Box 2, Folder 51 – General Speeches
April 19, 1963, Acceptance of “The American Way of Life” award from the Sertoma Club, Pueblo, Colorado
4/19/63, Typewritten speech with handwritten notes by Packard.
Packard expresses appreciation for the honor of the award and to all the people who
came to the dinner and ceremony.
Looking back to his life in Pueblo 30 years prior Packard remembers several high school teachers, the various athletic teams, – the hunting and fishing.
He remembers “something of the state of world affairs at that time. …the era of Calvin Coolidge and Herbert Hoover….the feeling that America was sell isolated…from the power diplomacy of Europe….The prevailing opinion of the late 1920s and the early 1930s, was that the Monroe Doctrine – combined with the vast expanses of the Atlantic and Pacific oceans were more than adequate to keep America from being seriously entangled in the affairs of Europe – of Asia, Africa, South America – and the rest of the world just didn’t seem to count for much.”
Packard tells of the depression which he says was “out greatest nation concern…..GNP had dropped to 60 billion dollars. In that period, government expenditures — Federal, state and Local combined – were only about 10% of GHP [GNP?] and as I recall, the Federal expenditures alone were only 2% or 3%. This year…combined Government expenditures …are about equal to our total national production 30 years ago.
“The influence of Science was beginning to have its effect – an effect which was to be accelerated to a tremendous pace in the years that followed. I remember the first broadcast station in Pueblo…in about 1924. By 1930, broadcasting was well established throughout the country, but programs from Europe were not yet feasable [sic]. Television had been produced in the laboratory…the automobile was an important part of our economy…Air travel was just beginning.”
“All in all”, Packard says, “the future looked bright to me in those days – despite the depression. But, looking back, the things which have come about in these past three decades, have been more expensive than any of us could have imagined in our wildest dreams.
“The rise of Hitler — and World War II, galvanized the latent strength and capability of our country — and we found ourselves in a position of undisputed world leadership….new forces have come to bear to make the world of 1963 totally different from the world of 1931. We understand some of these forces — but we do not yet know how to cope with them. We do not know in what way they will affect the future of our country, nor, for that matter, how they will affect the future of each of us as individuals.”
Packard calls to mind some of the forces “which have changed the face of our world in these three decades — …the revolution in communication, the revolution in transportation and the revolution in our knowledge of and…our ability to master nature and our physical environment….Radio, television, teletype, the vast array of publications of all types, bring to a majority of the people everywhere in the world – information in considerable detail, about what is going on everywhere else. Horizons are opened up, new aspirations aregenerated….They can transmit bad ideas as well as good and from all this arises a new concern, among millions of people as to whether their lot in life is what it should be. We see signs of this everywhere — conflict – as more people learn that their lot in life can be improved as the underprivileged see and hear what can be done, these pressures will continue to increase and become more widespread. This revolution in communication we have seen may turn out to be a boon for mankind – it may, on the other hand, be a Pandora’s box – and one already opened. In any case, it is a fact and must be dealt with.
“The advancement of our skill in transportation is having a similar effect. In 1930, the dimensions of the world was measured in weeks — now it is measured in minutes.
“In medicine – we have conquered some of the most serious diseases of man and increased life expectancy to over 79 years. But, again, we find this has raised serious problems; a population explosion which is going to make it extremely difficult to convert whatever gross gains we make into gains for the individual.
“In the last three decades, we have increased the generation of electrical energy so as to have six times as much available for our factories and for our homes as we had in 1930. Here, fortunately we have much more electrical energy available for each individual as well.
“I am sure you will agree that what has happened has been considerable in magnitude and scope. And these achievements have also generated some PROBLEMS for us which are considerable in magnitude and scope.”
“The continuing education of the scientists to carry these things forward in the future is…a matter if high priority,” Packard says. “But, of even greater importance for the future is the development of leadership which can better understand and guide these great social and human problems which we are generating with our science. Perhaps we will somehow find solutions through divine guidance — perhaps we can somehow turn the clock back to what many think of as the GOOD OLD DAYS. It is my view that we can and will find solutions for these problems in the future. It will require more knowledge and more wisdom than we now have – and this can come only from better education – at all levels…..”
“Our economy in America has changed from one dependent primarily on raw materials to one highly dependent on educated people. The future of Colorado may be enhanced by further mineral discoveries, and water will, of course, play an important role. but far and away the more important is the quality and extent of the educational opportunities you are able to provide for your men and women – old as will as young. New industries will be attracted by the number and quality of your college and university graduates. And they will find ways to establish new ventures as well as strengthen old ones.
“While I have touched on some of the things that have happened since I left Pueblo, I want to add a comment on why, in my opinion, our country has been at the forefront of this amazing progress. If one examines the progress in every area, communication, transportation – in education – in the discovery and application of new knowledge in every field — it has in a decisive way been motivated by the drive of our private enterprise system. The growth of radio from the old crystal set to the satellite communication system is the story of individual people working in private enterprise. America has more electric power capacity than the next five nations of the world combined — not because of our public power projects — but because of the initiative and capability of the individuals working our privately owned utilities. Private enterprise firms developed the airplane from the beginning to modern jet. Private enterprise has built the finest air transportation system in the world. The American farmer with his eye on his crops, using machinery developed by private enterprise, has made our agriculture the most efficient in the world.
“And, not least of all, it has been our great privately supported and, therefore, independent universities which have provided most of the leadership for all of higher education in America.
“This amazing progress in America has been built on the strength of individual people applying their talent, directing their energies and capabilities in an environment of freedom to shape their lives as they see fit. Nowhere in history has any other social order been so effective in advancing the welfare of its people.”
“But, as each of you well know, this American way of life of ours has been challenged and is under attack. Khrushchev and his communists have threatened to “bury us.” Socialists in our government – and among our people – would place the importance of the state above the importance of the individual. They would direct our lives from Washington! They would take our wealth and distribute it as they see fit!
“Colorado was built by resourceful individuals working against many handicaps — individuals who wrested minerals from the rocks of the mountains — individuals who turned arid plains by irrigation into fertile gardens. This is a tradition which we must all work to preserve. And I believe it is being preserved here in Colorado more effectively than in many other parts of America. This fact had a large influence in the choice by the Hewlett-Packard Company to locate two major facilities here. One in Loveland where we have already found that the tradition of Colorado for the American Way still runs strong. And one in Colorado Springs where we are counting on the devotion of the people to the American Way to continue to run strong in the years ahead.
“The future prosperity of Colorado, indeed of the entire Western World, will not be generated at the State House in Denver nor in the White House in Washington, but, rather, by resourceful individuals throughout our society — applying their talent and their ability to the myriad of problems which always stand in the way of progress This is the tradition we honor here tonight.
“I am profoundly grateful for this opportunity to be here with you tonight to join in this honor of American Freedom. I assure you, such success as has come my way is in no small measure a direct result of the influence of the Pueblo – and of THE COLORADO OF THREE DECADES AGO.”
4/19/63, Printed program for the Sertoma International “The American Way of Life award. Awarded for Exemplary Leadership and Achievement under America’s
1/9/63, Letter to Packard from Ralph C. Taylor, News Director, Star-Journal Publishing Corporation. Mr. Taylor explains that he was a long-time friend of Packard’s father and he would like to interview Packard for story about his life. He would also like to discuss the possibility of Packard’s coming to Colorado to receive the American Way of Life Award.
1/14/63, Copy of letter to Ralph C. Taylor from Packard saying he would be honored to receive the award. Suggests some time to get together to discuss the story.
1/17/63, Letter to Packard from Ralph C. Taylor, News Director Star-Journal Publishing Corporation. Says the Sertoma officers are in full accord on presenting the award on a date acceptable to Packard. Suggest meeting Packard in Palo Alto around Feb. 17 for story discussion.
3/6/63, Letter from Ralph Taylor to Packard saying they enjoyed visiting with Packard at his home, and suggesting April 19 or 20 for award dinner.
Letter to Packard from F. E. Colescott Sertoma Club President saying the dinner is now scheduled for April 20 and asking for confirmation. Handwritten notes on the letter say Colescott called to ask if April 19 would be OK and he was told it would be OK.
3/20/63, Copy of letter to Ralph Taylor from Packard saying he would send along the list of possible attendees in a day or so.
3/25/63, Copy of letter to Ralph Taylor from Margaret Paull (Packard’s secretary) sending the list of invitees Packard is suggesting.
4/8/63, Letter from F. E. Colescott, Sertoma Club, to Packard talking about arrangements for the award dinner.
