UNDERSTANDING LATERAL THINKING

Through Case Study

By: Abhisek Khatua

HEWLETT–PACKARD CASE STUDY

In the heart of chaos…

Strategic Business Planning SUCCESS!

@Source: www.EdwarddeBono.com

INTRODUCTION

HP one of the Largest Organisation of the World.

Leading Global Provider of Products, Technologies, Solutions and Services to consumers and Business.

On May 2002, Merger of HP and Compaq Computer Corporation was announced by CEO Carly Fiorina.

This was the Largest Technology Fusion in the History (at that time-valued $25 Billion).

Employees

1,40,000Curren

cies

40 Countries

160

Michael Dell CEO of Dell Computer famously called it “The Dumbest Deal of The Decade”

THE PROBLEM

Merger was done with out behind focus on Clienteles.

Tremendous Opportunity was created along with lot of Chaos.

Merger leads to numerous layoff of 15,000 employees : causing

Morale Problem.

Poor Group Dynamics, Lot of Power Plays interfering with

Performance.

Culture of HP based on Consensus.

Culture of Compaq based on Rapid Decision Making.

Bitter Infighting and Loosing Good Personnel.

• HP

• Compaq

Corporate Goals

• Corporate Cultures

• Morale Problems

Crushing

• Not an Easy Task

• Low Performance

Team Work

ANALYSIS

To deal with Problems, various teams within the company were asked to create:

Strategic Plans in line with HP’s Corporate Goals.

Organised Planned Meetings for Strategic Plans Discussion.

Presentation of Business Plan.

Some Groups (majorly Compaq Personnel) were prevented to move forward in these meetings.

Struggling with Team Cohesion.

Overall objectives were suffering.

Team “Process and Quality Management Network Storage” was having a hard time to draft its own

strategy.

THE SOLUTION

From HP Jon Albregts

(Organiser of Strategic Development Meeting)

Mike Sproul

(De Bono Coach)Mapped out a Solid Plan for the Meeting

Step: 1

Team informed about Pre-Meeting Work via E-mail.

Framework the overall Group

Asked to Present only White Hats Information about the Commercial Plan

Using Six Thinking Hats

White Hat thinking

focuses on data, facts,

information known or

needed.

THE SOLUTION CONTD.

Step: 2

Following the Meeting group used Yellow Hats and Black Hats to analyse each initiative.

Step: 3

Engaged in Head-to-Head Rational Session, used Red Hats.

Step: 4

Identification of next steps for Implementing the Plans, used Blue Hats.

Black Hat thinking

focuses on

difficulties,

potential problems.

Why something

may not work.

Yellow Hat

thinking focuses

on values and

benefits. Why

something may

work.

Red Hat thinking

focuses on feelings,

hunches, gut instinct,

and intuition.

Blue Hat thinking

focuses on manage the

thinking process, focus,

next steps, action plans.

THE RESULTS

Each Meeting took only 25 Minutes rather than unproductive multiple Business Hours.

Arguments, Debates, and Frustrations were reduced within and outside the Meeting Room.

Better Insights of Team came into the Picture of Strategy Formulation.

Improved Group Dynamics

Lateral Thinking is now Part of Process Quality Improvement Process.

Improved their Performance in Customer Service for both Businesses.

From the Dumbest Merger to Successful Merger.

Senior Management of HP : “This was the best team building activity we have ever gone through!”

CONCLUSION

Rapid Decision Making and with everyone’s participation and Satisfaction.

Complex Problems were handled with a Structured Thinking Format which is far different from traditional

approach.

Better Cross Cultural Interaction.

From :In-Fight Activity” to “Do Activity Impact”

Collaborative Thinking Reduces Conflicts Enhances Creativity Promotes Innovation Improves

Confidence Team Members

REFERENCES

• www.resoucesunlimited.com

• www.deBonoConsulting.com

• www.businessweek.com

• www.Wikipedia.com

THANK YOU