This assumes from the outset that you know the difference between a good future employee and a bad one. Restating the problem so that the hard issues are out of scope makes any strategy look good.
How to find the perfect car: Just pick one better than all the previous cars you've owned.
How to find the perfect date: Only ask women more attractive than all your previous girlfriends
"This assumes from the outset that you know the difference between a good future employee and a bad one." -- Not really; his simulation assumed the hiring process had error bars of 15%.
All of those problems require one very important thing: an assessment of the prospective employee, car, or woman. I'm sure Dr. Norvig has plenty to say about evaluating prospective employees, but it is still the hardest part about hiring better employees (my opinion, but with no actual hiring experience).
While interesting, I wanted to point out that this is very old (2006) and may have changed somewhat since.
Now that they've grown to a certain size and have offices in different places, I would imagine they (just logistically) have to hire at the "site" level rather than at the company level now, which would encourage each site to bring in employees at a different mean than the entire company itself (i.e. like the hiring manager issue).
I worked with someone who told me about a hiring strategy he encountered at a former employer. HR came across some study that showed that people with high IQs were the most likely to have personnel issues (or didn't work as well on a team, or something like that). So they decided to avoid these personnel problems by giving job candidates IQ tests and only hiring those with IQs that weren't above the company's mean IQ. I kid you not.
I've heard this story, but I can't find any evidence for "regularly". (I'm also not sure what form such evidence would take.)
The highest profile case I can find is of Robert Jordan, of New London, CT, who sued for discrimination because his job application was rejected for scoring too high [sic] on the IQ test. (He lost.) (http://www.nytimes.com/1999/09/09/nyregion/metro-news-briefs...)
It appeals to my own personal prejudices, but it was also 10+ years ago.
Would it be possible for the source for this simulation to be released? To allow others to play with this. Namely, I'd like to see:
* Effect of Microsoft/Netflix policy of periodically laying off the bottom n% of the company
* Effect of churn (which tends to hit both the bottom and top more so than the average).
* Seeding by initial founding engineers. Founders generally have to be strongly competent engineers (95th-98th percentile), but not very many are actually 99.9th percentile "10x" engineers (e.g., Brad Fitzpatrick of Livejournal, Bill Joy of Sun, Max Levchin of Paypal).
* Speaking of "Nx engineers", how about a logarithmic (with log_2) scale of skill rather than a linear?
Of course, there is also the question: an interview shows tests aptitude (and an error rate of the interview process implies error rate in determining aptitude), but more factors play a role in actual measured performance. I wonder if this is factored in to the metrics:
foreach interview_score in range(1,5):
foreach year in range(1,4):
foreach performance_score in range(1,5):
p ( performance_score | interview_score ) at year
A company very likely must (by law) have performance_score data and it should be easy to reconstruct interview score data (unless interviewers are sloppy about writing down their feedback and decisions are made by a hiring manager based on oral input).
Yeah, I'd really like to know how they get the Y-axis. All of the google interview recaps I've ever read have made it seem as though candidates aren't likely to get the same interview.
That said, it could be that their interview questions are like the questions on the SAT, or GRE, with the difficulty being normalized in some way.
Hmm, when I looked up "The Lake Wobegon effect" on Wikipedia, it linked to "Illusory superiority." I'm guessing that's not quite what Google is going for here.
In Lake Wobegon, "all the women are strong, all the men are good looking, and all the children are above average." The Lake Wobegon Effect is one where most people think they are above average at something they are good at.
In this case, I guess they're just hiring so that everyone is above average. It makes some sense, but it does have a darker double-meaning.
What I found interesting was that the no hiring manager strategy doesn't help much... also I wonder where they got the data from for other hiring strategies that they don't use.
All this really is is an application of micro economics to your hiring policy. In an ideal world this strategy works but as others have pointed out, without perfect data, the noise builds up so that it is hard if not impossible to maintain a rising average.
1. Start and sell at least one company.
2. Set a world record - the more obscure the better.
3. Have a Ph.D - it doesn't matter what it is in.
4. Know at least one manager at Google.
5. Do all of the above before your 25.
1, 2, 3 are by themselves exceptional-- pretty much by definition, setting a world record in anything is unusual. Having started and sold a company means you've built something worth real money. (The Ph. D. is similar, though it has a different metric.)
[Really, it'd be a lot easier to study algorithms and graph theory and ace the interview.]
For a lot of employees, the project they'll be working on and what their manager is like are major factors in whether they want a job. Wouldn't a "no hiring manager" strategy cause problems because of this?
I understand (at least in the past) Google makes it easy to move between groups, so you are really joining a company, rather than a group. In most companies if you don't like your manager, your best option is to find another job.
Regarding #2: I think they're not making the most of the talent they have. Google does some great/cool things. But I expect a lot more of that based on the number of employees they have, and the average level of talent/IQ they supposedly have. I suspect the discrepancy is caused by the dampening effect of having a large infrastructure and bureaucracy, and a possible clone/conformity effect from their hiring process. I believe their hiring process mostly filters for the wrong thing. At least with respect to folks who aren't already famous to begin with.
How to find the perfect car: Just pick one better than all the previous cars you've owned.
How to find the perfect date: Only ask women more attractive than all your previous girlfriends