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Hewlett-Packard Company
Company Statistics
Company: Hewlett-Packard Company
Location: Palo Alto, California
Founded: 1939
CEO: Lew Platt
1991 Revenues: $14.5 billion
1991 Service Revenues: $3.047 billion
Service Employees: 16,200 (est.)
Products
Computers; graphics equipment; printers; communications equipment; disk
equipment; magnetic tape equipment; memory; terminals; data collection
equipment; monitors; teleprinters; scanners; controllers; PC boards;
micro accessories; media/supplies; power equipment; software; network
processors/management; LAN products; modems; multiplexers; data
communication support equipment; bridges; routers; and switches.
Service Mission/Target Market
Support has become an increasingly important factor in our customers
decision when choosing both a vendor and a system. HP's strong
leadership and innovation in support provides a major advantage to the
selling process and our customers' ongoing satisfaction with HP.
HP's support capabilities offer customers not only a set of programs to
fix problems, avoid disruption, and improve productivity, but also a way
to ultimately strengthen their competitive advantage.
Service Offerings
MAINTENANCE SERVICES
System Support
System Support offers HP customers solutions for workstation, multiuser
systems, and PC's. The program is designed to offer customer's the full
range of HP's contractual support offerings from minimal levels of
support to customized support solutions.
System Support is a framework that offers customers a tailored solution
of standard and custom contractual support capabilities that is
friendly, easy to understand, buy, manage, and use. System Support is
designed to provide the HP Field Organization with a framework for
selling and managing the on-going contractual support business.
Two significant changes from Comprehensive Maintenance Services have
been made for the August `92 introduction of system support. First, the
Comprehensive Maintenance price adjustment will not apply to System
Support due to the focus on the installed base and renewals. Secondly,
auto-add will not be a marketed feature of the program. Both of these
features are being temporarily removed to ease the field implementation
burden. They will be considered for reinstatement in the future.
The seven solution sets are (see Table 1 below):
o Hardware support only
o Software updates
o Software assistance and software updates
o Software updates and hardware support
o Software assistance, software updates, hardware support and network
support, as appropriate
o Personalized support, software assistance, software updates,
hardware support and network support, as appropriate
o High-End support, personalized support, software assistance,
software updates, hardware support and network support, as
appropriate
By using the System Support framework, HP can recommend the appropriate
level of network support to the customer, and present a simple support
quote with network support integrated into the package. Customers buying
System Support solution will see a single price for the System Support
contract.
Previously there were four network support products HP NetAssure, HP PC-
LAN Support, HP Network ResponseLine, and HP Network Comprehensive
Maintenance. Now with System Support, there is only one network support
product. It is offered with all System Support solution sets that
include hardware and software assistance. The network support
capabilities are the same as Net Assure: network fault isolation, multi-
vendor problem management, and customer network documentation. There is
a clear migration path from the four products to network support. Now
all you have to remember is network support.
HP SYSTEM SUPPORT OPTIONS
Program Structure
Four basic Support Options, containing both hardware and software
support, have been defined. These options will provide System Support
coverage for systems, along with associated peripherals and
applications.
The Support Options provide combinations of hardware and software
support for systems, peripherals and stand-alone software. The support
deliverables are equivalent to those of the former SuccessLine (next day
and priority response) and ResponseLine/BasicLine software support
services.
Two installation options have also been defined to provide installation,
configuration, and verification of systems, devices and/or networks.
System Support Options Descriptions
Option 0S2 Option 0S3
Software assistance Software assistance
License to use SW updates License to use SW updates
Updates* Updates*
Electronic Access Electronic Access
Next Day on-site repair 4 hr. on-site repair
Option 0S0 Option 0S1
License to use SW updates License to use SW updates
Updates* Updates*
Electronic Access Electronic Access
Next Day on-site repair 4 hr. on-site repair
*One copy of media and documentation updates with each media and
documentation product offered.
Option 0S4 provides installation and network configurations for products
whose purchase price does not include installation.
Option 0SZ provides installation and network configurations for products
that include HP installation in the product price.
Features and Benefits
It is now much easier for customers to do business with Hewlett-Packard.
Longer systems warranty and comprehensive support services, available
for sale at the time of product purchase, combine to meet the customer's
basic support needs, and deliver competitive cost of ownership.
Several significant sales barriers have been removed. HP now offers a
one-year warranty, not only will selling support be easier, sales reps
will be compensated for doing it. This new program s gives sales reps a
significant sales advantage.
