REMARKS OF WILLIAM J. CASEY DIRECTOR OF CENTRAL INTELLIGENCE TO CIA EMPLOYEES CIA AUDITORIUM 24 JANUARY 1984

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP90B01370R000200200001-7
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 36
• Document Creation Date: December 22, 2016
• Document Release Date: August 21, 2008
• Sequence Number: 1
• Publication Date: January 24, 1984
• Content Type: REPORT

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REMARKS OF WILLIAM J. CASEY
DIRECTOR OF CENTRAL INTELLIGENCE
TO
CIA EMPLOYEES
CIA AUDITORIUM
24 JANUARY 1984
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As WE START OUR FOURTH YEAR OF WORKING TOGETHER, I WANT
YOU TO KNOW THAT IT'S BEEN A RICH AND GRATIFYING EXPERIENCE FOR
ME AND I WANT TO THANK ALL HERE FOR WHAT WE HAVE BEEN ABLE TO DO
TOGETHER. AT THE SAME TIME I WANT TO TELL YOU ABOUT SOME
DISCUSSIONS AND EVENTS DURING THE FIRST WEEKS OF THIS YEAR WHICH
BROUGHT HOME TO ME HOW MUCH MORE THERE IS TO DO.
WEEK BEFORE LAST I PREPARED A RATHER DETAILED REPORT ON WHAT
WE'VE BEEN ABLE TO ACCOMPLISH OVER THE LAST THREE YEARS AND
REVIEWED IT WITH THE PRESIDENT- MORE THAN ANY OTHER PART OF THE
GOVERNMENT WE ARE IN ACTION EVERY DAY, DEALING WITH THE WORLDWIDE
APPARATUS OF THE KGB, PLUS SOME 70 NON-GOVERNING COMMUNIST PARTIES,
PLUS PEACE AND FRIENDSHIP ORGANIZATIONS ALL OVER THE WORLD DIRECTED
FROM MOSCOW, PLUS THE EAST GERMAN, CUBAN, AND OTHER BLOC
INTELLIGENCE SERVICES--ALL WORKING TO STEAL OUR TECHNOLOGY, TO
DAMAGE OUR REPUTATION, TO DIVIDE US FROM OUR FRIENDS, TO
DESTABILIZE, SUBVERT AND OVERTHROW GOVERNMENTS FRIENDLY TO US-
THE PRESIDENT KNOWS THAT CIA IS THE ORGANIZATION IN THE FREE
WORLD MOST CAPABLE OF DEALING EFFECTIVELY WITH THIS ENORMOUS
APPARATUS AND FRUSTRATING ITS OBJECTIVES- I WAS ABLE TO SPELL
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AMERICA, ASIA, AND AFRICA- WE HAVE DEVELOPED A WORLDWIDE
COUNTERTERRORISM NETWORK THROUGH OUR RELATIONSHIPS WITH
INTELLIGENCE AND SECURITY SERVICES IN OTHER COUNTRIES- I
REVIEWED HOW, IN RECENT MONTHS, WE HAVE THWARTED TERRORIST
ATTACKS, RECOVERED STOLEN TECHNOLOGY AND CARRIED OUT RESCUE
OPERATIONS IN MANY PARTS OF THE WORLD-
IN THE INTELLIGENCE COMMUNITY AND IN CIA THE PRODUCTION AND
QUALITY OF FINISHED INTELLIGENCE FOR POLICYMAKERS IS AT THE
HIGHEST LEVEL IN HISTORY- A GREAT DEAL WAS HEARD ABOUT THE
PURGING OF THE CLANDESTINE APPARATUS IN THE LATE 1970s. LESS
WELL KNOWN IS THE MASSIVE DEPARTURE OF PROFESSIONALS FROM THE
ANALYTIC SIDE OF CIA DURING THE SAME PERIOD- NEARLY HALF OF OUR
ANALYSTS LEFT BETWEEN 1977 AND 1981- FROM A LOW POINT IN 1980
OF ONLY 12 NATIONAL ESTIMATES, IN 1983 WE PUBLISHED SOME 50
NATIONAL ESTIMATES AS WELL AS 25 OTHER INTELLIGENCE COMMUNITY
ASSESSMENTS- IN ADDITION, WE COMPLETED MORE THAN 800 RESEARCH
PROJECTS ON A NEARLY INCONCEIVABLE RANGE OF SUBJECTS FROM SOVIET
WEAPONS SYSTEMS TO POPULATION PROBLEMS TO THE IMPLICATIONS OF
INTERNATIONAL DEBT. THIS WAS IN ADDITION TO OUR STREAM OF
PER.IODICALS--DAILIES, WEEKLIES, MONTHLIES AND QUARTERLIES.
I ;WAS ABLE TO TELL THE PRESIDENT HOW OUR DIRECTORATE OF
SCIENCE AND TECHNOLOGY HAS COME UP WITH A WHOLE RANGE OF IMPROVED
METHODS OF ACQUIRING AND ANALYZING INFORMATION-
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I WAS ABLE TO SPELL OUT HOW, IN 1983, THE KGB HAS TAKEN THE
WORST SHELLACKING IN ITS HISTORY AS 117 SOVIET INTELLIGENCE
AGENTS DEFECTED OR WERE EXPELLED FROM OVER 20 COUNTRIES ON ALL
CONTINENTS.
