Google is the leading global technology giant at the moment.It is facing serious competition from firms like Yahoo and Microsoft. This study has identified the current situation that the company faces and needs to be addressed. Some of the challenges identified include its failure to offer competitive perks to its employees and under-utilization of the ads business opportunities. This has even led to the lose of its employees to top competitors. The study also offers recommendations on the same.
Organizational Analysis of Google
Google is a high-tech organization with appealing rates of growth beneficial to shareholders. Inherent with its development, Google faces notable challenges. This study will focus on the situation facing the company besides exploring the competition it faces from rival firms in the industry. This study also provides positive and feasible recommendations for the leaders of the organization to consider. Besides the issues facing the company, the outstanding development of the organization is brought forth (Joiner, 2008).
The nature of the situation being investigated
Google has rapidly developed because of its capability to resolve the need for information access in a substantial and developing client base. This makes us wonder whether operating business through monopoly is a noble thing. In case there is an ideal approach to the search for information, should the search engine business be allowed to succumb to this development design or turn into a regulated industry? The exponential developments of the web and internet databases have made the search business develop rapidly without allowing the current laws governing the business time to improve (Joiner, 2008).
Yahoo, Microsoft, and Amazon have all been enjoined in a lawsuit seeking to block the court settlement of a 2012 Copyright Infringement Act complaint. If successful, this might give Google the right to digitize, have, and offer ads against a large number of published literatures. This is only a modest touch of the issues that Google faces against its competitors. Google consented to pay $125 million to settle the copyright claim (Chia, 2009). Microsoft recorded a suit against Google in 2012 preventing it from double-click merging. Yahoo additionally indexed a suit in November 2012 against the company to abandon the actions to defeat the complaints of antitrust controllers. In February 2013, SourceTool, a B2B web index recorded an antitrust suit against Google blaming it for increasing it ads rates unjustifiably. Experts in the data technology sector affirm that some of these issues are the works of Google's curve rivals like Microsoft, Yahoo and Amazon. In January 2013, Microsoft offered to purchase Yahoo for $47.5 billion. However, Yahoo requested more cash (Reed, 2012). Instead of purchasing the company, Microsoft chose to collaborate with Yahoo. It had the defined goal of giving Google some serious competition. Even with such partnership, Google remains the dominant force with a market share of approximately 70% in the data, search engine, and ad business sector (Casey, 2011).
Other issues confronted by Google are their powerlessness to spur their contract workers spread everywhere on the planet. In December 2012, Google could not give bonuses to their contract employees but chose to give them G1 phones. According to Times Online (2010) the customized G1 units will be given to all changeless Google workers in the United States, Canada, Western and Central Europe, Australia, Japan and Singapore covering around the range of eighty for every penny of its twenty thousand global staff. The loss of the monetary bonuses is not the first blow for Google staff. Some restaurants on its campus grounds opening at night have significantly reduced.
Besides, the credit crunch also led to a decline in demand for its devices. Google's individual occupants of Silicon Valley have been gravely hit by the credit crunch. The reduced consumer spending power resulted in declined sales volume for its devices. With the high expense of credit, organizations are cutting down as much as they can on IT spending. Surveys estimated that 150,000 jobs have been cut down in 2007 (Joiner, 2008). As per the surveys, the recruitment consultancy, the axe fell on organizations such as Yahoo, Hewlett-Packard, and Yahoo.
Google gets no less than 1,500 job applications on a daily basis. This implies that each year they have about over half a million applicants looking to work in this prestigious organization. This has proven to be a headache of the top corporate managers and extreme trouble to shortlist and pick the best applicants for different positions offered (Newton, Long & Sievers, 2009).
