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    LIST OF CONTENTS

    1.EXECUTIVE SUMMARY..................................................................................2

    2. INTRODUCTION...............................................................................................5

    2.1 INDUSTRY OVERVIEW...............................................................................6

    2.2 COMPANY OVERVIEW..............................................................................18

    3. PROJECT PROFILE........................................................................................29

    4. OBJECTIVE OF STUDY.................................................................................32

    5. RESEARCH METHODOLOGY.....................................................................34

    6. OBSERVATION AND ANALYSIS.................................................................37

    7. FINDINGS..........................................................................................................60

    8. RECOMMENDATIONS AND CONCLUSIONS..........................................67

    9. LEARNING OUTCOMES...............................................................................71

    10. REFERENCES................................................................................................73

    11. ANNEXURE....................................................................................................75

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    1.EXECUTIVESUMMARY

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    EXECUTIVE SUMMARY

    The high-tech industry has seen unprecedented consolidation over the past five years as

    globalization trends intensify and the sector matures. In addition to pursuing an innovative

    organic growth strategy, HP has maintained its competitive position with aggressive merger and

    acquisition initiatives acquiring such market leaders as Compaq, Voodoo-PC, Peregrine, Mercury

    Interactive and Opsware. With many of HP's products and services already occupying leading

    positions in their respective markets, the company sought to build customer loyalty by ensuring

    synergies gained from its M&A activity benefited its customers. In many important ways, HP's

    sales organization is the front line in achieving its growth goals providing the main

    communication channel to its customers.

    Hewlett-Packard (HP) has now overtaken IBM as the number one IT vendor for Enterprise

    customers. One of the significant drivers of HP's success has been its focus on improving

    customer loyalty. By proactively managing elements of the business relationship in an effort to

    improve customer loyalty, HP account managers have found their customer base expanded and

    uncovered larger and more strategic opportunities as well. A key program in raising HP's

    customer loyalty scores is a customer relationship development and growth initiative started

    couple of years ago called the Relationship Assessment Process (RAP). At its foundation, RAP is

    managed through the Satmetrix for Account Management solution (SAM), which enablescompanies to create actionable customer loyalty programs. Satmetrix for Account Management

    includes flexible, Voice-of-the-Customer technology that makes it easy for HP's sales

    organization to collect customer feedback on a global scale. HP sales use RAP results to explore

    and act on customer satisfaction, loyalty and other important customer relationship dimensions.

    I carried out my project concerning Relationship Assessment Program and IPG Enterprise

    Customer Survey for HP, to assess the existing level of relationship between HP and its Top

    Accounts. Based on the feedback from these accounts, I identified top 5 areas of improvement,

    which can result in their better relationship with HP.

    The project was carried out throughout India either through Telephonic, Web or Face-to-face

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    interview. My study particularly involved finding out importance of the factors that drives their

    businesses and hence evaluate the performance of each satisfaction driver.

    In the case of IPG Enterprise Customer Survey, I conducted a Blind telephonic Survey in which

    I was interested in learning about the experience of the customers with their Printer

    Manufacturers Services and their Support Capabilities.

    This project has generated new customer insights to build stronger, more valuable and profitable

    customer relationships.

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    2.INTRODUCTION

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    INTRODUCTION

    The computer software and services industry is a highly dynamic and growing industry. Its

    phenomenal growth offers great opportunities for economic growth and development. However,

    it has a relatively short history which is especially true when considered outside of the United

    States expansion. Such a short history makes determining patterns of future growth particularly

    difficult, including patterns of where future growth will be located. Despite the high growth rates

    and dynamic shifts in the fortunes of new and existing players, paradoxically much of the way it

    has been shaped in developed countries, over recent years, has been by way of constraints and

    barriers to growth (this is set to continue). However, it is these constraints in developed countries

    which provide remarkable opportunities for developing countries to participate in this high

    growth, high value-added industry, which is so pivotal to the knowledge based economies of the

    twenty-first century. The internationalization of computer software and services activity came

    late compared with the manufacturing industry and many other service activities. Only hardware

    manufacturers served international markets in the period up to the mid-1970s. However, by the

    end of the 1980s, the international spread in the coverage of the industry had taken off.

    Over recent years, much has been made of the relocation and new investment in computer

    services mainly to developing countries, which nonetheless represent significant repositories of

    scientific and technical capabilities. Such moves have long been heralded and are now starting to

    take effect. This process, in part, reflects the hollowing out of such service activity by

    redirecting not just routine activities overseas, as has often occurred in manufacturing, but also

    key research, design, programming and maintenance work. The most cited example of a

    developing country that has expanded its software industry is that of India.

    2.1 INDUSTRY OVERWIEW

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    The information technology boom may have begun in the 1990s and we have seen the IT

    industry, grow to be one of the most lucrative industries. IT companies around the world have

    become global and undeniably one of the richest sectors in the world. The invention of the

    WWW and internet aided the growth of computer technology and after the demand and use of

    computers began increasing after the 1990s. The computer industry (hardware and software) has

    grown by leaps and bounds at an unprecedented rate.

    LIST OF GLOBAL PLAYERS

    Table 1 : List of IT Companies

    S. No. COMPANIES

    1 HP

    2 IBM

    3 Microsoft Corporation

    4 Google

    5 Dell

    6 SAP

    7 Symantec

    8 Apple

    9 Yahoo

    10 Oracle Corporation

    The North American market holds the top spot in IT spend. Even with the economic slowdown

    this market is forecasted to be the biggest IT spender accounting for around 41% of global IT

    trend, i.e., $1.2 trillion. The largest and most profitable of IT companies are located in the United

    States.

    GLOBAL HUMAN CAPITAL

    In recent years there has been significant change in the way labor is pooled across the globe. The

    influences of technology and growth have effectively caused industry leaders to have to change

    their focus from the brute force of labor (factor of production of traditional Economics) to the

    actual quality of the workers available globally (Global Outsourcing). This has produced a shift

    in tactics for those who manage Human Resources. It is now pertinent to devise strategies to

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    Green IT is expected to be an important highlight during 2009. According to the Green IT

    Survey conducted by IDC, over 50 per cent consider suppliers greenness when buying IT,

    almost 80 per cent think the importance of greenness as an IT buying consideration is growing,

    and over one-third have policies that favor green vendors. 2009 will see the introduction of green

    products (energy-efficient, space-efficient, materials efficient, regulatory compliant) that will

    create meaningful differentiation and move market share.

    INDIAN SCENARIO

    In India, the software boom started somewhere in the late 1990s. Most of the Indian IT

    companies at that moment offered only limited services such as the banking and the engineering

    software. The business product boom started with the emergence of Y2K problem, when a large

    number of skilled personnel were required to fulfill the mammoth database-correction demand in

    order to cope up with the advent of the new millennium.

    The profile of the Indian IT Services has been undergoing a change in the last few years, partly

    as it moves up the value chain and partly as a response to the market dynamics. Ten years ago,

    most US companies would not even consider outsourcing some of their IT projects to outside

    vendors. Now, ten years later, a vast majority of US companies use the professional services of

    Indian Software engineers in some manner, through large, medium or small companies or

    through individuals recruited directly.

    TIMELINE OF INDIAN IT INDUSTRY

    1968: The Tata industrial conglomerate forms software services unit Tata Consultancy

    Services.

    Mid-1970s: IBM exits India. Import duties of 150 percent or more mean that VCRs cost

    $3,000 and TVs cost $6,000. Wipro starts to create India's first homegrown PC.

    1991:National financial crisis causes government to introduce major reforms.

