Introduction

Managing human resources effectively has become vital to organizations within the modern and fastpaced business
environment, more so as the economy the world over converge into a synapse of globally connected and
interdependent sectors aimed at preserving and creating knowledge1 rather than products and services alone. The
noveltyinthemarkettodaydemandsinnovation2andtrust3morethanmerecomparativeanalysisofsalesandmarket
share,andthehierarchyofthecentreandperipherymodelisevolvingintoadifferentparadigm.

HumanResourcesspecialistsaremoreimportantinbusinessstrategiestodayforthisverychangeinmarketdynamics
moresointhepresenteconomicsituationofaglobalrecessionanddownturnacrossindustriesandsectors.Thefocus
hasturnedonHRDepartmentateveryorganizationthesurvivallinesarerunningdrierwitheverypassingweekatthe
tradingmarketstheworldover,andtheaimisnotonlytoseethroughtherecession,butmoreimportantly4,toensure
employees are still committed to the organization. HR development acts as the mentor5 to its employees guiding,
trainingandeducatingtheminthewayoftheindustryandtheorganization.Welltrainedandcompetentemployees,
who are able to showcase themselves and their organization to the customers in a more effective manner, help in
increasingcustomersatisfactionandoverallclientele,byaddingcredibilityandreputationtothebusiness.EffectiveHR
planning and development practices6 bring quality and loyal workers who are committed and passionate about the
successoftheirorganization.

GoogleInc.,the9yearoldtechnologyserviceproviderbasedinMountainView,California,wasvoted7thenumberone
BestCompanytoWorkforinAmericaforthesecondyearinarowbyitsemployees.Itisthebiggest8brandnameinthe
worldtodayabrandthatisbuiltuponaculturethatishighontrust,lowonpolitics,greatatsharingresourcesand
sharingthewealth,andfullofmeaningandsignificance.However,besidestheusualandmuchpublicizedremuneration
package and plush offices, deeper and more thoughtful set of factors have been identified and acknowledged by
consultingfirmsandemployeesalikeonwhyitissuchanattractiveorganizationtoworkfor.

Industry MediaandInternetServices
Headquarters MountainView,California
CEO Dr.EricSchmidt
Founded 1998
TickerSymbol GOOG
Website www.google.com
JobApplicants 761,799
Training 120hours/week
VoluntaryTurnover(FT) 4.3%
February18,2009

1
JHDunnning;2000;Regions,Globalization,andKnowledgeBasedEconomy;136138;
2
WCKim,RMauborgne;1999;SloanManagementReview;Strategy,Value,Innovation,andtheKnowledgeEconomy;4;
3
PSAdler;2003;Market,Hierarchy,andTrust:TheKnowledgeEconomyandtheFutureofCapitalism;
4
GEbadan,DWinstanley;1997;HumanResourceManagementJournalBlackwellSynergy;Downsizing,DelayeringandCareers
Thesurvivorsperspective;7984;
5
ArnoldoC.Hax;1987;OxfordUniversityPress,NewYork;PlanningStrategiesThatWork;
6
AnnMirel;2008;DevelopmentandStrategiesforHumanResourceDevelopment;48;
7
Courtesy:GreatPlacetoWorkInstituteInc.
8
Courtesy:MillwardBrownOptimor;2008;Top100MostPowerfulBrands08;
1
PreparedbyAnuragGupta
anurag_morris@hotmail.com
 OrganizationalGoalandVision
The work culture and employee empowerment philosophy at Google was apparent from the day the company was
launchedin1998.Thefounders,LarryPageandSergeyBrin,wantedtoestablishGoogleasacompanythatwastobe
seenasacompanyrunbythegeeks.TheHRDepartment,initsalignmentwiththebusinessstrategyoftryingtoattract
the best minds across the globe to work for Google, has since always aimed to become the strategic partner to the
businessoperations.

BusinessStrategicModel
As an organization, Google and its employees take pride in being regarded as geeks. In fact, one of the banners that
greets you as you enter Googles Toronto Officei reads proud to be geeks. How this very philosophy dictates their
businessstrategycanbeunderstoodfromthefactthatLarryPageonceremarkedthatGooglewascomprisedofpeople
withfrighteninglysinglemindedfocus.Googleofficesareseennotaslocationswherepeoplegotowork,butratheras
dreamhousesforthesegeekstoretiretowhentheywanttocreatesomethinginnovativeandstateoftheart.

