In Comm 292 we were required to look at Hewlett-Packard and diagnose the problems that the company is currently dealing with. After a Comm 101 class where we looked at Zappos, and how they are prospering in large part due to their healthy organizational culture, I couldn’t help but notice the differences between Zappos with its strong culture and HP with its weak and flawed culture.
One of the strongest parts of Zappos is the owner, Tony Hsieh, who works in the same office space as his employees, as well as giving himself a salary of that is approximately equal to everyone else. There is very little power difference in Zappos, as Hsieh treats his employees almost like colleagues, which in turn makes them feel more valued and gives them intrinsic motivation to help the company profit.
Tony Hsieh, owner of Zappos
Mark Hurd, the former CEO of HP, is the exact opposite. There is a large power difference between him and his employees, and they are not necessarily treated fairly, as evidenced by a sexual harassment claim filed against Hurd.
HP CEO Mark Hurd
This is a large reason why HP is undergoing financial difficulty: the success of a company greatly depends on the state of its organizational culture.