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STUDY OF VARIOUS HUMAN RESOURCE FUNCTIONS

AT GOOGLE-
TRENDS AND CHALLENGES

GROUP 3
GROUP MEMBERS

Kasturi Raut- 20191007 Pooja Shukla-20191140

Mitali Vete-20191045 Vidya Shinde-20191159

Ravi Mishra-20191122 Deepak Mishra-20191027

Mayank Didwania-20191108 Aditya Chitriv-20191150

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TABLE OF CONTENTS

SR.NO PARTICULARS PAGE NO.

1. Introduction 5
2. Function - Recruiting right talent 5
3. Function - Motivating and empowering employees 8
4. Function - Appraising and managing performance 11
5. Function - Training and development 12
6. Function - HR planning and forecasting 13
7. Function - Compensation and benefits 14
8. Function - Managing careers and retention 16
9. Function – Organizational development and management of 17
organizational change

10. Trends 19
11. Challenges 20
12. Conclusion and References 21

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CONTRIBUTIONS

NAMES TOPIC

Mitali Vete Introduction, Function - Recruiting right talent, Trends,


Challenges

Ravi Mishra Function - Motivating and empowering employees

Aditya Chitriv Function - Appraising and managing performance

Kasturi Raut Function - Training and development

Mayank Didwania Function - HR planning and forecasting

Pooja Shukla Function - Compensation and benefits

Vidya Shinde Function - Managing careers and retention

Deepak Mishra Function – Organizational development and management of


organizational change

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INTRODUCTION
Google LLC is an American multinational technology company that specializes in Internet-related
services and products, which include online advertising technologies, search engine, cloud
computing, software, and hardware. It is considered one of the Big Four technology companies,
alongside Amazon, Apple, and Microsoft. Google was founded in September 1998 by Larry Page
and Sergey Brin. In August 2015, Google announced plans to reorganize its various interests as a
conglomerate called Alphabet Inc. Google is Alphabet's leading subsidiary and will continue to be the
umbrella company for Alphabet's Internet interests. Sundar Pichai was appointed CEO of Google,
replacing Larry Page who became the CEO of Alphabet.
The company's rapid growth since incorporation has triggered a chain of products, acquisitions, and
partnerships beyond Google's core search engine (Google Search). It offers services designed for
work and productivity (Google Docs, Google Sheets, and Google Slides), email (Gmail), scheduling
and time management (Google Calendar), cloud storage (Google Drive), instant messaging and video
chat (Duo, Hangouts), language translation (Google Translate), mapping and navigation (Google
Maps, Waze, Google Earth, Street View), video sharing (YouTube), note-taking (Google Keep), and
photo organizing and editing (Google Photos). The company leads the development of the Android
mobile operating system, the Google Chrome web browser, and Chrome OS, a lightweight operating
system based on the Chrome browser. Google has moved increasingly into hardware; from 2010 to
2015, it partnered with major electronics manufacturers in the production of its Nexus devices, and it
released multiple hardware products in October 2016, including the Google Pixel smartphone, Google
Home smart speaker, Google Wifi mesh wireless router, and Google Daydream virtual reality headset.
Google has also experimented with becoming an Internet carrier (Google Fiber, Google Fi, and Google
Station). Google.com is the most visited website in the world.

FUNCTIONS

Recruiting right talent


“Set a high bar for quality. Before you start recruiting, decide what attributes you want and define
as a group what great looks like. A good rule of thumb is to hire only people who are better than
you. Do not compromise. Ever.” That’s what Laszlo Bock, Google’s SVP for People Operations,
uses as a guiding principle for recruiting.

Google used to be the Ivy of companies and accepted only the top performing applicants with
school credentials that shined off their resumes but today, they look further beyond GPAs. “After
two or three years, your ability to perform at Google is completely unrelated to how you performed
when you were in school, because the skills you required in college are very different. You’re also
fundamentally a different person. You learn and grow, you think about things differently.” Is what
they believe.

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Google on picking the best people
The reason why Google is among the best, if not the best, place to work is because they invest
in operations, products, services, acquisitions and in the quality of the people they bring in.
Ultimately, these people are the driving force of the company.

Google has four principles that they believe will help even the smallest teams become much better
at hiring:
● Set an uncompromisable high standard.
If you enter the recruitment game knowing what you want and not settling for less, your pool of
candidates will sort themselves out. Google’s fallout rate is insanely high, yes, but their high
standards leaves them with only the applicants that have the strongest qualifications,
determination, and potential.

● Find candidates among your own people.


Google does it’s hiring internally. On occasion they will make use of third party recruiting firms
when they build new teams or expand in new, unfamiliar territory. For the most part, however,
they’ve found success in finding their own people. When you have 60,000 employees who are
considered the best in their fields, they are bound to have like-minded and similarly incredible
networks that you definitely want to tap into.

● Make use of the entire team, not just HR.


