Apple Case Study
Apple Case Study
A case study ‘Apple Inc.’s Corporate Culture: The Good the Bad and
the Ugly’
This report is based on the case study ‘Apple Inc.’s Corporate Culture: The
Good the Bad and the Ugly’. The report tried to investigate and find out what
is good and what is detrimental to the organisational culture in terms of
Human Resource strategy and practice in Apple Inc. The conceptual
investigation was totally focused on Human Resource Management
perspective issues of Apple, though the case study has included wide areas
of analysis including Apple’s operations, marketing, accounts etc. This
theoretical research provides a reasoned and academically underpinned
critical analysis as well as provides coherent and justified recommendations
for changes to HR strategy and practice in Apple Inc.
Based on the above mentioned case study, this essay reviewed the impact of
people (employee) in apple’s magical success as well as it has reviewed the
Apple Inc’s management and leadership styles. In the progress of the essay,
Apple’s human resources policy is also critically evaluated and detrimental
HRM issues are identified. Appropriate models and frameworks also has been
identified which could be used for better managing of human resources.
Good HRM practices also given credit which they can effectively keep
implementing for sustainable future success.
Peoples in Apple Inc. have made huge impact and they are the key of
company’s success. Its CEO Steve Jobs is the person who has been the
figureheads for the company. He is the founder of the company, however
after his initial spell with the organisation he had to leave. When he came
back after twelve years, he has made Apple most innovative and profitable
organisation on earth. He is an iconic figure and everybody wants him
around in the company. He is world’s greatest salesman (case study). Apple
and Jobs have become synonymous. How one person can make a crisis-
ridden company to a world most recognised company, what might be impact
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It is not only Steve Jobs, apart from him it is peoples who works for Apple
made the difference. As the case study suggests, totally awesome team of
people working in the company. Everyone is respectful, intelligent and good
at executing. Apples employees had high passion and believe in the
corporate mission and it was the competitive advantage for the company.
According to the case study the key people in the organisation are the
position of technical, marketing and staff positions. The organisation’s
success largely depends on attracting and keeping these peoples.
continue to function in a profitable and effective way. The HRM function must
support these strategic perspectives.
Most organisations are being held back by people issues. They need to be
handled with care and effectively. It seems Apple has adopted a balance of
Best fit and best practice approaches to manage its human resources. The
objective of Apple’s Human Resources is to maximize the return on
investment from the organization’s human capital and minimize financial
risk. These responsibilities are conducted by human resource managers in an
effective, legal, fair, and consistent manner. Human resource management in
Apple serves these key functions:
Recruitment
Apple recruits people with computer based knowledge. Highly selective
recruitment process was designed to hire only the best who would fit well to
the organisational culture regardless of their experiences. Organisational
fitness is more important in Apple than job-fitness. Case study suggests that
selection process is a short procedure, where prospective employees’
organisational suitability is measured by verbal interview.
and the opportunity to work on big projects with some of the experienced
players in the industry were added bonuses.
Apple also offered the FlexBenefits programme to its employees where they
could choose benefits that best fit their lives.
According to the case study apple is well known to appreciate and value its
employees. It is considered a great place to work for people who are
passionate about innovation.
Career opportunity:
Apple’s positive recruitment policy emphasis on candidates’ suitability to suit
the organisational culture rather than their skills to fit in a specific position.
However opportunities are given to employees to gather skills within the
organisation. Opportunities for training and development include internship,
on-the-job training etc.
Employability security:
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Apple has no mutual obligation between the company and its employees and
the employees should opt for a better opportunity if it came along. Apple is
always unapologetic about layoffs and made it clear that the company
believed in employability security rather than employment security. The
employability security means that an employee after working with apple
would learn enough to be attractive to another employer if laid off. Apple
emphasis on psychological contract rather than physical contract. Price,
(2007) viewed psychological contract as an informal understanding between
the employer and employee. Unlike the formal employment contract, this
has no physical existence. It is a set of expectations held by both employers
and employees in terms of what they wish to give and receive from their
working relationship.
