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2012

PROJECT REPORT
ON

K.C.L. I.M.T JALANDHAR (Pb.)

Submitted to: ANAND NAYYAR ASSISTANT PROFESSOR

Submitted BY: HARPAL SINGH MASSAN ROLL No. 3055

HP AT A GLANCE
Fortune Rank (U.S.) Fortune Rank (Global)

11 28

Hewlett Packard (HP) the popular computer


manufacturing giant is that the company is actually quite old by American standards. Its influence spans over nearly six decades. With the companys humble beginnings, HP has grown into a comp uter empire influencing several countries and industries over the course of their existence. In fact, many other popular computer companies and competitors have developed innovative technology based on patents pioneered by HP decades ago. Incredible things are happening around the world today with the help of HP technology. A patient in Ghana can send a simple text message, free of charge, to make sure the medication shes about to take is not counterfeit. Manufacturers and officials in Canada are using an HP based cloud solution to communicate virtually instantly when a recall is needed so that harmful goods are removed from store shelves as quickly as possible. And partners, colleagues, and clients working remotely acros s the globe are connecting face-to-face, in real time.

324,600
Employees

$126
BILLION USD In revenue for FY10

These are just a few of the ways that HP is working to empower people, businesses, and governments. HP uses technology to ensure seamless, secure connections between people and information delivered in the right Countries place, at the right time. Helping to improve the way people live, the way businesses operate, and the way the worldwide world works through products, solutions, and services that transform data into value, bytes into experiences, and noise into knowledge. And because of unique size, scope, and scale, HP get better information into the hands of more people all across the globe.

Operates in approximately

170

TURNING RESEARCH INTO REALITY


HP was co-founded in 1935 by Dave Packard and Bill Hewlett, two Stanford University graduates with advanced degrees in Electrical Engineering. Like many tech companies, HP actually started in a garage just outside of Palo Alto, CA. The company was founded during a fellowship with Stanford professor, Frederick Terman. He was also the initial investor for HP. In 1939, Terman gave the new technology company $538. In naming the company, Packard and Hewlett tossed a coin as to whether the company would be called Hewlett-Packard or PackardHewlett. The coin toss resulted in the companys current nomenclature, Hewlett Packard. HP became a corporation by 1947, and by 1957 HP was a publicly traded company.

(Dave Packard and Bill Hewlett)

The Milestone Created by HEWLETT and PACKARD


In the early years, HP lacked a product focus. In fact, the company began by designing and manufacturing a wide range of products including but not limited to signal generators, oscilloscopes, volt meters and electronic thermometers. Shortly after this early period, HP would design and manufacture the worlds first business computers, the HP 2100, HP 1000, HP 9800 and the HP 250 microcomputers. From here, HP would foun d what is now called Silicon Valley in the bay area of Northern California just outside of San Francisco. From then on, HP would revolutionize the computing industry with the emergence of desktop, laptop and mobile computing technology that would change fo rever the business approach to document management. Its influence spans over nearly six decades. With the companys humble beginnings, HP has grown into a computer empire influencing several countries and industries over the course of their existence.

(Companies First Garage)

Corporate Objectives
It

is necessary that people work together in unison toward common objectives and avoid working at cross purposes at all levels if the ultimate in efficiency and achievement is to be obtained. Dave Packard HP's Corporate Objectives have guided the company in the conduct of its business since 1957, when first written by co-founders Bill Hewlett and Dave Packard.
Customer Loyalty

To provide products, services and solutions of the highest quality and deliver more value to our customers that earns their respect and loyalty.

Our continued success is dependent on increasing the loyalty of our customers. Listening attentively to customers to truly understands their needs, then delivering solutions that translate into customer success is essential to earn customer loyalty.

Profit

To achieve sufficient profit to finance our company growth, create value for our shareholders and provide the resources we need to achieve our other corporate objectives.

Profit is the responsibility of all. Balance of long-term and short-term objectives is key to profitability. Profit allows us to reinvest in new and emerging business opportunities. Profit enables the achievement of our corporate objectives.

Market leadership

To grow by continually providing useful and significant products, services and solutions to markets we already serveand to expand into new areas that build on our technologies, competencies and customer interests.

To be average in the marketplace is not good enough. Our technologies, competencies and customer interests.