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    1993: A group of IT leaders determines plan for IT industry. Professor Deepak Phatak

    predicts India's IT output will hit $100 billion by 2010. "Everyone thought that sounded

    crazy, so we changed it to $50 billion by 2008," he said. The latter figure is on track.

    1994: Telecom liberalized.

    1995: TCS determines that its CasePac tool developed for IBM can be used to scan software

    for Y2K problems. An industry is born.

    1999: Y2K contracts pile into India.

    2002: Indian companies expand hiring. Massive layoffs in US

    2003: Led by service conglomerates such as Wipro and Infosys, India becomes a primary

    destination for offshore outsourcing as foreign companies seek to lower cost

    The evolution of the IT & ITES industry took place in four phases as under:

    PHASE-1:

    In the first phase of evolution of the ITES industry in India, many MNCs established captive

    units in India for customer support and transaction processing. General Electric Capital Services

    (now Genpact) was the first MNC to pioneer ITES in India when it opened an Indian-based

    international call centre in 1997 to perform tasks such as money collection, credit-card servicing,

    and data management. Other multinationals followed, establishing their own captive wholly-

    owned offshore facilities. These included British Airways (World Network Services), HSBC and

    Swissair.

    PHASE-2:

    In the second phase, third-party units were set up in India by MNCs (for outsourcing activities),

    non-resident Indians (NRIs), Indian independents, and Indian IT companies. Established

    software services such as Infosys, Wipro and Satyam ventured into the ITES business in 2002 by

    establishing subsidiaries. Quite a few of these third-party start-ups were small ventures with 50-

    100 seats (workers), and they generally focused on low-skill, routine activities, competing

    primarily on the basis of cost. More developed IT outsourcing firms tended to move towards

    higher value-added products competing to a greater extent on specialized talent.

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    PHASE-3:

    The third phase of evolution of ITES industry in India has been characterized by the increasing

    trend towards geographical dispersion of activities, mergers & acquisitions (M&A) have also

    taken place within the industry within this phase. Industry observers reported 574 M&As in

    2003, and 353 in 2004. With this process, many smaller ITES companies found it difficult to

    survive, and the M&A activity has continued. Going forward, competing small and medium-

    sized firms with complementary skills are likely to merge their operations to compete with larger

    global firms.

    PHASE-4:

    In the current and fourth phase of evolution of the ITES industry in India, there is an increasing

    trend towards Indian companies acquiring small to medium-size businesses in overseas

    locations. These foreign acquisitions mark a contrast to the practice of foreign MNCs setting up

    BPO units in India to take advantage of the lower costs here. Also, these acquisitions are

    probably in the nature of a market-entry strategy. There is also the growing trend of niche

    players in industry verticals or specific business processes setting up BPO businesses. Many of

    these players have had long experience in the domestic market and are now offering offshore

    BPO services.

    The Indian IT sector has gone through a lot since the end of the September 2008 quarter. The

    quarter gone by has seen some positives but a lot of negatives for the sector. On the positive side,

    the quarter saw the completion of 3 notable acquisitions: US$ 678 million all cash Axon

    acquisition by HCL Technologies outbidding Infosys Technologies, US$ 515 million all cash

    Citigroup Global Services (CGSL), the Indian captive BPO of Citi acquisition by TCS and US$

    127 million all cash Citi Technology Services acquisition by Wipro Whereas the Axon

    acquisition strengthened the SAP consulting practice of HCL Technologies, the TCS acquisition

    ensured assured business of US$ 2.5 billion over 9 year and the Wipro's acquisition assured

    revenues of US$ 500 million over 6 years. The negatives has been the uncertainty regarding the

    future IT spent, pricing pressure, the Satyam Computer debacle, the appreciation of the US dollar

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    against the Euro, Pound Sterling and Australian Dollar. The US dollar has appreciated by 20%

    against the Pound Sterling, 18% against the Australian Dollar and 2% against Euro. The Satyam

    debacle had shaken the confidence of the global clients on Indian IT. Though, the reactions are

    mixed regarding the impact on the debacle on Indian IT, the event has left a scar on the Indian

    IT. Managements of all IT Companies have showed their concerns on the IT spent and

    indecisiveness on big deals. A recent report of deal signings has shown that there has been a

    marked fall in the contract value of deals signed in the second half of 2008. However, on the

    positive side, the share of Indian vendors has increased. However, the environment is

    deteriorating.

    For the quarter ended December 2008, on a sequential basis, the consolidated operating revenues

    of 54 sector companies taken together grew 3% at Rs 30563 crore backed rupee depreciation

    benefit of 10-12% however marred by cross currency movement impacting about 6-8% andnegative to flattish volume growth on the back of lower number of working days. This quarter

    saw the impact of dip in realizations. Of the total operating revenues the top 4 companies

    contributed 72%. The operating margins improved 70bps at 24.6% aided by rupee depreciation

    and cost rationalization measures. The operating profit for quarter grew 6% at Rs 7515 crore.

    The other income for the quarter was down 31% at Rs 30 crore on the back of mark to market

    losses. Interest cost for the quarter was down 13% at Rs 227 crore and depreciation/amortization

    charge was up 6% at Rs 931 crore. The tax provision including current tax, deferred tax and

    fringe benefit tax was up 1% at Rs 873 crore with effective tax rate down 70bps at 13.7% and the

    consolidated net profit grew 7% at Rs 6445 crore with top 4 companies contributing 80%.

    CURRENT INDIAN SCENARIO

    The phenomenal growth of the Indian IT and ITES-BPO sector has had a perceptible multiplier

    effect on the Indian economy as a whole. In addition to the direct positive impact on National

    Income, the sector has grown to become the biggest employment generator, and has spawned the

    mushrooming of several ancillary industries such as transportation, real estate and catering, and

    has created a rising class of young consumers with high disposable incomes, triggered a rise in

    direct-tax collections and propelled an increase in consumer spending.

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    As a proportion of national GDP, the IT-BPO sector revenues have grown from 5.2 per cent in

    2006- 07 to an estimated 5.5 per cent in 2007-08. The outlook for Indian IT-BPO remains bright,

    and the sector is well on track to achieve its aspired target of US$ 60 billion in export revenues

    and US$ 73 - 75 billion in overall software and services revenues by 2010.

    Graph 1: Indian It Exports and Domestic Revenue Growth

    SOURCE: NASSCOM

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    Table 2 : Indian IT-BPO Industry Sector-wise Revenue Break-up

    SOURCE: NASSCOM

    Indian IT-BPO grew by 12 per cent in FY2009 to reach USD 71.7 billion in aggregate revenue.

    Software and services exports (includes exports of IT services, BPO, Engineering Services and

    R&D and Software products) reached USD 47 billion, contributing nearly 66 per cent to the

    overall IT-BPO revenue aggregate.

    IT-BPO exports (including hardware exports) reached USD 47.3 billion in FY2009 as against

    USD 40.9 billion in FY2008, a growth of 16 per cent. While the US (60 per cent) and the UK (19

    per cent) remained the largest IT-BPO export markets in FY2008, the industry footprint is

    steadily expanding to other geographies - with exports to Continental Europe in particular

    growing at a CAGR of more than 51 per cent over FY2004-2008. The industrys vertical market

    exposure is well diversified across several mature and emerging sectors. Banking, Financial

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    Services and Insurance (BFSI) remained the largest vertical market for Indian IT-BPO exports,

    followed by Hi-tech/Telecom which together accounted for 61 per cent of the Indian IT-BPO

    exports in FY2008.

