Leadership Leadership PresentationPresentationCarly FiorinaCarly Fiorina

Polly RosemondPolly Rosemond Personal Personal BackgroundBackground

Chris BarrilleauxChris Barrilleaux Vital StatisticsVital Statistics

Steve HaikSteve Haik Style & PracticesStyle & Practices

Marc MergenMarc Mergen Critical Issues Critical Issues

Todd GallatiTodd Gallati Future PredictionsFuture Predictions

April 20, 2002

Meet Meet Cara Carleton“Carly” Cara Carleton“Carly”

FiorinaFiorina

One of the Most Powerful Women in American Business

Today

Personal BackgroundPersonal Background

September 6, 1954, in Austin, September 6, 1954, in Austin, TexasTexas

Joseph T. Sneed, federal judge Joseph T. Sneed, federal judge

Madelon, artistMadelon, artist

Ninth girl named Cara Carleton in Ninth girl named Cara Carleton in her familyher family

Married to former AT&T VP Frank Married to former AT&T VP Frank FiorinaFiorina

Family

Ghana, England, North Carolina and Ghana, England, North Carolina and CaliforniaCalifornia

BA Stanford University, 1976BA Stanford University, 1976 Attended UCLA Law School, 1977Attended UCLA Law School, 1977 MBA University of Maryland, 1980MBA University of Maryland, 1980 M.S. MIT Sloan School of Business, 1989M.S. MIT Sloan School of Business, 1989 Honorary Fellow of London Business Honorary Fellow of London Business

School, 2001School, 2001

Personal Personal BackgroundBackground

Education

Secretary - Shipping Department at Hewlett-Secretary - Shipping Department at Hewlett-Packard Company (HP) in 1976Packard Company (HP) in 1976

Teacher - English teacher in Bologna, ItalyTeacher - English teacher in Bologna, Italy

Account Executive - at AT&T in 1979Account Executive - at AT&T in 1979

Vice President - Network Systems division, Vice President - Network Systems division, which later became Lucent, in 1989 which later became Lucent, in 1989

President - Lucent’s Global Service Provider President - Lucent’s Global Service Provider Business in 1994Business in 1994

President and CEO of HP in 1999President and CEO of HP in 1999

Personal Personal BackgroundBackground

Work Experience

PassIon

SuccessSuccess

Carly on passion

Source: CEO Exchange with Jeff Greenfield PBS

Founded by Bill Hewlett and Dave Packard in 1939 in 1939

88,000 employees88,000 employees

540 sales and support offices 540 sales and support offices and distributorships in 120 and distributorships in 120 countriescountries

Hewlett PackardHewlett Packard

Company

Revenue/ Earnings

$0.0

$10.0

$20.0

$30.0

$40.0

$50.0

1996 $31.6 $2.1

1997 $35.5 $2.5

1998 $39.4 $2.7

Revenue Earnings

$ In Billions

Hewlett Packard 1996-1998Hewlett Packard 1996-1998

Pre Carly Era

Took over CEO spot in 1998

1999 and 2000 revenue and 1999 and 2000 revenue and earnings are upearnings are up

2001 revenue is down by 7 %2001 revenue is down by 7 %

2001 earnings are down by 2001 earnings are down by 60 %60 %

Hewlett Packard

Carly’s Era

Millions

Hewlett Packard 1999-2001Hewlett Packard 1999-2001

Carly’s EraRevenue / Earnings

$0.0

$10.0

$20.0

$30.0

$40.0

$50.0

$60.0

1999 $42.3 $3.1

2000 $48.8 $3.5

2001 $45.2 $1.4

Revenue Earnings

$ In Billions

Influence and Master ChangeInfluence and Master Change

Challenging Minds and Capturing HeartsChallenging Minds and Capturing Hearts

Setting People FreeSetting People Free

Everyone Born to LeadEveryone Born to Lead

Leadership Styles & Leadership Styles & PracticesPractices

In the words of Carly

RadicalRadical Iron FistIron Fist Appetite for riskAppetite for risk Shock TherapyShock Therapy Personal TouchPersonal Touch Customer Customer

FocusedFocused

Leadership Styles & Leadership Styles & PracticesPractices

About Carly

Self Proclaimed “Change CEO”Self Proclaimed “Change CEO”

Compelling VisionCompelling Vision

Appeal to Their BrainsAppeal to Their Brains

Keep the best, invent the restKeep the best, invent the rest

"I Make the Decisions Now”"I Make the Decisions Now”

Carly’s Leadership StyleCarly’s Leadership Style

Transformational Charismatic

Leadership

Carly on leadership

LEADERSHIP

Source: CEO Exchange with Jeff Greenfield PBS

Critical Issues

The Mega Merger The Mega Merger

Employee ConfidenceEmployee Confidence

Customer ConfidenceCustomer Confidence

Shareholder ConfidenceShareholder Confidence

The Proxy Fight with W. The Proxy Fight with W.

HewlettHewlett

HP and Compaq

Critical IssuesCritical Issues

Compaq has still to show that it Compaq has still to show that it integrated Digital Equipmentintegrated Digital Equipment

Global PC market slowingGlobal PC market slowing Lack of focus on services Lack of focus on services

(#1 growth engine for IBM)(#1 growth engine for IBM)Failed PWC mergerFailed PWC merger

Too much overlay in synergiesToo much overlay in synergies

The Mega Merger

Critical Issues Facing Carly

Carly on change

Source: CEO Exchange with Jeff Greenfield PBS

CHANGE

Employee Confidence Employee Confidence

Project a shared vision of one Project a shared vision of one united companyunited company

Keep the trust of the employeesKeep the trust of the employees Implement the needed change Implement the needed change

requiredrequired Manage the new expected Manage the new expected

behaviors and beliefs behaviors and beliefs

Will Carly be able:

Customer Confidence Customer Confidence

New HP will be easy to do New HP will be easy to do business withbusiness with

HP and Compaq are one company HP and Compaq are one company with one contact personwith one contact person

Continued support of the new HPContinued support of the new HP Promised synergiesPromised synergies

Will customers understand:

Shareholder Confidence Shareholder Confidence

Achieve new targets that meet or Achieve new targets that meet or exceed announced synergy exceed announced synergy figuresfigures

Realize synergies and minimize Realize synergies and minimize revenue lossrevenue loss

Acknowledge compelling growth Acknowledge compelling growth strategystrategy

Will Carly be able to :

The Proxy Fight The Proxy Fight

I will get you at

the end!

Over my father’s dead

body!

What is Carly Saying:

Carly FiorinaCarly Fiorina

Carly Speaks

COMMUNICATION

Source: CEO Exchange with Jeff Greenfield PBS

Has successfully completed the merger of HP and Compaq

Will be named most powerful Will be named most powerful business woman in the World for business woman in the World for year 2003year 2003

HP stock prices soar and splitHP stock prices soar and split

Future predictionsFuture predictionsPart I

Future predictionsFuture predictions

Walter Hewlett wins proxy fight

Carly will be replaced by Walter Carly will be replaced by Walter HewlettHewlett

Carly writes #1 bestseller entitled Carly writes #1 bestseller entitled “Walter and Me”“Walter and Me”

Part II

Q&AQ&A