Strategic HR Planning at Google Inc

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Strategic Human Resource Planning at Google

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    IntroductionManaginghuman resourceseffectivelyhasbecomevital toorganizationswithin themodernand fastpacedbusinessenvironment, more so as the economy the world over converge into a synapse of globally connected andinterdependent sectors aimed at preserving and creating knowledge1 rather than products and services alone. Thenoveltyinthemarkettodaydemandsinnovation2andtrust3morethanmerecomparativeanalysisofsalesandmarketshare,andthehierarchyofthecentreandperipherymodelisevolvingintoadifferentparadigm.HumanResourcesspecialistsaremoreimportantinbusinessstrategiestodayforthisverychangeinmarketdynamicsmoresointhepresenteconomicsituationofaglobalrecessionanddownturnacrossindustriesandsectors.ThefocushasturnedonHRDepartmentateveryorganizationthesurvivallinesarerunningdrierwitheverypassingweekatthetradingmarketstheworldover,andtheaimisnotonlytoseethroughtherecession,butmoreimportantly4,toensureemployeesare still committed to theorganization.HRdevelopmentactsas thementor5 to itsemployeesguiding,trainingandeducatingthem inthewayofthe industryandtheorganization.Welltrainedandcompetentemployees,who are able to showcase themselves and their organization to the customers in amore effectivemanner, help inincreasingcustomersatisfactionandoverallclientele,byaddingcredibilityandreputationtothebusiness.EffectiveHRplanning and development practices6 bring quality and loyalworkerswho are committed and passionate about thesuccessoftheirorganization.GoogleInc.,the9yearoldtechnologyserviceproviderbasedinMountainView,California,wasvoted7thenumberoneBestCompanytoWorkforinAmericaforthesecondyearinarowbyitsemployees.Itisthebiggest8brandnameintheworldtodayabrandthat isbuiltuponaculturethat ishighontrust, lowonpolitics,greatatsharingresourcesandsharingthewealth,andfullofmeaningandsignificance.However,besidestheusualandmuchpublicizedremunerationpackage and plush offices, deeper and more thoughtful set of factors have been identified and acknowledged byconsultingfirmsandemployeesalikeonwhyitissuchanattractiveorganizationtoworkfor.

    Industry MediaandInternetServicesHeadquarters MountainView,California

    CEO Dr.EricSchmidtFounded 1998

    TickerSymbol GOOGWebsite www.google.com

    JobApplicants 761,799Training 120hours/week

    VoluntaryTurnover(FT) 4.3%

    1JHDunnning;2000;Regions,Globalization,andKnowledgeBasedEconomy;136138;2WCKim,RMauborgne;1999;SloanManagementReview;Strategy,Value,Innovation,andtheKnowledgeEconomy;4;3PSAdler;2003;Market,Hierarchy,andTrust:TheKnowledgeEconomyandtheFutureofCapitalism;4GEbadan,DWinstanley;1997;HumanResourceManagementJournalBlackwellSynergy;Downsizing,DelayeringandCareersThesurvivorsperspective;7984;5ArnoldoC.Hax;1987;OxfordUniversityPress,NewYork;PlanningStrategiesThatWork;6AnnMirel;2008;DevelopmentandStrategiesforHumanResourceDevelopment;48;7Courtesy:GreatPlacetoWorkInstituteInc.8Courtesy:MillwardBrownOptimor;2008;Top100MostPowerfulBrands08;

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    OrganizationalGoalandVisionThework culture and employee empowermentphilosophy atGooglewas apparent from the day the companywaslaunched in1998.Thefounders,LarryPageandSergeyBrin,wantedtoestablishGoogleasacompanythatwastobeseenasacompanyrunbythegeeks.TheHRDepartment,initsalignmentwiththebusinessstrategyoftryingtoattractthebestmindsacross theglobe towork forGoogle,has sincealwaysaimed tobecome the strategicpartner to thebusinessoperations.

