Sunday, March 13, 2011

Google Analysis of Managers

Got sucked in by winter, hopefully I can get back on track with new posts here!

The New York Times this week had a fascinating article on Google using their analysis skills focused on trying to figure out what worked and didn't work for their managers -- and using the feedback to "tune up" their poorer managers.

Many organizations may not have the resources of Google, but this approach is fascinating to me if for no other reason but the intensive and effective focus on what actually works and how do you get there:

“The starting point was that our best managers have teams that perform better, are retained better, are happier — they do everything better,” Mr. Bock says. “So the biggest controllable factor that we could see was the quality of the manager, and how they sort of made things happen. The question we then asked was: What if every manager was that good? And then you start saying: Well, what makes them that good? And how do you do it?”

In Project Oxygen, the statisticians gathered more than 10,000 observations about managers — across more than 100 variables, from various performance reviews, feedback surveys and other reports. Then they spent time coding the comments in order to look for patterns.

Once they had some working theories, they figured out a system for interviewing managers to gather more data, and to look for evidence that supported their notions. The final step was to code and synthesize all those results — more than 400 pages of interview notes — and then they spent much of last year rolling out the results to employees and incorporating them into various training programs.

The process of reading and coding all the information was time-consuming. This was one area where computers couldn’t help, says Michelle Donovan, a manager of people analytics who was involved in the study.

“People say there’s software that can help you do that,” she says. “It’s been our experience that you just have to get in there and read it.”

GIVEN the familiar feel of the list of eight qualities, the project might have seemed like an exercise in reinventing the wheel. But Google generally prefers, for better or worse, to build its own wheels.

“We want to understand what works at Google rather than what worked in any other organization,” says Prasad Setty, Google’s vice president for people analytics and compensation.

Once Google had its list, the company started teaching it in training programs, as well as in coaching and performance review sessions with individual employees. It paid off quickly.

“We were able to have a statistically significant improvement in manager quality for 75 percent of our worst-performing managers,” Mr. Bock says.

He tells the story of one manager whose employees seemed to despise him. He was driving them too hard. They found him bossy, arrogant, political, secretive. They wanted to quit his team.

“He’s brilliant, but he did everything wrong when it came to leading a team,” Mr. Bock recalls.

Because of that heavy hand, this manager was denied a promotion he wanted, and was told that his style was the reason. But Google gave him one-on-one coaching — the company has coaches on staff, rather than hiring from the outside. Six months later, team members were grudgingly acknowledging in surveys that the manager had improved.

“And a year later, it’s actually quite a bit better,” Mr. Bock says. “It’s still not great. He’s nowhere near one of our best managers, but he’s not our worst anymore. And he got promoted.”