Their products and services include Google Search, Google Chrome, Google Docs, Google Calendar, Google Photos, Google Meet, Google Drive, Gmail, YouTube, ….. The values are “Great isn’t
Trang 1NATIONAL ECONOMICS UNIVERSITY ADVANCED EDUCATIONAL PROGRAM
MID-TERM REPORT
CASE: GOOGLE
Subject: Organizational Behavior
Class: Advanced Finance 62C
Supervisor
:
Assoc Prof., Dr Pham Thi Bich Ngoc
Nguyen Vu Thuy Linh 11205851 Nguyen Nguyet Minh 11206121 Nguyen Phuong Thao 11206947 Hoang Le Anh Tho 11201298
Hanoi, 10/2022
Trang 2TABLE OF CONTENT
PART I: Background 1
1 History 1
2 General information 1
3 Organizational structure 2
4 Google mission, vision & values 2
PART II: Case summary 3
PART III: Answer questions 4
1 Question 1 4
2 Question 2 5
3 Question 3 6
4 Question 4 6
Part VI: Related theory 7
1 Motivation 7
2 Communication 8
Part V: Lessons 9
References 11
Trang 3TABLE OF FIGURES
Figure 1 Google organizational structure 2 Figure 2 Job characteristics model 7
Trang 4PART I: BACKGROUND
1 History
Google was founded on September 4, 1998, by Larry Page and Sergey Brin while they were PhD students at Stanford University in California Together they own about 14% of its publicly listed shares and control 56% of the stockholder voting power through super-voting stock The company went public via an initial public offering (IPO) in 2004 In 2015, Google was reorganized as a wholly owned subsidiary of Alphabet Inc Google is Alphabet's largest subsidiary and is a holding company for Alphabet's Internet properties and interests Sundar Pichai was appointed CEO of Google in
2015, replacing Larry Page, who became the CEO of Alphabet In 2019, Pichai also became the CEO of Alphabet
2 General information
Google is an American multinational technology company that focuses on search engine technology, online advertising, cloud computing, computer software, e-commerce, artificial intelligence, and consumer electronics It has been referred to
as the "most powerful company in the world" and one of the world's most valuable brands due to its market dominance, data collection, and technological advantages in the area of artificial intelligence Their products and services include Google Search, Google Chrome, Google Docs, Google Calendar, Google Photos, Google Meet, Google Drive, Gmail, YouTube, … The company is located across the Americas,
Trang 5Europe, Asia-Pacific, Africa and the Middle East Google is headquartered in Mountain View, California, the US
3 Organizational structure
Google uses a functional structure, where the top management team focuses on employing value-chain activity measures To ease the management of the operations, Google’s management team has subdivided the company into five departments as shown below
Figure 1: Google organizational structure
Each of the departmental heads reports directly to the executive management team, and the team reports to the board of directors The small business units obtain a chance
to innovate and invent things within the larger company The
Trang 6multidivisional structure with small business units facilitates centralized planning for a large company as Google
4 Google mission, vision & values
The mission statement to organize the world's information and make it useful and accessible to all
The vision statement is to provide access to the world’s information in one click
The values are “Great isn’t good enough”, “It’s best to do one thing really well”, “Fast is better than slow”, “You can be serious without a suit”, “You don’t need to be at your desk”,
…
PART II: CASE SUMMARY
While Google has grown exponentially since its founding,
it retains the aura of an informal, small company in which highly motivated Googlers work on projects to achieve organizational objectives of speed and cost-containment, projects that they have the autonomy to pursue and a sense
of ownership to see through to completion Google's executives think that brilliant ideas can arrive from anyone and at any time, thus all Googlers are encouraged to come up with their next big idea They are all granted one day per week to engage on their own projects or products in which they are deeply involved; also, top management hold office hours during which employees can drop in to discuss new ideas and projects, as well as receive feedback Googlers are motivated to have such a mantra since they know their ideas
Trang 7Discover more
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Trang 8will be listened to and heard, and what they are doing is
critical not only for the firm but also for Google's global users
The Ramussen brothers are an identical example of
management offering greater levels of autonomy and
resources to pursue initiatives on their own that are highly
inventive Their ideas for a new type of communication
system are given full access to all necessary resources,
including dozens of employees, by founders Page and Brin, as
well as Eric, Chairman of the Board and Chief Executive
Officer As a result, Googler's overarching goal of "providing
the best user experience possible" benefits the company, its
management and staff, as well as users
The report will explain why Google's employee
motivation model works so well in two important areas:
motivation and communication
PART III: ANSWER QUESTIONS
1 How would you characterize engineers' jobs at Google
in terms of the job characteristics model?
