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INNOVATION IN HR WITH GREAT SILICON VALLEY COMPANIES

Innovative infrastructure, healthy business climate and continuous flow of interested professionals make it harder for local companies to find and retain best talent. According to Booz&Co report, the Bay Area captures between 35 and 40 % of U.S. venture capital. To stay on top of the competition, tech giants have to innovate in all things HR. What non-standard methods great companies from Silicon Valley use to attract and hold talent? Acqui-hiring In Silicon Valley, fight for talent is intense. To find and hold talented developers, big companies look for interesting startups and buy them out. Facebook’s CEO Mark Zuckerberg once admitted that Facebook never bought a startup for the product it invented but rather for the people who worked there: “Facebook has not once bought a company for the company itself. We buy companies to get excellent people”. A handful of famous Silicon Valley companies bought startups for talent: Google, Twitter, Apple, Cisco among them. The strategy has a number of obvious benefits. First, you acquire a whole team of innovators along with their business leader. Second, buying out a startup is an ultimate way of convincing people to work for you because, in the end, the main goal of every startup is to be acquired by the larger compan

Throw down a challenge Back in 2004, somebody put a math problem on a billboard in Silicon Valley. The billboard read: {first 10-digit prime found in consecutive digits of e}.com. The answer, website www.7427466391.com, took a math junkie to another math problem. Those who got it right were redirected to Google Labs page that invited people to apply for a job with Google. This creative strategy was effective in many ways: first, it sorted out the pool of applicants; second, it attracted curious and professional people who love challenge, the exact category of applicants Google was looking for at that time. Innovative companies are using creative tactics to attract talent by intellectually stimulating people – games, puzzles, challenges and mini competitions among applicants help filter the best candidates. Learn more about gamification for motivating employees in our other blog post. Love can be cruel: the Netflix’s “keeper test” Holding the best talent can be a tricky task. Recently, there was a lot of talk about Netflix’s “keeper test” strategy, which allows the company to hold the best talent and get rid of people who don’t fit into the team. Each year managers have to evaluate employees by giving answers to the question “Which of my people, if they told me they were leaving in two months for a similar job at a peer company, would I fight hard to keep at Netflix?” People who are not marked by managers as necessary are let go unconditionally. Instead of proving that these are under skilled workers and to avoid lawsuits, Neflix simply writes generous checks. This tough strategy appeared to be efficient for the U.S. leader of on-demand video.

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