Term paper of organization change and development

On “MICROSOFT COMPANY”

Submitted to Lovely Professional University

In partial fulfillment of requirement for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

SUBMITTED TO :- SUBMITTED BY:-

Mr.Manoj Kumar Sonpreet

Lecturer LSB Rg no.10810473

RR1802B52
 ACKNOWLEDGEMENT

First of all I bow my head to Almighty God who gave command to my hand to make
the project a success. A formal statement of acknowledgement will hardly meet the end of
justice in matter of expression of my deep unsound sense of gratitude and an obligation
to my esteemed Mr.Manoj Kumar , faculty of Lovely professional university Phagwara , for
his sincere effort ,keen interest and caring nature.

I bow my head to my parents for their generous support ,positive attitude , invaluable
blessings and financial help and endless sacrifice for my better and bright future. I find it
beyond my words to acknowledge the love , help and inspiration offered by my friends.

“All cannot be mentioned but none is forgotten”.

INTRODUCTION ABOUT MICROSOFT

 Microsoft Corporation is a multinational computer technology corporation that develops,
manufactures, licenses, and supports a wide range of software products for computing
devices. Headquartered in Redmond Washington, USA, its most profitable products are
the Microsoft Windows operating system and the Microsoft Office suite of productivity software.
As of the third quarter of 2009, Microsoft was ranked as the third largest company in the world,
following PetroChina and Exxon Mobile. It is also one of the largest technological corporations
in the world.

The company was founded on April 4, 1975, to develop and sell BASIC interpreters for the Altair
8800. Microsoft rose to dominate the home computer operating system market with MS-DOS in
the mid-1980s, followed by the Windows line of operating systems. Many of its products have
achieved near-ubiquity in the desktop computer market. One commentator notes that Microsoft's
original mission was "a computer on every desk and in every home, running Microsoft
software. Microsoft possesses footholds in other markets, with assets such as the MSNBC cable
television network and the MSN Internet portal. The company also markets both computer
hardware products such as the Microsoft mouse and the Microsoft Natural keyboard as well
as home entertainment products such as the Xbox, Xbox 360, Zune and MSN TV The
company's initial public stock offering (IPO) was in 1986; the ensuing rise of the company's stock
price has made four billionaires and an estimated 12,000 millionaires from Microsoft employees.

Microsoft has attempted to expand the Windows brand into many other markets, with products
such as Windows CE for PDAs and its "Windows-powered" Smartphone products. Microsoft
initially entered the mobile market through Windows CE for handheld devices, which today has
developed into Windows Mobile 6.5.3. The focus of the operating system is on devices where the
OS may not directly be visible to the end user, in particular, appliances and cars.

The company produces MSN TV, formerly WebTV, a television-based Internet appliance. Microsoft
used to sell a set-top Digital Video Recorder(DVR) called the UltimateTV, which allowed users to
record up to 35 hours of television programming from a direct-to-home satellite television
provider DirecTV. This was the main competition in the UK for British Sky Broadcasting's (BSkyB)
SKY + service, owned by Rupert Murdoch. UltimateTV has since been discontinued, with DirecTV
instead opting to market DVRs from TiVo Inc. before later switching to their own DVR brand.
Microsoft sells computer games that run on Windows PCs, including titles such as Age of
Empires, Halo and the Microsoft Flight Simulator series. It produces a line of reference works that
include encyclopedias and atlases, under the name Encarta. Microsoft Zone hosts free premium and
retail games where players can compete against each other and in tournaments.

Microsoft entered the multi-billion-dollar game console market dominated by Sony and Nintendo in
late 2001, with the release of the Xbox. The company develops and publishes its own video games
for this console, with the help of its Microsoft Game Studios subsidiary, in addition to third-
party Xbox video game publishers such as Electronic Arts and Activision, who pay a license fee to
publish games for the system. The Xbox also has a successor in the Xbox 360, released on
November 22, 2005 in North America and other countries. With the Xbox 360, Microsoft hopes to
compensate for the losses incurred with the original Xbox. However, Microsoft made some
decisions considered controversial in the video gaming community, such as releasing the console
with high failure rates, selling two different versions of the system (one without the hard disk drive)
and providing limited backward compatibility with only particular Xbox titles.