Four years ago, the average search took about 3 seconds. Today, it is down to about 0.2 seconds. And since 0.2 is
greaterthanzero,itsnotfastenough.AsmallstatementfromPeterNorvig,anengineeratGoogle,tellsthetaleofthe
work culture and employee commitment at Google the employees dont need the next deadline or next project
proposal to work on creating something, but rather an intrinsic9 challenge a challenge that could be driven by self
benchmarks, or by peer influence, or simply, the quest for solving something. As a company, Google completely
understandsthatsuchisthenatureofdevotedandcommittedgeeksandprovideseverythingthatispossibletokeep
thesegeeksmotivatedtoworkonnovelandcreativepursuits.
February18,2009

Understanding Googles business strategy needs a subtle understanding of how the soprejudiced geeks work and
present themselves. For a media and technology service provider like Google, the competitors have always tried to
downplaytheroleofGooglesHRdepartmentintheoverallsuccessoftheorganization.Thisisclearfromthescathing
criticismfromSteveBallmer,CEOofMicrosoftIncii.,wherehehasrepeatedlyquestionedandchallengedthebusiness

9
KeithH.Hammonds;2004;AGooglersAdmission:LifeamidSemantic,Visual,andTechnicalEsoterica;24
2
PreparedbyAnuragGupta
anurag_morris@hotmail.com
 strategyandmodelofGoogle.They'rereallyjustonebusiness,asearchandadvertisingbusiness.However,thisdoes
notexplainhowGooglewasabletoreachthe$10billionrevenuemarkmuchquickerthanMicrosoft.

The explanation, as Larry Page puts it in his official blog, comes from the intrinsic Googles vision Google wants its
employeestobeascommittedtotechnologysolutionsandservicesasthefoundersthemselveswerewhentheywere
busyconceptualizingthisveryvisioninthedormitoriesatStanfordUniversityduringtheircollegedays.Fromproviding
everythingthattheemployeesneedforthemtofocusoncreativityandinnovation,tohelpingtheseemployeeshavethe
rightinformationandtherightresourcesfortheirwork,Googlehasalwaysfocussedonthehumancapitalcreationand
retention since becoming operational in September 1998. The business strategy for Google is tightly coupled and
stronglyreflectedintheircompanysvisionstatement,nowknownasTheTenThings10becauseofthewayGooglewas
abletoenvisage,andmoreimportantly,deliver,thisvision.

Thisphilosophy11atGooglehasservedastheoperatingguidelinesfortheHumanResourceDepartmentthereinavery
broad and yet amicable manner. It is clear from this philosophy that Google, when formed, was aimed at creating
innovativeanduniquesolutionswhichwouldupholdthe brand equityandreputationofthe companynotbywho its
employeeswere,andhowdidtheydressandbehave,butratherfromwhethertheproducttheylaunchedinthemarket
coulddeliverwhatitpromisedornot.

As a company, Google was founded and has succeeded on the shoulders of its innovative products and clutterfree
presentation.Thestrategyhasbeentoprovidetheuseracompletelypreciseandtothepointcustomerexperience
andtoaccept12shorttermlossesoverlongtermgoals.ThefactthatGoogleshomepagealwaysconsistsofexactly37
wordsiiiprovesthepoint.

The informal structure of work setting, the focus on creativity across diverse areas of internet technology, and the
performancedeliverypromisethatGoogleincorporatesinitsvisionistestifiedbythesuccess13ofitsfirstIPOlastyear.
However,theinnovativeandnovelmanagementtechniques,theuniquedemographicsofworkforce,andthemarvelof
webservicesthatGooglelauncheseverynowandthenarenotasdistinguishableandcleartoexternalobservers,more
so froma nontechnology background. The rigorous accountability, the relentless attention to detail, and the cutting
edgeideasarenotthesecretivecomponentsofitssuccess14anymore.However,thewaytheHRfunctionsandpolicies
havealignedthemselveswiththebusinessmodelandvisionmakesGooglethemostexcitingyoungtechnologycompany
toworkforandtodobusinesswith.

