Business Management 3
Business Management 3
Business Management 3
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Examine the statement and article above. Evaluate and discuss any two (2)
leadership theories/styles/models that will be successful in creating a culture at
Google that will escalate growth and profitability
Relationship theory. The relationship theory of leadership focuses on leaders who are
mainly concerned about their interactions with others. They are often mentors for
employees, scheduling time to talk to them and working to meet their needs. These
kinds of leaders are focused on making work enjoyable for as many people as possible,
and they want to foster a positive work environment. Studies show that this kind of
leadership behavior can be the most effective for many employees. Relationship-
oriented managers often get better results from their employees increasing growth and
profitability for the organisation.
There are many advantages to this kind of leadership. Employees feel confident in their
leader and want to follow them. They are also inspired to be good leaders to others.
Mentorship provides great opportunities to foster growth in employees, and encourages
them to stay at the organization for a longer period of time. There are some critics for
this kind of leadership however, including thoughts that relationship driven leaders may
be unwilling to view employees who are causing problems at face value, they can let
relationships get in the way of work, and they can be guided to favor people over
productivity. However, most experts agree that relationship driven leaders are actually
more effective at the end of the day.
An example of relationship theory would be a manager who takes a newer employee
under her wing. She works to help this employee understand how they fit within the
organization, encourage them to be open about questions and problems, and create a
positive working relationship. This employee then is encouraged to work hard, point out
issues, and helps solve problems for the company.
QUESTION TWO
Analyse the statement and article above. Critically discuss four (4) leadership
traits that would be beneficial to Google’s leadership in showing employees that
they are valued.
When you don’t communicate well with your team or employees, they may feel
discouraged, resulting in poor morale and lower production.
The best leaders customize their communication styles to suit each situation and team
members' preferences — which means they take the time to learn which communication
mode each team member prefers. If open communication was adopted correctly by
Google the CEO would have seen an increase in productivity.
The leadership at Google can also use a straightforward mobile app like Blink to turn its
employees into a close-knit group by enabling communications between them.
One of the most critical leadership qualities you can have is nurturing your staff by
giving them personal development opportunities. One of Google culture is Innovation -
Google's culture strongly encourages employees to be innovative in whatever they
do. To encourage innovation, Google supports risk-taking and offers financial rewards
for successful innovations. In this way employees feel valued in an organization.
That can include anything from leadership training or teaching them a new skill to
encouraging them to pursue a passion that inspires them in and out of the workplace.
Employees value learning opportunities, so it's no surprise that companies with
successful training programs typically see a significant increase in employee retention.
In such a case, every employee will feel you care about their goals, dreams, and overall
well-being.
When that happens, your employees will go above and beyond to help you achieve your
goals and vision.
Here are four strategies you can use to encourage professional and personal
development in the workplace:
One of the characteristics of a good leader is their ability to ‘walk the talk.’
When the team/ employees start to arrive, you greet them warmly and inquire about
their families.
The leader then calls the team members into a morning meeting. And instead of leading
with your plan, you give each person a chance to voice their ideas. You as a leader you
appreciate your team input and asks them to create proposals to bring their ideas to life.
As a result, you as a leader you gets high levels of employee engagements Leading by
example means guiding your employees through actions instead of words. The saying
‘do as I say, not as I do’ has no place in today’s world.
Nowadays, employees want to see your actions match what you say. That means
showing them what’s required instead of just telling them.
Employee feedback is an incredibly effective tool. Offered well, it can grow your
employees, strengthen bonds between staff and managers, and improve trust levels.
“We all need people who will give us feedback. That’s how we improve.”
— Bill Gates
Direct, honest feedback is the best way to steer your team in the right direction.
Don’t wait for monthly or quarterly assessments to give your employees feedback. Give
them right after an event has occurred. It will have the most significant impact on their
performance.
Here are four tips to help you give employees effective feedback that gets the results
you need:
Google is probably the world’s best-known company for pioneering the search engine
revolution and providing a means for the internet users of the world to search and find
information at the click of a mouse.
Strengths
Google is a household brand in the world, its ability to drive internet user traffic is
legendary, and this has helped it become one of the most powerful brands in the
world. Indeed, Google averages more than 1.2 Billion hits a month in terms of the
unique searches that users perform on the site. This gives it an unrivaled and
unparalleled edge over its competitors in the market.
The last of the strengths discussed here relates to its adoption of Android and
Mobile technologies, this has resulted in it becoming a direct competitor of Apple
as far as these devices, and operating systems are concerned.
