and what can we do about it?

and what can we do about it?
HP's growing "foreign legion"
What's a Frenchman doing in Idaho? And why is an American
employee in Singapore, a German in Brazil, a Malaysian
in California? Now known as foreign service employees (It seems
the former term "expatriates" had a slightly negative ring),
they're part of a legion of a hundred or so UP people serving outside
their own countries. In some cases they're acquiring specific
experience and training they need back home. But mostly they're
just contributing their skills, as we all do, where they're most needed.
The Magri family: Scott, Diane, Lauren and Jack
George Panos and daughter Lea
George Panos grew up in western
Greece, but lived in Chicago as an adult
and is an American citizen. For the past
several years he's been back in Greece,
as an HP foreign service employee in the
Mediterranean and Middle East sales
headquarters near Athens, and his next
assignment is in the United Kingdom. His
wife Sandy has roots in Southern Indiana
and admits to feeling homesick now and
then. But she's grown accustomed to
Greek life - even tolerant of the goats
that sometimes eat the shrubbery around
their rented suburban house. A diesel au­
tomobile has helped beat the high cost of
fuel in Greece (over two dollars a gallon
for gasoline). And George and Sandy are
proud that their first-grade son reads at
better than third-grade level after attend­
ing an international school.
Such are the rewards and drawbacks
of being assigned to a foreign country.
For HP people and their families, the ex­
patriate experience can be - in varying
degrees - cha[]enging, interesting, thrill­
ing and exasperating. And the change in
lifestyle can range from almost negligible
to something approaching "culture shock."
For Jack Magri and his family, who
just returned to California from France,
Jiving in a French village near Grenoble
for two years was "a fantastic experience."
They tell of the slower pace of life there,
of being accepted warmly by the French
people, and of spending weekends and
holidays motoring through the French
countryside or over into Italy. For them,
coming back to the U.S. was a letdown.
Neal Mack, on the other hand, was
glad to be home after six months. As­
signed to help establish a network of HP
3000 computers for the government of
Iraq, Neal and two other HP engineers
(both named George Moore) shared a
three-bedroom house, with sauna, in
Baghdad. Although their Jiving accommo­
dations were luxurious by local standards,
the climate and culture of the Middle East
are not easy for Americans to adapt to.
Still, Neal is glad he had the experience.
"It makes you look at yOUT own country
in a different way," he explained. "I ap­
preciate American conveniences, but I
realize how unselfish those people are in
comparison. We have a more comfortable
life with a lot of material things, but the
Arabs have much more love for one
One of the first people a U.S. em­
ployee going overseas must get to know
is Kathy Keehn of Corporate Personnel,
who will administer the transfer and serve
as the employee's personnel representative
for the duration. In handling the Ameri­
can contingent of HP's "foreign legion,"
she not only processes paychecks and in­
surance claims but often takes care of
their personal affairs as well. "I just helped
coordinate the sale of a house for one
employee," she said. "I represent their in­
terests here by dealing with banks, lawyers
and realtors when the need arises."
In addition to paying the costs asso­
ciated with moving, according to Kathy,
HP also compensates foreign service em­
ployees for the effects of double taxation
and higher living costs where appropriate.
To insure that the expatriate doesn't suffer
what amounts to a cut in salary, the com­
pany is guided by the State Department's
cost-of-living data in addition to the CUT­
rency exchange rates.
HP doesn't automatically rotate man·
agers and professionals every few years
as some companies do, but it seems there
are more and more international trans­
fers these days. The simplest exphlOution
for the trend is that international business
is growing in importance. But the matur­
ing of the product-group structure and
"verticalization" have had something to
do with it too - if only by strengthening
divisional ties and increasing the inter­
action between product divisions and sales
organizations. Technology and expertise
are often shared by exchanging people,
and product divisions have found it in­
creasingly advantageous to have factory­
experienced people in the sales organiza­
As an analytical product support en­
gineer at HP's European headquarters in
Geneva, Frenchman Jean-Luc Truche was
already familiar with Scientific Instru­
ments Division and had visited the small
Palo Alto plant before being assigned to
work there nine months ago. "1 knew the
people here and the type of business I
would be in," said Jean-Luc, although his
job in R&D is far different from his role
at HPSA. Professionally, he's finding his
assignment in the U.S. an enjoyable as
well as broadening experience. "My job
in product support involved training,
emergency repairs in the field and that sort
Neal Mack
Personnel's Kathy Keehn, expatriate Dieter Hofherr
of thing," Jean-Luc said, "and there was
a lot of traveling. I was tired of traveling.
