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Google Literature Review
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INTRODUCTION
IT company Google, are ranked amongst the best workplaces in both Australia and the USA. In 2009, Google Australia finished top of the list in the 2009 Great Places to Work study. This follows the lead of its US parent company, which ranked first in Fortune’s 100 best Companies to Work For list in both 2007 and 2008.
Attributing to this success is the fact that Google has managed to create an environment that encourages highly motivated employees. Google employees are provided with several incentives in their workplace, such as 20 per cent time, which is the opportunity to spend 20 per cent of work time on projects of ones choosing. The company recruitment process is difficult and can involve a series of interviews taking place over several months to ensure creative, highly intelligent people get to work together. The office environment offers a relaxed setting with beanbags in meeting rooms, an informal dress code and free food at the staff cafeteria. Employees are offered unlimited sick leave, generous health insurance, flexible working hours, and $6000 towards educational expenses and thank you bonuses of $175 can also be awarded for particular achievements or as a thank you from colleagues.
To understand how the above incentives contribute to motivating Google employees, we must first understand what motivation is. Motivation refers to the level, direction and persistence of effort expended at work (Schermerhorn et al., 2011, pp 341). There are two broad classes of motivation. Intrinsic Motivation which is self administered and occurs naturally during job performance and Extrinsic Motivation which is externally administered and is given by someone else. By looking at various literature focusing on Intrinsic & Extrinsic Motivation, across different fields and organisations globally, we can understand whether Google’s employees are best motivated through intrinsic or extrinsic rewards or a combination of both.



References: Alice H.Y. 2011, ‘Shaping Environments Conductive to Creativity : The Role of Intrinsic Motivation ‘, Cornell Hospitality Quarterly, Vol. 53 No. 1, viewed 5 May 2012, <http://cqx.sagepub.com/content/53/1/53>. Amabile T. M. 1993, ‘Motivational Synergy: Toward new conceptualizations of intrinsic and extrinsic motivation in the workplace’, Human Resources Management Review, Vol. 3 No. 3, pp. 185 – 201. Fang M. and Gerhart B. 2012, ‘Does pay for performance diminish intrinsic interest?’, The International Journal of Human Resource Management, Vol. 23 No. 6, pp. 1176 - 1196 Gagne M. and Deci E. L. 2005, ‘Self-Determination Theory and Work Motivation’, Journal of Organizational Behavior, Vol. 26, No. 4, pp. 331 - 362. Milne P. 2007, ‘Motivation, incentives and organisational culture’, Journal Of Knowledge Management, Vol. 11 No. 6, pp. 28 – 38. Schermerhorn, Davidson, Poole, Simon, Woods, Chau, 2011, Management Foundations and Applications, John Wiley & Sons Ltd, Milton Australia. Zaidi F. B, Abbas Z. 2011, ’A Study On The Impact Of Rewards On Employee Motivation In The Telecommunication Sector Of Pakistan’, Interdisciplinary Journal Of Contemporary Research In Business, Vol 3 No 3, pp. 978 – 998.

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