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HP to cut 25-30k jobs

bbc.com

31–40 of 319 posts

Re: HP to cut 25-30k jobs

#31
post #8

My father is a field-service engineer for HP in Midwest (based out of Minneapolis, but he has calls all over from Fargo, ND to Mpls, MN to Madison, WI). He is _the_ go-to for their biggest, most senior, most mission-critical clients. He put together UMN's Alpha setup, is the only guy that USPS will call for help, MNSCU, Best Buy, UHG... basically, anyone with an HP setup (server or printer) that's a Fortune 1000 (and…

A job working for a hardware vendor like HP doing local area field support? That will probably be impossible to find.

I think the trick is to find a different (yet related) role with a company that is expanding rather than contracting their business.

Datacenter tech springs to my mind -- a fair number of tech companies have midwest sites (mostly Chicago, sometimes Minneapolis or Nebraska or elsewhere) that don't have local techs. Issues are often handled by the east coast team flying out, which is less than ideal. Someone with that many years of hardware experience is pretty hard to find for those types of roles.

Re: HP to cut 25-30k jobs

#32
Yesterday I picked up a rental car. I wanted Cheri listed as a driver. I emailed the photo I took of her driver license before I left the house to the person at the counter. All using my phone. I didn't need a scanner or a printer or ink.

I take documents with me using my phone. The printer business ain't like it was.

Re: HP to cut 25-30k jobs

#33
post #4

HP's new business model for the last 2 years : * cut costs (mostly by disabling essential business functions) * buy back stock using proceeds The result: https://www.google.com/finance?chdnp=1&chdd=1&chds=1&chdv=1&... The person in Charge : Meg Whitman. In 2008, she was cited by The New York Times as among the women most likely to become the first female President of the United States. Because what "worked" for HP, w…

Doing the math on this, they apparently believe that each one of those people is costing the company $108k per year, net. Given that HP's revenue per employee is ~$350k, I find those numbers simply unbelievable.

And let's suppose for a second that HP is somehow right. How did they just notice that 10% of their employees are doing something totally worthless? On top of the 55,000 employees that they laid off in 2012? I don't understand how this isn't an admission of total management incompetence.

There's also the classic MBA mistake of seeing employees as expenses rather than assets. HP has been investing in these people for years. What a waste to just fire them all. And this is surely damaging another valuable asset, organizational morale. That they couldn't figure out a single valuable thing to do with those assets is just sad.

Re: HP to cut 25-30k jobs

#34
post #30
post #23

Earlier quoted context omitted.

Your dad needs to think about the next best 5 guys, and how to pick them up for cheap when the layoffs happen. At his age striking out on his own will seem absolutely terrifying. Work on him for a few months. He must have built up some serious contacts over the years. His pitch is straightforward. HP can't actually support their products anymore, they don't have the staff. He knows the hardware inside and out. Sell s…

This sounds like a great idea, but I don't know if he's such an entrepreneur or risk-taker. Some people are, some people aren't. It's a natural thing. I'm not sure of the papers he's signed (non-competes...), or the contracts that HP has with their customers (there must be some), but... he could definitely "get the band together" and pull off such a feat. Again, I think this goes back to the contracts he had. He's on…

The vast majority of people who are great aren't great because they want to be. they don't have a choice, they need to be. He's got some time, he can figure it out. Maybe partner with those friends. Sharing the load is incredibly motivating.

At least get him to take a long look at those contracts. Heck, he might be released from them on severance.

Talk to him about it. No matter what happens, it's going to be a rough time for him. If he feels safer going and looking for work, good for him, there's no judgement. But you make it sound like he really needs to take care of his family. Just keep this option in mind. Time is on your side, for now.

Re: HP to cut 25-30k jobs

#35

Yesterday I picked up a rental car. I wanted Cheri listed as a driver. I emailed the photo I took of her driver license before I left the house to the person at the counter. All using my phone. I didn't need a scanner or a printer or ink. I take documents with me using my phone. The printer business ain't like it was.

Perhaps you missed this in the article, but these layoffs are in the Enterprise division. The printer business is separate.

Re: HP to cut 25-30k jobs

#36
post #34
post #30

Earlier quoted context omitted.

This sounds like a great idea, but I don't know if he's such an entrepreneur or risk-taker. Some people are, some people aren't. It's a natural thing. I'm not sure of the papers he's signed (non-competes...), or the contracts that HP has with their customers (there must be some), but... he could definitely "get the band together" and pull off such a feat. Again, I think this goes back to the contracts he had. He's on…

The vast majority of people who are great aren't great because they want to be. they don't have a choice, they need to be. He's got some time, he can figure it out. Maybe partner with those friends. Sharing the load is incredibly motivating. At least get him to take a long look at those contracts. Heck, he might be released from them on severance. Talk to him about it. No matter what happens, it's going to be a rough…

Thanks, I'll be sure to echo this to him.

Re: HP to cut 25-30k jobs

#37
What do you all think a company like HP should do when they (finally) realize that they're overstaffed by a big number like 20%, 30% or 50%?

One thing I realized working for a huge company and comparing that with my time at their much smaller competitor was that organizations in huge companies become hyperspecialized. This is great during the good times, because everyone is able to squeeze out that last 5% of performance (or whatever other metric they're optimizing for), and this combined effort allows them to keep their lead over the competitor.

But it's terrible during bad times because of the overstaffing. And firing people just makes things worse because the company loses important parts of its organizational memory. Because of the hyperspecialization, no single person/organization knows how to do all the things that need to be done to get the product out the door. And if you fire 10% of your workforce, you're going to forget 10% of the stuff you needed to know to build your products. In fact, you probably lose much more than 10% because people who are actually good see the writing on the wall and leave, taking a disproportional amount of the organizational knowhow with them.

I feel like these companies get caught in a death spiral. They can't do things the old way because they don't know how to any more, and they can't do it the way their competitors are doing it either because they never knew how to do that! So they just flounder along for many years slowly becoming less and less relevant. They solution is to luck into a completely different business model that somehow ends up working a la IBM in the 90s. But how realistic is that?

Re: HP to cut 25-30k jobs

#38
post #7

> The tech company has struggled over the last decade to keep up with changing demands as customers move away from desktop computers. Maybe, but laptop or desktop, HP has been always synonymous with crappy quality and design - among the worst I have ever seen. I just can't wait for them to stop making PCs so that we can get at least half-decent laptops from other manufacturers.

Curiously, they make decent servers with a decent build quality (or used to, at least)

Re: HP to cut 25-30k jobs

#39
post #7

> The tech company has struggled over the last decade to keep up with changing demands as customers move away from desktop computers. Maybe, but laptop or desktop, HP has been always synonymous with crappy quality and design - among the worst I have ever seen. I just can't wait for them to stop making PCs so that we can get at least half-decent laptops from other manufacturers.

Not really. I had several HP Kayak workstations; they were rock solid and built like tanks. A bunch of our servers were HP, and they were also quite solid. This was in the early 2000's, though.

I haven't seen a decent HP product in a long, long time. Their printers are simply average, and nothing like they used to be.

Re: HP to cut 25-30k jobs

#40

It's sad that HP+Compaq turned into this zombie company

HP/Compaq had the trained staff to do what apple and google have done. But management has been busy busy cutting their way to profitability. Cutting staff to make next years numbers look good is opiate of the MBA.
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