I have a much quieter job now."
Jean-Luc and his wife are finding their
stay person<JlIy enjoyable as well. They
rent a house only a few minutes from the
SID plant, and the relatively short com­
mute is one of the nicer aspects of their
new lifestyle. The Bay Area, they say, is
comparable to a European capital, having
many oE the cultural advantages of a large
city without some of the disadvantages.
The cost of living is about the same
as in Geneva, according to Jean-Luc, but
he and his wife are living on one salary
now because she doesn't have the required
resident alien work permit. In Geneva
she was an HP secretary.
Although HP ordinarily makes no
commitment to re-hire an expatriate's
spouse who has <lIsa worked for the com­
pany at home, it sometimes turns out that
way. Dick and Joella Hornor both worked
for HP in the U.S. and Canada before he
was transferred to Greece. There Joella
was a secretary for another firm eWe
were in dog food and chicken feed," she
said with a laugh), but she's back with HP
as a member of the "temps pool" now
that Dick is with Computer Service Divi­
sion in Cupertino.
Chris and Beatrix Beck were married
in Europe in 1974, one week before Chris
was to leavc for the US. to join the Cor­
porate Controller's staff. Beatrix had been
an HP executive secretary and was able
to continue in that capacity at Intercon
headquarters in Palo Alto. They stayed
three years and are now back in Switzer­
Taking Chris's place at Corp0f<lte is
Dieter Hofherr from HP Germany, whose
wife Birgit was also an executive secrc­
tary in her home country. Birgit accom­
panied Dieter to California on a three­
month assignment in 1975 and learned
computer programming. Now she's landed
a half-day job at HP and is taking data
processing courses at a local college.
Of course, not everyone who's work­
ing outside his or her own country is con­
sidered a foreign service employee. In
many locations in the Untted States, Inter­
con and Emope - particularly Gcneva,
which is probably the most cosmopolitan
city in the world - there are a number of
HP people who were hired locally but are
citizens of other countries.
One of the most interesting stories of a
local hire from a faraway place is that of
Srini Nageshwar, who wasn't considered
a foreign service employee until recently.
Srini was a young graduate in India when
HP was just getting established in Europe,
and he wrote to HP in Boeblingen, West
Germany, in search of a job. By mail,
without an interview or even a telephone
conversation, Srini was promised a job
if he would travel to Boeblingen on his
own, He did, and stayed with HP Ger­
many for more than 15 years before being
appointed international marketing man­
ager for Calculator Products Division in
Loveland, Colorado. "I've often wondered
if I would take the same sort of chance
in hiring S"omeone today," Srini mused.
HP believes that, for the most part, its
operations in each country should be run
by citizens of that country and be an in­
tegral part of the culture. But that philos­
ophy doesn't preclude a healthy exchange
of people. As a matter of fact, in a new
country organization HP managers are
often sent in as foreign service employees
to start up the operation and work with
local nationals, who will eventually as­
sume the responsibility - precisely the
situation that noW exists in the Mediter­
ranean/Middle East area
The company may also broaden the
local nationals' experience by rotating
them through U.S. or European product
divisions. Liong Wong, a Malaysian who
joined HP in Singapore and went on to
manage manufacturing operations in Pe­
nang, Malaysia, has been assigned to the
corporate staff and several Bay Area di­
visions for the past three years. The ex­
perience should prove invaluable as HP
moves toward rounding out its Southeast
Asian manufacturing operations with ad­
ditional functions such as marketing. "It's
a definite advantage to work here for
awhile," Liong believes, "The degree of
sophistication in technical fields and in
marketing arc much higher, and you can
see all the different facets of HP."
Beyond that, Liong feels he's simply
added to his general fund of knowledge
and his ability to manage. As he put it,
"I think I now have a better set of skills
for dealing with all kinds of people, be­
cause 'So much is picked up through daily
living as well as on the job. Being here
has been a big eye-opener for me,"
There have been other foreign service
personnel from Southeast Asia in what
Liang feels are llSetul, though brief, ex­
changes, "We have people moving back
and forth over short periods of time for
specific reasons," he explained. "Occa­
sionally someone is sent over to learn
about a certain product and then transfer
the manufacturing to Southeast Asia, Or
people come here to work and go to
school on a part-time basis,"
The chance to pursue advanced edu­
cation in combination with working is an
oft-stated objective of the foreign service
employee in the United States. Chris Beck
told why: "In Europe, we have only full­
time schools in the day and it's difficult to
take two years off work to invest in an
added degree. The possibilities for going to
night school in the U.S, are reaIly great."
