1957 – Watts


  • University “Funds Matching” Program Breaks
    Another Record, George Kan, 2.
  • $884,206.93 Balance For HP Retirement Trust
    Fund, John Beyers, 2.
  • From Our President’s Desk, Dave Packard, 3.
  • Our Reps Are Selling, Noel Eldred, 4.
  • Plant Management News, View of New Stanford
    HP on Hilltop, Porter, 6.
  • Hewlett-Packard Christmas Party Extravaganza –
    ’56 Version – Biggest Most Lavish Yet, $444,000
    Bonus Melon, Jim Hobson, 8.


  • Hewlett-Packard Retirement Plan – Review and
    Report, John Beyers, 2.
  • Dave and Bill “Boss Of The Year”, Bill Happ, 3.
  • Training Department – New Production Goals,
    Barbara Groff, 3.
  • Our Reps Are Selling, 4.
  • Production Memos – All-Out Effort Paying Off, Bill Bohnett, 8.
  • Mac McClellan is Navy Inspector for HP Instruments
    Being Built for the Navy, Duane Marshall, 10.
  • The Inverted Circle – Dynac Ships First Of Its
    Own Design, Frank Bequaert, 12.
  • Shipping News, Recent Department Growth and
    Structure Explained,k Alan Thoburn, 16.
  • Classification Of Fires, Pete Vogt, 19.


  • Five Years Ago (310 to 511 employees, Marlene Dunwoodie, 2.
  • HP Recreation Area – 95 Acre Plot Near Felton, John Beyers, 2.
  • Production Management News, Hill-Top and Present
    Plant Heads Listed, by Porter, 4.
  • Lab’s John Cage – Man Of Accomplishment, Dick
    Reynolds, 6.
  • Bonus Boosters – New Turret Lathe, 10.


  • From Our President’s Desk, 2.
  • 1,024 Free Polio Shots Given HP Employees, John Beyers, 3.
  • Production Management News, Porter, 4.
  • Lab’s Norm Schrock, Instrument Developer, Dick Reynolds, 6.
  • Service Visitors, Don Corson, 8.
  • IRE 1957 Show Tops All Past Production Efforts, Cort Van Rensselaer, 10.


  • From Our President’s Desk, 2.
  • Mary Henry Paints Electronic Murals in New Hillton
    Building, Stu Churchon, 3.
  • HP Retirement Plan Security Purchases Listed,
    Ed Van Bronkhorst, 9.
  • Dynac Stockholders Annual Report, George Climo, 18.


  • Production Management News – HP Quotas Being Met, Noel Porter, 4.
  • Hewlett-Packard Representatives Plan and Occupy
    New Quarters, Noel Eldred, 5.
  • The Best Factory Building In Existence, Stan Selby, 8.
  • The Hewlett-Packard College Recruiting Program, Page 10.


  • From Our President’s Desk, Dave Packard, 2.
  • Holiday Land At Felton, Jack Weiershauser, 4.
  • Hill-Top Lower Deck – A Continuous Flow Operation,
    Harold Wild, 6.
  • Hew-Packers Receive 962 Free Polio Shots, John Beyers, 8.
  • Round-Up of HP Representatives Spring Road Shows, Page 10.
  • Sick Leave Policy Revised – Benefits Boosted, 12.
  • Lab’s Art Fong – Notable Designer, 13.
  • 752 Directional Coupler, Lew Chapman, 14.
  • Four Hewlett-Packard Scholarships Granted, 17.
  • Stock Road Maps Ease Item Location, Jane Lazauski, Page 18.


  • From Our President’s Desk, Dave Packard, 2.
  • ’57 Seminar A Successful, Enthusiastic Effort –
    75 Reps In Attendance, John Borgsteadt, 4.
  • Plant Number One Rearrangement Methods Contribute
    Toward More Efficient Production, Gordon Eding, 6.
  • Lab’s Phil Hand – Capitol Event, Dick Reynolds, 8.
  • Our Summer Employment Program, Ray Wilbur, 8.
  • HP’s Reps In Session at ’57 Seminar, 10.
  • ’57 Picnic Extravaganza – One To Remember, Stu
  • Churchon, 12.


  • From Our President’s Desk, 2.
  • Tour Thru WESCON, Electronic Wonderland, Duane Marshall, 6.
  • Our Reps Are Selling, Noel Eldred, 7.
  • Art In Electronics Contest Won by Hew-Pack Man, Carl Clement, 8.
  • Air Conditioning and Electrical Equipment For
    Stanford Plant Last Word in Modern Efficiency, Phil Towle, 11.
  • A Note From The Wheel Notching Nook, 12.


  • HP and Dynac Combine Forces For 12th Annual I.S.A.
    Show and Exhibit, Cort Van Rensselaer, 2.
  • Cover Subject – 560A Digital Recorder, Dick
    Reynolds, 4.


  • From Our President’s Desk, Dave Packard, 2.
  • Plant Management News, Flexibility – Key To Our
    Industry’s Growth, Noel Porter, 4.
  • Our Reps Are Selling, 5.
  • How Purchasing Ticks As They Spend Money to Make
    More of Same, Bob Sundberg, 6.
  • HP Institutes Fine, New Nursing and Health Program, Ray Wilbur, 8.
  • HP’s Shipping Department – An Alert, Progressive,
    Well-Organized Team, Hank Meadows, 10.


