Apple Inc Culture
Apple Inc Culture
Apple Inc Culture
Disadvantages
Apple Inc, a multinational company delivers high standard computer products, communication products, and
entertainment product such as Mac Computers, Iphones, Ipads and Ipods. The American company was developed
and formed in Cupertino, California in the year 1976. The company was incorporated in 1977 as Apple Computer, Inc.
The company started as computer manufacturer, and over the years the company grew rapidly was soon more than a
computer manufacturer. The high standard operating system Mac OS made them unique among the competitors from
the same industry. At the moment Apple, Inc is one among the top rated in the fortune companies and is well
established as a PC, Mobile phone, and software developers and distributors worldwide.
The company was formed in the year of 1976 the incorporation took place in the year of 1977; also the first computer
was introduced in the year of 1977. The founders of Apple Inc (founded as Apple Computer Inc) are Steven Paul
Jobs, Stephen Gary Wozniak, and Ronald Gerald Wayne. But Wayne has left Apple before the incorporation, the real
twist in its growth and development was with the entry of Mike Markkula who was the former marketing manager at
Intel Corporation. Markkula offered a financial support for Apple Computer Inc. He had invested $ 250, 000 and some
expertise for expanding Apple's business.
At first, they manufactured a computer without key boards and monitors, the computers even sold without a case.
The first computer is named as Apple I.
Following Apple I the company had launched Apple II which covers all the drawbacks of Apple I. Apple II had added
advantages over its predecessor, including a color display and cassette storage drive. The introduction of Apple II
was a great success and it enhanced $ 1 million annual sales.
By the year 1979 Apple launched Apple II+ computers which came out with better memory and features that Apple II.
During the 1980's Apple introduced their Apple III computers. The launch was a big failure. The analysts stated that
the PC had launched without sufficient tests, as a result many of the units turned out to be defective.
Following that Apple continued to remain innovative in product development. One of their greatest innovations was
their Ipods which is able to store and play music files with the help of their own ITunes software. The unique design
and ultra portability made the product favorite for all kinds of customers.
Following that they have introduced their first mobile phone, which was there entry in to the booming mobile phone's
industry. The mobile phone is top rated for their unique features, and enormous designs. It was great success in the
smart phones category. With all their high standard products and innovations the company had remained top rated
even in the recession. According to the second quarter report Apple Inc, the 2010 second quarter revenues raised up
to $ 13.5 billion, the second quarter revenue of 2009 reported as $ 9.08 billion. Also the profit margin raised from $
39.9 % to $ 41. 7 %, Mac PCs shows 33 % unit growth and Iphones shows 131 % unit growth compared to the
previous quarter. Whereas, Ipods shows 1 % decline in unit growth, the major portion of the revenue is contributed by
Iphones.
Organizational behavior
According to Mullins, (2005), Organizational behavior as the study and understanding of individual and group
behavior, and patterns of structure in order to help improve organizational performance and effectiveness, (Mullins,
2005, p.26)
Organizational culture is complex and multi-faceted. Culture is intangible and varies from organization to
organization. Many authors came up with relevant theories regarding these subjects. It can be defined in simple
terms as the way things are done in an organization.
Mullins, 2005 stated that according to Handy there are 4 main ways that organizational culture can be classified, they
are as follows:
Power Culture
Organization in this category tend to have minimal rules and regulations, also it is largely dependent on a central
character. The decisions are made by this central character or a central group. The focus group of Apple Inc has
proved to be best at what they are doing so far. Though this type of culture is adopted by small enterprises, Apple Inc
has adopted this due to the fact that they emphasize on delivering quality over anything else.
Role Culture
The organization in this category, tend to have a bureaucratic way of organizational culture. It very much sticks to the
rules and regulations of the company. In this culture, organizations tend to work as the strong 'pillars', where
individual values have less importance, whereas the positions play important roles. In Apple Inc, there involved a
level of secrecy as individual opinions were not accepted at all points and there were flaws in communication as well.