IT TOOK ME 20 SINGLE-SPACED PAGES TO SUMMARIZE FOR THE
PRESIDENT WHAT WE HAVE ACCOMPLISHED OVER THESE THREE YEARS-
HAVE NO INTENTION OF TAKING YOU THROUGH ALL OF THAT TODAY-
BUT I DO WANT YOU TO KNOW THAT THE PRESIDENT REACTED STRONGLY
WITH PRIDE AND APPRECIATION IN WHAT YOU HAVE DONE IN REBUILDING
AND REVITALIZING THE NATIONS INTELLIGENCE ARM AND EXTENDS HIS
APPRECIATION AND CONGRATULATIONS-
THIS WEEK, WITH OUR NATIONAL INTELLIGENCE OFFICERS, I AM
PUTTING THE FINISHING TOUCI-ES ON THE WORLDWIDE BRIEFING WHICH WE
GIVE TO SIX COMMITTEES OF THE CONGRESS AT THE BEGINNING OF
EACH SESSION- TOMORROW, IN THE FIRST OF THESE BRIEFINGS, WE
WILL TELL THE SENATE ARMED SERVICES COMMITTEE ABOUT THE LARGE
NUMBER OF NEW STRATEGIC WEAPONS WHICH THE SOVIETS HAVE UNDER
DEVELOPMENT TO THREATEN US--HEAVY MISSILES, MOBILE MISSILES,
CRUISE MISSILES LAUNCHED FROM NEW SUBMARINES AND NEW AIRPLANES-
WE WILL TELL THEM OF THE SOVIET POTENTIAL TO DEPLOY A MISSILE
DEFENSE SYSTEM NATIONWIDE IN THE EARLY 1990s- WE WILL TELL THEM
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ABOUT NEW CONVENTIONAL WEAPON SYSTEMS TO BE DEPLOYED TO SUPPORT
A DOCTRINE OF HIGHLY MOBILE MANEUVER FORCES SUPPORTED BY
MASSIVE ARTILLERY FIRE AND TACTICAL AIR STRIKES- WE WILL TELL
THEM ABOUT SOVIET EXERCISES FOR SIMULTANEOUS CONFLICT IN EUROPE
AND THE MIDDLE EAST- WE WILL TELL THEM ABOUT THE WORLDWIDE
OCEAN EXERCISE LAST SEPTEMBER FEATURING SIMULTANEOUS ACTIVITY-BY
SOVIET SEA AND AIR FORCES OF THE NORTHERN BALTIC, BLACK SEA, AND
PACIFIC FLEETS AND BY NAVAL FORCES IN THE INDIAN OCEAN AND THE
MEDITERRANEAN-
WE WILL SPELL OUT HOW THE GLOBAL REACH OF THE SOVIET UNION
HAS EXPANDED OVER THE LAST TEN YEARS SO, THAT SOVIET FORCES NOW
OPERATE FROM FULL-FLEDGED BASES IN CUBA, VIETNAM, SYRIA, SOUTH
YEMEN, ETHIOPIA, LIBYA, ANGOLA, AND FROM 14 ADDITIONAL COUNTRIES
ALLOWING MORE LIMITED ACCESS. A SOVIET MILITARY PRESENCE IS
NOW ESTABLISHED IN EVERY MAJOR REGION OF THE WORLD-
WE WILL SPELL OUT HOW,COMMUNIST AND RADICAL ARAB STATES USE
50 MAJOR TERRORIST ORGANIZATIONS, OVER 60 TERRORIST TRAINING
CAMPS AND A WIDE ARRAY OF AD HOC TERRORIST GROUPS AND LIBERATION
MOVEMENTS TO THREATEN AND ATTACK OUR PEOPLE, DISRUPT THE PEACE
AND INFLAME RACIAL, RELIGIOUS AND OTHER CONFLICTS AROUND THE
WORLD- PREPARING THESE BRIEFINGS BRINGS HOME VIVIDLY THE
TREMENDOUS RESPONSIBILITY WE HAVE TO KEEP TRACK OF, TO
UNDERSTAND AND TO WARN ABOUT THE EVOLUTION OF AN AWESOME ARRAY
OF SOPHISTICATED NEW WEAPONS SYSTEMS, OF NEW MILITARY DOCTRINES
AND STRATEGIES, OF THE RISE AND FALL OF NATIONAL ECONOMIES, OF
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POTENTIAL INSTABILITIES AND CHANGES'OF DIRECTION IN COUNTRIES ON--
WHICH WE DEPEND, OF NEW TECHNOLOGIES WHICH AFFECT BOTH OUR SECURITY
AND OUR PROSPERITY, OF THE POLITICAL DRIVE IN EUROPE TO BREAK UP
THE WESTERN ALLIANCE, OF THE RACE FOR SUPREMACY IN SCIENCE AND
TECHNOLOGY- THIS IS THE STUFF OF EVERYDAY LIFE IN THIS
ORGANIZATION- MEETING THE CHALLENGE OF DEALING WITH THIS PANORAMA
OF FAST MOVING EVENTS 'BOTH DEMANDS AND BRINGS OUT THE BEST IN
ALL OF US-
THE FIRST WEEK OF THE YEAR WE PUT THE FINISHING TOUCHES ON
OUR BUDGET FOR FISCAL YEAR 1985. THE PRESIDENT AND THE CONGRESS
HAVE BEEN GENEROUS IN GIVING US THE RESOURCES TO BUILD AND IMPROVE
OUR CAPABILITY TO MEET THESE CHALLENGES- WE ARE WELL ON THE WAY
TO RECOVERING THE GROUND LOST DURING THE 70s. By 1986 WE WILL
BE EXAMINING THE WORLD MUCH MORE CLOSELY AND WITH NEW TECHNICAL
MARVELS COLLECTING INFORMATION WHICH WE DO NOT NOW REACH. To
HANDLE THIS GREATLY-EXPANDED FLOW OF DATA, GET IT WHERE IT IS
NEEDED, SORT IT OUT AND FIGURE OUT WHAT IT MEANS, WE ARE MODERNIZING
OUR COMMUNICATIONS NETWORK, DEVELOPING NEW COMPUTER SYSTEMS.-AND
OTHER ADVANCED METHODS OF MANAGING AND TARGETING THESE COLLECTION
SYSTEMS AND PROCESSING AND ANALYZING THE DATA THEY WILL PRODUCE-
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WITH A SHARPLY INCREASED VOLUME OF INFORMATION- IN THE LAST
THREE YEARS THE BUDGET OF THE DIRECTORATE OF INTELLIGENCE HAS
RESOURCES FOR
OUTSIDE EXPERTISE TO HELP AND CRITIQUE OUR ANALYSIS HAVE ALMOST
TRIPLED- WE HAVE CONDUCTED A MASSIVE CAMPAIGN TO PUT OUR ANALYSTS
IN TOUCH WITH EXPERTS IN THE PRIVATE SECTOR, UNIVERSITIES, THINK
TANKS, PRIVATE BUSINESS HERE AND ABROAD- WE HAVE MOVED ANALYSTS
INTO THE COMPUTER AGE WITH HUNDREDS OF THEM NOW HAVING A TERMINAL
TO BRING NEW REPORTS TO THEIR DESK EVERY DAY, ORGANIZE THEIR DATA
AND BRING IT BACK AS NEEDED- ONLY WITH IMPROVED METHODS WILL
THE SAME NUMBER OF ANALYSTS CIA HAD IN 1960 BE ABLE TO COPE WITH
THE FAR BROADER PROBLEMS OF THE 1990s?
IT SAYS A LOT ABOUT THE IMPROVED PUBLIC ATTITUDE TOWARD THE
CIA THAT LAST YEAR ABOUT A QUARTER OF A MILLION AMERICANS ASKED
ABOUT SIGNING UP WITH THE CIA. OUR RECRUITERS INTERVIEWED
ABOUT 20,000 OF THEM AND WE EMPLOY CLOSE TO NEW RECRUITS
A YEAR. THAT'S VERY TIGHT SCREENING AND SELECTION. To COPE
WITH THIS INCREASED HIRING, TO DEVELOP NEW SKILLS AND HELP ALL
OF4-US DO BETTER AND MORE RELEVANT WORK, OUR TRAINING CAPABILITIES
HAVE BEEN EXPANDED AND IMPROVED WITH NEW-COURSES AND PROGRAMS.
