Hewlett-Packard NZ Restructures

Hewlett-Packard NZ Restructures To Take Advantage of Changing Market Increased Focus on IT Services Underpinned by Hardware Excellence

AUCKLAND, 5 December 2001 - Hewlett-Packard NZ Limited announced restructuring of its business units last week to allow increased focus on IT services, outsourcing and consulting.

Under the new structure, HP NZ will operate three business units - HP Services, HP Business Customer Sales Organisation and HP Consumer Business Organisation. The three general managers heading the units are: Barry Hastings, HP NZ's managing director, and general manager of the HP Business Customer Sales Organisation; Mark Bowman, general manager of HP Services, and Michael Carden, general manager of the HP Consumer Business Organisation.

Barry Hastings says the restructuring will allow the company to provide an expanded IT offering to the New Zealand market.

"The market has moved increasingly toward being services-led. More and more organisations are looking to outsource their IT departments and require a high level of service competence.

"Our restructuring will allow HP NZ to take advantage of growth opportunities in the market."

The announcement of Mark Bowman to the new position of general manager, HP Services, in New Zealand recognises the increased focus of HP, both locally and globally, on addressing the demands from customers for IT solutions including services.

The HP Services organisation comprises customer support, outsourcing, application support and consulting and includes the recently acquired operations of Computer Sciences Corporation (CSC) in New Zealand.

The HP Business Customer Sales Organisation interfaces with HP's major commercial customers and channel partners. "Our channel partners are an important part of our go-to-market strategy, providing both IT specialisation and geographical coverage," says Barry Hastings.

In the past year HP NZ's Consumer Business Organisation has developed a number of new initiatives designed to grow its share of the consumer market, including hp2go, a package aimed at the microbusiness market, Pavilion Build-to-Order packages offering consumers PC flexibility and a successful move into the consumer notebook market.

The division has recently launched a new umbrella initiative, Recipe for Life, which is designed to make HP "the leading supplier of personal digital solutions for people's e-life".

"We now have a broad range of products in the digital appliance area, and can offer people an integrated answer to their 'e' requirements," says Michael Carden.

Barry Hastings added that with the restructuring HP NZ will be in a stronger position to compete more broadly in the IT market. "It was critical for our growth to bring services and solutions more strongly into the mix alongside our hardware offers."

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About HP

Hewlett-Packard Company -- a leading global provider of computing and imaging solutions and services -- is focused on making technology and its benefits accessible to all. HP had total revenue of $45.2 billion in its 2001 fiscal year. Information about HP and its products can be found on the World Wide Web at http://www.hp.com.

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