    BusinessStrategicModelAsanorganization,Googleand itsemployees takepride inbeing regardedasgeeks. In fact,oneof thebanners thatgreetsyouasyouenterGooglesTorontoOfficei reads proud tobegeeks.How thisveryphilosophydictates theirbusinessstrategycanbeunderstoodfromthefactthatLarryPageonceremarkedthatGooglewascomprisedofpeoplewithfrighteninglysinglemindedfocus.Googleofficesareseennotaslocationswherepeoplegotowork,butratherasdreamhousesforthesegeekstoretiretowhentheywanttocreatesomethinginnovativeandstateoftheart.Four yearsago, theaverage search tookabout3 seconds. Today, it isdown toabout0.2 seconds.And since0.2 isgreaterthanzero,itsnotfastenough.AsmallstatementfromPeterNorvig,anengineeratGoogle,tellsthetaleofthework culture and employee commitment atGoogle the employees dont need the next deadline or next projectproposal toworkoncreating something,but ratheran intrinsic9challengeachallenge thatcouldbedrivenby selfbenchmarks, or by peer influence, or simply, the quest for solving something. As a company, Google completelyunderstandsthatsuchisthenatureofdevotedandcommittedgeeksandprovideseverythingthatispossibletokeepthesegeeksmotivatedtoworkonnovelandcreativepursuits.

    Understanding Googles business strategy needs a subtle understanding of how the soprejudiced geeks work andpresent themselves. For amedia and technology serviceprovider likeGoogle, the competitorshave always tried todownplaytheroleofGooglesHRdepartmentintheoverallsuccessoftheorganization.ThisisclearfromthescathingcriticismfromSteveBallmer,CEOofMicrosoft Incii.,wherehehasrepeatedlyquestionedandchallengedthebusiness9KeithH.Hammonds;2004;AGooglersAdmission:LifeamidSemantic,Visual,andTechnicalEsoterica;24

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    strategyandmodelofGoogle.They'rereallyjustonebusiness,asearchandadvertisingbusiness.However,thisdoesnotexplainhowGooglewasabletoreachthe$10billionrevenuemarkmuchquickerthanMicrosoft.Theexplanation,asLarryPageputs it inhisofficialblog,comes from the intrinsicGooglesvisionGooglewants itsemployeestobeascommittedtotechnologysolutionsandservicesasthefoundersthemselveswerewhentheywerebusyconceptualizingthisveryvisioninthedormitoriesatStanfordUniversityduringtheircollegedays.Fromprovidingeverythingthattheemployeesneedforthemtofocusoncreativityandinnovation,tohelpingtheseemployeeshavetherightinformationandtherightresourcesfortheirwork,Googlehasalwaysfocussedonthehumancapitalcreationandretention since becoming operational in September 1998. The business strategy for Google is tightly coupled andstronglyreflectedintheircompanysvisionstatement,nowknownasTheTenThings10becauseofthewayGooglewasabletoenvisage,andmoreimportantly,deliver,thisvision.Thisphilosophy11atGooglehasservedastheoperatingguidelinesfortheHumanResourceDepartmentthereinaverybroad and yet amicablemanner. It is clear from this philosophy thatGoogle,when formed,was aimed at creatinginnovativeanduniquesolutionswhichwouldupholdthebrandequityandreputationofthecompanynotbywho itsemployeeswere,andhowdidtheydressandbehave,butratherfromwhethertheproducttheylaunchedinthemarketcoulddeliverwhatitpromisedornot.As a company,Googlewas founded andhas succeededon the shouldersof its innovativeproducts and clutterfreepresentation.Thestrategyhasbeentoprovidetheuseracompletelypreciseandtothepointcustomerexperienceandtoaccept12shorttermlossesoverlongtermgoals.ThefactthatGoogleshomepagealwaysconsistsofexactly37wordsiiiprovesthepoint.The informal structure ofwork setting, the focus on creativity across diverse areas of internet technology, and theperformancedeliverypromisethatGoogleincorporatesinitsvisionistestifiedbythesuccess13ofitsfirstIPOlastyear.However,theinnovativeandnovelmanagementtechniques,theuniquedemographicsofworkforce,andthemarvelofwebservicesthatGooglelauncheseverynowandthenarenotasdistinguishableandcleartoexternalobservers,moreso fromanontechnologybackground.Therigorousaccountability, therelentlessattention todetail,and thecuttingedgeideasarenotthesecretivecomponentsofitssuccess14anymore.However,thewaytheHRfunctionsandpolicieshavealignedthemselveswiththebusinessmodelandvisionmakesGooglethemostexcitingyoungtechnologycompanytoworkforandtodobusinesswith.