    In FY2009, domestic market (including hardware) grew at nearly 19 per cent in INR terms to

    reach INR 1,113 billion (USD 24.3 billion); domestic software and services market reached INR

    572 billion (USD 12.5 billion).

    CONTRIBUTION TO GDP

    As a proportion of national GDP, the sector revenues have grown from 1.2 per cent in FY1998 to

    an estimated 5.8 per cent in FY2009. Net value-added by this sector, to the economy, is

    estimated at 3.5-4.1 per cent for FY2009.

    Table3: Percentage Contribution To GDP By IT Sector

    YEAR GDP

    1998 1.2

    1999 1.4

    2000 1.8

    2001 2.6

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    2002 2.8

    2003 3.2

    2004 3.6

    2005 4.1

    2006 4.8

    2007 5.2

    2008 5.5

    2009 5.8SOURCE: NASSCOM

    Graph2: Percentage Contribution To GDP By IT Sector

    EMPLOYMENT

    The total IT employment is expected to reach 2.2 million mark in 2009. The indirect

    employment attributed by the sector is estimated to about 8.0 million in year 2009. This

    translates to the creation of about 11 million job opportunities attributed to the growth of this

    sector.

    Table4: Employment Generated By IT Sector In Millions

    YEAR EMPLOYMENT

    1998 0.191999 0.23

    2000 0.28

    2001 0.43

    2002 0.52

    2003 0.67

    2004 0.83

    2005 1.05

    2006 1.29

    2007 1.63

    2008 22009 2.2

    SOURCE: NASSCOM

    Graph3: Employment Generated By IT Sector In Millions

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    NASSCOM released the performance review of FY2008-09 and taking a two year view to factor

    in the volatile environment, estimates the Indian IT industry to grow at 15% CAGR to achieve

    exports revenues of US$ 60-62 billion by FY2011. Earlier, NASSCOM had earlier estimated

    achieving revenues of US$ 60 billion by end of FY2010 itself. Uncertain economic environment

    is expected to prevail and the World growth is projected to fall 0.5% in 2009, lowest since 60

    years, but Nasscom expects the world economy to recover with a 3% in 2010.

    Software and Services export revenues is estimated to grow over 16-17% to reach US$ 47 billion

    in FY09. BPO exports are estimated to grow by 17.5% to be US$ 12.8 billion; IT Services

    exports are estimated to grow by 16.5% to be US$ 26.9 billion and IT Products and Engineering

    Services is estimated to grow by 14.4% to be US$ 7.3 billion.

    India's domestic IT-BPO market is estimated to cross Rs 111,000 crore in FY2009 at nearly

    20% growth rate. Hardware is estimated to grow by 17% to be Rs 54,070 crore; IT Services is

    estimated to grow by 20% to be Rs 38,020 crore; Software Products is estimated to grow by 15%

    to be Rs 10330 crore and BPO is estimated to grow by 40% to be Rs 8,870 crore. Over a 4-year

    period (FY04-FY08), Continental Europe is estimated to grow 51.4% as against an industry

    growth rate of 33.3% whereas in the same period, US share has come down from 68.2% to 60%

    of the industry revenues.

    Nasscom indicated that '2008-09 has been challenging for economies across the globe, however

    the Indian IT-BPO industry has exhibited a balanced growth. We have seen Europe, Asia Pacific

    and rest of the world grow more than US, reaffirming geographical diversification as an

    encouraging trend for this industry. In the last year we have seen an increase in the global

    footprint of the Indian industry, which now has over 400 delivery centers across 52 countries.

    This strategy of geographical diversification will also help the industry take forward its

    competitive edge. In the next 20-24 months, we see a strong focus by organizations on

    productivity, benchmarking, and enhanced operational efficiencies. From a customers' point of

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    view, the focus will remain on consolidation, integration and regulation all of which will drive

    newer business opportunities for the industry.

    2.2 COMPANY PROFILEHEWLETT-PACKARD COMPANY

    HP was incorporated in 1947 under the laws of the State of California as the successor to a

    partnership founded in 1939 by William R. Hewlett and David Packard. In May 2002 HP

    acquired Compaq Computer Corporation, which significantly expanded the breadth and depth of

    HPs product offerings, increased overall scale and reach, drove substantial improvements in

    cost structure and generally improved competitive position.

    I. BUSINESS

    HP is a leading global provider of products, technologies, software, solutions and services to

    individual consumers, small and medium sized businesses (SMBs), large enterprises,

    including the public and education sectors. HPs offerings span:

    Personal computing and other access devices

    Imaging and printing-related products and services

    Enterprise information technology infrastructure, including enterprise storage and server

    technology, enterprise system and network management software, and

    Multi-vendor customer services, including technology support and maintenance,

    consulting and integration and managed services

    HP Products and Services; Segment Information

    HP is organized into five business segments:

    Technology Solutions Group (TSG)

    Personal Systems Group (PSG)

    Imaging and Printing Group (IPG)

    HP Financial Services (HPFS)

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    HPS provides a portfolio of multi-vendor IT services, including technology services, consulting

    and integration and managed services, also known as outsourcing. HPS also offers a variety of

    services tailored to particular industries such as communications, media and entertainment,

    manufacturing and distribution, financial services and the public sector, including government

    and education services. HPS collaborates with the Enterprise Storage and Servers and Software

    groups, as well as with third-party system integrators and software and networking companies to

    bring solutions to HP customers. HPS also works with HPs Imaging and Printing Group and

    Personal Systems Group to provide managed print services, end user workplace services, and

    mobile workforce productivity solutions to enterprise customers.

    c. Software

    Software provides management software solutions, including support, that allow enterprise

    customers to manage their IT infrastructure, operations, applications, IT services and business

    processes under the HP Open-View brand. In addition, this segment delivers a suite of

    comprehensive, carrier-grade software platforms for developing and deploying next-generation

    voice, data and converged services to network and service providers under the HP Open-Call

    brand.

    1. Personal Systems Group

    PSG is one of the leading providers of personal computers (PCs) in the world based on unit

    volume shipped and annual revenue. PSG provides commercial PCs, consumer PCs,

    workstations, handheld computing devices, digital entertainment systems and other related

    accessories, software and services for the commercial and consumer markets.

    2. Imaging And Printing Group

    IPG is the leading imaging and printing systems provider in the world for consumer and

    commercial printer hardware, printing supplies, printing media and scanning devices. IPG is also

    focused on imaging solutions in the commercial markets, from managed print services solutions

    to addressing new growth opportunities in commercial printing in areas such as industrial

    applications, outdoor signage, and the graphic arts business. When describing HPs performance

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    in this segment, inkjet printer units and digital photography and entertainment products and

    services are grouped into consumer hardware, LaserJet printers and graphics and imaging

    products are grouped into commercial hardware and break out printer supplies separately.