Large companies like Google can afford to delegate hiring to an entire team or department.
Smaller companies aren’t so lucky and the burden usually falls to one or two people. Make use
of the rest of the team—borrow a couple of hours from BD or Marketing to help with interviews
and get a fresh set of ears and opinions. This collaboration also comes in handy when gauging
the candidate’s fit with the company.

● Give candidates a compelling reason to join your company.


Google’s former SVP for Products, Jonathan Rosenberg, used to keep 200 employees' resumes
on file. “If a candidate was on the fence about joining Google, Jonathan would simply give them
the stack and say: ‘You get to work with these people,’ The applicant would then sift through the
pile of employees—from the inventor of JavaScript to Olympic athletes—the strategy would
always seal the deal.
“Make clear why the work you are doing matters, and let the candidate experience the astounding
people they will get to work with.”

Google on using their own products to recruit


For a company that probably knows more personal information about you than your own mother,
it’s only right that they use their own product (a.k.a. big data analytics) to find the best and the
brightest talent in the world.
“...we can learn about using big data and analytics and be more proactive in how we identify and
approach talent candidates.

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Big data is the concept of transforming massive structured and unstructured data sets into
actionable intelligence. So how does Google use big data to their advantage? Here’s one concrete
example:
When Max Rossett googled the keywords “python lambda function list comprehension,” he was
surprised to be presented with an alternative interface on the search engine results page. Below
the search bar, a text appeared saying “You’re speaking our language. Up for the challenge?”
Unsure of what it really meant, he accepted it anyway.
It was actually Google’s programming challenge. He submitted his challenge and a few days later,
a recruiter from Google requested for his resume. And then he got phone interviews, and much
later on an on-site interview at their Google headquarters.
Using Google Search, Google was allowing its algorithms to do the work in searching and
identifying potential candidates based on their search keywords. It’s probable that other forms of
data were used to determine if Max was a candidate worthy of even interviewing for a highly
coveted Google engineering job.

Google has created products and services with codes and algorithms that a small population can
understand but their recruitment strategies are a little easier to digest. Google hires the best. What
does it mean to be ‘the best’? What do they look for in new employees, the newest batch of ‘the
best’?
5. Expertise.
4. Ownership.
3. Humility.
2. Leadership.
1. An ability to learn.

Google and their hiring process


It’s not that different from how other companies probably recruit, but it is a rigorous process. The
lengthy but thorough process is to make sure they hire someone no less than brilliant and
promising, someone who will make an impact on the company (and the world).

9 Stages of Google’s thorough hiring process


1. Recruiter Screen
The recruiter looks through every resume to find a potential fit.

2. Phone Screen
The recruiter then contacts a potential candidate, explains the process, and let’s them know what
to expect.

3. On-site Interview
The on-site interview will be with a panel of 4-5 people for 45 minutes each. If they are interviewing
for a technical role, they will be asked to solve a technical problem in real-time, and quizzed about
unconventional questions.

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4. Interview Feedback
Each interviewer submits their individual feedback in a standard format about the candidate and
assigns a numerical ranking to the candidate. A search is done to match the candidate’s resume
to an employee’s resume based on school or companies. An email will be sent to that matched
employee asking for an opinion on that candidate.

5. Hiring Committee
The hiring committee reviews all the feedback as well as the resume and experience. Independent
hiring committees are made up of Googlers at various levels of the company to review your
candidate packet. For detail on what actually happens during a Hiring Committee meeting, see
http://qr.ae/RFWpii

6. Executive Review
Senior level management reviews every offer.

7. Compensation Committee
The committee that determines the appropriate compensation for the offer.

8. Final Executive Review


The top executive reviews the employment offers before they are extended to the candidate.

9. The Offer
The recruiter will notify the candidate of the offer and will explain the details of the offer.

All of these factors help Google with the recruiting process as well as in recruitment of the right
talent for the company.

Motivating and Empowering Employees


I. Google Motivation for its Employees.
Just like other companies, Google offers the usual extrinsic benefits such as flex spending
accounts, no-cost health and dental benefits, insurance, 401K plans, vacation packages and
tuition reimbursements. However, Google is better known for some really distinctive and “more
than just attractive” perks and benefits which just serve to show the very extreme lengths the
company goes to make its employees consistently happy. What follows are some examples of
these remarkable perks and benefits.

● Reimbursement of up to $5000 to employees for legal expenses.

● Maternity benefits of a maximum of 18 weeks off at about 100 percent pay. The father and
mother of the new-born are given expenses of a maximum of $500 for take-out meals in
the initial 3 months they spend at home with the baby (Take-Out Benefits).

● Financial support for adopting a child (Google’s Adoption Assistance)

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● Unconventional Office Design - On-site car wash, oil change, bike repair, dry cleaning,
gym, massages therapy and hair stylists are available at the company’s headquarters in
Mountain View.

● Fun & Work - At the Googolplex, there’s an onsite doctor and free fitness center and trainer
and facility to wash clothes among other benefits.