In addition to the Xbox line of products, Microsoft also markets a number of other computing-
related hardware products as well, including mice, keyboards, joysticks, and gamepads, along with
other game controllers, the production of which is outsourced in most cases. As of November 15,
2007, Microsoft announced the purchase of Musi wave, Open wave's mobile phone music sales
business

Economic impact

One of Bill Gates' key visions for the company was to "to get a workstation running our software
onto every desk and eventually in every home. Microsoft has footholds in other markets besides
operating systems and office suites, with assets such as the MSNBC cable television network,
the MSN Web portal, and the Microsoft Encarta multimedia encyclopedia. The company also
markets both computer hardware products such as the Microsoft mouse and home
entertainment products such as the Xbox, Xbox 360, Zune and MSN TV.
User culture

Technical reference for developers and articles for various Microsoft magazines such as Microsoft
Systems Journal (or MSJ) are available through the Microsoft Developer Network (MSDN).
MSDN also offers subscriptions for companies and individuals, and the more expensive
subscriptions usually offer access to pre-release beta versions of Microsoft software. In recent
years, Microsoft launched a community site for developers and users, titled Channel9, which
provides many modern features such as a wiki and an Internet forum.[69] Another community site
that provides daily video casts and other services, On10.net, launched on March 3, 2006.

Most free technical support available through Microsoft is provided through

online Usenet newsgroups (in the early days it was also provided on CompuServe). There are
several of these newsgroups for nearly every product Microsoft provides, and often they are
monitored by Microsoft employees. People who are helpful on the newsgroups can be elected by
other peers or Microsoft employees for Microsoft Most Valuable Professional (MVP) status,
which entitles people to a sort of special social status, in addition to possibilities for awards and
other benefits.

Corporate structure

The company is run by a Board of Directors consisting of ten people, made up of mostly company
outsiders (as is customary for publicly traded companies). The ten board members are elected
every year at the annual shareholders' meeting, and those who do not get a majority of votes must
submit a resignation to the board, which will subsequently choose whether or not to accept the
resignation. There are five committees within the board which oversee more specific matters.
These committees include the Audit Committee, which handles accounting issues with the
company including auditing and reporting; the Compensation Committee, which approves
compensation for the CEO and other employees of the company; the Finance Committee, which
handles financial matters such as proposing mergers and acquisitions; the Governance and
Nominating Committee, which handles various corporate matters including nomination of the
board; and the Antitrust Compliance Committee, which attempts to prevent company practices
from violating antitrust laws.

There are several other aspects to the corporate structure of Microsoft. For worldwide matters
there is the Executive Team, made up of sixteen company officers across the globe, which is
charged with various duties including making sure employees understand Microsoft's culture of
business. The sixteen officers of the Executive Team include the Chairman and Chief Software
Architect, the CEO, the General Counsel and Secretary, the CFO, senior and group vice presidents
from the business units, the CEO of the Europe, the Middle East and Africa regions; and the heads
of Worldwide Sales, Marketing and Services; Human Resources; and Corporate Marketing. In
addition to the Executive Team there is also the Corporate Staff Council, which handles all major
staff functions of the company, including approving corporate policies. The Corporate Staff
Council is made up of employees from the Law and Corporate Affairs, Finance, Human
Resources, Corporate Marketing, and Advanced Strategy and Policy groups at Microsoft. Other
Executive Officers include the Presidents and Vice Presidents of the various product divisions,
leaders of the marketing section, and the CTO, among others.

Major changes that occurred in Microsoft

In order to understand why the number of students choosing to major in accounting has decreased
and why professionals with accounting degrees would not major in accounting again, it is
necessary to understand changes that have been taking place in business and how these changes
have impacted business and accounting education. For many years, business relied on accountants
to prepare financial information for internal and external decision making, to audit the fairness of
that information and to assist them in fulfilling their regulatory and tax-reporting requirements.
Information was expensive and understanding how to prepare accurate financial reports required
expertise that could only be developed through rigorous accounting education or relevant
experience. Rarely did an individual or institutional investor have sufficient power to influence
management or require that specific information be provided. Organizational threats came largely
from a few domestic competitors. Because information preparation and dissemination was
expensive, product life cycles and competitive advantages could be managed effectively and
inefficiencies were not readily observable..
Drivers of Change
At least three major developments have occurred that have changed dramatically the business
environment for which we prepare graduates.

First, technology has been developed that has made information preparation and dissemination
inexpensive. This technology has taken the form of low cost, high-speed digital and cable video
and data transmission, hardware that produces information quickly and easily, and the
development of software that makes preparation, data, and communication tools available to
individuals who previously did not have access to needed information. With these technology
developments, time, space, and other temporal constraints to information have been reduced and,
in many cases, eliminated.

A second major development that has significantly impacted business has been globalization.
Faster methods of transportation, together with instantaneous information, have allowed the world
to become one giant marketplace. Consumers can now buy products from foreign firms as easily
as they can from a local store. Organizations such as General Motors have to worry not only about
what Chrysler and Ford are doing, but also what Toyota, Volkswagen, and BMW are doing as
well. In fact, Chrysler is not just “Chrysler” anymore. It is now a conglomeration of European,
North American, and Asian manufacturers known as DaimlerChrysler. Instead of having only two
major American competitors, General Motors and all other business organizations now have to
compete with similar companies throughout the world. In addition, with the increased availability
of inexpensive information, more is known about these competitors and about General Motors
than ever before. If a General Motors product has deficiencies, for example, the world knows
about and can act on those problems instantly.

