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HP’s two-car garage

HP’s two-car garage 

For years, Hewlett-Packard was a single company, best known as purveyors of printers, desktop and laptop computers, servers and cloud technology, among other things. But come October 31, 2015, the unified company will split into two separate publicly-traded entities.

“To help us accelerate growth beyond 2015, we’ve decided to split two new, industry-leading Fortune 50 companies: Hewlett-Packard Enterprise and HP Inc.,” HP CEO Meg Whitman said during the general session of the company’s Global Partner Conference at the MGM Grand in Las Vegas.

Described as one of the biggest corporate separations in modern history, the split will see Hewlett-Packard Enterprise take over the management of HP’s extensive product and service portfolio, which includes servers, storage, networking, converged systems, software, and the Helion cloud platform. HP Inc. will focus on personal systems and printing, with an eye towards creativity and innovation. A new immersive computing platform known as Sprout will also be handled by this division.

“We expect the separation to happen at the beginning of our next fiscal year, around November 1 of 2015, and (we) believe that it positions us to better meet our joint customers’ rapidly-changing needs,” Whitman said.

Thousands of global HP partners will be directly affected by the change, with the transition process slated to officially begin on August 1. In order to ensure that the transition is smooth as possible, HP created the Navigator program to help ease their partners into the dual corporate structure and deflect separation anxiety.

“We are introducing the HP partner Navigator program, which will help distributors and resellers maintain business continuity leading up to the separation,” explained Whitman.

“We realize that HP’s separation will result in some changes for many of our partners. What we’re trying to do is ensure we provide our partners the support they need to be successful throughout all aspects of the separation,” Whitman continued.” The Navigator program will enable all HP authorized partners to continue to deliver the operational excellence and high standards that their customers have come to expect.”

Also announced during the session was the launch of HP’s PartnerOne Alliance program. HP created this program to help make its “two-car garage” concept more of an attractive prospect to partners who would be active within both of the company’s new divisions.

“This program is designed to help our partners continue to collaborate across both companies after HP’s separation,” said Whitman. “Hewlett-Packard Enterprise and HP Inc. will co-fund initiatives and maximize participation in industry channel events.

These changes coincide with the development of what HP refers to as “the new style of IT.” This concept, says, Whitman, seeks to implement a new type of business model for HP’s channel partners and their customers that is powered by IT.

“The new style of IT is about the success or failure of our joint customers in their marketplace.” Whitman said. “Are our joint customers going to be successful and win in their marketplace, or are they going to be overtaken by technology changes and new ways of doing business? What they need is solutions to embrace change, harness data, manage risk, reduce cost, enable agility and stay connected to their employees and their customers faster than ever before.”

Over the years, HP has built a big house for its residents, the channel partners, on a foundation of business innovation, continuity agility and success. Although the two-car garage is the last crucial part of this extensive renovation process, the company plans to make it as simplified as possible, ensuring that no one misses a beat.

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