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1、cultural due diligence study,welcome agenda: presentation of findings q mid-management not involved need for planning and execution process differences strategy is long-term oriented unique commentary strategy increasingly unclear as you go down the organization strategy has to be translated into so
2、mething concrete,compaq on compaq similarities strategy comes through a top-down process little/no strategic process differences susceptible to frequent changes in direction customer focused with a short-term orientation toward the market; interferes with investing/building for the future unique com
3、mentary tendency to be influenced more by major customer accounts than technological advancements,congruence model,output,input,environment,resources,history,strategy,system,unit,individual,work,people,formal organization,informal organization,10,work,hp on hp differences respect for process strong
4、planning and financial processes work process is organizationally based, vertically strong, works well unique commentary autonomy in managing ones own work is the norm; accountability at individual level upper management does not seem to be held accountable in the same way as others poor cross-funct
5、ional accountabilities and ownership of work,compaq on compaq differences process seen as bureaucracy, aversion to processes lack of clear, disciplined processes work process: swat teams unique commentary technology is great information systems are not integrated multitasking is a norm work-life bal
6、ance is not achieved,congruence model,output,input,environment,resources,history,strategy,system,unit,individual,work,people,formal organization,informal organization,12,people,hp on hp similarities low credibility in leadership differences leadership focused on relationships (how things get done) u
7、nique commentary multicultural, diverse, dedicated workforce team-oriented losing the “family feeling” lower levels of management are informal; top management is more formal and removed recent changes led to low morale,compaq on compaq similarities low credibility in leadership differences leadershi
8、p achievement-oriented, rugged individualists (what gets done) unique commentary people are bright, committed, and work hard, long hours good interpersonal relationships learning happens on the job insufficient investment in training and development people do not feel empowered, except in field,cong
9、ruence model,output,input,environment,resources,history,strategy,system,unit,individual,work,people,formal organization,informal organization,14,formal organization,hp on hp similarities goals change too often; they are unclear, execution not enforced no consequences for not meeting objectives; perf
10、ormance metrics unclear or absent, differ across “silos” front-end/back-end structure exacerbated problems with accountability hp is horizontally challenged more power moving to the front-end organization hp is becoming more centralized differences no common process for decision making; very top-dow
11、n, slow, long decision cycle times; but thoughtful and high involvement general perception that decisions are rarely made, but tend to stick once made,compaq on compaq similarities goals change frequently and not synchronized between front-end and back-end organizations people are not held accountab
12、le; structure and measurement systems cloud accountability strong matrix management leading to fuzzy lines of accountabilities performance management inconsistent, generally poor planning and control cross-organizational collaboration difficult country managers are kings many things are very central
13、ized differences decisions made quickly a lot of “checking in” to make a decision, iterative decisions, top-down,congruence model,output,input,environment,resources,history,strategy,system,unit,individual,work,people,formal organization,informal organization,16,informal organization,hp on hp as stre
14、ngth similarities strong sense of ethics strong customer-focus (make great products) team culture, have to be part of the group getting results is rewarded, sometimes effort without a result gets rewarded having big new ideas is valued treat people with dignity multiple subcultures differences confl
15、ict avoidance and over-compromise are normal titles not referenced, egalitarian unique commentary “silo mentality” failure deserves a second chance diversity and people are valued,compaq on compaq similarities ethical behavior is enforced strong customer orientation (make what they want) teamwork is
16、 valued highly results/bottom-line focused, sometimes effort without a results gets rewarded openness to good/new ideas dont publicly embarrass people multiple subcultures differences conflict addressed directly/openly, aggressive, brash titles are referenced, abundant, hierarchical unique commentar
17、y initiative, flexibility, “go for it” attitude are valued relaxed/flex work environment; long working hours here and now orientation,concerns about the other company,cultural due diligence study,advice to carly be honest, but be sensitive in what you say,cultural due diligence study,region-specific
18、 findings,20,Comparison of hp with Compaq -North America,Cultural gap differences are statistically significant.,21,Comparison of hp with Compaq -Latin America,Cultural gap differences are statistically significant.,22,Comparison of hp with Compaq -EMEA,Cultural gap differences are statistically sig
19、nificant.,23,Comparison of hp with Compaq -Asia Pacific,Cultural gap differences are statistically significant.,24,Comparison of hp with Compaq -Enterprise wide,Cultural gap differences are statistically significant.,cultural due diligence study,in summary . . . we also heard people say that: both c
20、ompany cultures were in transition before the merger the direction that each culture needed to take was, actually, to adopt the strengths of the other so, if you integrate well, building on each others strengths, the potential for success is great,cultural due diligence study,cultural cornerstones,2
21、7,new hp cultural cornerstones (release 1.0 ),values passion for customers trust and, there were a great many positive characteristics that both companies shared (for example, the emphasis on teamwork) to minimize unproductive conflict moving forward, there are several lessons or implications from t
22、his study for how we work together: focus and build upon our common strengths come to agreement about the appropriate time horizon (long-term vs. short-term) for any business strategy or set of strategies clarify the meaning of terms or language that people are using before making judgments about others - two people may be
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