Apple’s Organizational Structure and culture
Organizational Structure
A companies’ organizational structure dictates how to report priorities and strategies of upper management, and it directly impacts the success or failure of said company. In case of Apple, where are no committees and employees can easily share their opinion and ideas, we believe that the company is a collaborative company.
To achieve the company goals, Apple collaborative structure designs to bring the teams together in a long-term relationship. Apple work environment supports the employees in their individual and cooperative work. Collaborative work environment leads to more ideas and innovation. Apple collaborative structure impacts how the company is designed. It
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Apple managers and supervisors don’t need to micro-manage every single employee which gives them more time to focus on leading and inspiring. Apple employees do their best because they are satisfied with their job. People in Apple have great opportunities to grow which makes them more loyal to the company. (Suzanne, C., 2012)
Apple Operations
According to Apple annual report 2016, “Apple reportable operating segments consist of the Americas, Europe, Greater China, Japan and Rest of Asia Pacific”. These reportable operating segments provide the same hardware, software products, and services. However, to meet the unique market dynamics of each geographic region and for better align with the location of the Company’s customers and distribution partners, each reportable operating segment is managed separately. Additionally, while holding research and development expenses steady, Apple is spending less on Selling, general, and administrative expenses. Apple is one step ahead of its competitors because of speeding up the time from product conception to delivery to market, and its operations contributed greatly to profitability.
Brand Awareness
“Apple designs, manufactures and markets mobile communication and media devices, personal computers and portable digital music players, and sells a variety of related software, services, accessories, networking solutions and third-party digital content and
Refer to the financial reports of Apple, Inc. for the year ended September 25, 2010
Particularly under Steve Job, the structure was so centralized that Job was in charge of all final tasks, supervisions and decision makings. Although such autocracy getting better through the years by the effort of transformational leaders like, Tim cook, by attempting to implement a more flatter structure, the chain of command remains the same. Such hierarchal and centralized structure is a set back for innovation as well as it obstructs effective communication. The distance between the top management and front line employee not only demotivate employees but limits commitment. Therefore for Apple as technology and innovation-based company their ability or willingness to share ideas The more decentralized organizational approach promote new ideas while motivating
By making their products differentiated from the competition, Apple can establish their own price. Apple believes that people will pay some more money if they know that what they are buying is better and more reliable. That is also the reason why Apple sells the same products all over the world, making no selection or differentiation depending on where the market takes place. The high costs of Apple’s products are the one of the reasons why Apple Inc. preferred to be
Apple is a global company represented in many parts of the world, but born in the United States by computer wizards by the names of Steve Jobs and Steve Wozniak who founded the company back in 1976 (Capon, 2008). The organization deals with the design and sale of computer hardware, software and offers tech support to its customers. Examples of the hardware the company manufactures and sells include mobile phones, personal computers, iPads, tablets and iTunes with associated brands, like the MacBook and iPhones that represent Apple’s driving force towards its success. It is recognized as a brand leader in consumer electronics by the world in terms of quality and customer satisfaction and despite the wide product range, Apple manages each product in a distinct way that is a single business unit (Mittan, 2010).
Apple Inc., formerly Apple Computer, Inc., is a multinational corporation which designs and manufactures consumer electronics, personal computers, computer software and commercial servers. Their main product lines are the iPhone smart phone, iPad tablet computer, iPod portable media players and Macintosh computer line. They have also developed Apple Stores application for iphone, ipad and iPod. To become successful in the business industry, companies must have a vision and a clear purpose. Apple Inc. is one of those highly performed companies with a strong vision statement. The company’s original vision is to make computers as well as innovative tools and upgrade these products over the years. In today’s world, changing economic and social environment challenges trigger companies to proactively review business processes and to adapt to changes in the business environment. To become successful in this competitive job market, Apple needed to make sure to implement their vision and necessary proactive steps to engage it in the work environment. Leading Change by John P. Kotter mentioned a model of eight steps for change management. Each step provides a roadmap of dealing changes and how leaders can implement this eight stage model for successful change effort. Due to technological advancement and globalization, Apple has had different success and failure stories in implementing their vision. Through research, some findings came out that how Apple has been
Refer to the financial reports of Apple, Inc. for the year ended September 25, 2010
However, they may face the limitation on the firms’ development. Apple is based on a hybrid hierarchical structure (mixed with other organizational structures (Meyer, 2015). Meyer (2015) depicts that companies’ main framework is based on innovation and the leadership of Steve Jobs but for that type of leadership only works if the structure allows it to do so. Due to leadership change to Tim Cook, there are some changes made in the organizational structure in order to suit the market and its demands (Meyer, 2015). Despite the leadership change in Apple Inc. it may well enhance Apple’s capabilities will grow rapidly in creative and design (Meyer, 2015).
