HP Combines PC and Printing Business Units

HP Performs Reorganization to Drive Growth

by Anton Shilov
03/21/2012 | 02:00 PM

Hewlett-Packard on Wednesday announced an organizational realignment, under which HP’s imaging and printing group (IPG) and its personal systems group (PSG) are joining forces to create the printing and personal systems group. The combined entity will be led by Todd Bradley, who has served as the executive vice president of PSG since 2005.


Combining these two entities are projected to rationalize HP’s go-to-market strategy, branding, supply chain and customer support worldwide. This will lead to a better customer experience and drive innovation across personal computing and printing. This realignment is expected to provide opportunities for cost savings and accelerate HP’s ability to pursue profitable growth and reinvest in the business.

“This combination will bring together two businesses where HP has established global leadership. By providing the best in customer-focused innovation and operational efficiency, we believe we will create a winning scenario for customers, partners and shareholders,” said Meg Whitman, president and chief executive officer of HP.

In addition to combining PSG and IPG, HP also is taking steps to unify and streamline certain key business functions.

The global accounts sales organization will join the newly named HP enterprise group. This group will be led by David Donatelli and includes enterprise servers, storage, networking and technology services. The new structure is expected to speed decision making, increase productivity and improve efficiency.

HP also announced that it will unify its marketing functions across business units under Marty Homlish, executive vice president and chief marketing officer, HP. This will allow for even more effective brand-building and marketing activities, and will create efficiencies across the business units. HP’s communications employees worldwide also will be similarly unified under Henry Gomez, executive vice president and chief communications officer, HP.

Finally, HP is moving the global real estate function from finance into global technology and business processes to address real estate consolidation and improve the workplace experience for HP employees.

“Ensuring we have the right organizational structure in place is a critical first step in driving improved execution, and increasing effectiveness and efficiency.  The result will be a faster, more streamlined, performance-driven HP that is customer focused and poised to capitalize on rapidly shifting industry trends,” stressed Meg Whitman.