Growth

To view change in the market as an opportunity to grow; to use our profits and our ability to develop and produce innovative products, services and solutions that satisfy emerging customer needs.

Growth comes from taking smart risks, based on the state of the industrythat requires both a conviction in studying the trends, but also in inducing change in our industry. Size and diversity of businesses gives us ability to weather economic cycles and turn them to our favor.

Employee commitment

To help HP employees share in the company's success that they make possible; to provide people with employment opportunities based on performance; to create with them a safe, exciting and inclusive work environment that values their diversity and recognizes individual contributions; and to help them gain a sense of satisfaction and accomplishment from their work.

HP's performance starts with motivated employees; their loyalty is key. Everyone has something to contribute: It's not about title, level or tenure. An exciting, stimulating work environment is critical to invention. A diverse workforce gives us a competitive advantage. Employees are responsible for lifelong learning.

Hewlett-Packard Mission Statement: "To provide products, services and solutions of the highest quality and deliver more value to our customers that earns their respect and loyalty." Hewlett-Packard Vision Statement: "To view change in the market as an opportunity to grow; to use our profits and our ability to develop and produce innovative products, services and solutions that satisfy emerging customer needs."

List of Hewlett-Packard Executive Leadership


This List of Hewlett-Packard executive leadership includes CEOs and other notable leaders of Hewlett-Packard.

Co-founder: David Packard (President: 1947; Chairman: 19641969; Chairman 1971 1993) Co-founder: William Hewlett (Vice President: 1947; Executive Vice President: 1957; President: 1964; CEO: 1969; Chairman of the Executive Committee 1978; Vice Chairman 19831987) CEO: John A. Young (1978October 31, 1992) CEO: Lewis Platt (November 1, 1992July 18, 1999; Chairman 1993July 18, 1999) Chairman: Richard Hackborn (January, 2000September 22, 2000; Lead Independent Director September 22, 2006) CEO: Carly Fiorina (July 19, 1999February 9, 2005; Chairwoman September 22, 2000 February 9, 2005) President: Michael Capellas (May 3, 2002 to November 12, 2002) Interim CEO: Robert Wayman (February 9, 2005March 28, 2005) Chairwoman: Patricia C. Dunn (February 9, 2005September 22, 2006). President and CEO: Mark Hurd (CEO: April 1, 2005August 6, 2010; Chairman: September 22, 2006August 6, 2010) Interim CEO: Cathie Lesjak (August 6, 2010September 30, 2010) President and CEO: Lo Apotheker (September 30, 2010September 22, 2011) President and CEO: Meg Whitman (September 22, 2011present) Executive Chairman: Raymond J. Lane (September 22, 2011present)

Goals for 2012


This is a partial list of HP s global citizenship goals. Additional goals in several categories, as well as progress toward goals for 2012, are for year noted. Human rights and labor practices Supply Chain Responsibility

2009: Expand supply chain social and environmental responsibility (SE R) program beyond materials, components, and manufacturing and distribution suppliers to engage and assess 50 high-priority goods and services suppliers 2012: Develop supply chain SE R programs that HP suppliers representing 75% of materials, components, and manufacturing and distribution spend will use with their suppliers.
Environmental sustainability

Climate and energy (operations and products) 2010: HP will reduce the combined energy consumption and associated GHG emissions of HP operations and products to 25% below 2005 levels by achieving the following: Operations: HP will reduce energy consumption and the resulting GHG emissions from HPowned and HP-leased facilities worldwide to 16% below 2005 levels Products: HP will reduce the energy consumption of HP products17 and associated GHG emissions through specific goals for representative product categories, including the following goals for HP s high-volume printer, server, and desktop and notebook PC families: - B y 2011, HP will improve the overall energy efficiency of HP ink and laser printing products by 40%, relative to 2005 - B y 2010, improve energy efficiency for high-volume HP server families by 50%, relative to 2005 - B y 2010, reduce the energy consumption of high-volume HP desktop and notebook PC families by 25%, relative to 2005 2012: Double HP purchases of renewable energy from 4% in 2008 to 8% Sustainable Design 2009: 100% of HP s consumer photo paper will derive from sustainable -forest-certified suppliers 2010: Remove all mercury from HP s entire notebook line by the end of 2010 2010: Triple the amount of recycled materials used in our inkjet printers, relative to 2007