HRasaStrategicPartnerforBusiness
HR department at any organization has a unique challenge it has to ensure that the employees are motivated and
committedtotheorganizationwithcompleteintegrityandhonesty.However,atthesametime,theHRdepartmenthas
to ensure that the market dynamics are not adversely affected by the sheer volumes of investment involved in the
February18,2009

process.Insomeways,HRdepartmentshouldactasaserviceproviderivfortheemployees,andtreatemployeesasits

10
Foracompletelisting,visittheGooglescorporatewebpageathttp://www.google.com/corporate/tenthings.html
11
MohitRanka;2007;GoogleDontBeEvil;
12
Courtesy:UrsHolzle,GoogleFellow;PeoplecometoGoogletosearchtheWeb,andthemainpurposeofthepageistomake
surethatyou'renotdistractedfromthatsearch.Wedon'tshowpeoplethingsthattheyaren'tinterestedin,becauseinthelong
term,thatwillkillyourbusiness.
13
KeithH.Hammonds;2008;TheIPOthatchangedEverything;5
14
KeithH.Hammonds;2007;HowGoogleGrows...andGrows...andGrows;
3
PreparedbyAnuragGupta
anurag_morris@hotmail.com
 customer15 base treat the employees the same way you would like them to treat their customers, and the whole
paradigmofcustomersatisfactionanddeliverybecomeseasytoadoptandadapt.

Thebusinessmodelandstrategyofnotmerelytrying,butactuallydeliveringthebestsolutionhasbeenabenchmarkof
theworkcultureatGoogle.Theworkplacesandofficelocationsallovertheworldarebuiltoversprawlingspaceswhich
provide the employees not only with every possible space for creativity and innovation, but also ensures that the
employeesideasaredulyanduncompromisinglystudied,workedon,andacknowledged.

RecruitmentandSelection
RecruitmentatGoogleisthefirstandforemoststepintheoverallHRprocesses.Withthereputationandpromisethat
GoogleholdsforthousandsoftechnologyprofessionalswhowanttomakeGoogletheirsecondhome,morethan1300
ResumesarereceivedeachdaybyGoogle.HiringtherightpeopleisakeyHRphilosophyatGooglethemedianageof
employeesatGoogleis27years,makingittheyoungestworkforceacrosstheindustry.However,theretentionrate,and
theturnoverdataatGoogleprovesthattheorganizationhasbeensuccessfully16abletoattract,retain,andmotivatethe
most difficult crop of employees the Y generation cybergeneration professionals who are prone to changing their
affiliationsquickerthantheychangetheirclothes.

Google hosts many external events throughout the year which reflect a combination of their excellent recruiting
practices and their awareness of the internal culture they want to maintain. They are explicitly seeking to attract the
kindsofpeopletothecompanywhowillbesuccessfulintheiropen,collaborativeculture.

TrainingandDevelopment
Google employees are offered tremendous opportunities to learn and grow. Professional development opportunities
offered to all employees include classes on individual and team presentation skills, content development, business
writing,executivespeaking,deliveringfeedback,andmanagement/leadership.Freeforeignlanguagelessons,including
French,Spanish,Japanese,andMandarinarealsosponsoredbyGoogle.GiventheprominenceofengineersatGoogle,
particularattentionispaidtoprovidinguniquedevelopmentopportunitiesforthisgroup.

AnEngineeringtraininggroup,engEDU,providesorientationandtrainingclasses,mentoring,careerdevelopment,and
tutorialservicesallprogramsbuiltbyandforengineers.Googlehasalsoexpandeditsgloballearninganddevelopment
teamduringthelastyearandiscreatingnewleadershipdevelopmentprogramstohelpdevelopandsupportGoogles
futureleaders.Inasurvey,92%ofemployeesindicatedthattheyareprovidedT&Dtofurtherthemprofessionally,and
97%17indicatethattheyaregiventheresourcesandequipmenttodotheirjob.

