1.

Undertake an in-depth analysis of your client, HPs goals, strategies,

business activities and operations. Include any assumptions that
you make about your client that are of interest in this report.
Goals
Corporate Objectives:
OVERALL GOAL: TO BECOME THE MOST
INNOVATIVE WORKPLACE.
Improve the value delivered to customers and
partner customer loyalty
Profit - Increase return and value for
stockholders
Market Leadership - Become the employer of
choice in the technology industry, by delivering
innovative products, services and solutions.
Growth: recognise and seize opportunities for
growth that builds upon strengths and core
competencies
Commitment to Employees: promoting and
rewarding employees based on performance and
by creating a work organisation that reflects our
values
Global citizenship: CSR in all environments HP
operates, socially, environmentally, etc.
Adopting cloud data, big data, etc.
HP Living Progress: aims to create a better future for
everyone through its actions and innovations.
Environmental:
Reusing 40 million electronic products and
accessory units by the end of 2015
Reduce the GHG emissions intensity of HPs
product portfolio by 40% by 2020.
Assists suppliers in preventing 2 million
tonnes of carbon dioxide of GHG emissions
between 2010 and 2020.
Economic:
Increase HP strategic suppliers reporting
diversity spend by 10%, compared with 2013.
Increase HP suppliers participating in its
mentorship programs by 10%, compared with
2013.
Human:
Conduct worker empowerment programs at
15 supplier sites in China, South America and
South East Asia
Increase independent supplier audits to 50%
Governance:
Continue expanding due diligence to include
other third parties

Strategies

Business

Increase focus on ethics and compliance for

new employees
Incorporate new social media strategy in
training and communicating
HP has embraced the strategy of open
innovation, the idea that companies should
make wider use of ideas and technologies that
come from other sources and allow their own
ideas and technologies to be adopted by others.
This enables HP to access sources beyond HPs
intellectual property.
Strategy to split into 2 companies:
HP Inc selling of PCs and Printers
HP Enterprise selling of storage, servers, clouds and
services
This split enables a sharper focus on the market
served to increase its competitiveness and profitability.
Also accelerates the innovation engine on both types
of products HP offers.
Long term strategy is focused on leveraging our
portfolio of hardware, software and services as
we adapt to a changing and hybrid model of IT
delivery and consumption driven by the growing
adoption of cloud computing and increased
demand for integrated IT solutions.
Developing new high-technology products,
softwares, services and solutions and enhancing
existing hardware and software products,
services and solutions is complex, costly and
uncertain, and any failure by us to anticipate
customers changing needs and emerging
technology trends could significantly harm our
market share and results of operations
adopting current trends such as cloud data, etc.
Strategy to deliver superior products, high value
technology support services and differentiated
integrated solutions that combine our
infrastructure, software and services capabilities
Turnaround strategy implemented on the
appointment of Meg Whitlam as CEO of HP.
Strategy aimed to stem HPs sales decline,
jumpstart innovation and resurrect the
companys technological prowesses.
Living progress strategies: to achieve the goals
of the living progress initiative such as reducing
Greenhouse gas emissions by assisting
suppliers, etc.
HP are global providers of products, technologies,

Activities

Operations

software, solutions and services to individual

consumers, small and medium sized businesses and
large enterprises. They offer:
Personal computing
Imaging and Printing related products and
services
Enterprise Information Technology infrastructure,
including enterprise server and storage
technology, networking products and solutions,
technology support and maintenance
Customer services such as technology
consulting, outsourcing and support services
across infrastructure. Helps people and
companies address their problems and
challenges and realise their dreams and
aspirations.
IT management software, application testing and
delivery software, security intelligence and risk
management solutions.
-

Operates on a global scale, with manufacturing

companies in China and Taiwan and some
production in the US at locations such as
Vancouver (for Inkjet printers)
HPs factories around the world were all working
at capacity producing 600,000 inkjet printers a
month plus millions of replacement ink
cartridges.
HP have a number of suppliers for both their
hardware and software, from all areas of the
world, in Australia, Europe (Germany) and Asia
(China). Their final assembly suppliers consist of
15 countries, 61 final assembly sites for their
products and approximately 102 000 workers.
Outsources manufacturing to China to reduce
costs. Has a manufacturing plant in Beijing and
Shanghai.
1000 + production suppliers, 250,000+ workers
at sites audited in 2011 that produce HP
products.

2. Analyse in Depth one of the Crowdsourcing Platforms mentions

above:
How It works?
1. Crowdsourcer initiates the campaign.
The campaign can range from
anything from technology to personal
projects such as films and small
businesses.

Who are the

crowdsourcers and
crowdsourcees

How are the crowd

sourcer and
crowdsourcees
segmented.