THIS SPRING WE WILL BREAK GROUND FOR A NEW BUILDING ON THIS
CAMPUS WHICH WILL GIVE US ALMOST AN ADDITIONAL MILLION SQUARE
FEET OF SPACE AND GREATLY IMPROVE THE COMFORT AND EFFICIENCY
WITH WHICH WE WILL BE ABLE TO DO OUR WORK.
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ALL OF US CAN TAKE PRIDE IN WHAT WE HAVE UNDER WAY, AND HOW
WE HAVE USED THE RESOURCES THAT HAVE BEEN PROVIDED US. THE
PRESIDENT HAS CALLED FOR A STILL LARGER INCREASE IN 1985, AND IN
1986 WE WILL HAVE COMPLETED MOST OF THE BUILDUP PROJECTED THREE
YEARS AGO. BUT THE PROBLEMS WILL BE GREATER AND MORE COMPLEX-
THE AMOUNT OF DATA BEING COLLECTED WILL THREATEN TO INUNDATE US-
WE WILL BE ABLE TO STAY ON TOP OF IT AND MEET OUR RESPONSIBILITIES
ONLY BY HIGHER QUALITY PERFORMANCE- WE ARE WELL INTO THE PROCESS
OF RESTORING OURSELVES QUANTITATIVELY- OUR THRUST FOR THIS YEAR
AND BEYOND MUST BE TO IMPROVE THE QUALITY OF OUR SKILLS, OF OUR
PERFORMANCE AND OF THE SERVICE WE PROVIDE OUR CUSTOMERS-
WE START WITH WHAT IS PROBABLY THE MOST PROFESSIONAL AND
DEDICATED WORK FORCE IN THE US GOVERNMENT- WE HAVE TRADITIONALLY
MAINTAINED A POSITION ON THE LEADING EDGE OF TECHNICAL ACHIEVEMENTS
IN THE COLLECTION AND HANDLING OF INFORMATION. THE QUALITY OF
OUR ANALYSIS IN MANY AREAS SURPASSES THAT PRODUCED ANYWHERE ELSE
IN THE FEDERAL GOVERNMENT-'OR, FOR THAT MATTER, IN THE PRIVATE
SECTOR- WE NEED TO CONTINUE TO ATTRACT AND RETAIN SOME OF THE
BEST MINDS AVAILABLE IN ANALYTICAL, OPERATIONAL, TECHNICAL AND
SUPPORT SPECIALTIES- WE NEED TO RECRUIT YOUNG PEOPLE WITH BRAINS,
CREATIVITY, DEDICATION AND DRIVE- WHAT WE HAVE TO OFFER THEM IS
THE OPPORTUNITY TO PARTICIPATE IN AN ORGANIZATION UNIQUE IN THE
CHALLENGES IT FACES, IN THE RESPONSIBILITY IT CARRIES, IN THE
SPIRIT AND THE CAN-DO QUALITIES IT MANIFESTS. EVERY ONE OF US
SHOULD. MAKE IT PART OF OUR RESPONSIBILITY TO RE ALERT TO PEOPLE
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WHO CAN MEET OUR STANDARDS, TO CONVEY THE MESSAGE THAT THERE IS
A SPECIAL PRIVILEGE AND A SPECIAL SATISFACTION IN OUR WORK AND
DO EVERYTHING WE CAN TO PROVIDE THE EXAMPLE, THE LEADERSHIP, THE
GUIDANCE AND THE OPPORTUNITY TO HELP NEW RECRUITS DEVELOP AS WE
WOULD LIKE THEM TO-
CIA MUST HAVE DONE THIS WELL OVER THE YEARS. LET US NOW
FOCUS MORE CONSCIOUSLY ON DOING IT BETTER AND MORE COMPREHENSIVELY-
WE NEED TO BECAUSE WE ARE CARRYING OUR PRESENT LOAD ONLY BY
ENLISTING MANY HUNDREDS OF RETIREES WITH PROVEN EXPERIENCE AND
ABILITY- SOMETIME WE WILL HAVE TO FILL THAT GAP FROM BELOW AND
THE RAPID ACCUMULATION OF NEW THREATS, PROBLEMS, AND CONCERNS
FOR US TO HANDLE PROVIDES THE OPPORTUNITY AND THE PRESSURE TO
BRING OUR NEW RECRUITS AND YOUNGER PEOPLE ALONG RAPIDLY TO BOTH
HIGHER RESPONSIBILITY AND BETTER PERFORMANCE.
WE MUST REMEMBER THAT WHEN THE SPIRIT AND ATTITUDES WE
CHERISH HERE WERE DEVELOPED CIA WAS A MUCH SMALLER GROUP OF
PEOPLE, MANY OF WHOM KNEW EACH OTHER AND HAD WORKED TOGETHER
BEFORE- WE NOW HAVE MORE NEW PEOPLE THAN WE'VE HAD IN A VERY
LONG TIME. WE NEED TO TAKE SPECIAL CARE THAT WE PRESERVE,
TRANSMIT AND RENEW THE QUALITIES WHICH HAVE BEEN INSTILLED HERE
OVER 35 YEARS-
GOOD AS WE ARE, THESE NEW CHALLENGES DEMAND THAT WE WORK
TO IMPROVE OUR PERFORMANCE- HOW DO YOU GET SUPERIOR PERFORMANCE
FROM A VERY LARGE ORGANIZATION? IT'S NOT COMMON AND IT'S NOT
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EASY- IN SEARCH OF EXCELLENCE--LESSONS FROM AMERICA'S BEST RUN
COMPANIES IS THE NAME OF A BOOK WHICH FOR MANY MONTHS NOW HAS
REPLACED AT THE TOP OF THE BEST SELLER LIST VARIOUS GUIDES ON
SEX, ON HOW TO GET RICHER AND ON HOW TO EAT WELL WITHOUT GETTING
FAT. THIS BOOK EXAMINES THE IBMs, THE BOEINGS, THE HEWLETT-PACKARDS,
THE MINNESOTA MININGS, THE MCDONNELLS, THE BECHTELS AND SOME 30
OTHER OUTSTANDING CORPORATE PERFORMERS TO SEARCH OUT WHAT IT IS
THAT ACCOUNTS FOR THEIR LEADERSHIP, THEIR SUPERIOR SERVICE AND
THEIR GENERAL PERFORMANCE. HOW DO THEY DO IT YEAR AFTER YEAR?