● Food- Lunch and dinner is available free of charge, In addition, an assortment of delicious
but healthy meals are available every day, prepared by gourmet chefs.

Other Reason’s via which Google motivates its Employees.


● Voice and Value.
The company hosts employee forums on all Fridays where there is an examination of the 20
most asked questions. Employees can make use of any of a number of channels of expression
to communicate their ideas and thoughts. Channels include Google+ conversations, a wide
variety of surveys, Fixit (24 hour sprints wholly dedicated to fixing a specific problem), TGIF and
even direct emails to any of the Google leaders.

● Transparency.
As Google is a company that considers its people to be its biggest asset, everything that can be
shared, is shared. In this way, they are able to show their employees that they trust them with
confidentiality and trust their judgement. After the first few weeks of every quarter, Google’s
Executive Chairman Shares with all Googlers, practically the same material that Google shared
with their Board of Directors at their most recent meeting.

● Freedom over how and when is work Completed.


One of Google’s strongly held beliefs is that they can get amazing output from people by giving
them freedom. Indeed, research by Sir Michael Marmot, Professor of Epidemiology and Public
Health at the University College, London is proof of that fact. From research that he carried out
over a period of 4 decades into the health of government workers in Great Britain, he found out
the highest mortality and poorest well-being were consistently associated with employees who
had the smallest degree of control over their work lives.

● Inspiring Work.
One of the reasons why people don’t feel motivated at their jobs is that the work assigned to them
is frequently deficient in variety or challenge. The monotonous nature of the work with no growth
in sight dulls employee enthusiasm. At Google, things are different with the organization putting
in effort to make sure its employees have inspiring work. The 20 percent allowance for projects
of their own interest is one step in this direction. One Google engineer by the name of Chade-
Ment Tan appears to have really benefited from this 80-20 rule. He had a desire to make world
peace a reality in his lifetime. Though this may have seemed an impossible and strange dream
to many, Google didn’t discourage him.

Benefits of Google Way of Employee Motivation


● More Innovative Products.
Google’s work culture and environment is such that it triggers maximum creativity. The
organization knows well that great ideas cannot be forced. Strategies such as accidental meetings
between creative people and engineers, the freedom to explore, tailored work stations to help

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them feel more relaxed and a heavy dose of independent time are all fuel for the creative process
and ultimately, for more innovative products.

● Employees become more Entrepreneurial (More Productive).


Google’s workplace culture and environment is proof of how strongly it believes that innovation
and invention cannot be planned. All one can do is hope to be lucky by hard work and trying to
be in the right place. Google organizes its entire firm to support and cultivate unplanned
entrepreneurship and innovation. The efforts in this direction include the “20 percent policy,”
powerful, open development environments, a data-driven and flat organizational structure, tools
and services that assist with launching, testing and acquiring user feedback at the earliest; and
liberal recognition and rewards for successful innovation.

● Less Company Risk.


As mentioned earlier, Google provides its employees with 20% of their work time to be spent on
their own projects. Google employees test their different business models (and there are
hundreds of them). Google owns those projects and has the potential to decide which projects to
scale. So this means, less risk for Google in terms of failed projects.

II. Google Empowering its Employees


The fact that Google has a People Operations segment tells a story in itself, but it is the strategies
and methods by which its operations are found to be empowering employees that creates a buzz
of excitement throughout Google’s workforce.

It regularly conducts employee surveys to measure satisfaction levels. In its August 2014 survey,
it achieved a 99% rating in great challenges at work, 99% approval on atmosphere, rewards and
pride in the job, and a 98% score on communication and bosses. One respondent said,
“Innovation is the driver of everything we do. I can take pride in that. No one settles for less than
their best.”

Here are seven ways in which Google empowers its people and is rewarded by increased
creativity, loyalty, and productivity:
● Google Cafes encourage people from different teams to interact and exchange ideas.
● Employees are encouraged to directly email any of the company’s leaders.
● ‘Google Moderator’ is a tool that allows anyone to ask a question at a team meeting, with
all team members voting on the questions they most want answered.
● ‘20 Percent’ is a working method that allows Google employees to spend 20% of their time
on things that interest them most, to generate transformative ideas. Google Moderator
came out of this initiative, as did Google Maps.
● TGIF is an end of week session in which all employees can ask questions directly to
Google’s executives.
● The Google Universal Ticketing System (GUTS) allows employees to file their problems
centrally, and these are then collated to find the most common problems or patterns that
need to be addressed.
● ‘Google Geist’ surveys encourage feedback on hundreds of company issues. Teams of
volunteers are then created from across the company to solve these problems.
● Feel valued and know that their opinions are valued likewise.
● Have purpose in their work.
● Are made to feel that they own their jobs, and that the responsibility for performance is
down to them. This encourages them to work hard to achieve the company’s strategic
goals.

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● Take pride in their work, quality of products and service to customers.

Throughout these initiatives, employees are continually challenged to be creative and problem
solve. The organizational culture is one of open communication, encouraging people to find
meaning in their work and shape their environment and career prospects.

