14,500 out in HP restructure; cuts to save $1.9 billion a year

摘要

HP's restructuring and streamlining plan that will result in the layoff of 14,500 workers worldwide during the next six quarters is designed to save $1.9 billion a year, and to create a leaner workforce in hopes of increasing growth and business performance. A simpler chain of command with fewer layers of management will enable greater individual accountability and executive. Critics have said this complete restructuring has been overdue since the merger with Compaq, but could not be implemented without a change of command at the top of the company. This restructuring has come after a thorough review of the company by new Chief Executive Officer and President Mark Hurd. Despite its spin on quarterly reports, HP has lost market share at the low end to Dell and at the high end to IBM and in some areas, Sun.