Thanks to HP's flexible working hours,
Chris was able to fit in a full day of work
before attending afternoon and evening
classes at the College of Notre Dame in
Belmont, California, where he earned a
bachelor's degree. He went on to Golden
Jean-Luc Truche
Joella and Dick Hornor, secretary Anne Jaquenod in Athens
foreign legion
Gate University, finishing up the final
work for his MBA degree in a dead heat
with the Becks' departure for Europe.
If they have any leisure time after
cramming the week with such activities,
foreign service employees and their fam­
ilies usually fill that too. Liang's wife, Siew
Hoon, is interested in arts and crafts, and
has spent much of her stay in the U.S.
collecting works and learning different
Many of them travel - often to places
they may never have a chance to visit
again. How many people will ever see the
Liong Wong
Srini Nageshwar
Hanging Gardens of Babylon as Dick
Hornor, Neal Mack, George ~10ore and
others have? How many would seize the
opportunity to cross the Sahara, as Diane
Magri did with a group of French people?
(She also renewed old Peace Corps friend­
ships in Africa.)
Jack Magri thinks HP's transfer policy
enables a somewhat carefree existence for
the expatriate by removing some of the
everyday stresses. "It makes it automatic
that most of your needs are taken care
of," according to Jack. "When you're in
a foreign culture, even though you're par­
ticipating in it you're really sheltered and
taken care of in many ways. It's when you
come back home that you're awakened to
reality by having to deal with things like
mortgages and insurance again."
But whatever the quality or style of
life in the foreign country, it's bound to
be different from home. Jean-Luc Truche
misses the proximity of the mountains,
and hasn't traveled much in the U.S. be­
cause the distances are so great. Neal
Mack found that Baghdad, with its strict
religious codes, offered no alcoholic bev­
erages, no entertainment, and no female
companionship ("You do a lot of reading
and jogging," he said, "and spend time
just getting to know people."). In Boe­
blingen, Englishman Ken Miles and
Frenchman Marc Pointeau talked about
having to adjust to the laws and cus­
toms of a German village, where it's il­
legal to use an automobile horn or wash
your car on Sunday. And the children of
expatriates often find the international
schools far more challenging. If they do
well in them they may suffer from acute
classroom boredom back home.
"You have to be flexible," said Jack
Magri. "Some Americans go overseas and
just can't accept things not being like they
are in the US., and that's the beginning of
a bad experience."
It appears that HP foreign service per­
sonnel, by and large, have few bad ex­
periences. Being part of a company with
a broad internationnl outlook makes it
easier, and knowing that wherevcr you
go in the world you're part of the HP
"family." But somctimes it's also helpful
to have a spirit of adventurc.
Ray Wilbur retires:
Athoughtful farewell. • •
It was Ray Wilbur's final appearance before the
general managers. HP's vice president-Human
Resources will retire this spring after 21 years
with the company. As various speakers saluted
him, the words "compassionate" and "wise" and
"understanding" came readily into use. In
response, Ray took the opportunity to comment
on his HP experience and to offer some
thoughts for the future:
o Personnel: "Until I took over that re­
sponsibility, Personnel was not a separate
function. My instructions were to keep a
low profile while developing a program
as we grew. Foremen and supervisors
were to continue to handle the problems
of people in their departments, receiving
what help was appropriate from Personnel.
"Since then, \'i'e've grown 25 times in
people, 48 times in sales. Size, acquisi­
tions, dispersion, laws and occasional poor
judgment have raised the volume of red
tape. The role of Personnel has conse­
quently become much stronger."
Philosophy: "Rightly, we have con­
vinced ourselves that we have an 'HP
way.' In spite of some disappointments
here and there, it is amazing how well this
philosophy has been accepted in different
areas and cultures.
"There has to be something to this
philosophy to have survived over the
years. The HP way plus the corporate
objectives have provided the foundation
upon which we built, changed and grew.
We have proved we have leadership of
substance and not just style. But we must
continue to earn the right to keep the
HP way.
"Perhaps one word summarizes this
philosophy: caring. So long as we con-
tinue to care for profits, customers, our
people, contributions in our special fields,
for reasonable growth, for management­
by-objectives, and for our respective com­
munities, HP will be a special and suc­
cessful company."