Appraisals and Managing performance


Google implements a formal and informal feedback system to evaluate their employees. At
Google, an employee’s manager report and individual reports are considered for the evaluation
process. Its formal system of evaluation uses a 360 Degrees review method. The employee will
also select three or more officials to review his performance. These reviews are made twice a
year and this will reflect on the performance review with an employee’s bonus. Anyways, there is
nothing surprise because regular checking of the performance is a form of informal feedback
system and they are more comprehensive than a formal review which is performed twice a year
Google reward system extensively makes use of these formal and informal feedbacks, where the
bonuses are based on the combined performance of the corporate, team and an individual. It got
a complex structure of promotions and stock options within the organization. In addition, there is
a strong clan society within the organization and comparatively flat organizational structure,
making the company more a fusion of the two reward systems.

One of Google's most exhilarating employee rewards is its capability to offer stock options. Stock
options are typically to exercise the option and purchase stock at a given date or not, however
Google has decided to take a more innovative approach to its reward. Transferable stock options
are a compensation program that Google developed for the purpose of allowing employees to
trade their options off to a bidder. In this way, Google not only increases the value of every stock
option given to its employees but also enhances its option’s valuations.

At Google, performance management is built around peer feedback and coaching by managers.
A 360 review is completed annually, but if an employee requests the additional feedback, they
can have a 360 as frequently as bi-annually. Employees are able to send $100 peer bonuses to
fellow employees, and are encouraged to email “kudos' ' to recognize a fellow employee to their
manager.

Managers hold calibration sessions, focused on top-performing employees they would like to
promote. Calibration helps managers avoid recency bias and score employees on a five-point
scale that ranges from “needs improvement” to “superb.” Goal-setting, using the OKR
methodology, ensures employees stay on track, but is a completely separate process from
performance management. Managers and employees agree on goals on a quarterly basis.

Elements Used:
● Bi-annual review
● Quarterly goals (OKRs)
● Annual 360 review
● Calibration

Google’s Modifications:
● Peer reviews have limited text field (512 characters)
● Compensation discussion are held a month after feedback discussion
● Employees must build own case for promotions
● Eliminated forced curve in 2014

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Results:
The annual Google Geist employee feedback survey has a response rate of more than 88 percent.
“I don’t give a promotion based on what you did – how you did it.”

Training, Performance Management


Google’s human resource management practices cover effective employee training programs, as
well as performance management to maximize human resource capabilities. The company uses
appropriate needs analysis to design training programs aimed at supporting an innovative
workforce. The training programs and their results are regularly evaluated to ensure that they
meet Google’s human resource needs. The company also has fin ely tuned performance
management practices, inclusive of performance planning that directly address corporate
objectives for HRM.

Employee Training
● Needs Analysis.
Google’s HR management uses different types of needs analysis, such as organizational
analysis, work analysis, and cost-benefit analysis. Organizational analysis identifies new human
resource needs based on the firm’s current situation. For example, in developing new products
and investing in new businesses, Google conducts organizational analysis to determine the
corresponding human resource requirements. Work analysis determines the specific
requirements to fulfill work tasks. Google applies work analysis on new jobs, or when an
organizational restructuring has just occurred. Cost-benefit analysis determines the practicality of
training programs and activities. Google’s HRM objective in using this type of analysis is to
maximize the benefits achieved through training programs.

● Program Design.
Google’s HR management uses a combination of the relational model and the results-oriented
approach for training program design. The relational model focuses on the relationship of the
company with employees. Google maintains positive internal relations to foster employee
participation in creative and innovative processes. The results-oriented approach focuses on
training outcomes. For example, in implementing a training program, Google uses this approach
to facilitate employees’ learning. Thus, the relational model optimizes relations among employees,
while the results-oriented approach ensures that Google’s human resources are effective.

● Delivery.
Google’s human resource management delivers training programs in various ways, such as
discussions, simulations and on-the-job training. Discussions enable Google to maintain rich
communications involving employees. With rich communications, training programs also benefit
through maximum feedback from the trainees. The company uses simulations to facilitate creative
responses. Simulations empower Google’s employees to understand the details of work tasks,
projects, and products. The company’s HRM uses on-the-job training to maximize the transfer of
knowledge to new hires or interns. Many of these interns are absorbed into Google’s organization.

● Evaluation.
Google has summative and descriptive purposes in evaluating training programs. The summative
purpose is to determine the effectiveness of the program in developing human resources. The
descriptive purpose of evaluation is to understand the effects of the training on employees.
Google’s human resource management uses evaluation variables like trainees’ learning and

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reactions, and the results of training programs in terms of changes in human resource knowledge,
skills, and abilities.

Performance Management Practices


● Performance Planning.
Google’s performance planning efforts address different dimensions of its human resource
management, including customer service, communication, support for diversity, and problem
solving abilities. Google’s performance appraisal programs also use variables corresponding to
these dimensions. For example, the company’s HRM evaluates employees’ performance in
internal communications and problem-solving activities to decide on performance management
approaches.

