Google Case
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Google Inc Case Study
Problem Statement
Google must decide which marketing opportunity is viable to their growth strategy by maintaining its mission of being the company that provides the worlds information accessible and useful.
Vision
In reading the case we concluded that, Googles vision was to be the world leader of search technology industry, customers a much higher level of service to all those who seek information. Google focused solely on algorithmic search. Their products, services and solutions helps web surfers have a much simpler and faster experience when doing what they want to online. In determining the company vision you must answer the question of; why do they exist? Based off our previous reading in “Building Your Companys Vision”, a vision consists of two components which include core ideology and envisioned future. The core values that Google embodies are described as being:
1) Dont be evil- In which
2) Technology matters- Google is a data driven decision company, they live by the ideology that decisions are based upon quantitative analysis. Technology systems are built to manage information to make logical decisions. Along with this, Google understands the importance of continually improving and extending their product lines. Google is constantly investing in research and development for current programs as well as always embracing innovation in the organization and promoting the creation of new ideas.
3) We make our own rules-Google is known for not being your typical Fortune 500 Company. Their management team has created an environment for their employees that enhance their abilities to be more innovative. While their engineers are doing what they do best Google invest in taking care of their employees which includes; laundry room, massage room, haircuts, car washes, gyms and etc. Googles belief is that if they take care of your employees their investment will be given in return with great innovative ideas.
These three core values are those that Google seeks to exemplify in everything that the company invests themselves in. Exhibit 6 discusses the philosophy that is embodied in the Google organization. While these three core values are important, these are just the building blocks that Google utilizes in order to help them achieve their envisioned future and the ways in which they will accomplish their ultimate goals.
Googles envisioned future contains a BHAG which is something along the lines of: Providing the entire world with access to all of the information possible. This is considered a BHAG because while it is measurable (it is possible to measure that the entire world has access), it is an extremely ambitious goal for Google, with the hopes that one day they can provide the entire world with access to ALL of the information possible. The envisioned future includes a detailed, vivid description of how Google intends to achieve their BHAG and would look similar to: Google will provide the world with access to all of the information available worldwide. The information will be available through the extensive network that Google creates using their various programs and product lines.
The entire vision of Google, with the core ideology and the envisioned future combined would look similar to; Google exists to provide the widest array of access to information worldwide. This will be made possible by sticking true to the tenets of “dont be evil,” “technology matters,” and “we make our own rules.” Google will also provide the entire world with access to all of the information available worldwide. This will be made possible through the extensive network that Google creates through their various programs and product lines
Boundaries
Googles expansion has been jeopardizing the boundaries of the organization. With the vision dealing with the greatest access to information worldwide, Googles expansion into new line of businesses could potentially threaten their abilities to fulfill this vision for the organization. When entering into these new line of businesses, Google must consider various factors, particularly the impact that these line of businesses will impact their ability to provide users with access to information. It is also important, however, to consider the potential opportunities that will arise by expanding into new line of businesses. Googles expansion into Google Maps, for example, is an extremely sound decision. While maps and GPS applications may seem to stray from the current vision of expanding access of information worldwide, these new competencies allow them to provide users with a new type of information, information regarding locations and directions. These expansion opportunities, when analyzed prior to induction of these new projects, provide unique opportunities for Google to better fulfill their overall vision of the organization.
Based on Googles rapid expansion and their various product lines, it seems as though Google as a whole, lacks real boundaries for the organization. While they have been successful so far, in terms on growth and customer attraction/retention, it seems as though Google promotes various growth opportunities that may not be directly related to their overall vision. The 70-20-10 rule that Google implements for its employees promotes innovation and creativity in the organization, but in the sense that these ideas are not directly related to contributing to the success of Google to expand access to more information for more individuals, some of this innovation may lay outside of Googles boundaries. The 70-20-10 rule is crucial to Googles successes as it allows for individual employee freedom to develop new ideas, but it is also important that Google doesnt venture too far from their vision in pursuing opportunities that do not bring them closer to reaching their overall goals.
Another potential threat for Google deals with the structure of Googles stock. The way that Google structured their stock options ensures that top management maintains overall control of the company and the choices that the company makes. This plays into boundary rules because the shareholders really have no influence over the decisions that the top management makes. Because top management has control, they can make any decisions that they choose, without considering the shareholder expectations. This type of “immunity” in decision making and power positions can threaten the long run effectiveness of the organization if eventually