HP operations 2009: Continue to divert at least 87% of solid (nonhazardous) waste from landfill globally through the end of 2009 2010: Reduce water consumption by 5%, compared with 2007 Product reuse and recycling 2010: Recycle 2 billion pounds (900,000 tonnes) of electronic products and supplies by the end of 2010 (since 1987) 2010: Reuse 450 million pounds (200,000 tonnes) of electronic products by the end of 2010 (since 2003) Social Investment 2009: Initiate more than 130 HP Innovations in Education grant-supported projects worldwide that showcase the future of learning. Political engagement In 2011, HP contributed $1,136,447 USD to state and local candidates, political memberships/sponsorships, and ballot measure campaigns in the United States. These contributions aligned with our policy positions and complied with HPs political guidelines, SBC, and applicable laws. U.S. law prohibits corporate contributions to federal political candidates. However, eligible employees can make voluntary donations to the HP Political Action Committee (PAC) and legacy EDS PAC. These are separate legal entities from HP that contribute to campaigns for Democrat and Republican U.S. congressional candidates who share our policy views. In 2011, these PACs contributed a combined $542,200 USD. HP does not make political contributions outside the United States.

HPs vision for a sustainable future in India


Responding to population, resource and climate issues presents unprecedented challenges and opportunities for governments and businesses. As urban infrastructure is replaced or built anew, HP believes information technology will be key to sustainability, fueling growth while decreasing environmental impact. Worldwide, cities are expanding by 60 million people annuallythe equivalent of adding another Paris, Beijing or Cairo every other month putting increasing pressure on natural resources.11 Forecasted population relocations from areas afflicted by natural disasters and resource shortages caused by climate change will further compound the problem.

Reinventing cities for scalability and sustainability As a result, according to Chandrakant Patel, HP fellow and director of HP s Sustainable IT Ecosystem Laboratory, We must create a sustainable model for cities that takes full advantage of the technologies of the Information Age. HP refers to this model as City 2.0. Every aspect of City 2.0from energy, water and waste to buildings and transportation systemswill be designed with the life cycle in mind. HP applies this cradle-to-cradle concept in developing products and services, and envisions scaling this concept to entire cities. Another key will be integrating IT into the fabric of cities to better match supply with demand. Patel describes deploying systems of resource micro-grids, a widespread, interconnected IT network made up of sensors, handheld devices and data centers, to deliver resources according to the ebb and flow of urban needs. These intelligent technologies would ensure precise availability where and when resources are needed, reducing unused surplus and waste Patel . Opportunities for the public sector and enterprises HP foresees helping governments design and adopt City 2.0 infrastructure that would support and stimulate business. Running a city-wide grid of integrated data centers as a utility, for instance, could create large economies of scale. Low-cost energy and IT services would be great catalysts for business, Patel says. According to Prith Banerjee, senior vice president, research and director of HP Labs, public and commercial sectors will be under pressure to streamline operations and minimize costs. Organizations will need to deliver more resources and products with the least energy and carbon footprint, he says. In meeting this challenge, City 2.0 will create tremendous opportunities for responsible innovation and growth. Putting HP s vision to the test HP Labs is using its data center facilities in Bangalore, India, and Palo Alto, California, as a test bed for core aspects of City 2.0. Thousands of sensors in each of these data centers monitor the demand and flow of resources in real-time.HP Labs is exploring opportunities to deliver these solutions on an unprecedented scale. HP has the breadth and depth to provide all aspects of the City 2.0 IT ecosystem, including the billions of service-oriented client devices, thousands of data centers and print factories needed to implement the vision. Patel says. And we have a legacy in measurement, communication, and computation. Now we need to leverage the past to create the future, one where we meet societys needs by right provisioning resources so future generations can have the same quality of life we enjoy today.