MUCH THE SAME QUALITIES RUN THROUGH THESE ENTERPRISES ENGAGED IN
BROAD SPECTRUM OF DIVERSE ACTIVITIES. THERE IS A BIAS FOR ACTION,
THE CLOSEST ATTENTION TO SERVING THE CUSTOMER, ENCOURAGING
ENTREPRENEURSHIP IN THE ORGANIZATION, LOOKING TO THE RANK AND
FILE AS THE ROOT SOURCE OF QUALITY IN PERFORMANCE, FOSTERING
'LEADERSHIP AND INNOVATION AT ALL LEVELS, PRACTICAL RISK-TAKING,
LEAN STAFFS, LOTS OF SMALL TASK FORCES TO TACKLE SPECIFIC PROBLEMS
IN A SHORT TIME FRAME, A HIGH PREMIUM ON FLEXIBILITY, ON RAPID
AND EFFECTIVE LEARNING, ON ADAPTATION AND COMMITMENT- IN A
VARIETY OF WAYS THEY ENCOURAGE INITIATIVE, SUPPORT SELF-STARTERS,
CREATE TASK FORCES WITH SHORT TIME FUSES TO REACT QUICKLY, BREAK
NEW GROUND, CROSS FERTILIZE EXPERIENCE AND KNOWLEDGE- THEY PUSH
THEIR MANAGERS AND STAR PERFORMERS TO LEAD AND DEVELOP YOUNGER
PEOPLE BY FORCE OF EXAMPLE, TO IDENTIFY THEIR COMERS AND TO
FORCE THE PACE OF THEIR DEVELOPMENT. THESE AND OTHER APPROACHES
TO DEVELOPING PEOPLE AND GENERATING SUPERIOR PERFORMANCE AND
EXCELLENCE ARE LAID OUT WITH FASCINATING EXAMPLES IN THE BOOK
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IN SEARCH OF EXCELLENCE- SOME OF OUR SENIOR MANAGERS HAVE
ALREADY BOUGHT COPIES FOR THEIR ASSOCIATES- IAM HAVING OUR
LIBRARY ACQUIRE ENOUGH COPIES SO THAT ANYONE WHO WANTS TO READ
OR LOOK THROUGH A COPY WILL NOT HAVE TO WAIT VERY LONG-
WE HAVE IN CIA MANY OF THE FEATURES THAT CHARACTERIZE THESE
HIGH-POWERED PRIVATE ORGANIZATIONS- WHEN WE AWARDED THE SIS
BONUSES HERE LAST WEEK, WE RECOGNIZED INDIVIDUALS. WHO CARRY THE
PRINCIPAL RESPONSIBILITY IN OUR GOVERNMENT FOR ASSESSING THE
SOVIET STRATEGIC THREAT, FOR COPING WITH THE SOVIET-CUBAN
SUBVERSIVE THRUST IN THE CARIBBEAN AND CENTRAL AMERICA, FOR
MODERNIZING A WORLDWIDE COMMUNICATIONS SYSTEM WHICH HAD BECOME
OBSOLETE, FOR WATCHING SOVIET VIOLATIONS OF ARMS CONTROL
AGREEMENTS*AND OTHER SPLENDID ACHIEVEMENTS- WE ARE MOVING-
YOUNGER PEOPLE INTO GREATER RESPONSIBILITY WITH SIS-01S AND
-02S BEING TAPPED AS OFFICE DIRECTORS AND GS-13s AND -14S RUNNING
MAJOR LOGISTICAL AND TRAINING OPERATIONS IN COUNTRIES WHERE
OPERATIONS OF WORLDWIDE IMPORTANCE ARE BEING CONDUCTED- WE HAVE
HAD GS-10S AND -11S BRIEFING THE PRESIDENT AND WORKING ON TASK
FORCES TACKLING HIGH NATIONAL CONCERNS ABOUT INSURGENCIES, ABOUT
TERRORISM, ABOUT DECEPTION AND DAMAGE TO OUR INTELLIGENCE
CAPABILITIES, ABOUT THE STABILITY OF MAJOR COUNTRIES IN WHICH WE
HAVE BIG STAKES- WHERE ELSE CAN YOUNG PEOPLE GET THAT KIND OF A
CHALLENGE?
THOSE WHO WILL BE OUR FUTURE MIDDLE AND SENIOR LEVEL MANAGERS
WILL ALSO BE JUDGED ON THEIR RECORD IN IDENTIFYING AND DEVELOPING
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TALENT AS WELL AS ON THEIR OWN PERFORMANCE. THE PROCESS OF
MAKING ASSIGNMENTS--DECIDING HOW MUCH AND WHAT KIND OF EXPERTISE"
MUST BE FOCUSED ON THE VARIOUS TASKS WHICH CONFRONT US, AND
DECIDING TO WHOM TO ENTRUST THESE TASKS--IS OF CRITICAL IMPORTANCE-
SOME ASSIGNMENTS STRETCH THE CAPABILITIES OF OUR PEOPLE--SOMETIMES
SETTING THE STAGE.FOR GREAT GROWTH- OTHER ASSIGNMENTS MERELY
TAKE ADVANTAGE OF WHAT A PERSON ALREADY.KNOWS HOW TO DO. As YOU
CARRY OUT THIS ESSENTIAL TASK, CONSIDER THE PERSONAL DEVELOPMENT
ASPECTS OF EACH ASSIGNMENT AS CAREFULLY AS YOU DO THE NEED TO
ACCOMPLISH SUCCESSFULLY WHATEVER TASK IS AT HAND.
YOU WILL FIND OTHER WAYS TO FOSTER AN ATMOSPHERE OF CHALLENGE
AND OPPORTUNITY, TO TEST OUR YOUNGER PEOPLE, TO BRING THEM MORE
RAPIDLY INTO HIGHER AND BROADER RESPONSIBILITY, AND TO INSTILL
IN THEM A SENSE OF PURPOSE AND A CONFIDENCE IN THEIR CAPABILITIES-
IT ALL BOILS DOWN TO A QUEST FOR EXCELLENCE. THAT IS AND
ALWAYS HAS BEEN ALIVE AND WELL IN THIS ORGANIZATION- How CAN WE
INTENSIFY AND TRANSMIT THAT ASPIRATION TO EVERY CORNER OF THIS
ORGANIZATION AND BRING OUT LATENT. TALENT WHEREVER. IT EXISTS.;;
WEEK BEFORE LAST, AFTER A DAY VISITING IBM's RESEARCH CENTER IN
UPSTATE NEW YORK, I CAME AWAY WITH NEW INSIGHT INTO HOW QUALITIES
OF THRUST AND DRIVE, FLEXIBILITY AND RESPONSE, TO:.CHALLENG.EAAND THE
QUEST FOR EXCELLENCE CAN BE MADE TO PERVADE AND ANIMATE A HUGE
ORGANIZATION. A MAJOR KEY TO IBM's SUCCESS IN MAINTAINING HIGH..
