“Fiorina scored high on leadership style but failed to execute strategy”

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: Carly Fiorina stepped down from her position at the helm of HP, a $80-billion behemoth on February 9th. She took the job in 1999 and in her six years in that position, became one of the most high-profile, if controversial, executives in the global IT industry.

Financial Express asked Michael Useem, a leadership expert and Professor of Management and Director of the Center for Leadership and Change, Wharton School, University of Pennsylvania, USA on these changes. Here is what he has to say.

What were some of Fiorina’s biggest leadership and management strengths and weaknesses?

Useem: Carly Fiorina brought an excellent skill set to Hewlett-Packard’s corner office: She communicated with exceptional persuasiveness, arrived with a determination to transform HP’s culture, and acted decisively to do so. On the other side of the balance sheet, her decision to acquire Compaq and the failure of that strategy to revive the company’s sagging fortunes will probably be remembered as her greatest shortcoming.

She managed to sell the merger when it was cleared. Execution seems difficult. What went wrong?

Useem: Ms. Fiorina succeeded in acquiring Compaq against the fierce resistance of many employees, a prominent board member (Walter Hewlett), and nearly half of the shareholders. She merged and integrated the two enterprises is relatively short order through an extraordinary application of personal resolve and tenacity. In the end, however, the acquisition of may have foundered as much on strategy as on execution. The personal computer market is extremely cut-throat and low margin, without some distinct and sustainable edge, it has been hard to make inroads against very competitive companies like Dell.

It is said that most mega-mergers fail. What are the best ways to tackle merger failure issues?

Useem: The best single step is to avoid mergers unless there is an assuredly winning strategy behind them. Strategic thinking-the ability to see ahead several years and to anticipate market trends-is an essential capacity of company leadership, and if well honed, it is the best insurance that the big decisions will be taken well.

Was there anything about Fiorina’s leadership style that might have prevented her from executing strategy effectively?