  • From Our President’s Desk, Dave Packard, 2.
  • A Word From the Front Office, 3.
  • Hew-Pack Employees’ Scholarship Time Again, Ed Van Bronkhorst, 3.
  • HP Scholarship Winner Receives Signal Honor, 3.
  • Funds Matching Program Indicates Record Support,
    George Kan, 3.
  • Plant Management News, Noel Porter, 4.
  • About the Over-The-Counter-Market, 5.
  • The Reps Are Selling, Noel Eldred, 6.
  • Fall Seminar Concluded, Carl Cottrell, 7.
  • H-P Instruments Considered Standard of European
    Industry–As in USA (Part I), Bill Doolittle, 10.
  • Lab Girds For Future, Ted Anderson, 14.

1957 – HP Journal Index

January 1957 v.8 n.5

An RC Oscillator that Covers the 20 cps-20 kc Range in a Single Dial Sweep. 207A.

Design Principles of the 1001:1 Range Single-Band RC Oscillator, by Nicholas Kovalevski, B. M. Oliver

February 1957 v.8 n.6

A New 8-12 KMC Voltage-Tuned Sweep Oscillator for Faster Microwave Evaluations, by P. D. Lacy, Daniel E. Wheeler. 686A.

Backward Wave Oscillator Tubes

March 1957 v.8 n.7

A Fast Digital Recorder with Analog Output for Automatic Data Plotting, by Alan S. Bagley, Ed A. Hilton. 560A.

Operation of the Digital Recorder


April 1957 v.8 n.8

A 250 CPS-100 KC Oscillator For High Stability Applications, by Albert Ennor, Edna MacLean. 200T.

How Model 200T Stability Curves were Plotted


Higher Accuracy in Measuring Audio and Sub-Audio Frequencies, by Albert Ennor. 526C.

May/June 1957 v.8 n.9-10

A Note on Measuring Coaxial Coupler Directivity, by Howard C. Poulter

High DB-Resolution Meter Scales for -hp- VTVM’s. 400D-DB, 400H-DB.

July 1957 v.8 n-11

A Small, Convenient Frequency Counter For General-Purpose Use, by Frank Koziuk. 521C, 508A, 508B.

Some Handy uses for the -hp- 650A Test Oscillator, by Arthur Fong. 650A.

August 1957 v.8 n.12

A Rack-Mounting DC-300 KC Oscilloscope With Expandable Sweep, by Duane Dunwoodie, Dick Reynolds. 130BR.

September/October 1957 v.9 n.1-2

Permanent Record and Oscilloscope Techniques with the Microwave Sweep Oscillator, by Peter D. Lacy, Daniel E. Wheeler. 686A.

Supplement to Vol.9 N.1-2 [inside issue]

Sputnik’s Doppler Shift Measured and Recorded with -hp- Counter and Digital Recorder

November/December 1957 v.9 n.3-4

An Improved Method For Measuring Losses in Short Waveguide Lengths, by Peter D. Lacy, Kenneth E. Miller

Derivation of Waveguide Small-Loss Equation, pg 3

How Doppler Shift Records Provide Satellite Range and Height Data, pg 5

1957 – Packard Speeches

Box 2, Folder 29 – General Speeches


April 24, 1957, Growth from Performance, IRE, San Diego

4/24/57 Printed copy of  David Packard’s speech “Growth from Performance” .

Packard starts by reviewing the strong growth of the electronic industry since the Korean war. Firms “have found it necessary to run just as fast as possible simply to keep up with the industry.” And in the case of HP, he explains, “our company has grown twelve times in seven years.”


He says they have encountered many difficult problems handling this growth, but have been fairly successful in surmounting them because “we have guided our program with some rather specific objectives …”;  and he says he will share these with the audience.


“First”, Packard says, “we have directed all of our efforts toward the field of electronic instrumentation.” And he explains the benefit of being able to focus their R&D effort, their production capabilities and the efforts of the sales organization.


The second objective, Packard says, “has been to do only those things in which we could make some contribution to the progress of the electronic industry.” He gives some examples and points particularly to their effort to make contributions in the area of manufacturing techniques. He says, “I think the measure of this contribution is best indicated by the fact that very few of or prices have increased during this period even though there have been substantial increases in the cost of our labor and material.”


“As a third objective”, Packard continues, “we have attempted to meet our responsibility in providing security and opportunity for our employees.” And he points out they have avoided large contracts involving the employment of a large workforce, and the likelihood of having to let them go at the end of the contract.


“As a fourth objective”, he says, “we have kept in mind that we have a responsibility to the community in which our business exists. We have encouraged our people to participate in community activities. We have given substantial financial support to educational and other institutions in our community.” And he goes on the give specific examples of HP employees who are or have been members of civic, industrial or educational organizations.


Since they are talking about growth tonight Packard says “…I want to include our objective as to growth. It has been and is our basic policy to grow as rapidly as possible in fulfilling the other objectives which I mentioned, but to keep this growth at a rate which can be financed from our own profits on a pay-as-you-go basis.” And this brings up the final objective.


