1. What was Nadella’s diagnosis of the problems at Microsoft?
Solution:
With reference to the Manu Cornet’s Blog in 2011 highlighting the
Microsoft’s old culture which focuses on ‘Competition’ among the employees with respect to performance review system. Employees were afraid to discuss issues with their managers. They were discouraged to try something new and were given no freedom. Microsoft in Ballmer’s era was also famous for not playing well with others in terms of collaboration with the partners in order to cope up with emerging technologies. Microsoft co-founder Bill Gates’ famous mantra of “a computer on every desk” was no longer resonant for a 21st-century enterprise tech company. Microsoft needed to change its vision/mission. They were still trying to sell desktop/operating software. They needed to aim for expansion using new methods ( eg. Acquisition of LinkedIn, GitHub) So it was a high time for Nadella to redefine the mission statement of the Organization. The employee’s mindset of being the ‘Product Company’ was to be over written and named as ‘Peoples Company’. Employees had competition in between them. One-week initiative actually turned that competition feeling into collaboration.