PERFORMANCE, FOCUS AND DRIVE IN A LARGE NUMBER OF COMPONENT
ORGANIZATIONS SPREAD ALL OVER THE WORLD IS A STATEMENT OF
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OBJECTIVES AND PRINCIPLES WHICH THEY TAKE VERY SERIOUSLY- WE
HERE AND OTHERS IN GOVERNMENT HAVE A CODE OF CONDUCT WHICH
PRIMARILY TELLS US WHAT NOT TO DO. THAT IS IMPORTANT AND MUST
NOT BE NEGLECTED. BUT WE ALSO NEED TO HAVE EVER IN OUR MINDS A
CALL TO ACTION, A STATEMENT OF POSITIVE PURPOSE, AN ARTICULATION
OF STANDARDS OF EXCELLENCE TO WHICH WE CAN RALLY AND ASPIRE.
THE TONE AND ATTITUDE AT CIA IS RIGHT BUT I BELIEVE AN
ARTICULATION OF OUR POSITIVE OBJECTIVES CAN INTENSIFY THE
EXCELLENCE WE HAVE ACHIEVED HERE AND SPREAD IT MORE BROADLY-
I'VE COLLECTED FROM BOEING, HEWLETT-PACKARD, IBM, BECHTEL AND
OTHER STAR PERFORMERS STATEMENTS OF THEIR OBJECTIVES WHICH THEY
RELY ON TO GIVE THEIR PEOPLE THE FREEDOM AND RESPONSIBILITY TO
WORK TOWARD THOSE STATED GOALS IN WAYS THEY FIND BEST IN THEIR
RESPECTIVE AREAS OF RESPONSIBILITY-
HOW DO WE GET SUCH A STATEMENT OF PURPOSE, AN ARTICULATION
OF STANDARDS OF EXCELLENCE-FOR THIS ORGANIZATION IN A WAY WHICH
DEVELOPS FROM WITHIN AND REFLECTS THE VIEWS, ASPIRATIONS AND THE
EXPERIENCE OF ALL OUR PEOPLE AND, ABOVE ALL, WHICH HAS THEIR
COMMITMENT- IN THE THREE YEARS I'VE BEEN HERE, I'VE VISITED
MORE
ELEMENTS-OF THE ORGANIZATION HERE IN THE CAPITOL AREA. I DO AS
MUCH OF THIS AS I CAN FIND TIME FOR BECAUSE I ALWAYS LEARN AND
FEEL BETTER ABOUT THIS OUTFIT FROM TALKING WITH YOU ONE ON ONE
OR IN SMALL GROUPS. RECENTLY, I REALIZED THAT I HAD NOT BEEN IN
CONTACT WITH-ENOUGH OF THE 25 SUBSTANTIVE COMMITTEES WE HAVE IN
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THE COMMUNITY AND THE 20 OR SO WE HAVE IN THE CIA. SO I WROTE
TO THE CHAIRMAN OF EACH COMMITTEE ASKING FOR A THREE-PARAGRAPH
NOTE TELLING ME (1) WHAT THE COMMITTEE WAS UP TO, (2) HOW WELL
IT WAS DOING AND (3) HOW IT MIGHT DO BETTER- I RECEIVED GOOD
RESPONSES QUICKLY AND THEY LED TO GOOD, PURPOSEFUL MEETINGS AND
VALUABLE NEW PROJECTS FOR THE MORE ACTIVE COMMITTEES AND THE
EXTINCTION OF SOME WHICH HAD SERVED THEIR PURPOSE-
WHAT I WANT TO DO NOW IS TO INSTITUTE A PROCESS TO GET
WITHIN A SHORT TIME FRAME, FROM EVERY CORNER OF THE ORGANIZATION,
A BROAD EXAMINATION OF WHAT WE ARE ABOUT, WHAT IT IS WE WANT TO
FOSTER AND ENCOURAGE, AND THE KIND OF THINGS WE CAN DO TO ACCOMPLISH
THAT. FROM THIS WE WILL DEVELOP A STATEMENT OF PURPOSE APPLICABLE
TO THIS ORGANIZATION, TO OUR MISSION, TO THE KIND OF CUSTOMERS
WE SERVE, AND TO THE KIND OF WORK ENVIRONMENT AND TASKS WHICH
OUR MISSION REQUIRES- OUT OF THIS EXERCISE I BELIEVE WE CAN
LEARN AND TEACH EACH OTHER A LOT- I WOULD LOOK FOR THE KIND OF
POSITIVE STATEMENT OF PURPOSE AND STANDARDS OF EXCELLENCE WHICH
WILL SUPPLEMENT THE CODE OF CONDUCT WHICH NOW TELLS US HOW WE
MUST BEHAVE AND WHAT WE MUST NOT DO- OUT OF IT I BELIEVE WILL
COME A HIGHER SENSITIVITY TO HOW WE CAN ENCOURAGE CREATIVITY,
INDEPENDENCE OF ACTION, ENTREPRENEURSHIP. GET SMALL TASK FORCES
ROLLING UP THEIR SLEEVES, TAKING ON A PROBLEM AND GETTING SOMETHING
DONE WITHIN A RELATIVELY SHORT TIME FUSE. THAT'S THE WAY TO
MAKE THINGS MOVE, TO GET SUPERIOR PERFORMANCE IN ANY ORGANIZATION?
