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ORGANIZATIONAL CULTURE IN GOOGLE INC.

INTRODUCTION

Organizational culture has a strong impact on organization and management, whichemerges from its
nature and its content. Organizational culture is defined as a systemof assumptions, values, norms, and
attitudes, manifested through symbols which themembers of an organization have developed and
adopted through mutual experienceand which help them determine the meaning of the world around
them and how to behave in it. Assumptions, values, norms, and attitudes that the members of
anorganization share significantly shape their interpretative schemes. Throughinterpretative schemes
the members of an organization assign meanings tooccurrences within and outside the organization and
understand the reality thatsurrounds them (Fiske, 1991).The behaviour, actions, and interactions of the
members of an organization emergefrom the meaning that the reality of that organization has for them.
Organizationalculture is a form of collective interpretative scheme shared by the members of
anorganization, due to which they assign meanings to occurrences, people, and eventswithin and
outside of the organization in a similar way and treat them similarly(Schein, 2004). Google is one of the
few companies that successfully combinetechnological innovation with a strong organizational culture.

CASE STUDY

Google (NASDAQ: GOOG) is one of the best-known and most admired companies around the world, so
much so that “googling” is the term many use to refer to searching information on the Web. What
started out as a student project by twoStanford University graduates in 1996, Google became the most
frequently used Web search engine on the Internet with 1 billionsearches per day in 2009, as well as
other innovative applications such as Gmail,Google Earth, Google Maps, and Picasa. Google grew from
10 employees working ina garage in Palo Alto to 10,000 employees operating around the world by 2009.
Whatis the formula behind this success?Google strives to operate based on solid principles that may be
traced back to itsfounders. In a world crowded with search engines, they were probably the
firstcompany that put users first. Their mission statement summarizes their commitment toend- user
needs: “To organize the world’s information and to make it universallyaccessible and useful.” While
other companies were focused on marketing their sitesand increasing advertising revenues, Google
stripped the search page of alldistractions and presented users with a blank page consisting only of a
company logoand a search box. Google resisted pop-up advertising, because the company felt that itwas
annoying to end-users. They insisted that all their advertisements would be clearly marked as
“sponsored links.” This emphasis on improving user experience and always putting it before making
more money in the short term seems to have beencritical to their success.Keeping their employees
happy is also a value they take to heart. Google created aunique work environment that attracts,
motivates, and retains the best players in thefield. Google was ranked as the number 1 “Best Place to
Work For” magazine in 2007 and number 4 in 2010. This is not surprising if one lookscloser to how
Google treats employees. On their Mountain View, California, campus called the “Googleplex,”
employees are treated to free gourmet food options including sushi bars and espresso stations. In fact,
many employees complain that once theystarted working for Google, they tend to gain 10 to 15 pounds!
Employees haveaccess to gyms, shower facilities, video games, on-site child care, and doctors. Google
provides 4 months of paternal leave with 75% of full pay and offers $500 for take-outmeals for families
with a newborn. These perks create a place where employees feelthat they are treated well and their
needs are taken care of. Moreover, they contributeto the feeling that they are working at a unique and
cool place that is different fromeverywhere else they may have worked.In addition, Google encourages
employee risk taking and innovation. How is this done? When a vice president in charge of the
company’s advertising system made amistake costing the company millions of dollars and apologized for
the mistake, shewas commended by Larry Page, who congratulated her for making the mistake
andnoting that he would rather run a company where they are moving quickly and doingtoo much, as
opposed to being too cautious and doing too little. This attitude towardacting fast and accepting the cost
of resulting mistakes as a natural consequence ofworking on the cutting edge may explain why the
company is performing much aheadof competitors such as Microsoft and Yahoo! One of the current
challenges forGoogle is to expand to new fields outside of their Web search engine business. To
promote new ideas, Google encourages all engineers to spend 20% of their timeworking on their own
ideas.