● Link to Corporate Objectives.


Google’s performance management practices are directly linked to corporate objectives for
human resource management because they ensure that employees remain capable of supporting
the firm’s business activities. For instance, the emphasis on diversity supports diverse ideas,
which lead to higher rates of innovation. Innovation is part of Google’s corporate objectives. Also,
the emphasis on problem-solving abilities ensures that the human resources are satisfactory in
developing Google’s organizational resilience.

● Measurements and Standards.


Google’s HR management uses different sets of measurements and standards for its
performance management practices in different areas of human resources. The firm uses
individual measurements of ethical conduct and contributions to innovation and quality of output.
Google’s human resource management also uses team variables like collaboration level.
Creativity is also an important measure of the performance of the firm’s human resources because
creative employees contribute more to Google’s innovative culture. The company maintains high
standards for all of these measures and always emphasizes excellence in employees.

● Performance Interviews.
Google’s human resource management conducts performance interviews that address concerns
about individual performance and team performance. The individual performance interviews
cover knowledge, skills, abilities and other attributes of employees. The team performance
interviews cover how employees perform as part of project teams in Google. Note that the
company forms and disbands teams for different purposes and projects. The interviews are also
structured and unstructured, formal and informal. Google’s HRM uses unstructured and informal
interviews in the fun meeting places, such as the coffee and snack areas of its offices.

● Performance Problems.
Google’s human resource management is usually concerned about performance problems in the
areas of quality of work and work behaviors. In terms of quality of work, some red flags for HR
managers are errors and ineffective work techniques. In terms of work behaviors, Google’s HR
managers are concerned about negativism, power struggles, and tardiness or delays.

Human Resource Planning and Forecasting


● Surplus & Shortage of Employees.
Concerns about surplus or shortage of employees at Google are mostly in the production
processes, such as the manufacture of Chromecast and the provision of the Google Fiber Internet
and cable television service. In developing and providing web-based and software products,

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human resource surplus and shortage are not a significant concern. For production processes,
Google’s human resource management identifies possible surpluses and shortages through
forecasting techniques. Thus, the company’s human resource planning includes forecasted
surpluses and shortages of human resources. Such information is used for recruitment and
scheduling.

• Balancing Supply and Demand.


Google’s human resource management faces minimal problems when it comes to balancing HR
supply and demand. Even if demand for web-based/software products and online advertising
services increase, Google does not need to commensurately increase its human resources in
these business areas because of the digital nature of these products. Still, the company needs to
address HR supply and demand in other areas, such as the production and distribution of
consumer electronics like Nexus and Chromecast. For these areas, Google uses a flexible
strategy where new employees are hired based on forecasts of human resource needs.
The combination of Google’s HR management approaches for forecasting, identifying issues with
surplus and shortage of employees, and balancing of human resource supply and demand
effectively supports the human resource needs of the firm. Google uses conventional methods
and techniques together with advanced information systems to analyze human resource data to
support human resource management decisions.

• Forecasting.
Human resource managers at Google use trend analysis and scenario analysis for forecasting.
Trend analysis is a quantitative technique that allows the company to predict possible HR demand
based on current conditions and changes in the business. Scenario analysis is Google’s
qualitative technique for forecasting HR demand. Scenario analysis involves analyzing different
combinations of variables to predict HR demand for each resulting scenario. In this way, Google
uses a combination of quantitative and qualitative techniques for forecasting HR demand.

Google’s Compensation System


Google’s compensation system includes salaries and bonuses, good working conditions, stocks,
and various benefits. The genius in Google’s compensation system is its ability to harness
ordinary compensation elements and to optimize them to achieve organizational goals. The
company uses its data processing capabilities to ensure that the benefits achieve maximum
effect.

The first element of any compensation system is a salary. As discussed in the section above, the
company is currently implementing salary hikes that will make it the best paying company among
its competitors. The salaries given by the company have always been high as compared to
industry standards. The company now wants to be a market leader when it comes to salaries.

The second element in Google’s compensation system is workplace perks. Google believes that
it needs to reward its employees on an ongoing basis to ensure that they fully focus on working
for the company. Google believes that if it makes working conditions for its employees as
conducive as possible, then they will focus on their work.

Google therefore goes out of its way to offer employees various incentives to ensure that their
working environment is conducive. The company also ensures that snacks are available only a
short distance from each employee. In addition, Google gives the employees free transport as
well as access to laundry services. The company also operates a concierge service for employees
who need to run errands.

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Employee Benefit:
Employee
Description
Benefits

Free Meals Google provides all of its employees with free breakfast and lunch
at its on-site cafeteria.

Free Snacks Healthy snacks and drinks are provided to all on-campus staff.

Health Insurance Employees are provided with comprehensive medical coverage


which are customizable to suit their needs.