SET TASKS, SET DEADLINES, MAKE DECISIONS. ACT- STAY FLEXIBLE-
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CHANGE COURSE IF EXPERIENCE INDICATES? GET IT DONE AND MOVE ON-
THAT'S THE TEMPO WE WANT AND NEED HERE-
HOW DO WE GET THIS DONE? SOME 15 YEARS AGO THE STATE
DEPARTMENT, AFTER A SERIES OF OUTSIDE PANELS AND COMMISSIONS
CREATED BY PRESIDENTS, BY CONGRESS, SOME OF THEM SELF-APPOINTED,
HAD PRODUCED PONDEROUS AND UNREAD REPORTS, DECIDED TO EXAMINE
ITSELF TO SEE HOW IT COULD DO BETTER- TWO HUNDRED AND FIFTY
FOREIGN SERVICE OFFICERS DEPLOYED THEMSELVES INTO 13 SEPARATE
TASK FORCES AND LABORED FOR 11 MONTHS TO PRODUCE THIS 600-PAGE
VOLUME UNDER THE LABEL DIPLOMACY FOR THE SEVENTIES- IT IS
COMMENDABLE THAT THE FOREIGN SERVICE APPLIED ITS OWN KNOWLEDGE AND
EXPERIENCE TO DEFINE A NEW DIPLOMACY AND THIS WAS A GOOD EXERCISE
FOR THE STATE DEPARTMENT OUR STYLE IS DIFFERENT- I'M LOOKING
FOR TWO PAGES IN THREE WEEKS PLUS ANY VALUABLE IDEAS AND SUGGESTIONS
WHICH A QUICK AND SEARCHING SELF-EXAMINATION, INVOLVING NOT 250
PEOPLE BUT ALL OF US, CAN GENERATE- OUR STYLE IS TO LOOK FOR
PROBLEMS AND NEEDS, TO SEARCH FOR AND MARSHAL THE EXPERIENCE AND
TALENT TO RESPOND, GET IT DONE AND MOVE ON TO THE NEXT THING AS
QUICKLY AS POSSIBLE- WE WANT TO EXTEND THAT SPIRIT, THAT STYLE,
THAT TEMPO TO OUR NEW RECRUITS AND MORE WIDELY AMONG THOSE ALREADY
HERE- WE'LL DO OUR SELF-EXAMINATION WITH A TASK FORCE- BUT IT
WILL BE-,A BIG AND LOOSELY STRUCTURED TASK FORCE- IT WILL ENCOURAGE
AND PROVIDE OPPORTUNITY FOR INDEPENDENT INITIATIVE AND THOUGHT
FROM ALL LEVELS- IT WILL BE SHARPLY FOCUSED AND HAVE A SHORT
TIME FUSE. EVERY MANAGER WILL RECEIVE A PACKAGE CONSISTING OF
14
SECRET
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THREE PARTS: A-ROUGH FIRST DRAFT OF A STATEMENT OF OBJECTIVES
AND PRINCIPLES FOR CIA, A SAMPLE OF COMPARABLE STATEMENTS FROM
A FEW OTHER ORGANIZATIONS OF OUTSTANDING QUALITY, AND A QUICK
SUMMARIZATION OF FEATURES AND METHODS THE AUTHORS OF THIS BOOK
FOUND IN THE MOST EFFECTIVE PRIVATE ORGANIZATIONS OUR COUNTRY
HAS DEVELOPED. EACH MANAGER WILL BE EXPECTED TO USE HIS JUDGMENT
ON HOW BEST TO GET THE PEOPLE HE WORKS WITH INVOLVED IN CRITIQUING
AND IMPROVING THE DRAFT STATEMENT OF OBJECTIVES AND GETTING
THEIR BROAD UNDERSTANDING, ACCEPTANCE AND COMMITMENT TO THOSE
OBJECTIVES- I WOULD RECOMMEND WORKING IN SMALL GROUPS AND IN
SHORT MEETINGS, BUT URGE THAT YOU FOLLOW YOUR OWN INSTINCTS AND
DEVELOP YOUR OWN METHODS TO INVOLVE THE PEOPLE WHO WORK WITH YOU-
I WILL BE AWAY FOR ABOUT HALF OF NEXT MONTH AND I WILL
EXPECT EACH MANAGER TO HAVE BY 22 FEBRUARY AN IMPROVED STATEMENT
OF GOALS FOR CIA AND A SUCCINCT MEMO SUMMARIZING THE IMPORTANT
THOUGHTS AND RECOMMENDATIONS WHICH DEVELOPED IN THIS PROCESS
AMONG THE PEOPLE WHO REPORT TO HIM- I WILL READ AND DISCUSS
THESE RESPONSES CAREFULLY AND WE WILL PROMULGATE A STATEMENT OF
OUR ORGANIZATIONAL OBJECTIVES BEFORE FEBRUARY IS GONE-
THANK YOU!
15
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DCI
24 Jan 84
A critical ingredient in the success of an institution is its ability to
articulate the principles that provide the framework in which it operates.
As the Central Intelligence Agency grows and becomes increasingly complex
and specialized, a greater effort is required to establish its corporate
identity and create broad understanding of its purposes, principles and
standards. There follows an initial draft of such a statement designed to
be critiqued and improved and generate thought :end discussion in every corner
of the organization on what we're about and how ine qualities which make CIA
a standout in excellence of performance can best be strengthened and extended
at all levels and in all areas.
STATEMENT OF GOALS, PRINCIPLES AND STANDARDS FOR CIA
Purpose. To provide accurate, comprehensive intelligence support
to a broad range of consumers in a timely manner and in a form to be of
greatest utility. No matter what job we have or Lhe nature of our immediate
tasks, our independent and collective efforts arP all directed towards this
purpose.
Organization. The CIA is made up of operating elements that are critically
dependent on one another to support their individual and joint activities. Each
element's departmental and national responsibilities are respected and, in turn,
will undertake to contribute to and make use of the role and performance of
other relevant elements.
Ethics. Our activities are conducted under the Constitution and laws of
the United States. The nature of our work is such that every member of the
Agency must be aware of and sensitive to the letter and spirit of this legal
context, and manifest the highest degree of integrity in performance and
conduct.
People. CIA's people are the root source of its capabilities. The
strength of the organization is dependent on the quality of its people, and
its future is related to the opportunities it affords for their professional
and personal growth. Skills are recognized and fostered through training,
travel and assignments; management personnel are selected for their ability
to inspire enthusiasm and promote excellence based on their own performance.
Management. CIA's operating style is to foster initiatives and creativity
by allowing the individual great freedom of action in attaining well-defined
objectives, while requiring efficiency, accountability, and results at all
levels.
Measure of Results. Business organizations measure results in profits,
return on investment and capital growth required to deliver the expanded and
improved service which further increases profit and capital value. This is
achieved by meeting the needs of customers more satisfactorily than alternative
sources. As a public service, this organization does not have profitability
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and capital value to measure its results. Still, its results are in the
satisfaction of its customers in the value, relevance, and timeliness of the
intelligence and operational inputs they receive. Those results come from
the qualities of its people and their creativity, dedication, and success in
utilizing technology and. resources to collect, analyze, and apply information
and judgment to foster the security and prosperity of the United States. The
resources needed to achieve those results come from the way the President and
the Congress and the public assess and value these results.
Standards. We seek to exemplify in everything we do:
-- performance of the highest quality;
-- ethics and integrity of the highest order;
-- development of outstanding skills, confidence, and personal
resources in our people;
-- utilization of the most effective technologies;
-- capability and flexibility to meet tough and sudden challenges;
-- leadership and recognition as the best intelligence service in
the world.
2
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Qualitative Goals
= Achieve and maintain excellent quality of management.
- Maintain and enhance our reputation for quality of products and services.
- Stimulate innovativeness throughout the company.
- Str4;e to insure that the public views Boeing as an attractive long-term
investment.
- Preserve and enhance our financial soundness.
- Always seek to attract, develop and retain talented people.