We chose to research Apple Incorporated, one of the most innovative companies of our generation. It is safe to say that nearly every one in the US and many foreign countries have used or at least heard of Apple products. We will be looking at the macroeconomic variables that impact Apple’s business as well as how the current developments in the industry have impacted Apple’s financials and we will also look at how Apple competes with other firms in the same industry.
Established in 1976, Apple ignited the personal computer revolution with the Apple II and the Macintosh. Today, Apple designs, manufactures and markets personal computers, portable digital music players and mobile communication devices as well as related software, services, peripherals and network solutions. Apple sells its products worldwide through its online stores, retail stores, direct sales forces and third party distributors to its core customers—consumers,
Apple is an American multinational company that produces computer software, cell phones, personal computers, and other electronic products for consumers. Some well-known Apple products include: the iPhone, the iPod, the iPad, and the Macintosh line of computers. There are many Apple retail stores in America, as well as overseas. “Apple software includes the Mac OS X operating system; the iTunes media browser; the iLife suite of multimedia and creativity software; the iWork suite of productivity software; Aperture, a professional photography package; Final Cut Studio, a suite of professional audio and film-industry software products; Logic Studio, a suite of music production tools; the Safari web browser; and iOS, a mobile operating system.”(What is Apple?).
From its start-up until the present, Apple’s corporate structure hasn’t changed a lot. Before his death, Steve Jobs was the one to make the calls regarding all the decisions; everything had to be passed through him. The company’s decision making processes were and still are centralized, in which the CEO makes all the decisions but it is incorporating more of a collaborative approach. The company is doing so by encouraging its hardware and software teams to collaborate. This approach however, never existed when Jobs was the CEO. Apple is considered a centralized company because it makes high capital investments that encourage centralization. It is highly competitive, offers high technology products, has a homogeneous product line, low product diversification, and has a lot of experience doing international business. Furthermore, it is organized on different basis; functional, divisional and geographical. Its functional structure is that the innovations and visions essentially come from top management and flow down the organization. Top management includes the board of directors in which they oversee and ensure that shareholders’ interests are being served for a long-term. Also, its functional structure is departmentalized and includes marketing, engineering, manufacturing, financing, IT, research and development. Its divisional functions include the products the company is offering, the market it is operating in and geographical areas. Apple has four product categories; the
Apple prides itself on offering innovative technology to a society that has become dependent on it. In markets inundated with companies offering similar products and services, Apple has had to rise above and distinguish itself from the masses. While their products have a cultivated a devoted-customer following (our family is one of them), their organization and the values it espouses are what will help them to remain a relevant and successful company in the tech world.
What the structure of apple company is customized management institution,the ice of bureaucratic hurdles was broken by this creative simplifies structure. It is the creative culture that Apple Company has launched the new technology new products come out every year.
Its co-founder Steve Jobs instilled organizational culture of Apple and until now, the culture remains strong in the organization. Apple’s organizational culture is first seen in the production of their products. Apple was the first company to come up with a smartphone. This was a revolutionary discovery in the mobile industry that led to the introduction of smart phones. The introduction of smartphones by Apple created a blue ocean strategy. This is because the mobile market was saturated (red oceans) with ordinary phones then Apple introduced a breakthrough product (Chan, 2004). However much that Steve Jobs left the organization, the company still continues to produce simple products that are easy to use and that are unique. These core values are the reason that Apple products have been so consistent, since their employees know exactly what is anticipated in the products they develop (Julie,
Apple Inc. is an American multinational organization that design, manufactures and sells the high technological electronics, online services, computer software and accessories. The product and services of Apple Inc. consist of iPhone, iPod, iPad, Mac, Apple watch, software (ios operating system, icloud) and so on. Apple is the leading brand in the mobile market across the globe. Apple delivers the applications through iTunes store, Mac App Store developed by the Apple Inc itself. The company offers its product worldwide via different retail stores, showroom, online stores,