    HRasaStrategicPartnerforBusinessHRdepartmentatanyorganizationhasauniquechallenge ithas toensure that theemployeesaremotivatedandcommittedtotheorganizationwithcompleteintegrityandhonesty.However,atthesametime,theHRdepartmenthasto ensure that themarketdynamics arenot adversely affectedby the sheer volumesof investment involved in theprocess.Insomeways,HRdepartmentshouldactasaserviceproviderivfortheemployees,andtreatemployeesasits

    10Foracompletelisting,visittheGooglescorporatewebpageathttp://www.google.com/corporate/tenthings.html11MohitRanka;2007;GoogleDontBeEvil;12Courtesy:UrsHolzle,GoogleFellow;PeoplecometoGoogletosearchtheWeb,andthemainpurposeofthepageistomakesurethatyou'renotdistractedfromthatsearch.Wedon'tshowpeoplethingsthattheyaren'tinterestedin,becauseinthelongterm,thatwillkillyourbusiness.13KeithH.Hammonds;2008;TheIPOthatchangedEverything;514KeithH.Hammonds;2007;HowGoogleGrows...andGrows...andGrows;

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    customer15base treat theemployees the sameway youwould like them to treat their customers, and thewholeparadigmofcustomersatisfactionanddeliverybecomeseasytoadoptandadapt.Thebusinessmodelandstrategyofnotmerelytrying,butactuallydeliveringthebestsolutionhasbeenabenchmarkoftheworkcultureatGoogle.Theworkplacesandofficelocationsallovertheworldarebuiltoversprawlingspaceswhichprovide the employees not onlywith every possible space for creativity and innovation, but also ensures that theemployeesideasaredulyanduncompromisinglystudied,workedon,andacknowledged.RecruitmentandSelectionRecruitmentatGoogleisthefirstandforemoststepintheoverallHRprocesses.WiththereputationandpromisethatGoogleholdsforthousandsoftechnologyprofessionalswhowanttomakeGoogletheirsecondhome,morethan1300ResumesarereceivedeachdaybyGoogle.HiringtherightpeopleisakeyHRphilosophyatGooglethemedianageofemployeesatGoogleis27years,makingittheyoungestworkforceacrosstheindustry.However,theretentionrate,andtheturnoverdataatGoogleprovesthattheorganizationhasbeensuccessfully16abletoattract,retain,andmotivatethemostdifficult cropofemployees theYgeneration cybergenerationprofessionalswhoareprone to changing theiraffiliationsquickerthantheychangetheirclothes.Google hosts many external events throughout the year which reflect a combination of their excellent recruitingpracticesand theirawarenessof the internalculture theywant tomaintain.Theyareexplicitlyseeking toattract thekindsofpeopletothecompanywhowillbesuccessfulintheiropen,collaborativeculture.TrainingandDevelopmentGoogleemployeesareoffered tremendousopportunities to learnandgrow.Professionaldevelopmentopportunitiesoffered to all employees include classes on individual and team presentation skills, content development, businesswriting,executivespeaking,deliveringfeedback,andmanagement/leadership.Freeforeign language lessons, includingFrench,Spanish,Japanese,andMandarinarealsosponsoredbyGoogle.GiventheprominenceofengineersatGoogle,particularattentionispaidtoprovidinguniquedevelopmentopportunitiesforthisgroup.AnEngineeringtraininggroup,engEDU,providesorientationandtrainingclasses,mentoring,careerdevelopment,andtutorialservicesallprogramsbuiltbyandforengineers.GooglehasalsoexpandeditsgloballearninganddevelopmentteamduringthelastyearandiscreatingnewleadershipdevelopmentprogramstohelpdevelopandsupportGooglesfutureleaders.Inasurvey,92%ofemployeesindicatedthattheyareprovidedT&Dtofurtherthemprofessionally,and97%17indicatethattheyaregiventheresourcesandequipmenttodotheirjob.ItismandatoryforallemployeestoundergoT&Dsessionsforaminimumof120hours/year,whichisaboutthreetimestheindustryaverageinNorthAmericaof43hours/year.Thisshowstheamountofeffort,timeandmoneythatGoogleinvestsinitsemployeestokeepthemabreastoftheprofessionalandtechnologicaladvancements.

