Box: The Evolution of Management Practices in a Start-up

Case Solution

Kathryn Shaw, Debra Schifrin
Stanford Graduate School of Business ()

This case from 2015 focuses on the development of Box’s management practices as the company grew from a small business to an organization with more than 1,000 employees in five large locations. The online file sharing and cloud content collaboration company was founded in 2005 and valued at $ 2.4 billion a decade later. During this time, Box continued to develop its hiring, compensation, promotions, and performance appraisal approaches and processes. A determining factor in management practice has been the need to attract and retain highly skilled entrepreneurial employees. However, as the company became more focused on the lucrative corporate market, its management practices had to evolve to attract and retain more experienced employees with specific knowledge in this segment. Box noted that tensions that grew as the company grew needed to be addressed, including slower promotion speeds, changes in the compensation mix (cash vs. shares), and changes in corporate culture as more experienced employees joined. to the Box team.

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