4/2/63, Letter to WRH from Gene Colescott, Sertoma Club President inviting WRH to the award dinner for Packard.
4/9/63, Copy of letter from WRH to Gene Colescott saying he would be out of town and cannot attend. 4/11/63, Letter to Packard from Gene Colescott enclosing a draft of the program schedule and advising that dress would be formal.
4/11/63, Inter-Office memo to Packard from Dave Kirby suggesting possible topics for his award dinner speech.
4/11/63, Letter to Packard from Charles L. Thomson , General Manager Pueblo Chamber of Commerce, suggesting the possibility of meeting with Packard during his visit to discuss how Pueblo might become more attractive to industry.
4/11/63, Page from Pueblo Star-Journal discussing Ralph Taylor’s retirement from the newspaper.
4/11/63, Page from the Pueblo Chieftain describing to Sertoma award to be given to Packard by Major James W. Wood.
4/11/63, Letter to Packard from Louis T. Benezet, The Colorado College, saying he will have to miss the luncheon on Saturday April 20th and asking if they could have breakfast on the 21st for a brief tour of the science building.
4/15/63, Copy of letter from Packard to Louis T. Benezet saying he would be glad to join him for a visit to the campus of Sunday April 20th.
4/16/63, Copy of letter from Packard to Louis T. Benezet saying he now finds he must return to Palo Alto the evening of April 20 and so cannot make the tour on Sunday AM. Hopes to do it later.
4/20/63, Clipping from The Pueblo Chieftain describing the award dinner with picture of Maj. Wood making the presentation to Packard.
4/22/63, Letter from Gov. John A. Love to Packard congratulating him on receiving the Sertoma award and expressing the hope Packard will call him for any service he can give in the future.
4/25/63, Handwritten letter to Packard from high school teacher Mary Melcher congratulating him on the award and enclosing a clipping from a newspaper.
4/29/63, Copy of letter from Packard to Mary Melcher saying he was pleased to get her note and telling her he had mentioned her name at the award dinner.
5/2/63, Copy of letter to F. E. Colescott from Packard thanking all for the honor of the Sertoma award.
5/2/63, Copy of a letter to Ralph Taylor from Packard thanking him for the hospitality he had given Packard and wife Lu, during their visit for the award.
5/2/63, Copy of letter from Packard to “Red: LeMasters, LeMasters Janitorial Supplies, saying it was good to see him during his visit to Pueblo and thanking him for getting all the boys together while he was there. He confirms his invitation for Red to visit California and promises “ buck or two within range.”
Box 2, Folder 52 – General Speeches
April 21, 1963, Speech at Colorado Springs
Packard appears to be speaking to primarily a group of Colorado Springs citizens, telling them about HP’s plans to build a new permanent building and become a corporate citizen of their community. It is an informal, chatty approach, rather than a prepared text.
4/21/63, Copy of a typewritten transcription of Packard’s remarks
Packard starts by telling his audience why they decided to build facilities in Colorado in the first place. He makes it clear that their decision had nothing to do with the fact that he was born and raised in Pueblo – and is, as he says “very fond of Colorado….I want to assure you,” he says, “that the selection of Colorado Springs was not made for any sentimental reason but only after a very careful analysis by some pretty smart people in our organization as to where a good location might be for the future development of an important activity of our company….We do indeed try and make an objective analysis of many factors that are important to the success of the business, but …it is not only the impersonal things, in many ways it is the attitude and the personal environment that may be decisive as to whether the choice of location is right or not.
Packard stresses that the decision to establish a new plant location is a very important one – to the company, to the community, and to the people who will be asked to pull up stakes and move. “…if for any reason our choice of location has been wrong, this is a disastrous thing both of the company and for the community, and I want you to realize that we recognize this fact and that we have put a good deal of consideration into this matter.”
To test the waters Packard tells how they started out in a modest way, renting a small facility so :…”if it did not work out as well as we anticipated it would, we could move back from this decision and do so without any serious damage either to the future of our company nor to the community of which we made a choice.
“But I am delighted to be here today to tell you the experience we have had since the decision was made a year and a half ago to come to [here] that the choice has been fully verified by the expansion we have had in the little over a year that our people have been in your community.”
“So we are here today to tell you folks that after having given this matter of whether we should or should not be located in Colorado Springs very careful consideration, we have decided that this is indeed a very desirable place for us to commit a substantial portion of our future success of our company and we are here to announce that we are going to go ahead with our plans to carry on and make Colorado Springs a permanent location for one of the important activities of the Hewlett-Packard Company.”
Packard talks about the site chosen for the plant. “…I think everyone in the organization who has seen the site feel that this…is a wonderful location and …we hope to develop what you will come to think upon as the finest plant in your community.”
“The building,” Packard says, “is going to be designed in a two-level construction to hopefully fit into the contours of the area—it will be designed in the context of the surroundings and it is going to be devoted to both manufacturing engineering and development….
“The building has been designed in accordance with a long range plan because we have found from experience that it is desirable to think ahead again on these matters, although I want to assure you that our ability to think ahead with any position is not as good as it should be. But, at least we like to do some planning in terms of what might happen in relation to the ultimate development of the site and we have done that, and this particular building will fit into a master plan which would allow expansion to some 400,000 square feet – whether this will come about or not only time will tell, but we are of the mind that it is important when you make a major move like this to be sure that it is made in context with what you might hopefully have to do later.
“This first year will cost approximately $2,000,000 and so it is going to be an important investment for our company and we can not commit this amount of money to a facility unless we have a great deal of confidence that it is going to be productive and it is going to be permanent.”
“Now I think this gets into one of the very important aspects of our business….in our business we’re not dependent on the things which were traditionally important in industry—raw materials, transportation, labor costs, and all of these things. These factors have to be reasonably favorable, but they are by no means decisive. The decisive element in our business is people and unless we are able to locate a facility where we can attract the kind of people who are going to be able to keep ahead of everything that is going on in the country, we have no hope of keeping up in this business and making this particular venture successful. And that one of the decisive reasons that we considered Colorado Springs as a location for an important activity of our company had to do with the question of people.
“[The people] in this plant are going to have decide what the trends of this business require and they are going to have to find ways to invent and develop and put into manufacture devices that are going to be better than somebody else’s. To the extent that [they] are able to do that this plant is going to be a great success. To the extent to which they fail, the plant is going to be a failure. It is just as simple as that. So we have to consider the question of whether a particular location is one to which we can attract some of our most capable people, whether they are going to be satisfied with the community environment, whether the educational opportunities are to be such that they will be able to keep up with the rapidly advancing trends in the technical phases of this business.”
Packard describes the severe competition among companies for new graduates – “graduates who ask ‘Where am I gong to be? Am I going to have a place to carry on my intellectual development, educational activities for myself, and am I going to have the opportunity to bring up my youngsters in the kind of environment I would like to see for them? And so, in this aspect Colorado Springs is a very important choice and this had a good influence in our decision here.
“Now this gets into the question of education and education is important. We looked at Colorado pretty carefully in this aspect and I think I want to be frank with you. I would say that the educational system in Colorado is good but it has a long way to go to be as good as it should be, so we think there is some concern about the matter here. We think it is our duty to build strength in the educational foundation which you have and we hope that this can be done because this is going to be decisive, not only for our particular business here in Colorado Springs, but it is going to be decisive in terms of the entire state to attract the kind of industries which I think are going to be important in the future and I think the kind of industries which will be attractive to your community and to your state.
“You have made a good deal of progress here at Colorado college. You have made a good deal of progress at Colorado University, but it might interest you to know that some of the bright young boys who are working in Palo Alto whom we would like to ask to come out to Colorado Springs would like to get some more education and they are asking ‘Can I go on and work toward my Masters degree when I come out here?’ The answer is ‘We hope so, but we are not sure.’ This is a question that I think we are going to get together with all of you people and see if we an develop opportunities to do some of these things and I assure you they are going to be important to you, perhaps even more important to you and the community than they are to us and to the industries that are moving in.”
“The attitude of the community,” Packard says, “is an important element in a decision of this nature. I think we want to try to move into a community where the government of the community people doesn’t expect industry to support everybody in their jobs plus the government and everything else to boot. On the other hand I assure you that when we come into a community of this characteristics we hope that we can carry our weight and do our part of the job and we will ask for no more than a fair shake in these matters.
