Microsoft Case Study Essay

Microsoft has their dominance of the industry at stake. They could potentially come out on top if left to continue their current tactics. They are masterfully “marketing their products” and it is paying off for them (Love, 1997).

Bill Gates' approach to planning, implementing and managing strategic-level initiatives throughout Microsoft Corporation and the long-term effects of his leadership strategies on the culture of the company is the subject of this analysis. Using the model on effective strategic leadership found in the text (Hitt, Ireland, Hoskisson, 2013) each of its dimensions are also used for assessing Bill gate's leadership style and effectiveness. As the model shows that the factors of effectively managing the firm's resource portfolios, sustaining an effective organizational culture and emphasizing ethical practices form the foundation of effective strategic leadership, these three foundational elements form the basis of the analysis. Determining strategic direction and establishing balanced organizational controls are also essential for guiding organizations to above-average performance and profitability (Hitt, Ireland, Hoskisson, 2013). Based on this framework and the insights gained, an assessment is also made of Microsoft's ability to sustain an effective, productive organizational culture. Inclusive in this analysis is also an assessment of Bill Gates' strategic leadership style, with two suggestions of how Gates and his predecessors at Microsoft could create higher levels of strategic entrepreneurship throughout the company. This analysis concludes with the identification and discussion of two strategic

Microsoft was founded in 1975, and is the worldwide leader in software, services, and solutions (Career). Microsoft is proud to offer great products and employ outstanding people. Previous Microsoft CEO, Steve Ballmer once said, “There are many things that are true about Microsoft. We have big goals, big dreams, and big aspirations for the future. We are both competitive with our products and in the way we attract and retain talent. For me, the most important factor is competition for talent, because I know our success comes from the people who work here” (Foley).

As previously stated Microsoft’s success regarding career development, and the implementation of human resource strategies rests upon three factors: the ability to recruit and retain quality talent; the ability to ensure that the aforementioned talent receives the tools required to achieve; and the fostering of continual innovation and reinvention.

Microsoft's stated mission statement is "to help people and businesses throughout the world realize their full potential." Arguably, a statement this vague provides so little sense of mission that it lacks value. That is the point. Microsoft cannot even uphold its own mission internally, given the gap between the company's potential and the company's output. That the company has no coherent, tangible sense of its own mission is a contributing factor to that failure. Consider the company's resources. As Clarke (2010) notes, it is not for lack of ideas that Microsoft has failed to innovate. The company has great people, highly-talented, educated and experienced. It has $66 billion in cash on its balance sheet and another $10 billion in long-term investments (MSN Moneycentral, 2012). Clarke (2010) notes that the company spends $9 billion per year on research and development. The potential for innovation at Microsoft, then, is tremendous, yet its output is minimal.

Bill Gates is one of the most visionary leaders of our time. He created in his mind the idea of the greatness of computerized systems and that vision even though far at that time transformed in our present. He foresaw that computers will be an essential part not only in future business but in the lives of Americans. His efforts and strategic planning delivered him the opportunities to develop different operating systems including Windows. Windows Software has been an essential key in his financial success because this software took the market by storm providing customers the opportunity to multitask and leave behind the systems that were operated only on a command based entry. His revenues after the expansion of his company has made him been ranked by Forbes as the richest man on earth for the last thirteen years. During the years he served as chairman of Microsoft he established new ways to deal efficiently with human resources issues; like for the hiring process he stated in the past that he prefers intelligence over experience in an employee because they are easier to train and to adapt to the world of Microsoft.

Microsoft, a company founded by Bill Gates has, in the last couple of years seen a number of changes in its mode of operation. Traditionally Microsoft has been in the business of producing computer-based products exclusively (Byrnes, 2010). In the light of changing technology, globalisation and changing consumer tastes and preferences change has become in the tech-giant company. In the fast-paced world of technology, consumers are actively switching to the new touchscreen laptops and tablets, which are the replacement to conventional computers. These contemporary computers require operating systems and software that are entirely different from what was in use formerly. As means of keeping up this trend, and in order to address these new

History of Microsoft Microsoft Corporation, leading American computer software company. Microsoft develops and sells a wide variety of computer software products in more than fifty countries. Microsoft's Windows operating systems for personal computers are the most widely use operating systems in the world. Microsoft had revenues of $14.4 billion for the fiscal year ending June 1998, and employs more than 27,000 people in 60 countries. Microsoft has it's headquaters in Redmond Washington.

Just over a few decades with Steve Ballmer, Microsoft has a new corporate leader at the helm. As Satya Nadella takes over the position that Mr. Ballmer once endured, his spirit took off with great confidence concerning his new role at the company (Microsoft, 2014). The next decade is likely to reveal the level of success his abilities bring to the future of the company and his own status as leader.

This essay will utilise the following structure. It will commence by providing the reader with a brief history about Microsoft and then go onto explaining what corporate strategy is. Following this will be Microsoft’s diversification strategy in parallel with the reasons why they choose to diversify. Within this section the author plans to explore Microsoft’s related diversification approach, their corporate rationale, alongside why skill transferring is essential to them sustaining a competitive advantage and also how they achieved

The main problems with the existing system and goals for the future system identified as below:

Mr. Gates’ also explains how Microsoft tackled the challenge of integrating the Internet to be compatible with various Microsoft products. The biggest dilemmas were determining what should be incorporated into the existing Microsoft products, what should be packaged as new products, and how should the Windows Operating System support the Internet. He gives frequent examples of how the other competing computer industry giants were able to succeed in the computer industry. A lot of success he points out was made through trial and error as well as learning from one’s mistakes. He talks about how Microsoft has learned from projects that have failed such as the Multiplan spreadsheet that went on to be developed into Microsoft Excel, and the Omega database that would become Microsoft Access. One suggestion that Mr. Gates makes in achieving company success is by

from the first days of the company, where were the founders (Bill Gates and Paul Allen) the ones that did the first recruitment and selection. Their aim was to find the smart and the best people, that preferentially did not have any experience. The Microsoft is the company that offers job also young people and talented graduates, which will, in companies opinion contribute by bringing in fresh innovation and ideas (we now that one of the major objectives are to generate new product, easily to use).this philosophy is also shown in Microsoft’s ‘n minus 1’ strategy, that means that in the company are employed less people that required, what shows the importance of hiring the right people, then just to fill a position.

Stryker is a global medical device manufacturing company. The Instruments Division is located in Kalamazoo, Michigan. It was founded by Dr. Homer Stryker, an orthopedic surgeon. Dr. Stryker discovered that certain medical devices were not meeting his patient’s needs. Because of this, Dr. Stryker decided to invent new ones. The devices he invented were successful, and the interest in Dr. Stryker’s products began to grow. As a result, in 1941 he decided to start a company to produce them.

Microsoft Corporation is one of the largest and most influential companies in the personal computer industry. It has won several awards for innovation, for their commitment to diversity, and for their flexible work arrangements. It has always been a leader in the market with regard to its compensation. With 80,0004 employees across the world, having more than $15 billion revenue, it is one of the biggest and best‐known technology companies in the world.