While looked upon from a human resource view, this proved to have affected the product development at various
stages. Whereas, when looked upon from a product development prospective, this proved to is a more challenging
and more demanding quality of significant importance. In most cases the pillars are controlled by the role, also roles
and job descriptions are more important than individual performance.
Task Culture
In this culture, organizations are more concerned about the objective and tasks. It does not pay much importance to
HR rules and regulations as this culture is more tasks oriented. Expertise and individual performance are more
valued than the positions and roles. The communication tends to be both ways and the employees are free to
express their ideas and suggestions at Apple Inc. Also decision making is not relied on information from a single
source and the employees take part in expressing their opinion or the managers gathered ideas from the co-workers.
But reports at Apple Inc show that this culture can be difficult to achieve economies of scales. In today's fast moving
digital world, many companies including Apple Inc adopted this style of operation. In olden days this has been seen in
the aeronautic engineering, but now-a-day's some of the multinational IT companies are adopting this style, because
they are keen about their organizational goals and tasks.
Person Culture
Individuals are the key factors for this concepts, this culture is normally seen in animal protection organizations.
According to Mullins, (2005) Geert Hofstede also identified four dimensions to organizational culture and work place
differences. They are as follows:
Power Distance
In this culture there is high level of disparity. According to Hofstede this culture is totally dependent on the
management; in this concept subordinates should obey the superiors. Communication tends to flow from top to down.
It is seen in military operations, at the moment organizations are trying to reduce power distance and putting their
maximum efforts to bring equality in organizations. Apple had this within the management and this was a factor that
affected the overall performance to a certain extend.
Uncertainty Avoidance
As Hofstede linked the national culture and organizational culture, uncertainty avoidance refers to the unexpected
situations or unusual situations that a society or the employees of an organization feels that they are going to face.
Apple Inc had this problem as there was a level of secrecy maintained among the employees. They themselves were
not aware of what was happening around them.
Individualism
Individualism refers to the individuals being capable of looking after them. At Apple Inc, the context of organizational
behavior is applicable to some parts of the organization that the employees are self driven. They are highly
committed to what they do pertaining to work and were not able to take care of themselves.
Masculinity
It refers to the gender difference in organizational behavior, in some society the women's value is not differed from
men's but in some society it differs women has less value that the men. Automatically it affect the organizational
behavior, if an organization provide the same positions for men and women, it may bring internal conflict in that
particular organization.
Leadership
"Leadership is not about the leader, it is about how he builds the confidence of everyone else. Leaders are
responsible for both the big structures that sever as the cornerstone of confidence, and the human touches that
shape a positive emotional climate to inspire and motivate people. Leaders delivering confidence by espousing high
standards in their messages, exemplifying these standards in the conduct they model and establishing formal
mechanism to provide a structure for acting on those standards". (Mullins J. L, 2007, p.362)
way the company is adopting Handy's task oriented organizational culture, in this culture Handy described that
organizations are less formal and highly task oriented.
It is agreed that Apple Inc is adopting an innovative and task driven culture, but at the same time they have very
strong work ethics and very strict deadlines. The best example for this there working hour, an employee is working 60
to 70 hours per week. The employees believe that apple is not just for making money.
The innovations helped the company gain market reputation; at the same time it helps the employee to learn more
things every day. That is one of the main things that employees are seeking for, especially in software and computer
related fields. The technology is changing day by day, and Apple Inc is always trying to innovate something which can
surprise the world. It helps the employees even after they left the organization, the world knows that the employees
coming out from Apple will be highly committed, task driven and hard working, also they can contribute expertise in to
other business in which they are selected for.
