If you can’t draw out your strategy on a napkin for other people to understand then you better go back to the drawing board.
It doesn’t matter whether you are the CEO of a Fortune 500 or
the president of a tiny company, when you’re creating a new product
line or merging with another company it’s very important that you have
the backing and support of your team around you to make sure things are
executed properly. On the merger/acquisition side, one shouldn’t
have to dig too deeply for reasons to go forward; management and
cultural synergies should be obvious immediately. If they aren’t then
you should probably go back to stage one and find another partner or
idea. If you’re vision is cloudy and hard for people to understand –
then you may have another problem – and quick decisions may lead to
mediocrity. There are a number of acquisitions that have taken
place in our industry – and this year tech acquisitions are reaching
new heights. When someone asks me to gauge the potential success and/or
failure of such moves – and my quick answer is always to check with the
employees. Although it seems quite unscientific, one should be able to
examine the potential for success based on the employee reaction and
cultural synergies. I bring this up as we
get to the official closing date of the HP Voodoo acquisition. I found
out that everyone at Voodoo signed up almost immediately after
receiving their offer letters from HP. That’s right, 100% of our
employees signed up without hesitation. Not only this, but we
have ex-Voodoo employees knocking at the door to see if there is an
opportunity for them to join back on the team. On the other side in
Cupertino, I have received nothing but high praise about the deal in
general – people are “high-fiving” me in the hallways as I pass. People
at HP Labs are excited by the prospect of working with us, and it feels
like home when I visit all the sites. This tells us that our strategy
is validated by the very people who will be carrying it forward. If
you can’t draw out your strategy on a napkin for other people to
understand then you better go back to the drawing board. I'm not
suggesting that decisions by democracy always make sense, because they
don't - but having the majority buy-in is money in the bank. When
you compare this to other mergers that have recently taken place in the
industry it should be obvious which ones will be successful and which
ones may face challenges. I’d like to comment on the AMD + ATI
merger because I feel it will be a hot topic of discussion now that
it’s official. I will also comment on the rumors about Nvidia + Intel –
which I believe are nothing more than rumors and very unlikely to come
to fruition. I will be adding a second part to this blog in the near
future. In the meantime, things between HP and Voodoo couldn’t
be better. The honeymoon will soon be over however - and it will be
time to make good on our plans.
...a link to the original article
We don't know how to make a $500 computer that's not a piece of junk." -- Apple CEO Steve Jobs
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