Carly Fiorina - The Change Leader
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Case Details:
Case Code : LDEN026
Case Length : 17 Pages
Period : 1999-2003
Pub Date : 2003
Teaching Note :Not Available
Organization : HP
Industry : IT & Computers
Countries : USA
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"She's playing CEO, visionary, and COO, and that's too
hard to do."
- BusinessWeek, February 29, 2001.
Introduction
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In 2002, Carleton S. Fiorina (Fiorina), the Chairman and Chief Executive Officer (CEO) of HP was the only woman CEO to head a Fortune 50 company. Fortune magazine also ranked her as the most powerful woman in business for the sixth consecutive year.
There were several other prominent women CEOs in the US including Anne Mulcahy of Xerox, Patricia Russo of Lucent, and Meg Whitman of eBay, but it was Fiorina who earned the coveted rank. Commenting on Fiorina's leadership, John Chambers, CEO of Cisco Systems, said,
"She's potentially one of the top CEOs of all America."1
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Fiorina 'reinvented' HP and made it more customer-focused. HP's website said,
"Under her leadership, HP has returned to its roots of innovation and
inventiveness and is focused on delivering best total customer experience."2
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However, many of Fiorina's initiatives at HP had been controversial. When she altered HP's
long-cherished culture - 'The HP Way' of management - proposed by the company's founders, she came in for strong criticism from the company's employees and the media. When Fiorina undertook a total reorganization of HP's structure, the costs ran out of control, which led to utter confusion in the company. Another controversial move was to acquire HP's competitor
- Compaq Computer Corporation (Compaq) - at a cost of $ 19 billion, which resulted in one of the biggest proxy fights in corporate history. These moves led a few analysts to doubt Fiorina's managerial capabilities and to wonder aloud if she had the right vision for HP. |
Carly Fiorina - The Change Leader
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