Dental Insurance Basic dental insurance is provided as a part of employee's health


insurance.

Vision Insurance Vision coverage is given to all employees as a part of their health
insurance package.

On-site Medical Doctors and nurses are always readily available on Google’s
Staff campuses.

Partner and Google employees will be able to include spouses and dependent
Dependent Cover on their health insurance plans.

Tuition Google employees are eligible to receive $12,000 a year in tuition


Assistance reimbursement to further their education.

Education Google will give financial assistance for any educational endeavor
Assistance from learning a musical instrument to coding classes or language
lessons. You don’t need to go to college to take advantage of this
benefit.

Free Seminars Google frequently puts on seminars for its staff with world experts
and leaders to encourage new ideas and conversations.

20% Rule Google has a 20% rule which allows all staff 20% of their working
hours to spend developing a passion project.

Paid Time Off Google gives its staff generous paid time off for holidays, vacations,
and sick leave.

Paid Parental All new parents at Google are entitled to time off after having,
Leave adopting, or fostering a child.

Access To New Google allows staff to beta-test any new products they have coming
Products out for free.

Life Insurance In the event of your death, Google will pay your family 50% of your
salary each year.

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Google’s employee benefits are renowned for their value and uniqueness, appealing to talent
across the globe and showing other companies how to keep a team of dedicated, motivated, and
satisfied staff.
● Google’s Death Benefit gives the spouse 50% of the deceased employee’s salary for 10
years.
● Children of the deceased employee receive $1,000 per month until they are 19 years old.
● 18-22 weeks of paid maternity leave and 7 weeks of paid paternity leave.
● Free meals, fruits, and snacks for employees.
● On-sight fitness and massage centers.

Managing Career Development and Retention


Managing Career Development
● Individual-Organization Matching.
Google matches individual and organizational needs by filling positions based on a combination
of performance appraisals and interviews. These appraisals and interviews provide information
for human resource managers to ensure proper fit between employees and the job, organization,
and team. In this regard, Google’s human resource management’s approaches for matching
individual and organizational needs address person-job fit, person-organization fit, and person-
group fit. These different kinds of fit support maximum human resource performance at the job
level, team level, and organizational level, respectively.

● Career Opportunities and Requirements Identification.


In relation, Google’s HR management identifies career opportunities and requirements through a
combination of job analysis and coaching. Job analysis enables HR managers to identify possible
career options for individual employees. Google uses coaching as a way of understanding the
dynamics involving the individual employee and possible career options within the organization.
This combination helps HR managers identify requirements for career paths, and how these paths
present opportunities for Google’s employees.

● Employee Potential Assessment.


Google’s human resource management assesses employee potential through interviews,
appraisals, and coaching. Appraisals provide an objective evaluation of the employee’s potential.
Interviews and coaching enable Google’s HR managers to determine the potential effectiveness
of employees for different kinds of jobs. Appraisals indicate how employees are doing in their
current jobs, while the interviews and coaching indicate the employees’ level of interest for certain
jobs and how they could fulfil other jobs at Google.

● Instituting Career Development Initiatives.


Some career development initiatives are regularly instituted at Google, while others are applied
as the need arises. Regular implementation of career development initiatives are based on the
company’s career development programs. Google conducts annual appraisals, which are also
used as a basis for career development. During or after appraisals, the company’s human
resource management informs employees of possible career opportunities. In addition, the
firm institutes some career development initiatives as the need arises, such as when a new
business or product is developed. For example, the development of the Google Fibber business
creates new career opportunities, which are presented to the company’s employees.

Managing Retention
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Google is the only company in the world that announced many programs of employee retention.
For example, the company has provided many benefits to its employees like flexible working
hours, allowing to wear casual dresses every day, permitting the employees to bring their dogs to
work every day, providing special childcare facilities to the mothers of toddlers and newly born
babies, free massage, fully equipped gym, employee stock options, free drinks and snacks
throughout the working hours, and many more. If this is not enough, then Google also provides
an innovative way of working with its employees where the employees can provide 20% of their
working time on personal projects.

Organizational development and management of organizational


change
Organizational development.
This need occurs when the market is filled with competition and you are the leader of innovation.
● Actually organizational development depends upon the people you are recruiting because
you have to hire them for a long time if they are best in their work.

● Exactly on others you have to keep motivating them providing with facilities in which they
can feel is during doing the company's work.

● Other than this appraising and managing performance of employees training and
development giving them free time to train them on new things which would indirectly
impact on the development of the employees and to develop their own skills or give them
some time to do their own project under the Google name in which they would be rewarded
with benefits.

● Google is well known for its cross-functional, or team-based, organizational structure. The
traditional corporate structure is to have employees at the bottom, supervisors above
them, middle managers above supervisors and top management above all. This is the
vertical approach to management. Decisions are made at the top and orders are sent
down to the employees at the bottom. The cross-functional organizational structure used
by Google is more of a team approach to management. By allowing all employees to be
a part of decision-making, Google maintains a small-company feel and promotes the
notion that all employees play an equally important part in Google’s success. This type of
structure places more importance on intelligence and ideas than on titles.