2. The crowdsourcer activates the

community. Site recommends the
activation be commenced by sending
personalised emails to everyone the
crowdsourcer knows or to anyone the
crowdsourcer will believe have an
interest in their campaign. In order to
attract a community, the perks of the
campaign, in other words, the
benefits offered to future
crowdsourcees should be highlighted.
3. The crowdsourcer then receives funds
for their campaigns and goals from
the activated community.
Crowdsourcers: There is no restriction to
who the crowdsourcer may be. The
crowdsourcer may therefore be anyone,
from small or medium businesses to even
ordinary individuals. Large businesses could
also utilise Indie GOGO, such as Phillips to
launch innovation contests to achieve its
goals.
Crowdsourcee: There is also no restriction
to who the crowdsourcee must be. The
crowdsourcee can be anyone from close
relatives of the crowdsourcer to unknown
visitors who are interested in investing.
Anyone who makes an account on indie
gogo is able to become a crowdsourcer or a
crowdsourcee.
Indie gogo offers great functionality in
which there are many segments
crowdsourcers and crowdsourcees can
enter. They range from films, to charity, to
business start ups and technology.
The main segments highlighted by the site
however are:
- Film
- Technology/Hardware
- Non-profit campaigns
- Personal objectives and goals
Crowdsourcees are therefore segmented
based on their interests in funding. Their
interests have been segmented allowing
convenience and accessibility.
The campaigns can also be segmented into
the country of origin of the crowdsourcers,
enabling crowdsourcees to browse through
campaigns only within their country.

Value proposition:
Why should HP use
indiegogo!

Countries include Australia, US and united

kingdom.
- Indie GoGo is a global network that
enables passionate people around the
world to raise money and contribute
to campaigns
1. Technology/Hardware is its main
segment.
- Indie gogo is data driven and aims to
provide as much information as
required to the crowdsourcer in terms
of their ideas and technological
pursuits, to improve them.
- Provides expert advice, in the form of
a handbook on how to launch the
perfect campaign and attract quick
and large funds.
2. Global appeal
- Access to large market increases
chance for innovate ideas and to raise
funds.
- Since HP is recognised globally, in
using Indie gogo it will be easily
recognised and widely considered by
investors from its brand and
reputation
3. Partnerships:
- Sharing of business models
- Both businesses will promote one
another thus increasing the market
share of both
- Increases profitability
- Builds brand recognition.
4. Free to launch.

3. Describe and Analyse the business model of Indie gogo.

Evaluate the strengths of the business model.
Business Model of Indie Go:
Partner
Activities:
Offer:
Customer
network:
-Improving
- Platform for relationship:
(notable
the
individuals
- communities
partners)
database of and
local and
- Youtube
the site to
businesses
global
- Vimeo
provide
to gain
- DC
users with
funding for
partners/busin
Entertainme more
their
ess
nt
information campaigns.
-Phillips
relevant to
- segmenting
their
the

Customer
Segments:
- segments
such as
technology
and
hardware,
films, nonprofit
organisation
s and

campaign.
- Increasing
the brand,
to increase
number of
potential
crowdsourc
ees and
crowdsourc
ers to
increase
chances
and
opportunitie
s for both
parties
Maintenanc
e of the site
to ensure
constantly
updated
maintaining
the security
of the site
and security
of funds
transfers.
My
Resources:
-Breadth of
platform
- Exclusive
content
such as
handbooks
to improve
campaign
page.
- large
database of
information
for each
segment.
- access to
a developed
global
network for

campaigns
to match
crowdsource
rs with
crowdsource
es
Partnerships
with other
organisation
s to increase
awareness
and assists
in their
goals.
- number of
payment
options to
suit
crowdsource
rs and
crowdsource
es.
- Increase
campaign
exposure to
the global
network of
15 million
people who
visit the site
each month

Distribution
Channel:
-Online:
website and
social media
- promotion
through
partner pages
and sites.

individual
crowdsource
rs
- Businesses
looking for
innovation,
such as
Phillips
offering a
prize for the
most
innovative
idea by
crowdsource
es.
- Those who
seek secure
online
payments
form of
differentiatio
n by Indie
gogo
- investors
or
individuals
with
surpluses in
cash
-niche
segments
such as nonfor profit.

crowdsourc
ers.
- visitors of
parter
pages.
Cost Structure:
- Site maintenance and
increase site functionality to
increase security of
websites
- Costs to increase data and
maintain goal of being a
data-driven platform that
provides vast amounts of
info to crowdsourcers.

Revenue Streams:
-charges 5% on the funds raised by
the crowdsourcer only if goal is
reached.
- Third party fees: 3-5% on Paypal
transactions, 3% plus 30 percent
per transaction for credit card
processing and 25 dollar wire fee if
it is a non-US campaign and funds
have been collected from US
crowdsourcees.

4. Propose how your client, HP could make use of the service of Indie
Gogo.
Discuss the risks posed by the specific crowdsourcing platform that HP
should be aware of when utilising it.
Potential risks include:
- Although partnership could improve the market share of HP, HPs
market share could fall due to their interests in the vast
technological projects offered on the sites through their respective
campaigns, thus undermining the turnaround strategy the the goal
of market leadership.
- Innovative ideas posted to the partner page can be accessed by
competitors or viewed by competitors and adopted thus could be
ineffective.
- Must be constantly maintained and updated to please
crowdsourcees and update crowdsourcees, otherwise there will be a
limitation on innovative ideas or funding for the enterprise and time
consuming.
- In adopting crowdsourcing, the company could fail to respond to or
reduce the capacity for internal innovation in waiting for the
crowdsourcing platform to succeed (not guaranteed)
- Ensuring that the company does not take ownership of ideas,
otherwise it could result in legal action against the company
damaging its reputation, etc.