- Exhibit community and environmental responsibility.
- Manage corporate assets so as to preserve and grow them.
Classes of Goals
- Beliefs: These represent what we are, and we want to stay that way.
-- Publish widely and reinforce regularly.
- Objectives: These describe, in subjective terms, where we would like to be.
-- Publish to 90-series annually, reinforce other ways.
- Targets: These are quantifiable goals.
-- Publish only to restricted group who can do something about them.
Beliefs
- We are a producer of very high quality goods and services.
- We have outstanding ethics and integrity.
- We always strive to be a positive economic, intellectual and social
influence on any community in which we operate and will attempt to limit any
negative aspects of our presence.
- We recognize talented people are our most important asset; therefore,
we will.
-- Set a creative and productive environment.
-- Provide each individual the maximum opportunity for growth
through training and job assignments.
-- Promote and compensate only by merit unless constrained by
collective bargaining agreements.
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Boeing (continued)
- We seek tough challenges demanding excellent management and high technology.
- We strive to perform all tasks in a superior fashion.
Objectives
- Posture ourselves to capitalize on the changing environment, automation,
technology, etc., between now and 2000.
- Develop multi-state and multi-nation presence to preserve and enhance
our success.
- When we decide to compete in any market, provide excellent products and
services at attractive prices so as to achieve an eminent and profitable position
in that market.
- Evolve into a more diverse business (without becoming a conglomerate)
so as to maximize growth and minimize the impact of maturing or vulnerable
product lines.
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A Business and Its Beliefs
- Any organization, to survive and succeed, must have a sound set of
beliefs guiding all its policies and actions.
- The most important single factor in corporate success is faithful
adherence to those belief.
- To meet the challenges of a changing world, an organization must be
prepared to change everything about itself except those beliefs.
Respect for the Individual
- Job security.
- Above-average benefits.
- Open-door policy.
- Managers help employees.
- Promote from within.
- Accept "Wild Ducks"
The Best Customer Service in the World
- Adapt equipment to customer.
- The customer's problem must be solved.
Strive to Accomplish All Tasks in a Superior Fashion
It is better to aim at perfection and miss.
- Be willing to try seemingly impossible tasks.
- A loss is a personal affront.
Faithful Adherence to Beliefs
- Retraining for technological change - up to 25 percent at once.
- Management training in beliefs, then skills.
- Everyone on straight salary, no hourly.
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IBM (continued)
- Retain the "small company'.' character.
-- Human touches.
-- Communication both ways.
-- Risk-taking by middle managers.
- Company.comes before all subsets.
Principles
- Same three as 1962.
Managers must lead effectively.
-- Plan for the future.
Obligations to stockholders.
-- ROI and growth.
Fair deal for the supplier.
-- Avoid dependence by supplier.
Be a good corporate citizen.
-- Community, nation and world.
Basic Business Goals
- Be the product leader--excel in technology, reliability, maintainabii!lity
and value.
- Be the most efficient company in this industry, in all respects.
- Compete in, and grow with, all aspects of the information industry.
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HEWLETT-PACKARD
THE ORGANIZATIONAL FRAMEWORK
FOR OUR OBJECTIVES
The achievements of an organization are the re-
sult of the combined efforts of each individual in the
organization workirg toward common objectives.
These objectives should be realistic, should be clearly
understood by everyone in the organization, and
should reflect the organization's basic character and
personality.
If the organization is to fulfill its objectives, it should
strive to meet certain other fundamental re-
quirements:
FIRST, there should be highly capable innova-
tive people throughoi t the organizatlnn. Moreover,
these people should have the opportunity-through
continuing program, of training and Priiiratinn to
gr 1e th~.r_Skill;a -lC-Rpal~i.tities. This is espe-
cially important in a technical business where the
rate of progress is rapid. Techniques that are good
today will be outdated in the future, and people
should always be looking for new and better ways
to.do their work.
SECOND, the organization should have obiec-
tives and leadershiponnorate enthu iasm at
all levels. People in important management posi-
tions should not only be enthusiastic themselves,
they should be selected for their ability to engender
enthusiasm among their associates. There can be no
place, especially among the people charged with
management resporsibility, for half-hearted inter-
est or half-hearted'ef.ort.
T I f' t its af-
fairs ising hon Sty nd inte
rity.
g
People at every level should be expected to a re
.to the highest standards of bu mess ethics, and to
,understand that an thing less is total) unacce t-
able. As a practical matter, et ica con uct cannot
Te assured by written policies or codes; it must be
an integral part of the organization, a deeply in-
grained tradition that is passed from one generation
of employees to another.
FOURTH, even though an organization is made
up of people fully meeting the first three require-
ments, all levels should work in unison toward com-
mon objectives, recognizing that it is only through
effective, cooperative effort that the ultimate in effi-
ciency and achievement can be obtained.
It has been our policy at Hewlett-Packard not to
h av~~ tight military-type organization, but rather to
aye o -III nhinrtiyPS yA4e TTTre clearly stated and
aUfP_Qp ork
toward those goals in ways they determine hit for
their own areas of recpf jj- ility.
Our Hewlett-Packard objectives were initially
published in 1957. Since then they have been mod-
ified from time to time, reflecting the changing na-
ture of our business and social environment. This
booklet represents the latest updating of our objec-
tives. We hope you find them informative and useful.
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Hewlett-Packard (continued)
THE OBJECTIVES
1. PROFIT
OBJECTIVE: To achieve sufficient profit to fi-
nance our company growth and to provide the
resources we need to achieve our other corporate
objectives.
In our economic system, the profit we generate
from our operations is the ultimate source of the funds
we need to prosper and grow. It is the one absolutely
essential measure of our corporate performance over
the long term. Only if we continue to meet our profit
objective can we achieve our other corporate
objectives.
Our long-standing policy has been to reinvest most
of our profits and to depend on this reinvestment,
plus funds from employee stock purchases and other
cash flow items, to finance our growth.
Profits vary from year to year, of course, reflecting
changing economic conditions and varying de-
mands for our products. Our needs for capital also
vary, and we depend on short-term loans to meet
those needs when profits or other cash sources are
inadequate. However, loans are costly and must be
repaid; thus, our objective is to rely on'reinvested
profits as our main source of capital.
Meeting our profit objective requires that we de-
sign and develop each and every product so that it
is considered a good value by our customers, yet is
priced to include an adequate profit. Maintaining
this competitiveness in the marketplace also re-
quires that we perform our manufacturing, market-
ing and administrative functions as economically as
possible.
Profit is not something that can be put off until
tomorrow; it must be achieved today. It means that
myriad jobs be done correctly and efficiently. The
day-to-day performance of each individual adds to-
or subtracts from-our profit. Profit is the responsi-
bility of all.