    Inkjet Printers: Inkjet systems include desktop single function and inkjet all-in-oneprinters, including photo, productivity and business inkjet printers and scanners

    Digital Photography and Entertainment: Digital imaging products and servicesinclude photo specialty printers, photo kiosks, digital cameras, accessories and online

    photo services through Snap-fish in North America. An important part of IPGs strategy

    is to provide digital imaging solutions that rival traditional imaging for quality, cost and

    ease of use so that consumers can manage their digital imaging throughout the home and

    outside the home

    LaserJet Printers: LaserJet systems include monochrome and color laser printers,

    printer-based multi-function devices and Total Print Management Solutions for enterprise

    customers. A key initiative in this area of IPGs business has been and continues to be

    driving color printing penetration in the office

    Graphics and Imaging:Graphics and Imaging products include large format (Design-Jet) printers, Indigo and Scitex digital presses, digital publishing solutions and graphics

    printing solutions. A key initiative for IPG is to capture high-value pages by developing

    compelling solutions for the industrial, commercial printing and graphics segments

    Printer Supplies:Printer supplies include LaserJet toner and inkjet cartridges and otherprinting related media. These supplies include HP-branded Vivera and Color-Sphere ink

    and HP Premium and Premium Plus photo papers, which are designed to work together

    as a system to produce faster prints with improved resistance to fading, increased print

    quality and better affordability

    1. HP Financial Services

    HPFS supports and enhances HPs global product and service solutions, providing a broad range

    of value-added financial life cycle management services. HPFS enables HPs worldwide

    customers to acquire complete IT solutions, including hardware, software and services. The

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    group offers leasing, financing, utility programs and asset recovery services, as well as financial

    asset management services for large global and enterprise customers. HPFS also provides an

    array of specialized financial services to SMBs and educational and governmental entities. HPFS

    offers innovative, customized and flexible alternatives to balance unique customer cash flow,

    technology obsolescence and capacity needs.

    2. Corporate Investments

    Corporate Investments is managed by the Office of Strategy and Technology and includes

    Hewlett-Packard Laboratories, also known as HP Labs, and certain business incubation projects.

    Revenue in this segment is attributable to the sale of certain network infrastructure products,

    including Ethernet switch products that enhance computing and enterprise solutions under the

    brand ProCurve Networking.

    I. COMPETITION

    HP encounters aggressive competition in all areas of business activity. HP competes primarily on

    the basis of technology, performance, price, quality, reliability, brand, reputation, distribution,

    range of products and services, ease of use of its products, account relationships, customer

    training, service and support, security and availability of application software and its Internet

    infrastructure offerings.

    The markets for each of HPs business segments are characterized by vigorous competition

    among major corporations with long-established positions and a large number of new and rapidly

    growing firms. Product life cycles are short, and to remain competitive HP must develop new

    products and services, periodically enhance its existing products and services and compete

    effectively on the basis of the factors listed above. In addition, HP competes with many of its

    current and potential partners, including original equipment manufacturers (OEMs) that

    design, manufacture and often market their products under their own brand names. HPs

    successful management of these competitive partner relationships will continue to be critical to

    its future success.

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    On an overall basis HP is the largest U.S.-based company offering a wide range of general

    purpose computers and personal information, imaging and printing products for industrial,

    scientific, business and consumer applications, and IT services. HP is the leader or among the

    leaders in each of its principal business segments.

    The Competitive Environments In Which Each Segment Operates Are Described

    Below:

    Enterprise Storage and Servers:

    The areas in which ESS operates are intensely competitive and are characterized by rapid and

    ongoing technological innovation and price reductions. Its competitors range from broad

    solutions providers such as International Business Machines Corporation (IBM) to more

    focused competitors such as EMC Corporation in storage, Dell, Inc. (Dell) in industry

    standard servers, and Sun Microsystems, Inc. in UNIX-based servers. HP believes that its

    important competitive advantages in this segment include its broad range of server and storage

    products and related software and services. HPs global reach, significant intellectual property

    portfolio and R&D capabilities, which will contribute to further enhancements of HPs productofferings and ability to cross sell its portfolio and leverage scale advantages in everything from

    brand to procurement leverage.

    HP Service:The principal areas in which HPS competes are technology services, consulting and integration

    and managed services. The technology services and consulting and integration markets have

    been under significant pressure as customers scrutinize their IT spending. However, this trend

    has benefited the managed services business as customers attempt to reduce their IT costs and

    focus their resources on their core businesses. HPs key competitors in this segment include IBM

    Global Services, systems integration firms such as Accenture Ltd., outsourcing firms such as

    Electronic Data Systems Corporation and offshore companies. Many of its competitors are able

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    to offer a wide range of services through a global network of service providers, and some of its

    competitors enjoy significant brand recognition. HPs competitive advantages include its global

    delivery organization, deep technical expertise, diagnostic and IT management tools as well as

    ability to offer customers alternative service offerings from hardware support to consulting to

    datacenter outsourcing.

    Software:

    HPs software competitors include companies focused on providing software solutions for IT

    management, such as BMC Software Inc, CA Inc., and IBM Tivoli Software.

    Personal Systems Group:

    The areas in which PSG operates are intensely competitive and are characterized by rapid price

    reductions and inventory depreciation. HPs primary competitors for the branded personal

    computers are Dell, Acer Inc, Apple Computer, Inc., Gateway, Inc., Lenovo Group Limited and

    Toshiba Corporation. In particular regions, it also experiences competition from local companies

    and from generically-branded or white box manufacturers. HPs competitive advantages

    include its broad product portfolio, innovation and research and development capabilities, brand

    and procurement leverage, ability to cross sell its portfolio of offerings, its extensive service and

    support offerings and the availability of broad based distribution of products from retail and

    commercial channels to direct sales.

    Imaging and Printing Group:

    HP is the leading imaging and printing systems provider in the world for printer hardware,

    printing supplies and scanning devices. HP believes that its brand recognition, reputation for

    quality, breadth of product offerings and large customer base are important competitive

    advantages. However, the markets for printer hardware and associated supplies are highly

    competitive, especially with respect to pricing and the introduction of new products and features.

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    IPGs key competitors include Canon USA, Inc., Lexmark International, Inc., Xerox Corporation

    (Xerox), Seiko Epson Corporation, Samsung Electronics Co. Ltd. and Dell. In addition,

    independent suppliers offer refill and remanufactured alternatives for HPs supplies which,

    although generally offering lower print quality and reliability, may be offered at lower prices and

    put pressure on HPs supplies sales and margins. Other companies also have developed and

    marketed new compatible cartridges for HPs laser and inkjet products. In recent years, HP and

    its competitors have regularly lowered prices on printer hardware both to reach new customers

    and in response to the competitive environment. Important areas for future growth include digital

    photography in the home and outside the home, printer-based multi-function devices in the office

    space, digital presses in its imaging and graphics space and driving color printing expansion in

    the office. While HP encounters competitors in some product categories whose current market

    share is greater than HPs, such as Xerox in copiers and Heidelberger Druckmaschinen

    Aktiengesellschaft in publishing, HP believes it will provide important new contributions in the

    home, the office and publishing environments by providing comprehensive solutions.

    HP Financial Services:

    In HPs financing business, its competitors are captive financing companies, mainly IBM Global

    Financing, as well as banks and financial institutions. HP believes its competitive advantage in

    this business over banks and financial institutions is its ability to finance products, services and

    total solutions

    Economic Uncertainty Could Affect Adversely HPs Revenue, Gross Margin and

    Expenses:

    HPs revenue and gross margin depends significantly on general economic conditions and the

    demand for computing and imaging products and services in the markets in which it competes.

    Economic weakness and constrained IT spending has previously resulted, and may result in the

    future, in decreased revenue, gross margin, earnings or growth rates and problems with its ability

    to manage inventory levels and collect customer receivables. HP could experience such

    economic weakness and reduced spending, particularly in its consumer businesses, due to the

    effects of high fuel costs. HP also has experienced, and may experience in the future, gross

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    margin declines in certain businesses, reflecting the effect of items such as competitive pricing

    pressures, inventory write-downs, charges associated with the cancellation of planned production

    line expansion, and increases in pension and post-retirement benefit expenses. Economic

    downturns also may lead to restructuring actions and associated expenses. Uncertainty about

    future economic conditions makes it difficult for HP to forecast operating results and to make

    decisions about future investments. Delays or reductions in information technology spending

    could have a material adverse effect on demand for its products and services, and consequently

    its results of operations, prospects and stock price.