A third major change is the concentration of power in certain market investors, primarily large
mutual and pension funds. Mutual funds such as Fidelity and Vanguard, and pensions funds such
as CALPERS, for example, now hold major stock positions in many companies. The influence of
these major market players is so significant that, if they are displeased, corporate executives will
find that their positions within the company are in jeopardy. Armed with easily available and
inexpensive information about investees and their competitors, large institutional investors raise
the competitive bar very high and shorten the periods over which success is measured.

Results of These Change Drivers

While these change drivers have significantly impacted everything we do, including the way we
live, they have had two dramatic impacts on business. First, they have eliminated the old model
that assumed information is expensive. Today anyone, armed with the right software, can be an
“accountant” and produce financial information. Second, they have dramatically increased the
level of competition among organizations. Institutional investors want the best performance and
they want it now. Global competitors often have different cost structures that can be exploited to
render historically. successful business models obsolete and since information about all
organizations is widely available, only organizations that are truly the best survive and remain
successful. There have been a number of business developments because of these changes. Some
of the most obvious are:
• An increased pace of change in the business world.
• Shorter product life cycles and shorter competitive advantages.
• A requirement for better, quicker, and more decisive actions by management.
• Emergence of new companies and new industries.
• Emergence of new professional services.
• Outsourcing of non-value-added, but necessary, services.
• Increased uncertainty and the explicit recognition of risk.
• Increasingly complex business transactions.
• Restructuring of rewards with.
• Elimination of or reduction in rewards for services replaced by technology
• Unchanged rewards for traditional, but needed services
• Increased rewards for services that help leverage technology and globalization and that
assist in making better strategic decisions. Changes in financial reporting and relationships
with financial markets and major market players.
• Increased regulatory activity
 • Increased focus on customer satisfaction

The complexity of transactions has changed dramatically in the 16 years I’ve been with my firm.
started out working on the Delta Airlines audit and have probably worked on it 14 out of 16 years
with the firm. Now, if you read their financials and look at the types of transactions that have
taken place at just one company, you see things such as securitizations, derivatives, and hedges of
foreign exchange and commodity risks.
Because we have all this technology in the business world, models are becoming much more
complex. There are very complex transactions that get invented in business and businesses get
invented. around these things very quickly. Accounting has trouble keeping pace with what should
be the right answers for these kinds of transactions and sometimes, by the time we figure them out,
the transactions or business becomes obsolete.

O.D. INTERVENTIONS Restructuring of Rewards and Increased Attractiveness of Other

College Majors
As firms try to react to these forces of change, they have altered the amount they pay for different
kinds of services. Related to services provided by accounting graduates, three major shifts have
occurred:
• Pay for scorekeeping-type services that can now be performed by anyone using the right
kind of software has decreased.
• Pay for traditional services that are purchased because they are necessary, such as audit and
tax
• Compliance work is under increased competitive pressure and has stayed fairly constant.
• Pay for services that help companies leverage technology and globalization or make
strategic
• Decisions have increased dramatically. Consider, for example, the salaries paid to
undergraduate business students between 1990 to 1999 by certain types of employer.

Changes in Financial Reporting and Increased Regulatory Activity

The combined forces of globalization, technology, and increased power among certain institutional
investors has changed the relationship between listed companies and the market and the way those
companies report information. The results of these changes have been:
• Decreased reliance on historical financial statements
• More one-on-one contact between listed companies and major market decision makers and
• Analysts
• More disclosure of nonfinancial information
• Movement away from traditional financial statements to database-type reporting
• The result of these changes is less need for historical financial statements. As one focus
group
• participant stated:

• The way things have changed is that clients no longer need us to crunch numbers the way
we
• Used to because technology now does that for them. What, in the past, used to be our
deliverable
• The financial statement—is now coming 60 to 90 days after year-end. It loses a lot of its
importance because our clients (and their investors) no longer care what happened 60 or 90
days ago; they’re looking for something to affect the bottom line in the operations of the
business today.

Increased Focus on Customer Satisfaction

With immediately available information and global competition, customers have more information
than ever before to use in making purchase decisions. The result of this increased information and
globalization is greater and more discriminating purchasing power and influence by customers and
a shift in power from sellers to customers. Customers can now, more than ever before, dictate
terms of purchase transactions, including price, delivery times, and product and service
specifications.
This increased customer focus extends beyond purchasing goods and services from other entities
to increased power by users of accounting and other information within entities. Operations
managers and other users can now dictate the kind of information they want, when they need it,
and how it is to be reported to them.

