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Introduction: Microsoft Company. Current Strategy and the Related Issues
Known all over the world and used by the majority of the population in literally every state, Microsoft is more than a brand – it has become a business legend. However, when considering the current company policy, one will most likely discover that the company management pursue their own selfish goals instead of working for the benefit of the company. Unless Microsoft changes its strategies and makes the managerial abandon their selfish ways, the company will face the threat of a rapid decay.
Issues with the Company’s Managerial: With Personal Interests Ahead
According to what Goals and governance of the firm says, it is quite understandable, yet rather undesirable: “Is it desirable for managers to act in the selfish interests of their shareholders?” (Goals and governance of the firm, n. d.). Hence, to make people less selfish, the company needs to make them understand that their ambitions are accepted, yet, to gain something, they will also have to make an effort and offer something to the company (Hill & Jones, 2010).
Market capitalization and the current financing
Before going any further, one must mention that the strategy which Microsoft Corporation used to implement before left much to be desired, since it was focused rather on the company’s benefits and, therefore, gave the employees reasons to suspect that they are being used (Goals and governance of the firm, n. d.). In addition, the issue of interoperability must be mentioned; defined as the ability of the company’s products to operate together with the products of other companies, interoperability is not the prior issue at present, yet it can bring the managerial sufficient income, which defines the company’s current policy. As Orcmid (2008) claims, interoperability works “as a self-interest of a dominant producer in our industry” (Orcmid, 2008, para. 1), which means that the company managers are most likely to choose the interoperability method to
Making Managers Stop Pursuing Their Selfish Interests: New Ideas
It seems that the actions which pursue the stakeholders’ interest are harmful for the company. As Benkler explains, “Those of us who have looked to the self-interest of lending institutions to protect shareholders’ equity—myself, especially—are in a state of shocked disbelief” (Benkler, 2012). Hence, the negative impact of the selfish gene has to be stopped.
Using the “unselfish gene”
Speaking of the way in which the ways of the company’s managerial can be made less selfish, one should consider the principle of the unselfish gene, which Benkler talks about. As Benkler explains, “The widespread conviction about the power of self-interest is based on two long-standing, partly erroneous, and opposing assumptions about getting people to cooperate” (Benkler, 2012). Therefore, pursuing solely the selfish goals is not the human nature either. Once using people’s social instincts and making them feel certain that their interests are going to be taken into account, one will be able to get the Microsoft managerial to stop using their power for their own benefit.
Getting the priorities in line
Judging by the above-mentioned, it is obvious that the Microsoft Corporation must take their management needs and wants into account as well. While Microsoft can continue its policy with boosting the sales, it can offer its managers more opportunities to show their full potential and get rewards for their performance.
Conclusion: New goals, new standards, same people
Hill and Jones stressed the efficiency of the corporate scandals which made the employees set their priorities straight:
In the aftermath of a wave of corporate scandals that hit the corporate world in the early 2000s, there are clear signs that many corporate boards are moving away from merely rubber-stamping top management decisions and are beginning to play a much more active role in corporate governance. (Hill & Jones, 2008, 359)
Therefore, once new goals which align with the needs of the management are set, Microsoft will be able to regain its winning position.
Reference List
Benkler, Y. (2011). The unselfish gene. Web.
Goals and governance of the firm (n. d.). Web.
Hill, C. W. L., & Jones, G. R. (2010). Strategic management theory: An integrated approach (4th ed.). Stamford, CN: Cengage Learning.
Orcmid (2008). Interoperability: What’s the self-interest? Web.
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