In presenting this objective to HP people Packard says he always puts it first. “It is to attempt to make a profit of at least 10% on every sales dollar every month and every year.” Packard says this objective is very important for two reasons: “First, it makes it possible for us to achieve all of the other objectives which we have set for ourselves, and second, especially because it is the final and absolute measure as to whether we do or do not make a contribution to the industry.” “When we can no longer make a contribution to you we cannot expect you to make one to us.”


Packard reviews HP’s growth since 1950 from 2.3 million of sales to 28 million in 1957, and he says, “and we have accomplished this growth without any outside capital.” “The formula for growth from earnings is very simple. It is as follows: The percentage increase in sales which you can finance each year is equal to your percentage of profit after taxes times your capital turnover. Capital turnover is defined as the number of dollars in sales you can produce per year for each dollar of capital you have invested in your business.”


Packard proceeds to look at this formula in more detail. “The percentage of profit which you produce on your sales dollar is a pretty obvious thing and needs little explanation except to emphasize that your rate of growth is directly proportional to your percentage of profit, other things being equal.” …”For our business we think a figure in the neighborhood of 10% is about right. ”


“The second factor, capital turnover, is not always as well understood. Your capital includes working capital (that is the money you use to buy inventory, to finance your accounts receivable, to provide some working cask, etc.) and fixed capital would be the amount of money you have spent to buy facilities, tools and equipment. If most of your money is in working capital you can increase your turnover by keeping your inventory low, by keeping your receivables low, and by always keeping exactly the right amount of cash on hand to just barely be able to pay your bills the day before they are due.” You can almost always make your turnover better by having all your money in working capital and none of it is fixed capital. But, by having the proper tools, facilities and equipment you can usually produce a better product, keep your costs down and, therefore, you profit up. So, here again there  is an inter-related balance involved in adding to your machinery and equipment at a rate which will not unduly reduce your capital turnover, yet which will give you the things necessary to do a good job.”

Packard points out that control of all these factors is not as easy as it may sound. ” “Your production people want lots of money tied up in inventory.” “Your sales people would like to extend unlimited credit to all your customers.” He proceeds to look at how these factors have applied to HP during the last seven years.


He says that during this time HP growth has averaged 42% per year, profit after taxes has averaged 10% per year, and capital turnover about 4 1/2 times per year. “Thus, using the formula, percentage of growth equals percentage of profit times capital turnover, we should have been able to finance a growth of 45% per year. . Since our growth was slightly less than this we have come through this period of growth with improved capital strength.”


Packard discusses stock issues and points out that …”you can sell electronic stocks often at 30 to 40 times earnings.”…. Often, however, people forget that this multiplying factor can properly be used only once and that sooner or later profits will have to be increased to the point where the stock is supported on the bases of 10 or 15 times earnings, and when that point is reached your growth will be determined fundamentally by how rapidly you can increase your profits year-by-year.” Packard says he may have spent a lot of time on the financial aspects of growth, “…but, I felt since the trend seems to be otherwise that many of you would be interested in knowing that relatively rapid growth is possible without public stock issues and without merger or acquisition techniques.”


Packard says that the conservative formula HP uses is  “most effective when you obtain a high level of performance from all of your people. He adds that although HP uses most of most of the scientific management procedures “I think we get the best performance by giving our people as much freedom and as much incentive as possible to work together as a team toward the achievements of our objectives. We try to give them this freedom by maintaining flexible organizational methods. We try to give them incentive by a very specific device which we call our Group incentive Plan.” And he goes on to discuss the profit sharing plan in effect at the time.


Packard closes saying, “And so in selecting the title “Growth From Performance” I really had in mind that we have been able to achieve a fairly substantial rate of growth first by setting and adhering to some rather specific objectives, second by demanding a high level of performance from our management group, from our engineers and in fact from all of our employees. I see great opportunity for us ahead to grow with you people in the electronic industry as long as we can continue the high standards of performance which our people have achieved in the past seven years.”


4/24/57, Printed program of the 7th Region IRE Conference.

4/24/57, Printed pamphlet containing a short biography of each of the speakers at the conference and a summary of their comments.

4/24/57, Printed pamphlet listing exhibitors and events at the conference.

4/24/57, Copy of a speech at the IRE conference titled “Motivating Engineers in a Balanced Military-Commercial Industry”, given by Dr. Robert S. Bell, President, Packard Bell electronics Corporation, Los Angeles.

4/24/57, Typewritten copy of a speech titled “The Balanced Management Concept”, given at the conference by Charles B. Thornton, President and Chairman of the Board, Litton Industries, Beverly Hills.

11/16/56, Letter to David Packard from Donald G. Burgere, Chairman, Professional Management Session, Seventh Region IRE Convention Soliciting Mr. Packard’s participation as a speaker at the Convention.

11/27/56, Letter from R. T. Silberman, of Kay Lab, urging Packard to participate in the convention.

2/6/57, Letter from Ronald K. Jurgen, Editor of  “Electronic Equipment” asking for an advance copy of  Packard’s speech for review.

2/13/57, Copy of a typewritten letter form Packard to Ronald K. Jurgen say he does not plan to release an advance copy of his speech.

3/19/57, Letter to Packard from D. G. Burger, Chairman, Professional Management Session of IRE giving details of the forthcoming conference.

4/57, Copy of publication, “San Diego Bulletin” and IRE publication, including biographies of the speakers at the forthcoming conference.