    15AnuragGupta;2005;DesignEducation:TraditionandModernity;TreatingEmployeesasCustomers:AHumanResourceEquity;79;16Courtesy:GreatPlacetoWorkInstituteInc.,Reporton100BestEmployersof20082008;reproducedunderCreativeCommons;17Courtesy:GreatPlacetoWorkInstituteInc.,Reporton100BestEmployersof20082008;reproducedunderCreativeCommons;

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    InnovationandCreativityThereisastrongcultureofinnovationandexperimentationatGooglewithengineersencouragedvtotake20%oftheirtime todevelopnewproductor serviceofferings,or toprovideenhancements to currentofferings. Innovation frominsidethefirm isthenormformostengineeringbasedsoftwaredevelopmentcompanies.What isuniqueatGoogle isthe supportprovidedby thecompany, thecollaborationamongengineersworkingoneachothersprojects,and thefinalsetofresultsthatGoogleisabletoachievewiththecreativityandexpertiseofitsengineers.SocialGoodGooglehastheinformalcorporatemottoDontbeEvil,whichremindsitsemployeesthatcommitmenttobeethicalispartandparcelofbeingaleaderatGoogle.99%oftheemployeesindicate18that,Managementishonestandethicalinitsbusinesspractices.ThestandardsofconductthatGoogleemployeesadheretoconcern internalbusinesspractices(respectingeachother,protectingconfidentiality,protectingGooglesassets,etc),externalrelationswithcustomersandpartners,andtheimpactonofGoogle'sworkonthelargersociety19.CompensationStructureGoogle stands out as being one of themost sought after and yet one of themost underpaying20 employers in theindustry.However,theHRstrategyfitsperfectlywiththebusinessmodelandvisionatGooglewhereinemployeesareattractednot to theshort termmonetary returns fromwork,but rather to thesupportsystem thatcouldhelp themcreateanything.SotheworkhivesatGooglehavedaycareandeldercarecentres,havespaandhairsalons,carwashandoilcheckfacilities,andvirtuallyeverythingthatatechnologyobsessedgeekwouldliketoworryleastabout,informofanall inclusive liberalbenefitspackage,but theactualtakeoutcashcomponent isnegligible.The innovativeStockOptionsystematGoogleensuresthatallemployeesgetcompensated21competitivelythankstotheremarkableequitygrowthofthecompany.So strong is the work culture and employee committed bent upon technology solutions rather than tangiblecompensationthatGooglebecamethefirstcompanywheretheBoardofDirectorsrequestedforareduction22intheirsalariesandcompensationbecausetheyfelttheyweregettingpaidmoremoneythantheyneeded.Alltheemployeesagreedonthesentiment,and in200506,theemployeesformallydemandedawagecutthemselves.Duringthesameperiod,theturnover23was1.43%.

    GooglePerksandBenefits UnlimitedSickLeave 27daysofpaidtimeoffafteroneyearofemployment Onsite Medical and dental facilities, oil change and car wash, courier, fitness center, banking center, free

    breakfast,lunchanddinneronadailybasis 18weeksofadditionalpaidtimeoffpostmaternityleave;newfatherscantake7weeksoff

    18Courtesy:TrustIndexSurvey,2008;GreatPlacetoWorkInstituteInc.;19ThislaststandardwasamotivatingfactorbehindtheGoogleSolarPanelProjectthelargestsolarpanelinstallationonacorporatecampusintheUnitedStates.OnGoogleswebsitethenumberofkilowatthoursofpowergeneratedintheprevious24hoursisposted,alongwithanindicationofitsequivalentintheuseofcommonhouseholdappliances.20Courtesy:GoogleEmployeeSalariesDataSurvey;mydanwei.com21JohnShinal;2004;SanFranciscoChronicle;GoogleIPOachieveditsmajorgoal:It'sallaboutraisingcashforthecompanyandrewardingemployees,earlyinvestors.22PaulR.LaMonica;2006;CNN;Googleleadersstickwith$1Salary;23Courtesy:TrustIndexSurvey,2006;GreatPlacetoWorkInstituteInc.;

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    AnnualonsiteHealthFairofferingfreetestingservices,includingeyeexamsandcholesteroltesting;alsooffersfreeflushots

    FuelEfficiencyVehicleIncentiveProgramprovidesa$5,000rebatetoemployeespurchasinghybridcarsBestPracticeExamplesCreatingagreatworkplacerequiresmorethanaspecificsetofprogramsandpracticesthereisnoonesetofperksandbenefits thatwork for all.BestCompaniesdevelop theirownunique cultures in theirownways,with the commonfeaturebeingthatemployeesareabletosay"ItrustthepeopleIworkfor,haveprideinwhatIdo,andenjoythepeopleIworkwith."