Performance in Fiscal Year 2011


Hewlett-Packard Company Income Statement
Oct 11 Revenue Cost of Goods Sold Gross Profit Gross Profit Margin SG&A Expense Depreciation & Amortization Operating Income Operating Margin Non-operating Income Non-operating Expenses Income Before Taxes Income Taxes Net Income After Taxes Continuing Operations Discontinued Operations Total Operations Total Net Income Net Profit Margin Diluted EPS from Total Net Income Dividends per Share 127,245.0 97,529.0 29,716.0 23.4% 13,466.0 1,607.0 9,677.0 7.6% 0.0 (695.0) 8,982.0 1,908.0 7,074.0 7,074.0 -7,074.0 7,074.0 5.6% 3.32 0.40 Oct 10 126,033.0 96,089.0 29,944.0 23.8% 12,585.0 1,484.0 11,479.0 9.1% 0.0 (505.0) 10,974.0 2,213.0 8,761.0 8,761.0 -8,761.0 8,761.0 7% 3.69 0.32 Oct 09 114,552.0 87,524.0 27,028.0 23.6% 11,613.0 1,571.0 10,136.0 8.8% 0.0 (721.0) 9,415.0 1,755.0 7,660.0 7,660.0 -7,660.0 7,660.0 6.7% 3.14 0.32

All amounts in millions of US Dollars except per share amounts.

Hewlett-Packard Company Balance Sheet


Assets Current Assets Cash Net Receivables Inventories Other Current Assets Total Current Assets Net Fixed Assets Other Noncurrent Assets Total Assets Liabilities Current Liabilities Accounts Payable Short-Term Debt Other Current Liabilities Total Current Liabilities Long-Term Debt Other Noncurrent Liabilities Total Liabilities Shareholder's Equity Preferred Stock Equity Common Stock Equity Total Equity Shares Outstanding (thou.) 0.0 38,625.0 38,625.0 1,991,000.0 -40,449.0 40,449.0 2,204,000.0 -40,517.0 40,517.0 2,365,000.0 14,750.0 8,083.0 27,609.0 50,442.0 22,551.0 17,899.0 90,892.0 14,365.0 7,046.0 27,992.0 49,403.0 15,258.0 19,393.0 84,054.0 14,809.0 1,850.0 26,344.0 43,003.0 13,980.0 17,299.0 74,282.0 8,043.0 21,386.0 7,490.0 14,102.0 51,021.0 12,292.0 66,204.0 129,517.0 Oct 11 10,929.0 27,570.0 6,466.0 9,219.0 54,184.0 11,763.0 58,556.0 124,503.0 Oct 10 13,279.0 19,212.0 6,128.0 13,920.0 52,539.0 11,262.0 50,998.0 114,799.0 Oct 09 Oct 11 Oct 10 Oct 09

All amounts in millions of US Dollars except per share amounts.

Hewlett-Packard Company Cash Flow Statement


Oct 11 Net Operating Cash Flow Net Investing Cash Flow Net Financing Cash Flow Net Change in Cash Depreciation & Amortization Capital Expenditures Cash Dividends Paid 12,639 (13,959.0) (1,566.0) (2,886.0) 1,607.0 (4,539.0) (844.0) Oct 10 11,922 (11,359.0) (2,913.0) (2,350.0) 1,484.0 (4,133.0) (771.0) Oct 09 13,379 (3,580.0) (6,673.0) 3,126.0 1,571.0 (3,695.0) (766.0)

All amounts in millions of US Dollars except per share amounts.

REVENUE AS ON 2012

PRODUCTS AND ORGANISATIONAL STRUCTURE


HP has successful lines of printers, scanners, digital cameras, calculators, PDAs, servers, workstation computers, and computers for home and small business use; many of the computers came from the 2002 merger with Compaq. HP today promotes itself as supplying not just hardware and software, but also a full range of services to design, implement, and support IT infrastructure. HP's Imaging and Printing Group (IPG) is "the leading imaging and printing systems provider in the world for printer hardware, printing supplies and scanning devices, providing solutions across customer segments from individual consumers to small and medium businesses to large enterprises."

Products and technology associated with IPG include Inkjet and LaserJet printers, printer/scanner/faxes, Design-jet and Scitex Large Format Printers, Indigo Digital Press, HP Web Jet admin printer management software, HP Output Management suite of software, LightScribe optical recording technology, HP Photosmart digital cameras and photo printers, HP Spam, and Snap fish by HP, a photo sharing and photo products service. On December 23, 2008, HP released i-Print Photo for i-Phone a free downloadable software application that allows the printing of 4" x 6" photos. HP's Personal Systems Group (PSG) claims to be "one of the leading vendors of personal computers ("PCs") in the world based on unit volume shipped and annual revenue." PSG includes business PCs and accessories, consumer PCs and accessories, (HP, Pavilion, Compaq Presario, Voodoo PC), handheld computing (i-PAQ Pocket PC), and digital "connected" entertainment e.g., HP Media-Smart TVs, HP Media-Smart Servers, HP MediaVaults, DVD+RW drives.

