TABLE OF CONTENTS

1. Introduction 1
i. Company Profile & Main Issues 1 ii. Marissa Mayer 2
2. Political and Cultural Context in Yahoo – How it Contributed to the Lack of Growth and Direction 3
3. How could Yahoo Turn Around their Business? 4 3.A. Cultural-Excellence Approach 4 i. A Bias for Action 4 ii. Closeness To the Customer 4 iii. Autonomy and Entrepreneurship 5 iv. Productivity Through People 5 v. Hands-on Management 5 vi. Stick to the Knitting 5 vii. Simple Form, Lean Staff 5 viii. Simultaneous Loose-tight Organisation 5 3.B. Organizational Learning 6
4. Recommended HR and Leadership Practices 7 4.A. Human Resource Practices 7 i. Fair Evaluation System of Employees 7 ii. Open House Discussions and Feedback Mechanism 7 iii. 360 degree Performance Management Feedback System 8 iv. Attract, Recruit and Retain the Right People 8
4.B. Leadership Practices 9 i. Participative Leadership Style 9 ii. Transactional Leadership Style 10 iii. Transformational Leadership Style 10
5. Potential Sources of Resistance Among Yahoo Employees 11
6. Conclusion 11
7. References 12 1. Introduction i. Company Profile & Main Issues

For nearly ten years, Yahoo has delivered Web services to millions of people daily, and in the process made billions of dollars. As the history off Yahoo unfolded and experienced a phenomenal climb to success, Yahoo creators and shareholders were confident in their goldmine that would undoubtedly bring a consistent flow of success (Hock 2005, 33). But somewhere along the way, became mired in bureaucracy with an embarrassing inability to respond to changes in contrast to the more the more nimble Google (Olsen 2008) and has floundered as a company (May 2011). The central issues concerning Yahoo are as