ItismandatoryforallemployeestoundergoT&Dsessionsforaminimumof120hours/year,whichisaboutthreetimes
theindustryaverageinNorthAmericaof43hours/year.Thisshowstheamountofeffort,timeandmoneythatGoogle
investsinitsemployeestokeepthemabreastoftheprofessionalandtechnologicaladvancements.
February18,2009

15
AnuragGupta;2005;DesignEducation:TraditionandModernity;TreatingEmployeesasCustomers:AHumanResourceEquity;7
9;
16
Courtesy:GreatPlacetoWorkInstituteInc.,Reporton100BestEmployersof20082008;reproducedunderCreative
Commons;
17
Courtesy:GreatPlacetoWorkInstituteInc.,Reporton100BestEmployersof20082008;reproducedunderCreative
Commons;
4
PreparedbyAnuragGupta
anurag_morris@hotmail.com
 InnovationandCreativity
ThereisastrongcultureofinnovationandexperimentationatGooglewithengineersencouragedvtotake20%oftheir
time to develop new product or service offerings, or to provide enhancements to current offerings. Innovation from
insidethefirmisthenormformostengineeringbasedsoftwaredevelopmentcompanies.WhatisuniqueatGoogleis
the support provided by the company, the collaboration among engineers working on each others projects, and the
finalsetofresultsthatGoogleisabletoachievewiththecreativityandexpertiseofitsengineers.

SocialGood
GooglehastheinformalcorporatemottoDontbeEvil,whichremindsitsemployeesthatcommitmenttobeethicalis
partandparcelofbeingaleaderatGoogle.99%oftheemployeesindicate18that,Managementishonestandethicalin
itsbusinesspractices.ThestandardsofconductthatGoogleemployeesadheretoconcerninternalbusinesspractices
(respectingeachother,protectingconfidentiality,protectingGooglesassets,etc),externalrelationswithcustomersand
partners,andtheimpactonofGoogle'sworkonthelargersociety19.

CompensationStructure
Google stands out as being one of the most sought after and yet one of the most underpaying20 employers in the
industry.However,theHRstrategyfitsperfectlywiththebusinessmodelandvisionatGooglewhereinemployeesare
attracted not to the short term monetary returns from work, but rather to the support system that could help them
createanything.SotheworkhivesatGooglehavedaycareandeldercarecentres,havespaandhairsalons,carwash
andoilcheckfacilities,andvirtuallyeverythingthatatechnologyobsessedgeekwouldliketoworryleastabout,inform
ofanallinclusiveliberal benefits package,but the actualtakeoutcash componentisnegligible.TheinnovativeStock
OptionsystematGoogleensuresthatallemployeesgetcompensated21competitivelythankstotheremarkableequity
growthofthecompany.

So strong is the work culture and employee committed bent upon technology solutions rather than tangible
compensationthatGooglebecamethefirstcompanywheretheBoardofDirectorsrequestedforareduction22intheir
salariesandcompensationbecausetheyfelttheyweregettingpaidmoremoneythantheyneeded.Alltheemployees
agreedonthesentiment,andin200506,theemployeesformallydemandedawagecutthemselves.Duringthesame
period,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
February18,2009

18
Courtesy:TrustIndexSurvey,2008;GreatPlacetoWorkInstituteInc.;
19
ThislaststandardwasamotivatingfactorbehindtheGoogleSolarPanelProjectthelargestsolarpanelinstallationona
corporatecampusintheUnitedStates.OnGoogleswebsitethenumberofkilowatthoursofpowergeneratedintheprevious24
hoursisposted,alongwithanindicationofitsequivalentintheuseofcommonhouseholdappliances.
20
Courtesy:GoogleEmployeeSalariesDataSurvey;mydanwei.com
21
JohnShinal;2004;SanFranciscoChronicle;GoogleIPOachieveditsmajorgoal:It'sallaboutraisingcashforthecompanyand
rewardingemployees,earlyinvestors.
22
PaulR.LaMonica;2006;CNN;Googleleadersstickwith$1Salary;
23
Courtesy:TrustIndexSurvey,2006;GreatPlacetoWorkInstituteInc.;
5
PreparedbyAnuragGupta
anurag_morris@hotmail.com
 AnnualonsiteHealthFairofferingfreetestingservices,includingeyeexamsandcholesteroltesting;alsooffers
freeflushots
FuelEfficiencyVehicleIncentiveProgramprovidesa$5,000rebatetoemployeespurchasinghybridcars

BestPracticeExamples
Creatingagreatworkplacerequiresmorethanaspecificsetofprogramsandpracticesthereisnoonesetofperksand
benefits that work for all. Best Companies develop their own unique cultures in their own ways, with the common
featurebeingthatemployeesareabletosay"ItrustthepeopleIworkfor,haveprideinwhatIdo,andenjoythepeopleI
workwith."