“Now one thing about this I wanted to comment [on] and I wanted to comment from experience. I think there is a happy medium in how far you can go in attracting industry into a community and at the same time keep the community environment where it should be and I think it is important not to go overboard in this matter because if all the emphasis is put on the importance to industry to attract a great many people, you generate a tremendous number of corollary problems, so I would hope here in Colorado Springs that you don’t come to the conclusion that having industry is the end and aim of the community in any sense of the word. We would hope that this matter can be kept in context and we think that this is important for those of you in the industry as well as those of you in the community who are anxious to continue to see Colorado Springs one of the attractive residential communities in the country. And so in this matter there are many aspects which need to be considered on both sides of the coin and I assure you that we intend and hope to be able to cooperate and help in this matter.
“So this decision as I think you an see has been made in terms of some fairly careful considerations of the factors that are important to us and I think it has been made in terms of the considerations that are important to your community to keep it one of the attractive communities of the country. We are delighted that we are able to go ahead with this program and I assure you that we are going to do everything we can to prove to you and to prove to ourselves that this was the right decision for the long run.
“Thanks very much.”
Box 2, Folder 53 – General Speeches
May 7, 1963, National Conference on Peaceful Uses of Space, The University/Industry Partnership in space Programs, Chicago
5/7/63, Printed pages from undetermined publication giving full quotations from panel member presentations at the above conference. Below is a summary of Packard’s presentation along with some exerpts from his participation in the panel discussion that followed after each member gave their individual presentations.
Packard opens his comments by reviewing “a little of the history of the university-industry relationship in the specific area around Stanford University. “. He says that the part of this relationship which he wishes to discuss “was not influenced in any way by the Space Age…but it should be remembered that the industry and the activity which have developed from this particular relationship with Stanford have, in fact, had a great influence on the space accomplishments to date.”
Packard says that “When Hewlett-Packard first established its firm in the Palo Alto area, there were about five electronics firms around the San Francisco peninsula.” And having “somewhere between 200 and 300 “ employees. Packard says that at time “we looked to Chicago as the center of the electronics industry…” Packard gives “A few statistics on the situation today, some 20 to 23 years later…. At the present time in the bay area there are well over 100 electronics firms, including the large effort of Lockheed in their Polaris program, employing approximately 30,000 people.” Aside from Lockheed Packard says “there are approximately 70 firms employing approximately 12,000 people, and the annual volume of production of electronic devices almost three quarters of a billion dollars annually.”
Packard says that the population of the city of Palo Alto increased from 25,000 to 52,000 over the preceding 10 years; and that the assessed valuation of the community increased from $42 million to $170 million during the same period. “This is one of the direct and important results for the community. There has been a threefold increase in retail sales as compared with a 2 to 1 increase in population.”
“Thus”, Packard continues, “the electronics industry [in this area] has had a very important and beneficial effect on the community as well as made an important contribution to the whole area of technology. The interesting thing about this development is that a majority of these firms were started by young people coming out of the university. In many cases they were started with very little capital and well over half of all the firms in this area are new ventures that were started as private enterprises by young people with some knowledge, with some help from the university relationship, and with a desire to get into the private enterprise segment of our economy.”
Packard draws “Several conclusions …from this university-industry relationship that has developed over the last 2 decades or so the Stanford area. In the first place, almost all the new businesses in this area are based upon new products which were generated in the laboratories at Stanford University.” He gives some examples from HP’s experience: a counter “developed by a young man doing his graduate work at Stanford University on a fellowship which we sponsored,…many devices in the microwave field …were first conceived in the Physics Department at Stanford…More recently some of the work in what we call backward-wave oscillator tubes and traveling-wave amplifier tubes was the foundation of some additional instrument which have added to the product line and the capability of our organization.”
Packard tells how the Varian brothers, having invented the Klystron tube in the physics lab at Stanford a little before 1940, founded Varian Associates shortly after World War II and built “one of the most important industries in the country in the field of microwave tubes.”
Packard tells how, in fields other than electronics, physics, and electrical engineering, activities at Stanford have contributed to the development of industry.
“For instance, a program at Stanford Research Institute involves investigation of explosives. Dr. Poulter, in the laboratory that was established in his name, did some important research in the use of shape charges and various kinds of explosive devices, and a program was developed which is the basis of the United Technology Corporation program of solid fuel propellants.”
“Packard points out that “While these programs have contributed to “big” science, they have also made a very important contribution to the free enterprise segment of our economy; this is an especially important characteristic of the development around Stanford University.
“In addition to specific products, the university has contributed a very important resource of trained manpower–engineers, and scientists and business leaders–and trained manpower has, in many ways, been developed around some areas of specific technology not unrelated to these particular product areas already mentioned–microwave tubes and solid-state electronics, for example. The University has attracted a very strong group of faculty and from this has come the Fairchild semiconductor program; William Shockley was attracted back to the area from Bell Laboratories and he, too, has established a commercial venture in the electronics field.
“Underlying all this there has developed over the years an important relationship between the university and industry. A number of times during these 2 decades, university administrators have come to us in industry and pointed out that they had a faculty appointment open, but did not have the resources to attract the person they wanted; they have asked if we would be interested in providing either a consulting job or in some other way supporting this appointment financially. Our firm has provided this support in a number of cases and it has enabled Stanford to attract some important people.”
Packard gives another example of Stanford/industry cooperation, this time in the field of aeronautical engineering. Lockheed wanted a particular man who was interested in the university association – which worked out well. So well that the enrollment in Stanford’s aeronautical engineering program grew from two graduate students before the program was worked out to more than 100 graduate students 2 years later.
“This consulting service is effective, not just in terms of having a conference now and then to talk about a program, but in bringing a university professor into a close association on a continuing basis with a particular program that is of mutual interest; this has been done in the field of microwave tubes and in many areas by a number of firms….
“Particularly effective has been a university-industry program in which industry hires graduates from various colleges and universities around the country and, in an arrangement with Stanford, allows these baccalaureate-degree holders to obtain advances degrees by spending about half time working and half time going to school. This was worked out by Dr. Terman, who was then Dean of the School of Engineering.”
“In summary, it might be reemphasized that this astounding growth in the technologically based industries in the San Francisco Bay area has been due in large part to the contributions from Stanford University….There is no question that one of the important responsibilities of universities is to generate new knowledge; it seems, as well, that one of the responsibilities of universities and industry is to find ways in which this new knowledge can be converted into useful purposes as efficiently and as effectively as possible. The programs in the bay area, particularly those around Stanford University, have been especially effective in this way.”
This ended Packard’s prepared comments. After the other panelists finished their talks there followed a round table discussion among. One commented on the greatly increased level of government support since World War II, Packard replied that “The situation at Stanford has been very much the same way. The amount of government support for research has gone up at a tremendous rate. Stanford has never had a very large amount of industry-supported research, in any case. Stanford Research Institute was set up to handle this problem, and they are involved in the more specific jobs for industry. The university has followed a policy of not taking on any specific job for a specific firm; only with rare exceptions does Stanford do this. the university tries to limit its research program to areas that are of interest to a particular professor and can be continued over a period of time. The figures of Stanford Research Institute are very interesting because an attempt has been made to keep a large proportion of research for private concerns there. The trustees would like to have not more than half of the entire Research Institute program supported by government funds, but it keeps increasing every year until it is almost 80 percent this year.”
5/7/63, Five pages of handwritten notes by Packard containing various facts and figures that he had gathered for the above presentation.
2/1/63, Typed fact sheet on Stanford Industrial Park giving the names of companies who lease land including number of acres, number of employees etc.
3/24/63, Program for “The Second Northern California Junior Science and Humanities Symposium” apparently reference material for Packard.
4/63, Copy of printed article by Professor Frederick E. Terman on the subject of Federal grants.
3/19/63, Letter to Packard from Lyle H. Lanier Executive Vice President and Provost, University of Illinois, asking if Packard would be willing to participate in the May 7 conference and panel discussion on the topic of “The Role of Universities in Space Research”
3/22/63, Copy of letter from Margaret Paull (Packard’s secretary) to Lyle Lanier replying to his letter of 3/19/63 and saying that Packard is away until the second week of April.
4/18/63, Copy of a letter to Lyle Lanier from Packard saying that he would be “most pleased to participate in the panel discussion …on May 7th”
4/17/63, Letter to Packard from William L. Everitt, Dean, College of Engineering University of Illinois, saying they were delighted that Packard would participate in the panel, and giving more details of the program.
4/19/63, Letter to Packard from Hale Nelson, General Chairman, expressing appreciation for Packard’s willingness to serve on the panel, and giving details on the program.
4/23/63, Copy of letter to Hale Nelson from Packard saying he would meet at noon luncheon on May 7.
