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Alleviating the lower-level needs of the employees so they can concentrate their efforts on the more complex and time-consuming tasks of creating innovative new products is the goal of these services. They are consistent with the Maslow hierarchy of needs (Rouse, 27) and do more than just satiate the employees' need for these services; they are the catalyst of greater innovation as jobs in the company have a high degree of autonomy associated with them. For the employee who continually cultivates his new product concept through the rule of 20% process, there is the potential to gain increased status and recognition in the company, and much internal recognition as a thought leader (Taylor, 23, 24). Google has found that this peer-level respect is even more important to many of its engineers and technical professionals than cash or other forms of financial rewards. The company management teams are focused on building a culture of high performance and exceptional insight (Machlis, 244, 245). As a result, the Google reward system is more attuned to the need for achievement and recognition, less on using monetary rewards. Google management wants the employees to find the intersection of what they are passionate about and what the major product needs of the company are (Machlis,...
Google has found that the Return on Investment (ROI) of their programs is exceptionally high when they can guide employees to this specific intersection of innate interest and passion for an area, and a company need.
Conclusion
Google is revolutionizing the advertising industry globally and continues to create a steady stream of new, innovative products and services. As a result, their focus on retaining and growing their base of employees continues to be industry leading, specifically in the areas of autonomy, mastery and purpose and the extensive use of the role of 20%. All of these factors combined give Google a unique and highly differentiated competitive advantage. Their efforts to build a culture that is self-regenerative in terms of innovation is apparent from the majority revenues being from products created by the rule of 20% and the focus on meeting higher-order needs instead of just concentrating on pay alone as a motivator.
References
Machlis, S.. "Innovation and the 20% Solution. " Computerworld 2 Feb. 2009
Ramsey, R.. "Are you missing out on the power of purpose? " Supervision 1 Oct. 2010
Kimberly a Gordon Rouse. "Beyond Maslow's Hierarchy of Needs: What Do People Strive for? " Performance Improvement 43.10 (2004): 27-31.
Chris Taylor. "Democracy Works. " FSB: Fortune Small Business: SPECIAL REPORT: Tech Now 1 May 2009:
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