HP Enterprise Business (EB) incorporates HP Technology Services, Enterprise Services :an amalgamation of the former EDS, and what was known as HP Services, HP Enterprise Security Services oversees professional services such as network security, information security and information assurance/ compliancy, HP Software Division, and Enterprise Servers, Storage and Networking Group (ESSN). The Enterprise Servers, Storage and Networking Group (ESSN) oversee "back end" products like storage and servers. HP's networking business unit Pro-Curve is responsible for the family of network switches, wireless access points, and routers. They are currently a business unit of ESSN.

HP Software Division is the company's enterprise software unit. For years, HP has produced and marketed its brand of enterprise management software, HP Open View. From September 2005 through 2010, HP purchased a total of 15 software companies between as part of a publicized, deliberate strategy to augment its software offerings for large business customers. HP Software sells three categories of software: IT performance management, IT management software and information management software. HP Software also provides consulting, Software as a service, cloud computing solutions, education and support services.

HP's Office of Strategy and Technology has four main functions: (1) Steering the company's $3.6 billion research and development investment, (2) Fostering the development of the company's global technical community, (3) Leading the company's strategy and corporate development efforts, and (4) Performing worldwide corporate marketing activities.

Under this office is HP Labs, the research arm of HP. Founded in 1966, HP Labs's function is to deliver new technologies and to create business opportunities that go beyond HP's current strategies. An example of recent HP Lab technology includes the Memory spot chip. HP Idea Lab further provides a web forum on early-state innovations to encourage open feedback from consumers and the development community. HP also offers managed services where they provide complete IT-support solutions for other companies and organisations. Some examples of these are: A large activity is HP offering "Professional Support" and desktop "Premier Support" for Microsoft in the EMEA marketplace. This is done from the Leixlip campus near Dublin, Sofia and Israel. Support is offered on the line of Microsoft operation systems, Exchange, SharePoint and some office-applications. But HP also offers outsourced services for companies like Bank of Ireland, some UK banks, the U.S. defense forces, etc.

(Products Of HP)

PROMOTING GLOBAL CITIZENSHIP AND ENVIRONMENTAL RESPONSIBILITY

While HP is driven to transform the way in which we live, work, and connect through technology, equally important is how we conduct business as a global citizen and follow through on our commitment to the environment. We use our size, expertise, and influence to 1help people, businesses, and industries reduce their environmental impact, save money, and fuel sustainable growth. The strategies in place to help optimize resources through more energy-efficient products, reduced materials use in the design of those products, and greater recyclability. HP is working on building intelligent infrastructures that increase responsiveness, inform decision-making, and reduce waste with technologies like Central Nervous System for the Earth (Censes) and the HP Carbon Footprint Calculator. And were driving sustainable transformation through solutions that re-think traditional processes. For example, were replacing carbon-heavy processes with lighter, more efficient alternatives through publishing solutions like HP Mag Cloud and innovations like the HP Handheld sp400 All-in-One, which saves UPS thousands of tons of wasted paper every single year.

HELPING PEOPLE, BUSINESSES, AND GOVERNMENTS TAKE ADVANTAGE OF A BRAND NEW WORLD
Amazing things are happening at HP and around the world because of information technology. Its improving lives; connecting friends, family, and colleagues across continents; advancing medical treatment; and turning emerging economies into economic powerhouses. IT has evolved from a tool for productivity into the tool essential for communication and collaboration and is fast becoming integral to the fabric of our society. HP products, solutions, and services are instrumental in bridging the physical world we know with the digital, information-rich world we want to embrace.