4/29/63, Letter to Packard from Hale Nelson giving more program arrangements.
5/2/63, Telegram to Packard from Sidney Jones of the conference staff asking that Packard discuss “Broad concepts of university – university relationships” and not limit discussion to research parks.
5/6/63, ID badge sent to Packard for conference.
5/6/63, Printed copy of conference program.
5/14/63, Letter to Packard from Hale Nelson and Sidney Jones thanking him for participating in the conference.
5/16/63, Letter to Packard from Bill Everitt thanking him for participating in the conference and also suggest HP consider the Champaign-Urbana area for a future facility.
Undated, Bound booklet titled Interstate Research Park.
Box 2, Folder 54 – General Speeches
June 6, 1963, Address before New York Society of Security Analysts, NYC
6/6/63, Typewritten copy of above speech.
Not having talked to this group for over four years Packard says he wants to bring them up to date on the many changes that have taken place at HP in the interim. But first, he gives some statistics on operations for the first six months of FY 63. A few of these were:
Total income $55,690,000, compared to $54,530,000 for year ago period.
Earnings were $3,522,000 compared to $3,446,000 year ago.
EPS 29.7 cents vs. 29.5 year ago.
Packard mentions that during the first half of 1963 they have been integrating the sales groups into the HP organization.
Long term debt $437,000 vs. $339,000 year ago.
Overall Packard says “I think we can feel reasonably satisfied about the balance sheet position of the company, and we have no financial problems of consequence.”
Turning to organizational changes over the past four years Packard describes the HP organization in 1959 as “…a highly centralized organization in which the management was on a functional basis with a vice president for Manufacturing, one for Marketing, one for R & D, and one for Finance, and there were very few activities outside Palo Alto.” He recalls that at their previous meeting he had said that “our policy was to specialize in the field of electronic instrumentation, to develop products which would make a contribution to the field, and to develop products which were general-purpose in their nature, thereby having a broad market rather than being designed for specific, individual applications, I also stated our policy was to finance our growth from earnings.”
“Since that time we have moved from a highly centralized organization into one which is largely divisionalized — and geographically disbursed.” He describes some of the specific changes:
“We have in Palo Alto several divisions. The Frequency & Time Division has a very important area of product responsibility having to do with frequency standards, frequency counters and other devices used in the measurement of time and frequency, as the name indicates.
“The Microwave Division, which is one of our very strong areas of involvement, makes microwave signal generators and all sorts of measurement devices concerned with radar communication equipment, microwave links, etc.
“The Oscilloscope Division is still headquarted in Palo Alto, but it is scheduled to be moved to Colorado Springs with the next two years.
“The Dymec Division in Palo Alto handles the job of developing and selling instrument systems — that is, combinations of instruments which go together to do a complete job for the customer.
“Palo Alto Engineering Company was set up to manufacture magnetic devices such as transformers. It is being phased out, and its work will be integrated into other divisions.
“We have established a new and important activity called HP Associates. This group was set up to concentrate on the development of advanced solid sate electronics. Over the years we have done a good deal of solid state work in our own laboratories — the intent to provide better components and better technology with which to manufacture instrumentation. This new group is set up to broaden the area of solid state R & D and is already beginning to develop some outside sales. The only opportunity for us in this field of semiconductors is if we happen to be able to make some important contributions. There’s a very good chance that we might be able to do this, but HP Associates is still oriented primarily to give us some lead in technology for use in our own shop.
“Outside of Palo Alto we have a division in Loveland, Colorado, manufacturing what we call the audio-video class of instruments.
“We have acquired the F. L. Moseley Company in Pasadena, California; the Boonton Radio Corporation in New Jersey; the Harrison Laboratories in New Jersey; and the Sanborn Company in Waltham, Massachusetts. In addition to that, we have rather extensive activities overseas with a sales organization in Geneva, a manufacturing plant just out of Stuttgart, another manufacturing operation outside of London, and a joint venture planned for Japan. The acquisition of our sales organizations has brought in a number of additional discrete corporate entities and has encouraged us to set up some of our own. So from all of this you can see we have moved from a highly centralized company into one that is involved in the management of a widely dispersed group of activities.”
Packard says that these changes “have brought about a good many management problems, but I am very much encouraged by the fact that we have been able to accomplish the transition without serious difficulty.” And he adds that “We have been able to meet this new management challenge with people from within our own organization.”
Packard assures the group that “Despite the major change in the structure of our organization, our policies have not changed in any essential way. We are still in the business of general-purpose electronic instrumentation. We are trying to do those things where we think we can make an important contribution to the field, and are not taking on new projects just to get into a bigger area of activity. Our policy is to continue to finance our growth from earnings, and we have been able to do so. Government business is important to us, but we make no products that are designed specifically for military or other government applications.”
Packard explains that “One of the very important things about our company is that our growth has come almost entirely from new products….and the overall sales growth that we have been able to achieve is the result of the superimposition of new products on [the] steady level [of the more mature products].”
Packard then goes projects several charts: [Which are also included with the typed text]
Chart No. 1 – “Shows our consolidated shipments for the past five years….we shall probably wind up in the range of $120 million for fiscal ‘63 total income”
Chart No. 2 – Presents a breakdown of HP markets in different categories, military, non-military, government subcontracts, commercial.
Char No. 3 – Shows the relative proportion of HP’s business subject to renegotiation adjustment.
Chart No. 4 – indicates international market activity.
Chart No. 5 – “Presents an analysis of our European business. It points out a very interesting situation. The lower bar represents the products of U. S. origin, the products that are manufactured in the United States and sold in Europe. We started manufacturing in Europe about the beginning of 1960, and the bar on the top represents sales in Europe from our European factories. As you can see, the portion represented by our European manufacturing operations is growing rapidly. But despite this growth, we have been able throughout this period to consistently increase the export of our products from the United States. I think this pattern is going to continue for some time.”
Chart No. 6 – Pacific area markets. “This market is not significant because of its size, or of its past importance, but because an analysis of the area indicates why we have decided to make a major move in Japan. You will see from this chart that our Japanese business was moving ahead in a rather satisfactory way up until 1961. At that time, restrictions on imports into Japan reduced our business there. As a result of studying this situation, we have decided to set up a joint venture with a firm in Japan. The agreements are completed To do this with the Yokogawa Electric Words, one of the most respected firms in the instrument field in Japan.”
Chart No. 7 – “is the most significant of all in evaluating the real nature of our company and the nature of its growth potential. This chart shows the additions, year by year, which our new products have made to our annual sales volume….This chart also indicates that if we had not maintained a steady output of new instruments, our present volume would be only slightly larger than it was in 1955. Furthermore, if our new product effort were to stop completely, the general trend in our business would be either level or slightly up and down from year to year, and certainly after any reasonable period, would go downward. This pattern is one that we study carefully, We try to analyze our new product effort to see that we continue to do the things which will continue to generate substantial new product growth. As a result of studying this pattern over the past few years, we decided a couple of years ago to increase our total R & D expenditure, and the last chart will show you how this has gone.”
Chart No. 8 – As a general overview Packard says that “In total we have spent something like $23 million of company generated funds [over the past four years] as compared to about a quarter of a million of government sponsored effort. Our business is one which is highly dependent upon our new product effort, and we are supporting this effort almost entirely with our own funds.”
Packard gives some specific examples from the current new product program. “We have just introduced what we call a Frequency Synthesizer. I mentioned this in our first quarter report. This device has now been finished, and we are beginning to get some orders. We don’t have it in full production yet, and I don’t think it is going to have any significant effect on this year’s volume, but it will have a significant effect on next year’s business. This is one of the largest and most expensive new product developments we have ever undertaken. We have spent over a million dollars of direct R & D on this project, but it is significant that we already have negotiations in progress for many millions of dollars worth of business.”
Packard mentions the medical instrumentation as an area “which is growing very rapidly and which has a great deal of potential.”
Packard talks of HP Associates and says that “One of the very important areas they are working on is related to the field of optics. As perhaps you know, there are methods of generating electromagnetic radiation in the range of light — infra red, visible by some of the new solid state techniques. We are already using some of these techniques in our instrumentation, and this work should open up important new fields of measurement.”
“Of Dymec [working in the area of measurement systems] Packard says “I am happy to say that as a result of what they have already done, their orders this year are at a new high and moving up rapidly.”