OBJECTIVE: To provide products and services of
the highest quality and the greatest possible value
to our customers, thereby gaining and holding their
respect and loyalty.
The continued growth and success of our com-
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Hewlett-Packard (continued)
pang will be assured only if we offer our customers
innovative products that fill real needs and provide
lasting value, and that are supported by a wide va-
riety of useful services, both before and after sale.
Satisfying customer needs requires the active par-
ticipation of everyone in the company. It demands a
total commitment to quality, a commitment that be-
gins in the laboratory and extends into every phase
of our operations. Products must be designed to pro-
vide superior performance and long, trouble-free
service. Once in production, these products must
be manufactured at a reasonable cost and with su-
perior workmanship.
Careful attention to quality not only enables us to
meet or exceed customer expectations, but it also
has a direct and substantial effect on our operating
costs and profitability. Doing a job right the first time,
and doing it consistently, sharply reduces costs and
contributes significantly to higher productivity and
profits.
Once a quality product is delivered to the cus-
tomer, it must be supported with prompt, efficient
services of the same high quality.
Good communications are essential to an effec-
tive field sales effort. Because of our broad and
growing line of products, very often several sales
teams will be working with a single customer. These
teams must work closely to assure that the products
recommended best fulfill the customer's overall, long-
term needs. Moreover, HP customers must feel that
they are dealing with one company, a company with
common policies and services, and one that has a
clear understanding of their needs and a genuine
interest in providing proper, effective solutions to
their problems.
OBJECTIVE: To build on our strengths in the
company's traditional fields of interest, and to en-
ter new fields only when it is consistent with the
basic purpose of our business and when we can
assure ourselves of making a needed and profita-
ble contribution to the field.
Our company's growth has been generated by a
strong commitment to research and development,
and has been accomplished in two ways-first, by
providing a steady flow of new products to markets
in which we are already well established and sec-
ond, by expanding our technology into fields that
are new but related to our traditional ones. The
evolution of the HP product line is a reflection of
this two-dimensional growth.
Our first products were electronic measuring in-
struments used primarily by engineers and scien-
tists. In time we extended our range of products to
include solid-state components, and instrumenta-
tion for the fields of medicine and chemical analy-
sis. Recognizing our customers' needs to gather and
assimilate large quantities of measurement data, we
developed a family of computers to complement HP
measuring devices. By linking measurement and
computational technologies, we gained added
strens;it in our traditional, technically-oriented
market,, end began to serve the broader needs of
business and industry.
Today, the interactive capabilities of Hewlett-
Packard instruments and systems enable our cus-
tomers-decision makers in business as well as in
technical fields-to gain ready access to essential
information, to put it into meaningful form, and to
use it effectively in improving the productivity of
themselves and their organizations. Helping these
customers achieve better results is the unifying pur-
pose of our business. The areas we serve build on
each other to add strength to our company and pro-
vide additional values to our customers. This guides
our interests, our organization and our marketing
philosophy.
The broad scope of HP technology often provides
opportunities for our company to expand into new
fields. Before entering a new field, however, we must
satisfy ourselves that it is consistent with our busi-
ness purpose and that it affords us the opportunity
to make a significant contribution. This requires that
we have not only the technology to create truly in-
novative and needed products, but that we also have
the capability to manufacture and market them ef-
fectively and at a reasonable profit.
OBJECTIVE: To let our growth be limited only by
our profits and our ability to develop and produce
innovative products that satisfy real customer
needs.
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Hewlett-Packard (continued)
How large should a company become? Some
people feel that when it has reached a certain size
there is no point in letting it grow further. Others feel
that bigness is an objective in itself. We do not be-
lieve that large size is important for its own sake;
however, for at least two basic reasons, continuous
growth in sales and profits is essential for us to achieve
our other objectives.
In the first place, we serve a dynamic and rapidly
growing segment of our technological society. To
remain static would be to lose ground. We cannot
maintain a position of strength and leadership in. our
fields without sustained and profitable growth.
In the second place, growth is important in order
to attract and hold high caliber people. These indi-
viduals will align their future only with a company
that offers them considerable opportunity for per-
sonal progress. Opportunities are greater and more
challenging in a growing company.
OBJECTIVE: To help HP people share in the
company's success which they make possibr'e; to
provide job security based on their performance;
to insure them a safe and pleasant work environ-
ment; to recognize their individual achieve-
ments; and to help them gain a sense of satisfaction
and accomplishment from their work.
We are proud of the people we have in our orga-
nization, their performance, and their attitude to-
ward their jobs and toward the company. The
company has been built around the individual, the
personal dignity of each, and the recognition of per-
sonal achievements.
Relationships within the company depend upon
a spirit of cooperation among individuals and groups,
anj an attitude of trust and understanding on the
part of managers toward their people. These rela-
tionships will be good only if employees have faith
in the motives and integrity of their peers, supervi-
sors and the company itself.
On occasion, situations will arise where people
have personal problems which temporarily affect
their performance or attitude, and it is important
that people in such circumstances be treated with
sympathy and understanding while the problems are
being resolved.
job security is an important HP objective. Over
the years, the company has achieved a steady growth
in employment by consistently developing good new
products, and by avoiding'the type of contract busi-
ness that requires hiring many people, then termi-
nating them when the contract expires. The company
wants, HP people to have stable, long-term ca-
reers-dependent, of course, upon satisfactory job
performance.
Another objective of HP's personnel policies is to
enable people to share in the company's success.
This is reflected in a pay policy and in employee
benefit programs that place us among the leaders in
our industry.
There is also a strong commitment at HP to the
concept of equal opportunity and affirmative ac-
tion, not only in hiring but also in providing oppor-
tunities for advancement. Advancement is based
solely upon individual initiative, ability and dem-
onstrated accomplishment. Since we promote from
within whenever possible, managers at all levels must
concern themselves with the proper development
of their people, and should give them ample oppor-'
tunity-through continuing programs of training and
education-to broaden their capabilities and pre-
pare themselves for more responsible jobs.
The physical well-being of our people has been
another important concern of HP's since the com-
pany's founding. With the growing complexity and
diversity of our research and manufacturing pro-
cesses, we must be especially vigilant in maintain-
ing a safe and healthful work environment.
We want people to enjoy their work at HP and to
be proud of their accomplishments. This means we
must make sure that each person receives the rec-
ognition he or she needs and deserves. In the final
analysis, people at all levels determine the charac-
ter and strength of our company.
6. MANAGEMENT
OBJECTIVE: To foster initiative and creativity by
allowing the individual great freedom of action in
attaining well-defined objectives.
In discussing HP operating policies, we often refer
to the concept of "management by objective." By
this we mean that, insofar as possible, each individ-
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Hewlett-Packard (continued)
ual at each level in th