Organization and management: "Our
growth has brought great opportunities
for developing people and adapting our
organization. There still is the problem
of finding the right mix in managing HP,
between central control and decentralized
authority. Many factors and forces urge
strong controls and conformity. Yet we
need to resist these and to allow decen­
tralized management to the greatest extent
possible, especially where we are dealing
with activities in so many countries of
the world. Good judgment is not centered
just in Palo Alto."
Looking ahead: "It goes without say­
ing that we will see more problems and
adjustments. A few include: more people
- especially women and minorities ­
wanting work; more sophisticated meth­
ods and machines; inflation; the higher
education level of the available workforce;
growth and influence of government; more
personal independence in attitudes and
goals; maintaining the quality of internal
communications with people; maintaining
the HP way; and selecting and support­
ing our supervisors.
"These 21 years have been a great ex­
perience for me. I have deep gratitude
to Dave and Bill for having had the oppor­
tunity to work and grow with HP and with
all of you. But we all know that 'the more
things change, the more they arc the
same.' This is because we always come
back to people. People's basic needs do
not change. They will always want to
have challenging work to do, be able to
do it well, to have that work recognized,
and to feel accepted as individuals. Re­
gardless of anything else, we can never
safely neglect those needs."
What is this
(and what can
we do about it?)
You're on the job, tending to business.
This person walks up, leans against the bench
and begins a conversation. It's friendly ­
but it sure doesn't seem to have anything to
do with the job at hand, nor does it offer any
big message about the business.
What's going on? What's the point of
this unscheduled visit - if there is one?
Indeed, if it hasn't happened to you
before, you might well wonder - and worry
- about the visitor's mission. In any case,
what kind of business would permit a well­
paid manager to walk about just being
sociable with busy people?
Well, in answer to all of your questions,
you have just taken part in a practice which
Hewlett-Packard hopes is commonplace in
all its various organizations. It's called
"management by wandering around." It is
friendly, it is unfocused, and it is unscheduled
- but it is far from being pointless.
o The specific concept of "management
by wandering around" - MBWA - was
developed by John Doyle, vice president­
Personnel, during the time he held key
manufacturing responsibilities in Micro­
wave Division and later as general man­
ager of the Palo Alto Manufacturing
Division and AMD. It seemed to John
that there had to be a way of describing
the extra step that HP managers needed
to take in order to make the HP open­
door policy truly effective. It was not
enough to sit and wait for people to come
through the door with their problems and
ideas - they probably wouldn't in many
cases. The managers had better get off
their chairs and go out and get in touch
with people. In that way people would
know the managers were accessible when­
ever they had something important to
anagement by wandering around?"
communicate. So, "management by wan­
dering around" was coined.
Straightforward as it sounds, there are
quite a few subleties and requirements
that go with MBWA. For one thing, it is
not always easy for managers to do - so
some of them do it reluctantly or infre­
quently. And, as suggested in the opening
scene, its purposes are not always appar­
ent to people - especially new HP people
- at the receiving end of visits, so they
may view it suspiciously and respond
Doyle and the various personnel
departments have gone to considerable
lengths to break these barriers down, and
to make MBWA manifest throughout the
organization. It has been the subject of
briefings at management meetings and
seminars. A two-part video program was
taped at HP-TV last year and made avail­
able to all HP organizations for training
and general employee viewing. The three
corporate personnel administrators - Lee
Seligson (international), L. A. Fulgham
(U.S.lCanada sales), and Tom Lowden
(U.S. manufacturing) -look for it and
encourage it wherever they go on their
liaison missions.
Still, another dimension is needed­
you. Your understanding of MBWA is
important because it's reaIly an invitation
to you to repay the visit and walk through
that open door whenever you feel it is
In case you're still questioning the
worth of doing that or wondering how
MBWA really works, MEASURE offers the
following testimony:
John Blokker, general manager,
Santa Cfura Division
"It's really a body chemistry kind of
thing. You've got to really want to
wander around and communicate at all
levels. If it's done insincerely, it just
won't work.
"I do at least 95 percent of my
communicating orally, in person. 1
hardly ever write a memo except when
we have to communicate some common
"So I spend at least two hours a day
"MB Tf'A ;S !lot a panacea -;t has to (it into
the context nf a11 the other things
John Flaherty
randomly wandering around. Sometimes
it's not so random. If I want to learn
more about a certain matter, I'll go to an
area and just -start talking to people.