The Three Key Drivers of Change in the Business Environment are These Drivers have
Resulted in:

Inexpensive Information and Increased Competition Have Led to:

• An increased pace of change in the business world
• Shorter product life cycles and shorter competitive
• advantages
• A requirement for better, quicker, and more decisive actions
• by management
• Emergence of new companies and new industries
• Emergence of new professional services
• Outsourcing of non-value added, but necessary, services
• Increased uncertainty and the explicit recognition of risk
• Increasingly complex business transactions
• Restructuring of rewards with:
• Elimination of or reduction in rewards for services
• replaced by technology
• Unchanged rewards for traditional, but needed services
• Increased rewards for services that help leverage
• technology and globalization and that assist in making
• better strategic decisions
• Changes in financial reporting and relationships with
• financial markets and major market players
• Increased regulatory activity
• Increased focus on customer satisfaction
• Concentration of
 • Market Power in Large
• Pension and Mutual
• Funds
• Technology Globalization
• Inexpensive
• Information
• Increased
• Competition

Changes in the workforce and culture due to change process Microsoft

Microsoft’s Top 10 Business Practices for Environmentally Sustainable Data Centers How to
Reduce Energy Consumption, Waste, and Costs while Increasing Efficiency and ROI

Microsoft recognizes the tough challenges that data center managers, industry operators, and IT
businesses face today as they struggle to support their businesses in the face of budget cuts and
uncertainty about the future. It’s natural that environmental sustainability is taking a back seat in
many companies at this time. But the fact is, being “lean and green” is good for both the business
and the environment, and organizations that focus their attentions accordingly will see clear
benefits. Reducing energy use and waste improves a company’s bottom line, and increasing the
use of recycled materials is a proven way to demonstrate good corporate citizenship to your
customers, employees, and the communities you do business in. That said, it isn’t always easy to
know where to begin in moving to greener and more efficient operations. With that in mind—
along with Microsoft’s commitment to share best practices with the rest of the data center industry
—this paper presents the top ten best business practices for environmentally sustainable data
centers. The items in this list were submitted by senior members of Microsoft’s Global Foundation
Services (GFS) Infrastructure Services team. Their backgrounds include expertise in server and
chip development, data center electrical and mechanical engineering, power and cooling
architecture and design, research and development, and business operations and administration.
Microsoft has followed the practices below for several years now and found that in addition to
helping protect the environment, they lead to optimal use of resources and help teams stay aligned
with core strategies and goals.

1. Provide incentives that support your primary goals: Incentives can help you achieve
remarkable results in a relatively short period of time if you apply them properly. Take
energy efficiency as an example. A broad range of technology improvements and best
practices are already available that companies can use to improve efficiency in the data
center. However, industry adoption for these advances has been relatively low. The main
reason is that the wrong incentives are in place. For instance, data center managers are
typically compensated based on uptime and not efficiency. Microsoft now provides
specific incentives to reward managers for improving the efficiency of their operations,
using metrics such as Power Usage Effectiveness (PUE), which determines the energy
efficiency of a data center by dividing the amount of power entering a data center by the
power used to run the computer infrastructure within it.

2. 2 Microsoft’s Top 10 Business Practices for Environmentally Sustainable Data

Centers April 2009
The current global PUE average for the data centers that Microsoft owns is 1.53 and we are
working aggressively to drop this average yearly PUE below 1.2 for all new data center designs by
2010. Uptime is still an important metric, but it is now being appropriately balanced against the
need to improve energy efficiency. One data center manager drove power improvements of 22
percent within three years in one of Microsoft’s older facilities. Another outmoded incentive in the
industry involves how data center hosting costs are allocated back to internal organizations. Most
often these costs are allocated based on the proportion of floor space used. These incentives drive
space efficiency and ultra-robust data centers, but they come at a high cost and typically are not
energy efficient. Space-based allocation does not reflect the true cost of building and maintaining a
data center. Microsoft has achieved substantial efficiency gains by moving to a model that
allocates costs to internal customers based on the proportion of energy their services consume. Not
long after Microsoft’s GFS organization implemented this change, engineers from internal groups
began contacting GFS to ask how they could architect upcoming releases so they didn’t use as
much energy. And product groups began evaluating their server utilization data to make sure they
didn’t already have unused capacity before ordering more servers.

