Balanced HR Score Card for Google Inc - Case Study Example

Balanced HR Score Card for Google Inc Brief Introduction on the chosen company: Google Incorporates Google Inc. is a multinational software product company leading the software and web world with their world class range of web tools starting from the Google Search Engine that is synonymous with the web, Gmail used for personal email and other file uploading and media sharing tools like YouTube etc. The bottom line of the company is: ‘Google is synonymous with easy to use intuitive software’. Google’s strategy is built on continuous improvement, innovation and improving upon the customer experience. Mission, Value statement and Business Strategy: Mission: Google’s mission is, building software and tools that makes life simpler in personal and professional area. Value Statement: Helping businesses grow and succeed through seamless usage of Google software and personal lives influenced as a result of easy and pleasant online experience. Business Strategy: Google’s business strategy focuses on staying relevant with the times through customer feedback in the form of tracking, recording, monitoring usage of Google products their global base of customers. Understanding the fundamentals of an integrated and intuitive online experience through intelligent, self learning and interactive tools that communicate with online users and present relevant information is what Google Inc endeavours for through the launch of its application portfolio and its constant expansion. Key Information on Google Inc Google employs a total of more than 54,000 employees as of today and implementing an HR strategy for an organisation involved in creating and innovating new online tools, needs deep insight into the nature and business plan of the organisation. The HR Score card will be performance measurement framework combining the strategic non-financial measures with traditional financial metric to provide a better understanding of organisational performance, especially to managers and executives. The non financial measures combined with the financial measures will in turn help achieve the organisation’s financial targets. Nature of Business: Google is in the field of technology, and has recently forayed into the hardware equipment market with Google’s new hand held Smartphone and tab launching into the market. A product based company, designing and developing web-based software for enhanced online experience, Google is known for its continuous innovation, improvement and intimate understanding of client needs reflected through its software releases and product launches. Google is into: 1. Enhancing Social networking experience a. Google plus b. Orkut 2. Communication Tools a. Gmail b. Gtalk c. Maps. 3. Media Exchange a. You tube The balanced Score Card for our chosen company will incorporate Financial Measures as well as Operational Measures which in turn will drive Financial Performance for Google Inc. Measuring Operational and Financial Processes in terms of set metrics is essential to the growth and strategy of the organisation. A strategy in turn will take shape for our chosen company. Financial measures: Google’s financial measures include a reduced cost to serve, reduced operating income, divestment and dismantling of non-productive products, services, business units or deals. It aims at improving shareholder trust and confidence through better IPOs and better returns Operational Measures: Relying on heavy non-financial performance measures such as: operational excellence, organisational integration, delivery model, delivery quality, strategic team work and team management, localised specificity and globalised experience, it is extremely important for the HR strategy to consider the qualitative and operational aspects. Operational Excellence Maximum hourly utilisation Resource optimisation Minimum idle time First time right Minimum reopened defects/ issues Zero defect delivery Minimum turnaround time Some of the outcomes of a robust Operational Measure are: customer satisfaction, waste reduction, standardisation of quality of work, standardisation of organisational processes, reduced internal costs, higher savings and lowered operating income. The responses of basic questions asked by the balanced scorecard performance measurement framework are: How do customers see us (the customer perspective)? Customers see Google Inc. as leaders in the web based software world. They are expected to deliver the best. What must we excel at (internal perspective)? Internally Google Inc. needs to excel in talent acquisition and talent management. Assigning the right people to the right tasks for the best possible outcome for the organisation, individual and clients should be the focus of Google Inc. Due to their niche playing area into complex searching algorithms, rich internet experience, personalised on line experience through continuous learning experience of its tools, Google needs to employ and maintain a strong Talent Acquisition Mechanism. Can we continue to improve and create value (the innovation and learning perspective)? Yes, improvement is something that is continuous and changes with changing times, varying customer needs and the shift in the way the world works. Plenty of opportunities exist to refine, innovate and redesign existing tools and online experiences. How do we look to our shareholders (the financial perspective)? Shareholder investment is a symbol of the public reliance and confidence on the activities of the Google Inc. While investment and positive vibes in the share market are dependent on many factors like: overall economic situation prevailing in the top IT economies and IT houses, political situation in geographies where Google Inc. is doing business or has clients, the support from shareholders is vital for better business, reputation and further scope. Balanced Score Card Implementation: Strategic Human Resource Management The Balanced Approach An organisation based out of economic and political superpower, The United States of America, located in California, the balanced approach is the right approach for organisational growth, innovation, improvement and The strategic balance model states that organisational success can be achieved only when financial and societal performance of an organisation is above average in the particular population in which the organisation is operating. (Deephouse, 1999) The Balanced Approach in HRM The Balanced approach in HRM focuses on the following objectives or goals: Goals of the individual employee Organizational goals Societal goals Best Practices