The new CSO warranty, combined with the introduction of System Support
Options, creates new opportunities for the SSO. New customers will be
coming to the SSO via the Support Options, offering the SSO an
opportunity to prove the value of HP support.
Deliverables
o SSO
o Next Day or 4 hr. on-site repair (see Table 1)
o SW support (see Table 1)
o Installation and network configuration
o RCO
o Software Assistance (see Table 1)
MULTIVENDOR SERVICES
Hewlett-Packard has been delivering its distributed network products
since 1973 and interconnecting multivendor systems through international
standards since 1981.
Multivendor support is primarily offered as:
o Standard Support for Office Products: HP offers multivendor support
as part of HP SuccessLine. Multivendor products serviced under HP's
agreement include PCs, terminals, printers, disk drives, monitors,
plug-in boards, communication devices and information networks.
Equipment is supported from a wide variety of vendors such as Apple
Computer, Compaq, IBM, Olivetti, Epson, Okidata, Novell, 3Com
Corp., Toshiba, among others.
o Custom Support for Office Products: To accommodate unique customer
needs in the multivendor area, HP offers the Multivendor Custom
Support program. This program is designed for large customers who
have a least 300 PCs at one site. For these customers, HP can
customize a multivendor support solution to include on-site repair
of both PC/Peripherals and PC/LAN products.
o Custom Support for Workstations: Multivendor UNIX workstation
hardware support is offered under the Multivendor Custom Support
program. Currently, the program is focused on Sun Workstation
hardware support and is intended for customers with an installed
base of 25 or more workstations. HP can customize a support program
to include ongoing repair of workstations and peripherals.
HP offers a wide range of UNIX System training courses applicable for
customers operating the HP-UX, Sun/OS, ULTRIX, AIX, or any other major
UNIX Operating System. Topics include: fundamentals, shell programming,
system calls, C programming, and modify programming.
With both standard and custom multivendor support, HP provides the
capability to dial one, toll-free phone number to access service and
support of specified multivendor hardware and network products.
Multivendor support is delivered worldwide by over 400 HP service
locations and backed by its Response Center network. Customers requiring
hardware support for multivendor products call an 800 number into
centralized call management. Customer Engineers are then dispatched to
resolve the problem.
HP Network Support Affiliate Program
To enhance HP's delivery of Multivendor and Network Support services, HP
has developed relationships with key companies in the networking arena.
Under the program, HP and affiliate companies agree to cooperate in
providing single point of contact support for their mutual customers and
to cooperate in resolving network problems.
Multivendor support is targeted at established HP Fortune 1000 customers
that have a majority of standard HP products and a large quantity of a
few non-standard products. HP's support quality, worldwide presence,
network expertise, customized solutions and the ability to provide an
integrated support package demonstrates HP's value added to major and
target accounts.
Pricing for HP's multivendor support is based upon standard services and
service levels, as well as the term of the contract (one year to
multiple years). Customized pricing (specials) is necessary if support
is requested beyond standard levels and services, such as hours of
coverage
Multivendor support is sold primarily through HP's direct sales channel.
With HP's newly announced Dealer Premier Support Program, multivendor
support is also available through resellers. Under the Premier Support
program, resellers can obtain multivendor support on a referral option
or subcontracting option.. Resellers who want to refer customers to HP
for their support needs collect a referral fee. Resellers who want more
account control can subcontract to HP, leveraging HP's support
capabilities. These dealers receive discounts on HP support.
HP believes the competitive advantages of its multivendor support
services are its highly trained field service organization, focused
Response Center resources, experience in maintaining a large and diverse
product base, a worldwide parts inventory, a broad offering of support
services, and above all, quality.
Standard multivendor service support is limited to office products at
this time, and is viewed as the foundation for total solutions in the
face of increasingly complex multivendor and open systems environments.
PROFESSIONAL SERVICES
HP's Professional Services Organization (PSO) provides consulting
services to assist customers in applying Open Systems technology for
improved productivity and competitive advantage.
A consultant works with the customer to understand their business
environment and identify opportunities to apply technology and solve
business problems. The PSO uses a proven approach to guide a customer
through the process of moving to an open systems environment.
Examples of consulting services include:
o Information systems and technology planning
o Migration planning and assistance
o Application design for client/server environments
o Engineering and business modeling
o Solution designs and pilots
o Software development methods and tools
o Data, system, and network management
o System, network and application optimization
o Project management
Through our centers of expertise, HP's industry focused consultants help
customers align their business goals with competitive, industry
standards and IT strategies. HP Consultants apply practical, technical
experience and advanced analytical design tools to assess your
information technology needs to develop open customer support.