● Larry Page, announced a major reconfiguration of Google's organizational structure. The


company formed a conglomerate called Alphabet, a new holding company composed of
independent operating units, including Google. The Google search engine and related
businesses, including Android, Gmail, and YouTube, to name a few, would be just one of
these units. Alphabet would also be home to nine other companies.

● In 2017, another shift was announced. Google was changed from a corporation to an LLC
or limited liability corporation, which Alphabet believes better suits an affiliate company
owned by a parent. In addition, Alphabet created a holding company called XXVI Holdings,
Inc. that acts as an umbrella over Alphabet and all its businesses.

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● Company Focus: The revised structure of Google allows the company to focus on new
ideas and projects without detracting from its core successes. Some important projects
include Waymo, Google's self-driving car and a growing crop of hardware businesses from
smart home products to mobile phones.

Management of organizational change.


Organizational change is a difficult part of any executive’s responsibilities. It is seen that many
change efforts fail and using a change management model does not guarantee a successful
transformation. C-suite leaders need to be agile and flexible while providing solid leadership and
vision throughout the changes. Here, Google offers a new paradigm in how to think about and
proceed through an organizational change.

There is no single way that Google manages internal change, like a reorganization.
Management of organizational change can be in four phases.
● Phase1 Why?
The need for change. This is "why" this change is happening.

As the market is filled with competition and you have to bring changes to compete in this
competition so you have to bring changes.
Regular change is necessary in Google as Google has impacted a lot in people's life and it is
going to upgrade the living life of the society so change is necessary.
Google has tried to solve the problems of the people to make the People's life easy through the
technology solution they provide through their company.
There are lots of threats in this but we can come up with solutions in this competition and we can
get into the new fields of Technology through change.

● Phase2 What?
The vision for the change (future state "what" you want to do.

After a long time a new strategy is applied in Google, which is for the new priority towards the
new direction.
The new priority is the Rapid changing world and the fast world which we have to capture the
market in which we have to be on our vision but with the new direction which can be better for the
company.
As Google is working on the basic necessity things of the people in which they are connecting it
toward the technology like the self driving Cars and self assistance systems in each home.

● Phase3 Who?
Key critical stakeholders who would be impacted by their change.

This change is going to impact the life of the employees of Google and also in the lives of the
common stakeholders, Which can be called as consumers.
Everyone is equally important in this change from key stakeholders like customers to the
Employees but there should be no stress or burden on the people which could wrong impact
things in people's life.
To resist change everything should be simple and smooth so that it could make things better and
we can resist in this highly competitive world.

● Phase4 How?
How the change will be executed.

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To execute the change we have to take care of the employees by giving them training for new
things and hiring people with new skills which could be helpful for our long vision and long time.
After this any change can be measured by the products which are launched step by step and their
success in the market and their impact in the life of the peoples.
The gap of communication in the change could be filled by bike cross culture which is already
there in Google.

Trends
As a data-driven company, Google crunches the numbers and identifies the trends that most
employers tend to miss without a people analytics strategy in place.

The team relies on predictive analytics and experimental research to help them “uncover new
insights, solve people problems, and direct HR actions.”

HR at Google is dramatically different, at Google it’s not called human resources; instead, the
function is called “people operations”. People management decisions at Google are guided by
the powerful “people analytics team”.

Two key quotes from the team highlight their goals: “All people's decisions at Google are based
on data and analytics” and the goal is to … “bring the same level of rigor to people-decisions that
we do to engineering decisions”. Google is replacing the 20th century subjective decision-making
approach in HR. Although it calls its approach “people analytics”, it can alternatively be called
“data-based decision-making”, “algorithm-based decision-making” or “fact or evidence-based
decision-making”.

Google’s top past and current people management practices to highlight its data-driven approach:
● The PiLab.
The PiLab is a unique subgroup that no other firm has. It conducts applied experiments within
Google to determine the most effective approaches for managing people and maintaining a
productive environment (including the type of reward that makes employees the happiest). The
lab even improved employee health by reducing the calorie intake of its employees at their eating
facilities by relying on scientific data and experiments (by simply reducing the size of the plates).

● A retention algorithm.
It developed a mathematical algorithm to proactively and successfully predict which employees
are most likely to become a retention problem. This approach allows management to act before
it’s too late and it further allows retention solutions to be personalized.

● Predictive modelling.
People management is forward looking at Google. As a result, it develops predictive models and
uses “what if” analysis to continually improve their forecasts of upcoming people management
problems and opportunities. It also uses analytics to produce more effective workforce planning,
which is essential in a rapidly growing and changing firm.

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● Improving diversity.
Unlike most firms, analytics are used to solve diversity problems. As a result, the people analytics
team conducted analysis to identify the root causes of weak diversity recruiting, retention and
promotions (especially among female engineers). The results that it produced in hiring, retention
and promotion were dramatic and measurable.