Another outmoded incentive in the industry involves how data center hosting costs are allocated
back to internal organizations. Most often these costs are allocated based on the proportion of floor
space used. These incentives drive space efficiency and ultra-robust data centers, but they come at
a high cost and typically are not energy efficient. Space-based allocation does not reflect the true
cost of building and maintaining a data center. Microsoft has achieved substantial efficiency gains
by moving to a model that allocates costs to internal customers based on the proportion of energy
their services consume. Not long after Microsoft’s GFS organization implemented this change,
engineers from internal groups began contacting GFS to ask how they could architect upcoming
releases so they didn’t use as much energy. And product groups began evaluating their server
utilization data to make sure they didn’t already have unused capacity before ordering more
servers. It’s important to note that GFS didn’t simply change its billing practices and then leave it
up to the product teams to figure out how to reduce their energy use. The migration to this new
process was thoughtfully rolled out with supporting data, tools, and guidance to our internal teams
so they could integrate these improvements into their practices. However, without financial
incentives, it is doubtful these tools would have been used to the extent and success that they were.

2. Focus on effective resource utilization: Energy efficiency is an important element in

Microsoft business practices, but equally important is the effective use of resources deployed. For
example, if only 50 percent of a data center’s power capacity is used, then highly expensive
capacity is stranded in the uninterruptible power supplies (UPSs), generators, chillers, and so on.
In a typical 12 Megawatt data center this could equate to $4-8 million annually in unused capital
expenditure. In addition, there is embedded energy in the unused capacity since it takes energy to
manufacture the UPSs, generators, chillers, and so on. Stranding capacity will also force
organizations to build additional data centers sooner than necessary. This wouldn’t happen had
they fully utilized existing data center infrastructure first.

3. Use virtualization to improve server utilization and increase operational efficiency: As

noted in the point above, underutilized servers are a major problem facing many data center
operators. In today’s budgetary climate, IT departments are being asked to improve efficiency, not
only from a capital perspective, but also with regard to operational overhead. By migrating
applications from physical to virtual machines and consolidating these applications onto shared
physical hardware, Microsoft data centers are increasing utilization of server resources such as
central processing unit (CPU), memory, and disk input/output. It is quite common to see several
instances in data centers where server resources are under-utilized. Industry analysts have reported
that utilization levels are often well below 20 percent. Microsoft is using technologies such as
Hyper-V to increase virtualization and thus utilization year over year, which in turn helps increase
the productivity per watt of our operations. GFS is also actively working on broad-based adoption
of Microsoft’s upcoming Windows Azure cloud operating system, which uses virtualization in its
core. On Windows Azure, an application typically has multiple instances, each running a copy of
all or part of the application’s code. Each of these instances runs in its own virtual machine (VM).
These VMs run 64-bit Windows Server 2008, and they’re provided by a hypervisor that’s
specifically designed for use in the cloud.

A server running virtualization will often need more memory to support multiple virtual machines,
and there is small software overhead for virtualization. However, the overall value proposition
measured in terms of work done per cost and per watt is much better than the dedicated
underutilized physical server case. Key benefits of virtualization include:
• Reduction in capital expenditures
• Decrease in real estate, power, and cooling costs
• Faster time to market for new products and services
• Reduction in outage and maintenance windows

4. Drive quality up through compliance: Many data center processes are influenced by the need
to meet regulatory and security requirements for availability, data integrity, and consistency.
Quality and consistency are tightly linked, and can be managed through a common set of
processes. Popular approaches to increasing quality are almost without exception tied to observing
standards and reducing variability.
A continuous process helps maintain the effectiveness of controls as your environment changes.
Compliance boils

A continuous process helps maintain the effectiveness of controls as your environment changes.
Compliance boils down to developing a policy and then operating consistently as measured
against that policy. The extended value that can be offered by standardized, consistent processes
that address compliance will also help you achieve higher quality benefits. Microsoft has seen
many such examples as we achieved certification to the international information security
standard, ISO/IEC 27001:2005. For instance through monitoring its data center systems for policy
compliance, the company has exposed processes that were causing problems, and found
opportunities for improvements that benefitted multiple projects.
5. Embrace change management: Poorly-planned changes to the production environment can
have unexpected and sometimes disastrous results, which can spill over into the planet’s
environment when the impacts involve lower energy utilization and other inefficient use of
resources. Changes may involve hardware, software, configuration, or process. Standardized
procedures for the request, approval, coordination, and execution of changes can greatly reduce
the number and severity of unplanned outages. Data center organizations should adopt and
maintain repeatable, well-documented processes, where the communication of planned changes
enables teams to identify risks to dependent systems and develop appropriate workarounds in
advance.
Consistent and well-documented processes help ensure smooth changes in the production
environment. Microsoft manages changes to its data center software infrastructure through a
review and planning process that is based on the Information Technology Infrastructure Library
(ITIL) framework. Proposed changes are reviewed prior to approval to ensure that sufficient
diligence has been applied. Additionally, planning for recovery in the case of unexpected results is
crucial. Rollback plans must be scrutinized to ensure that all known contingencies have been
considered. When developing a change management program, it is important to consider the
influences of people, processes, and technology. By employing the correct level of change
management, Microsoft has increased customer satisfaction and improved service level
performance without placing undue burden on its operations staff. Other features that your change
management process should include:
• Documented
• Consistent and well-documented processes help ensure smooth changes in the production
environment. Microsoft manages changes to its data center software infrastructure through
a review and planning process that is based on the Information Technology Infrastructure
Library (ITIL) framework. Proposed changes are reviewed prior to approval to ensure that
sufficient diligence has been applied. Additionally, planning for recovery in the case of
unexpected results is crucial. Rollback plans must be scrutinized to ensure that all known
contingencies have been considered. When developing a change management program, it
is important to consider the influences of people, processes, and technology. By employing
the correct level of change management, Microsoft has increased customer satisfaction and
improved service level performance without placing undue burden on its operations staff.
Other features that your change management process should include:
• Documented policies around communication and timeline requirements
• Standard templates for requesting, communicating, and reviewing changes
 • Post-implementation review, including cases where things went well