Approaches in HRM Following are Pfeffer’s seven best practices: Selective recruitment & selection Extensive training Performance related pay (PRP) Team working Information sharing & communication Reduction of status differences Employment security 7 step model for using HR as a Strategic Business Asset Clarify and articulate the Business Strategy Google’s business strategy is to develop the best in class software products through ideation, innovation and seamless customer feedback at all stages in the development. Google relies heavily on customer involvement and customer feedback in all of its design and development endeavours. That is why Google has many Beta testing projects, some of which are being actively tested by real users spread along and across geographies. Google harvests this multifarious customer feedback in its product refinement and further research activities. Develop a business case for HR as a strategic asset Talent Management: The HR team will have a clear strategy on recruitment and talent nurturing. HR teams will function in close coordination with core business teams. HR teams will supply resources as per demands made by technical teams. The recruitment programs, induction, on-boarding, orientation and periodic connects will be instrumental in boosting individual performance and organisational performance at large. Rewards and Recognition: Human Resources will employ performance based incentives, hot skill bonuses, deep skill bonuses, one time payouts, gratuity payouts and performance linked payouts every years based on parameters of individual performance tracked, monitored and rated by line managers and supervisors in different teams. Employee Engagement: One of the pillars of Strategic Human Resource Management is ensuring a positive relationship between work, supervision, rewards and intrinsic motivation. The outcome of a positive relation between these above components is high employee engagement level. Employee engagement levels will be in turn measured by employee engagement scores dependent on the three parameters; Stay, Say, Strive. Employee motivation will be captured through annual surveys and necessary measures will be taken to improve scores. Strategy map for the firm Identify HR deliverables within the strategy map The HR deliverable within the strategy map lies in the following area: Talent Acquisition An HR responsibility that begins with identification and recruitment of resources with right skill, motivation, exposure and experience, it is a part of the HR strategy in the top down approach Employee Retention Employee retention measures through various initiatives like: incentives, better career experience, greater sense of belonging, oneness with the organisation. Employee Satisfaction Employee Satisfaction lies within the HR Strategic Alignment and should be ensured through tested HR measures like work-life balance, ensuring a healthy work place, better work culture, relationship dynamics, propagating a positive culture with minimum bureaucracy and maximum openness and transparency. Rewards and Recognition Implementing a reward and recognition system that is thoroughly justified by employee contribution in a given performance management period, ranging from overall contribution to the organisation as a whole to individual contribution to the business. Employee Engagement Improving employee engagement through various programs like: employee referral programs, building one’s own team through referral programs and getting to work with friends and ex colleagues. Having a GPTW Club, Great Place to Work, at facility or delivery centre level would be a way to ensure greater engagement level. Having wellness centres, better facilities, community leads etc would all build up to bring about better employee engagement within the organisation. Learning Learning is a continuous process which never ceases. In the age of unlearning and learning it is essential to stay abreast of the current technology trends, consumer choices, market demands and emerging technologies. The learning and knowledge management team would take care of the process of continuous learning with the support of the HR team, in terms of the trainings and offerings, mandatory trainings, workshops etc. Career Growth Lastly the most important HR deliverable is ensuring that employees grow in terms of career level, proficiency, individually and as a professional. It is important that an employee climbs up the ladder of hierarchy with the number of years spent in the organisation. The HR deliverable can be achieved through the implementation of a sound Performance Management Systems and a robust Performance Appraisal Process. Align the HR architecture with HR deliverables The HR architecture will consist of recruiters, coordinators, event managers, schedulers, specialists, senior specialists, HR location leads, HR representatives, HR managers, senior managers, recruitment lead, and finally the overall HR lead. The roles and deliverables would be as following: Overall HR lead (geographic lead) will be responsible for the successful of the HR strategy, through the numbers and figures in terms of Organisation expansion, base of skilled people, attrition rate, retention rate, employee satisfaction etc. HR leads will be responsible for appropriate implementation of local HR policies and practices by specialists and senior specialists. They will be leading localised campaigns to drive employee satisfaction, engagement learning, career growth etc. HR representatives will be further propagating the global strategies in a local implementation style. Recruiters will be responsible for talent acquisition, identification and resource mapping. Design the strategic measurement system Execute management by measurement The Management of the implementation of Human Resource Team’s strategic role will be through the SMART mechanism: Specific, Measurable, Achievable, Realistic and time-bound. Management success in our chosen company, Google Inc, will be measured by employee engagement scores, employee retention rates, employee attrition rates, employee-awareness and employee-satisfaction. On the other hand the financial performance can be measured by the year on year turn over, reduced cost to serve, quarterly revenue, sold work, investor relations and confidence and lastly the percentage change in annual in profit. References: 1. Huselid, M. (2012). The HR Score Card: Linking People, Strategy and Performance. School of Management and Labour Relations, Rutgers University Retrieved From: http://doc.mbalib.com/view/3ff2e8f8602dec8c508f4bc965bbcf74.html Read More