent respectively. tivity and cost competitiveness we have operations and opportunities in this

22 MEASURE

www.HPARCHIVE.com rapidlygrowing part ofthe world. NET SALES ($ MILLIONS) nvE-YEAR GROWTH IN NET SALES One ofthe most striking things 6,000 about the FarEast is the consistency with which electronics has been desig­ nated as a strategic industry in each country, with its success deemed vital to overall economic growth. Countries 5,000 are pursuing a variety ofmeasures to promote the success oftheir own elec­ tronics industry, and one goal ofour tourwas to understand the strength of 4,000 the competition we will be facing. A second motive for ourvisit to the Far East was to celebrate the 20th anni­ versary ofourJapanesejointventure, 3,000 Yokogawa-Hewlett-Packard. As you may remember, we recently increased our equity position inYHP, and this will al­ low us to expand its role in ourAsian operations. On a personal note, I was 2,000 pleased to be able to congratulate YHP's employees for receiving the coveted Deming Prize for quality late in 1982. Itwas also instructive for ourdirectors 1,000 to seeJapanese qualityprocedures 1979 1980 1981 1982 firsthand. Ourstay in the People's Republic of Chinaallowed us to view the opportun­ SALES GROW TO $4.7 BILLION IN FY1983 ities presented by this vastand rapidly Hewlett-Packard Company reported $4.710 billion, compared with changing nation. There we have the a 32 percent increase in net earn­ $4.189 billion for fiscal 1982, a 12 unique situation ofhaving a 65-person ings and an 18 percent increase in percent increase. Net earnings were distributorship devoted solely to sales net sales for the fourth quarter ofits $432 million, or$1.69 pershare on and support ofHP products but en­ 1983 fiscal year, which ended Octo­ approXimately 255 million shares of tirelywithin the MinistryofElectron­ ber 31. Sales totaled $1.330 bil­ common stock outstanding, up 13 ics. We had fruitful discussions with lion-the highest level for any quar­ percent from $383 million, or $1.53 members ofthe government, including ter in the company's history. Orders pershare on approximately 251 mil­ a one-hour private audience with Pre­ for the period totaled $1.285 billion, lion shares in 1982. The per share mier Zhao, who will be visiting the U.S. also settinga record. amount for 1982 has been restated in Januaryas PresidentReagan's Net earnings for the fourth quar­ to reflect a two-for-one stock split in guest. The hospitalityextended to us ter amounted to $147 million, equal August 1983. was most gracious and gave us every to 57 cents per share on approxi­ Orders for the year totaled $4.922 opportunity to understand the com­ mately 255 million shares ofcom­ billion, an increase of 18 percent plexityofan underdeveloped country mon stock outstanding. This com­ over orders of$4.180 billion during with a planned economy. pares with netearnings of$111 fiscal 1982. Domestic orders totaled Certainlyour Far East tourand million, or44 cents pershare on $2.901 billion, up 27 percent over directors' meeting in Chinaserved approXimately 251 million shares, lastyear. International orders to reinforce in our minds the global during lastyear's fourth quarter, gained 7 percent, to $2.021 billion. nature ofHP's business. And that (restated to reflect the company's All four business segments con­ is a perspective I would like us all 2-for-l stocksplitinAugust 1983). tributed to the record fourth-quar­ to have as we enter the year ahead. Fourth-quarterorders of$I.285 ter orders. Compared with fourth billion were up 26 percentover or­ quarter 1982, the computer prod­ ders of$1.023 billion during the ucts segment was up 26 percent, fourth quarter of 1982. Domestic or­ electronic test and measurement ders amounted to $789 million, up was up 31 percent, medical elec­ 33 percent from the year-ago quar­ tronic eqUipment was up 6 percent ter, while international orders and analytical instrumentation gained 16 percent to $496 million. was up 16 percent. For the fiscal year, sales totaled

January-February 1984 23

www.HPARCHIVE.com NEWSCLIPS Recaps the newsworthy events, changes and achievements within HP.

