How Does Google’s Organisational Structure Contribute to its Innovative Nature? Essay Example

completion, and seamless transition to new projects.

According to the Human Relations School, Google employees have empowered roles and control over their own projects rather than being supervised from a distance. This sense of control and contribution greatly motivates the workers at Google.

In Google, the concepts of shared information and transparency are effectively implemented, which is usually seen only in small businesses. Every project in the company has a description, a blog, and real-time updates that can be accessed by all employees. This enables rapid dissemination of ideas and facilitates swift decision-making and implementation of changes.

Google operates with a matrix-like structure for its small teams, although it does not have an official organizational structure. Unlike other companies that only use this type of structure for specific projects, Google primarily follows a traditional organizational approach, where most employees either work independently or in matrix-based team structures. However, what distinguishes Google is its scarcity of managerial positions.

Motivation

Google's approach to staff motivation is similar to the ideas of the Human Relations School (HRS). In addition to the salary, Google offers many free benefits within the Googleplex. Employees have access to free food, medical care, a gaming room, a gym with a swimming pool, and massages, all conveniently located in the office. This enjoyable working environment greatly contributes to Google's staff motivation and was recognized when it was named the best company to work for in 2007 (see introduction).

According to Herzberg's Two-Factor Theory, Google fulfills the majority of criteria in the motivator's area. However, a former employee9 criticizes the lack of Promotion Opportunities at Google, stating that there

is no career development plan from individual contributor to manager. This is attributed to Google's belief that hierarchy is detrimental, resulting in a lack of a crucial motivational aspect for its staff.

Source10

The innovative nature of the text

Google demonstrates its brilliance by maintaining boldness and ambition, despite having over 16,000 employees. When interviewing prospective hires, a crucial question arises: 'If you had access to Google's resources, how would you use them to make a worldwide impact?' This query holds great significance for Google as it aligns with their approach after more than a decade of operation.

Initially, Google's main objective was to become the leading search engine. However, it gradually expanded its range of offerings to encompass more than 40 diverse products and services12. As a result of this expansion, there has been a substantial rise in annual revenue from around $3.19 billion in 2003 to surpassing $16.59 billion in 200713.

Google's method of supplying tools for information provision and organization is a departure from its original mission. The innovation at Google mainly stems from its employees, referred to as "contributors." All members of Google have mailing lists where they exchange ideas for new features, leading to the conception of most applications, services, and products. This internal collaboration is crucial for Google's ability to innovate since it acknowledges that good ideas can originate from any part of the company rather than solely top-level management.

Google benefits innovation by requiring that 20% of a Googlers' work time be dedicated to personal projects or ideas. During these allotted times, many potential ideas are developed. The Googleplex

provides rooms designed to encourage creative thinking and assist in the development of these ideas. However, a former Google employee revealed in an interview14 that starting a "20%" project is the individual's responsibility and most people often do not have a project to work on. Instead, they save up their 20% sessions for future use.

When examining Google's innovation, it is crucial to acknowledge its fundamental business nature as a website. While initially a search engine, Google possesses unparalleled flexibility in development compared to other corporations that would require expensive physical expansions. Unlike traditional businesses, Google can easily incorporate new functions through basic links. Additionally, being a widely-used website opens up endless possibilities for expansion since nearly everything can be accessed online today.

The conclusion

Google has implemented a unique approach to organizing its workforce, which has proven advantageous for its growth. Despite its expansion, the company endeavors to preserve the spirit of a small startup in terms of generating innovative ideas and services. As innovation hinges on employee input, attracting and motivating talented individuals is crucial for the company. While each staff member is allotted 20% time for personal projects, not everyone will create a new service that gains traction.

Although Google's organizational structure is significant for its innovation, other factors may hold more importance. It is important to remember that Google acquired some of its key innovations, like YouTube.com and Google Earth. Additionally, the growth opportunities offered by the World Wide Web should not be overlooked. Furthermore, it is worth noting that advertising continues to be Google's primary source of income, despite being highly successful.