    Google institutes quarterly companywide strategy sessionswith senior executives and separate sessions toassessthecompanysperformanceduringthepreviousquarter.Thesegatheringsareintendedbothtocelebratetheorganizationsachievementsoverthecourseofthequarterandtointroduceobjectivesforthenewquarter.Opportunities areprovided at these sessions for employees to askquestionsof senior leadership about thecompanysstrategicdirectionandperformance.Functionalteamssupplementvithisallhandssessionwiththeirowndepartmentspecificmeetingsledbyseniormembers.

    Googlerealizesthatnoteveryonefeelscomfortablespeakingup inapublicforum.Thatswhytheyconductaseriesofregularsurveystosolicitinputdirectlyfromemployeesonarangeoftopics.TheannualJobSatisfactionSurvey,theEngineeringTeamsurvey,theSalesTeamSurveyandnumerousothersgatherdatafromemployeesanonymously.Theythendrawonthosefindingstoimproveandshapetheirvariousprograms.Theypublishthehigh level results for allemployees to readon their internalwebsite, andmanagers areexpected todiscussresultswiththeirteams.

    Googlehasaninhousebloggingtoolthatallowsemployeestostarttheirownblogs.Employeescanusetheseblogs to communicatepersonal stories, toprovideworkupdates,or to sharenotes.Theseblogscanonlybeaccessed internally, and these online forums are yet another way that Google encourages crossfunctionalinteractionacrossalllevelsoftheorganization.

    TGIFsareaninformalcompanywideweeklygettogetherwhichincludeapreviewoftheweektocome,arecapoftheweeksbigevents,andaquestionandanswersession.Whileeveryweekisalittledifferent,thehighlightof TGIF is always theQuestion andAnswer section; no question is offlimits. Their teamwebcasts TGIFs toGoogleofficesaroundtheglobeandarchivesthemforthosewhosetimezonesorschedulespreventthemfromattendingthemeetinginperson.SomeofGooglefieldofficeshavetakentohostingtheirownTGIFs,withseniorleaders joiningwhenpossibleeither inpersonorviavideoconference.TheyencourageallGoogleemployees,regardlessoflocation,tosubmitquestionsforTGIFthroughemailiftheycant(oroptnotto)askthequestioninperson.Otheremployeesvoteviionthesequestionssothatthemostrelevantworktheirwaytothetopofthequeue.

    Inaddition tomore formalvenues,Googlesphilosophy is reflected in theirwhiteboardculture.Employeesstartoradd towhiteboarddiscussionson topicsranging from futureGoogleproducts to lifeatGoogle.YoullfindtheseoversizewhiteboardsviiialloverGoogle.

    Employees drive Googles product development process. They first release new products and featuresinternallyix across the company, allowing employees to explore the product and provide feedback to theengineersandmanagerswhodevelopedit.

    Google recognizes that the first fewmonthsofachilds lifeareprecious.TheyprovidemotherswhovebeenwithGoogle forover1 yearwith18weeksofpaidbonding leave to spendwith theirnewborn. Fathers areencouraged tospend7weeksofpaidbonding leavewith theirnewbornduringhis/her firstyear.Tosupport

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    employeeswhiletheybondwiththeirnewborns,Googleprovidesallemployeeswith100%oftheirnormaltakehomepayduringmaternity/paternityleave.

    Googlewantsemployeestomaintainthebestpossiblework/lifebalance,sotheyofferflexibleworkhours,parttimeworkoptions,andtelecommuting ifthespecific joballows.Agenerousvacationpolicy isprovidedandavacationdonationprogram isalsoused toprovideanopportunity foremployees tohelpout their fellowcoworkersduringatimeofneed.Theprogramallowsemployeestovoluntarilydonateaportionoftheiraccruedvacationhourstoanothereligibleemployeeincaseofanemergency.

    While theymaintainmorespecialized learningprograms invirtuallyeverydepartment, theEngineeringgrouphastakenthe ideaofcontinuous learningtonewheightsx.TheEngineeringtraininggroup,orengEDU,aimstoprovideGoogleEngineerswithcompellingeducationalopportunitiesthroughouttheirlivesatGoogle,includingeverythingfromorientationclassestomentoringtocareerdevelopment.

