Saturday, March 30, 2013

2012's Number One Company to Work has a Hot Commodity - their Vice President of Human Resources, Laszlo Bock

In the past year alone, over 2 million resumes were sent his way. Laszlo Bock is the current Vice President of People Operations for Google, and is nothing short of a man in demand. In his late 30’s, Bock has conquered quite a lot in the field of human resources. When completing his undergraduate and master’s degrees, he had no intentions of going into the human resources field. However, his most recent position on the Google Executive Management team has shown different.

Biography and Past Endeavors

A native to the United States, in 1994 Laszlo Bock completed his undergraduate degree from Pomona College in just 3 short years. He then went on to receive his Master’s in Business Administration from the Yale School of Management, graduating in 1999. Before being headhunted by Google, Bock held employment at Hewitt Associations as a consultant, and McKinsey and Company as an engagement manager. After these, he held the position of Vice President of Human Resources, Compensation and Benefits for General Electric Commercial Equipment Financing, as well as the same position for GE Capital Solutions. In 2006, he received the call from Google, and on March 26th, he accepted the position as Vice President of People Operations. To put it in simple terms – the Vice President of Human Resources.

Current Google Human Resource Functions

Being a part of the Google Executive Management team for almost 7 years now, Laszlo Bock has driven the number of employees nowhere but up. In 2006, Google had only been around for less than a decade (formed in 1998), and had 3,000 employees. Today, Google has over 34,000 employees worldwide, only growing larger. In 2010, Bock was named the Human Resource Executive’s HR Executive of the Year.

Google was ranked number one on Fortune’s Top Companies to Work For in 2012. Many different human resource functions that Bock oversees are responsible for this, including the following:
  • Unlimited free meals from gourmet restaurants on site (also for guests)
  • Free shuttles from 5 different bay areas, escorting employees to work
  • Free car washes, oil changes, haircuts, laundry services, and dry cleaning on site
  • Compensated $2,000 for each employee referred hire
  • Reimbursed up to $500 in food expenses if on leave for a new baby in the family
  • Free gym, weight room, fitness classes, massages, and foreign language classes on site
  • Free personal concierges, child care, and notaries on site
  • Five on site doctors to assist with basic check-ups, free of charge
  • Motorized scooters available to use on the pet friendly site
  • Provides employees with up to 20% of their paid time to personal development and research
  • Utilizes and recognizes employee ideas from this research with Founders Awards, which are made up of millions of dollars
  • Highly compensated startup and retirement plans


All of these different attributes make Google a most desired place to work at, while maintaining high retention rates. The rewards and compensation delivered to employees is a vital factor. Google allows 20% of each employee’s paid time to conduct research of their own. This provides freedom, resulting in satisfied employees. From this, Google also utilizes their employees’ research and ideas within the company itself. For example, one employee researched a functional travel route from her house to headquarters because she was tired of driving to and from work. After presenting her ideas to Google, they implemented the new shuttle system, free of charge to all employees. They did not have to hire a research firm; they utilized their own employees and put their ideas to work. This resulted in giving recognition and awarding this employee – two of the many ways to increase job satisfaction.

Google also has even placed benefits for employment after death. If an employee passes away while currently employed, their family will received 50% of their paycheck for the next decade. On top of this, each child will be paid $1,000 per month up until the age of 19 (or 23 if they are a full time student). These two benefits are in affect for all 34,000 employees.  

Bock’s Expansion Issues

Since Google was under a decade old, Bock had the ability to virtually create a human resource plan for the entire company while it was in its vast growing stage. In 2007, the average daily number of applications received was 7,000. With the large pool of applicants, Bock wanted to make sure “the quality of hiring didn’t slip.”

Another issue when expanding was to determine how to maintain the company’s unique culture. Bock wanted to ensure that all new offices being opened, in any country, would still have the benefits of the original offices. To confirm this, Bock created a number of policies, including one that states each new office must have a Google veteran as one of the first ten employees hired. This Google veteran will help the “rookies” understand and promote the culture.

Bock’s Hiring Strategy – ‘Three Thirds’

Laszlo Bock has created a hiring strategy for Google that is no secret. He created a three thirds team of HR professionals in order to transform the outside and inside perceptions of Google’s HR functions. One third consisted of traditional HR people, one-third “high-end, strategy-consultant” types (some with non-HR backgrounds), and one-third master’s and doctorate level analytical. This diverse mix allows the Google HR department to have more empathy and understand the different challenges each position may have. “[As a team] they’ve seen lots of things happen and they know how to deal with them. They understand how to work closely with employees,” Bock stated.

Going on his 7th year as the Vice President of People Operations of the number one company to work for, there is no doubt Laszlo Bock has his challenges ahead of him to maintain this status. However, with a three thirds HR team behind him, Bock is continuing to ensure the success of Google and all of its future endeavors.

Bibliography 

Casserly, Meghan. Here's What Happens to Google Employees When They Die. FORBES, August 8, 2012. Retrieved from: http://www.forbes.com/sites/meghancasserly/2012/08/08/heres-what-happens-to-google-employees-when-they-die/

Lashinsky, Adam. The Perks of Being A Googler. FORTUNE, 2013. Retrieved from: http://money.cnn.com/galleries/2007/fortune/0701/gallery.Google_perks/index.html

O'Brien, Michael. Building A New Breed. Human Resources Executive: Online, October 2, 2010. Retrieved from: http://www.hreonline.com/HRE/view/story.jhtml?id=533322196

Yale SOM Office of Communications. News: Laszlo Bock '99, VP People Operations, Google. Yale School of Management, February 20, 2008. Retrieved from: http://mba.yale.edu/news_events/CMS/Articles/6352.shtml

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