Google’s culture is reflected in their decision making as well. Decisions at Google are made in teams.
Even the company management is in the hands of a triad: Larry Pageand Sergey Brin hired Eric Schmidt
to act as the CEO of the company, and they are reportedly leading the company by consensus. In other
words, this is not a companywhere decisions are made by the senior person in charge and then
implemented topdown. It is common for several small teams to attack each problem and for
employeesto try to influence each other using rational persuasion and data.Gut feeling has little impact
on how decisions are made. In some meetings, people reportedly are not allowed to say “I think…” but
instead must say “the datasuggest….” To facilitate teamwork, employees work in open office
environmentswhere private offices are assigned only to a select few. Even Kai-Fu Lee, the
famousemployee whose defection from Microsoft was the target of a lawsuit, did not get hisown office
and shared a cubicle with two other employees.How do they maintain these unique values? In a
company emphasizing hiring thesmartest people, it is very likely that they will attract big egos that may
be difficult to work with. Google realizes that its strength comes from its “small company” valuesthat
emphasize risk taking, agility, and cooperation. Therefore, they take their hiring process very seriously.
Hiring is extremely competitive and getting to work at Googleis not unlike applying to a college.
Candidates may be asked to write essays abouthow they will perform their future jobs.Recently, they
targeted potential new employees using billboards featuring brainteasers directing potential candidates
to a Web site where they were subjected to more brain teasers. Each candidate may be interviewed by
as many as eight people on several occasions. Through this scrutiny, they are trying to select
“Googley”employees who will share the company’s values, perform at high levels, and be liked by
others within the company. Will this culture survive in the long run? It may be tooearly to tell, given that
the company was only founded in 1998. The founders emphasized that their initial public offering (IPO)
would notchange their culture and they would not introduce more rules or change the way thingsare
done in Google to please Wall Street.

ANALYSIS

A number of researchers have conducted a review of the concept of organizationalculture. Walter R.


Freytag define the culture of the organization as: "... a distint and shared set of conscious and
unconscious assumptions and valuesthat binds organizational members together and prescribes
appropriate patters ofbehavior .”[1]

Freytag focuses on the assumptions and values that are consciously or unconsciouslycohesion that
binds an organization. Assumptions and values that determine the behavior patterns of members in the
organization.Other researchers such as Larissa A. Grunig, et al, define organizational culture as“... the
sum total of shared values, symbols, meaning, beliefs, assumption, andexpectations that organize and
integrate a group of people who work together .”[2] Definition Grunig et.al. This is similar to the one
previously submitted Freytag,namely that organizational culture is the totality of values, symbols,
meanings,assumptions, and expectations are able to organize a group of people
workingtogether.Another definition, and this is the definition of a pioneering theory of
organizationalculture, proposed by the Edgar H. Schein. Schein states as organizational culture asfocuses
on the assumptions and values that are consciously or unconsciously cohesion that binds an
organization. Assumptions and values that determine the behavior patterns of members in the
organization.Other researchers such as Larissa A. Grunig, et al, define organizational culture as “.... a
pattern of shared basic assumption that was learned by a group as it solved its problems of external
adaptation and internal integration, that has worked wellenough to be considered valid and, therefore,
to be taught to new member as thecorrect way to perceive, think, and feel in relation to those problem

.”[3]

Schein states that organizational culture is a pattern of basic assumptions that are validand work within
the organization. A series of basic assumptions can be studied by themembers of the organization.
Organizational culture can act as a conduit of a solutionto the problem of organization, acts as an
adapter to factors outside the organizationthat developed, as well as in conducting internal integration
of its members.A more detailed definition of the organizational culture given by Matt Alvesson,
thatwhen talking about the culture of the organization, then

“ ... seems to mean talking about the importance for people of symbolism

– of rituals,myths, stories and legends

– and about the interpretation of events, ideas, andexperiences tha are influenced and shaped by the
groups within they live. I will also,however, take organizational culture to include values and
assumptions about socialreality ...”[4] Synthesis of this understanding is the organizational culture is the
totality of values,symbols, meanings, assumptions, and expectations that can provide solutions
forfactors outside the organization that developed and able to be the glue for itsmembers.

