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Thursday, 22 August 2013 09:43

HP in post result reshuffle

Written by Nick Farrell

Cut the deck

The head of HPs enterprise group had been reassigned as the maker of expensive printer ink grapples with losses.

David Donatelli, a high-flying executive that Wall Street analysts once considered a potential tech company CEO candidate, has been given a new role as CEO Meg Whitman wants "fresh eyes" on the enterprise business. This is another high profile reshuffle at HP. PC division chief Todd Bradley moved into a new role aimed at improving its China business and distribution relationships around the world.

The Enterprise Group is HP's largest business unit after personal computers, providing services to corporations ranging from networking and storage to servers. It is a critical component of Whitman's efforts to boost margins and profitability, while trying to minimize revenue declines.

The division recorded a 10 percent decline in sales in the second quarter, but had the highest operating margin of 15.9 percent after the software unit, and accounts for about a quarter of the company's annual sales.

Nick Farrell

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