McDonnell, Vertrees To Design New HP Channel

The combined channel group is part of an overall HP corporate reorganization that will be implemented on or before May 1.

Solution providers who alerted CRN to the memo, dated Jan. 9, at first said it appeared Vertrees, currently HP's vice president and general manager of the enterprise partners group for the Americas, was being put on special assignment, thus giving Kevin Gilroy, HP's vice president and general manager of commercial channels for the Americas, a leg up on heading the combined channels organization. But according to the memo, Vertrees has been given a key strategy role in designing the new channel structure. And McDonnell's name has suddenly been thrown into the mix as a possible new channel chief, solution providers said. Channel sources also said that Vertrees apparently would retain his current position in addition to his new assignment.

The memo from HP's executive council states: "This [combined channels] team is focusing on the design of the combined enterprise and commercial channels and developing the leadership framework for the organization. Jim McDonnell [vice president of sales and marketing for HP's Personal Systems Group] and Dan Vertrees are co-leading this team," the memo said.

McDonnell, Vertrees and Gilroy were unavailable for comment. An HP spokeswoman said the company does not comment on internal memos.

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The memo, addressed to all HP employees, outlines the process behind HP's planned reorganization announced Dec. 10. The reorganization, set to go into effect by May 1, will merge HP Services and the Enterprise Systems Group into a single Technology Solutions Group headed by Ann Livermore. In addition, all of HP's sales and business development efforts will be consolidated into a Customer Solutions Group headed by Peter Blackmore. Duane Zitzner, currently executive vice president of HP's Personal Systems Group, will head the consolidated channels organization.

The logistical effort to plan and execute the reorganization appears to mirror the "clean room" format that was credited as one of the driving forces behind the successful Compaq-HP merger. Team leaders have been assigned to various aspects of the merger, according to the memo, including ones focused on value chain, financial processes, Customer Solutions Group design, Technology Solutions Group design, combined channels, marketing evolution and growth initiatives.

A Program Management Office will drive the reorganization implementation by monitoring and accelerating the progress of the teams, according to the memo.