Meg Whitman -- CEO of HPE, DXC board member, and former
chairman of HPI -- explained Hewlett-Packard's objectives with
respect to staffing at a Securities Analyst Meeting:
"...a question that is actually completely relevant for all
large-cap IT companies, which is how do you keep up with
this next generation of IT and how do you bring people into
this company for whom it isn't something they have to learn,
it is what they know.
"...we need to return to a labor pyramid that really looks
like a triangle where you have a lot of early career people
who bring a lot of knowledge who you're training to move up
through your organization, and then people fall out either
from a performance perspective or whatever.
"And over the years, our labor pyramid... has become a bit
more of a diamond. And we are working very hard to
recalibrate and reshape our labor pyramid so that it looks
like the more classical pyramid that you should have in any
company and particularly in ES. If you don't have a whole
host of young people who are learning how to do delivery or
learning how to do these kinds of things, you will be in
"So, this has a couple of things. One is we get the new
style of IT strength and skills. It also helps us from a
cost perspective. ...if your labor pyramid isn't the right
shape, you're carrying a lot of extra cost. The truth is
we're still carrying a fair amount of extra costs across
this company because the overall labor pyramid doesn't look
the way it should.
"Now, that's not something that changes like that. Changing
the shape of your labor pyramid takes a couple of years, but
we are on it, and we're amping up our early career hiring,
our college hiring. And we put in place an informal rule to
some extent which is, listen, when you are replacing
someone, really think about the new style of IT skills."
October 9, 2013 HPQ Securities Analyst Meeting transcript --
- HPQ website.
- Google cache of HPQ website:
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