Hewlett-Packard: the Flight of the Kittyhawk

Executive Summary

Hewlett-Packard (HP) introduced the 1.3 inch diameter Kittyhawk disk drive, the smallest in the world, in 1992. The Kittyhawk did not succeed in the market primarily because HP managed it as if it were a sustaining technology enhancement, rather than as a disruptive technology. The Kittyhawk was a disruptive technology innovation for the two main reasons, as defined by Clayton Christensen. First, and most importantly, the Kittyhawk could not be used by the mainstream laptop market; it did not satisfy the requirements of the mainstream laptop market because its storage capacity was insufficient. Second, the Kittyhawk offers a different package of product attributes which are valued by and can establish it in an underserved or emerging market; small size, low weight, low power consumption, and ruggedness. HP did not understand or recognize these two aspects of a disruptive technology, leading to its failure to manage the development and introduction of the Kittyhawk as such. This case analysis will explore the reasons for failure, positing that the root cause of why HP did not manage of the Kittyhawk as a disruptive technology is embedded in the organization’s values that make up its culture and the processes it has developed to deliver on those values.

Analysis

Resources

HP, over the years, has demonstrated a high level of technical competence within the industries it has served. There is no question that HP had the right resources and capabilities to make the Kittyhawk technically successful. HP has demonstrated a high level of expertise when it comes to technical capabilities by having been successful in the business of making disk drives for many years. Within its resources, HP has developed the critical tacit knowledge in electronic storage, as well as many technical competencies, needed for success in making computer disk drives. HP also has developed strong customer relationships by connecting with them and understanding their...