Individualism
According to Hofstede, in this culture employees are capable or expected look after themselves. Apple Inc is allowing
their employees to work themselves. The employees must run their own shows. Because of that the company is
always seeking for the best talents, also the guidance are given occasionally, as a result the employees are
becoming self confident and self motivated, and they clearly focused and showing high commitment to the tasks. Also
they always ready to take more responsibilities. There is common belief in the employees' mind that Apple Inc is
always seeing for accomplishment rather than the relationship building. Individual has the opportunities to prove their
ability and get the reward. The opportunity to grow is wide open in Apple Inc. As it is highly focused on the innovation
and their keen interest to launch something new and inspiring allow the employees make the days creating and
challenging. It is widely accepted by the employees at Apple Inc is that every day that they can learn and they can
experience something new. Therefore the individual opportunities to grow and learn is more compared to any other
multinational firms, also the employees are capable to their own tasks without any guidance.
Dysfunctional culture
There are assumptions many times that Apple Inc's corporate culture moved to dysfunctional. There are cases
reported that many talented people they left the company because they could not adjust and adopt the unique culture
of the company. According to the case study vice president is enjoying a greater power in the company. Analysts
pointed out that the company has less feeling towards relationship with the employees but they strictly focused on the
jobs. An incident reported that vice president hired people and assigned a pay scale twice than the senior employees
working the firm.
Conclusion
Many of the issues have been discussed, it has been realized that Apple Inc as multinational company has a unique
at the same very challenging corporate culture. Many supporters have written and many companies are trying to
adopt this culture, also many studies show some of the major draw backs of Apple Inc's corporate culture. The study
realized that the culture has both advantages and disadvantages, the capacity of innovating unique and high
standard products the company attract more talented people in to their business, the younger generation will love to
work with as they can learn something every day also they can expose themselves. On the other hand there are
some major draw backs, they have no transparency of information also they have long working hours compared to
another companies. With some changes the corporate culture of Apple Inc can be the best in the world.
Recommendations
There are major issues that the company can change, they are as follows:
The information can be more transparent, the investor and stake holder are always seeking transparent information.
Also it can help to improve product quality and can get tremendous ideas and suggestions from the co workers.
Transparency of information will help the company to know better the needs and wants of the market.
The long working hours can be changed, maximum of 40 hours working hours will help the employee to relax, a
relaxed mind can produce greater idea than a stressed and week mind.
Having multiple senior executives will allow the company to continue their activities, even if one senior executive left
the organization.
All the employee should be treated same, equality is another great fact for the success of an organization; more
talented people will be attracted to organization. Job appreciation will encourage the employees to work more
committed and task oriented.
her personality traits. People with keen perceptive abilities can precisely structure their
relationships within their work environment to get what they want, since they know which social
associations allow them to access the resources they need; those who skills are not as keen may
not be as successful, because of their lack of perception.
Personnel policies
The adoption by companies led to a lot of benefits the personnel, company and society generally.
Specifically personnel have the opportunity to work from its home a fact that allows dealing with
other facilities too as well as it influence individuals behavior at work. It provides a solution to
the problems of office expansion. Moreover allow people to be more productive by working
from their homes. Another benefit of Personnel policies is the creation of better
communications. Additionally Personnel policies lead to a reduced traffic a fact that creates
better environmental policy. They have to point out personnel through policies. Additionally they
have the opportunity to deal with their family and work to. So these kinds of policies help
employees to work in a better situation .
Organizations such as Apple Inc. in this case are the dominant cultural foundation of our times;
the study of behavior within this Organization is of active interest to many audiences. Many of
our daily activities are regulated by Organizations called governments. And most adults spend
the better part of their lives working in Organizations. Given the widespread of organizational
influence, there are many reasons to be concerned about how and why Organizations (function.
The value of organizational behavior is that it isolates important aspects of our daily interactions
with people and offers specific perspectives on interrelation of the human context: people as
Organizations, people as resources, and people as people. In conclusion all these lead to an
ultimate goal of improved productivity; have people perform at full potential, and reward
workers for performance. Environmental factors are increasing the need for effective leadership
in todays Organizations. In order to better motivate, guide, and direct employee teams, leaders
require specific skills and expertise in behavioral studies to change their environment.