The establishment of

Google's creative team structure has led to the development of various ideas, including G-Mail and Google News. These ideas have been instrumental in driving Google's rapid growth and solidifying its position as one of the world's most valuable companies.

Supporting Documents (copies are included):

The "Company Overview" of Google is available [online] at http://www.google.com/corporate/index.html in May 2008.The March 14th, 2004 article "Google, Innovation and the Web" from Fast Company explores Google's contribution to web innovation. The full article can be accessed online at [http://blog.fastcompany.com/archives/2004/03/14/google_innovation_and_the_web.html].On June 24th, 2007, the blog post titled "Life at Google - The Microsoftie Perspective" can be accessed online at http://no2google.wordpress.com/2007/06/24/life-at-google-the-microsoftie-perspective/. The content is centered and presented in a paragraph format.The text below provides information about Google Inc. (GOOG) sourced from Business Week, which is available online through a provided link. The article was published on May 20th, 2008 and belongs to the McGraw-Hill Companies Inc.The article "The Faces and Voices of Google" by Chuck Salter is available online on the Fast Company website [http://www.fastcompany.com/magazine/123/google.html?page=0%2C4]. The article was published in March, 2008.

Supplementing Sources:

Google's website provides a range of online "Holiday Logos and Events" that can be viewed by visiting http://www.google.com/holidaylogos.html. The information was last accessed on April 14th, 2008.The article "100 Best Companies to Work for" by Fortune Magazine is available online [at http://money.cnn.com/galleries/2008/fortune/0801/gallery.bestcos_top50.fortune/index.html], published on February 4th, 2008.

"The World's Most Innovative Companies." Fast Company [Magazine], article available [online] at http://www.fastcompany.com/magazine/123/the-worlds-most-innovative-companies.html, on March 14th, 2008.

The book "Organization Theory and Design" by Richard L. Daft was published in Ohio, United States of America in 2004.

The online resource "Motivation" can be found at http://cgda.nic.in/rt/rtcblr/website/Training%20Material/H%20R%20D/Motivation.htm. The website was

accessed on May 19th, 2008.

The text states that there is a website called "Google Holiday Logos" with the URL "http://www.google.com/holidaylogos.html", all within a centered paragraph.

Google Inc.'s Mission Statement, http://www.google.com/corporate/

The text states that the online article "The World's Most Innovative Companies" can be found at http://www.fastcompany.com/magazine/123/the-worlds-most-innovative-companies.html. The source of this information is a centered paragraph with a style attribute for center alignment.The source for the "Top 50 Employers" article is an online article located at http://money.cnn.com/galleries/2008/fortune/0801/gallery.bestcos_top50.fortune/index.html. The article is centered.

5 Page 29, "Organization Theory and Design," Richard L. Daft

The book "Organization Theory and Design" by Richard L. Daft's 6th edition references page 30.

There are seven lists of Google management available at http://www.google.com/corporate/execs.html.

The article "Google, Innovation and the Web" can be found online at http://blog.fastcompany.com/archives/2004/03/14/google_innovation_and_the_web.html .

9 available interviews can be found at http://no2google.wordpress.com/2007/06/24/life-at-google-the-microsoftie-perspective/

The website "Motivation" can be found at http://cgda.nic.in/rt/rtcblr/website/Training%20Material/H%20R%20D/Motivation.htm.

The article titled "The Faces and Voices of Google" can be found online at http://www.fastcompany.com/magazine/123/google.html.The following text is unchanged, with the and their contents preserved:

12 Inventory of offerings and merchandise [online], http://investing.businessweek.com/research/stocks/snapshot/snapshot_article.asp?symbol=GOOG

The "13 Income Statement" reference can be located on Business Week's website at http://investing.businessweek.com/research/stocks/financials/financials.asp?symbol=GOOG.O. The text is centered.