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culturalduediligencestudywelcomeagenda:•presentationoffindings•q&asessionculturalduediligencestudypresentationoffindingsculturalduediligencestudydatacollectedfromaroundtheworldinbothcompanies:•127individualexecutiveinterviews•138focusgroupsspanning1,500managersandindividualcontributorsin22countriescongruencemodeloutputinputenvironmentresourceshistorystrategysystemunitindividualworkpeopleformalorganizationinformalorganizationculturalduediligencestudy1.comparingandcontrastingpre-mergehpandcompaq2.definitions•similarities-thingsthatthepeopleineachcompanyperceivedaboutthemselvesthatmatchedtheothercompany•differences-thingsthatthepeopleineachcompanyperceivedaboutthemselvesthatwereatoddswiththeothercompany•uniquecommentary-thingsthatpeopleineachcompanyexpressedveryoftenwhichthoseintheothercompanytalkedmuchlessabout3.thefindingsreflectperceptionscongruencemodeloutputinputenvironmentresourceshistorystrategysystemunitindividualworkpeopleformalorganizationinformalorganization6inputhponhpsimilarities•proudaboutHPlegacy•industryconsolidating•disadvantagedinsupplychainandoverheadcosts•goodproductsuniquecommentary•prideinsuccesslinkedtoinnovation•technical/engineeringheritage•goodreputationwithcustomers•powerhistoricallywiththebusinessandthebackendcompaqoncompaqsimilarities•strongbrand,productsandservices•industryconsolidating•disadvantagedinsupplychainandoverheadcosts•goodproductsuniquecommentary•historicallyfast,nimble,andabletoexecute•traditionallyshort-termfocused•fastgrowththroughnewbusinessmodel•redefinedcomputinglandscapecongruencemodeloutputinputenvironmentresourceshistorystrategysystemunitindividualworkpeopleformalorganizationinformalorganization8strategyhponhpsimilarities•top-downstrategy;mid-managementnotinvolved•needforplanningandexecutionprocess•differences•strategyislong-termorienteduniquecommentary•strategyincreasinglyunclearasyougodowntheorganization•strategyhastobetranslatedintosomethingconcretecompaqoncompaqsimilarities•strategycomesthroughatop-downprocess•little/nostrategicprocessdifferences•susceptibletofrequentchangesindirection•customerfocusedwithashort-termorientationtowardthemarket;interfereswithinvesting/buildingforthefutureuniquecommentary•tendencytobeinfluencedmorebymajorcustomeraccountsthantechnologicaladvancementscongruencemodeloutputinputenvironmentresourceshistorystrategysystemunitindividualworkpeopleformalorganizationinformalorganization10workhponhpdifferences•respectforprocess•strongplanningandfinancialprocesses•workprocessisorganizationallybased,verticallystrong,workswelluniquecommentary•autonomyinmanagingone’sownworkisthenorm;accountabilityatindividuallevel•uppermanagementdoesnotseemtobeheldaccountableinthesamewayasothers•poorcross-functionalaccountabilitiesandownershipofworkcompaqoncompaqdifferences•processseenasbureaucracy,aversiontoprocesses•lackofclear,disciplinedprocesses•workprocess:swatteamsuniquecommentary•technologyisgreat•informationsystemsarenotintegrated•multitaskingisanorm•work-lifebalanceisnotachievedcongruencemodeloutputinputenvironmentresourceshistorystrategysystemunitindividualworkpeopleformalorganizationinformalorganization12peoplehponhpsimilarities•lowcredibilityinleadershipdifferences•leadershipfocusedonrelationships(howthingsgetdone)uniquecommentary•multicultural,diverse,dedicatedworkforce•team-oriented•losingthe“familyfeeling”•lowerlevelsofmanagementareinformal;topmanagementismoreformalandremoved•recentchangesledtolowmoralecompaqoncompaqsimilarities•lowcredibilityinleadershipdifferences•leadershipachievement-oriented,ruggedindividualists(whatgetsdone)uniquecommentary•peoplearebright,committed,andworkhard,longhours•goodinterpersonalrelationships•learninghappensonthejob•insufficientinvestmentintraininganddevelopment•peopledonotfeelempowered,exceptinfieldcongruencemodeloutputinputenvironmentresourceshistorystrategysystemunitindividualworkpeopleformalorganizationinformalorganization14formalorganizationhponhpsimilarities•goalschangetoooften;theyareunclear,executionnotenforced•noconsequencesfornotmeetingobjectives;performancemetricsunclearorabsent,differacross“silos”•front-end/back-endstructureexacerbatedproblemswithaccountability•hpishorizontallychallenged•morepowermovingtothefront-endorganization•hpisbecomingmorecentralizeddifferences•nocommonprocessfordecisionmaking;verytop-down,slow,longdecisioncycletimes;butthoughtfulandhighinvolvement•generalperceptionthatdecisionsarerarelymade,buttendtostickoncemadecompaqoncompaqsimilarities•goalschangefrequentlyandnotsynchronizedbetweenfront-endandback-endorganizations•peoplearenotheldaccountable;structureandmeasurementsystemscloudaccountability•strongmatrixmanagementleadingtofuzzylinesofaccountabilities•performancemanagementinconsistent,generallypoorplanningandcontrol•cross-organizationalcollaborationdifficult•countrymanagersarekings•manythingsareverycentralizeddifferences•decisionsmadequickly•alotof“checkingin”tomakeadecision,iterativedecisions,top-downcongruencemodeloutputinputenvironmentresourceshistorystrategysystemunitindiv