    Due to the international nature of HPs business, political or economic changes or other factors

    could harm its future revenue, costs and expenses and financial condition. Sales outside the

    United States make up more than 60% of HPs net revenue. So HPs future revenue, gross

    margin, expenses and financial condition also could suffer due to a variety of international

    factors.

    Graph4: Revenue by Segment

    Source: HP Annual Report 2008

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    Graph5: Revenue by Region

    Source: HP Annual Report 2008

    Relationship Assessment Program (RAP)

    The Challenge

    Improving Customer Loyalty to Support HP's Strategic Growth Goals

    The high tech industry has seen unprecedented consolidation over the past five years as

    globalization trends intensify and the sector matures. In addition to pursuing an innovative

    organic growth strategy, HP has maintained its competitive position with aggressive merger and

    acquisition initiatives acquiring such market leaders as Compaq, Voodoo-PC, Peregrine, Mercury

    Interactive and Opsware. With many of HP's products and services already occupying leading

    positions in their respective markets, the company sought to build customer loyalty by ensuring

    synergies gained from its M&A activity benefited its customers. In many important ways, HP's

    sales organization is the front line in achieving its growth goals providing the main

    communication channel to its customers. To that end, HP's leadership challenged its sales

    organization to drive new levels of customer loyalty to help build more strategic relationships and

    differentiate its capabilities from its competition.

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    The Solution

    A Consistent, Best-in-Class Customer Management Program for HP Sales

    To support the sales organization's transformational efforts, HP established a strategic business

    program called the Relationship Assessment Program (RAP). RAP was designed to measure and

    drive increased sales effectiveness by focusing account management behaviors in areas that

    provide the most compelling value to HP customers.

    RAP has leveraged best-in-class methodologies, tools and analytics supported by the Satmetrix

    for Account Management (SAM) solution. HP sales teams use the pre-arranged, structured

    collection and feedback methodologies provided by RAP to assess the account relationship across

    these three focus areas. RAP delivers these capabilities through a team of sales support resourcesand the Satmetrix for Account Management solution which automates much of the collection,

    analysis and reporting requirements of the program.

    RAP's Use of the Satmetrix for Account Management Solution

    HP deployed the Satmetrix for Account Management solution to deliver a customer relationship

    toolkit that was easy for its sales teams to adopt. This simplicity allowed RAP to quickly become

    a "best practice" with progressive account managers. These sales leaders shared an interest in

    conducting structured dialogs with their customers about other subjects than HP products and

    services.

    The RAP program takes advantage of Satmetrix for Account Management's web-hosted

    technology platform, giving RAP the flexibility to gather global feedback through face-to- face

    interviews or via the Internet. RAP also leverages the solution's multi-lingual capabilities to

    provide a single solution across HP's many geographic regions. Over theyears, HP has worked

    closely with Satmetrix to improve its customer assessments byaddressing the many dimensions

    of its account relationships, including:

    Service priorities

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    Satisfaction

    Loyalty

    Gaps in understanding

    Performance vs. competitors

    Future customer and industry priorities

    In addition to assisting the individual account teams, historical customer feedback is available

    online, which allows HP to aggregate and analyze macro trends. Sales management applies these

    insights to identify and validate systemic issues across accounts so that strategies, priorities and

    resources can be adjusted in a more timelyfashion.

    HP sales use RAP results to explore and act on customer satisfaction, loyalty and other important

    customer relationship dimensions. The RAP program is currently being used with most of HP's

    top 1000 Enterprise accounts and has become an integral part of the sales process. Interviews with

    HP's global sales executives provided valuable insights into how their account teams have

    leveraged RAP to build more strategic relationships with their customers. RAP helps HP optimize

    relationships with its customers, supporting accelerated revenue, and improved customer loyalty.

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    1.PROJECT

    PROFILE

    PROJECT PROFILE

    In this era of globalization company can survive only when it knows the fast of consumer, which

    is changing day by day. A company can get an edge over its competitors in these cutthroat

    competitions through superior quality, innovations and better customer responsiveness.

    More and more businesses today are recognizing the importance of operational loyalty programs

    in which ownership and action are the responsibility of every employee. By cultivating a strong

    loyalty program, companies can proactively address potential issues and identify new business

    opportunities.

    A key program in raising HP's customer loyalty scores is a customer relationship development

    and growth initiative started couple of years ago called the Relationship Assessment Program

    (RAP). Sales organizations can use RAP results to explore and act on customer satisfaction,

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    loyalty and other important customer relationship dimensions. With insights provided by RAP,

    sales teams are able to quickly analyze customer feedback and incorporate it into their business

    plans, which have helped to increase HPs sales funnel and close more business.

    I carried out my project concerning Relationship Assessment Program and IPG Enterprise

    Customer Survey for HP to assess the existing level of relationship between HP and its Top

    Accounts. Based on the feedback from these accounts, I identified top 5 areas of improvement,

    which can result in their better relationship with HP.

    RAP drives sales performance across three major areas of B2B customer relationships:

    Service Level Performance: Doing the fundamentals well by ensuring that the account is

    properly serviced to create positive impacts for the customer

    Competitive Positioning: Providing differentiated performance by focusing activities in

    the most valued areas for the customer

    Customer Loyalty and Satisfaction: Ensuring long-term benefits for the customer that

    build a set of referenced success stories to demonstrate the strategic nature of the

    relationship.

    The project was carried out throughout India either through Telephonic, Web or Face-to-face

    interview. My study particularly involved finding out importance of the factors that drives their

    businesses and hence evaluate the performance of each satisfaction driver.

    In the case of IPG Enterprise Customer Survey, I conducted a Blind telephonic Survey in which I

    was interested in learning about the experience of the customers with their Printer

    Manufacturers Services and their Support Capabilities.

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    1.OBJECTIVE OF

    STUDY

    OBJECTIVE OF STUDY

    Assess the existing level of relationship between Hewlett Packard and its Top Accounts

    through Relationship Assessment Program. Based on the feedback from top accounts,identify top 5 areas of improvement, which can result in their better relationship with HP

    IPG Enterprise Customer Survey, in which we were interested in learning about the

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    experience of the customer with their Printer Manufacturers Services and their Support

    Capabilities

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    5. RESEARCH

    METHODOLOGY

    RESEARCH METHODOLOGY

    Type of Research

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    Analysis for RAP data was done by using Satmetrix Software and in the case of IPG it was done

    by using the MS excel. Percentage analysis was used to analyse the data. Histograms and pie

    charts are used to explain the output.

    Challenges Faced:

    Getting an appointment from the respondents was a big challenge, as most of the

    respondents were from top management

    It was experienced during the survey that it was difficult to convince or make the

    respondents understand the important of the project

    Some time the emotional attachment and brand loyalty of respondents prohibited to give

    correct information

    The time constraint faced in the project might have affected the comprehensiveness of itsfindings

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    6. OBSERVATION

    &

    ANALYSIS

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    OBSERVATION AND ANALYSIS OF RAP

    1. Overall satisfaction with HP

    The section deals with theOverall satisfaction with HP. Data obtained from 60 respondents is

    represented in tabular and graphical forms.

    Business-to-business experiences with HP

    Satisfaction LevelNo. of

    Respondents

    Completely satisfied 8

    Very satisfied 20

    Satisfied 16

    Somewhat dissatisfied 10

    Dissatisfied 6

    With regard to Business-to-business experiences with HP 13%, 33% and 26% of the

    respondents were completely satisfied, very satisfied and satisfied respectively. There are

    a good 16% and 10% of respondents who were somewhat dissatisfied and dissatisfied

    respectively.

