Introduction of Apple. Inc. Introduction of Apple. Inc.
Apple Inc. Apple Inc.
Is an American multinational corporation, one of the greatest in the world that designs and Is an American multinational corporation, one of the greatest in the world that designs and
manufactures consumer electronics and computer software products? The company's best-known manufactures consumer electronics and computer software products? The company's best-known hardware products Macintosh computers, iod, ihone, software!s including the Mac "# $
hardware products Macintosh computers, iod, ihone, software!s including the Mac "# $ operating system, iTunes and other
operating system, iTunes and other creati%ity software!s lcreati%ity software!s like i&oike i&ork represent the face rk represent the face of theof the music, phone, and computing
music, phone, and computing industry. industry. The company operates more than (The company operates more than () retail stores in) retail stores in si*teen countries and an online store where
si*teen countries and an online store where hardware and software products are sold.hardware and software products are sold.
+stablished in upertino, alifornia on April , /0 and incorporated 1anuary 2,
+stablished in upertino, alifornia on April , /0 and incorporated 1anuary 2, //, the//, the company was called Apple omputer, Inc. for its 3est 2) years, but dropped the word
company was called Apple omputer, Inc. for its 3est 2) years, but dropped the word
4omputer4 on 1anuary , ))/ to re5ect the company's ongoing e*pansion into the consumer 4omputer4 on 1anuary , ))/ to re5ect the company's ongoing e*pansion into the consumer electronics market in addition to its traditional focus on personal computers. Apple has about electronics market in addition to its traditional focus on personal computers. Apple has about 6,7)) employees worldwide and had
6,7)) employees worldwide and had worldwide annual sales for the full-year results in )2,worldwide annual sales for the full-year results in )2, the company generated 8/ billion in re%enue and 82/ billion in port. 9or reasons as %arious as the company generated 8/ billion in re%enue and 82/ billion in port. 9or reasons as %arious as its philosophy of comprehensi%e aesthetic design to its distincti%e ad%ertising campaigns, Apple its philosophy of comprehensi%e aesthetic design to its distincti%e ad%ertising campaigns, Apple has established a uni:ue reputation in the
has established a uni:ue reputation in the consumer electronics industry. consumer electronics industry. This includes aThis includes a customer base that is de%oted to the
customer base that is de%oted to the company and its brand, particularly in the company and its brand, particularly in the ;nited #tates.;nited #tates. 9ortune maga<ine named Apple the most admired company in
9ortune maga<ine named Apple the most admired company in the ;nited #tates in ))7 and the ;nited #tates in ))7 and inin the world in )).
the world in )). 7)s, the =e
7)s, the =ears without #te%e ars without #te%e 1obs1obs
After the success of the Apple II in the late /)s and early
After the success of the Apple II in the late /)s and early 7)s, 1obs imprudent spending and7)s, 1obs imprudent spending and ine*pert management of his company led
ine*pert management of his company led the Apple board of directors to re:uest that a morethe Apple board of directors to re:uest that a more e*perienced +" run the co
e*perienced +" run the company. Tmpany. The board and 1obs chhe board and 1obs chose 1ohn #culley, a former presidentose 1ohn #culley, a former president of epsi, to manage the rapidly
of epsi, to manage the rapidly growing company in con5unction with 1obs. growing company in con5unction with 1obs. >ut 1obs struggled in>ut 1obs struggled in his new role, causing the board
his new role, causing the board to oust him in 7(. 9rom to oust him in 7(. 9rom that point on, Apple took hits inthat point on, Apple took hits in popularity and lost considerable ground to >ill ates!
popularity and lost considerable ground to >ill ates! growing 5uggernaut throughout the )s.growing 5uggernaut throughout the )s. #culley wasn't %ery successful.
#culley wasn't %ery successful.
