1. The importance of being
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2. Agenda
Introduction
1. Appraise Google’s architecture. How well suited is it to the company’s
present competitive situation?
2. In which sector of the Goffee-Jones matrix would you place Google? How
appropriate is that culture for the challenges confronting the company?
3. Analyse Google’s belief system. Are any parts of its paradigm outdated?
Conclusion
Reference
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3. Introduction
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4. More about Google...
Incorporated in 1998 by two computer PhD students from Stanford
University, Sergei Brin and Lawrence Page.
Organize the worlds information and make it universally accessible and
useful
An aid to the user not an distraction. (gaining perfect position in search
engine).
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5. 1. Appraise Google’s architecture. How well suited is it to the
company’s present competitive situation?
Architecture •Flat hierarchy (light employees
supervising)
•Autonomy (Working in informal
Structural way, clusters of 3-4)
hierarchy •Devolution (participative decision
making)
Contracts & •Economic incentives (sharing risks and
Values & Relationships Information rewards ex: preference of structural
belief systems (internal & infrastructure
external) chaos)
Control
systems
Easy monitoring and
managing employees
•“We love our
employees, and we
want them to know • “wild fun” • Google provide high
it” •Light quality of employment
• Google minded supervision package
• enjoyable working • Unique working
atmosphere environment (gym,
• Trust
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6. 1. Appraise Google’s architecture. How well suited is it to the
company’s present competitive situation?
Main competitors: Yahoo.com, facebook.com, Microsoft and other
Competitive advantages :
• High speed of making decision and Outstanding teamwork
• Employees have right degree of independence (The “70-20-10 rule”)
• Easy transfer of information and knowledge
• Unique environment condition in an organization which provide high level
of motivation and long term interest of employees
• Hiring process (solve puzzle)
Conclusion : Unusual Google inc architecture helps company to compete in
changing environment
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7. 2.a. In which sector of the Goffee-Jones matrix would you place
Google?
Theory:
Two types of social relations Sociability and Solidarity.
Sociability: measure of emotional non-instrumental relations where
individual regard one another as friends.
Solidarity: is the degree to which people think together in the same
ways, sharing tasks and mutual interests.
Goffee R and at. all., (1999)
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8. 2.a. In which sector of the Goffee-Jones matrix would you place
Google?
Networked Communal
High
• high level of trust • strong team working
• high levels of empathy • sharing the firm’s mission and
• open door policy predominates value, risks and rewards
• more loyalty to social group • strong friendship relations
rather than organization • possibility of poor performance
• productivity can be low
Sociability
• difficult to sustain
• social ties are weak
•Low consciousness of organizational • communications are focused on
membership business matters
•People work with shut door • encouraged competition between
• employee rarely agree with employees
organization objectives • high performance
• employees stay as long as their
Low personal are met
Fragmented Mercenary
Low Solidarity High
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9. 2.a. In which sector of the Goffee-Jones matrix would you place
Google?
Based on the dimensions of Sociability and
Solidarity, culture at any organization can be
divided into four types:
Level of Sociability is high:
Friendly working environment with small
supervision.
High
Employees working in small clusters.
Networked Communal Google Wi-Fi to keep employees connected 24/7.
Sociability
TGIF-meeting to celebrate team accomplishments.
Fragmented Mercenary Level of Solidarity is high:
Low Equitable sharing of risks.
Low High ‘Boldly go where no one has gone before.’ (Leeds to
Solidarity enthusiasm).
‘Innovation is our Bloodline.’ (Employees are clear
about the competition).
Corporate Identity ( Nooglers & Xooglers)
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10. 2.b. How appropriate is that culture for the challenges
confronting the company?
• Changing environment
Low flexibility of organisation culture because of strong culture (strong
reliance on founders values)
Strong culture keeps high loyalty to organization
• Competition
Low control: Stimulate the creation and sharing of new Googlye ideas
Low control: Light supervision may lead to companies unsustainability in
competitive environment (facebook, youtube)
Saporito, 2011
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11. 2.b. How appropriate is that culture for the challenges
confronting the company?
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12. 3.a. Analyse Google’s belief system.
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13. 3.a. Analyse Google’s belief system.
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14. 3.b. Are any parts of its paradigm out-dated?
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15. 3.b. Are any parts of its paradigm out-dated?
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16. Conclusion
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17. Reference
• Haberberg A and Rieple A.,(2008), Strategic Management, Oxford
university Press NY
• Goffee R and at. all., (1999), Harvard business review on managing
people, Harvard Business Press USA
• Google Buzz: Killed (2010-2011) International Business Times, Fri, 14 Oct
2011, Regional Business News, International Business Times, Fri, 14 Oct
2011 (http://web.ebscohost.com/ehost/detail?sid=fac1adb4-e4bd-4e60-
bfb1-
8f6b18236b07%40sessionmgr11&vid=2&hid=19&bdata=JnNpdGU9ZWhvc
3QtbGl2ZQ%3d%3d#db=bwh&AN=231614%2F20111014)
• www.google.com
• Saporito, Bill (2011), Refreshing Google, Time177 (5), p48-49
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