    Buying HP again

    Buying HP againNo. of

    Respondents

    Definitely would buy 18

    Probably would buy 22

    Might or might not buy 10

    Probably would not buy 10

    If the respondents were in market for IT products and services today, how likely would

    they buy, the above table shows the breakup of their responses.

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    Recommend HP

    Recommend HPNo. of

    Respondents

    Definitely would recommend 20Probably would recommend 16

    Might or might not recommend 12

    Probably would not recommend 8

    Definitely would not recommend 4

    When it came to recommending HP to other associates or colleagues, nearly 33%,

    26% and 20% of them said they would definitely recommend, probably would

    recommend and might or might not recommend respectively. In the case of

    respondents saying probably would not recommend and definitely would not

    recommend there were 13% and 6% accordingly.

    2. Satisfaction Drivers and Performance

    Under this section all the data deals with theSatisfaction Drivers and Performance of HP on a

    scale of 1 to 10. Data obtained from 60 respondents is represented in tabular form.

    Rating Comment

    >=7Generally meeting requirements;maintain performance, or build on thesestrengths

    6Some gaps exist; prevent these frombecoming problem areas

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    It involves the entire process from the time the client orders the product till it is delivered

    and installed. Rating from the respondents regarding HPs performance in EODB is

    represented here

    Rating No. of Respondents

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    2g.The product, software and services information HP provides contributes to your IT

    planning process

    Rating No. of Respondents

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    8 20

    9--10 7

    2j. Effectiveness in helping you manage your total cost of ownership

    Rating No. of Respondents

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    2m. Account team's ability to add strategic business value to help you meet your

    company's business initiatives

    Rating No. of Respondents

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    4b.In the long term according to respondents, HP should increase attention on

    AreasNo. of

    Respondents

    Ease of doing business (EODB) 2

    Integrated solutions (IS) 5

    Services and technical support 16Business understanding and

    partnership

    Relationship value 15

    In the long term according to respondents, HP should increase attention on Businessunderstanding and partnership (37%), Services and technical support (27%), and

    Relationship value (25%).

    4c. Top Strengths that cause respondents to choose HP over others

    Strengths No. of Respondents

    Reliable Hardware 36

    Quality 30

    Product range 19

    Relationship 13

    Branding 10

    Price 7

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    More than 50% of the respondents were happy with HPs product quality and

    reliability, 32% of them said the product range is excellent when compared to

    competition.

    4d. Top things that respondents would like to see changed or improved

    Weakness No. of Respondents

    Technical Support 40

    Not working like a Cohesive unit 25Delay in Response 20

    Proactive Communication 18

    Human Related 14

    Third party related 9

    Inability to close long standingissues

    8

    67% of the respondents were not happy with the Technical support and 42%, 33% and

    30% of them were not satisfied because of HP not working like a single unit, delay in

    response and lack of proactive communication.

    5. Relationship

    5a. HPs relationship with respondents company, currently

    RelationshipNo. of

    Respondents

    Product and Services Vendor 55

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    Value-added SolutionsProvider(VASP) 5

    Strategic partner or ally 0

    92% 0f the respondents said presently HP is only a Product and Services Vendor and

    remaining consider HP has a Value-added solutions provider.

    5b. HPs relationship with respondents company, desired

    RelationshipNo. of

    Respondents

    Product and services vendor 0Value-added solutions provider 28

    Strategic partner or ally 32

    Nearly 53% of the accounts want to have HP as a Strategic partner or ally and remaining

    47% want HP to be a Value-added solutions provider.

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    OBSERVATION AND ANALYSIS OF IPG ENTERPRISE CUSTOMER

    SURVEY

    We conducted a Blind telephonic Survey (the respondents were not informed regarding which

    vendor was conducting the survey), so that there will be no bias. Totally we called 211 accounts

    but due to lack of interest from some respondents and insufficient time only 118 successful

    surveys were possible.

    Actual Deployment

    Status

    No. of Accounts

    Total Calls made 211

    Total Successful Surveys 118

    Total Surveys on Multi

    vendors printer

    33

    Exclusive customers for HP 85

    Region wise break up of IPG Enterprise Accounts is given below in tabular form:

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    2. Services And Technical Support

    Under this section all the data deals with the Services and technical support on a scale of 1

    to10. Data obtained from 118 respondents is represented in tabular and graphical forms.

    2a. Performance of Call Center

    Vendors (Sample)Call Centerperformance

    XEROX(7) 7.83

    CANON(19) 7.72

    HP(116) 7.5

    SAMSUNG(6) 6.5

    OTHERS(7) 5.14

    HP is performing decently when it comes to the performance of the call center; its only

    bettered by Xerox and Canon.

    2b. Performance of Onsite Support

    Vendors (Sample)Onsite Supportperformance

    CANON(19) 7.42

    XEROX(7) 7.28

    HP(116) 5.85

    SAMSUNG(6) 5.3

    OTHERS(7) 5.25

    HPs Onsite Support is really not that impressive, Onsite technicians are not able to sole

    the issues immediately this may be due to lack of availability of spare parts.

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    2c. Ability to repair the printer

    Vendors (Sample) Ability to repair

    CANON(19) 7.21

    XEROX(7) 7

    HP(116) 6.16

    SAMSUNG(6) 5.92

    OTHERS(7) 5.5

    When it comes to ability to repair the printer it is doing decently, but still Canon and

    Xerox are performing better than HP.

    2d. Ability to keep customer informed regarding the status of repair

    Vendors (Sample)

    Keepingcustomerinformed

    HP(116) 7.42

    XEROX(7) 7.16

    CANON(19) 6.5

    SAMSUNG(6) 5.34

    OTHERS(7) 5.12

    HP secured the top position when it comes to, ability to keep customer informed

    regarding the status of repair. When compared to other parameters Canon is not

    performing that well where as Samsung is well below competition.

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    2e. Satisfaction with how the manufacturer administers your Support Agreement

    event (i.e., renewal or contract changes)

    Vendors (Sample)

    Satisfactionwith supportagreement

    CANON(19) 7.6

    HP(116) 7.25

    XEROX(7) 6.57OTHERS(7) 5.75

    SAMSUNG(6) 4.75

    HP got a decent rating when it comes to renewal or contract changes HP, the credit goes

    to its Account Managers.

    3. Best Service Support

    With regard to technical support, 67 out of 116 Enterprise accounts were satisfied with HPs

    support. But in those accounts which had Canon, Xerox and HP they rated Canon as the best

    service provider.

    Vendors(Sample) Number

    Best ServiceSupport %

    CANON(19) 13 68.4

    HP(116) 67 57.8

    XEROX(7) 3 42.8

    OTHERS(17) 2 11.7

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    Huge growth rates have been expected in IT hardware sector in India as well as all over the

    world. However this industry looks to be very attractive primarily because of higher margins and

    the forces that shape up the industry as HP is one of the leading players. Other aspects have been

    analyzed as follows.

    Threat of new entrants [ Low ]

    The industry is highly capital intensive. Huge capital needs to be invested for procuring

    advanced machineries and modern technology, marketing activity as well as building up

    inventories. The major strengths of the current players are strong brand presence and established

    R&D. As a result the threat of new entrants is low but local established players can give a tough

    competition. Some players like Apple and Asus have made successful entry to Indian market.

    Bargaining power of suppliers [ low ]

    As HP has global presence it has set-up manufacturing units in those countries were cost of

    production is less. Bargaining power of suppliers is low because HP is a large player and can

    easily find raw material vendors across the world.