@ooking back, the Apple products that came out in
@ooking back, the Apple products that came out in the 1obs-less era theoretically should ha%ethe 1obs-less era theoretically should ha%e been %ery good for the company, but were either poorly managed or not marketed well enough to been %ery good for the company, but were either poorly managed or not marketed well enough to
gain ground. The ewton, launched
gain ground. The ewton, launched in 2, is a good in 2, is a good e*ample of a strong Apple product thate*ample of a strong Apple product that ne%er found its following. The ewton was to be a re%olutionary ersonal Bigital Be%ice one of ne%er found its following. The ewton was to be a re%olutionary ersonal Bigital Be%ice one of the world!s consumer BAs Cersonal Bigital Assis
the world!s consumer BAs Cersonal Bigital AssistantsD. It had a tantsD. It had a touchscreen and a touchscreen and a pen styluspen stylus like today!s smart phones, and almost no competition in the market. >ut it popped
the ihone!s successD. "ne problem was that Apple allowed Motorola, #harp, and Bigital "cean to manufacture de%ices that ran the ewton "# and ultimately the lack of uniformity may ha%e been a turnoff to adopters.
)s, The oming back of #te%e 1obs
&hen #te%e 1obs returned to his company as +" in /, he had learned from his mistakes, as well as from Apple's mistakes o%er the pre%ious decade. "ne of 1obs! best decisions upon his return was to stop cloning Macintosh computers. #ince (, Apple had been allowing the other companies to make Mac-compatible computers. The arrangement was cutting into Apple's
bottom line and diminishing the :uality of Mac computers in the marketplace. The same story applies to the ewtonE &ith the "# being rented out to anyone who could create a de%ice
Apple Inc. latest product
#an 9rancisco F Apple today introduced ihone / and ihone / plus, the best, most ad%anced ihone e%er, packed with uni:ue inno%ations that impro%e all the ways ihone is used e%ery day. The new ihone features new ad%anced camera systems that take pictures like ne%er before, more power and performance with the best battery life e%er in an ihone, immersi%e stereo speakers, and wide color system from camera to display, two new beautiful finishes, and is the first water and dust resistant ihone. Ihone / and ihone / lus will be a%ailable in more than ( countries beginning 9riday, #eptember 0.
Gihone / and ihone / lus dramatically impro%e e%ery aspect of the ihone e*perience, reaching a new le%el of inno%ation and precision to make this the best ihone we ha%e e%er made,H said hilip #chiller, Apple!s senior %ice president of &orldwide Marketing. GThe
completely redesigned cameras shoot incredible photos and %ideos day or night, the A) 9usion chip is the most powerful chip on any smartphone while deli%ering the best battery life e%er in an ihone, and an entirely new stereo speaker system pro%ides twice the sound, all within the first water and dust resistant ihone.H
ew Ad%anced amera #ystems
ihone / and ihone / lus take the world!s most popular camera and make it e%en better with entirely new camera systems. The -megapi*el camera includes optical image stabili<ation on both ihone / and ihone / lus, and a larger J.7 aperture and 0-element lens enable brighter,
more detail. ihone / lus features the same -megapi*el wide angle camera as ihone / and adds a -megapi*el telephoto camera that together offer optical <oom at two times and up to ) times digital <oom for photos.
oming later this year, the dual -megapi*el cameras also enable a new depth-of-field effect, using both cameras on ihone / lus to capture images, while sophisticated technology including Machine @earning separates the background from the foreground to achie%e ama<ing portraits once possible only with B#@3 cameras.
Buring the past few decades, research on organi<ational contingencies and opportunity e%aluation has propagated conceptual dogmas in ambi%alence under the study of 5udgment. Becision making is a process that includes intermediate steps between consideration and implementation. "ne of the successful methods of monitoring organi<ational effecti%eness is accounting for profit achie%ement which ser%es as a benchmark for board members and top management to acknowledge the managers! attempts in accomplishing profitable deals. "ther means to measure organi<ational success include producti%ity, salesJser%ices consumption, market share, customer ser%ices, achie%ement of goals, and other holistic approaches, etc.