Regarding facilities Packard says “We are expanding the facilities for HP Associates for reasons that I think should be obvious. Harrison Laboratories, an acquisition last year in the field of power supplies, has completely outgrown its facilities, and we have a plant under construction for them in Berkeley Heights, New Jersey. We are going to let contracts within the next month or so for a $2 million facility in Colorado Springs to move our Oscilloscope Division, and set it up on a completely integrated basis there. Our manufacturing program in Germany has come along so well that we have authorized plans to triple our facility there within a year or so.”
“In Japan, the agreements between Yokogawa and ourselves are completed, and are awaiting approval by the Japanese government. We hope the approval may be obtained within a month or two, but we don’t have any experience with the Japanese, so it may not be as soon as we think. In any case, this joint venture organization will manufacture our products for the Japanese market. We will have the responsibility for international sales of their products. This program may have some supplementary benefits in providing low cost manufacture of certain items in case that should be necessary to meet world-wide competition.”
“In summary, our business has changed in its character as it has expanded. We are now operating a world-wide corporation compared to one that was centralized in Palo Alto some four or five years ago. Our policies have continued to be much along the same we have followed for years. We believe there is still a big job to be done in the field of electronic instrumentation. As we look to the future, we come to the conclusion that there is ample opportunity ahead, and there is really no limitation except our own ability to get this job done.”
8/28/62, Letter to Packard from John S. Wilson, Investment Analyst, asking if Packard would be willing to address a meeting of the New York Society of Security Analysts.
10/8/62, Copy of letter to John S. Wilson from Packard saying he would be willing to address the security analysts and giving a couple of dates.
10/23/62, Letter to Packard from John S. Wilson confirming the June 6, 1963 date and enclosing a n outline of meeting procedures.
5/28/63, Copy of letter from Margaret Paull (Packard’s secretary) to John S. Wilson giving him information he requested.
5/29/63, Letter to Packard from John S. Wilson, giving details on meeting times.
5/29/63, Copy of letter from Margaret Paull to John S. Wilson, giving information on slide projector needed.
6/3/63, Inter-office memo from Austin Marx to Packard giving financial data.
Group of letters and cards asking for copies of Packard’s presentation
Two newspaper clippings commenting on Packard’s talk.
Box 2, Folder 55 – General Speeches
September 16, 1963, Speech at Yokogawa Ceremony, Tokyo, Japan
This speech hs been moved to box 1, folder 22A
Box 2, Folder 56 – General Speeches
September 19, 1963, Making Maximum Utilization of Corporate Resources, International Management Congress, NYC
9/19/63, Typewritten copy of the above address by Packard.
Packard sets the scene describing “the impact of science and the advancement of knowledge” – nuclear energy, travel at thousands of miles per hour, computations in minutes that previously took years. Social changes too. “They stem from greatly expanded communication, the radio, television, the press – they are nurtured by a rapid increase in literacy and understanding. These social changes are the inevitable result of, and at the same time catalog, a rising level of education of all people,”
“We see on every side a ferment of dissatisfaction with things the way they are….We see it most strikingly in the underdeveloped countries, but we find it here too in the United States among our minority and underprivileged groups of people.
…“The frontiers are advancing very rapidly and many people are being educated right up to these frontiers. He, then, is a resource growing in magnitude and in value and it must not be overlooked….the rising aspirations of people in the underdeveloped countries are generating tremendous markets for the essentials – food, housing, clothing and transportation. And these expanding markets which are part and parcel of today’s social flux are by no means unimportant to those of us in management.”
Packard refers to the “great scientific developments of the past few decades” and says that “management now has “unlimited energy for our factories…, automation to control our machines,…communications facilities to transmit any amount of information we require,… and sophisticated instruments and procedures to collect our data…and computers to process it for us. “But,” he says, “the all important question remains – how do we effectively utilize these resources we have at our command?”
Packard says that with all these resources at our command we might be tempted to try and automate the entire process. “But this fantasy is soon dismissed when one remembers that machines cannot yet think or innovate, and probably never will.” And he concludes, therefore, “that the ability to think, to innovate, is now vastly more important than it ever was, simply because these vast impersonal resources must be effectively utilized.”
“Now the traditional resources which the corporate manager had to utilize were money, raw materials, energy and human labor — the latter largely as a source of energy, Much of the theory of management was about how to utilize these traditional resources efficiently.”
Packard says that while methods were developed to help managers utilize such resources as money and raw materials, “the beginnings of scientific management came from how to utilize human labor more effectively. Many of the things we still talk about in management are how to get a bit more work out of our people. Time and motion studies were designed to show the worker how he could use his physical capability more effectively. Piece work recognized the proposition that if you gave the worker an incentive, he might be able to figure out how to do his job better than you as a manager could tell him or show him. this was an important recognition of the fact that an employee might contribute something more than physical labor if you gave him a chance.
“The trend of management thinking, particularly over the past decade or two, has been directed more and more toward the management of the human resources of an organization. The fact that we have a rapidly expanding impersonal scientific base for our affairs places more importance on people rather than less. And fortunately we have the kind of people we need in increasing number to do this job well.
“I would propose then that the efficient utilization of people, as our most important corporate resource, is the sum and substance of management today. The value of people is primarily in their ability to think, to innovate, to bring imagination rather than their physical energy to their jobs. There are many ways in which people can be encouraged to apply their intelligence to their jobs and this can and should be done in every area of a business” – and he discusses two of these: – “the utilization of the resource generally described as “know-how” in a day-to-day manufacturing operation, and the capability of an organization to develop new products considered as an important corporate resource. Both depend on the effective utilization of people rather than money or physical assets.”
Looking at all of the books and specialized technical papers that are written on many subjects, Packard says “one might think that all the “know-how” necessary for efficient corporate operation would be available for the asking. But our experience tells us there is a decisive difference between reading how to do something and being able to do it. Experience — the ability to make the idea actually work — is the priceless ingredient the expert person brings to the job. The more complicated the problem, the more necessary the expert person becomes.”
Packard says he sees many examples of innovation as he walks around HP, “But at the same time I have never seen an organization which would not benefit from more special know-how. There are always innumerable problems to be solved. There are always jobs which should be done better.
“What, then, is the method of developing and utilizing this important resource? Unique and valuable know-how comes from people who are able to innovate. Such people can be identified by trial and error — perhaps in other ways too, although I do not know of any. They operate best in an environment of freedom. They are professionals in the true sense , not managers or organization men. Management has not always recognized the importance of this ability to innovate, and when present, it is often stifled by restraints and controls. With the growing complexity, particularly of a technologically oriented business, people who have the ability and opportunity to innovate are a great resource which must be effectively utilized.
Saying that people who are the most effective innovators “are not usually good executives or administrators”, Packard suggests “One way they can be utilized is as specialists in a given functional area. Give this type of person a special problem area to work on and then let him have the freedom to do it his way….His motivation and satisfaction come largely from his being able to see his know-how put to practical use.”
Packard sees three steps by which this innovative resource can be utilized: “The first step is to recognize that people can contribute by innovation. They must be given some general guidance which should restrict them as little as possible.
…“The second step is to give the people who can do this kind of work some operating freedom. You have to tell them or give them guidance as to what you want done. Then you have to let them do it their way.
“The third step is to make sure the people who make contributions by innovation in your organization receive credit for what they do. They are much more likely to do a good job the next time if they receive some recognition for the last one.”
Packard says “We have in our company a number of such specialists. They provide a great deal of invaluable know-how in all areas of the company….We consider one of our most important management challenges that of expanding their influence and developing their opportunities to innovate.”
“A second and most important resource of our company has been our capability to develop and market new products. This capability also comes, of course, from individuals who are able to innovate. But there must also be guidance and direction if this effort is to be efficient. Innovation in the field of day-to-day know-how is well directed because there is a specific job to be done, or a problem to be solved, and the expert is readily directed to the problem There is almost no limit to the variety of new products which might be developed. With limited resources in money and people, the all important question is which project is most significant? What is the priority among all possible projects.?
Packard says “Studies have indicated that of all the new product projects initiated by industry, only a very small percentage is ultimately successful. Thus…there appears to be considerable room for improvement in the results which can be achieved with the present level of effort.”
Saying he believes that the growth and profitable of HP is a result of their new product program, he presents a picture of HP’s program for developing new products. “Our sales in 1962 were $109,000,000, over half of which came from new products developed since 1957. On a corporate -wide basis for every dollar spent on new product development, five dollars in profits before taxes have been generated, and in addition, the dollar spent on research and development has been recovered.”
Packard says, “Without question the most important step in a new product program is the initial selection of the project to be undertaken. …it is necessary that the resources available be applied to the products most likely to be successful”, and “…toward this end certain guiding policies have been adopted, and a specific procedure has been followed.”
