Notes

- From the start, Microsoft already recognizing that talent (recruiting the best
talent) is essentials for the company
- Think creatively is better than acquired knowledge. Hiring the smart friend
- We want people who are smart, work hard, and get things done.
- Steve Balmer -> Whenever you meet a kick ass guy, get him

Recruiting Process
- intense interview (3-10 employees)
- Tested on the thought process, problem-solving abilities, and work habits. Drill-
down process until they failed
- Technial interviews typically focused on programming problems. but the candidates
must solve it structuredly and creatively
- unfamiliar but practical problem
- sent an email, giving sugestions or feedbacks.
- Screening by hiring manager and also interviewer

They will hire the outstanding one, not the mediocre one.

This is continued when the companies grows bigger. Microsoft keeps their links with
the campuses so they can do scouting for the best talent.
- They also do a CV screening across all campuses in USA.
- n-1 policies for cutting cost. even when they have the budget to hire more.
- They make a team for "talent scouting" (more than 300 experts). to make Microsoft
focused on the best recruiting methods.
- Gates even do the recruiting works himself. inviting to informal dinners, call
them himself and so on. giving prides and joy to the recruits.

Work atmosphere (caffeine culture)

- its hardwork atmosphere. they set their own dorms.

- They dont communicate each other. they are very focus on their jobs
- The jobs is divided into little group, 30-200 person.
- Bill gates and steve balmer himself is monitoring every group. They will create
this "social punishment" culture. if you cant do what you told to do, you will feel
ashamed.
- Microsoft push their employee to the limit. challenging assignment even when they
didnt ready for it

Career
- They are making this ladder levels. each level and promotions is based on skills,
performance, and expertise or education
- They are also make this experiental learning. failing is not about punishment,
but about the learning process
- They are giving individual contributor an opportunity also for managerial
position. People could grow as individual contributors or advance on the management
track. obtain same recofnition, compensation and promotion opportunities.
- Mentors are given to the recruits so they can learn from them. Equaly young but
have more experience
- They also rotating people around projects so they learning experience is
accelerated

Pays and Incentives/Reward

- in Recruiting, they not only gives salaries, but also shares. it also conserve
cash for growth
- feedback or performance reviews is given semi-annualy. the objectives is
quantificaly sets. it determines the bonus and incentives that will be given to the
employees
- the manager also gives feedback and evaluation monthly. so employees has their
own prediction about the performance
- merit increases by performance, bonus/incentives increases by past achievement.
Individual performance reviews is given to each of the employees via email for
this.
- Appraisals also given individually, either by emails or in the meeting. not
widely and formally employed in the companies.

In the 90's, Balmer changed the cultures. he is more concerned with job
satisfaction.
So he builds the employees sense of belonging. giving a clearer goals, do anything
they want, and have anything they want to achieve their target.
He also concern about work-life balance.

in later 90's, they introduce a more broaden job concept to increase the managerial
capabilities of their employees.
through mentoring, job rotation, or even formal training.

they are 6 key success factors for Microsoft

- long term approach to people and technology
- customer feedback
- getting results
- individual excellence
- passion for products and technology
- teamwork
from this, they create 29 competencies and spread them evenmore with "tool-kits".
They all can be seen at the Exhibit of the Case.