I'm fairly outspoken and I have no trouble
talking in the group's own jargon. I listen
to what they say and try to put myself
in their place.
"1 do this because 1 believe - above
all else - that what this business or this
world is all about is to build a better
society. To build a better life for people
- not just to make somebody rich. Profits
are important because they are a kind of
scorecard of how well you are doing.
But you can also make the bottom line
look good in many ways that aren't very
nice. I don't groove on that. I groove on
making people work as a team, working
to make themselves secure.
"When you do that, any operation
can be efficient. Because when people feel
good and work as a team, they can
do anything.
"I think I proved that at New Jersey.
When 1 first went to New Jersey there
were two divisions that had resulted from
two acquisitions by HP. There were two
entirely different managelJlent styles, both
different from HP. There were two
locations. The problem was how to bring
them together and make them into an
HP-style organization.
"It was quite a challenge. I kept
saying: 'Hey, forget about where you
came from. We're an HP team now. Let's
talk about things.' It took several years,
but a fundamental change took place.
As a consequence, the division started
doing much better economically."
John Flaherty, personnel manager,
Andover Division
"Wandering around is something quite
natural and easy for me. I guess I have
been a wanderer for many years - even
before it was specifically identified as a
communication and management tech­
nique. It adds variety to my day,
maintains many personal relationships, as
well as being a source of information on
what's happening or what's important
through the perceptions of employees.
1 identify wandering around with accessi­
bility. When people see you frequently
they are more apt to initiate a discussion,
particularly in their environment which
may be more comfortable to them.
"An important point I'd make,
however, is that MBWA is not a panacea
to remedy inadequate employee relations.
It has to fit into the context of all other
things we call the HP way, including
people attitudes, mutual trust and respect,
and so forth. Also, it can only be effective
if we can master the elusive and difficult
art of effective listening.
"As a final comment, I think of
MBWA as an attitude or state of mind as
well as a physical activity. A manager
needs input and this is one direct way.
However, I've known many effective
managers who did not appear to be
'wanderers.' But through other means
they maintained people's confidence and
never lost sight of the need and impor­
tance of seeking out employee opinion
and feelings. That's really what it's all
the wanderers
Augie Stuart, manufacturing manager,
New Jersey Division
"I recall a speech by John Young at a
manufacturing managers meeting several
years ago when he stated that 'manage­
ment by overview' was not the HP way.
'Management by involvement' was more
appropriate: managers should roll up
their sleeves, dig in and understand what
makes the operation tick.
"Is if rcully e ectil'c? Well.
"This seemed well suited to the New
Jersey Division and to my own style.
At present we have 325 people in
Manufacturing, and it is still possible for
me to have new-employee breakfasts
where basic HP topics are discussed,
review all performance evaluations,
hand out profit-sharing checks with a
'thank you,' go over accident reports with
the people involved, and individually
greet everyone on big occasions such as
Christmas. All of these help me get to
know people better, and to get inputs
that result in better decisions.
"Done honestly and with a feeling of
openness, love, and respect it can provide
many rewards and pleasures."
thill~\' I'\'C
Willard Harlow, personnel manager,
Midwest Sales Region
"In a sales region, the headquarters
manager can't do much spontaneous
wandering around the territory. It's too
vast, and our organization too spread out.
We rely on other managers as well as the
many scheduled visits to talk with people.
"Actually, dealing with employee
situations in a sales region is probably
different than in a manufactming division.
Sales and service people are generl1l1y
lcorllcd In' i1
!zm'c led 10 illl!Jo!'tu!/I 1'1/."1"['('\
Peter Carmichael, general manager,
South Queensferry Division, Scotland
"My office is right in the middle of the
floor. There's no getting nway from the
action. So if it comes to a choice, I'll
simply take paperwork home with me ­
where it's quiet - and keep my days
available for whlltever comes up on the
"I like to wander around and visit the
various areas. Usually the talk will be
about personal things or family matters.
It's my good fortune to be a country boy.
