SAN JOSE, Calif. (AP) - After running one of Silicon Valley's powerhouse
companies for six years, Carly Fiorina now has her sights set on the White
House.
Not for her -- not yet, at least. But for John McCain.
Fiorina, 53, joined the Republican senator's presidential campaign this
spring. She brings with her a long list of wealthy friends and supporters and
intimate insight into how some of the largest corporations work, having been at
the helm of Hewlett-Packard Co. and before that, senior management at AT&T Inc.
and its spinoff Lucent Technologies.
While the new gig is her first in politics, her name already has been tossed
around as a possible vice presidential running mate. McCain has said he's not as
strong on economics as he is on national security, so he needs accomplished
business leaders, like Fiorina, advising him.
But Fiorina's resume isn't without its blemishes, and some observers have
been merciless about her performance at HP. They also say her lack of a public
policy record will be hard to overcome as she travels the country on behalf of
McCain.
"She almost destroyed one of the nation's great corporate treasures -- she
made a mess of HP, she made it an extraordinarily unpleasant place to work,"
said Jeffrey Sonnenfeld, a professor at the Yale School of Management and
longtime critic of Fiorina's. "She represents sizzle over steak and style over
substance -- that would damage the integrity and credibility of the McCain
campaign."
Fiorina became chief executive of Palo Alto-based HP in 1999 after spending
nearly two decades at AT&T Inc., where she made a star turn as a fast-rising
saleswoman, and Lucent Technologies, where she directed the initial public
offering of stock and spinoff from AT&T.
At HP, she was known as a divisive manager, who made sweeping moves to try
and wrestle the technology icon into the Internet age.
But she also used charm and diplomacy to push through one of her biggest
achievements there: engineering HP's $24 billion acquisition of Compaq Computer.
The deal was bitterly contested by descendants of HP's founders but squeaked by
51 percent to 49 percent in a contentious proxy battle.
But Fiorina was pushed out of HP in 2005 over the computer and printer
maker's spotty financial performance that hurt the stock -- which sank 56
percent on her watch -- and impatience by investors who were tired of waiting
for her changes to pay off.
Some say Fiorina may have simply been out of her element at HP, as someone
whose focus on marketing and branding made her an odd fit in HP's hardcore
techie culture.
She drew snickers from some longtime HPers for the company's decision in
2004 to sell HP-branded iPods. The idea was to liven up the company's staid
image, but HP abandoned the initiative the following year.
She's always been candid that her background is nontechnical: a Stanford
University undergrad in medieval history and philosophy, she went on to earn
master's degrees in management from the University of Maryland and the
Massachusetts Institute of Technology.
Fiorina, uncharacteristically dynamic for a Silicon Valley CEO, was also
criticized for her own celebrity appeal, a perception that made her stand out
against the low-key images of many other valley chief executives.
Still, supporters say Fiorina has been vindicated by HP's success since her
firing. They argue the changes she made ultimately helped a hidebound HP and
demonstrated a decisiveness and willingness to take risks that could work to her
advantage in politics. They also say her leadership in the Compaq merger showed
deft political maneuvering that could foreshadow how she would approach
political office.
"There's an inside-the-valley perception (about Fiorina), but those are not
necessarily things that would hurt her outside the valley," said Mozelle
Thompson, the former commissioner of the Federal Trade Commission who oversaw
the agency's antitrust review of HP and Compaq merger.
"To the extent that some people may not view Carly Fiorina as shy and
retiring, she would fit in really well in Washington."
She's also a well-known business figure who will help McCain win voters and
donors, particularly in deep-pocketed Silicon Valley. McCain has also recruited
Cisco Systems Inc. Chief Executive John Chambers and former eBay Inc. Chief
Executive Meg Whitman. They are on McCain's national finance committee.
"Carly is in many respects very appealing to the California electorate --
it's hard to put her in a box," said Boris Feldman, a partner at the Wilson
Sonsini Goodrich & Rosati law firm who worked with Fiorina on a court case
challenging the HP-Compaq merger and has raised money for the McCain campaign.
Fiorina says there are many parallels to politics and running a company.
With more than 150,000 employees when Fiorina was fired, running HP could be
compared to being mayor of a medium-sized city like Syracuse, N.Y.
"My leadership at HP has been completely validated by the results HP posted
the day after I was fired until today," Fiorina said in a recent interview.
"Leadership is about making tough choices, and I think I recognize that in
others. That's what attracts me to John McCain -- he's a leader."
HP recently cracked $100 billion in annual sales for the first time, and has
recaptured the title of the world's No. 1 personal computer seller from Dell
Inc., an achievement helped by the addition of Compaq and the operational
changes made under the new chief executive, Mark Hurd.
"HP hasn't looked so bad since she left -- it was a little stain on her
reputation in that she wasn't as successful as she wanted to be, but she's still
pretty damn successful," said David Brady, professor of political science and
leadership values at the Stanford Graduate School of Business.
"Presidential elections are different from internal battles with the old
family (at HP). A lot of time's passed since then. I don't see it as a problem."
Fiorina, who splits her time between her homes in Silicon Valley and
Washington with her husband, Frank, is quiet on the topic of her political
aspirations.
Right now, Fiorina says her priority is helping get the candidate's message
out.
"I remember what it feels like to be a secretary and the challenges of
working people," Fiorina said. "I understand how you create jobs, I understand
why jobs leave, I understand how business works, I think I understand how the
economy works. I think all of those perspectives are valuable."
Copyright 2008 Associated Press. All rights reserved. This material may not be
published, broadcast, rewritten, or redistributed.
|