[ale] Re: HP buys two new GVs

[Transam]

On Mon, Sep 15, 2003 at 05:02:32PM -0400, tfreeman at intel.digichem.net wrote:

> Bob - I completely agree that corporate aircraft can save the company both 
> executive time and real money. The purchase of 5 new aircraft at a time 
> when jobs are being outsourced overseas, and apparently corporate 
> financials aren't quite what they might be (I don't follow HP), strongly 
> suggests to me that these aircraft are executive bragging rights, not a 
> business investment. If the top executives have not cut their total income 
> (like that will ever happen), to help with the new equipment for 
> themselves, the executive suite is pumping itself up in importance at the 
> cost of the rest of the company. 
Do *I* trust that HP executives ordered the purchase solely to benefit
the company?  I don't trust the integrity of Carly & Co. so read between
the lines.  What I was questioning was the knee jerk reaction that
corporate aircraft are merely a perk for execs and does not have a
business justification.

In HP's case, Carly seems to be thumbing her nose at critics to say that
she is in charge and will do what she wants.  It would have been more
cost-effective for HP to have chartered aircraft.  Of course, with Bush
likely to be replaced by a Democrat in a year, HP may be taking advantage
of tax advantages while it can.  (No flames please.)

I expect that after she runs the company into the ground she will be
run off by stockholders much as Scully was run off from Apple.  I don't
want to give them any money but after 6 years of heavy use, including
having written two books (with LOTS of review copies), my used HP
printer still hasn't died!

> IMHO of course, and your milage does vary. (Especially since your flying 
> quite possibly saves the customer billing hours, and enhances the value 
> delivered. Plus the flying probably keeps the technical staff sane...)

It frequently cuts the time in half over either airlines or driving and
at a cost comparable to airline cattle car (coach) rates.  The flight
leaves when I want, my luggage does not get lost, and I park my car
five feet from my plane so no dragging luggage miles or even paying
for parking my car.

Bob

> On Mon, 15 Sep 2003, Bob Toxen wrote:

> > Mike,

> > While this may be just squandering money and I don't think much of HP or
> > Carly,
> > it could be legitimate and cost-effective.  As a long time pilot and
> > aircraft
> > owner (single-engine props), I can assure you that for someone whose
> > time is
> > valuable, that the time saved often can be well worth the cost of owning
> > and operating the aircraft.  With all of the false security nonsense
> > these
> > days, I save lots of time by flying myself and I have more flexibility
> > in times
> > and can land at an airport closer to where I want to be.

> > When HP sends over ten execs to Bangalore to see how their Indian
> > sweatshop is
> > doing, the GV probably is more cost-effective than the alternative of
> > first class
> > travel there.  Look at the numbers!

> > On the other hand, how about writing about how HP is one of the computer
> > companies
> > with the largest outsourcing program of programmers, SysAdmins, and
> > other computer
> > people to India?

> > At least HP chose to spend this money on a Georgia-based company.  I've
> > toured
> > their plant in Savannah.


> -- 
> =============================================
> If you think Education is expensive
> Try Ignorance
>                    Author Unknown
> ============================================