Google institutes quarterly companywide strategy sessions with senior executives and separate sessions to
assessthecompanysperformanceduringthepreviousquarter.Thesegatheringsareintendedbothtocelebrate
theorganizationsachievementsoverthecourseofthequarterandtointroduceobjectivesforthenewquarter.
Opportunities are provided at these sessions for employees to ask questions of senior leadership about the
companysstrategicdirectionandperformance.Functionalteamssupplementvithisallhandssessionwiththeir
owndepartmentspecificmeetingsledbyseniormembers.
Googlerealizesthatnoteveryonefeelscomfortablespeakingupinapublicforum.Thatswhytheyconducta
seriesofregularsurveystosolicitinputdirectlyfromemployeesonarangeoftopics.TheannualJobSatisfaction
Survey,theEngineeringTeamsurvey,theSalesTeamSurveyandnumerousothersgatherdatafromemployees
anonymously.Theythendrawonthosefindingstoimproveandshapetheirvariousprograms.Theypublishthe
high level results for all employees to read on their internal website, and managers are expected to discuss
resultswiththeirteams.
Googlehasaninhousebloggingtoolthatallowsemployeestostarttheirownblogs.Employeescanusethese
blogs to communicate personal stories, to provide work updates, or to share notes. These blogs can only be
accessed internally, and these online forums are yet another way that Google encourages crossfunctional
interactionacrossalllevelsoftheorganization.
TGIFsareaninformalcompanywideweeklygettogetherwhichincludeapreviewoftheweektocome,arecap
oftheweeksbigevents,andaquestionandanswersession.Whileeveryweekisalittledifferent,thehighlight
of TGIF is always the Question and Answer section; no question is offlimits. Their team webcasts TGIFs to
Googleofficesaroundtheglobeandarchivesthemforthosewhosetimezonesorschedulespreventthemfrom
attendingthemeetinginperson.SomeofGooglefieldofficeshavetakentohostingtheirownTGIFs,withsenior
leadersjoiningwhenpossibleeitherinpersonorviavideoconference.TheyencourageallGoogleemployees,
regardlessoflocation,tosubmitquestionsforTGIFthroughemailiftheycant(oroptnotto)askthequestionin
person.Otheremployeesvoteviionthesequestionssothatthemostrelevantworktheirwaytothetopofthe
queue.
In addition to more formal venues, Googles philosophy is reflected in their whiteboard culture. Employees
February18,2009

start or add to whiteboard discussions on topics ranging from future Google products to life at Google. Youll
findtheseoversizewhiteboardsviiialloverGoogle.
Employees drive Googles product development process. They first release new products and features
internallyix across the company, allowing employees to explore the product and provide feedback to the
engineersandmanagerswhodevelopedit.
Google recognizes that the first few months of a childs life are precious. They provide mothers whove been
with Google for over 1 year with 18 weeks of paid bonding leave to spend with their newborn. Fathers are
encouraged to spend 7 weeks of paid bonding leave with their newborn during his/her first year. To support