Packard describes HP’s new product guidelines as requiring the project selected “must be in the field of electronic instrumentation, and must, if possible, bring some new contribution to the field — not be just a copy of something someone else has already done. But in addition to these general objectives, we need to provide specific guidance for the project.
“First, the marketing and the technical people, working together, prepare a tentative specification for the proposed product. Usually the proposed product is discussed with potential customers for their reaction. the marketing people then prepare a five-year forecast of sales volume. From this an estimate of five years’ profit is made. The research and development people prepare a time schedule for the development and estimate the cost — including production engineering and tooling. The ration between estimated five-year profit and estimated development cost then becomes a figure of merit for that project. With a figure of merit thus calculated for each proposed project, we have a fair method of comparing projects and selecting the most attractive for development. The detailed specifications of the proposed project and the figure of merit calculations provide a very specific objective for the project. These provide guidance toward what the product will be, what it will cost, what will be the volume, and what will be the resulting profit. These specific objectives are kept before the development team throughout the course of development.”
Packard emphasizes that “…every new product project is a total company responsibility. Marketing people, manufacturing people, financial people, as well as the development engineers, are continually involved from the beginning and work together. This procedure provides not only a useful method of evaluation and decision making at the beginning but also continual communication between interested people during the entire development process. It provides strong motivation for the innovation.
“The people who are responsible for innovation — the development people — are in continual contact with the manufacturing and marketing people. The project engineer thus receives company-wide recognition of his product is successful. He is encouraged to help introduce his new product in the field as well. He thereby receives much more satisfaction and motivation from accomplishment than if he were involved only in the laboratory technical development.
“These two illustrations of contributions by people working as individuals, or as part of a team, are only examples of the many ways in which human resources can be effectively utilized. The requirements for effective encouragement of individual resourcefulness are actually very simple, The first is to provide for a common objective. This objective may be a level of profit performance, it may be a target for cost reduction, or it may be a new product with a carefully defined and extensive set of objectives.”
“In simple form then, one very useful approach to the better utilization of human resources in management is: Provide a well-defined objective, give the person as much freedom as possible in working toward that objective, and finally, provide motivation by seeing that the contribution of the individual is recognized throughout the organization. This is an attitude that can be applied in many ways, but when applied will help assure the maximum utilization of the most important corporate resource of all — the individual capability of all of our people.”
9/19/63, Printed copy of above address
9/18/63, HP News release on above address.
10/21/63, Letter to Packard from Harold A. Wolff, McKinsey & Company, Inc., asking for a copy of this address.
Undated, Brochure describing the Council for International Progress in Management.
7/1/64, Letter from Philip Garey , Vice President of the CIPM, asking for a French translation of Packard’s address.
7/31/64, Copy of a letter from Margaret Paul , (Packard’s secretary) to Philip Garey send the French translation.
8/3/64, Letter to Packard from Philip Garey, thanking him for the French translation.
Box 2, Folder 57 – General Speeches
November 4, 1963, A Businessman’s View of the New Technological Revolution, Proceedings of the University/Industry Liaison Conference
11/4/63, Typewritten copy of Packard’s address to the conference.
Packard says “We are here today to discuss ways in which we can help the economy of Colorado grow and help improve its social climate. This so-called new technological revolution is going to have an important influence in this matter. But I would like to take a few minutes to look at the broader aspects of economic growth, because I think it’s a mistake to expect new technology to be the only factor which will contribute to the things we are trying to achieve.”
He names some of the other factors which “are going to have a bearing on how well we will be able to take advantage of such technological advancement as is made…growth of population…changing pattern of spending…sources of capital…the nature of our economic system.”
Looking at each of these, starting with population growth, he recalls that when he was in college it was thought that the population of the United States would level off. “Things have turned out differently as they often do….this population growth will affect our economic growth in several specific ways….there will be more economic units, more people to buy things. There will be new families and there will be expanded markets for old and new products as a result.”
“The changing spending patterns of our people are going to continue to be an important factor in economic growth. …the majority of our people are now able to earn above a subsistence level….A larger number of people now have money to spend in discretionary ways….There will be money to spend on education,…They will have time to travel, and they will have money to travel.
So it is in the total environment of these various factors that we should consider our economic growth and the effect of this so-called new technological revolution.”
Packard points out that the technological revolution is actually not new. “It is really just a continuation of the old industrial revolution that began in the eighteenth century in England with the application of steam power to the work of men. It has the same characteristics which it has had since the beginning, but for some reason we don’t always seem to appreciate that these characteristics are present,. One of the important characteristics is that new technology destroys established jobs, established industries and established interests while it is creating new ones. In doing so, it creates economic stress and social stress often of considerable magnitude.”
“I am confident [the technological revolution] is going to create growth in such a way as to continue to generate social and economic problems. These problems must be solved, in my view, by private business, private institutions as well as by government action.”
Packard gives the example of the technological revolution’s effect on agriculture saying that “Prior to World Wear II a relatively large proportion of our total research and development effort was directed in fields related to agriculture, and a substantial amount of effort is continuing. From chemistry we have been able to develop new and better fertilizers, insecticides and chemicals for weed control. From our knowledge of biology we are able to develop new breeds of animals, new strains of plants, obtain better productivity from these. Engineering provided new labor saving devices which were applied throughout agriculture. And other technology added for us new methods of food preservation, transportation and processing.”
“But, as we all know, this technology has generated by virtue of its very success some serious social problems. Today we have less than half as many farmers and farm workers as we had in 1920. These farm workers have gone to the city to seek jobs in industry. This migration is continuing and it is going to continue for some time in the future.”
“This provides an example of the kinds of problems that are generated by new technology. When we look at technology as a simple means to advance our economy, we would do well to give serious attention to some of the problems which are likely to result”
“There are examples in industry as well, as you all know. In railroads the diesel engine replaced the steam engine in something like ten years. This and other developments reduced the number of jobs in the railroad industry from 1,300,000 in 1948 to less than 830,000 in 1958….Aluminum has reduced the demand for steel and plastics has reduced the demand for both….It is a changing pattern. It is important for business people to become aware of the fact that it is a continually changing pattern which results from technological progress and that there are social and economic by-products which must be dealt with.
Packard asks what, then, is new about the new technological revolution. “In the first place, it is getting bigger all the time. It is the nature of growth that each new increment tends to increase in proportion to the level of activity already in existence. Growth tends to be at a constant percentage rate….We are in fact spending a great deal more money on technology, on research and development than we were a few years ago….We were spending something like four billion dollars in 1953 and the spending rate has gone up to 15 billion dollars per year in a space of ten years. This is an annual increase of about 15% per year.
“This can be compared with the growth of our gross national product which has come to be the most convenient, if not necessarily the best measure, of the health and growth of our economy. The growth of our gross national product has been at the rate of between three and four per cent per year. There is some evidence that an increased research and development effort will generate increased growth for a company or an industry. It may do so for an entire economy. We are not sure but many people believe that because we are in fact spending proportionally much more on research and development we will accelerate the growth of our economy as a direct result.
There are, however, some reasons why this is not likely to be so. In the first place, there are other factors which affect economic growth. economists have placed more emphasis on other influencing factors. For example, there are many economists who hold to the theory that if you can simply increase the purchasing power of the people, you thereby are able to increase the growth of your economy. This has been attempted, not always with the predicted results. Then there is another school of economists which holds to the theory that id you simply invest more dollars in your productive establishment, this will necessarily generate more growth for the future….There is some correlation but whether cause or result has not been established,. Then there are those who hold that the increase in the research and development effort is a prime factor. I think the truth probably is in between, but it is very easy to over-simplify this matter.
Now I want to say a word or two about why I think this present high level of research and development is not very well directed to bolster the growth of our economy and why the results may not be quite as good as we might hope. In the first place, we have today too much money being spent on sophisticated military problems and space applications. These things are very important in themselves and very glamorous. The story is given us that the “fall-out” from this work is going to generate a lot of future economic growth, but I think if this is examined in detail, the question is doubtful at least.”
“But despite these problems research and development is going to be a very major factor in our growth in these coming years….Certainly Nuclear energy is going to be a major source of generation of electrical power within a decade or two. …There is one very significant field that is bound to become more important in the future because of past and present technological effort. This is the field of computers and data processing. Computers have become a billion dollar industry in this country in only about a decade, and we seem to be only at the beginning of their potential. And related to this is communications, how do we get this information from where it is generated to where it can be utilized or processed in some way.
