Facts

Microsoft had become the worlds largest software manufacturer employing 20,000 people worldwide. The average age of its employees is about thirty-four a figure that has inched up gradually over the years. Bill Gates prefers freshly minted college graduates because young people are willing to learn. Hes fond of challenging his employees with tough questions and expects quick answers. He expects his employees to be able to work as part of a team because Microsoft is structured around teams. Microsoft feels entrepreneurial to employees. The ideas are bottoms up. Its not dictated by senior management. The Microsoft Diversity Advisory Council ensures that the company addresses their diverse concerns by offering training, resources, and support to employee groups such as Blacks at Microsoft; Chinese at Microsoft; Gay, Lesbians, and Bisexuals at Microsoft; Microsofts Womens Group; Jews at Microsoft; Microsoft Grupo IberoAmericano; and Native Americans at Microsoft. These groups serve employees needs. People at Microsoft tend to reach far beyond the corporate campus to make a difference.

Answers
1. The working style at Microsoft is such that the employees get freedom and are empowered by the company. Also, the employees get a chance to enhance their skills due to the continuous challenges assigned by the organization. Thus, the new generation employees will approve of the management style adopted by Microsoft just like the earlier generations did. The current approach Gates has undertaken is that of hiring graduates fresh out of college and the best of the lot in terms of knowledge and coding skills. Then the organization, with its bottom up approach empowers them to be like entrepreneurs in their own department. Also, given that no differentiation is made between employees based on gender, colour or caste; the new generation employees will find it simple to relate with this working style of the organization. Bill should stick to his current approach of hiring because it ensures the employees are from all age groups, because the graduates will bring with them a pool of new ideas and the existing employees have years of experience behind them. This process will not necessarily rise the average age of employees if the correct composition of people hired is maintained. 2. There are various qualities that a person who is hired by Microsoft should possess. The most important among the competencies that the employees should have are listed below:

Smartness: The employees need to be smart to get hired by Microsoft. Smartness is one of the essential qualities to get a job at Microsoft. Communication Skills: Employees need to have good communication skills and communicate their thoughts and ideas fluently and persuasively. Persuasive in selling ideas: Bill Gates looks for employees who are persuasive and effective in selling their ideas. Only having a great idea is not enough but the idea also needs to be presented and sold properly. Team Member: Team work is essential at Microsoft. Hence employees need to bes a good team player and comfortable working in group. Microsoft works in teams and an employee needs to habituate himself/herself in working with people and give great output and contribute to the team. Responsibility: The employee is responsible for the costs he incurs for the organisation. Bill Gates also empowers his employees and gives them freedom.
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 Ready to learn: The employees should be ready to learn and grow as it is essential to come out with innovative products. Quick Witted: Bill Gates loves to challenge his employees and throws questions at them and expects quick answers from them. So employees need to be quick witted.

3. It is a well-known fact that as a firm grows, it faces many hurdles with respect to various fields of work. The person who has to look into all the problems and find solutions is generally the manager. Thus, in our opinion, the Two significant challenges faced by the managers of Microsoft are as listed below:

With the increase in the number of players in the software industry, there is going to be immense competition from different companies. This causes unrest in the market due to varied quality and prices of similar products. All companies, including the giants in the software field have to find innovative ways to market their products in the market. Along with the increase in competition in terms of products, there will be unrest in the employees when it comes to the salary, perks etc. given by the company. This has to be looked into by the manager of the company. The manager thus has to deal with both these aspects, namely product competition as well as ensuring that the employees do not abandon Microsoft for competitors.

The company Microsoft believes in hiring the wittiest of the lot. Thus, the manager faces the challenge of dealing with all the smart people in one organization. The Manager has to ensure that all the employees work in coordination with each other. Also handling the employees egos such that it does not interfere with the smooth working of the organization. Innovation is one factor that the company believes in, and it is important for the Manager to ensure that the best in all employees is brought out. Thus, the second challenge for the Manager of Microsoft is to handle the employees, i.e. peoples management.