4/16/57,  Letter from B. F. Coggan, Vice President and Division Manager, Convair-A Division of General Dynamics Corporation, inviting Packard to attend a breakfast, sponsored by the San Diego Chamber of Commerce, on 4/25/57.

4/17/57, Copy of typewritten note to B, F. Coggan  from Packard accepting his invitation for the breakfast.

4/24/57, Letter to Packard from T. T. Patterson, Chairman, Publication Committee IRE-PGEM, requesting a copy of Packard’s speech at the IRE conference.

4/27/57, Letter from Samuel Freedman, General Manager, Chemalloy Electronics, requesting a copy of Packard’s speech at the IRE conference.

4/29/57, Clip of article from the Electronic News, about the speech at the IRE conference.

4/29/57, Typewritten note to Packard from Lee Hackler, Fairchild Publications, enclosing the article from Electronic News on the conference.

4/30/57, Handwritten note from Packard to (presumably) his secretary, asking that she send copies of his speech at the IRE conference to Charles Blyth, Frank Walker and Al Schwabacher.

4/30/57, Copies of letters to the above gentlemen sending copies of the speech.

5/3/58, Letter to HP Company from R. H. Rupkey, Foreman  Cycle, Test & Repair, requesting a copy of Packard_s speech at the IRE Conference.

5/7/57, Letter to Packard from Karl Freund, President, Photo Research Corp. requesting a copy of Packard’s speech at the IRE conference.

5/8/57, Copy of typewritten letter from Packard to R. H. Rupkey, sending a copy of Packard_s speech at the IRE conference.

5/8/57, Copy of typewritten letter to Samuel Freedman sending a copy of Packard_s speech at the IRE conference.

5/10/57, Form postcard to Packard from Stephen W, Miller of SRI, requesting a copy of Packard_s speech at the IRE conference.

5/14/57, Copy of letter from Packard to Stephen W. Miller of SRI sending a copy of Packard_s IRE speech.

5/14/57, Copy of typewritten letter from Packard to T. T. Patterson sending a copy of Packard_s speech at the IRE conference.

5/14/57, Copy of typewritten letter from Packard to Karl Freund sending a copy of Packard_s speech at the IRE conference.

5/27/57,  Letter from James W. Shoemaker of Schwabacher & Co. saying he and Al Schwabacher appreciate having received a copy of Packard_s IRE speech.

6/4/57, Letter from R. T, Silberman of Kintel, Cohu Electronics forwarding three pictures of Packard and others at the IRE conference.

6/4/57, Copy of typewritten letter from Packard to all employees of HP sending them a copy of Packard_s speech at the IRE conference. He compliments them on their past performance and adds that “We are sure, too, that we can count on your continued enthusiastic support in the future – as we have had it in the past.”

6/28/57, Letter to Packard from Stephen W. Miller, SRI, saying the first copy of Packard_s speech at the IRE conference which he received disappeared and he requests another.

7/5/57, Copy of letter from Packard to Stephen Miller sending another copy of Packard_s speech to the IRE conference.

10/9/57, Typewritten postcard to Packard from Prof. Donald S. Gates. Albright College, requesting two copies of Packard_s speech at the IRE conference.

10/14/57, Copy of a letter from Mickie Ayers (Packard_s secretary), to Prof. Donald S. Gates sending two copies of Packard’s speech at the IRE conference.

11/12/57, Letter to Packard from Harold W. Pope, Vice President for Operations, Sanders Associates, requesting a copy of Packard_s speech to the IRE conference, and saying he intended to send a copy to all of  their employees much as Packard had done.

11/27/57, Copy of a letter from Packard to Harold W. Pope sending a copy of the IRE speech and saying he had no objection to their reproducing it for distribution to others.

Box 1, Folder 9 – HP Management


January 11-13, 1957, Executive Conference, HP Managers, Sonoma Mission Inn

1/11/57 – Typewritten text of Packard’s remarks at the Friday night dinner starting the conference. He spoke of the Corporate Objectives. [See also speeches dated 1/31/58, 1/29/60, 1/12/68, and 3/17, 75]


Packard says that there are “…many reasons why a business is founded and why a business continues to exist….It is desirable to clarify the objectives of a business and to state them from time to time so that all of the people in the organization will have a better understanding of the business and direct their efforts toward the common goal.”


He says “some” objectives for the Hewlett-Packard Company have been stated “a number of times in the past….Others may not have been specifically stated, but become apparent from an examination of what the company has done and how it has gone about it. It seems to me that it is more important than ever to make an attempt at clarifying and restating the objectives of the company. I believe such a restatement will help you to have a better basis for making your decisions. I think a restatement of the objectives will help some of the younger people in the organization have a better understanding of what is going on. In attempting to restate the objectives of the Hewlett-Packard company I do so with the knowledge that I am interpreting them as they seem to me. My statement of our objectives may not be strictly accurate and furthermore there may be some reason why the objectives as they have existed in the past or as I am stating them now should be modified for the future benefit of the company. Furthermore, I want all of you to understand as nearly as you can the reasons why these are or should be our objectives so that you will be able to accept them as being the kind of objectives you would choose were the choice your own. For this reason I would like to have you study these carefully, think about them, and be in a position to discuss them critically both for evaluation and for better understanding.


