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Case Analysis: Microsoft: Competing on Talent

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Microsoft greatly impacted the way people around the world used computers, and created the goal for every desk in every home to have a computer. A large part of their plan to accomplish this goal was through hiring the smartest and most motivated employees. Steve Ballmer, the company’s COO, was quoted as saying “We want smart people, who work hard, and who get things done.#” To get the best employees, you have to offer the candidate something enticing. Microsoft saw their benefit as giving employees the opportunity to change the way people live and do business, and in turn, change the world. They recruited from the top schools, and when they saw a candidate they liked, they got them. Microsoft was an intense culture, who pushed their employees to be the best. However, as Microsoft matured and experience changes in their company due to explosive growth, they found it increasingly hard to and retain and motivate the extraordinary people that had worked their way up to senior levels within the company.

In Microsoft’s early days, they experienced the benefits of being one of the leaders in technology advancement. One of their best attributes was their reputation that made it appealing to top new developer candidates. Microsoft preferred creative, smart and motivated individuals to experienced and knowledgeable candidates when recruiting for new hires. They therefore recruited the top talent of top universities like Harvard, MIT and Yale. They looked for individuals that were not afraid of working long hours and under demanding constraints. They pushed their employees to the limit. Their “n minus 1” philosophy was an example of this by having one less employee than the work really required. Developers were also given stretch assignments that tested their ability to “sink or swim” in situations that were beyond what they may have been ready to handle at

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