NETWORK SUPPORT SERVICES
Hewlett-Packard offers a three-pronged network support portfolio
targeted at different life-cycle stages of managing a network: Planning,
Implementation and Operation. This offering is supplemented by HP
Educational Services. HP's network services portfolio is designed for
multivendor and HP-only networks. Services that HP cannot provide
internally may be subcontracted, with HP assuming overall responsibility
for service/support call and contract management.
Network Planning
HP ConsultLine
Provides detailed analysis of customer's current and future needs for
new or expanding networks. The HP Network Consultant prepares a
customized network strategy tailored for specific business needs.
Features include:
o In-Depth Needs Assessment: Based on interviews with organization
members to establish recommendations based on requirements
including reliability, performance, security, capacity, flexibility
and cost. Results, including a network topology, are presented in a
Network Requirements and Design Analysis Report.
o Logical and Physical Network Design: Includes design goals and
methodology, design overview, network diagrams, description of
components, and financial estimates.
o Future Needs Assessment: Provides customers with a plan for growth
and enhancement of current network capabilities.
o Control of Network Costs: Planning services for efficient cost
management in the areas of data communication, hardware and
software, network downtime, network support, user productivity and
network-related overhead.
Network Implementation
HP ConsultLine
Network Implementation consulting is a customized service that helps
customers plan for integration of a new or expanded network into
existing business operations. Features include:
o Implementation Schedule: Involves two phases: on the macro level,
with major project phases and milestones, and resources (people,
expertise, budget, equipment, tools, facilities) needed at each
level. On the detail level, it identifies major implementation
activities and dependencies between them, length of time for each
activity, responsible organization and time frame. Also, it
discusses implementation activities such as migrating users from
the current system/network, planning new facilities, and putting in
place network staff, procedures and training.
o Network Staffing Recommendations: Describes necessary operations
and technical support personnel in each location, and their
responsibilities and tasks. Background and experience for each job
is included.
o Network Procedures Identification: Identifies network operations
and control procedures needed for successful internal support and
management of the network. These include: routine procedures,
internal support procedures, and network security procedures.
o Network Training Recommendations: Recommends the appropriate
training for users and operations staff. Jobs specified include
network manager, network operator, and MIS personnel.
Training is available on topics such as LANs, WANs, HP-UX networking,
network management, network design, and multivendor networking.
o Project Management: Manage the implementation of the network
solution.
Site Design and Implementation Services
HP Site Design and Implementation services are customized non repair
services that are focused on optimizing the customer's computing
environment. HP brings to bear its reputation for quality and breadth of
customer support in delivering turnkey solutions with one vendor
responsibility.
Cabling Service
HP Cabling helps design and build the LAN system. With this service, HP
provides single-vendor responsibility for the design and implementation
of the cable infrastructure. HP Cabling service can provide an entirely
new cable system or add new cable to an existing network. HP Cabling can
be scaled to fit a customer's network technology and size. Specific
features include:
o Cable requirements analysis
o Cable design and installation
o Cable testing
o Cable documentation
o Multiple site coordination
WireTesting Service
Tests suitability of twisted-pair cable for use with 10 Base T networks.
It can potentially save customers money by preserving all or part of the
investment in existing building wiring.
Start up Service
Provides assistance for the installation and configuration of new or
expanded multivendor networks. HP Network Startup Service results in a
simplified service interface, rapid and high quality network
implementation, and enhanced ongoing supportability. Features include:
o Scheduling and Coordination: Provides schedules identifying tasks,
resources and time frames, including critical path activities and
contingency plans. Coordinates all installation activities of HP,
customer and third-party vendors.
o Network Configuration: Includes configuration of Hewlett-Packard's
equipment and coordination with other vendors to define
configuration parameters for their equipment.
o Network Verification: All connections are tested to ensure proper
operation after installation. Any problems are isolated and HP then
works with the customer until they are resolved.
o Network Documentation: Includes network map, configuration
information and a list of support contacts.
Relocation Services
HP's Relocation provides full management of relocating existing
equipment for our customer, leaving their staff free to focus on the
companies operations. The service includes the following:
o Where required, complete site survey of the customer new locations,
with recommendations regarding computing environment conditions.
o Professional handling of and fully insures the customer's equipment
during the move.
o Verification of the arrival of the customers equipment and its
proper operations.
Computing Environment Preparation
HP offers an extensive set of capabilities that are customized to meet
our customers particular circumstances. From implementing a specific
recommendations to designing and constructing a fully equipped computer
room, HP will use its experts to deliver the service.
