HP's McKinney, Key Player In HP-Compaq Integration, To Retire

The mild-mannered 58-year-old McKinney, a 34-year HP veteran, received high marks from analysts and HP insiders as one of the executives leading the charge to integrate the two companies. McKinney co-led the integration effort with HP Executive Vice President of Global Operations Jeff Clarke.

McKinney, in fact, was one of the driving forces behind making sure that the full integration of the two companies was completed 18 months ahead of schedule with the savings estimated at $3.5 billion instead of the planned $2.5 billion. "The merger went remarkably well and he should be credited," said Don McDowell, vice president of server solutions at Forsythe Solutions Group, Skokie, Il.

McKinney had overall responsibility for the ongoing merger integration, the largest integration of two computer companies in history. The deal, which was announced on Sept. 4, 2000 and completed eight months later, created an $87 billion IT behemoth. McKinney was also responsible for overseeing HP's overall organizational effectiveness, governance initiatives, and global citizenship efforts.

Some industry executives say the experience gained from the successful merger makes HP a more attractive partner, particularly in an era of increasing industry consolidation. "They have done a spectacular job of making the merger work," said one IT manager, who requested anonymity. "They are getting the benefits of a merger."

HP CEO Carly Fiorina has said that the greatest challenge still facing the company is to fully leverage the unique portfolio of products and services that have been brought together by the merger.