1. Creating a Culture of Change
Presentation Title
Creating a Culture of Change
Walk-in HP logo

2. Presentation Title
The big shifts
All processes and content will be transformed from physical and static to digital, mobile and virtual.
The demand for simplicity, manageability and adaptability will change how you work and organize, buy and use technology.
It’s a horizontal, heterogeneous, networked world; standards are about connection and common language.
2/22/2019
Where training fits: How HP saved $1B using the Adaptive Enterprise Strategy

3. The HP business challenge
Presentation Title
Two Fortune 50 companies with redundant IT infrastructure, supporting processes, and employee populations
Very specific promises to Wall Street on efficiencies
Nowhere to hide
Legal requirements on when / who we could talk with
Massive Change when introducing ITSM into an organization
Both pre-merger companies have been helping customers to make their enterprises more adaptive to increase business agility for years.. However, the merger made it a matter of survival for the new HP. So, we applied the experience and intellectual property of both companies to this challenge - on scale others will probably never face.
Merger of 2 Fortune 50 companies = MAJOR change and big impact for companies and IT. Esp. for people, culture, regulatory, etc.
How did we manage the change to rapidly extract the value from the merger?
2/22/2019
Where training fits: How HP saved $1B using the Adaptive Enterprise Strategy

4. Capitalizing on change HP’s experience
Presentation Title
Biggest tech merger The challenge:
Business
9 months later:
Financial
1, sites networked
215,000 desktops
7,000 + applications
900 + Web Servers
21,671 servers
49,000 network devices
228,000 mailboxes
26M s per week
30M B2B messages monthly
+ have to grow market share
Customers interact with us as one company 24 x 7
Our products & services go to market as “one”
Combined workforce operates as a single company
Accelerated business growth:
Grew market share in all key segments
Registered 3000 new patents
Introduced 367 new products
$3 billion in cost savings
$1.3 billion in supply chain integration savings
26% reduction in build-to-order PC manufacturing costs
$20 million annual savings in financial transaction processing costs
24% overall reduction in IT costs
29% reduction in applications portfolio.
Both pre-merger companies have been helping customers to make their enterprises more adaptive to increase business agility for years.. However, the merger made it a matter of survival for the new HP. So, we applied the experience and intellectual property of both companies to this challenge - on scale others will probably never face.
Here is a snap shot of what we have been able to achieve in just nine months.
The new HP has:
a combined workforce which operates as one company (QoS)
customers interacting with us as one company – 24 x 7 (Mitigate Risk)
reduced overall IT costs by 24% (Reduce Costs)
deployed the largest HR PeopleSoft application in the world across 4 legacy companies (Agility)
The fact that we could do this in such a short time is an example of HP’s new agility.
But even more important, the Adaptive Enterprise has also been a business enabler.
At the same time, we have:
Increase market share in all key segments
Registered 3000 new patents
Introduced 367 new products ($49 ink jet printers to performance leading Itanium 2 Superdomes)
HP CASE STUDY:
HOW DID HP TRANSFORM ITSELF ?:
Like most organizations, we had many silos of technology which, in our case included some 7000 applications, 22,000 servers, 215,000 desktops and spanned 1,200 sites. A huge challenge!
We began by applying the principles of simplicity, standardization, integration and modularity to break down those silos and to create a horizontal architecture based on virtualized resources. This allowed us to deploy an infrastructure which automatically detects and corrects problems, allocates resources dynamically and provides continuous and secure operations.
At the same time, we began to build a tight linkage between business processes and the infrastructure so IT services could be delivered where and when they are needed.
This gave us two key benefits:
1. The built-in over provisioning for peak loads could be utilized elsewhere – resulting in the elimination of redundancies and reduced costs.
Gartner has found that the typical infrastructure utilization rate is only about 30% due to over provisioning for peak loads. So there is all this excess capacity which could be utilized during non-peak hours in most infrastructures.
2. An automated and dynamic way to deal with business decisions. So that we could avoid the usual months it takes to deploy changes with large teams of staff.
In our case we get some 400,000 business decisions which trigger IT events per week – so this was very important.
HP Results:
As a result of using these principles and methodologies of the Adaptive Enterprise we were also able to create a single portal into the company and integrate systems with over 200,000 addresses on day one of the merger, as well as to reduce the number of applications by 2000 and realize supply chain integration savings of $1.3B.
SPECIFIC EXAMPLES OF WHAT HP DID:
(HP IT “clean room” defined a single architecture to simplify, standardize, modularize and integrate all IT assets –from systems, applications, middleware to project management tools. All IT inventory was made accountable against this architecture and competing or overlapping items were eliminated by the edict of “adopt and go”. Integration of applications was considered more important than specific functionality.)
(Business processes example: ESG urgently needed to implement a single sales compensation system. Deploying Omega, Odisi and Oracle Incentive Compensation system, a single automated rules based sales compensation system with customer relationship modeling was implemented nine months sooner with a cost saving of $2.5M per year.)
(By eliminating overlapping HR systems, maintenance was reduced and resources could be diverted to increasing functionality in the succeeding architecturally aligned system.)
(“Hot spots” example: IT group leaders from 120 architectural domains identified an inventory of SAP application assets and developed a plan to reduce the splintered portfolio of SAP production systems. Also HP service bus became the standard for all EAI and plans are underway to bridge to the J2EE software server platform)
(Practices that began as an IT merger requirement, such as the Adaptive Network Architecture, to integrate networks across 160 countries have now become a regular service practice.)
IN YOUR CASE:
While the scale of what we had to deal with may be different from yours, the challenges we had to face and the solutions we came up with are likely to be exactly what you are facing.
HP has been through the experience first hand and you (the customer) can benefit from our learning's & experience.
2/22/2019
Where training fits: How HP saved $1B using the Adaptive Enterprise Strategy

5. Introductions Kent E. Klitzke – Moderator
Homeland Security Business Development
Hewlett Packard
Karen Boeger
Assistant Director, Division of Purchasing and Materials Management
Missouri Office of Administration
David Crain
Director of Information Systems
Missouri House of Representatives
Jim Weber
Chief Information Officer
Missouri Department of Revenue

6. Presentation Title
Discussion

7. Presentation Title
Questions?

8. Presentation Title
Thank You