I naturally talk with a dialect that's very
familiar and comfortable for most people
on the floor. So when we meet there's no
feeling of crossing social or cultural
'jines. ",
Jim Ferrell
An hour or two in the day of
Santa Clara Division general
manager John Blokker - fast,
random, spontaneous, straight
talk, friendly feelings, and
a team-building spirit •••
Off and running
with a "hello" to
assembler Terry
Reynolds ...
a pointer from Lou deGive,
production engineer ...
a "what's happening?" moment with
Gwen Hefner, Ie assembly supervisor ...
gregarious. If they aren't talking to
customers, then they're talking to each
other or to their managers. There's
usuaHy no problem about their not
speaking out when they want to be heard.
During my visits they confront me with
their questions, and make their points
very clear.
"Our communication problem, I feel,
is a certain sense of isolation - of being
far from the decision makers in the
corporate, division and region organi­
zations. Employees read about things
that they can't take advantage of. At one
time, for example, it was the credit union.
But now we've got one. The people in
the 'outposts' who work out of their
homes are particularly vulnerable to some
of those feelings of being left out. It is
tough to convince people that the
advantages they have overshadow those
they don't have - and I think that's true
of life in the sales regions.
"On the other hand, there is the
tendency for persons in the outposts and
smaller offices to know more about a
greater variety of product lines, because
they represent or support more than
one product group.
"But there's no question that the need
to keep in touch with people becomes
more acute each year. We live in a
fishbowl society where people are
intensely aware of themselves and their
organization in relation to social changes.
For example, awareness of the 'HP way'
tends to make people more sensitive to
the treatment they receive from
supervisors and others. If adverse
discrimination seems to be involved ­
whether real or not - they are more
inclined to take action. I spend a lot of
time trying to help people resolve such
situations before they become hard-line
problems. Looking at that positively, it
suggests that more women and minority
people are interested in gelling ahead ­
and they want to be heard."
Cyril Yansouni, general manager,
Grenoble Division, France
"Because of language, many people
at Grenoble Division don't get the usual
HP inputs.
"Also, it's more or less a tradition in
our European culture for people to be
reserved in their contacts with managers
-and for managers to be somewhat
Peter Carmichael
a "show me" session
with Michael Miinch
(lett) and Dave Keller of
Instrument test ...
an "old timer" story from assembler
Dawn Coughenour ...
a "how-do-I-become­
a-technician" discussion with
Antje Greenstreet of IC test .••
the wanderers
conservative in their contacts.
"So we have to take every opportunity
to communicate with our people. Every
week I'll try to spend several hours
wandering around - talking with new
employees, introducing a new product, or
visiting an area that's changed. Every
month we pull aU the 360 or so people
together to talk about business or any
topic of interest. We also have regular
meetings of supervisors where we try to
give them as much feedback as possible.
Another useful communicator is the
division nurse. In addition to her medical
duties she does a daily round of the plant,
talking with people and finding out how
they feel about themselves. In that sense
she's a bit like the 'housemothers' you
used to have in Palo Alto ..."
Bill Parzybok, general manager,
Loveland Instrument Division
"People should expect to see a
manager wandering around, and it should
be a regular thing to do. But it's when
times are tough that it becomes critically
important. People really can imagine
terrible things, and worry about their
jobs. They need to see that you are not
to be proud of their Irorf.: ­
and to /../10\1' you're iJ1fefe.\ted."
Bill Parzybok
discouraged or panicked.
"Personally. I like to wander around
during coffee breaks - as many as I can
during the week. People are relaxed then.
Since it's like any other social situation
there shouldn't be any problem in starting
a discussion.
"The point is I really enjoy it I'm
interested in people, and I want to meet
all new employees. And I encourage the
other managers to wander around.
"There are some real purposes to it.
HP people want to be proud of their
work. They will be if they know you're
interested. The feedback I get is useful,
and sometimes at the weekly staff
meetings we talk about the issues and
concerns we've heard on the line.
"Overall, I feel MBWA is an
important expression of the company's
style. It's a key ingredient in a successful
'open-door' policy. And it reduces the
'we-they' attitude which is a very
unhealthy attitude."
Jim Ferrell, general manager,
Manufacturing Division, Palo Alto
"Personally. wandering around is not
always an easy thing for me to do. I can
sense that some people are intimidated by
authority, and that bothers me. So I tend
a get acquainted meeting with
assembler Sylvia Barnes ...
a conference with instrument manufacturing
manager Doug Austin ...
a surprise from June Kuhnley, PC department ••
to develop specific opportunities for
making contacts. It comes out about
the same as pure random.
"The important thing is to be sincerely
interested in the people you meet. In doing
that, you will eventually discover what
people's real concerns are and also get a
sense of how business is going in an area.