FOURTH QUARTER who relocates thisJanuary to start pherals Bristol Operation. Mike Matson Hewlett-Packard ended FY83 in fine up the activity in temporary quarters to the Microwave Semiconductor Divi­ style. with a 32 percent increase in net sharedwith the ComputerPeripherals sion. CaseyCornett to the Manufactur­ earnings andan 18 percent increase in BristolOperation. Chuck1)rler will suc­ ingTest Division. Wolfgang Flenderto net sales for the fourth quarter. Sales ceed Hammondas director ofthe Physi­ the B6blingen EngineeringOperation. totaled$1.330billion-the highest cal Research Center.... Two new labs level for anyquarter in the company's have been createdwithin HPL's Com­ history. For full details and a report on puterResearch Center. Ira Goldstein NEW PRODUCTS year-end results. see page 23 ofthis heads theApplicationTechnology Lab­ The new Control/IOOO industrial auto­ mation system from the Data Systems issue. oratory. while Erich Neuhold directs the Information Management Division adds the high-performance Laboratory. HP 1000Model A600 computerand a CHART CHANGES new software package to the HP 2250 Two operations ofthe former Optoelec­ measurementand control process tronics Division have been elevated to LEASING CHANGES from the Loveland Instrument Divi­ division status. replacing the original Increasingcustomer interest in leasing sion....The HP 41CX calculatorfrom OED. The former Visible ProductsOp­ HP eqUipment has led to formation of the Portable Computer Division is eration now takes the OED name. with two new entities. The Financingand billed as the most powerful advanced Mike Cowley as general manager. Rick Remarketing Division within BDG con­ calculator on the market, with clock Kniss is GM ofthe Optical Communica­ solidates marketingand admin for all and calendar functions. text-file edit­ tion Division (formerly the Interface leasingand for resale ofHP computers. ing and extended memory. Suggested Products Operation)....In the Business GM is Don Schmickrath. Also new is U.S. list price is $325....From the Lake Development Group. the former Busi­ the Hewlett-Packard Finance Company. Stevens Instrument Division: the HP ness Development Centerhas been in­ a wholly owned subsidiarywhich 3577A network analyzerwhich offers tegrated into theApplication Marketing serves as the intermediaryborroWing high accuracyand resolution over the Division (AMD) and Systems Marketing funds to finance customer leasing ofHP 5 Hz to 200-MHz frequency range. and Center (SMC). Joe Schoendorfbecomes products. Itwill manage its own portfo­ the versatile. fast HP 3561Adynamic­ GM ofthe latter. with Ed Hayes moving lio. Manager isJoe Barr. signal analyzer....Vancouver Division to GM ofAMD. Newly added to the Busi­ has announced four new printers in ness Development Group is the Engi­ NEW HATS the HP 2930 family. Theyhave im­ neering ProductivityDivision. formerly Bob Rogers became region manager for proved print quality at a decrease in part ofthe ComputerProducts Group. the Midwest Sales Region on Janu- price ofas much as 50 percent. ...A trio (See "Leasing~ on this page for other ary 1....Ernesto Kolster is GM ofHP ofnew industrial terminals (HP 3092A BDG news.)....BobWayman has been Venezuela....Max Fallet has trans­ and 3093Aand HP 3981A) from the named CorporateControllersucceed­ ferred from B6blingen to Palo Alto as Grenoble Networks Operation are in ingJerryCarlson. who has taken a managerofCorporate distribution. sealed. rugged packages for use in leave ofabsence....Effective November Roger Grossel hasjoined HP as export harsh industrial environments....A 1. HP SouthAfrica shifted from Inter­ administration managerinWashing­ low-priced. compact Speech Output continental to Europe's South East ton. D. C....Bill Murphy is now Per­ Module from the Roseville Networks Di­ Region. sonal ComputerGroup marketing vision canbe used with an HP 1000or manager. with Srini Nageshwar as HP 3000. Ithas a library ofmore than HP LABS ABROAD retail marketing managerandAlan 1.700words and sounds....The Per­ HP is establishing in Stoke Gifford. Nonnenbergas national account mar­ sonalSoftware DiVision has developed England. the first branch ofHP Labs to keting manager in that organization. a VisiCalc'" program which runs onall belocated outside PaloAlto. Directorof ...Other new marketing manager roles: HP3000s. the new centerwill be Don Hammond. Derek Smorthitto the ComputerPeri- ® VIsICalc Is a U.S. registered trademark oj VIsICorp.

MOVED LATELY? CHANGE OF ADDRESS SHOULD BE REPORTED TO YOUR PERSONNEL DEPARTMENT. "Ii;;' HEWLETT ~I:. PACKARD Bulk Rate POBox 10301 U.S. Postage Palo Alto. California 94303-0890 Paid IF UNDELIVERED. RETURN TO SENDER. Hewlett-Packard RETURN POSTAGE GUARANTEED. Company ADDRESS CORRECTION REQUESTED.

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