Google also maintains its organizational culture on the simple terms of futuristic andselfless thought
which is to be shared and followed, as rightly put across by one of itsfounders Sergey Brin say that he
actually don’t think keeping the culture is a goal. Ithink improving the culture is. Furthermore, as
described by Google’s Chief culture officer Stacy Savides Sullivan that he would characterize the culture
as one that isteam-oriented, very collaborative and encouraging people to think non-
traditionally,different from where they ever worked before

– working with integrity and for the goodof the company and for the good of the world, which is tied to
our overall mission ofmaking information accessible to the world” (Following the strategies of the global
market Google understands that the organizational culture should be modified withaccordance to the
national culture making it one among the best in the industry.Which increasing globalization,
performance and values of the employees aligned with the company’s strategy and manipulate culture
to achieve the organizational objective according to (Ogbonna and Harris, 2002).Organizationally,
Google maintains a casual and democratic atmosphere, resulting inits distinction as a “Flat” company.
The company does not boast a large middlemanagement, and upper management is so hands on, it’s
hard to qualify them in a separate category. Teams are made up of members with equal authority and a
certainlevel of autonomy is maintained.This techno-democracy takes a good deal of effort to maintain.
In order to secure it, asort of bread and circuses environment is created. Google boasts some unique
culturalaspects:

Local touches like ski gondolas in Zurich, expressing each office's unique locationand personality.

Dogs, lava lamps, and massage chairs.

Double rooms (few single offices!) with three or four team members.

Foozball, darts, assorted video games, pianos, ping pong tables, lap pools, gyms thatinclude yoga and
dance classes.

Social groups of all kinds, such as meditation classes, film clubs, wine tasting groups,and salsa dance
clubs.

Health food at a wide variety of cafés, and outdoor seating for sunshine brainstorming.

Snacks and drinks to keep Googlers going throughout the day.The Google culture is probably one of the
most positive, influential, all-encompassing, productivity-inducing environments the world has ever
seen. This sorthigh praise is typical from industry experts, and there is no shortage of
emulationrecommendation in industry magazines.Etzioni typology of organization are filed: (1) Coercive
Organizations; (2) UtilitarianOrganizations; and (3) Normative Organization. Coercive organization is
anorganization whose members are trapped in physical and economic reasons that haveto abide by any
regulations imposed by the authorities. Utilitiarian organization is anorganization in which the members
may be possible to work for a just and fair result isalso a tendency to adhere to some rules are essential
in addition to the workers preparing the norms and rules that protect themselves. Normative
Organization is anorganization in which the individual contributed to the commitment because
itconsiders the organization is the same as the goals themselves.

Based on the typology proposed by Etizoni organization, then Google includingnormative organization
because all members of the organization have the same visionwith Google, which is trying to promote
innovation and passion to advance theorganization become a leader in the world of dot-com. While the
type of corporateculture by Cameron and Quinn, Handy such as:

1.Cultural Power (Power Culture). A source of strength that highlight core control. thereare few rules or
procedures and competitive atmosphere, oriented on the power, and politically.

2.Cultural Role (Role Culture). Work is controlled by the procedures and regulations.Role or job
description is more important than the people who fill these positions.

3.Cultural Support (Support Culture). The goal is to bring together the right people andlet them do the
job. Its influence is based more on the strength of the expert ratherthan personal strength or position.