>ehind e%ery organi<ational success, there are strategic decisions that map organi<ation!s path in accomplishing its goals as set by the board and top management le%el. If the decision making :uality is not sustained, it can lead to a chaotic organi<ational failure. Managers and consultants need substantial amount of facts and figures before making any formal decisions and there is no guarantee to make the Kright! or perfect decision CAsaari and 3a<ak, ))/D onetheless,
managers are responsible to make choices on daily basis to communicate their decisions with the rest of the team member
Becision makers ha%e a pressing influence on organi<ational performance hence this paper will focus on the strategic decision making practices and their effecti%eness toward the organi<ation!s performance. This paper also aims to e*plore the correlation between strategic decision making processes and organi<ational culture by analy<ing the current literature in this conte*t and by
e%aluating the results of a comparati%e case study. It seeks to e*plore the %arious challenges posed by an organi<ation!s culture to the implementation of its strategy. The process of decision
making is sub5ected to innumerable organi<ational cultural influences. Increasing number of e%idence suggests culture affects the strategy organi<ational decision making. GThe e%idence suggest that in a specific cultural conte*t a particular form of participati%e decision making is more appropriate than othersH C#agie and Ayca, ))2 as cited by Loskinen, ))D
+stablishing a cross cultural research program with styles of Kcomple* decision making! would re:uire cultural, theoretical and empirical conclusions for primary discernment. The three factors that need to be discussed about cultural theoretical constructs that affect decision making areE . redictability of the organi<ational en%ironmentE The predictability of different spheres of the en%ironment impact the effecti%eness of problem sol%ing strategies and hence if the
@imited predictability on the other hand re:uires the modification of strategies employed to address and sol%e issues and hence comple* decision making becomes ine%itable. G#low rates of change may allow for knowledge based, analytic, and long term oriented strategies to de%elop whereas an en%ironment in a constant state of flu* re:uires ad hoc and short term strategiesH C#trohschneider, ))D2N.. +*posureE It is the e*tent to which a culture demands and facilitates essential e*periences in %arious areas of problem sol%ing. +*posure is related to credibility of the organi<ational en%ironment but it also ser%es as Ka function of dominant %alue systems or the a%ailability of resources necessary to promote e*posure! C#trohschneider, ))D
2N.Indi%idualistic organi<ational cultures pro%ide employees a strong locus of control in work setting. It also facilitates an organi<ational en%ironment of stronger self-reliance, independence, and mutual trust. Oierarchical organi<ational culture, on the flip side, limits employee e*posure le%el to the e*periences and hence the employees cannot gain a formal e*pertise in the domain of problem sol%ing.2. ower distance and organi<ational structureE ulture dimensions mould the
strategies employed to decision making. GOigh power distance cultures are more likely to limit the control span of indi%iduals not on top of the hierarchy and thus hamper indi%idual decision making rather than promoting itHC#trohschneider, ))D2N.on%entionally, risk a%oidant decision makers need to pay close attention to potentially detrimental social connotations of decisions.
. haracteristics of #trategic Becision Making in "rgani<ations
Becision making is a process by which managers recogni<e and address organi<ational issues and attempt to propose a solution to them. The core purpose of strategic decision making
research is to find effecti%e ways of problem sol%ing in organi<ations. #trategic decision makings are crucial in determining the direction of organi<ational de%elopmental %iability and help
organi<ations reshape their goals and missions. #ome of the characteristics of strategic decision making highlighted by earce and 3obinson C/ as cited by Asaari and 3a<ak
))/D, N are greater need for fle*ibility, increased risk, cost, profit potential and longer time hori<ons. "rgani<ational decision makings engage in synchroni<ing resource cap acities with %iable outcomes. #trategic decisions ha%e eminent resource propositions for organi<ations. These decisions may employ ac:uiring further resources, organi<ing or reallocating others. #trategic decisions are long term, deal with organi<ational future planning and intend to achie%e
organi<ational growth. #trategic decisions should be followed by effecti%e change management as de%eloping organi<ations are e%er-changing. "rgani<ational acti%ities occupying strategic decisions directly deal with organi<ation!s %ision and hence are comple* in nature. #trategic decisions almost always in%ol%e risk and efforts can only be made to come up with risk
minimi<ing strategies. Proom C))2D6N emphasi<ed that effecti%e decision making is not only dependent on the :uality of decision but also the confirmation that the decision will ha%e the re:uired support and commitment for an efficacious incorporation. onetheless, all strategic decision making needs to go through a formal decision making process for optimal results. 2. #trategic Becision Making and "rgani<ational ulture
An organi<ation!s cultural mesh is applied to conceptuali<e either Kinterpretati%e frame of reference! Cwhat an organi<ation isD or Kfunctionalist frame of reference! Cwhat an organi<ation hasD. The cultural mesh manifests a significant range of the components that should be managed directly for a successful strategic decision making, e.g. Kcommunication, chang es in control systems, incenti%es, and organi<ational structure! COeracleous Q@angham, 0D (N.