However when it comes to take final decisions, the case study suggests it is
always one person who takes them and it is Steve Jobs himself as well as his
job delegation was very selective only to whom he (Jobs) trusted which is
named benevolent authoritative style of management by Likert (2009).
Steve Jobs is a visionary leader who has who has always identified the need
of change and has vision of future desired state. Anon (2002) dubbed him as
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However though Jobs leadership has brought success for Apple, it does not
guarantee that same style would work for future leaders. According the case
study Jobs leadership in Apple is supported by Great man theory of
leadership where he practices CEO centric power. Anon (2008) suggests that
he is secretive, controlling, hog credit, makes people cry and parks his
Mercedes in disabled spots. In the world of continuous change this sort of
leadership is ineffective for long run.
Jobs has been a successful manager who has showed his competency of
managing task and people in Apple at the same time though he is a
transformational visionary leader but on the other side of the coin he is a
autocratic dictator who has been subjecting his employees to tyrannical
outburst and fostering a culture of strict secrecy at the company. Apple’s
future leader should adopt more integrating style of leading rather than Jobs’
traditional controlling leadership.
As the case study suggest that Jobs put an executive team, trained and
groomed in his way of doing things in place to take the company forward in
his absence. It seems the scheme is successfully working as in Jobs’ recent
six months absence period the company ran smoothly and even Apple’s
stock price was up 66%. Steve jobs has put bold management succession
plan in place as it is clear after Jobs’ sudden exit, Cook will take over as the
CEO. Torrington et al (2008) describe it as individual succession analysis. This
process is focused to an informal approach to promote with short-term focus
on who would be able to replace senior people if they left suddenly.
The work culture at Apple was driven by passion for products and attention
to the minutest details. Every department is equipped with smart, creative
and hard-working people. The work culture is much more like club rather
than family.
Promotion unfairness
According to the case study unfairness in promotions and overall employee
treatment existed at Apple. Apple worked its employees ‘to the bone’ but did
not reward their hard work and dedication. Only top executives were
rewarded. In Apple, appraisal is not based on contribution to the team and
support of others, rather based on individual outstanding performance.
worked 60 hours per week. Pfeffer (1998) models suggests profit can still be
made with higher pay rates if the right pay format is used such as gain
sharing , stock options and pay for skills (cited in Price, 2007). When
employees think they are fairly rewarded they will show more commitment.
Apple’s management must pay attention on this. It is important task for any
HRM department to aligning an organization’s payment arrangements and
wider reward systems with the business objectives (Torrington et al. 2008,
pp. 638).
Scholars place a high value on collaboration not just internally, but with its
customers and partners. It emphasises the power of teamwork. By
collaboration it seeks to be closely in ‘touch and in tune’ with the customer
and the market at large.
Conclusion
It is obvious apple has many good thinks which are strength for the company
including strong management, leading, skilled and dedicated people
resources. However it is also evident that company’s overall corporate
culture is out dated which is characterised by absence of morale and lack of
alignment of people with organisational strategy. So change in organisational
culture is crucial and should be imminent for sustainable long term success.
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It is not drastic change Apple has to go through in near future in terms of its
HRM strategy but they must implement some changes which will put the
company from ‘one man show’ to a systematic practice. Apple’s existing
workforce comprise by 35,000 employees worldwide (case study), however
this number is inevitable to increase in future and without proper Human
Resource strategy and defined policy it will be difficult to manage a diverse
huge workforce. Future leaders and managers must set out a standard HRM
policy aligned with organisational strategy addressing all emerging issues of
HRM.
Reference
Anon (2002) “Transformational leadership; Organizational change;
Management styles”. Review of Transformational leadership in the context of
organizational change by Eisenbach, R. et al (1999). Strategic Direction,
18(6), pp.5-7 [Online] Available at:
http://www.emeraldinsight.com/journals.htm?issn=0258-
0543&volume=18&issue=6&articleid=869238&show=html [Accessed: 19
July, 2010]
rdi (2010) “Managing the Human Resource Manual” [Online] Available at:
http://moodle.bl.rdi.co.uk/course/view.php?id=168 [Accessed: 18 July, 2010]
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