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Unformatted text preview: History As most people who live in the Silicon Valley are aware, Hewlett Packard was formed by two Stanford University classmates; Bill Hewlett and Dave Packard, in 1939. The companys first product was built in a Palo Alto garage, which happens to be a historical landmark. The companys first product was an audio oscillator; purchased by Walt Disney Studios to test a sound system for their movie Fantasia. Since its inception, Hewlett Packard as a company has focused on developing and producing breakthrough technologies. From pioneering in the field of microwave signal generators to setting the new standard for world time via their atomic clock, it is evident that the companys success strategies revolve around successful research and development. Technologies apart, Bill Hewlett and Dave Packard were also innovators in the management field. One of the well recognized aspects of HP culture used to be that an employee at Hewlett Packard generally was an employee for life. The dedication to its employees is apparent from Mr. Hewlett and Mr. Packards decision to hand employee bonuses. Christmas bonuses and adopt production bonuses laid the foundation for the companys profit sharing program. As HP grows, Bill Hewlett and Dave Packard create a management style that forms the basis of HP's famously open corporate culture and influences how scores of later technology companies will do business. Dave practices a management technique eventually dubbed "management by walking around" which is marked by personal involvement, good listening skills and the recognition that "everyone in an organization wants to do a good job. As managers, Bill Hewlett and Dave Packard ran the company with what we now know as a management by objective style; clearly communicating the companys objectives and allowing employees the flexibility to achieve them in ways that they determine are best. In the 1940s, the start of World War II, the company won recognition and acceptance from many engineers and scientists. This recognition started to generate U.S. government orders for electronic instruments from HP; allowing the founders to expand out of the garage they started in, to buildings of their own. Around this period, Hewlett Packards yearly revenues totaled $106,459. Keeping in line with the government contracts they had, HP entered the microwave field with signal generators and a radar jamming device for the Naval Research Laboratory, and was a field that HP continued after the war. Hewlett Packard became the acknowledged leader in signal generators. It was around this time, specifically on August 18 th 1947, that Hewlett Packard incorporated. Interestingly, until this point with all their success, Hewlett Packard operated as a partnership; however, the incorporation set the company up for long term growth and future success....
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This note was uploaded on 09/08/2010 for the course BUS 127B at San Jose State University .