“It is difficult to decide which is the most important objective of the company, and in placing the one I have chosen first I do so with the specific emphasis that I consider it to be the most important objective to guide your day-to-day thinking. It is the objective which makes all of the other objectives possible, but it alone is not a sufficient objective. It is as follows:




Packard stresses that this objectives is the “keystone on which all of the other achievements of the Hewlett-Packard Company are based.” And he mentions such achievements as the “ability to offer good employment opportunities to our people, our ability to spend money on forward looking developments without assurance of return, our ability to obtain outstanding tools and equipment and facilities….”


“The more I have considered the matter, the more important I feel this objective to be, and I would venture to put it so strongly as to say that anyone who cannot accept this objective as one of the most important of all has no place either now or in the future on the management team of this company.”


Making a contribution to the field has been stated as another objective Packard says. “…but, in considering the matter it seemed to me that it needed a more specific definition. We need to think about what kind of a contribution we mean and what field we mean….In an attempt to clarify this objective a little better, I choose to state it in this way:




“This points up the fact that we have had our success in the field of instruments. It should be our objective to stay in that field almost to the exclusion of anything else. I say ‘almost to the exclusion’ because I think all of our objectives should be somewhat flexible and in case there came to our attention the opportunity to do something important outside the field of measuring instruments and techniques we should not automatically forego that opportunity, but rather we should concentrate our main efforts as we have in the past and consider outside activities only when and if they offer unusual potential.”


“One of the characteristics of HP instruments through the years has been their simplicity of design and relative low cost. We can certainly meet Objective II…in a number of ways. We can build instruments which are very expensive, very carefully done and yet meet the objectives of the above statement in every respect. Early in the business we felt it was possible to design and manufacture good instruments at a lower cost than those which were available. Historically we have done this. We have kept out the frills and held to the important aspects of the job. In the past I have described this as ‘inexpensive quality’ and for want of a better expression I will use this term in stating Objective III





“The inexpensive quality can come from engineering design, from clever and advanced production techniques and methods, or from better methods of sales and distribution. Realistically we should attempt to provide the inexpensive quality for our customers by our work in all three of these major areas.”


“We have been generally proud of our employment policy, or rather the result of that policy, in terms of the kind of people we have in our organization and their attitude toward their job and toward the company. In the field of personnel it is my opinion that the general policies and the attitude of management people toward the employee are more important than specific details of the personnel program. Personnel relations will be good if the people have faith in the motives and integrity of the company. Personnel relations will be poor of they do not, regardless of all of the frills that we have. I think a statement of our personnel policy belongs in the list of the objectives of the business, and it is as follows:




Packard says “…we have not felt committed to accept anything like an absolute tenure status nor do we feel that this policy implies that we must recognize seniority except in cases where other factors are reasonably favorable.”


“Although I have stated the profit motive as our number one objective, it has been increasingly apparent in the past few years that business institutions have a responsibility to the society in which they exist to do something more than simply make a profit. We have freedom of action which is the direct result of the American type of government. Many of the things which we are now using in our day to day work have come about because the frontiers of knowledge have been pushed forward by our universities. A large part of the training which our people are using in their everyday work has come from universities. Our churches and schools play a large part in the intellectual and moral training which we rely on every day without giving the matter a second thought. This points up the fact that the Hewlett-Packard company as a business should be included as one of its objectives a recognition of these facts.




“This objective includes an obligation to make some contribution to the defense effort in times of peace as well as in times of war.”


Packard says they have speculated on what is the optimum size for a company…..There is a saying that ‘A business must grow or die,’ but I am inclined to think this is more of a cliché than a fact. However, over the period of years we have developed a fairly well defined objective as far as growth for the Hewlett-Packard company is concerned, and it is as follows:




“Finally, I want to state an objective which I think is important to all of you, and although it may not appear to be so, it is also very important to Bill and me. That objective is to build sufficient strength into our organization so that the future of the Hewlett-Packard Company is not dependent upon any one or any two or three people, including Bill and myself. Many of you, in fact I hope all of you, have staked your future in Hewlett-Packard Company. Many of you will have in the future spent the greater portion of your productive lives with us. It should be of the utmost importance to you that the company be in a position to carry on regardless of what happens to any of us. This is also important to Bill and me.”


“I want to assure you all that I feel we have made some real progress toward this final objective and certainly at such time as we might look toward a diversification of stock holdings for whatever reason, we would hope to include HP people in the plan. Should that happen you would have even more reason to put emphasis on this last and final objective.


“In conclusion, I want to emphasize that we expect all of you to guide the execution of your individual assignments toward the common goal in accordance with these objectives. It serves no useful purpose to build strength in one area at the expense of another. Furthermore, we have no place in the company for half-hearted effort. I am sure the reports on our past progress which we will discuss during this meeting will emphasize the progress that comes from enthusiastic work toward a common goal. I hope every one of you will leave this meeting with added enthusiasm for and added understanding of the opportunity we have ahead.”



1/11/57,List of attendees, schedule of topics, charts of operating data

Conference agenda with attached charts and financial spreadsheets.

