Netscape's Work Culture
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Case Details:
Case Code : HROB013
Case Length : 13 Pages
Period : 1994 - 2000
Pub Date : 2001
Teaching Note : Available
Organization : Netscape
Industry : Information Technology
Countries : USA
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Excerpts
Netscape's Culture
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Netscape promoted a casual, flexible and independent culture. Employees were not
bound by rigid schedules and policies and were free to come and go as they
pleased. They were even allowed to work from home. The company promoted an
environment of equality - everyone was encouraged to contribute his opinions.
This was also evident in the company's cubicle policy. Everyone including CEO
Barksdale, worked in a cubicle.
Independence and hands-off management were important aspects of Netscape's
culture. There was no dress code at Netscape, so employees, were free to wear
whatever they wanted. Barksdale laid down only one condition, "You must come to
work dressed."
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The company promoted experimentation and did not require employees to seek
anyone's approval for trying out new ideas. For example, Patrick O'Hare, who
managed Netscape's internal human resources website, was allowed to make
changes to any page on the site, without anyone's approval...
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The Setback
After the acquisition, AOL planned to integrate Netscape's
web-browser products and Netcenter portal site with its Interactive
Services Group.
The company created a Netscape Enterprise Group in
alliance with Sun Microsystems to develop software products ranging
from basic web servers and messaging products to e-commerce
applications. However, overlapping technologies and organizational
red tape slowed down the process of integration. Within a year of
the acquisition, Netscape browser's marketshare fell from 73% to
36%. |
Andreessen, who had joined AOL as chief technology officer,
resigned only after six months on the job. His departure triggered a mass exodus
of software engineering talent from Netscape. Soon after, engineers from
Netscape joined Silicon Valley start-ups like Accept.com, Tellme Networks,
Apogee Venture Group and ITIXS. Former Netscape vice president of technology
Mike McCue and product manager Angus Davis founded Tellme Networks. They brought
with them John Giannandrea. As chief technologist and principal engineer of the
browser group, John Giannandrea was involved with every Navigator release from
the first beta of 1.0 in 1994 to the launch of 4.5 version in Oct. 1998...
Exhibits
Exhibit I: Netscape - Chronology of Events
Exhibit II: Netscape Time
Exhibit III: Benefits for Netscape Employees
Exhibit IV: Netscape Consolidated Statement of Operations
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