Network Maintenance and Operations
Integrated Support for Network and Systems Operations
The integrated support capabilities described below are an important
part of HP's strategy to capture support opportunities in the open
systems market. The services within HP Integrated support include, HP
Network Operations, HP Help Desk and HP Staging and Distribution.
Network Operations
HP Network Operations are a set of capabilities which provides customers
with flexible, secure network operations of their wide area or internet
LAN data networks. Whether located on a single site or distributed
around the globe, customer networks can be effectively operated on a
full-time basis. Features include:
o 24 x 7 Realtime Monitoring: Using advanced network management
tools, HP provides round the clock support to proactively detect
and isolate faults quickly.
o Centralized Network Expertise: The customer receives a single point
of contact for network support. Telephone assistance 24 hours a day
7 days a week.
o Status and Performance Reporting: Monthly reports provide customers
with the ability to understand network utilization, plan for
network expansion, and measure the effectiveness of the network.
o Change Management: With the help of HP's network operations
experts, customers are able to more efficiently plan for changes,
such as adds, deletes and moves.
HP requires the customer to designate one person (called the HP Network
Operator) and one alternate responsible for the network operation as
primary contacts for HP. These contacts are the only authorized callers
to the HP Response Center. Authorization for additional contacts may be
purchased.
HP Help Desk
HP Help Desk provides customers with comprehensive, multivendor PC usage
assistance for hardware and software. The help desk works directly with
the end-user to identify and assist the user in multivendor problem
resolution. In the event that on-site or backup assistance is required,
the help desk manages the appropriate resources to solve the customer's
problems.
Increased user productivity. HP enhances user effectiveness and
efficiency through direct access to comprehensive expert advise from the
HP Response Center on PC hardware, software and network use. Customized
to meet customer needs. The customer can define supported products so
that HP can focus on their customers.
The help desk supports most standard, commercially available PC
applications (including HP business applications like HP Drawing
Gallery). Standard coverage hours are Monday through Friday 8:00 am to
5:00 pm local time, excluding weekends and HP holidays. The HP Response
Center delivers HP Help Desk remotely.
HP Staging and Distribution
HP Staging and Distribution provides customers with installation-ready
multivendor PCs, laptops, portables and peripherals. This service
assures that installation ready and fully operational systems are
"rolled out" to their user's locations. Features of the service are:
o Dedicated Resources: A dedicated HP account manager is assigned for
consistent program coordination.
o Inventory Management: HP manages and controls DOA and returned
products to keep customers apprised for their suppliers'
performance.
o Monthly Reports: HP prepares monthly reports to track inventory on
incoming components as well as products shipped to customers.
o Hardware and Software Integration: HP performs product diagnostics,
self test, disk formatting and initializing as well as operating
and system software installation. Then a full system test is
performed to insure that users are productive at time of
installation.
o Packaging Services: HP consolidates and packages pre-configured
systems according to the customers specifications. For instance, HP
can include customer specified literature along with the packing
list.
o Shipping Services: HP will pre-pay freight charges and track
shipments all the way to the users location. HP will also obtain
written proof to verify the delivery.
o Database Management: (Optional) HP will provide database collection
services such as history tracking to complement the customer asset
tracking activities.
The Network Operator and alternate are required to attend selected HP
training courses. They are also responsible for maintaining accurate
network documentation and notifying HP of significant topology changes.
DISASTER RECOVERY SERVICES
Hewlett-Packard Disaster Recovery Services provide a safeguard against a
loss of processing power from electrical failure, fire, flood, or any
other cause that might disrupt a customer's computer operations or
threaten the survival of business operations. There are two components
to HP Disaster Recovery Services: HP Disaster Recovery Planning and HP
Backup. These are available separately or may be combined to provide a
comprehensive solution. HP also offers Time and Material consulting to
help develop or administer test plans, critique test results, or assist
in project management.
HP Disaster Recovery Planning Service
Disaster Recovery Planning helps the customer anticipate critical
recovery needs and supplies the tools and training to develop a
comprehensive recovery plan. The offering consists of the following:
o Consulting: assists customers in the development of a business
recovery plan
o Planning Methodology: a step-by-step guide to developing a disaster
recovery plan (organizing a planning team, identifying critical
applications, defining specific recovery procedures, training
personnel)
o Recovery Plan Template: a detailed sample recovery plan on disk or
tape that provides procedures, forms, checklists, and needed
recovery information, and which may be adapted to any environment
o Project Management Template: a tool to prioritize computer
functions, to schedule work assignments and to track costs
o Training: two days of on-site training on developing a recovery
plan, maximizing the effectiveness of the planning process
This allows a customer to utilize a systematic methodology to plan and
rapidly develop consistent, auditable plans. It additionally helps the
customer test a disaster plan and maintain operations during a disaster.
