William Hewlett and David Packard Leadership
William (Bill) Hewlett (1919-2001) and David Packard
(1912-96)
American founders (pictured right, Hewlett is left) of Hewlett-Packard, the first computer
company in Silicon Valley, California.
What do they tell us about leadership and business
success?
1. Customer satisfaction
Any product must provide an economical and useful solution to customers’ problems.
“We're not selling hardware; we're selling solutions to customer problems”, Packard said.
So their top priority was customer
satisfaction, but to achieve it they realized that they needed great employees, innovation and quality
(see below).
“To be useful an invention must not only fill a need, it must be an economical and efficient solution to
that need”, Packard said.
2. The “HP Way” – putting people first
Still practised in the company today, this describes Hewlett and Packard’s principles on people management:
- empowerment (encouraging people to take responsibility for results).
- participation in decision making.
- cutting bureaucracy (particularly by minimizing levels of management).
- visible and supportive management (“management by walking around”).
“It has always been important to Bill and me to create an environment in which people have a chance to
be their best”, Packard said.
3. Innovation
They believed in:
- continuously making new and better products.
Their first product was an audio oscillator, which they sold to Walt Disney
Studios to test the sound for the movie, Fantasia (pictured right).
Hewlett was a great innovator because of his
- applying new knowledge to solve new problems.
4. Quality
The quality and reliability of their products were extremely important to
them.
So they gave employees control over their work so they could find their own ways to improve
quality, particularly in teams.
5. Toughness
Despite their kindness, they never flinched from making difficult but necessary decisions like firing
60% of their staff in the post-World War Two recession.
Pictured right is Packard’s garage where they started the business in 1939 with only
$538.
6. Learning
They were constantly:
- questioning existing knowledge (they hated complacency)
- looking at problems in different ways
- encouraging their employees to do the same.
- seeking new market opportunities .
7. Humility, kindness and honesty
Their integrity inspired people’s trust, respect and commitment.
They were down-to-earth leaders who were never arrogant and treated all employees the same,
seeing them as their partners in the business.
They became extremely wealthy but lived simply, giving millions to charities.
“Never stifle a generous impulse” was one of Hewlett’s favourite phrases.
8. Social responsibility
Packard said that a business must not only be profitable but also socially responsible.
“The betterment of society is...a responsibility to be shared by all”, he said.
9. Teamwork
They (pictured together in 1939 - courtesy of Hewlett-Packard) had complementary skills:
- Hewlett was a great engineer.
- Packard, an expert administrator.
Packard quotes on marketing and innovation
We're not selling hardware; we're selling solutions to customer problems
Marketing is too important to be left to the marketing department.
To be useful an invention must not only fill a need, it must be an economical and efficient solution to that
need.
Packard quotes on human resource management
It has always been important to Bill and me to create an environment in which people have a chance to be their
best
We have a responsibility to our employees to recognize their dignity as human beings.
Packard quote on change
To remain static is to lose ground.
Packard quote on decision making
Take risks. Ask big questions. Don’t be afraid to make mistakes; if you don’t make mistakes, you’re not reaching
far enough.
Packard quote on corporate social responsibility
The betterment of society is...a responsibility to be shared by all.
Hewlett quotes on
creativity
Creative people have an abiding curiosity and an insatiable desire to learn how and why things work.
Never stifle a generous impulse
Hewlett quote on
motivation
Men and women want to do a good job and, if they are provided the proper environment, they will do so.
Hewlett quote on decision
making
All business proceeds on beliefs, or judgements of probabilities, and not on certainties.
Hewlett quotes on
strategy
We were just opportunistic.
Hewlett quote on
objectives
Believe you can change the world.
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