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Copy of GOOGLE Strategy Execution and Leadership

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on 3 December 2013

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Transcript of Copy of GOOGLE Strategy Execution and Leadership

1997 Registered domain
1998 Google Inc, Hired their 1st employee, Top 100 websites
1999 Raised $25M in equity
2000 Launches Adwords
SEMINAR
OVERVIEW
ALICE
$250
$500
BOB
$500
$1,000
CAROL
$1,000
DAVE
$2,000
$2,000
ANOTHER
BALLOON
FOUND
BALLOON
FOUND!
ALICE WINS
BOB WINS
CAROL WINS
DAVE WINS
$750
$500
$1,000
$2,000
WATERFRONT PARK
PORTLAND, OR
UNION SQUARE
SAN FRANCISCO, CA
CHASE PALM PARK
SANTA BARBARA, CA
CHAPARRAL PARK
SCOTTSDALE, AZ
KATY PARK
KATY, TX
LEE PARK
MEMPHIS, TN
CENTENNIAL PARK
ATLANTA, GA
COLLINS AVENUE
MIAMI, FL
TONSTER PARK
CHARLOTTEVILLE, VA
GLASGOW PARK
CHRISTIANA, DE
CROWD
BUILDING
40th Annversary of the Internet Grand Challenge
40th Annversary of the Internet Grand Challenge
Copyright alex pentland 2012
Pickard, Pan, Rahwan,Cebrian,Madan,Crane,Pentland
Leadership is having
a common vision!
Successful Strategy Execution Is All about Behaviors
YAHOO
STRATEGY
STRATEGY
Strategy Mapping
Planning Process
Strategy
How does this work in real life?
How does this work in real life?
TRY IT OUT!
Lessons for
MBA/CMA Group # 9
LEADERSHIP
STRATEGY EXECUTION
Google is the world's most used search site for information that people use mostly everyday.
Strategy Execution @
HISTORY
Strategy Execution
VERTICAL INTEGRATION
LESSON

1995-2000
1995 YAHOO incorporated
1996 Went Public
1998 Turned down Google's offer
1999 Market Cap $100bn
2000 Licensed Google's search




2001-2004
2001 New CEO, Eric Schmidt
2002 Launched APIs, Labs,
News, Froogle
2003 Google AdSense, Books
2004 Google went Public
Orkut, Gmail, Picasa
2005-2008
2006 Launch smart ads
2007 Jerry Yang became CEO
Acquired Flickr
2008 1000 Lay offs, CEO Resigned
2008 Micorosot $44.6 bn bid
2005 Google Maps, Earth, Analytics
2006 Outbids Yahoo to buy YouTube
2007 Google Android
2008 Mobile Apps for iphone
2009 - 2013
2009 Another New CEO
2010 Apps for android
2011 CEO is fired
2012 Marissa Mayer became CEO
2009 Google Chrome
2010 Google Nexus
2011 Larry Page becomes CEO
Eric Schmidt Exec. Chairman
Acquired Motorola
2012 Play, Wallet, Plus, Drive, Hangout, Glass
2013 Android passes 1 billion device activations
Market Cap: $34.4 Bn
Market Cap: $344 Bn
Google’s mission is to organize the world’s information and make it universally accessible and useful.
CHANGE IS CONSTANT
GOOGLE ENVIRONMENT!
FOR
life
work
Leadership at
- Get to know your employees.
- Create new ways to reward and promote your high-performing employees.
- Let your employees own the problems you want them to solve.
- Allow employees to function outside the company hierarchy.
- Have your employees’ performance reviewed by someone they respect for their objectivity and impartiality.
Be a good coach
Empower your team and don’t micromanage
Express interest in your team members’ success and well-being
Be productive and results-oriented
Be a good communicator and listen to your team
Help your employees with career development
Have a clear vision and strategy for the team
Have technical skills so you can advise the team
8 principles behind good management
Project Oxygen
What went wrong?
THE WAY?
THANK YOU!
Structure
Motivators
Decision Rights
Information
Top-down, Short-Term
Hierarchical, Bureaucratic
Limited, Intolerance of failure, Low Risk
Monetary Incentives
Strategy Execution @
Structure
Motivators
Decision Rights
Information
Bottom-Up, Long-Term
Create conditions where innovation flourish
NO Hierarchicy NO Bureaucracy
Vertical Integration
Limited, Collective risk, Low Risk
Encourage expression of new ideas
1. Focus on the user and all else will follow.
2. It’s best to do one thing really, really well.
3. Fast is better than slow.
4. Democracy on the web works.
5. You don’t need to be at your desk to need an answer.
6. You can make money without doing evil.
7. There’s always more information out there.
8. The need for information crosses all borders.
9. You can be serious without a suit.
10. Great just isn’t good enough.
Eric Schmidt Leadership Practices
Source: HBR Article, "The Secrets to Successful Strategy Execution"
by Gary L. Neilson, Karla L. Martin, and Elizabeth Powers
LEADERSHIP
-
ALIGN
business & support
units and processes
What is Strategy Execution?
STRATEGIC MISTAKES
2. What is Strategy Execution?
5. Workshop
4. Leadership at Google
3. Strategy Execution at Google
1. Google VS Yahoo Timeline
EXECUTION
-
TRANSLATE
strategy
into a measurable framework
-
COMMUNICATE
strategy
across the organization
-
ACT
to drive performance
2001 Market Value Drops, CEO Resigned
2002 Formed partnerships with ISPs, Did not buy Google
2004 Upgrade mail from 4MB to 1GB
STRATEGY PLANNING PROCESS
"
Four big companies dominate the Internet:

Google, Apple, Facebook, and Amazon.
Google
has all the world’s information;
Apple
is the king of elegant design;
Facebook
is where your social life is;
Amazon
is where you buy everything.


By: Eric Schmidt, Google Chairman
Between them the four are worth about a half a trillion dollars.
Microsoft was glaringly missing
from the list."
THE WAY?
CULTURE
1. Act like a scientist
that have a big impact
5. Use data to understand what your
employees really think
4. Model your HR as a science lab
3. Don’t neglect little things
2. Give smart perks
WAY :)
We know
What happened with
:(
1. Missing the Google Express
(Not buying Google’s technology in 1998 and in 2002 and then turning to Google for search results in 2000)

2. Paying billions for Broadcast.com in 1999.

3. Failed acquisitions: Facebook

4. Hiring Terry Semel as CEO.

5. Rejecting Microsoft’s buyout offer.
(Willing to pay $44B for Yahoo; Current market at half the offer)

Strategy Execution @
“Back To the Stone Age? New Yahoo CEO Marissa Mayer Bans Working From Home”.

Do you think this will encourage productivity and synergy or discourage workers?
5 Successful Factors Required to Execute Organization’s Strategy



Embracing public vulnerability
Letting go
Build trust to gain speed
There are three key areas of focus that can
turbo-charge Yahoo’s conundrum:


“However beautiful the strategy, you should occasionally
look at the results” —Sir Winston Churchill

“The essence of strategy is choosing what not to do.”
Michael Porter

“Strategy without tactics is the slowest route to victory. Tactics without strategy is the noise before defeat.”
Sun Tzu
“Don’t measure your performance by what you have accomplished, but by what you should have accomplished within your capabilities” - Unknown
STRATEGY EXECUTION
- FOCUS
- COMMUNICATE THEIR STRATEGY
- ENCOURAGE TEAM TO IMPLEMENT
THEIR STRATEGIES
- GET THEIR TEAMS TO PLAN
FOR SUCCESS

Successful Leaders provide:
Mission:
"We create highly personalized experiences that keep our users connected to the things that matters most, across devices and around the world. In turn, we deliver value for advertisers by connecting them with the right audiences."

Vision:
“Yahoo is about making the world’s daily habits more inspiring and entertaining.”

Financial Perspective:
Increase return on investments and distribution to stakeholders.

Customer Perspective:
“This commitment to our team will enable us to produce the most compelling and exciting user experiences anywhere, and it will have long-lasting benefits for our users, advertisers, partners, and shareholders. We need to continue Yahoo!’s tradition of bold innovation, and ultimately inspire and delight users and advertisers globally.”

Internal Perspective:
Continue to invest in talent. “Companies are all about people, and the companies with the best talent win.”
“Embarked on a number of initiatives to make Yahoo! the absolute best place to work —greater transparency, clearer accountability, and benefits that increase employee efficiency and well-being.”

Learning & Growth Perspective:
Develop and adopt new technologies, support employees to become the forefront in today’s technology.





"Be the change that you want to see in the world."
Mohandas Gandhi

"We can't solve problems by using the same kind of thinking we used when we created them."
Albert Einstein

"Effective leadership is not about making speeches or being liked; leadership is defined by results not attributes."
Peter Drucker

"A person who never made a mistake never tried anything new." Albert Einstein



QUESTIONS?
+ CLARITY
+ COMMITMENT
+ ENABLING
+ SYNGERY
+ ACCOUNTABILITY
Structure
Decision Rights
Information
Motivators
RANKING?
Strategy Execution @
Structure
Decision Rights
Information
Motivators
RANKING?
Full transcript