Introduction
Human Resource Management (HRM) plays a crucial role in the success of an organisation, and the approach to decision-making in HRM can significantly impact the company’s overall performance. This report will examine the approach to HRM decision-making in Google, a multinational technology company specialising in Internet-related services and products. The report aims to analyse the strategies, processes, and tools used by Google to make HRM decisions and further evaluate their effectiveness in achieving the company’s goals. The current external factors that impact the organisation and how they influence the HR strategy will also be discussed.
The approach to HRM decision-making at Google
Google is known for its innovative and data-driven approach to HRM decision-making. The company uses quantitative and qualitative methods to gather information and make decisions about employee recruitment, retention, development, and performance management (Bansal et al. 2017). The company relies heavily on technology such as artificial intelligence and machine learning algorithms to assist in its HRM decision-making processes.
One of the key strategies used by Google in HRM decision-making is the use of data and analytics. The company regularly collects and analyses data on employee engagement, turnover, and performance to identify trends and areas for improvement (Appendix A provides an example). Evidence-based techniques are proven through research to be the most effective (Reddy and Lakshmikeerthi 2017; Atchyutuni and Kumar 2018). Available information is used to inform recruitment, retention, and development program decisions. In addition to data and analytics, Google heavily emphasises employee feedback through regular surveys and suggestion boxes to better understand employee perception and needs, which is then integrated into HRM decision-making.
Google also places a strong emphasis on employee involvement in the decision-making process. Google also fosters a transparency culture by regularly communicating its HRM decisions to employees and the rationale behind them, which helps to build trust and buy-in from employees (Tran, 2017). The company encourages employees to share their ideas and feedback through regular surveys and suggestion boxes. This approach allows Google to gain valuable insights into employee perceptions and needs, which are then used to inform HRM decisions.
Another critical aspect of Google’s approach to HRM decision-making is a flat organisational structure. This structure allows for quick and efficient decision-making by eliminating the need for multiple levels of approval (Bilal and Ahmed 2017; Kubheka et al. 2013). The company also encourages experimentation and employees to test new ideas and approaches to improve HRM practices.
Regarding the external factors impacting Google, the technology industry is highly competitive and rapidly changing. Google’s HR strategy must adapt to stay competitive by attracting and retaining top talent and keeping employee engagement high (Shrivastava et al. 2018). The company also faces challenges such as balancing innovation with regulatory compliance and the potential for increased scrutiny from regulators and privacy concerns. Such issues are evident in previous lawsuits and cases regarding privacy and security. For instance, deceptive location tracking (Hatmaker 2022; Wadhwani 2022), for tracking private internet use (Stempel 2021), and use of personal information without consent (Witley, 2022), among others.
The company’s approach to HRM decision-making has been highly effective in achieving the company’s goals. The company has a reputation for being a great place to work and is consistently ranked as one of the best companies to work for in the world (Yusoof 2016). Additionally, Google’s HRM practices have contributed to the company’s high levels of employee engagement, productivity, and retention, which have helped to drive business success.
Google’s HRM decision-making approach, which emphasises employee involvement and transparency, has proven effective in achieving the company’s goals. However, criticisms and limitations are associated with data and analytics and a flat organisational structure. For instance, the use of data and analytics may be criticised for being too quantitative and may also have a risk of bias if not collected and analysed correctly. Furthermore, a flat organisational structure can be criticised for needing more checks and balances, which may lead to poor decision-making and difficulty for employees to receive feedback and guidance (Kubheka et al. 2013).
Conclusion
In sum, Google’s approach to HRM decision-making is characterised by its use of data and analytics, employee involvement, and a flat organisational structure. These methods have effectively achieved the company’s high employee engagement, productivity, and retention goals. The company’s innovative and data-driven approach to HRM decision-making is an example for other organisations to adopt. Additionally, Google’s HR strategy must adapt to external factors such as the competitive and rapidly changing technology industry and regulatory compliance.
References
Atchyutuni, N. and Kumar, P.V., 2018. Applying Data Analytics for Human Resource Management: Opportunities & Challenges. Journal of Social Welfare and Management, 10(2), p.128.
Bansal, R.., Sethi, S., Mahajan, V., & Sharma, P. (2017). Strategic Human Resource Management in Work and Development in Google. EP Journal of Human Resources, 5(1), 21-25.
Bilal, A. and Ahmed, H.M., 2017. Organisational structure as a determinant of job burnout: an exploratory study on Pakistani pediatric nurses. Workplace Health & Safety, 65(3), pp.118-128.
Hatmaker, T. (2022, 24 Jan). “Google gets hit with a new lawsuit over ‘deceptive’ location tracking.” TechCrunch. Retrieved from https://techcrunch.com/2022/01/24/google-lawsuit-location-dc-privacy/.
Kubheka, I., Kholopane, P., & Mbohwa, C. (2013). The Effects of Flattening Hierarchies on Employee Performance in Organizations: A Study of a South African Retail Group. International Conference on Law, Entrepreneurship and Industrial Engineering (ICLEIE’2013),Johannesburg, South Africa.
Reddy, P.R. and Lakshmikeerthi, P., 2017. HR analytics-An effective evidence-based HRM tool. International Journal of Business and Management Invention, 6(7), pp.23–34.
Stempel, J. (2021, June 3). “Google faces $5 billion lawsuit in the U.S. for tracking ‘private’ internet use.” Reuters. Retrieved from https://www.reuters.com/article/us-alphabet-google-privacy-lawsuit-idUSKBN23933H
Shahzad, F., Xiu, G. and Shahbaz, M., 2017. Organisational culture and innovation performance in Pakistan’s software industry. Technology in Society, 51, pp.66-73.
Shrivastava, S., Nagdev, K. and Rajesh, A., 2018. Redefining HR using people analytics: the case of Google. Human Resource Management International Digest.
Tran, S.K. (2017). “Google: a reflection of culture, leader, and management.” International Journal of Corporate Social Responsibility, 2(1):1–14.
Yusoof, M.S. (2016). “Google Organizational Culture Practices.” The International Journal of Business & Management (ISSN 2321-8916).
Wadhwani, S. (2022, November 15). “Why Google’s $391.5M Settlement with 40 States over Privacy Concerns is Just a Smokescreen.” Spiceworks. Retrieved from https://www.spiceworks.com/it-security/data-security/news/google-privacy-settlement-with-us-states/
Witley, S. (2022, 4 Nov). “Google Ordered to Yield Ad Bidding Documents in Privacy Lawsuit.” Privacy & Data Security Law. Retrieved from https://news.bloomberglaw.com/privacy-and-data-security/google-ordered-to-yield-ad-bidding-documents-in-privacy-lawsuit.
Appendices
Appendix A
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