6. Invest in understanding your application workload and behavior: The applications in your
environment and the particulars of the traffic on your network are unique, and the better you
understand them, the better positioned you’ll be to make improvements. Moving forward in this
regard requires hardware engineering and performance analysis expertise within your
organization, so you should consider staffing up accordingly. Credible and competent in-house
expertise is needed to properly evaluate new hardware, optimize your request for proposal (RFP)
process for servers, experiment with new technologies, and provide meaningful feedback to your
vendors. Once you start building this expertise, the first goal is to focus your team on
understanding your environment, and then working with the vendor community. Make your needs
known to them as early as possible. It’s an approach that makes sense for any company in the data
center industry that’s working to increase efficiency. If you don’t start with efficient servers,
you’re just going to pass inefficiencies down the line.
In some cases, adding memory is an energy efficient way to improve performance
7. Right-size your server platforms to meet your application requirements: A major initiative
in Microsoft data centers involves “right-sizing the platform.” This can take two forms. One is
where you work closely with server manufacturers to optimize their designs and remove items you
don’t use, such as more memory slots and input/output (I/O) slots than you need, and focus on
high efficiency power supplies and advanced power management features. With the volume of
servers that Microsoft purchases, most manufacturers are open to meeting these requests as well as
partner with us to drive innovation into the server space to reduce resource consumption even
further. Of course not all companies purchase servers on a scale where it makes sense for
manufacturers to offer customized stock-keeping units (SKUs). That’s where the second kind of
right-sizing comes in. It involves being disciplined about developing the exact specifications that
you need servers to meet for your needs, and then not buying machines that exceed your
specifications. It’s often tempting to buy the latest and greatest technology, but you should only do
so after you have evaluated and quantified whether the promised gains provide an acceptable
return on investment (ROI).

8. Evaluate and test servers for performance, power, and total cost of ownership: Microsoft’s
procurement philosophy is built around testing. Our hardware teams run power and performance
tests on all “short list” candidate servers, and then calculate the total cost of ownership, including
power usage effectiveness (PUE) for energy costs. The key is to bring the testing in-house so you
can evaluate performance and other criteria in your specific environment and on your workload.
It’s important to not rely on benchmark data, which may not be applicable to your needs and
environment. In-house testing is the only way to verify how equipment will perform in your
specific environment. For smaller. organizations that don’t have resources to do their own
evaluation and testing, SPECpower_ssj2008 (the industry-standard SPEC benchmark that
evaluates the power and performance characteristics of volume server class computers) can be
used in the absence of anything else to estimate workload power. In addition to doing its own
tests, Microsoft requests this data from vendors in all of its RFPs. For more information visit the
Standard Performance Evaluation Corp.
9. Converge on as small a number of stock-keeping units (SKUs) as you can: One of
Microsoft’s leading data center initiatives is the move to a server standards program where internal
customers choose from a consolidated catalogue of servers. Narrowing the number of SKUs
allows Microsoft to make larger volume buys, thereby cutting capital costs. But perhaps equally
important, it helps reduce operational expenditures and complexities around installing and
supporting a variety of models. Complementing this approach, Microsoft’s server selection
process is built around a 12- to 18-month cycle, so new models of servers aren’t constantly being
brought on board. This increases operational consistency and results in better pricing, as long-term
orders are more attractive to vendors. Finally, it provides exchangeable or replaceable assets. For
example, if the demand for one online application decreases while another increases, with fewer
SKUs it is easier to reallocate servers as needed.