Photocopy of handwritten note by Packard listing points he wanted to make:

1. We want you to succeed, to help you do a good job and advance in                     your career. Success of Co. needs good men

2. Make good impression

3. Continue to study

4. No 8 hour job

5.  Take [illegible]

6. Keep on details


Conference agenda:

Statement of Corporate Objectives – Packard

Responsibility of Sales Department

Responsibilities of General Administrative Department

Responsibilities of Production Department

Responsibilities of Research and Development Department




Public Relations

The decision seems to be in favor of a conservatively controlled publicity   program to disseminate real news in a non-blatant manner as contrasted with ordinary business publicity”

Reasons for publicity program:

1. Employee satisfaction and pride of achievement

2. Get correct information to public before various news agencies                            disseminate a lot of misinformation

Dynac, Inc.

Dynac should start hiring their own engineers and production employees.

Dynac should become independent as soon as possible

Dynac should start acquiring their own machinery and equipment,                          engraving machine etc.

Clarification of Responsibilities of Cavier as CFO, mission,                                     purpose, charter

                        Hewlett-Packard Company Sales Department

Several page discussion with organization charts



Box 1, Folder 10 –HP Management


January 21-22, 1957, Management Conference, HP Managers and Sales Reps


1/21/57 Agenda for this two day conference on sales topics.

Subjects to be covered included: forecasting, Sales Department organization,           selling methods, hiring methods, doing business in foreign states, commissions



Box 1, Folder 11 – HP Management


June 14, 1957,  Management Conference, HP Managers, Palo Alto

1/14/57 Spiral bound notebook containing papers for this conference with Dave Packard’s            name on the front cover. Items on the agenda include:

Theme and Corporate Review – Packard

Financial Department Report – Frank Cavier

                        Sales Department Report – Noel Eldred

Current Development Projects – Barney Oliver

Production Organization – Ed Porter

Future Personnel Functions – Ray Wilbur

Discussion Period – Bill Hewlett

Corporate Importance of  New Product Development

Speaker – Dr. C.W. Randle, Director of Research, Booz, Allen & Hamilton

Application Seminar – Panel

Summary – Packard

The booklet also contains:

charts and graphs

Description of responsibilities of each department

Draft of Corporate Objectives

Common Responsibilities of Management Positions

1. Develop and Maintain a Sound Plan of Organization

2. Select and Train Subordinates for a Fully Qualified Staff

3. Help Develop fully-qualified Persons for Key Positions and Train a                               Suitable Successor for Yourself

4. Work Effectively Through Others

5. Be a Good Representative of the Company within it and to the                                       Community

Booklet titled Management of New Products from Booz, Allen & Hamilton

2/23/57 Spiral bound booklet from HP titled Production Management Seminar



Box 1, Folder 12 – HP Management


July 15, 1957, Summer Sales Seminar, HP Managers and Sales Reps, Palo Alto

7/15/57 Agenda and exercises to be accomplished



Box 1, Folder 13 – HP Management


November 16, 1957, New Product Conference, HP Managers

11/16/57 Typewritten pages of describing action to be taken on many instruments

1957 – Hewlett Speeches

Box 1, Folder 13 – General Speeches


January 11, 1957 – Management Conference, Sonoma, CA


1/11/57 –  Four pages of notes for his remarks handwritten by Hewlett on accounting type paper.


Hewlett says 1956 has been the best year for sales, good start on oscilloscopes, good performance across the board.


Sold 2.5 million more than produced. Problem was that we prophesized a sales drop off to be filled by scopes.


Reviewing HP’s corporate objectives Hewlett says these are a sense of where we have been, and also an indication of where we are going.


  1. To make a profit of about 20% on sales before taxes.
    1. Enables us to meet other objectives
    2. Best measure of all as to how well we are doing
  2. Develop, manufacture and sell electronic measuring instruments and techniques that will contribute to the advancement of the science and practical application of electronic and electrical engineering.
  3. Make available to industry instruments which have inexpensive quality.
  4. Provide employment opportunities for HP people which includes:
    1. Good standard of living
    2. Security
    3. Personal satisfaction
  5. Meet the obligation of good citizenship to the community and to the institutions in our society which generate the environment in which we operate.
  6. To let our growth be determined by our performance in meeting our other objectives.
  7. Build sufficient strength into our organization so it is not dependent on any one or two or three people.


Relative to Sales organization Hewlett says they were neither committed, or not committed to sales reps. The objective of sales reps organization is to prove that the concept of a true partnership between a group of representatives and a strong manufacturing organization will work to the benefit of all.


Proposed objectives for reps:


  1. Sales to help us meet our objectives
  2. Service and follow-up
  3. Communication with development and production
  4. Growth – keep up with us, all the better if you can stay ahead. We are going to go through some rough times. If you are just hanging on you are sure to fall off sooner or later.
  5. Opportunity – to make history


Box 1, Folder 14 – General Speeches


January 28, 1957 – “Why California will Continue its Leadership in Electronics,” Electrical Club of San Francisco


1/28/57, Copy of typewritten outline of Hewlett’s speech, no transcript in folder


The following lists some of the points Hewlett lists on the outline


Why California will continue its leadership in electronics

  1. Leadership does not mean just greater numbers
  2. What standards to judge by – IRE membership?

States with largest IRE membership: NY,CA, NJ, PA

During period 1950-55 IRE membership increases:

NY – 58%

NJ – 67%

PA – 55%

National ave. – 14.7%

CA 112%

  1. Employment.

During 18 months from March 1950 to Sept. 1951 (Korean War) national employment in electronics rose 18%; in CA 117%

  1. Areas in which California leads
    1. Military electronics
    2. Specialized products
    3. CA lacks in consumer items – too far from center of population


Drawing on his notes from his speech “Why Electronics Grows in the West” Hewlett briefly reviews the background of electronics in California.


