Organizational Analysis Paper: Apple Inc. (Case Study Sample)
This organizational analysis paper focuses on Apple Inc., an American multinational company specializing in technology products and services, such as desktops, laptops, mobile phones, iPads, and internet services.
Thorough research reveals vital organizational concepts that this multinational adopted, leading to its success. The essential concepts that Apple Inc. espouses include employee motivation, decision-making, creative innovation, leadership perspectives, effective communication, and organizational change and development. The application of these concepts has helped build a highly motivated workforce that contributes to the successes of the company by using innovation to create competitive products.
Organizational Analysis Paper: Apple Inc.
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Organizational Analysis Paper: Apple Inc.
Organizational competence is heavily dependent on the organizational concepts which the management utilizes in running its affairs. While the right concepts lead to high competence, the wrong combination of concepts leads to utter failure, bankruptcy, and closure of organizations. Companies that have managed to be named on the Fortune 500 list understand how to motivate the workers and maintain the right working environment. This paper analysis Apple Inc. ranked third on the Fortune 500 list in 2017. The concepts discussed in the paper are employee motivation, decision-making, creative innovation, leadership perspectives, effective communication, and organizational change and development
Apple Inc.’s management realizes the need to keep the workers motivated. Hence, the company employs several motivational strategies. The motivation needs among workers are related to the work; therefore, the management ensures that the outcomes of the job process for the workers offer growth, responsibility, exciting work development, autonomy, achievement, and accomplishment as these are core motivational factors for workers (Müller, 2010). Apple management concentrates more on the intrinsic motivation, which the workers draw from the jobs, as this inward fulfillment motivates employees more than the extrinsic rewards do. Workers at Apple are offered growth opportunities and are responsible for the low employee turnover rates.
Furthermore, Apple Inc. Management is very keen to meet Maslow’s needs of each of their workers. Since the company is among the Fortune 500 companies, it cannot afford to mess with its employees or their level of motivation. The low-order needs, according to Maslow, are taken as a priority in Apple. The physiological needs of the workers are fulfilled as the company management has set the average salary at $108 483, which is enough for the survival of workers.
Similarly, the firm offers the safety needs of the employees by developing their health and safety standards. Moreover, Apple trains more workers at identifying the hazards in the workplace so that they can assist in times of emergency. At the same time, the company management also provides safety equipment for the workers. Still, the belonging needs are met according to the Apple 2013 reports, which illustrated the improvement of research to offer employees a better and more fulfilled workplace; this is achieved by offering inclusive social networks, workgroups, and worker supervision relationships (Apple, 2017).
Apple Inc. is also focusing on the higher-order needs of its workers. Case in point, to meet the employees' esteem needs, the firm rewards the executives by giving them a recognition bonus ranging from 3to 5% of their salaries. The above approves those workers who effectively finish their projects in the firm (Apple, 2017). At the same time, the organization meets the esteem needs of their workers by offering them free iPhones, which benefits the workers materially and motivates them. The reward increases their responsibility and motivation when they see the reward of their effort (Apple, 2017). Finally, at the highest level of worker motivational needs, Apple creates more educational opportunities for the employees so that they can participate in the development and educational programs. The program has benefited more than 200 000 workers since it was initiated in 2008.
Similarly, creative innovation is also considered a motivational factor at the Apple firm. Technological firms like Apple depend on worker motivation for their success, and the aspect is highly dependent on the ability to offer the workers creative and innovative thinking opportunities. Unlike the extrinsic rewards that the firm would provide workers to motivate their performance, intrinsic rewards like innovation, creative thinking, and growth opportunities have long-term motivational effects (Müller, 2010). One of the engineers at Apple, Borchers, further confirms that Creative innovation is part of the organizational culture, and it serves as a motivator (Apple 2017). Borchers says that Steve Jobs did not have a phone in mind at the time of initiating the company. He only asked his workers to come up with a phone that consumers would love too much that they would never leave the house without it. By giving workers the chance to be creative and grow, Steve Jobs created a corporate culture geared towards boosting the motivation of the workers by allowing them creative innovation and growth opportunities (Apple 2017). As a result, the company has been rated among the most successful companies since it was initiated. Another worker Sir Jonathan Ive stated that the corporation ensures that workers are in love with the brand. This makes them work towards making Apple the best firm without being forced (Apple, 2017).
Decision-making in the firm is also in the hands of the employees, especially when it comes to product development. In the same interview, Sir Jonathan Ive stated that Apple workers are entrusted with difficult jobs that push them beyond their limits; it pushes them to their maximum potential. Workers feel respected because of being entrusted with decision-making. Moreover, when workers fail, they are not criticized for their mistakes. Instead, they are asked to learn from the mistakes and make the necessary changes in their tactics. Apple management ensures that everyone knows every detail about the business. In other words, the workers are like partners in the organization (Apple, 2017). They then hold weekly reviews each Monday to see how much the firm has sold. They determine the products that need higher production, those with slow movement, and those under development. The concept helps the workers understand how the firm is doing and work towards delivering to the market needs. As a result, employees claim they feel respected and deliver more than they would if the decision-making process belonged solely to the management (Apple, 2017).
In addition, leadership perspectives are prominently used by Apple Inc.; the firm utilizes the transformational method of leadership. One of the main concepts of the model is the idealized influence, whereby the leaders serve as the role models of the Apple employees. The founder of Apple Inc., Steve Jobs, established a corporate culture whereby leaders must practice integrity and character. Albeit he passed on, the culture still runs in Apple, with leaders being people who are highly respected, trusted, and admired by the followers (Bass & Avolio, 2008). Leaders at Apple show great persistence, extraordinary capabilities, and determination; employees emulate them. Still, they show high ethical and moral standards, always working in the best
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