FUELING HUMAN PROGRESS AROUND THE WORLD


Though HP is a U.S.-based company, its reach is undeniably global. We conduct business in approximately 170 countries, creating technology that positively impacts consumers, governments, and businesses worldwide. While broadening access to information like never before, HP technology is also creating opportunities for billions of people. It is behind the next generation of genetic sequencers that will soon help diagnose and treat diseases, and may even prevent them from occurring. Its helping to close the digital divide through services such as HP Site on Mobile that offer millions of people in India access to the Internetmany for the first time using a basic mobile phone. And its accelerating test results, in partnership with the Clinton Health Access Initiative (CHAI), so HIV-positive infants in Africa can get potentially lifesaving treatments as soon as possible.

For many people, technology is a means to an end. For HP customers, that translates into easier and immediate access to the people, information, and entertainment most important to them. So, while were focused on designing powerful, reliable products that enable that access, were also determined to deliver quality experiences that change how people lead their livesat home, at work, and on the go. We do this by putting our customers worlds at their fingertipsliterallythrough our Touch Smart products. We pack our notebook PCs with featureslike HP Cool Sense and Beats Audioto boost comfort and listening pleasure. Through technology, we are redefining whats possibleenabling a new world, where people get connected and stay connected, and where businesses keep up with instant change.

HP AWARDS & HONORS

The Awards and Honors section highlights HP's products, services and solutions that have earned recognition from industry authorities, public organizations and the business and trade press.
Computerworld Recognizes HP as Laureate in Honors Program Date: June 4, 2012 HP Wins Award for Disease Surveillance and Mapping Project Date: May 22, 2012 HP Global Business Services EMEA Wins Two SSON 2012 Excellence Awards Date: May 17, 2012 HP Brazil Wins Second Consecutive Green best Award Date: May 16, 2012 HP ITO Global Delivery Team Wins TSIA STAR Award for Excellence Date: May 9, 2012 HP Technology Services Scores Multiple Wins at TSIA STAR Award Ceremony Date: May 9, 2012 HP Canada Recognized among 50 Best Diversity Employers Date March 19, 2012 HP Wins National Governors Associations Public-Private Partnership Award Date: February 27, 2012 Neelam Dhawan and Geetha Panda Named Top Inspirational Woman Leaders in India Date: February 9, 2012 HP ENVY 14 Spectre Earns CNET Best of CES Award Date: January 23, 2012 HP executives named among Fortunes Most Powerful Women in Business Date: October 3, 2011

The Future of Hewlett Packard


As with many computer hardware companies, there is an intensified emphasis on both green and cloud computing solutions. This means that HP is likely to create and develop more cloudbased solutions for the enterprise market, and move more towards diskless computing. This will allow the company to both cut costs, and remain an innovative force in the global computer hardware solutions market. STRATEGIC BUSINESS UNITS Enterprise storage and servers (ess), Hp services (hps), Software, The personal systems group, The imaging and printing group, Hp financial services Corporate investments Ess, hps and software are structured Beneath a technology solutions group.

Opportunities Weaknesses Threats Apple is a major competitor. Intense competition from other PC manufacturers. Increasing competition on imaging and printing. Slowdown in economic conditions in US, Europe. Internal control issues. Lack of in-house management consulting division. No aggressive investments in R&D compared to historical spending. There are open new markets in the Antarctica sector of the world. The brand reputation of the company and financial statu helps to provide HPQ with infrastructural projects worldwide.

Conclusion
HP is the finest and the most recognized industry present in IT. Company understands and responds to the needs and preferences of the customers. Its main strength is its well developed and professional human resource. Development of various projects delegated to social responsibility and welfare. Its the right place for carrier growth. Hp is picking up well in this fast developing IT sector.

HP and dell are in a dogfight with Hp having just overtaken Dell in total revenues, market share, and financial condition. But Dell still has by far the dominant position in the Internet and phone sales of PCs. Dell computers are now available in Wal-Mart stores and Sams Clubs in a break from their historical absence in retail stores. At HP we have recognized that creating a diverse, inclusive work environment is a journey of continuous renewal. Each step in the process has an important significance to remember as HP move forward into the 21st century. Together the steps create a diversity value chain upon which HP is building winning global workforce and workplace. HP had many accomplishments in continuing journey toward creating a diverse, inclusive workplace. As HP expands efforts to build a culture of inclusion not only in our workplace but also in the marketplaces and communities where HP serves, HP remember the milestones that brought it here. Each has made a difference.

REFERENCES:
www.google.com www.hp.com www.answers.com www.opapers.com www.crn.com www.wsj.com www.investor.reuters.com