Do they seem to enjoy what they are
doing? Is it going well?
"It's important to be spontaneous.
I found that out when Manuf~turing
Division used to have four locations.
People looked on visits as more or less
official events whereas I simply wanted to
wander around. That's another argument
for a close-knit organization.
"People may wonder jf MBWA is
really effective. Well, there have been
times when things I've learned about
pending changes from people in the shops
have led to some important modifications.
And by learning some things early on
we've been able to head off various
"Everything works much better and
easier when people understand what we're
trying to accomplish."
Lew Cantwell, manufacturing manager,
Corvallis Division
"The reason MBWA works is because
people at all levels want to belong. They
want to be recognized and to feel that
someone gives a damn.
"Yet it's not all that easy 10 do. At a
certain level you find yourself dealing
administratively with more and more
matters of an impersonal nalure. It
becomes harder to realize that behind
some of these matters are people who
need communication and some reassur­
ance that their views have been noticed.
You have to make a deliberate effort to
get out of your chair.
"I make it a point to get around in as
natural a way as possible and to meet
people in their own environment where
they are more comfortable. One thing I
do, for ex.ample, is to come into the
plant through different entrances so that
I'll pass through departments I haven't
visited for awhile. I'll take a coffee break
in different locations and introduce myself
to any new people and talk over all kinds
of subjects. Weekly lunch meetings with
various departments also uncover a lot
of interesting discussions. I don't like to
make idle chatter, but on the other hand
I don't want to pound away on a problem.
I do want those people to know me a
little better and I want to know more
about them.
"It comes down to building people's
confidence that they can be open with
you - that you're not there to probe or to
trap anyone. At the same time, when
someone does come to me with a work
problem, the first thing I want to know ­
without turning them off - is 'Have you
talked it over with your supervisorT I like
to give them first option of doing that
because that's where the problem
eventually has to be solved.
"At Corvallis we haven't quite got to
the point where people have futI
confidence in the HP way. Most of the
many new people have never worked in
an HP-style environment. It will take
time, but we'll get there."
a light from Dave Johnstone,
section manager ...
a question for Skip
Ross,lab manager
(DSA-Lasers) ....
a laugh with assembler Jean Kudelka ...
consultation with Steve Upshinsky,
rQdlJe.tiol] eng near,_
... and now who's next?
Power to the peoples' wrists ••• As their bus approached the entrance to
Corvallis Division, some of the 84 visiting HP consumer-products sales reps
from around the world were alarmed at the flag-waving crowd gathered
there. "What is this: a strike? Or a lockout?"
In fact, it turned out to be a rousing welcome to the February sales
seminar by almost 1,000 employees. They wanted their guests to know that,
in spite of the seasonal chill, the Oregon organization stood warmly behind
them in their selling efforts.
Joint managing
directors named for
Hewlett-Packard Ltd.
PALO ALTO - Dllvid Baldwin
and Peter Carmichael will become
joint managing directors of
Hewlett·Packard Ltd. in a restruc­
turing of the top management of
HP's manufacturing and sales
subsidiary in the United Kingdom
following the resignation of man­
aging director Dennis Taylor.
Taylor, who has been with HP
since 1962, will leave the company
March 31 to form his own business.
Baldwin, who has been serving
as European Instrument marketing
manager at HPSA headquarters
in Geneva, will be responsible for
HP's marketing and sales activity
throughout the U.K. He will be
located in the U.K. sales head­
quarters in Winnersh, England.
Carmichael, in addition to
serving as joint managing director,
will continue to serve as general
manager of the South Queensferry
Division in Scotland as he has
since 1975.
Shareowners approve
accounting firm change
PALO ALTO - At their annual
meeting on February 28, Hewlett­
Packard Company shareowners
approved the appointment of Price
Waterhouse & Co. as the company's
independent public accountants for
the fiscal year ending October 31,
1978. On November 18, 1977, the
company announced that its board
of directors had voted to propose
the change from Main Lafrentz
& Co. to Price Waterhouse.
Combined post for U.S. sales
region facility coordination,
fleet management
Here yon see the 1000th UP 3000 Series II computer system getting some
special attention prior to shipment in January. The customer was
General Mills which already has a number of identical systems installed and
on order. Given the price range of Series II systems (on up from a high
five figures), plus the strength of prospects in general business applications,
the above shipment can be considered a significant landmark.