6
PreparedbyAnuragGupta
anurag_morris@hotmail.com
 employeeswhiletheybondwiththeirnewborns,Googleprovidesallemployeeswith100%oftheirnormaltake
homepayduringmaternity/paternityleave.
Googlewantsemployeestomaintainthebestpossiblework/lifebalance,sotheyofferflexibleworkhours,part
timeworkoptions,andtelecommutingifthespecificjoballows.Agenerousvacationpolicyisprovidedanda
vacation donation program is also used to provide an opportunity for employees to help out their fellow co
workersduringatimeofneed.Theprogramallowsemployeestovoluntarilydonateaportionoftheiraccrued
vacationhourstoanothereligibleemployeeincaseofanemergency.
While they maintain more specialized learning programs in virtually every department, the Engineering group
hastakentheideaofcontinuouslearningtonewheightsx.TheEngineeringtraininggroup,orengEDU,aimsto
provideGoogleEngineerswithcompellingeducationalopportunitiesthroughouttheirlivesatGoogle,including
everythingfromorientationclassestomentoringtocareerdevelopment.
In2007,GooglekickedofftheirCandidates@Googlespeakerseries,inviting2008Presidentialcandidatesto
stop by headquarters to speak with their employees. In addition to these political luminaries, Google hosts
regular Tech Talks where speakers both internal and external present their insights on timely topics. Google's
engineering tech talk program is a vital part of their engineering knowledge transfer efforts, and typifies
Googles culture, which encourages engineers to air their ideas in an arena composed of highly technical
colleagues,whochallengeeachothertopushtheboundariesoftheirthinking.
InQ22007,GoogleannouncedanewequityprogramforemployeescalledTransferableStockOptions(TSOs)
a firstofitskind program designed to help employees derive value24 from their options by selling instead of
exercisingthem.Thegoalisquitesimple,saysDavidRolefson,GooglesDirectorofCompensationPrograms.
Itistoincreasetheperceivedvalueoftheoptiontotheemployee.
GooglemaintainsastrongCodeofConductthatitexpectsallemployeestoadhereto.Toensurethatemployees
feelsafeinreportinganypotentialviolationofthepolicy,and/oraskingquestionsaboutanactionthatmightbe
construedtobeaviolation,Googleenforcesastrict"noretaliation"policy.Retaliationforreportingapossible
violation of the Code of Conduct, otherwise making a complaint regarding a possible violation of the Code or
participating in any investigation of a possible violation of the Code is strictly prohibited. If a complaint of
retaliationis substantiated,appropriatedisciplinary actionwillbetaken,up toandincluding termination.The
CodeofConduct,andtheNoRetaliationPolicybothservetoupholdstrongethicalbehaviouratGoogle.
Googleplacesahighvalueontheopinionsofemployees.Anyemployeecanapproachanymanagertodiscuss
any issue. The official policy25 states: Google desires to maintain a friendly, cooperative atmosphere between
employeesandalllevelsofmanagement.Consequently,theCompanyprovidesopportunitiesforyoutoexpress
yourself without recrimination. If you have a problem with your Manager that, despite your mutual efforts,
cannotberesolved,youmaydiscussthiswiththenexthigherlevelofmanagementorwithHumanResources.
YoumayrequestthattheHumanResourcespersonoracoworkeraccompanyyouinanadvisorycapacityinany
meeting. While Google prides itself on being an open organization where you can approach any member of
February18,2009

management directly, we recommend you first attempt to resolve the issue through your Manager or Human
Resources.Ifnotsatisfied,youmaythencontinuetheprocesswiththesuccessivelevelsuptotheCEO.Concerns,
conflictsandcomplaintswillbecarefullyconsideredandfacilitatedpromptly.

24
JohnShinal;2004;SanFranciscoChronicles;GoogleIPOachieveditsmajorgoal:Itsallaboutraisingcashforthecompanyand
rewardingemployeesearly;22
25
Courtesy:GoogleCorpWebsite;2008GoogleInc.;
7
PreparedbyAnuragGupta
anurag_morris@hotmail.com
 Google encourages employees to volunteer by alerting new Google employees to volunteer opportunities on
theirfirstdayatorientation.OneprogramthatsfrequentlyhighlightedisGoogleGrantsxi,whichdonatesfree
advertisingservicestoselectnonprofitorganizations.
Googlehasinitiatedanumberofprograms26todotheirparttoreducegreenhousegasemissions,toimprove
energyefficiency,andtosupportcleanenergysources.In2007,theyswitchedonthesolarpanelinstallationxiiat
its headquarters. Moreover, the companys benefits package includes a significant incentive for employees to
purchasepluginhybridcars.
Eventssuchasseminars,gettogethers,andconferencesatGooglearethemedwithcolourandcreativityand
includetheinspirationandimaginationofeveryengagedemployee.Thisallowsalltheemployeestoattacha
senseofbelongingtotheworkplaceaswellastotheevent.
Overtheyears,Googlehasnurturedaworkculturewhereemployeesaretobequirky27andalittleirreverent.
Worldwidethemedxiiispecialdayshelpfostertheirsenseofcommunityandfun.
ToroundouttheirfirstweekasGoogleemployees,newemployeesarerecognizedatTGIF,Googlesallhands
meetingheldeveryFridayafternoon.Sittinginareservedsectionatthefrontoftheroom,theywearNoogler
hats(brightlycolouredpropellerbeaniesbearingthewordNoogler)andplaquesaroundtheirneckdisplaying
fun personal trivia of their choosing. At the beginning of the TGIF program, Google founders Larry Page and
SergeyBrinleadaroundofapplausetowelcomethenewfolksastheirnamesareprojectedonalargescreen.
ForNooglers,thisTGIFrepresentsoneoftheirfirstchancestoexperiencetheteamspiritofGoogle.

