Google: Ten Golden Rules

Newsweek (article)

Why is Google so strong? How about; the company is a good one to work for.

Cater to their every need. As Drucker says, the goal is to "strip away everything that gets in their way." We provide a standard package of fringe benefits, but on top of that are first-class dining facilities, gyms, laundry rooms, massage rooms, haircuts, carwashes, dry cleaning, commuting buses—just about anything a hardworking engineer might want. Let's face it: programmers want to program, they don't want to do their laundry. So we make it easy for them to do both.

Encourage creativity. Google engineers can spend up to 20 percent of their time on a project of their choice. There is, of course, an approval process and some oversight, but basically we want to allow creative people to be creative. One of our not-so-secret weapons is our ideas mailing list: a companywide suggestion box where people can post ideas ranging from parking procedures to the next killer app. The software allows for everyone to comment on and rate ideas, permitting the best ideas to percolate to the top.

Don't be evil. Much has been written about Google's slogan, but we really try to live by it, particularly in the ranks of management. As in every organization, people are passionate about their views. But nobody throws chairs at Google, unlike management practices used at some other well-known technology companies. We foster to create an atmosphere of tolerance and respect, not a company full of yes men.

There are more of ‘em too (seven more to be specific).
My point is that if you make a company that people would want to work for you can get much better employees for the same hiring price, and this makes your company work better.
Above he says: "Let's face it: programmers want to program, they don't want to do their laundry." I don't think this is always the case. I think people with a bad worth ethic would rather do their laundry than *any* job before them. But Google never sees these people, they only see those that would rather program. Why? Because only the best employees at the current hiring spot get into Google because it is such a desirable place to work (probably because you can do your laundry at work). So the only people that work at Google are those that would rather program then do their laundry.

And the good karma abounds.