Hewlett-Packard revealed plans for a large reorganization from within the company today, plans that will reposition its Imaging and Print Group (IPG) under the umbrella of the PC-making Personal Systems Group. Long-time Executive Vice President in charge of IPG, Vyomesh Joshi, will take his leave from the company. The business team will report to Todd Bradley going forward, the new executive vice president. Joshi has helped to grow IPG’s revenue from $19 billion to $26 billion during his 31-year career tenure. When the news first broke out yesterday, HP did not comment on the reorganization, but since then the company has confirmed the claims picked up across various news organizations.
A press release from HP states that the company is going through with the reorganization in hopes of improving performance and driving profit margins up for every business sector within HP. Other reasons for the reorganization include improving the “go-to-market” strategy, individual business sector branding, supply chain, and a better customer experience and support internationally. The move will also provide forseeable opportunities for cost savings.
Other changes are taking place in addition to the IPG reorganization. The Global Accounts Sales sector will be combined with the HP Enterprise Group and will be led by David Donatelli. Services included in this organization include Storage, Networking, Enterprise Servers, and Technology. This move is forcasted to speed up decision making, boost productivity, improve efficiency, and simplify the experience for the customer.
HP is also restructuring the Global Real Estate sector under Global Technology and Business Processes to provide a better employee experience and to work on real estate consolidation.