Developed by Hackman and Oldman, the Job
Characteristic Model identifies five core characteristics that
affect the overall motivation shown by employees These five
core characteristics which affect intrinsic motivation are skills
variety, task significance, task identity, autonomy, and
feedback
Expectancy theory
Organizational Behavior 100% (3)
1
Trang 9To begin with, the skill Variety model means a person has many different skills and talents to finish the job For example, in order to achieve organizational objectives of speed and cost-containment of a project, Google engineers with PhDs and managers with MBAs are participating in this project that ensures the project is the best
The Task Identity model shows a clearly defined beginning, middle, and end to a given task For example, Google's engineers are provided with 1 day a week to work
on their own projects The Task Significance model indicates a substantial impact on the work For instance, Mayer puts it, "I like to launch (products) early and often That has become
my mantra." And having such a mantra is motivational for Googlers as they know their ideas will be listened to and heard and what they are doing is important not only for the company but also for users around the globe
At Google, autonomy, feedback, and task identity are the most important dimensions considered in each task According to Hisham and Aerni (2018), autonomy refers to the level of freedom an employee has toward completing a certain task This means that the specific worker has control over the scheduling of the work, the procedure of completing the task, and the discretion they have towards the assignment At Google, autonomy is highly valued, with each employee having a day to complete tasks of their wish Finally, the feedback model means their performance during their work whether or not to communicate For
Trang 10example, top managers have office hours during which employees can drop in, discuss new ideas and projects, and receive feedback
2 Why are engineers at Google given one day a week to work on their own projects?
Google has been well known for its unique approach to innovation – from its open culture, its radical work environment in its Googleplex campus to its methods for innovation One of its best-known innovation mechanisms was its policy of ' 20% time' which allowed its engineers to spend 20% of their time on personal projects
Google engineers get one day a week to work on their own projects that they are very involved in Google ‘20% time’ resulted in some of the company’s most successful products such as Gmail, AdSense and Google Talk Google’s founders Larry Page and Sergey Brin highlighted the importance of this management method in a Founders’ IPO letter to prospective investors in 2004: “We encourage our employees, in addition to their regular projects, to spend 20%
of their time working on what they think will most benefit Google,” the pair wrote “This empowers them to be more creative and innovative Many of our significant advances have happened in this manner.”
On a company-wide mailing list, Googlers can submit proposals for new projects Employees can visit top managers' offices during office hours to discuss new projects and ideas and get feedback Peer support for an idea is
Trang 11certainly an important criterion in evaluating an idea’s business potential
These projects often require a variety of employee skills For example, Google's international webmaster in the mid-2000s, who invented the site's holiday logo, translated the entire site into Korean, and the chief operations engineer at the time was also a neurosurgeon Engineers work together
on their projects and with managers
3 Why do you think Page, Brin, and Schmidt gave the Rasmussen brother's high levels of autonomy to develop Google Wave?
Some engineers at Google have been given higher levels
of autonomy and resources to pursue projects on their own that managers hope will be highly innovative For example, Lars and Jens Rasmussen are Google employees in Australia who work on Google Maps and also happen to be brothers A project they were pursuing on the side focused on a new kind
of communication system that might even be thought of as a replacement or substitute for email and allows for collaboration and communication in real time
Founders Page and Brin and Eric Schmidt, Chairman of the Board and Chief Executive Officer of Google, thought the idea sounded interesting, told the brothers to pursue it, and gave them all the resources they needed, including dozens of employees Rasmussen’s project, Google Wave, was in a limited preview in May 2010 For this and the many other projects ongoing at Google, engineers, managers, and all
Trang 12employees have the overall objective of “providing the best user experience possible.” Given the popularity of Google, this objective is serving Google, its managers and employees, and its users very well
4 How might Google's overarching objective of providing the best user experience influence the goals engineers set for themselves as they pursue new projects?
Google needs to retain its original spirits and continue developing the five models of job characteristics
For instance, Google gives engineers higher levels of autonomy and resources so that they can pursue projects on their own that managers hope will be highly innovative And Google recruits new employees with different kinds of skills in the future Google creates a motivating work setting for its employees They can achieve their goal of providing excellent service to Google's managers, employees, and users
Part IV: RELATED THEORY
Through the article about the working environment of Google, we can see the effects of motivation and communication on the behavior as well as the relationship between managers and employees when operating the company together
1 Motivation
It can be seen that Google managers have created motivation by encouraging their employees to work efficiently
Trang 13and quickly so that they can respond to users' searches with
"breakneck speed" First, they gave employees a sense of involvement and voice in the work environment by providing them with opportunities to adapt, experiment, take risks, and even fail (Safety-security and Social-belongingness) When Googlers have been encouraged to fail so that they can learn and gain experiences, they automatically have bigger, more creative thoughts and ideas, and have more "courage" to express their own opinions with colleagues as well as managers
In addition to other company jobs in general, Google engineers are given one day a week to develop their projects and these ideas will be included in the mailing list and sent to other employees in the future Google This can help Googlers build their Esteem, they know that their opinions are known
to everyone and have a potential to be built on a platform that can be developed in the future After the projects are effectively implemented, this can help not only the Googler who came up with that idea to "find" his capacity (Self-actualization), but also create a motivation for other employees so that Google is always innovating with ideas that are relevant to the situation around the world as well as making full use of the company's resources Motivations from managers will help Googlers have a healthy working environment, good work experience as well as achieve high job satisfaction (according to Job characteristics model)
Trang 142 Communication
As a big company specializing in providing information around the world, so the information system inside Google is also extremely enormous Therefore, to be able to create a connection between people, communication in this working environment is also extremely important As we already knew, Google has a company-wide email system to help employees get the latest information and learn more about the projects and ideas of their colleagues, this is highly connected when everyone can share freely and easily while working From here, the relationships between Googlers can
be more cohesive when everyone respects each other's