HRStrategyinfluencingBusinessStrategy:Analternateview
ThefactthatGoogleprovidesa20%offtimetoemployeesfortheircreativepursuitsisanHRpracticethathasreaped
themrichrewards.However,thebusinessimplicationsofsuchrewardsareverylimitedxivascomparedtotheirflagship
searchengineandonlineadvertisingservices.Notwithstanding,theHRdepartmentandtheexecutivesstillcontinueto
encourage employees for investing effort and time into such projects the basic idea is that the employees remain
motivatedandcommittedtoinnovationandnovelty.Theemployeesgetadayeveryweekwheretheycanworkontheir
own, and on the rest of the work week, get back to their official job description of writing complex algorithm and
semantic programs for their search engine and Adwords services. The recruitment, on its part, becomes much more
diversewithmoreandmoretalentedmindslookingtoworkforacompanywhichwouldencourageandpaythemfor
tryingtobuildupatoolwhichmayormaynotcomeoutright.Thisisaverypeculiarcaseofabusinessstrategybeingan
outputofadeliberate28HRstrategy.

TheChallengeofRecession
RecessionposestheuniquechallengetotheHRdepartment.Googleasanorganizationisbetterequippedtohandlethe
recession than most of its competitors simply because the employee satisfaction and commitment at Google is seen
February18,2009

much beyond the compensation structure and promotion race voluntary turnover at Google is much less than the
industryaverage,andlayoffsthathaveoccurredduringthecurrentandlastquarterhaveonlyaffectedthecontractual
part time workers. Moreover, Google is expectedxv to release a host of products over the next 2 quarters, and has
already invested millions of dollars into acquiring the necessary hardware and satellite systems indicating the
confidenceGooglehasintherelativeimmunityofitsbusinessmodeltorecession.

26
BradStone;2007;NewYorkTimes;GooglesNextFrontier:RenewableEnergy;
27
BenElgin;2004;BusinessWeek;Google:WhizKidsorNaughtyBoys?
28
BrunoGiussani;2006;Googlenonsearch:morebuzzthanhits,butitkeepsemployeeshappy;
8
PreparedbyAnuragGupta
anurag_morris@hotmail.com
 AdditionalReading
TomPeters;1994;TheTomPetersSeminar:CrazyTimesCallForCrazyOrganizations;Vintage9780679754930;5479;

