OKR WITH REORGANIZATION | THE CASE STUDY OF MICROSOFT (CHAPTER 2) | GOALIFY

Goalify starts discussing with you about the point “Engaging diverse resources to develop together” from Microsoft. In order to help audiences to understand this case study, Goalify will analyze three principal phases: What was the main reason made the organizational change of Microsoft? – How did Microsoft reorganize? – What were the benefits Microsoft received when applying their organization?

1. What was the main reason that made Microsoft organizational changes?

After being developed the phenomenal and going from one success to another, Microsoft became a long–lived company operating Windows systems and all of Office software to serve the white-collars. However, this large company faced with a big problem in their working process. Every part of Microsoft was mistaken about engaging together to achieve goals, they acknowledged each other as a redoubtable opponent, and then they wasted more time to compete against their partners than to coordinate together.

And then, the appearance of this problem occurred when Microsoft changed its structure. Microsoft obstructed because of its own environment. Our explanation each of the separated team, instead of showing respect and being responsible to each other, they went up against another. Moreover, they rarely contributed and concentrated on Microsoft’s objectives and key results. That was the major reason why Microsoft was on a completely wrong process of working cycle. While Microsoft had some difficulties in management, Google was increasing and expanding day by day, and Apple took over the market share of smartphone. Microsoft had to make an earnest endeavor, but its efficiency was not achieved as Microsoft wished, because it was an incoherent organization, and the whole working process was not connected. Therefore, the direct and potential market share of Microsoft were narrowed down considerably day after day.

(Source: Manu Cornet)

2. How did Microsoft reorganize?

After being accredited to the position of Microsoft’s CEO - Satya Nadella, Microsoft started to adopt the reorganizational change. He eliminated successfully many internal competitions sabotaging a lot of important schemes of Microsoft. He gathered all of the teams to become a united organization. Moreover, Satya Nadella directed his staff to focus on their work following the right direction as well as:

Aligning the working process and innovating productivity.

Building the new sound technology foundation from data of smart cloud platform

Improving many personal computing skills for each member

In September 2016, Nadella associated some teams, such as research teams, Bing, Cortana team and the information basis team, etc. into a new big group named R&D. About 5.000 engineers and computer scientists have the new target that innovates artificial intelligence of Microsoft’s products.

3. What were the benefits Microsoft received when applying reorganization?

Before the organizational changes, all staff had been lack of their constructive recognition in regarding to Microsoft’s objective and key results, this reason was the cause of their low spirit and made their participation in the working process reducing. Although Microsoft’s goals would be reached smoothly when applying reorganization, perhaps Microsoft’s vaster accomplishment has been become aware of offering every member of company an innovated sensibility: their contribution is the most important factor influencing in the company’s successful achievement.

This is the case study of Microsoft regarding to reorganization. This problem is closely related to OKR in the processing working. Goalify encourages you to apply this methodology, in order to improve the approach of objective and key results in your business. Goalify is going to analyze the organization of a high-scaled company engaging with searching engine product. Check it out later!