"rgani<ations today are in dire need of getting through the process of regular scanning of their en%ironments and cultures. "rgani<ations then also need to detect the potential opportunities and threats and the entire process of decision making should be conducted in the en%ironment of openness, critical e%aluation, and with a%oiding groupthink. +%idence highlights the gap between theory and practice in effecti%e decision making and the influence of the culture and assumptions of the decision makers on the process. #ome of the ma5or organi<ational culture issues identified by Bas and Tend CD 0N that lead to ineffecti%e decision making or its implementation areE .
@imited alternati%es reduced to decision makers that rely on intuitions than rational analysis.. 9ocusing on prior assumptions during the analysis process to a%oid the percei%ed conflict.2. arrowing down the targets to focus on selected traits and outcomes.6. Insensiti%ity to outcome probabilities by Kdecision makers rely on sub5ecti%e 5udgments rather than rational probabilities
of outcomes and tend to see problems as uni:ue and thereby not rele%ant to outcomes of past e*periences! CLorte, ))2D /N.(. Illusion of manageability by becoming o%erly optimistic about the conse:uences by o%erestimating the le%el of control. KBecision making strategies employed by indi%iduals are based on loosely defined rules! CLorte, ))2D /N. At a strategic le%el,
sometimes the nature of the problem is so comple* and ill structured that the decision makers need to rely on pre5udgments which %ary from strongly held philosophical beliefs to more
mundane cause and effect reasoning. The efficiency with which the organi<ation makes decision makes the difference between success and failure.
>usiness operational plan of Apple Inc.
#trategic plan sets up the business plan of a company while business plan in turn establishes the business operation plan. "perational plan is the key to run the entire business of company.
"perational business plan co%ers the all areas of company including the finance, manufacturing, internet, operations, 3QB, human resources and marketing. Apple Inc. was known because of its lenient business thinking. Apple Inc. has the design, marketing and manufacturing ser%ices.
ompany de%elops designs and markets the musical players with important accessories. The business of Apple Inc. is managed on geographic basis. There are fi%e operating segments of Apple Inc. such as America, +urope, 1apan, retail and others. In ;#, anada, ;L and 1apan Apple owned stores are currently operating.
@ike other organi<ations Apple Inc. all the departments are formed by the placing the similar functions in the groups. As described before the main di%isions of Apple Inc. human resource, finance, marketing and productions are adopted by the functional approach. In each di%ision the functional subsystem and departments create hierarchies. "perational management is linked with the production di%ision's acti%ities.
The people in Apple Inc. are grouped together on the basis of their e*pertise and resources. It enabled the Apple Inc. to learn from its functions. The present structure in Apple Inc. has focused upon those acti%ities which reduce the costs and increase the fle*ibility in its operations. The managers in Apple Inc. ha%e a greater control of the organi<ational acti%ities and a%oiding the tall and other se%eral hierarchies. A relati%e flat structure of the Apple Inc. has decentrali<ed the authorities and responsibilities of its management. The managers and employees at lower le%els are encouraged to take part in fostering the company's strengths. The ad%antages of
decentrali<ation are numerous i.e. enhancing the planning, decision making and control
processes. Apple Inc. has focused on its marketing operations on the ma5or business areas like iod and iTunes. The marketing department shows a great responsi%eness to the outside world. The finance treasury di%ision of Apple Inc. pro%ides the financial policy to company. This department is responsible to handle the international capital transactions of compan y, li:uidity guaranteeing and risk management. In Apple Inc. the role of the financial manager is crucial for the strategic management. The capital re:uired for the 3QB is raised by the 9inance di%ision which maintains the inno%ation position of the Apple Inc. Internal problems of Apple Inc. were in the form of the sale force accessing directly to corporations. Apple Inc. relied on the 2)) manufactures while I>M had 0))) to /))) direct salesman. Oowe%er the Apple Inc. has focused to establish more sales staff. Many issues concerning to these sales person were noted regarding the prices of products. Apple Inc. has also marketing problem as it failed to communicate th e Macintosh's business image in market. The fact that marketing strategy was not according to re:uirements and did not make it more famous in marketR it also did not focus upon the
technology. roducts are manufactured on the basis of customer's needs. Apple Inc. needed the fundamental importance of getting close to market.