    In2007,GooglekickedofftheirCandidates@Googlespeakerseries, inviting2008Presidentialcandidatestostop by headquarters to speakwith their employees. In addition to these political luminaries,Google hostsregularTechTalkswherespeakersboth internalandexternalpresent their insightson timely topics.Google'sengineering tech talk program is a vital part of their engineering knowledge transfer efforts, and typifiesGoogles culture, which encourages engineers to air their ideas in an arena composed of highly technicalcolleagues,whochallengeeachothertopushtheboundariesoftheirthinking.

    InQ22007,GoogleannouncedanewequityprogramforemployeescalledTransferableStockOptions(TSOs)a firstofitskindprogramdesigned tohelpemployeesderivevalue24 from theiroptionsby selling insteadofexercisingthem.Thegoal isquitesimple,saysDavidRolefson,GooglesDirectorofCompensationPrograms.Itistoincreasetheperceivedvalueoftheoptiontotheemployee.

    GooglemaintainsastrongCodeofConductthatitexpectsallemployeestoadhereto.Toensurethatemployeesfeelsafeinreportinganypotentialviolationofthepolicy,and/oraskingquestionsaboutanactionthatmightbeconstruedtobeaviolation,Googleenforcesastrict"noretaliation"policy.Retaliationforreportingapossibleviolationof theCodeofConduct,otherwisemakingacomplaint regardingapossibleviolationof theCodeorparticipating in any investigation of a possible violation of the Code is strictly prohibited. If a complaint ofretaliation issubstantiated,appropriatedisciplinaryactionwillbetaken,up toand including termination.TheCodeofConduct,andtheNoRetaliationPolicybothservetoupholdstrongethicalbehaviouratGoogle.

    Googleplacesahighvalueontheopinionsofemployees.Anyemployeecanapproachanymanagertodiscussany issue.Theofficialpolicy25 states:Googledesires tomaintaina friendly, cooperativeatmospherebetweenemployeesandalllevelsofmanagement.Consequently,theCompanyprovidesopportunitiesforyoutoexpressyourselfwithout recrimination. If you have a problemwith yourManager that, despite yourmutual efforts,cannotberesolved,youmaydiscussthiswiththenexthigher levelofmanagementorwithHumanResources.YoumayrequestthattheHumanResourcespersonoracoworkeraccompanyyouinanadvisorycapacityinanymeeting.WhileGoogle prides itself on being an open organizationwhere you can approach anymember ofmanagementdirectly,we recommendyou firstattempt to resolve the issue throughyourManagerorHumanResources.Ifnotsatisfied,youmaythencontinuetheprocesswiththesuccessivelevelsuptotheCEO.Concerns,conflictsandcomplaintswillbecarefullyconsideredandfacilitatedpromptly.

    24JohnShinal;2004;SanFranciscoChronicles;GoogleIPOachieveditsmajorgoal:Itsallaboutraisingcashforthecompanyandrewardingemployeesearly;2225Courtesy:GoogleCorpWebsite;2008GoogleInc.;

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    Googleencouragesemployees tovolunteerbyalertingnewGoogleemployees tovolunteeropportunitiesontheirfirstdayatorientation.Oneprogramthatsfrequentlyhighlighted isGoogleGrantsxi,whichdonatesfreeadvertisingservicestoselectnonprofitorganizations.

    Googlehas initiatedanumberofprograms26todotheirparttoreducegreenhousegasemissions,to improveenergyefficiency,andtosupportcleanenergysources.In2007,theyswitchedonthesolarpanelinstallationxiiatitsheadquarters.Moreover, thecompanysbenefitspackage includesasignificant incentive foremployees topurchasepluginhybridcars.

    Eventssuchasseminars,gettogethers,andconferencesatGooglearethemedwithcolourandcreativityandincludethe inspirationand imaginationofeveryengagedemployee.Thisallowsalltheemployeestoattachasenseofbelongingtotheworkplaceaswellastotheevent.

    Overtheyears,Googlehasnurturedaworkculturewhereemployeesaretobequirky27andalittleirreverent.Worldwidethemedxiiispecialdayshelpfostertheirsenseofcommunityandfun.