i
GooglerecentlymovedtoacustombuiltofficespaceoverlookingDundasSquarefromthesixthflooroftheTorontoLifeSquare
Complex,whichisalsothecompanysCanadianheadquarters.Someofthepicturescanbemadeavailableonrequest.
ii
MicrosoftInc.haslongbeenseenasthebiggestcompetitorofGoogleinthefieldofmediatechnologyservicessuchasinternet
searchengine,emailservices,richmediabrowsers,bloggingandwebmastertools,VoIPtoolsandmessengers,andrevenue
generationmodels.EventhoughMicrosofthasalwaysdeniedadirectthreatfromGooglesinceMicrosofthasinterestsinalotof
sectorsandmarketslikeOperatingSystems,desktopsoftware,offlinetechnologysolutions,etc.,theshareofMicrosoftinthe
competitivelinewithGooglehasbeenrapidlydecreasingovertime.(Source:StephenWellman;2007;TheInformationWeek;Jan
25,2007;IsMicrosoftsImpactontheEconomybiggerthanGoogles?;)
iii
37wordsrequireexactly2bytesofdatatobetransferredacrossanetwork.Anylessnumberofwordswouldwastethedata
packetswhichareusuallytransferredinchunksof2bytesovertheinternetviaTCP/IP.Anygreaternumberofwordswouldrequire
anotherdatapackettobetransferred,whichwouldincreasethedatatransmissioncostsattheusersend.Hence,Googlehasalways
keptitshomepagetobekeptstrictlyto2bytesofdata,eventhoughitcanusethehomepagetodisplayalotofrevenuegenerating
advertisementslikeitstraditionalcompetitorslikeMicrosoftandYahoo!do.
iv
TheauthorwroteapaperonHumanResourcesfunctions,andhowHRprofessionalsshouldconsiderandvaluetheemployeesjust
astheywouldexpecttheemployeestotreattheorganizationscustomers.Thepaperwaspresentedandpublishedintheannual
chapterofInternationalDesignConferenceatNationalInstituteofDesign,Ahmedabad,IndiainMarch2005.Thecompletetextof
thepaperisincludedintheAnnualDesignPublicationof2007andispartofthecoursecontentatvariousDesigninstitutesacross
theworld,mostnotablyPolitecnicodiMilano,Italy,andNationalInstituteofDesign,India.Referencestothepapermayalsobe
foundinpublicationsofAnthroTechSociety.
v
Someoftheresultsofthis20%timecanbeseeninthebetaofferingsprovidedtothepublicattheGoogleLabswebsite
(labs.google.com)whichshowcasesexperimentsstillbeingevaluatedandthegraduatesproductsandservicesdevelopedinside
Googlethatarenowpartoftheircurrentofferings.SomeofGooglesnewerserviceslikeOrkut,Gmail,AdsenseandGoogleNews
haveoriginatedinsuchindependentendeavours.MarissaMayer,VicePresidentatGoogle,mentionedinaspeechatStanford
UniversitythatmorethanhalfofGooglesnewproductlaunchesoriginatedfromthe20%time.Thecompletevideoisavailableat
http://stanfordonline.stanford.edu/courses/msande472/060517msande472300.asx
vi
Forexample,theEngineeringTeamholdsaquarterlyAllHandsMeetingledbytheSeniorVicePresidentofEngineering.The
EngineeringAllHandsspeakstoGooglescorephilosophythatemployeesprefertohearcompanynewsinperson,anddirectlyfrom
theirleaders,ratherthanfromananonymouscascadedemailchain.
vii
TheprocessofvotingisakintotheBusinessphilosophyofdemocraticsystem,whichisalsomentionedinTheTenThings.
viii
Inadditiontothewhiteboards,employeescanfindsuggestionboxesthroughouttheoffice,wheretheyrefreetoenteranysort
ofsuggestionfromanewdrinktheywouldlikeavailabletotheirdismayoverthecontinueduseofdisposabledishes.
ix
Inaddition,theyhaveaprogramcalledtheGoogleometerwhichallowspeopletopostideasforchangesandimprovementsat
thecompany.Employeescanthenvoteonwhethertheideaisgoodorbadwhichwillmovethesuggestionupthepage.
x
AgreatexampleistheCodelabtutorialseries,whicharecontinuallyupdatedonlinemodulesdesignedtohelpengineersgetupto
speedonnewGoogletechnologies.Theyhavebroadenedanddeepenedtheirfocusonlearningthroughoutthelastyear.They
expandedtheirlearninganddevelopmentmanagementteamworldwide.Moreover,theyhiredanewdirectorwhollbeworkingto
createGoogleUniversity,acentralizedlearningorganizationdesignedtocoordinatethenumerousofferings,ensurequality,and,
overthenextcoupleofyears,expandtherangeofeducationalprogramsoffered.
xi
GoogleGrantsisaunique,inkindadvertisingprogram,which,byharnessingthepowerofGooglesflagshipadvertisingproduct,
GoogleAdwords,enablesnonprofitstobetterengagetheirconstituentsonline.GoogleGrantshasawardedAdWordsadvertisingto
February18,2009

hundredsofnonprofitgroupswhosemissionsrangefromanimalwelfaretoliteracy,fromsupportinghomelesschildrento
promotingHIVeducation.
xii
At1.6megawatts(anoutputcapableofpoweringapproximately1,000Californiahomes)Googlesisthelargestsolarinstallation
onanycorporatesiteintheworld.
xiii
ThisisinaccordancewithGooglesbusinessstrategyofconnectingwithvariouscommunitiesacrosstheborder.Everynowand
then,Googleshomepageontheinternethasaspeciallogoandthemebasedonsomesignificantevent,date,season,orfestival.
GooglesproductofiGoogleandGmail!Themesarealsobasedonthesameprinciple.
xiv
RecentproductslikeOrkut,GMail,GoogleNews,etc.donotcontributemorethan1%combinedtoGooglesrevenues.99%of
revenuesarestillgeneratedthroughonlineadvertisements.
xv
GooglereleaseditslatestversionofGoogleEarthwhileincludesunderwaterimageryinearly2009.

9
PreparedbyAnuragGupta
anurag_morris@hotmail.com