The April edition of The Harvard Business Review features an article about how Google performs and manages its innovation: Reverse Engineering Google’s Innovation Machine. The article explains Google’s innovation ecosystem, which includes Content Providers, Consumers, Advertisers and Innovators. The ecosystem helps Google to know and involve its customers, to serve as a platform for third parties for delivering their services, and to provide value for advertisers. All information passes through Google’s infrastructure providing it with a wealth of relevant information on user preferences, actual use of services, etc.
It describes Google’s 1200 quarter forecast (300y), which provides the company with a long term vision and mission: “to organize the world’s information and make it universally accessible and useful”. Part of this vision is currently being monetized through advertisement.
It also details to some extent the famous 20% that Google employees have to spend on innovation (other things than their daily business).
An interesting case study, especially for telcos, which are currently reflecting on whether they should continue to be only a “dump pipe”, or, in addition, a “smart pipe”, or even a “service provider”.
Enjoy!
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18 comments:
I guess the whole Google story could be boiled down to one phrase: "participative product development"
When did any telco do that ?
How many patents does Google hold?
Google has one (almost) unique competitive advantage: They attract and retain talent.
Many companies talk about it, but few implement a truly retention and recognition program for creative and talented people.
Google employees are innovative and creative because the company do not send contradictory messages about it, and truly rewards inovation.
Javier G.G.
What I find fascinating about the Internet and telecomms is that the a smart pipe and a dumb pipe can use the very same physical pipe! So, "dumbness" and "smartness" are in some sense only virtual (conceptual). It is therefore possible for telcos to choose to be "All of the Above" -- ie, to offer basic dumb connectivity along with smart connectivity (high QoS) and VAS as well. This creates great freedom for telcos, much more than other network business (eg, electricity, water supply). But freedom brings choice, and hence challenges.
Don't stop posting such articles. I love to read stories like that. Just add some pics :)
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I guess the whole Google story could be boiled down to one phrase: "participative product development"
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