Varian Associates.

In 1989 Varian Associates established an oral history project. The primary objective of the project was to document the management philosophies that shaped the Varian organization and to provide insights into how those philosophies contributed to the company's evolution. The secondary objective was to record how the company's principal product lines evolved and their significance. The first phase of the project focused on the period prior to the formation of Varian Associates throught 1969. The interviews were conducted by Sharon Mercer of Oral History Associates, Inc.

Recording made by Bill Patton, who is the interviewer. He made this as one of a series of oral history tapes for the local Institute of Radio Engineers, now known as the Institute of Electrical and Electronic Engineers.

Varian Associates was formed in San Carlos, Calif. in 1948 by Edward L. Ginzton, William W. Hansen, Richard M. Leonard, Leonard I. Shiff, H. Myrl Stearns, Dorothy Varian, Russell H. Varian, Sigurd F. Varian, and Paul B. Hunter with $22,000 of capital and six full-time employees. Its first major product was the klystron microwave tube, developed through research at Stanford University in 1937. The company went on to produce important new products in the fields of radio, radar, television, and electro-photography and eventually became the leading designer and manufacturer of linear accelerators. In 1965 the company merged with Eitel-McCullough. Varian Associates formally divided into three companies in 1999 turning each of its divisions into a separate public enterprise. The three resulting corporations were Varian Medical Systems, Varian, Inc., and Varian Semiconductor Equipment Associates, Inc.

"For over a year, Varian has been using the PERT system on many of its projects. Spearheading the adaptation of PERT to Varian needs has been Mr. James Halcomb of our Radiation Division. he recently designed the PERT-O-GRAPH to aid our people in project planning. We hope that you will also find it useful in your work." Apparently this is a commemoration gift (25th anniversary of the development of the Klystron tube), although a note indicates it may be purchased from Merchandising Methods, Inc., San Francisco, for $1.

Corporate History

Varian Associates was formed in San Carlos, California in 1948 by Edward L. Ginzton, William W. Hansen, Richard M. Leonard, Leonard I. Shiff, H. Myrl Stearns, Dorothy Varian, Russell H. Varian, Sigurd F. Varian, and Paul B. Hunter, with $22,000 of capital and six full-time employees. In founding Varian Associates, the directors wanted to create a science-based company, managed by scientists, where the decisions would be made by the scientists and engineers who carried out the work. The founding members had worked together for years, first on the klystron at Stanford University and later at the Sperry Gyroscope Company laboratory in Garden City, NY. during WWII. They chose the name "Varian" as Russell Varian was well known in the scientific community as the inventor of the klystron, a specialized vacuum tube, in 1937. The klystron, with its extremely focused electron beam, was a key element in the development of airborne radar.

Even though the articles of incorporation stated that the directors wanted to "conduct research in the fields of physical science of every kind and nature," it would be several years before Varian branched out from its original role as a microwave tube plant. One of the company's first departures from tubes came about when they obtained patent rights for NMR (Nuclear Magnetic Resonance), capitalizing on William Hansen's pioneering work in the subject at Stanford. Eventually, this venture into NMR became one of Varian's most profitable ventures, leading to the development of its successful spectrometer and medical instruments divisions.

In 1953 Varian moved from its original leased facility in San Carlos to a new building on Stanford land, becoming the first corporation in what was to become the Stanford Industrial Park. Soon after the move, Varian began expanding, opening a plant in Canada, launching S-F-D Laboratories in New Jersey, and making its first acquisition, Bomac Laboratories in Massachusetts. Acquisitions continued through the 1960s and 1970s, first under the leadership of Ed Ginzton, then Norman Parker. These acquisitions, together with continued innovative research, helped to further broaden and diversify Varian's product line.

Varian's profitable klystron contracts with the military were severely cut back in 1964, causing the company to finish out the fiscal year with its largest net losses up until that date. By 1966, however, Varian had restructured its finances and fully recovered, ending the year with record profits. Financial problems sprang up again in 1971, forcing Varian to put an end to acquisitions and begin selling some of its costlier operations, including Varian Data Machines, Syva, and its CT scanning business. The sale of these subsidiaries enabled the company to focus its resources on the core product lines of vacuum technologies, medical equipment, and spectrometers.

In the 1980s Varian had a succession of four presidents. Then in 1990, J. Tracy O'Rourke came on board as chairman and CEO, the first Varian outsider to hold those posts, and quickly started the company on its long-awaited turnaround, reducing the corporate staff by more than 20% and creating 3 divisions based upon marketing similarities instead of technological similarities. Within five years, earnings rose and profits were at an all-time high. With this reorganization came a shift in priorities, from number of patents obtained and papers published, to marketing and customer service.

Varian Associates formally divided into three companies in 1999, turning each of its divisions into a separate public enterprise. The three resulting corporations were Varian Medical Systems, Varian, Inc., and Varian Semiconductor Equipment Associates, Inc.