10. Take advantage of competitive bids from multiple manufacturers to foster innovation
and reduce costs: Competition between manufacturers is a good thing, which Microsoft
encourages through ongoing analysis of proposals from multiple companies that puts most of the
weight on price, power, and performance. Microsoft develops hardware requirements, shares them
with multiple manufacturers, and then works actively to develop optimized solutions. After a
preliminary analysis, detailed development work continues with the company that has the best
proposed design. Energy efficiency, power consumption, cost effectiveness and application
performance per watt each play key roles in hardware selection. The competition motivates
manufacturers to be price competitive, drive innovation, and provide the most energy efficient,
lowest total cost of ownership (TCO) solutions. In many cases, online services do not fully use the
available performance. Hence, it makes sense to give more weight to price and power. Remember
that power impacts not only energy consumption costs but also data center capital allocation costs.

Conclusion Beyond the business practices listed above, Microsoft’s Global Foundation Services’
team is taking significant steps in four areas important to environmental sustainability:
• Using recycled resources whenever practical: The Microsoft data center in San Antonio,
Texas, for example, uses approximately eight million gallons of recycled water a month
from the city’s waste water system during peak cooling months.
• Using renewable resources whenever available: The Microsoft data center in Quincy,
Washington, uses 100 percent renewable hydropower from the Columbia Basin River. The
San Antonio facility obtains its electricity from a utility that derives more than 10 percent
of its peak capacity from renewable energy—including wind, solar, and landfill gas. And
the Dublin, Ireland data center will use outside air for cooling, thereby reducing the need
for energy-intensive coolers.
• Reducing waste in operations: One example of Microsoft’s focus on reducing waste is
the company’s transition to using standard shipping containers to house thousands of
servers apiece. Ordering servers by the truckload eliminates the need for large amounts of
packaging and other materials previously required when servers were delivered
individually or in racks.
• Taking part in industry environmental groups: Microsoft is a co-founder and active
participant in the Climate Savers Computing Initiative and The Green Grid—industry
organizations focused on improving computer systems and data center energy efficiency
and establishing a firm methodology for measuring Power Usage Effectiveness (PUE)
accurately and consistently. In part through these groups Microsoft is advocating that the
industry move to a broader range of Microsoft has also implemented a number of best
practices and policy guidelines that drive its construction and facility operations
worldwide. Examples include benchmarks for the design, construction, and operation of
high performance green buildings, high efficiency electric motors for pumps and fans,
electronic variable speed drives, electronic ballasts for fluorescent lamps, and occupancy
dimmers. In short, GFS leaves no stone unturned in optimizing its use of power and natural
resources. Global Foundations Services’ focus on the environment is consistent with
Microsoft’s commitments in this area. Most recently Microsoft announced in March 2009
that it is taking a proactive corporate approach to reduce its carbon emissions per unit of
revenue by at least 30 percent compared with 2007 levels by 2012 to help reduce the
company’s carbon footprint. Because data centers are a significant component of
 Microsoft’s carbon footprint, GFS will play a vital role in Microsoft’s efforts to meet this
corporate goal.

Role of leadership

• Spirituality is the basis for revolutionary,

• transformational leadership
• Leaders develop within themselves a
• purity and unity of thought, word, and deed
• Leaders actively express their spirituality
• in every aspect of their lives
• Spiritual values transform all aspects
• of life in business and society

• Celebrate Establish
• Performance Goals
• Assess
• Risks
• Tap into
• Character
• Implement
• Commercialize
• Decide on
• Innovation
• Generate Analyze
• Ideas Issues

How to motivate employee to adopt changes

• The differences between the two shows up most starkly when it comes to motivation.
Indeed, the things that motivate owners and managers are quite different than the things
that motivate workers and staff. Consider.

• It's a career for owners and managers Owners certainly, and managers usually, onsider
the business to be their career, and as such, there is a commitment to the organization. But
employees don't always consider their jobs to be their careers. Oh, it might be a stop on the
way.

• Owners and managers have ownership

• Interest: Owners and managers typically have an equity interest in the business, that is,
they own shares in the corporation. That ownership stake creates a different level of
dedication and desire. Workers get their weekly paycheck and call it a day.
• Owners and managers have more job security
Owners definitely, and managers usually.
• Increase leadership visibility and communication. Employees look to their leaders to set
the right direction and to mobilise the workforce. Employees need information and leaders
must communicate the reality of the business, how it will impact the organisation and its
employees, and also recapture employees' 'hearts and minds.' While leadership and
communication are always important, they become more important during uncertainty.
Transparency, good dialogue and some clarity about the future engender trust and reduce
anxiety. Employee trust can either be managed and solidified or broken during this time.