    Bargaining power of buyers [ High ]

    Demand for IT products is high but at the same time there are many vendors. The competitive

    pressure is very high because of very less difference in product specifications and price. Hence

    buyers can switch to another vendor without incurring high switching costs.

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    Threat of substitute products [ Low]

    In the IT hardware sector threat of substitute products is always there due to technology

    advancement but currently its low.

    Rivalry among competing firms [ High ]

    All over world 21% of the PC market is held by HP, 19% by Dell, 17% by Acer and other

    players share the rest, there is intense competition in this sector. But in the case of Servers and

    Printers HP has a strong foothold across the world.

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    7. FINDINGS

    SWOT ANALYSIS

    Strengths

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    Rated high on product quality and reliability

    Strong brand equity

    Diversified product portfolio (offerings spans personal computing and other access

    devices; imaging and printing-related products and services; enterprise informationtechnology infrastructure, multi-vendor customer services, consulting and integration and

    outsourcing services)

    Solid market position in key segments

    Excellent pool of talent

    Weaknesses

    Internal control issues

    Lack of in-house management consulting division

    Inventory

    Centralizing the important information prevents other hands from creating efficiencies

    around the tasks that occur during a product release

    Software is really not up to the mark

    Poor after sales support

    Opportunities

    Huge potential market in Government organizations and Public Sector Undertakings

    e-Commerce expansion

    Restructuring of internal IT structure

    Imaging and printing businesses

    Utilizing other channels of sales

    Threats

    Intense competition from other PC manufacturers

    Increasing competition on imaging and printing

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    Slowdown in economic conditions around the world

    Product recalls and supply chain disruptions

    Exposed to fluctuations in the World currency markets (i.e., changes in exchange rates)

    New entrants to the market pose potential threats

    FINDINGS BASED ON RAP

    1. Overall satisfaction with HP

    47% of the respondents are loyal towards HP 27% of the respondents are favorable towards HP

    16% of the respondents were vulnerable

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    10% of the respondents are at high risk and there is a high chance of these

    respondents switching over to other vendors

    1. Satisfaction Drivers and Performance

    HP is performing decently well in most of the Satisfaction Drivers except those related to

    Service Support.

    2. Best Practice

    Majority of the clients think HP is either above or at par with competition, except when it

    comes to Software.

    3. Priorities and Preferences

    HPs Services and technical support and Business understanding and partnership is the main

    priority for many clients both in the short and long term.

    Top Strengths that made respondents to choose HP over others

    Reliable Hardware

    Quality

    Product range

    Top things that respondents would like to see changed or improved

    Technical Support

    Not working like a Cohesive unit

    Delay in Response

    1. Relationship

    HPs relationship currently with most of the clients company is limited to Product andservices vendor but most of them desire to have HP has a Strategic partner or ally or Value-

    added solutions provider

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    FINDINGS BASED ON IPG ENTERPRISE CUSTOMER SURVEY

    1. Types of Printers used in sampled accounts

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    Big corporates were using all type of printers. Banks and Government organizations had

    more of Laser Jet Multifunction and Laser Jet.

    2. Services and technical support

    2a. Performance of Call Center: HP is performing decently when it comes to theperformance of the call center; its only bettered by Xerox and Canon.

    2b. Performance of Onsite Support: HPs Onsite Support is really not that impressive,

    Onsite technicians are not able to sole the issues immediately this may be due to lack of

    availability of spare parts.

    2c. Ability to repair the printer: When it comes to ability to repair the printer it is doing

    decently, but still Canon and Xerox are performing better than HP.

    2d. Ability to keep customer informed regarding the status of repair: HP is performing

    really well when it comes to, ability tokeep customer informed regarding the status of repair.

    When compared to other parameters Canon is not performing that well where as Samsung is

    well below competition.

    2e. Satisfaction with how the manufacturer administers your Support Agreement

    event: When it comes to renewal or contract changes HP is able to do well, the credit goes to

    its Account Managers.

    3. Best Service Support

    HPs Service Support is really not that impressive, nearly half of the accounts were not

    happy with HPs support. But in those accounts which had Canon, Xerox and HP they rated

    Canon as the best service provider.

    4. Dissatisfaction Factors

    We found out that with HP, more than half of the respondents were not happy with theService Support, especially in East region. Adding to this Onsite technicians are not able to

    sole the issues immediately this may be due to lack of availability of spare parts. Once the

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    complaint is lodged by the accounts with the call center, some of them also faced delay in

    technicians coming and addressing the issue.

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    RECOMMENDATIONS AND CONCLUSION

    In this modern era when globalization and liberalization has brought a tide of change and only

    those companies can survive, which will ride on it or which will keep them isolated and let the

    tide go. No company can be untouched from the storm of change and the pace of adaptiveness

    will decide its success. The market share of company will be decided from the value it gives to

    the customer, the relations it has with its channel partners and end consumers, the number of

    innovative products it has in its basket and its position in consumers mind.

    HP has a good potential in the Indian market especially in PCs, Servers and Printers but HP

    surely has to apply cost cutting measures in the highly competitive market. The marketing and

    sales departments are doing good, but after sales support has to be strengthened and concentrated

    to specific verticals. The distribution network of HP has to be strengthened. If HP is able to

    create awareness about their quality and reliable products amongst their target consumer base

    they can be far ahead of the competition but they have to make a fast move as its competitors on

    the global basis (specially from the Chinese manufacturers) are also making strong inroads into

    the Indian market. More focus should go into making people aware of the obvious superiority of

    HP over other Vendors.

    1. Few accounts are at high risk and there is a high chance of these accounts switching over

    to other vendors. Immediately a detailed report from the account manager should beobtained and the problem areas should be prioritized and addressed.

    2. A significant number of accounts are vulnerable, there are some gaps existing, HP should

    prevent them from becoming problem areas.

    3. An action plan/set of initiatives that HP will be driving to address the short and longer-

    term issues raised in the feedback should also become an integral part of HPs

    relationship and business development plan.

    4. Revisit the progress made on the deployment of action plan/initiatives as part of account

    team's regular governance framework.

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    15. When a complaint is registered in the call center by the account, technician should visit

    the site immediately and close the issue at the earliest.

    16. Currently HP is a Product and services vendor but many accounts desire to have HP as

    Value-added solutions provider or Strategic partner, so the top management of HP should

    work in this direction.

    17. Availability of spare parts is the main issue in some of the accounts, so HP can either

    keep the spare parts in large quantity in the service center or even at customers place. So

    that the problem can be resolved immediately.

    18. Maintenance kit with printers should be made optional, so that the price can be reduced.

    19. To maintain their huge market share in printers, HP should come up with attractive buy-

    back and replacement offers.

    20. Company is having one of the best sales and marketing supports, with which it can tap

    the new opportunity thrown in market.

    21. In this competitive world where the IT products are changing in every six months there is

    a need of providing a solution which can be easily upgraded or can be connected to a new

    technology. This is one of the limiting factors in purchase of Servers. Hence HP should

    come up with products which can be upgraded easily.