“We have seen the extension of direct dialing in our telephone system in the last few years and now it seems almost commonplace to pick up the hone and dial a couple of numbers and have someone answer from across the country as though he were next door.”
“Biochemistry is an area of very important research and development which holds as much promise as any field for important advances in the future….technology will be a tremendous stimulus to growth in the future as it has been in the past….The population growth, improving income levels, the availability of capital and the motivation and drives which come from the free enterprise system are also going to be equally important. In considering economic growth we should pay attention to all of these factors.
Packard continues looking at past trends and says that “I think that we come to the conclusion that our society…has changed from an economy which is dependent upon raw materials, power, and transportation and money to an economy that is much more dependent upon human intelligence and human wisdom. And it is going to require the highest level of human intelligence to develop and understand and apply this new technology. And it is going to take the highest level of wisdom to be sure that we apply it for the benefit of our society as a whole.
Packard poses the question “What then do all these trends mean to the State of Colorado?” He goes on to describe some conclusions that can be drawn: “Some of your old and established industries will continue to have difficult going in the future. Minerals will continue to be under pressure, and even steel is going to be replaced in more places in the future by aluminum and plastics. There will be further adjustment in agriculture. But I think in balance the present problems of agriculture will eventually be solved, and agriculture will be a very strong segment of our economy, not only in the nation as a whole but I think here in Colorado too.
“The tourist trade should improve as technology improves transportation, and as people everywhere have more money to spend and more time to spend it….supersonic transport of Mach II speed for our airlines might by of more relative value to Colorado than to Illinois, New York or Massachusetts.
“But most important of all”, he says, “your state is now in a position to attract many important industries which it could not attract before. What will this require? In the first place, it will require some of the elements that industry has always required. It requires good transportation to other centers of industry and to other markets. Air transportation for people and other light-weight products is most important. Bit it is also important that your trucking and railroad industry be nurtured and encouraged because these will be important factors in your future economic development. It requires desirable living environment so that you can attract to your state the capable scientific people and their families. The people who can contribute to this growth.
“It requires, also, attention to the development of a climate which is favorable to the free enterprise system, because it is the initiative and drive from this system which can perhaps provide as much for your growth as any other single factor.
“Most important of all the opportunities for you to participate in these things in the future require that you develop the best educational system that you can possibly afford. Your future will be improved as you are able to encourage your universities to develop in substantial ways to the advancement of new knowledge. Help them generate the environment which will provide the cooperation between business and industry so that business and industry can take advantage of the things that your university people do. In turn your universities will be supported substantially by business and industry.
…”It’s important that your educational system be excellent because you must attract capable scholars from other parts of the country. It is just not possible for you to educate your own professors and faculty at a rate which is adequate for the job. You’re in competition with the most important and the greatest universities in the country, and the success in strengthening your universities will, in part, depend on how well you can meet this competition. It is important for you also to raise the level of all your educational institutions, your schools and colleges. Not only because this new technology and the environment in which it will operate will require more education and more training on all levels of employment, but also because it’s going to involve a [more] rapid change in the future than it has in the past. Life-long learning is going to be very important.
“This is a Herculean task. It will take money. But it will also take understanding and cooperation of business and industry and the community at large. You have here in your state several good universities. They should become great universities. To do this they will need more money. But they also must be kept independent and protected from the cross-fire of politics, of selfish local interests, including selfish local interests of business. Your universities are the pillars of excellence on which the quality of your entire educational system depends and they will by a very large degree determine how well Colorado fares in this competition with the rest of the country for the benefits of this new technological revolution.
“I think it can be safely said that your universities are worth more to your state than all of the gold you have ever mined. Treat them accordingly.
…”Ladies and gentlemen I think this conference is ample evidence that many of you here in the state are aware of this opportunity which is offered. I am pleased that it is recognized as a joint responsibility. A joint responsibility of people in business, of people in universities, and of people in the government. And I am very pleased too, that our company has been in a position to participate in this opportunity here in Colorado. We are very delighted from the specific progress of our program here, and I have every confidence that our trust in the future of Colorado is going to be well justified.
“And finally, I am greatly honored to have the privilege of talking with you here today. Thank you.”
5/1/63, Letter to Packard from William H. Miernyk, Conference Director, inviting him to speak at the conference.
6/26/63, Copy of letter to William H. Miernyk from Packard accepting his invitation to speak at the above conference.
7/1/63, Letter to Packard from William H. Miernyk, expressing pleasure that Packard will be able to attend the conference and discussing a title for Packard’s speech.
7/9/63, Copy of letter from Packard to William H. Miernyk agreeing to title for speech.
7/10/63, Letter to Packard from Janet R. Ryan asking for a biographical sketch for the conference program.
11/6/63, Letter to Packard from Dan McMahon, Chairman of the Governor’s Advisory Committee to the State Division of Commerce and Development expressing gratification that both Packard and Dr. Terman will be billing to provide guidance to their committee.
11/27/63, Letter to Packard from William H. Miernyk enclosing manuscript to Packard’s address for editing..
1/9/64, Copy of letter from Packard to William H. Miernyk returning the edited manuscript.
1/14/64, Letter to Packard from William H. Miernyk, acknowledging receipt of the manuscript.
11/4&5/63, Bound paperback book titled Colorado and the New Technological Revolution, Proceedings of The University-Industry Liaison Conference, 1963. This booklet contains a copy of Packard’s speech which is briefed above.
11/4/63, Two typewritten pages of speech introducing Packard for the above speech. Introduction speaker is unnamed.
11/4/63, Typewritten list of conference participants.
Box 2, Folder 58 – General Speeches
November 8,1963 – Taxation Panel, California Industrial Development Conference, San Francisco
11/8/63, Handwritten outline notes by Packard for his address at this conference, titled Taxation and the Future of California.
1. We are here because we are interested in discussing California’s economy and what might be done to improve it in the future.
2. State taxes are not ordinarily a dominant factor in considering industrial location.
A. Markets, labor costs, transportation, raw materials – and for technologically based industries – excellence of universities and education in general may be dominant factors. This latter factor has been dominant factor in the Bay Area.
B. Taxes can be significant factor in some cases.
1. Where an industry must be competitive and other factors are equal.(Not often much chance.)
2. Taxes and State Fiscal policy are indicators of political climate and political climate is always a dominant factor influencing industrial location.
C. Any consideration of taxes in respect to industrial location must be more concerned with trends than with current levels.
1. A decision to locate in a particular area influences the business for a long time in the future.
Let’s look at trends – last 10 years.
Population – up 46%
Personal Income – up 96%
Combined State and Local Taxes up – 160%
Property Taxes – up 189%
Spending – up 10%
General Fund Revenue – up 7.6%
If we look at trends we need a fix on where we are – it wouldn’t be so bad if we were catching up.
School costs per pupil among highest in nation.
Cost of Living among the highest.
Skilled labor among highest
We don’t need to catch up with anyone.
Must look at trends in State.
Economy – To see if we can afford this.
1. Large part of growth in California economy over past 10 years based on Federal Government support. Largely because of the growth in early 1950s – 4% per year growth in employment.
“Changing emphasis military and space – slower operating rate, fewer new jobs – more unemployment. Defense and space based industry has grown rapidly in past decade – is now slowing down. It is not in the slightest influenced by State tax – or local political environment. Its costs are passed on the Federal government. This situation is bound to change:
“We have the problem here in California – How do we change the environment from on attractive to pie in the sky philosophy to one attractive to those industries who must compete in rough and tumble competition with the world.
“Tend to appoint non employer representatives on Unemployment Compensation – State Disability and Workmen’s Compensation Boards. These programs are supported by do-gooders in state government [and] are scaring away industry.
“We are generating unemployment in the State of California by our tax policy and by the political philosophy behind it. The trends indicate we are on a collision course which will be very serious. It is manifestly absorb that a state with the potential of California could have such a poorly administered tax and fiscal policy as we have had in the past years.”
11/8/63, Three pages of Packard handwritten notes with reference data for speech.
11/8/63, Copy of typewritten conference program.
8/2/63, Letter to Packard from Stanley E. McCaffrey, President, The San Francisco Bay Area Council, Inc. inviting Packard to participate in this conference.
8/23/63, Letter from Stanley E. McCaffrey to Packard asking that he attend a meeting on 8/27 to discuss outline of conference. Handwritten note on letter says “Didn’t attend”
9/26/63, Letter to Packard from Neil Jacoby, Dean Graduate School of Business Administration, University of California, Los Angeles, and Chairman of the Taxation Panel for the conference giving Packard some logistical data for the conference discussion.