Weaknesses
Google does not reveal its algorithm for searches or even its basic formula as far
as internet searches are concerned leading to many experts slamming the
company for being opaque and hiding behind the veneer of secrecy. However, in
recent years, Google has taken steps to redress this by providing a bare bones
version of its unique search engine algorithm.
Falling Ad Rates
In recent years and especially in 2013, the company has been faced with
declining revenues from ads and as a result, the profitability of the company has
taken a hit. This is partly due to the ongoing global economic slowdown and
partly because of competitors snapping at its heels in a more aggressive manner.
Indeed, Apple has already taken steps to garner search engine revenues in its
devices and hence, Google must be cognizant of the challenges that lie ahead.
Overdependence on Advertising
Google’s business model relies heavily on advertising and the numbers reveal
that it gets more than 85% of its revenues from ads alone. This means that any
potential dip in revenues would cost the company dearly (literally as well as
metaphorically).
The point here is that Google has to devise a more robust business model that
embraces e-commerce and mobile commerce along with its current business
model that is based on ad revenues alone.
Another weakness for Google is that it is not compatible with many next
generation computing platforms including mobile and tablet computers and this
remains an area of concern for the company.
Opportunities
Perhaps the biggest opportunity for Google lies in its pioneering effort in
providing the Android OS (Operating System) which has resulted in its becoming
a direct competitor to Apple and Samsung.
Diversification into non-Ad Business Models
As discussed earlier, the company has to diversify into non-ad revenues if it has
to remain profitable and current indications are that it is adapting itself to this as
can be seen from the push towards commercial transactions using its numerous
sites like Google Books, Google Maps etc.
Cloud Computing
Threats
The advent of Social Media has seriously threatened Google’s dominance in the
internet world and the company has to pull an ace to deal with the increasing
features available on Facebook and Twitter.
Mobile Computing
Another threat to Google is from the emerging area of mobile computing that
threatens to pass the company by as newer companies seize the opportunity to
ramp up their mobile computing presence.
Google needs to be wary of Amazon too. More people turn to Amazon for
products rather than asking Google for store recommendations. The vast
reviews, shops, and sellers hosted on Amazon have led users to turn to choose
Amazon first and Google second.
QUESTION FOUR
Strategic planning is a crucial process for organizations to set their long-term goals and
determine the actions required to achieve them. Let's apply the strategic planning
process to Google:
2. Environmental Analysis:
Google needs to conduct a thorough analysis of its internal and external environment.
This includes assessing its strengths, weaknesses, opportunities, and threats (SWOT
analysis). It should also consider factors such as technological advancements, market
trends, and competition.
3. Setting Objectives:
4. Strategy Formulation:
Google needs to develop strategies to achieve its objectives. This may involve
diversifying its product portfolio, expanding into new markets, or enhancing its
technological capabilities. The strategies should align with the company's strengths and
opportunities while addressing weaknesses and threats.
5. Strategy Implementation:
Google should create an action plan to implement its strategies effectively. This involves
allocating resources, defining responsibilities, and establishing timelines. It should also
consider any necessary changes to its organizational structure, processes, or culture.
Strategic planning is an ongoing process. Google should regularly review its strategies
and make adjustments as needed. This allows the company to adapt to changing
market conditions, technological advancements, and customer preferences.
By following these steps, Google can effectively plan its future direction and ensure its
long-term success.
The strategic plan will have to examine Google’s external environmental influences.
Next, in-depth assessment on the industry’s competitive five forces which affect
Google’s profitability will be done. Lastly, Google’s internal strength and weaknesses
will be analyzed to generate its competitive implication. From these analyses, we
discovered that Google will face legal and performance issues due to its offensive
strategy in the long run. We have developed three strategic alternatives (Strategic
Alliances, Defensive Strategies and Broadening Diversification Base) which Google can
adopt to enhance its competitive position. The plan will be concluded with a
recommended strategic alternative and its pitfalls.
EXTERNAL ANALYSIS
PEST Analysis
After conducting PEST and Porter Analysis for Google, we have derived at the
following:
Political: The expansion of Google was obstructed by the government such as US and
Chinese authority. They viewed Google as a monopoly and request authority to monitor
its activities (Google, 2009). However, this barrier does not affect Google’s operations
as Google responded immediately to the customers by addressing its policies in regard
to political/legal aspects. Example: Google China announced that it is still providing
filtered search results on its website to comply with censor search results’ regulations
(China Daily, 2010).