Moreover, the dedication and loyalty of their staff is also another dilemma for the organization. In May 2012, Elliot Schrage, one of the senior officials at Google left to join the social community: Facebook. Elliot was head of worldwide public affairs and communication. His departure saw a succession mass migration of its top officials from Google to Facebook like Gideon Yu and Ethan Beard (Eisenberg, 2009). This development among the top staff shows inadequacies of the company's executives in developing a proper system and methodology of dealing with such challenges among the aggrieved senior staff. The main issue is that this staff might uncover business secrets of Google to chief rivals in the data technology business. Google should tackle this issue amicably. However, Google failed to give the typical $2,000 set aside for Christmas but rather gave to all its workers a variant of the G1 cell phone discharged that year (2012). This was a demotivation to workers because they expected the money (McClelland, 2009).
Google has created a logarithm that helps managers pinpoint and address individuals seeking to quit to be given new relegated roles before departing. This advancement is sufficient confirmation that Google's administration has not upped its game. Consequently, some of their staff feel underutilized; a scenario that has propelled many number of them to leave to other firms. Google Inc. has experienced some high-profile passageways to opponents incorporating Twitter and AOL. These takeoffs, which might turn out to be costly in terms of time and cash. This shortcoming of Google is that there appears to be issues with the top administration regarding its failure to attract and retain key individuals (Chia, 2009).
Similarly, Google procures the services of many contractors and some of them practically do nothing but waste the assets of the organization. The company has been giving orders to its 12000 supervisors to keep all the permanent staff in employments set up as an aftereffect of a rebuilding practice. Some co-founders thought that the 12000 contractors were unnecessary, and it was wise to lower their numbers (Reed, 2012). Along these lines, this was a confirmation that planning of employee recruitment, job evaluation, and description was poorly handled by the company's management.
Relevant theories
Just like any other organization, Google Inc. is a "machine." The output of a machine is determined by the workability of its components and any mishap may be costly. This also applies to Google. Google sees data assembling with a viewpoint being personal, small, and larger businesses, educational and non-profit. Google always tries to make all its products and applications work for all fragments fittingly by permitting non-profit organizations and individuals to use it freely. In some cases, some applications are freely available to for-profit clients. The founders of the organization have an in number connection to training and libraries. They encourage a college like environment as a feature of their organization society. The organization itself most likely uses a showcasing approach of execution as an organizational culture. All things accelerate better search strategies and more data accessible through many methods as would be prudent. All representatives are urged to take part and are compensated through free dinners, organization laundry rooms and get cleaning drop dry, lap pools, group games, volleyball, opportunity with work hours, competitive incomes. There is even a concierge work area (McClelland, 2009).
Some associations with students are fostered with summer-work programming opportunities that are regulated by Google through numerous organizations. They have made free Wi-Fi accessible in Mountain View and examining doing this at different areas like San Francisco (Palmer, 2012). Google continues to attempt to challenge software specialists mechanically in different regions of the nation by holding discussion events focusing on high-level technical ideas and futures. They hold customizing challenges offering extensive money rewards. The Annual Code Jam has attracted global rivalry in the need to address mind-racing issues with the help of the best and brightest individuals by offering cash and prestige to members. This is also a helpful tool for finding new workers.
Google provides advertising with Adwords, gaining income from an organization's site with Adsense, free global business listings and strategies for utilizing coupons through Google Maps. Other offerings include webmaster instruments, films, books, and investigation for sites, Google Talk texting and Gmail, Google Groups, Blogs and other web systems services like information searches. They have Google calendar, Google news, Games, search techniques for inside a site or inside a conglomeration. They have a mixture of hooks into measured telephone organizations where searching is done with text and voice information about local organizations. They have photographic control and organization, Google Sketchup a 3D delineation program that works with Google Earth, spreadsheets and report frameworks, associations with program organizations like Firefox, associations with area registry organizations like Godaddy and eNom.
They have a Google checkout that is tightly incorporated with numerous sites, Google Product Search and Google Catalogs. They are forming partnerships with radio advertising. They are included with dialect interpretations and spell checking. They additionally have an expansive R&D system called Google Labs, which is reconciled inside the organization and coordinates with school frameworks and the global community (McClelland, 2009). They offer a wide mixture of educational materials for its items through the web, with online courses, motion picture presentations and decently arranged and simple to read information on website pages. It is intriguing to note that the Google site itself has no adverts. They intend to make more acquisitions globally and locally to continue to add its items to each method of data interaction and communication. Recently, Google announced its consent to buy Double click for $4.1 billion in cash. They are also considering acquiring 'Simply Hired' to manage their MySpace work search software.