Bay Area is seeing expansion because

  1. Overflow from Los Angeles

Example – Lockheed


2.   Eastern firms attracted to California because:

Example – IBM liked “livability, labor supply,  excellent highways, rail and air transportation, social, cultural and educational facilities


Others – Sperry, Federal Telegraph, Philco, Sylvania

GE said Stanford was big attraction


Hewlett’s  outline continues with a look at the future


He sees:

Expansion of basic industry which is built on a sound fundamental basis

New products through advanced engineering

Good management

Expanding market for the types of items they produced

Outstanding scientific leadership in our universities


“Electronics is a dynamic and rapidly growing industry, but most important is that it is growing in the direction that the West Coast industries have chosen to follow. Maybe this is foresight or maybe it is luck, but it is none the less true. I am convinced that the upswing and advancement of electronics in California will continue and that California will maintain its leadership in electronics. The truth of the matter is that electronics is a natural for California, and California is a natural for electronics.”


1/28/57, Outline of speech printed by Hewlett on 3×5 inch cards

1/28/57, Two handwritten pages in Hewlett’s handwriting as a start on notes for his speech

1/28/57, Printed announcement of speech “The San Francisco Electric Club invites all members of the Electronics Industry in the Bay Area to join in celebrating Electronics Day”

1/21/57, Copy of typewritten flyer from the West Coast Electronic Manufacturers Association saying they have joined with the Electrical [?] Club of San Francisco to sponsor this event

12/5/56, Letter to Hewlett from Calvin K. Townsend WCEMA, SF Council Program Chairman, thanking him for agreeing to speak at their event

12/14/56, Copy of a letter from Hewlett to Calvin Townsend confirming his commitment and agreeing to send a title shortly

Undated, Several pages handwritten by Hewlett with notes for a speech to the Upsilon Club of the Eta Kappa Mu [spelling?] Fraternity where he spoke on the growth of electronics in the West


The folder also contains many reports, papers and miscellaneous documents with information and statistics relative to his speech subject



Box 1, Folder 15 – General Speeches


July 23, 1957 – “The Challenge of Technology in Electronics,” Stanford Business Conference, Stanford University


7/23/57, Copy of typewritten text of Hewlett’s speech


Saying that it is really the “new technology” that is the challenge, Hewlett divides this into two categories, challenges to industry and challenges to the consumer. First he defines the field of electronics as “anything that has in it a vacuum tube, or its counter-part, a solid state device such as a transistor.”


In 1956 he says the field of electronics amounted to 11 ½ billion dollars worth of business – 55% in manufacturing, 45% in non-manufacturing fields such as broadcasting and services. “…the industry is dominated,” he says, “by large companies with annual sales in excess of 100 million, twenty-two of which produce over 70% of all electronic equipment.


“One of the salient characteristics of the industry is that it is definitely research and development oriented. It is estimated that of the 500,000 engineers in this country 20% of them are engaged in the field of electronics.”


Hewlett says the most serious problem facing the electronics industry is that “fully half its manufacturing effort is supported directly by the government….Any appraisal of the future of the electronic industry must obviously start with the study of the Department of Defense uses of electronics.”


Hewlett refers to a study made by RCA on the subject of defense spending from 1956 to 1961, which forecast that “defense spending for electronics over this period would increase about 50%.” He sees spending for electronics for missiles growing much more rapidly than spending for aircraft or communications electronics.


“Non-military spending is divided rather equally between consumer and industrial applications. The consumer field is an old one and one that has somewhat leveled off. We have gone through our ‘boom and bust’ on TV and things are stable enough that the long range market can be fairly well predicted.”


“It is in the area of industrial uses of electronics that the greatest expansion, exclusive of the military, will probably be seen. A recent study estimated that industrial spending for electronics would increase 25% between 1956 and 1957,” Hewlett says.


“The real up-and-comer is the computer field which has shown an incredible rise in the past few years. From almost nothing in 1952 it has risen so that it is now estimated that in 1957 there will be about 350 million dollars spent for computers, and that this will rise to about one billion in 1960 and about two billion in 1965. It does not look as though any other field of industrial electronics has a chance to match this growth rate. The computer field, however, has many built-in problems – education of the consumer, obsolescences through rapid technological advances and high capital costs (about $1.00 of capital to $1.00 of sales).”


Automation and control is another area which Hewlett says has received “considerable attention…representing about 18% of the industrial electronics dollar [in 1956]…..Increased labor costs, shortages of adequate labor supply and requirements for increased precision all spell a long-range growth for this field – [one which] also has its own built-in problems. Two of the most serious of these are the high initial cost of the equipment and the basic difficulty of two independent industries, the machine tool and the electronic, trying to sit down and work out a joint program.