• Focus engagement initiatives on critical employee segments:-Whatever the economic

situations, organizations always depend on their top talent. During the current uncertainty,
immediate action is required to make sure that the very best are on board, motivated and
focused on the things that matter. These individuals need to continue to feel special and
more than ever need to contribute to your success.
 • Ensure leadership, HR and line managers are aligned. In the best of times we see
misalignment across an organization. During a time of turmoil, employees will look for
answers and will pick up on inconsistencies in communication. Rumors will infiltrate the
messages and add to confusion. Organizations have to make sure that different
management levels in the organization understand the message, are aligned and the
message is delivered consistently.

• Continue to listen to employees. During this time it is important to continue to understand

the viewpoint of employees, to continue to connect with them to reinforce the key
messages and the importance that employees have in the organization. This will create
value by supporting the business in driving performance and sustaining engagement.

Contribution OF OD PRACTIONER

• Best Global Practices in Internal Organization

• Development
• Learning, Mentoring & Coaching
• Executive& Leadership Development
• Organization Design & Organizational Effectiveness
• Team Building & Effectiveness
• Talent Management
• Community Connections
Aligning and executing strategies in a way that meets financial goals and are consistent with core
values
2. Effectively addressing organizational culture during organizational realignments, industry
consolidations and mergers and acquisitions (M&A’s)
3. Effectively applying organizational change principles to business and product life cycles
4. Aligning strategies, people, systems and processes organization-wide to enhance productivity
and profitability
5. Developing and maintaining the commitment of the workforce to the goals of the organization
for better overall
Performance results
6. Clarifying purpose and mission to inspire and engage the workforce
7. Attracting and retaining top talent
8. Leveraging and aligning existing information technology with business and people strategies
9. Facilitating adoption and use of new information technologies for competitive advantage
10. Using information technology to support learning and innovation
11. Enhancing reputation among communities where we work, with consumers and with
employees and investors.
12. Enhancing employees’ commitment by focusing on corporate citizenship in the community
and contributions.
13. Ensuring accountability for business ethics among employees at all levels
14. Building leadership capacity for now and the future
15. Solving organizational problems systemically as opposed to solving them on a piecemeal
basis.
16. Establishing collaborative relationships and partnerships among public, private and nonprofit
sectors.
17. Increasing speed to market and profit for critical products and services through shared
commitments and organizational values

The world of business and civil society faces challenges as never before. Business leaders need
real-time practical help and support. There is considerable room for improvement in many areas
that leaders consider most important. This article identifies specific areas of urgency and high
priority and points the way for practitioners (O.D., HR, internal and external consultants) to add
value where it is needed most. Currently, it is important to note that O.D. as a distinct field or
function is not often recognized by executive leaders as a source for much of the business
performance improvement work that O.D. could and should support. Business leaders usually go
elsewhere, at least initially, for the support they need and want, first, to line management, then
HR, and consulting firms. In summary, we believe that O.D. practitioners need to work closely
with Executives and line managers to understand the challenges and opportunities they are facing,
and come to agreement on how O.D. tools and practices can support the business to make and
measure changes to capitalize on those challenges and opportunities. By adding their unique
contributions around vision, values, leadership, change, whole systems alignment, culture,
workforce engagement, coaching, learning, development, and so forth, Organization Development
practitioners can make a much needed difference in creating more purposeful, life-giving, humane,
productive and sustainable enterprises for the 21st century O.D. professionals can be enormously
helpful to leaders as they try to step up to these formidable business challenges. For example, O.D.
professionals can ensure that all stakeholders have a basic understanding of O.D. theory and focus
on building core leadership competencies. At the same time, O.D. practitioners can help line
leaders recognize the interconnectedness of the individual, the organization and society, and
support leaders to evaluate whether their espoused core values—those deeply held views we hold
as a compass for ourselves, regardless of
whether or not we are rewarded—are aligned with the behavior and actions of the organization as
a whole. Another strength of O.D. is its whole systems perspective, and there are numerous
possibilities for O.D. professionals to contribute and add value here as well. O.D. professionals
can leverage this strength in supporting line leadership in becoming “whole system thinkers”
in helping them to understand that every organization, no matter how large or how small, is a
system. Organizational problems are linked together, and change in one area often impacts other
areas of the whole system. Discovering the links and how they fit together and, therefore, what
steps the organization can take to improve the situation is the foundation of holding a

BIBLIOGRAPHY
http://en.wikipedia.org/wiki/Microsoft

https://www.e-typedesign.co.uk/

http://office.microsoft.com/en-us/publisher/HA100403841033.aspx

http://www.change-management.com/tutorial-why-cost-benefit-worksheets.pdf

http://support.microsoft.com/kb/873449