Following HRM practices contributed to its business performance:
EXTRA-ORDINARY TALENT
The success of Microsoft could be attributed to its ability to recruit, motivate and retain extra-ordinary talent. Microsoft has always hired the brightest and best candidates for recruiting for various positions. Bill Gates believed that the acquired knowledge was less important than the smart ideas available with talented and ambitious people. Microsoft always believed in hiring people who were smart, hardworking and knew how to get things done.
RIGOROUS HIRING PROCESS TO HIRE ONLY THE BEST
The hiring process for the developers was quite rigorous with a detailed interview and a technical interview in which the prospective candidates had to write code for Microsoft products and ensure that they were the right candidates. The company believed in hiring lesser candidates since its inception. This strategy ensured that the job was challenging for each employee of the company which further inspired the employees to work harder and achieve success for the company.
N-1 FORMULA
The company followed n-1 formula which meant hiring lesser candidates than actually required for the job. The philosophy followed was that smarter people should be hired and the recruiters should not settle for merely a satisfactory candidate.
CAFETERIA FACILITY
The Company provided a cafeteria and food facility to all its employees at nominal charges. The initiative provided a homely and social environment for employees, especially to make the ones away from their homes just like home.
PERSONAL SPACE
Each employee was provided with a separate 9’X 12’ office cabin with a closed door and was allowed to decorate his or her cabin according to his or her wish. This initiative was based on providing privacy and comfortable work environment for employees, which was necessary for good mental health and relaxation.
EMPLOYEE TRAINING AND DEVELOPMENT
The company believed in employee development through personal mentoring along with experimental learning.
EMPLOYEE REWARDS
The company rewarded employees by offering them ownership in the form of equity with the belief that company ownership boosted employee morale and helped with retention.
PERFORMANCE EVALUATION
The performance and evaluation of employees were rigorous through tools such as the performance evaluation curve and formal annual and semi-annual reviews and feedback. This allowed employees to understand their level of performance in the organization and inspired them to perform better.
EMPLOYEE RETENTION
The company was successful in attracting, developing and retaining the industry’s most talented employees. The leadership management style was shifted from authoritative style to participative style to provide more flexibility to the employees.
MICROSOFT COMPETENCY MODEL
The Company adopted the Microsoft Competency Model which included six success factors for the company such as 1) long term approach to people and technology; 2) getting results; 3) individual excellence; 4) passion for products and technology; 5) customer feedback; and 6) teamwork . The model was used as a benchmark for the values of employees and also for future hiring and recruitment.
Works Cited
JD. Microsoft Competencies for Skilled Effectiveness. 21 March 2010. http://sourcesofinsight.com/microsoft-competencies-for-skilled-effectiveness/. 18 June 2014.