● An effective hiring algorithm.


One of the few firms to approach recruiting scientifically, it developed an algorithm for predicting
which candidates had the highest probability of succeeding after they are hired. Its research also
determined that little value was added beyond four interviews, dramatically shortening time to
hire.
Google is also unique in its strategic approach to hiring because its hiring decisions are made by
a group in order to prevent individual hiring managers from hiring people for their own short-term
needs. Under project Janus, it developed an algorithm for each large job family that analysed
rejected resumes to identify any top candidates who they might have missed. They found that
they had only a 1.5 per cent miss rate, and as a result they hired some of the revisited candidates.

● Calculating the value of top performers.


Google executives have calculated the performance differential between an exceptional
technologist and an average one (as much as 300 times higher). Proving the value of top
performers convinces executives to provide the resources necessary to hire, retain and develop
extraordinary talent. Google’s best-kept secret is that people operations professionals make the
best “business case” of any firm in any industry, which is the primary reason why they receive
such extraordinary executive support.

Challenges
● Google’s recruitment and selection has had the effect of both enhancing success and
impeding success. The focus would be on short term versus long term planning.
a. In the short term the recruiters were very successful in attracting the right caliber
of talent into the business. The innovative initiatives that were launched together
with the global ratings, for being one of the best employers to work for all supported
the great financial success that was enjoyed. There appears to be no shortages of
the right fit and attraction of talent to the business.
b. However, when it came to cross-border recruitment, this is and was not as effective
as in the U.S, due to lack of appreciation of diversity, particularly in the East. The
latter can have dire consequences to Google’s success by virtue of lack of delivery
to local network needs, with a potential of loss to users to new competitive and
available platforms. In this case recruitment has a serious consequence of
impeding Google’s success in foreign countries.

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● However, the quick expansion of the business had not been a key focus, hence human
resource processes became lethargic and ineffective. Job candidates had to go through
dozens or more in-person interviews.
a. Candidates with great experience often got turned down if their college grades
were average. This was due to Google’s standards being extremely high, and this
was holding back Google’s expansion. One of Google’s Co-founders interviews
almost every candidate, before they can be hired and given the final offer, whilst
this may have a personal touch and a small business feel for which it may be ideally
suited, this impedes the offer and placement process given the large number of
applications and candidates.
b. The selection process is long and often candidates take up other job offers in
related companies. Most of the candidates at Google comment on its slow
screening, recruiting and interview process. With its rapid growth and expansion,
Google needs to hire thousands of people a year and probably the biggest
challenge.

● Google faces gearing its employee selection system, to one that is more robust and
efficient, if it wants to remain a strong employer in a scarce talent pool and not lose
candidates to similar companies. Whilst Google looks to improve its recruitment and
selection strategies, the rapid growth and expansion has left Google’s human resource
department struggling to keep abreast with the demands.

● Another challenge with continuous growth is how to maintain the entrepreneurial spirit
while expanding the workers strength. Whilst the culture of pay for performance and
founder’s rewards creates motivation, Google also runs the risk of losing employees due
to early retirement in turn running the risk of organisational intelligence being lost, due to
some starting similar businesses.

● Whilst Google’s nature of work undergoes constant changes, hence few employees are
able to achieve the task that they were initially hired for; this also hampers or hinders
performance management.

Conclusion
The secret of Google’s success is its innovative work culture. Its culture drives innovation and
performance which is exemplary and a source of inspiration for others. At the center of its smart
culture and structure is the strategic role of the HR. Google’s highly innovative HR machinery
ensures that the culture it has created is sustained. The success and reputation Google has
earned in a short period, is not based on just its technological capabilities but on HR innovation
too. It is a successful company that knows how to value its human capital. Its facilities and perks
are matchless. However, if the turnover rate is high then HR in technology companies is really a
challenging area. Google might need to innovate further to match its expectations fully. Apart
from it, several more things are complicated inside the tech companies including the work itself.

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Still, if media hails it as the best employer, the reasons are more than evident. By investing in
HR, Google has generated attractive results. It is satisfied with its employees and their
contribution to making Alphabet a success. Sunder Pichai, the CEO of Google wrote in the
annual founder’s letter, “Since becoming CEO in 2015, my optimism has only increased. A big
part of that is because of the people I work with every day. I have the privilege of leading a
committed group of employees who are pushing the boundaries of technology and helping us to
be a better company”.

References
● https://www.arabianjbmr.com/pdfs/NG_VOL_2_3/3.pdf

● https://www.kalibrr.com/sites/default/files/featured_images/White_Paper_How_Google_
Hires_Their_Talent.pdf

● http://panmore.com/google-hrm-compensation-career-development

● http://panmore.com/google-hrm-training-performance-management

● http://panmore.com/google-hrm-hr-planning-job-analysis-design

● https://ivypanda.com/essays/googles-compensation-plan/

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