“The final area I would like to mention is that of medical electronics. This represents about 15% of the industrial electronics dollars – almost half of which is in X-Ray and radiological equipment. Again, the potential in this field is tremendous – but there is a serious problem of communications between the doctor or the medical scientist on one hand, and electronic engineer on the other. Thus, I would like to point out that of the 4 broad divisions of industrial electronics, 3 of them have a basic problem of trying to work with another discipline – this is an example of a major challenge of technology.”


Looking at the probable effects of a major reduction in government defense spending upon the electronics industry, Hewlett says,  “There can be no question of the seriousness of any substantial cutback program. In all probability, however, the cutback would be somewhat gradual, not only for the sake of the electronics industry alone, but for the national economy as a whole. There are some indications that a reduction in defense spending would be accompanied by an increase in spending by some of the other governmental agencies….Obviously, however, only a fraction of the slack would be taken up in this manner. Basically, there would have to be a tremendous re-organization of the electronics industry, and in all probability this re-organization would take the form of a vigorous and concerted attack upon the problems of industry’s uses of electronics.


“This brings up the question as to why these problems are not strongly attacked now. Well, basically, it is because it is not economically profitable for the moment. When all is said and done, defense business can be profitable. The selling costs are not great, for you are dealing with relatively few customers. The problems are challenging, and up to now there has been ample money. A major move of the industry into industrial electronics would pose many problems on education, distribution and maintenance, but basically the potentialities are there. It  would be the real challenge of technology.”


Hewlett returns to his statement that the challenge of electronics takes two forms – one to the manufacturer, and the other to the consumer. “To the manufacturer,” he says, “the challenge demands that he keep abreast of all major technical developments in his field, while continually monitoring related technologies, with an eye to borrowing from them when applicable. To the manufacturer this is a critical job, for as new technologies develop he must time his entry so as to be neither too early nor too late. Perhaps the effect of the introduction of the transistor is a good example. The first rather quiet announcement of the transistor was followed shortly with tremendous enthusiasm by potential users. It was the answer to all problems – it had infinite life – it was shock and vibration proof – it was infinitely stable, etc. Some manufacturers were lured into producing equipment taking advantage of these alleged assets of the transistor. But they found that many of these claims were not true, at least as of that time, and that, in addition, there were many difficulties that no one had anticipated. The result was obvious – the products failed. Yet, on the other hand, a company that is now not doing some work on the uses of transistors, where they are applicable to its field, is just asking to be scooped by its competition.”


Looking at the situation for the consumer, Hewlett says he, too, must “maintain his competitive edge in his own field, and he must continually monitor those products or techniques that will improve his production efficiency or his degree of management control. If this represents radical departures from standard practices, he must insure that he has adequate technical competence within his organization to exploit to the fullest the new equipment. The introduction of the electronic computer emphasized this point in the strongest terms. When the first Remington Rand Univac 1 was delivered to General Electric in Louisville it turned out that no one knew how to use it. It was a useless tool. The measure of success of the computer in its introduction into business has been marked by the adequacy of preparation for its intelligent use.


“The eventual introduction of automation will face the same kind of problems – and yet come it must…..Members of the manufacturing industry must follow closely activities in this field so as to time their entry for maximum effectiveness. Similarly, they must  be prepared to handle the increased technical complexity of a very sophisticated system.


“The challenge of technology is to keep abreast of the products of sciences applicable to your business – to choose carefully the time of entry – and to be internally qualified to fully exploit the equipment or technique so as to insure maximum return of the investment.”


7/26/57, Telegram to Hewlett from Herbert Seibert, Editor of “The Commercial and Financial Chronicle” asking for a copy of his speech, along with a photo

8/14/57, Copy of a letter from Hewlett to Herbert Seibert sending a copy of his speech

8/14/57, Copy of a letter from Hewlett to Russell Robins, Vice President L. A. Young Spring & Wire Corporation, sending a copy of his speech in response to his request

8/30/57, Letter to Hewlett from R. Robins’ secretary thanking him for the copy

8/28/57, Article clipped from “The Commercial and Financial Chronicle” printing his speech and photo



Box 1, Folder 16 – General Speeches


December 4, 1957, “Growth Industries in the West – Electronics,” Stanford Business School


12/4/57, Copy of a two page typewritten outline of Hewlett’s speech


From this outline we see that he discussed “pre-war” electronics, particularly in the Bay Area,  mentioning such companies as H & K, Eimac, Lenkurt, Dalmo Victor, Remler, Fisher, Kaar, Litton, and, of course, HP. During the war the Bay Area produced vacuum tubes and general commercial systems; the Los Angeles area, aircraft. All this pulled people to California – who liked it.


Post War growth saw electronics established as a general purpose tool, and an increase in the technical abilities of personnel, stemming from training received during the War. California universities became strong in the field of electronics. All this providing a favorable climate for engineering firms.


Korea created a big increase in demand for electronic equipment by the military – G.E., Sylvania, IBM, aircraft.


Currently Hewlett says military spending is cutting back – this is recognized by the industry which is broadening its product lines. In the long run military spending must taper off, but not suddenly.


He says the “Long range outlook is extremely dependent on how non-military product development programs proceed. I am no prophet” he says, “but—


  1. There is the non-military business – untapped
  2. It will entail clever imaginative engineers
  3. W. C. [?] has what it takes
  4. Management young enough and energetic enough to grab their share”