    ToroundouttheirfirstweekasGoogleemployees,newemployeesarerecognizedatTGIF,GooglesallhandsmeetingheldeveryFridayafternoon.Sitting inareservedsectionatthefrontoftheroom,theywearNooglerhats(brightlycolouredpropellerbeaniesbearingthewordNoogler)andplaquesaroundtheirneckdisplayingfunpersonal triviaof their choosing.At thebeginningof theTGIFprogram,Google founders LarryPageandSergeyBrinleadaroundofapplausetowelcomethenewfolksastheirnamesareprojectedonalargescreen.ForNooglers,thisTGIFrepresentsoneoftheirfirstchancestoexperiencetheteamspiritofGoogle.

    HRStrategyinfluencingBusinessStrategy:AnalternateviewThefactthatGoogleprovidesa20%offtimetoemployeesfortheircreativepursuitsisanHRpracticethathasreapedthemrichrewards.However,thebusinessimplicationsofsuchrewardsareverylimitedxivascomparedtotheirflagshipsearchengineandonlineadvertisingservices.Notwithstanding,theHRdepartmentandtheexecutivesstillcontinuetoencourageemployees for investingeffortand time into suchprojects thebasic idea is that theemployees remainmotivatedandcommittedtoinnovationandnovelty.Theemployeesgetadayeveryweekwheretheycanworkontheirown, and on the rest of theworkweek, get back to their official job description ofwriting complex algorithm andsemanticprograms for their searchengineandAdwords services.The recruitment,on itspart,becomesmuchmorediversewithmoreandmoretalentedminds lookingtoworkforacompanywhichwouldencourageandpaythemfortryingtobuildupatoolwhichmayormaynotcomeoutright.Thisisaverypeculiarcaseofabusinessstrategybeinganoutputofadeliberate28HRstrategy.

    TheChallengeofRecessionRecessionposestheuniquechallengetotheHRdepartment.Googleasanorganizationisbetterequippedtohandletherecession thanmostof itscompetitors simplybecause theemployee satisfactionandcommitmentatGoogle is seenmuchbeyond the compensation structureandpromotion racevoluntary turnoveratGoogle ismuch less than theindustryaverage,andlayoffsthathaveoccurredduringthecurrentandlastquarterhaveonlyaffectedthecontractualpart timeworkers.Moreover,Google is expectedxv to release a hostofproductsover thenext 2quarters, and hasalready invested millions of dollars into acquiring the necessary hardware and satellite systems indicating theconfidenceGooglehasintherelativeimmunityofitsbusinessmodeltorecession.26BradStone;2007;NewYorkTimes;GooglesNextFrontier:RenewableEnergy;27BenElgin;2004;BusinessWeek;Google:WhizKidsorNaughtyBoys?28BrunoGiussani;2006;Googlenonsearch:morebuzzthanhits,butitkeepsemployeeshappy;

