May 28, 2012
HP CEO Meg Whitman has told Autonomy staff that they still have a “very bright future” and that she is “committed to [their] success” following Autonomy founder Mike Lynch’s exit from the company in May, reports news website Reuters.
HP bought the Cambridge-based software manufacturer last August for over $11 billion (€8.7 billion), but following a disappointing quarter for HP’s software division, Lynch was asked to step down from his role, with a HP spokesperson stating that “there was a miss on the numbers […] there’s a discipline about financial responsibility for senior leaders in any organisation. It was about bringing the executional skills to the business”.
Lynch joins a number of other managers to leave the company since it was acquired by HP, including the chief financial, marketing and operations officers. According to the article, “15 to 20 percent” of Autonomy employees, amounting to approximately 250 people, had already left the company since HP’s deal.
In an attempt to stem Autonomy’s staff exodus and ease the worries of its employees, Whitman addressed staff in an email, saying that it is “always hard when a charismatic founder, who has built a great company leaves” but that “While this this will be a journey, I am confident that we can do it together and I am committed to your success”.
However, an Autonomy executive voiced concerns over the new strategies implemented by HP, explaining that “Autonomy hadn’t missed its quarterly earnings in 47 quarters or so, the fact that the second quarter was perhaps not as smooth is an indication that settling into the new processes was quite difficult”.
The executive also went on to say that staff had struggled to handle incoming sales leads: “We have had to do things the HP way and the HP way has proved to be cumbersome in getting deals done in time”.
Lynch is to be replaced by HP’s chief strategy officer Bill Veghte.
Categories : Products and Technology