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#3 CASE APPLICATION Spotting Talent Topic: Attracting/selecting talent ttracting and selecting the right talent is critical to a narrowly by focusing (as expected) on education, GPA, and company's success. For tech companies, the process even SAT scores trying to find those candidates with the high- est IQs. But they found that some of those so-called geniuses and abilities of their employees that determines these compa weren't as effective on the job as expected. So, they started nies' efficiency, innovation, and, ultimately, financial achieve looking at rsums differently. Rather than looking at rsums ments. 104 So, how do companies like Google and Facebook, starting at the top and reading to the bottom, they began to look and even IBM and Microsoft, attract the talent they need? As from the bottom-up, trying to find some rare, special attribute you'll see, these companies use some unique approaches. that set an applicant apart as a unique talent. Facebook found Modis, a global provider of IT staffing and recruiting, that old-fashioned hiring channels weren't getting the talent has an interesting philosophy about searching for talented needed fast enough. So it tried online puzzles and program- tech types. As pressure has mounted ming challenges to attract and spot talent. on businesses to find qualified em- Beware the PURPLE It was an easy, fast, and cheap approach ployees, the search for the "perfect" to get submissions from potential candi- SQUIRREL! candidate has become increasingly dates. Despite these unique approaches, competitive. This company calls its it's also true that younger tech compa- search for the perfect candidate "the nies, like these and many others, have a quest for the purple squirrel." Sometimes you just have to re built-in appeal for candidates primarily because they're what's alize that, like the purple squirrel, the "perfect" candidate isn't "in" and what's "hot" right now. Also, in many of the younger available or doesn't exist. But that doesn't mean you don't try tech companies, there's no entrenched bureaucracy or cultural to find the best available talent. restrictions. If an employee wants to come to work in cargo How do some of the big tech names spot talent? shorts, T-shirts, and flip-flops, they do. In fact, what attracts For "mature" tech companies like IBM, Microsoft, and many talented employees to companies like these is the fact Hewlett-Packard (H-P), the challenge can be especially difficult that they can set their own hours, bring their pets to work, have because they don't have the allure of startups or the younger, access to free food and drinks, and a variety of other perks. "sexier tech companies. So these businesses have to really step up their game. Take IBM, for instance. After its Watson com- Discussion Questions puter beat two former Jeopardy champions in a televised match, the company hauled the machine to Carnegie Mellon, a top 9-24 What does this case imply about the supply and demand school, where students got a chance to challenge the computer. for employees and what implications does that have for businesses? IBM's goal: lure some of those students to consider a career at IBM. H-P is using the pizza party/tech talk approach at various 9-25 What's the meaning behind the search for the "purple squirrel" schools, trying to lure younger students before other tech com- in relation to spotting talent? Is this relevant to non-tech com- panies as well? Discuss. panies and startups snatch them away. Microsoft, which was once one of those startups, has sent alumni back to schools to 9-26 Do you think that mature tech companies are always going to have a more difficult time attracting tech talent? Explain. promote why Microsoft is a great place to take their talents. And it also hosts game nights, final-exam study parties, app-building 9-27 What do you think of the recruiting approaches that Google sessions, and other events to to lure students. and Facebook have tried? What types of recruiting approaches would "grab" your attention? For companies like Facebook and Google, the search for 9-27 Tech companies are notorious for their lack of women in talent is still challenging because of the increasing demand managerial and executive positions. How does this change for and limited supply of potential employees. So even these what these companies are doing to attract talent? In your companies have to be creative in spotting talent. Google, for assigned group, brainstorm how you would try to attract instance, found that they had been looking at rsums too female talent