HP Backup
HP currently provides customers with two back-up centers to provide the
hardware, technical support and customized telecommunications
capabilities needed when a disaster strikes. Features include:
o Access to complete HP 3000/9000 systems, custom configured for
customer use by a full-time staff of operations and
datacommunications specialists
o Detailed information on integrating the use of HP's Disaster
Recovery centers into the customer's Recovery Plans.
o Customer chooses the appropriate number of days per year to test
recovery procedures. Before and after analysis of Disaster Recovery
Planning and rehearsal results are provided by the HP Backup
Operations Manager and Recovery Center staff.
The HP Backup Recovery Centers are an extension of your local HP Support
and Sales team. They assist customers in a fast return to normal
operations by providing an evaluation of equipment salvageability and
disaster site environment, and preferential replacement hardware
ordering and delivery
HP Backup is designed to provide access within 24-hours to customers
from any location in the U.S.
Complementing the HP 3000/9000 hardware configuration at he HP Disaster
Recovery Center is a vast array of Tele and Data communications.
Included are terminals, modems., multiplexers, switched and leased high-
speed lines, and access to pubic networks. This ensures that customers
have access to their data from the HP Hotsite. Telephones, office space
and storage are also available.
Customers can use the facility for up to six weeks in the event of a
disaster. Usage beyond this period will be granted on a case-by-case
basis.
An HP representative coordinates activities between the HP Backup
facility and the customer's home site. This representative facilitates
support from HP resources, experts in HP's Response and Escalation
Centers, and manufacturing divisions.
Disaster recovery services are targeted to executive-level decision-
makers - those most aware of the impact of a major disaster on business
operations. Customers located in high-risk geographies are also good
candidates for Disaster Recovery Services.
Pricing is done on a customized basis, with the following component
prices considered:
o For a single site, HP Disaster Recovery Planning Services are
estimated to be $8,470 plus $200 for additional materials
(Methodology, Template, and Workbook). For multi-sites, the
estimated cost for HP Disaster Recovery Planning Services is
$25,400. The additional materials fee of $200 is the same. However,
additional classes cost $4,400 each.
o For HP Backup, there are two payment plans available. The first
offers maximum flexibility and minimal expenditures at the time of
declaring a disaster. The second plan offers lower monthly fees,
but higher fees at the time of declaration. Both programs are
offered to HP 3000 and HP 9000 Series 800 Backup customers. Actual
pricing varies according to the type of equipment covered, the
length of commitment customers are willing to make, the number of
sites covered, and the payment plan chosen by the customer.
o Hewlett-Packard provides the full range of disaster recovery
services needed to help a customer. While some companies can only
help customers plan for a disaster, and others can assist with
backup, HP can ensure the two components work together. Ample
rehearsal of the procedures helps give the customer confidence in
HP Disaster Recovery Services.
CUSTOMER EDUCATIONAL SERVICES
HP has first class training facilities located in over 40 countries
around the world. Each center offers a regular schedule of seminars and
hands-on training courses. For large groups with specialized needs, HP
offers both dedicated and customized course delivery alternatives. With
dedicated delivery, a customer can schedule training at their site, as
HP education center, or a conveniently located HP sales office. If our
standard course does not meet the customer's needs, our specially
trained instructors can customized the content to meet their specific
requirements.
HP offers both introductory and advanced courses for system managers,
programmers, software developers, and applications users. Courses cover
wide range of UNIX, MPE, and open systems topics. Self-paced training is
also available for selected topics.
Our prices are competitive with most major system vendors and major
third party training vendors. Prices vary based upon course length and
level of technical complexity. Regularly scheduled courses are priced at
a fixed tuition per student. Dedicated courses are specially priced at a
group rate, adjusted to include applicable instructor, travel, lodging,
and customization charges. Assistance with a dedicated or customized
course quotations available through your closest HP education center
staff.
Educational services are sold through a variety of channels, including
direct sales, direct mail, telesales, and Value Added Resellers. Major
sale opportunities include purchase of a new system, addition of a new
employee, requirement to learn a new skill, or interest in a new
technology.
HP consistently receives high scores from customers and independent
research firms. Our major competitive advantages include: high course
material quality, high instructor quality, flexible course delivery
capabilities, and balanced offering of hands-on training with technology
seminars.