4.Cultural People (People Culture). The individual is the main point, the company isonly there to serve
individuals in the company.Based on these types, then the prevailing corporate culture at Google is
PeopleCulture. This is stated in the statement of Larry Page as CEO of Google, whichrecognizes that:

"The people behind the scene which makes Google the company it is today. We hire people who are
smart and diligent, and we prefer the ability over experience. Although Google employees share the
same goals and vision for the company, weaccept all people from different backgrounds and with a
diversity of languages,reflecting the global users we serve. Outside of work, Google employees perform
a variety of hobbies, ranging from cycling to beekeeping, from playing frisbee to dancethe foxtrot. We
try to maintain an open culture that is often associated with thecompany longer, which is where
everyone is an active contributor and feelcomfortable to share ideas and opinions. In our weekly
mandatory meetings("TGIF")-not including those via email or in the cafe-Google employees to
askquestions directly to Larry, Sergey, and other executives about the company's problems, no matter
how many. Our offices and cafes is designed to encourageinteraction between Google employee in the
team and other intergroup, as well as toturn the conversation about work and play.

Google's culture is very informal. Googlers working in groups in a very dense, withthree or four staff to
share space with couches and dogs. Corporate virtually invisiblehierarchy and employees who do not
wear uniforms.

CONCLUSION
Google created a unique work environment that attracts, motivates, and retains the best players in the
field. Google encourages employee risk taking and innovation.

Google’s culture is reflected in their decision making as well.

Decisions at Google aremade in teams. Even the company management is in the hands of a triad: Larry
Pageand Sergey Brin hired Eric Schmidt to act as the CEO of the company, and they arereportedly
leading the company by consensus.Synthesis of understanding organizational culture is the totality of
values, symbols,meanings, assumptions, and expectations that can provide solutions to the
growingfactors outside the organization and able to be the glue for its members. Based on thetypology
proposed by Etizoni organization, then Google including normative organization because all members of
the organization have the same vision withGoogle, which is trying to promote innovation and passion to
advance theorganization become a leader in the world of dot-com. While the type of corporateculture
by Cameron and Quinn, Handy the prevailing corporate culture at Google isPeople Culture.

REFERENCES

Case Study Google.pdfEdgar H. Schein,

Organizational Culture and Leadership

, 3rd Edition (San Fransisco: John Wiley & Sons, Inc., 2004) p.17.Fiske, S.T., Taylor, S.E., (1991). Social
cognition. New york: McGraw hill.Larissa A. Grunig, James E. Grunig, David M. Dozier,

Excellent Public Relations and Effective Organizations: A Study of Communication Management in


ThreeCountries

(New Jersey : Lawrence Erlbaum Associates, Inc., Publishers, 2002) p.282.Mats Alvesson,

Understanding Organizational Culture

(London : SAGE PublicationsLtd., 2002) p.3.Schein E. (2004). Organizational culture and leadership.
Tousand Oaks: Sage publications.

SerrinErdogan and Talya Bauer to accompany Carpenter, M., Bauer, T., & Erdogan, B. (2009). Principles
of management (1st ed.).

New Walter R. Freytag, “Organizational Culture” dalam Kevin R. Murphy and Frank E.

Saal, eds.,

Psychology in Organizations: Integrating Science and Practice


(New Jersey: Lawrence Erlbaum Associates, Inc., 1990) p.181.Weber, Stephan. (n.d). Organizational
behaviour - Google corporate culture inPerspective. Scholarly Paper. Verlag fur Academische.

York: Flat World Knowledge. Based on information from Elgin, B., Hof, R. D., &Greene, J. (2005, August
8). Case in Point: Google Creates Unique Culture

[1]

Walter R. Freytag, “

Organizational Culture

” in Kevin R. Murphy and Frank E.

Saal, eds.,

Psychology in Organizations: Integrating Science and Practice

(NewJersey : Lawrence Erlbaum Associates, Inc., 1990) p.181.[2] Larissa A. Grunig, James E. Grunig,
David M. Dozier,

Excellent Public Relationsand Effective Organizations: A Study of Communication Management in


ThreeCountries

(New Jersey : Lawrence Erlbaum Associates, Inc., Publishers, 2002) p.282.[3] Edgar H. Schein,

Organizational Culture and Leadership

, 3rd Edition (SanFransisco : John Wiley & Sons, Inc., 2004) p.17.[4] Mats Alvesson,

Understanding Organizational Culture

(London : SAGEPublications Ltd., 2002) p.3.

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