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Amit Kumar Shaw

Harshita M V
Hemlata Choudhary Organizational Behaviour - 3
Patil Shradha Kailas
Samrat Datta
Soumya Sengupta
Tannavi Singh

Organisation Structure of Google

• To organize world's information and make it universally accessible and

• to provide access to the world’s information in one click.

Corporate Culture of Google:

Google uses the function-based definition and product

based definition for grouping people.

However, the flat structure helps employees to bypass

Google follows a cross-functional structure which is middle-management and report directly to CEO, Larry
Page, when required.
technically a matrix organisation structure with a Small-
considerable degree of flatness. Open Open work
Work Work ambience
culture culture Smart
Main Characteristics emphasis
excellence work exp.
Function-based definition Product-based definition Flatness emphasis
Stakeholders of Google

• Individuals or organization that use google products who may not necessarily pay the company
• They define the company’s popularity which corresponds to the firm’s business value

• Addresses the employees as major stakeholders through competitive compensation and fun workplace design
• Compensation strategy include high salaries and various incentives and benefits, such as free meals and flexible workflows

Advertisers and other customers

• Main source of the company’s revenues and directly determine Google’s financial performance
• Plays a crucial part in making the company popular thereby increasing its market reach and effectiveness

• They are important as stakeholders because they ensure the availability of capital that Google requires for its business
• They keep a track of the usefulness of the products which Google is making, thus ensuring its relevance in the industry
• They are major influencers of the company’s CSR activities , and prioritise research and development strategies to be the company’s holistic approach
towards its CSR activities.

• Google operates across countries and hence have to deal with several governments and correspondingly their governance principle
• Google’s holistic CSR activities ensures that it follows or complies with the regulatory requirements of all the countries that it operates in

• Communities are stakeholders who are interested in the direct or indirect benefits that it gets from Google’s CSR activities such as its charity programs, philanthropy
and related activities
Strategy Direction and Organization design

External Environment
• IOT & m/c learning emphasis
• AI & Cloud Computing
• Blockchain development and its
mixed reviews from users
• Regarded as the leader in
Organization Design the industry that it operates
• Cross functional org. str. in
CEO, Top With equal and high • Google has ended its 2018’s
Management team Strategic Intent
emphasis on learning and Q3 quarter with $27.77
efficiency billion revenue
• Its Information and Control • It has been the most
Operational goals systems are regarded as preferred choice for
• Take leverage from its benchmarks across industry advertisers - $24.1 billion
Mission: To organize world's •
relevant database collected Again, its HR policies are revenue from advertising
information and make it
regarded as benchmarks • Ranked as the 5th most
Internal Situation universally accessible and on its superior Infrastructure
across industry – is preferred workspace to
• Superior infrastructure- Most useful Competitive Strategy
• Focus on Differentiation (+ regarded as one of the most work in by
powerful search engine, preferred org. to work
extensive portfolio of products Cost Leadership) strategy
among the people in
and patented technology general
• Popularity and trust among • An open work culture that
users and investors emphasizes on innovative
• Big players like IBM have thinking
already made decent progress • Partnered with giants like
on AI front Tesla, Facebook, IBM and
• Leadership has switched to Amazon
Sundar Pichai who is renowned
across the industry for his
vision and strong interpersonal
People Centric
An ambidextrous organization

• The culture emphasizes transparency

and openness, and therefore also trust
• The management has frequently in employees
demonstrated what the next • In its recruitment process, Google 70–20–10 percent rule
important area for Google will be. emphasis on hiring the right people 70% of employee’s time should be spent on core business,
• The management decision to who can manage in an env of rapid 20% on projects related to core and
assign several hundred engineers change and where there is a high level 10%on projects on projects not related to core business
to develop Google+. of empowerment. to realize their ideas or the ideas of others
• through the constant expectation • Voluntary education
of external change present in the • Each year, Google removes
minds of management and other unnecessary bureaucratic features in
employees. order to give each employee more
freedom and to facilitate At Google, each employee’s performance is valued according to both
communication and collaboration the aspects of production and innovation.
between colleagues.

Successfully driving Innovation

These principles, together with Google’s practical applications of them could potentially be used as a platform for a totally new management concept- not a Lean
concept this time, but a concept for Management for continuous innovation in a rapidly changing world.
Contingency Framework For Environmental
Uncertainty and Organisational Response

In addition, the firm’s From, a “worker perspective” these type of

organizational structure has “flat environments” require individuals to be
considerable flatness. deeply motivated towards changing, failing,
A flat organizational structure revising and being highly self-disciplined.
means that Google’s employees, These are NOT 9-to-5 by the clock type
teams or groups can bypass environments, nor is decision making clearly
middle management and report defined. In these types of environments
directly to there can be significant levels of high levels
CEO Larry Page. Employees can of dissatisfaction due to a “seemingly endless
also meet and share information of incompleteness”.
across teams.

For example, the company groups For example, the company has a
employees for developing Nexus Sales Operations team,
devices. an Engineering & Design Team, and a
The firm also groups employees for Product Management Team, among
its Fiber business. others. The firm also uses products
as basis
for grouping employees
Generic Strategy based on Porter’s
Google’s primary strategy is differentiation which
involves developing certain unique capabilities
Superior which give the company a competitive advantage
infrastructure Google Search

Miles and Snow’s Strategy Typology

Economies of
Analyzer – Maintaining0existing products and
services and at the same time innovating
Patents and IPs Advertising constantly and growing wherever possible

Innovative Edge Glocalization

Resource Based

Competitive Applications
edge through and Software
Organisational Conflict and Politics

Categories of conflict resolution strategies Sources of Conflict and Rational and Political Models

Power and Political Tactics

Organizational Decision
 The best way to arrive at the beating heart of great management is to have less of it. This is the Google way, and it works.
 Focus on sharing leadership, clearing roadblocks and inspiring teams

Contingency Framework for Using

Choice Processes in the Carnegie Model
decision Models

Snippet from Google Code of Ethics Element for Successful Change Ambidextrous Approach

Google Innovations Corporate Entrepreneurship Culture matters the most

Information Technology Evolution Balanced Score card

What is the strategy for

growth, profitability and
Key Objectives: Increased
net revenue and profit

Internal Business

How do our
customers perceive
us Overall At what processes we
Key Objectives:
Increase in
Mission must excel
Key Objectives:
customer base and Strategy Search , mobile search ,
social networking,
retention of

How do we sustain our

ability to be innovative
and to change?
Key Objective:
Response time, database

Learning and Growth

Organizational Life Cycle

An initial public offering (IPO) took place on August
19, 2004, and Google moved to its headquarters in 2001–2007: from a simple web search to Universal Search
Mountain View, California, nicknamed the Googleplex. Since 2008: Ever-improving processing of information
Google has developed into an incredibly complex, universal search engine.
In August 2015, Google announced plans to reorganize its various interests as a
conglomerate called Alphabet Inc.

02 04

01 03
Google was founded in 1998 by Larry Page and Sergey Brin 2000: Invention of Google AdWords
while they were Ph.D. students at Stanford University in The competition had already begun to
California. Together they own about 14 percent of its shares integrate banner display advertisements into
and control 56 percent of the stockholder voting power their search engine results. But it wasn’t until
through super voting stock. They incorporated Google as a midway through this year that they launched
privately held company on September 4, 1998 the now world famous Google AdWords.
Departmental Technology

To facilitate ease of
technology sharing

To encourage

Frequent technical
workshops &

To encourage idea
sharing and
innovation (g2g
VARIETY Source: Understanding the Theory & Design of Organizations