Evaluate the alternatives and solutions based on best practices in the industry through research
The improvement of browsers, databases and effective equipment for servers will continue to expand customer satisfaction of Google's search systems. These are the areas that might bottleneck speeds. Many of the browsers and database calculations producing alternate time and up-to-date issues might not be addressed fully or speedily. With the entire technology masters at Google and changes in the physical market of the internet modifying from phones to Wi-Fi and information space frameworks and access systems evolving, a facilitated modernization exertion might yield satisfactory advancements in speed, throughput, and security (Chia, 2009).
The market for telephones, TV, PCs, handheld gaming, and music continue to consolidation into one item. Since all the devices have computerized information, it is expected that they have to be organized and readily available. Research and improvement in these territories of innovation is wanted to be the business leader with proceeded online advertising technology implementation and usage. This is vital since most of the incomes are earned along these lines (Joiner, 2008). Innovators on the utilization of new technology could give them the capacity to present extra options to online marketers.
Maintaining a positive public reputation to buyers and customer support groups will administer a stable environment for the company's investors and representatives. Investments in solid advertising by showing concern for personal security will foster client acceptance and popularity. Many customers and investors will be ready to utilize or be interested with their services. This is possible assuming that the organization is also supporting the formulation of new security laws with limited effects on the present plan of action.
Procedures for real time facts, implementation systems, and reaction on web ads to their clients will give their clients trust and permit them to increase their advertising campaigns continually (Palmer, 2012). Investment and the development of the in-registration strategy will be favorable element for advertisers in future marketing initiatives and sales. Such an innovative idea enables marketers to get extra data about buyers utilizing a specific form of media. Its efforts to make free Wi-Fi and broadband web utilization accessible will stimulate expanded desire for products that can utilize it such as music, conferencing, and film (Palmer, 2012).
The market for teenagers and children is stretching. Many of those who have had computers their entire lives and MP3 music and mobile phones are the norm. This market will have many securities and regulations. The future of the clients will be secured in different markets (Joiner, 2008). In order to be an industry pioneer, Google could pick up a considerable measure of attention and client steadfastness. Numerous services that the company offers will be useful to the entire society as the market develops continue to grow significant computer skills.
The organization must be ahead of its competitors in establishing frameworks for success like improving employee morale and retention. Any local ties to the telecommunication business may be this introductory catch also as issues relating to shared use of internet. Besides, the situations of what could happen must be evaluated so the organization will be ready for future victories existing in an alternate environment than they presently have (Palmer, 2012). As software and hardware frameworks continue to develop and advance, numerous software algorithms are expected to progress into components of hardware.
Conclusions based on the research
Google will continue to advance its worldwide command of all parts of the internet, search, interactive media and telecommunications commercial ventures. As the commercial enterprises and the business sector choose what will happen with TVs, workstations, phones, gaming gadgets, musical supplies and information transmission, Google will be prepared on all fronts with the items and services needed for success. They will continue to upgrade news, mail, blogs, chatting, voice messages, web journals, forums and data sharing of any sort to seamless integration of the items and services.
The issues it will confront all appear to be originating from external sources of copyright issues, foreign government interventions, U.S. government regulation, security issues and global cultural issues. Provided that the corporate culture remains open and free streaming with solid associations with youth, decently versed Information Technology veterans in the industry and instructive assets, they ought not to have an issue with their expectations to the external planet and their client base. The span of the organization might in the end make it seem excessively effective and make it more troublesome to administer (Reed, 2012). The search engine organizations are in an alternate class than other commercial ventures. This is because the center business touches and controls a developing measure of individual data besides government information in the U.S.A. And globally. The new ground of space, control, and utilization of delicate or individual information over the web to other insecure outputs is becoming untrustworthy. It is more than a basic information base; a search motor that seemingly might turn into an apparatus of manmade intelligence is nothing to disregard.
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