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    AdditionalReadingTomPeters;1994;TheTomPetersSeminar:CrazyTimesCallForCrazyOrganizations;Vintage9780679754930;5479;iGooglerecentlymovedtoacustombuiltofficespaceoverlookingDundasSquarefromthesixthflooroftheTorontoLifeSquareComplex,whichisalsothecompanysCanadianheadquarters.Someofthepicturescanbemadeavailableonrequest.iiMicrosoftInc.haslongbeenseenasthebiggestcompetitorofGoogleinthefieldofmediatechnologyservicessuchasinternetsearchengine,emailservices,richmediabrowsers,bloggingandwebmastertools,VoIPtoolsandmessengers,andrevenuegenerationmodels.EventhoughMicrosofthasalwaysdeniedadirectthreatfromGooglesinceMicrosofthasinterestsinalotofsectorsandmarketslikeOperatingSystems,desktopsoftware,offlinetechnologysolutions,etc.,theshareofMicrosoftinthecompetitivelinewithGooglehasbeenrapidlydecreasingovertime.(Source:StephenWellman;2007;TheInformationWeek;Jan25,2007;IsMicrosoftsImpactontheEconomybiggerthanGoogles?;)iii37wordsrequireexactly2bytesofdatatobetransferredacrossanetwork.Anylessnumberofwordswouldwastethedatapacketswhichareusuallytransferredinchunksof2bytesovertheinternetviaTCP/IP.Anygreaternumberofwordswouldrequireanotherdatapackettobetransferred,whichwouldincreasethedatatransmissioncostsattheusersend.Hence,Googlehasalwayskeptitshomepagetobekeptstrictlyto2bytesofdata,eventhoughitcanusethehomepagetodisplayalotofrevenuegeneratingadvertisementslikeitstraditionalcompetitorslikeMicrosoftandYahoo!do.ivTheauthorwroteapaperonHumanResourcesfunctions,andhowHRprofessionalsshouldconsiderandvaluetheemployeesjustastheywouldexpecttheemployeestotreattheorganizationscustomers.ThepaperwaspresentedandpublishedintheannualchapterofInternationalDesignConferenceatNationalInstituteofDesign,Ahmedabad,IndiainMarch2005.ThecompletetextofthepaperisincludedintheAnnualDesignPublicationof2007andispartofthecoursecontentatvariousDesigninstitutesacrosstheworld,mostnotablyPolitecnicodiMilano,Italy,andNationalInstituteofDesign,India.ReferencestothepapermayalsobefoundinpublicationsofAnthroTechSociety.vSomeoftheresultsofthis20%timecanbeseeninthebetaofferingsprovidedtothepublicattheGoogleLabswebsite(labs.google.com)whichshowcasesexperimentsstillbeingevaluatedandthegraduatesproductsandservicesdevelopedinsideGooglethatarenowpartoftheircurrentofferings.SomeofGooglesnewerserviceslikeOrkut,Gmail,AdsenseandGoogleNewshaveoriginatedinsuchindependentendeavours.MarissaMayer,VicePresidentatGoogle,mentionedinaspeechatStanfordUniversitythatmorethanhalfofGooglesnewproductlaunchesoriginatedfromthe20%time.Thecompletevideoisavailableathttp://stanfordonline.stanford.edu/courses/msande472/060517msande472300.asxviForexample,theEngineeringTeamholdsaquarterlyAllHandsMeetingledbytheSeniorVicePresidentofEngineering.TheEngineeringAllHandsspeakstoGooglescorephilosophythatemployeesprefertohearcompanynewsinperson,anddirectlyfromtheirleaders,ratherthanfromananonymouscascadedemailchain.viiTheprocessofvotingisakintotheBusinessphilosophyofdemocraticsystem,whichisalsomentionedinTheTenThings.viiiInadditiontothewhiteboards,employeescanfindsuggestionboxesthroughouttheoffice,wheretheyrefreetoenteranysortofsuggestionfromanewdrinktheywouldlikeavailabletotheirdismayoverthecontinueduseofdisposabledishes.ixInaddition,theyhaveaprogramcalledtheGoogleometerwhichallowspeopletopostideasforchangesandimprovementsatthecompany.Employeescanthenvoteonwhethertheideaisgoodorbadwhichwillmovethesuggestionupthepage.xAgreatexampleistheCodelabtutorialseries,whicharecontinuallyupdatedonlinemodulesdesignedtohelpengineersgetuptospeedonnewGoogletechnologies.Theyhavebroadenedanddeepenedtheirfocusonlearningthroughoutthelastyear.Theyexpandedtheirlearninganddevelopmentmanagementteamworldwide.Moreover,theyhiredanewdirectorwhollbeworkingtocreateGoogleUniversity,acentralizedlearningorganizationdesignedtocoordinatethenumerousofferings,ensurequality,and,overthenextcoupleofyears,expandtherangeofeducationalprogramsoffered.xiGoogleGrantsisaunique,inkindadvertisingprogram,which,byharnessingthepowerofGooglesflagshipadvertisingproduct,GoogleAdwords,enablesnonprofitstobetterengagetheirconstituentsonline.GoogleGrantshasawardedAdWordsadvertisingtohundredsofnonprofitgroupswhosemissionsrangefromanimalwelfaretoliteracy,fromsupportinghomelesschildrentopromotingHIVeducation.xiiAt1.6megawatts(anoutputcapableofpoweringapproximately1,000Californiahomes)Googlesisthelargestsolarinstallationonanycorporatesiteintheworld.xiiiThisisinaccordancewithGooglesbusinessstrategyofconnectingwithvariouscommunitiesacrosstheborder.Everynowandthen,Googleshomepageontheinternethasaspeciallogoandthemebasedonsomesignificantevent,date,season,orfestival.GooglesproductofiGoogleandGmail!Themesarealsobasedonthesameprinciple.xivRecentproductslikeOrkut,GMail,GoogleNews,etc.donotcontributemorethan1%combinedtoGooglesrevenues.99%ofrevenuesarestillgeneratedthroughonlineadvertisements.xvGooglereleaseditslatestversionofGoogleEarthwhileincludesunderwaterimageryinearly2009.