Case Incident 1

The Rise and Fall of Carly Fiorina

Syndicate 4
29318019 - Widyana Lim
29318077 - Annisrakhma S Kuswan
29318084 - Abdurahman Syarif Agustiawan
29318085 - Natashia Dwiyanita H Sitorus
29318090 - Rizki Amalia
29318144 - Dimas Radityo Satrio Nugroho
29318102 - Mokhamad Zafar Nur Hakim
Question 1: What do you think about strategic
intent HP bought Compaq?
The initial intention of this strategy was to make
bigger revenue for HP, but not the profit eventually.

Therefore, was not quite fit and opposed by most

shareholders, mainly because of two big issues:

- Overlapping product lines with what HP currently

have
- Low-margin PC business, in which IBM, closest
competitor, want to exit anyway
Question 2: Why Carly was perceived fail?
There are some reasons why Carly was
perceived fail:
- Poor execution, only better at creating and selling
her vision than at running day-to-day operations
- Lack of compassion: rarely mixed with employees
and hired a bodyguard, expected to be treated not
like everyone else but as the CEO of a major
corporation
- Lack of humility: personal branding, promoting
herself more than HP
- Lack of integrity: overpromised, blame the
company's culture and other management rather
than to take personal responsibility
- Tried to change HP’s culture to be more top-down,
management-led culture
Question 3: What did you suggest her to do at
that time?
As her friend, we will suggest Carly to:
- Related to compassion: to be more-humble to her people
As we know her to be a dominant and aggressive leader, she needs to be more
"down to earth" and not put significant distance between herself and the
workforce. She needs to listen to her people more and making decision based on
what people need also.

- Related to humility also execution point-of view: don’t too much focus on stock-
price priorities, like increasing earnings and stock price, but back to value of HR
in culture HP, such as respect, trust, and cooperation.

- Related to integrity: to be more responsible on her decision and not

overpromising to the shareholders and other executives. she need to make a
decision based on logic and data. when her plan failed to deliver the result, she
need to make evaluation and make improvement not blaming others