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    9. LEARNING

    OUTCOMES

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    LEARNING OUTCOME

    How Organizations understand its customers and improve its relationship with them

    resulting in better business

    Every customer has different needs and importance, so as a marketer understanding this

    is the most important thing, so that the customer becomes loyal to the firm

    Proper analysis of a problem should be done before implementing the Action Plan

    In the Action Plan only the concerned division should be involved, so that efficiency is

    maintained

    How to change the perception of the customers about a product without changing the

    product

    Converting the theoretical concepts learnt in the class into the Practical use

    How to work in a team

    One of the major learning outcomes from this project was how to interact with the

    customers effectively. It was a real challenge to handle dissatisfied customers. Customers

    generally have a wide range of queries which have to be answered patiently and

    convincingly. So to deal with customers is a fine art which is been learned from this

    project

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    REFERENCES

    Sources of Website and On-line Journals:

    1. www.hp.com

    2. www.itsectornews.com

    3. www.globusz.com

    4. www.nasscom.org

    5. www.cmocouncil.org/programs/current/close/ejournal/october.html

    6. www.neerajmishra.wordpress.com/2008/07/21/information-technology-it-in-india-the-

    challenges-future-scope

    7. www.economywatch.com

    8. www.businessworld.in

    9. www.researchandmarkets.com

    The following reports were referred to

    Somesh K. Mathur, "Indian Information Technology Industry: Past, Present and Future &

    A Tool for National Development" (2008)

    Sanjay K Shah, "Information Technology in India: Present Status and Future Prospects

    for Economic Development" (2007)

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    http://www.hp.com/http://www.itsectornews.com/http://www.globusz.com/http://www.nasscom.org/http://www.cmocouncil.org/programs/current/close/ejournal/october.htmlhttp://www.neerajmishra.wordpress.com/2008/07/21/information-technology-it-in-india-the-challenges-future-scopehttp://www.neerajmishra.wordpress.com/2008/07/21/information-technology-it-in-india-the-challenges-future-scopehttp://www.economywatch.com/http://www.businessworld.in/http://www.researchandmarkets.com/http://www.itsectornews.com/http://www.globusz.com/http://www.nasscom.org/http://www.cmocouncil.org/programs/current/close/ejournal/october.htmlhttp://www.neerajmishra.wordpress.com/2008/07/21/information-technology-it-in-india-the-challenges-future-scopehttp://www.neerajmishra.wordpress.com/2008/07/21/information-technology-it-in-india-the-challenges-future-scopehttp://www.economywatch.com/http://www.businessworld.in/http://www.researchandmarkets.com/http://www.hp.com/
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    11. ANNEXURE

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    ANNEXURE

    Abbreviations:

    H.P = Hewlett- Packard

    SMBs= Small and Medium-sized Businesses

    TSG = Technology Solutions Group

    PSG = Personal Systems Group

    IPG = Imaging and Printing Group

    HPFS = HP Financial Services

    ESS = Enterprise Storage and Servers

    HPS = HP Services

    The survey was conducted in Nationwide (North, East, West and South) regions of India.

    QUESTIONNAIRE:

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    Relationship

    Assessment Program

    Company:

    Customer Name:

    Interviewer:

    Date:

    Location:

    Thank you for agreeing to give HP your feedback and advice about HP's relationship

    with you and your company. We are interested in learning about your experiencewith HP over the last twelve months.

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    Please answer the following questions in all areas where you have experience or

    opinions. For other questions, the option "Does Not Apply" can be selected. This

    assessment should take about 30 minutes.

    Thank you in advance for your feedback.

    Section I: Overall Satisfaction with HP

    1. Overall satisfaction with HP

    1a. Thinking about all of your business-to-business experiences with HP, howsatisfied are you?

    Completely satisfied Very satisfied Satisfied Somewhat dissatisfied Dissatisfied Dont know

    1b. If you were in the market for IT products and services today, how likely wouldyou be to selectHP again? Definitely would buy Probably would buy Might or might not buy Probably would not buy

    Definitely would not buy Dont know

    1c. How likely are you to recommend HP to other associates or colleagues? Definitely would recommend Probably would recommend Might or might not recommend Probably would not recommend Definitely would not recommend Dont know

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    Section II: Satisfaction Drivers and Performance

    1. For the following questions, please rate HPs performance relative to theimportance of each factor in helping your company meet business objectives.

    Extremely important Not at allimportant

    Excellent Very poor

    2a. Overall ease of doing

    businessImportance

    10 9 8 7 6 5 4 3 2 10

    N/A

    Performance10 9 8 7 6 5 4 3 2 1

    0N/A

    2b. Effectively provides

    integrated solutions (a

    combination of HP

    hardware, software,

    services and/or

    partnership expertise) to

    solve a key business

    need or requirement

    Importance10 9 8 7 6 5 4 3 2 1

    0 N/A

    Performance10 9 8 7 6 5 4 3 2 1

    0N/A

    2c. Overall satisfaction with

    HPs ability to effectively

    service and support your

    IT solutions

    Importance10 9 8 7 6 5 4 3 2 1

    0N/A

    Performance10 9 8 7 6 5 4 3 2 1

    0 N/A

    2d. Overall effectiveness of

    business understanding

    and partnership

    capabilities

    Importance10 9 8 7 6 5 4 3 2 1

    0N/A

    Performance10 9 8 7 6 5 4 3 2 1

    0N/A

    2e. Ability to understandyour business priorities

    and critical success

    factors

    Importance 10 9 8 7 6 5 4 3 2 1 0 N/A

    Performance10 9 8 7 6 5 4 3 2 1

    0 N/A

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    Section V: Your Relationship

    1. How would you describe HPs relationship with your company?

    Current Desired

    Product and services vendor Value-added solutions provider Strategic partner or ally

    Product and services vendor Value-added solutions provider Strategic partner or ally

    Section VI: General Comments

    1. We would sincerely appreciate any additional comments or suggestions you

    may have that would improve your relationship with HP

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    IPG Enterprise Customer

    Feedback 2009

    Company Name: ____________________________________

    Name of respondent: ____________________________________

    Date: ____________________________________

    Location: ____________________________________

    Good Morning/Afternoon/Evening.

    My name is ________________ (Name of the Caller) and I am calling from customer research

    firm, Am I speaking with Mr.____________________________________?

    Mr. ___________ (Customer Name) we are interested in learning about your experience withyour Printer Manufacturers Services and their Support capabilities, so would it be a suitable

    time to take your feedback?

    Yes

    Please be assured your answers would be kept confidential.

    (Entire survey would be done).

    No

    May I know the suitable time to call you back?

    (Note the date and time of call back requested by customer and give the closing script)

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    1. Types of Printers used in your Organization?

    Ink jet Office jet All in

    Ones Laser jet All in

    One

    Laser jetMultifunction(Mono/Color)Laser

    Laser jet

    (Mono/Color)

    Other (specify)

    _______________________

    Section I: Services and Technical Support

    1. Services and technical support

    Please rank your Printer Manufactures on the following attributes of service and technical

    support. Also rate their respective performance on a scale of 1-10.

    i) Performance of Call Center (Remote support over toll free phone)(Rank / Performance on scale of 1-10)

    Rank Printer Manufacturer Performance (1Poor 10 Excellent)

    1

    2

    3

    ii) Performance of Onsite Support (Rank / Performance on scale of 1-10)

    Rank Printer Manufacturer Performance (1Poor 10 Excellent)

    1

    2

    3

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    iii) Ability to repair the printer. (From the time the call is logged, till it is repaired).(Rank / Performance Turnaround time)

    Rank Printer Manufacturer Performance (1Poor 10 Excellent)

    1

    2

    3

    iv) Ability to keep customer informed regarding the status of repair (Rank /Performance on scale of 1-10)

    Rank Printer Manufacturer Performance (1Poor 10 Excellent)

    1

    2

    3

    v) Satisfaction with how the manufacturer administer your Support Agreementevent (i.e., renewal or contract changes) (Rank / Performance on scale of 1-10)

    Rank Printer Manufacturer Performance (1Poor 10 Excellent)

    1

    2

    3

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