PALO ALTO, CA, March 10­
Mike Talbert, Neely Sales Region
operations manager, has been named
to the newly combined assignment
of U.S. Sales Facility Coordinator
and Corporate Fleet Manager,
effective April 1.
He takes over the latter function
from Stu Kingman, who is leaving
Hewlett-Packard to go into ranching
and recreational land development.
From the president's desk
One of the most enjoyable meetings I attend over the
course of the year is the European management meeting.
It is held about a month after the annual HP general man­
agement meeting here in the U.S, (reported in last month's
MEASURE), and its purpose is to cover key management
topics with a broad representation of European sales and
manufacturing managers. An important side benefit for
those of us visiting from the U.S. is to get some formal, but
a lot more informal, input on subjects ranging from cur­
rency fluctuations to getting spare parts for computers
in Iraq.
I say this is an enjoyable meeting not because it is held
in the highfy scenic Swiss Alps location of Villars - although
that is certainly a plus - but because it is an opportunity to
get together with this capable team of over 100 managers
who have responsibility for an area that provides one-third
of HP's total business, and to learn about the imaginative
ways they are representing HP's interests in a diverse and
complex environment.
To recap a few statistics, we have over 3,300 employees
in Europe involved in sales and service alone. This is nearly
10 percent of HP's total employment. Many of the HP
products sold in Europe are imported from our U.S. plants,
but we also have four manufacturing locations which pro­
duce certain U,S.-developed products for the European
market as well as developing proprietary products for world­
wide distribution. Another 2,300 people are involved in
those activities.
The customer coverage is impressive. In the 11 major
European countries, we have sales offices in 41 cities. From
our eastern headquarters in Vienna, we serve eight addi­
tional countries with HP offices in five of them, including
Moscow. Athens is our center for serving Mediterranean
and Arab countries with offices in Iraq and Iran,
It is a tribute to the people involved that the high
standards of service and support that are characteristic of
HP are faithfully extended to even the remote areas of inter­
national operations,
HP's overall business gains balance and stability by hav­
ing a worldwide sales base. This is particularly evident right
now, In 1977, HP's U.S. orders rose an impressive 30 per­
cent over the previous year. We expected the pace would
slow in 1978, and indeed it has as the domestic economy
cools a bit. We are very pleased, however, to see the strength
in European orders. For the first quarter of 1978, we were
well ahead of quota and showing increases of over 30 per­
cent. Countries that are particularly strong are the United
Kingdom, Germany, Belgium, Norway, Iran, Saudi Arabia,
and all of Eastern Europe.
Our managers report that two factors are helping inter­
national order volume. First, and most importantly, key
countries' economies are moving up from last year's low
levels, reflecting the typical 9 to 12-month lag behind U.S.
economic cycles. Secondly, the well reported decline in the
dollar as valued in key European currencies makes imported
HP products relatively less expensive and, therefore, more
competitive in the marketplace.
Overriding this we have an excellent offering of new
products that are selling well in Europe, as well as in the
U.S., and over the long run this is the most important factor
of all in generating satisfactory order levels.
While we are not without our problems, including in­
creased U.S. government regulations on sales to many coun­
tries, our program looks strong for the year, and we have
a solid team in place to take advantage of it.
What looks like the makings of a ski
resort is actually the entrance to our very
own Waltham Division following "the
Great Blizzard of 1978." The photos help
explain why the plant was closed for
nearly a week following almost 30 hours
of record snowfall in the northeast U.S.
The drift that Tony Storella of the main­
tenance crew is clearing is typical of those
that piled up against homes, roadsides,
stores and businesses.
Meanwhile, the roads were blanketed
and Highway 128 was the scene of thou­
sands of stalled and buried vehicles. The
scenes were filmed by photographer Ernie
Whitenack who spent the week snowed in
at a motel near the plant.
One fellow the downfall failed to deter
was Ed Martin, a test technician in manu­
facturing engineering. The day after the
storm, Ed showed up for work - as he
always does - after a lO-miIe walk from
his home in Arlington. He recalls it as the
most beautiful day - quiet and clear - he
can remember.
great blizzard
of '78
Gordon Brown
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Tom Martin
Tari McPheeters
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ST"N~OR;' PARK, ..rcltlNl ~.'il'-"',rdl
lJNITEC l<INGDOI,II D.h·,d rl"~
1501 Page Mill Road, Palo Alro, California 94304
1601 Peg. Mill Roed
Pelo Alto, Celiforn;8 9U04
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