9/30/63, Copy of letter from Packard to Dean Neil H. Jacoby in reply to his letter of 9/26 saying the plan looked OK.
10/1/63, Letter to Packard from Clark Galloway, California State Chamber of Commerce sending Packard several reports and tabulations on taxes all in response to Packard’s request relayed by his secretary.
10/7/63, Letter to Packard from Stanley E. McCaffrey, President, The San Francisco Bay Area Council sending announcements of conference for Packard to distribute to Hprs.
10/13/63, Letter from Carl F. Stover of SRI sending an outline of a talk by a fellow speaker at the forthcoming conference, Dr. Weldon B. Gibson, asking for any comments Packard may have on the draft.
In addition, this folder contains many booklets and tabulations on taxes gathered by Packard as reference material for his address.
Box 2, Folder 59 – General Speeches
November 12, 1963, Luncheon Talk, Peninsula Manufacturing Association, San Mateo
11/12/63, Handwritten notes by Packard for this speech [No typed text]
General subjects of interest:
National – General business situation
Business good – Will be good through 1964 election
Tax cut bill
a. Determine whether business encouraged through private enterprise or through more deficit spending.
b. Tax bill very important.
1. Could give boost to business which could carry us to a new plateau – 1965 and beyond.
2. Features of bill.
3. Present Status
Write to your Senators and Representatives to urge passage.
Population growth – 3.9%/year
Employment growth – 2.5%/year, last three years.
Unemployment at 6%
Defense – Space employment high
Likely to drop off
1. National reduction
2. Other states
Economic environment for business not good in California.
Taxes higher – labor costs higher.
Trends – 10 years
Population up 46%
Personal income up 96%
Combined state and local taxes up 160%
Property taxes up 189%
State spending +10% per year
General fund income 7.6% per year
Highest indebtedness generated by taxes
1.5 Billion for New York
Education – 40%
Highways – 12%
Welfare – 8.5%
This year tax problem – 100 million gap in General Fund. Governor proposed to close gap with advance of State Tax Payments. Nothing to reduce spending to keep within means. Clearly action is needed – support.
California economic climate is less attractive to business than most other states. No business would [invest?] money in California except for:
2. Raw materials
4. Advantage of university associations
Unless something constructive is done about state government spending
1. Unemployment will increase
Civil Rights Problem
1. It has been a problem for a long time and getting worse so eventually something had to happen
2. There is no quick solution – it will take years – better education is best hope.
3. It is important enough that everyone should take it seriously and everyone who can should do something.
4. What can business and industry do?
A. Avoid discrimination in jobs stretch the point where measurable.
B. Give attention to training and upgrading.
C. Encourage some of your people to participate in community programs.
D. The most serious problem is education – integration per se will not necessarily result in better education for young people. They must be encouraged to appreciate education as the way for them to get ahead.
A good project for Peninsula Manufacturers Association would be to sponsor programs to help young people take advantage of education opportunities and to appreciate what it can mean to them.
A. Part time jobs with guidance
B. Scholarships and awards for achievement.
C. Plant tours and programs for student groups.
D. Sponsorship of young people activities.
We have a problem in Civil Rights here on the Peninsula – it can easily be solved if all groups put their shoulder to the wheel. Solutions by local groups with right leadership is much preferable to:
1. Radical action groups
2. State intervention
3. Federal laws
1. Peninsula is a residential community
11/12/63, Three handwritten pages by Packard with supporting data for the above talk.
2/14/63, Letter to Packard from Jon B. Riffel, president of the Peninsula Manufacturers Association, inviting Packard to speak to their group.
3/19/63, Copy of a letter from Packard to John B. Riffel saying he would be pleased to address the group later in the year.
3/20/63, Letter to Packard from Jon Riffel expressing the hope Packard will be able to address their group in the year.
7/11/63, Letter to Packard from Jon Riffel confirming the Packard will address the group November 12th. Attached are publications about the PMA.
8/8/63, Letter to Packard from Dick Kluzek of PMA giving details of the luncheon meeting Nov. 12.
8/9/63, Letter to Packard from Roy Brandenburger, VP, Monsanto Chemical Company, enclosing an article from Chemical Week on taxation. [article not in folder]
9/17/63. Letter to Packard from Jon Riffel enclosing a copy of the PMA publication, Manu- Facts.
11/8/63, Letter to Packard from Jon Riffel giving details on luncheon meeting.
11/13/63, Letter to Packard from Harry Goodfriend, VP and Manager, Crocker-Anglo National Bank, enclosing an ad from the Wall Street Journal describing the impact of high taxes on small business in California.
11/15/63, Letter to Packard from Joe Fessio, President Palo Alto Transfer and Storage Company, saying he enjoyed seeing Packard again at the PMA luncheon.
12/9/63, Letter to Packard from Jon Riffel thanking him for speaking to the PMA group.
1/22/64, Letter to Packard from Karl Bizjak requesting a copy of Packard’s talk to the PMA. Handwritten note by Packard’s secretary says she called Mr. Bizjak to say there was no text.
The folder also contains some more PMA publications.
Box 2, Folder 60 – General Speeches
November 22,1963, Remarks on the occasion of the assassination of President John F. Kennedy
This speech has been moved to Box 1, folder 22B
Box 1, Folder 21 – HP Management
January 11, 1963, Management Conference, Monterey
No longer referred to conference by number. This is the only document in the folder. There were several comments from attendees along the line that there should be a published agenda ahead of time, and there should be more small discussion groups at conference. [It is interesting that there is no mention of Packard.]
Box 1, Folder 22 – HP Management
January 21-26, 1963, Sales Seminar, Field sales people, Palo Alto
1/24/63 Handwritten notes in Dave Packard’s handwriting, apparently for comments he intended to make at the seminar. Some of the items he noted were:
1962 operations, shipments, orders
Balance between orders and shipments
Finished goods and work in progress
Better deliveries, more instruments in stock
Improved order processing
Need to improve R&D
General notes about GNP, space flight, taxes
1/21/63 Agenda for seminar
Box 1, Folder 22A – General Speeches
September 16, 1963, Speech at Yokogawa Ceremony, Tokyo, Japan
9/16/63, Copy of typewritten text of Packard’s remarks announcing “the official beginning of our joint venture, Yokogawa-Hewlett-Packard Ltd.”
After giving the names of the directors of the new company, Packard says “I speak for all of the directors and officers of the Hewlett-Packard Company when I tell you we believe it is a great honor and a great privilege to be associated with Mr. Yokogawa, Mr. Yamasaki, and all of their fine and capable people in the Yokogawa Electric Works.” He says they “have known…of the magnificent contribution the Yokogawa Electric Works has made…to the scientific and industrial progress of Japan.
And Packard expresses the hope that “this new partnership between Yokogawa and Hewlett-Packard will be able to carry forward and expand this fine reputation which you have established.
“It is our aim that this new company will combine the most advanced technology of the United States with the most advanced technology of Japan, and thereby be able to develop and manufacture the finest instruments that are made anywhere in the world.”
“We in the United States are proud of the strong ties of friendship which have developed with the people of Japan over the past decade. It is my special hope that this new partnership which we are celebrating today will serve to strengthen those ties of friendship between our countries. Japan and the United States are joined in the common objective to support the freedom of mankind against the tyranny of communism. This partnership between our nations will grow and become stronger as we are able to form sound and lasting bonds between the business concern of our respective countries.
“It is my firm hope that our new company will make an important contribution to the future of Japan by developing a useful measure of economic strength, and also a useful measure of friendship and understanding between us.
“Again, my appreciation and best wishes to each of you for being here with us this afternoon.”
Box 1, Folder 22B – General Speeches
November 22,1963, Remarks on the occasion of the assassination of President John F. Kennedy
11/22/63, Copy of typewritten text of Packard’s remarks
“There is little we an do to alleviate the nation-wide sorrow for the assassination of President Kennedy but to offer our prayers for him and his family – each in our individual way. In this hour of tragedy for our country we should remember that the affairs of the world will and must go on. Since much of the work we do contributes directly to the strength and stature of our country we will carry on with our work today, but we urge any employee who wishes to attend a memorial service to take time off during the day to do so.”
Box 1, Folder 35D – HP Management
7/16/63, Sales Seminar Luncheon
Packard’s handwritten notes for this talk give a mid year report of orders.
He says their job is not only to sell, but to help control expenses
Of the overall economy he say business is good – but not good enough.
He says new products will be the key to company success
He includes many statistics on company operations.