Apple Inc. possessed the organi<ational structure which too had the management problems. The production and shipment problems e*ist in Apple Inc. as the I>M its supplier e*perienced the
manufacturing problems and delayed the shipment of %arious products. In a market the speedy deli%ery of products is critical. Bue to the Apple's key dependency on other companies put it at the competiti%e disad%antage. Ouman 3esource in Apple Inc. has administrati%e tasks such as meetings, conferences, special pro5ects and seeks the solution for the fast paced store
en%ironment.
Managerial :ualities and resources necessary for effecti%e business operation planning
The issues in :uality of products attracted the attention of business. The management concept is rendered by the wa%e of successful entrepreneurship. Top managers are committed to make decisions before communicating fully with all those who are in%ol%ed in it. &hen subordinates ask for the decision the top managers think about the organi<ational response towards the
decision for strategic plan. &ays of decision making enhance the business operations and
ensure the deli%ery of the products to companies according to their re:uirements. >usiness customer contacts the business managers and long term relationships are established between them ChttpEJJwww.apple.comJ5obsJusJretail.htmlSbusinessD. Apple Inc. management has the ability to sell its products ha%ing no supply chain system. It earn the re%enue by the selling the iod de%ices and Mac computers. Its iTunes %irtual stores are generating the re%enue more than 8 billion e%ery year CBa%id, )), pE /D. The managers at Apple Inc. face the incenti%es of using the strategies to control the earnings in many traded companies. The managers are allowed to purchase the stocks. In this way the staff at Apple Inc. is encouraged Cwww.sec.go%D. The
management system of Apple Inc. has policies and procedures, responsibilities and roles of its managers. 9or e*ample a best health management system is maintained by the concerned managers to ensure the safety and health of its employees. If any inade:uacy is seen in this system then top managers adopt the correcti%e actions including the %erification through audit processes. Apple procurement managers are responsible to manage the business relationship with
suppliers and coordinate the Apple's supplier responsibility auditor.
Apple Inc. has fi%e di%isions to manage the products and marketing departments of the company. These fi%e di%isions are responsible to e%aluation and manufacturing of the de%ices, software and hardware of computer system. The four support di%isions also work to handle the marketing and post-sale products. A new position of hief "peration "fficer was created by #cully to centrali<e
the operations and in%ol%ing the senior management in the daily business decisions CAnnual 3eport, 77D. Ouman 3esource CO3D is responsible for the safeguarding the most %aluable assets of the Apple Inc. It handles the many programs of the company to achie%e the company's goals. Ouman resource at Apple Inc. is also responsible to reach at the n eeded resources. The Apple Inc. has si* important %alued creation functions including the marketing, 3QB, finance, Ouman resource management, information systems and operations and logistics. The chain of acti%ities re:uired to transform the inputs into outputs are primarily concerned with actual design, manufacturing, deli%ery, marketing of products and customer support acti%ities. The ultimate task of the 3QB resource at Apple Inc. includes the new inno%ation and use of
technology which meet the customer's re:uirements COill Q 1ones, ))6D. Information system at Apple Inc. is an important asset which pro%ides the business assisting facility. 9or the success of the business operation plan the information system is a core to keep the business run online without any obstacles. "ther %aluable resources which ha%e potential powers for the customers as well as the management at Apple Inc. include the ser%ers which distribute the information about Apple's products and create new internet resources for the mailing list, online feedback and further open the communication lines.
9rom the abo%e discussion it can be concluded that Apple Inc. is a well-known de%elopment and business company of the world. Its success lies in its business operation plan which indeed
depends upon the %arious necessary actions taken from the design of the product to sale of the product.
