AbstractOnthis paper we are going to analyze the Apple’s strategy and it’s brief historyhow it has started to operate and about their functionalities. Further,on this paper we are going to see the Apple’s strategy and it’s constructivestructure, on how they have divided their functions and what kind of thestructure they are using. Who are the board of directors and the leadershipteam which are on the matrix structure with the CEO on top. Who is responsiblefor all other underneath departments.Thefour kind of organizational structure which are:-Matrix,The matrix structure is a model that is also used by Apple company, which ismore complicated and a little bit of autocratic.-Functional,Functional is based on the function of the company, different department aredivided according to their functionalities. -Divisional,So they are one firm owned by one person or founder but have many parts thatwork individually but for one only company.
-Flatarchy,Flatarchy is more traditional model which follows the vertical hierarchy. Keywords: organizationalstructure, matrix, functional, divisional, flatarchy. Content Contents I.
Introduction. 4 II. Brief history. 5 III. Apple’s strategy. 6 IV. Apple structure. 7 4.
1 Board of directors. 7 4.2 Tim Cook Chief Executive Officer. 8 V. Matrix style use of Apple company. 9 5.1 Definition.
9 5.2 Advantages. 10 5.3 Disadvantages. 10 VI. Organizational structure. 11 6.1 4 common types of organizational structures.
11 6.1.1 Functional 11 6.1.2. Divisional 11 6.
1.3 Matrix. 12 6.1.4 Flatarchy. 12 VII.
Conclusion. 13 VIII. References. 14 I. Introduction Thispaper is going to describe the structure of the Apple company, what’s thestrategy of it, and a brief history about the company, how it all started, whoare the ones that started up this company, when they started to operate andmany more important things for the company.
Howthe structure that is used by the Apple company, influence in the company’sperformance for better or for bad. Thestructure that is used by Apple company is the matrix structure, which is alittle bit complicated and traditional one, which structure describes how theCEO of the company is on the top of the structure and responsible for all theunderneath structure. And, on the matrix style of the structure the employeesare obliged to report both responsible not only one. We are going to examinealso what are the advantages and disadvantages of the matrix style of thestructure.Afterwardon this paper it’s going to be analyzed the four different structures ofcompanies that may adopt one organization.Everystructure has its own steps and their own division on how they has dividedtheir jobs and responsibilities on the company, some are flattered, somematrix, divisional, and functional. II. Brief historyIt all startedwith three men – Steve Jobs, Steve Wozniak and MikeMarkkula – who together in the late 1970’s designed and marketed the Apple IIseries of computers.
It was thefirst commercially successful line of personal computers, and led to the AppleLisa in 1983 – the first computer to use a mouse-driven GUI (graphical userinterface). One year later, the Apple Macintosh was born (launched by one ofthe greatest ads of all time, 1984), and with it, the Apple legend beganto grow. In 1985, after a long and drawn-out fight with the Apple board, SteveJobs “left” the company that he helped create. Some say he was pushedor ousted, others say he left simply to pursue other projects.
That being said,his next move was NeXT, a tech company he founded that specialized in highereducation and business.One year later,in 1986, Steve Jobs took a major interest in a small division of Lucasfilm Ltd.Focused on the development of computer generated graphics for animated movies,the company now known as Pixar was acquired by Jobs.Itwas a master stroke for Steve, who instantly saw the potential for the company(which we now all know as one of the greatest movie-making studios of ourtime). After many small projects and lots of trial and error, Pixar releasedToy Story in 1995 (crediting Jobs as the executive producer) and the rest ishistory.One year afterthe release of Toy Story, in 1996, Apple bought the NeXT company that Jobsowned, and asked him to come back in a leadership role. He wasinterim CEO from 1997 to 2000, becoming the permanent CEO from thatpoint until his eventual resignation in August of 2011.
III. Apple’s strategy Apple’sgeneric strategy and intensive growth strategies directly relate to thecompany’s strategies in pricing, marketing, and other areas of the business. Apple’s strategy is to concentrate oninnovation and constantly creating new and more sophisticated supplies in orderto gain consumer satisfaction and gain growth on the market.Apple is one of the most valuable companies inthe world , and has an a competitive advantage against other competitors suchas Samsung, HP, BlackBerry. Also, Apple’s intensive strategies for growthsupport the firm’s ability to maintain its strong position in the globalmarket. With the quality and innovation that is offering Apple and also thesophisticated designs is capable on selling it’s product on relatively highprices.This successful position indicates Apple’seffectiveness in using its generic strategy and intensive growth strategies.
IV. Apple structure 4.1Board of directors ArthurD. Levinson JamesA.
BellFormerCFO and Corporate President, Former CFO and Corporate President,The Boeing Company TheBoeing CompanyAudit Committee AuditCommitteeTimCook CEO,Apple AlbertA. Gore Jr. Robert A. IgerFormerVice President of the United States Chairman and CEO, The Walt Disney CompanyCompensation Committee NominatingCommittee ChairNominating Committee Compensation CommitteeAndreaJung Ronald D. SugarPresidentand CEO, Grameen America Former Chairman and CEOCompensation Committee Chair Northrop GrummanCorporationNominating Committee Audit Committee ChairSusanL. Wagner Co-founderand Director, BlackRockAudit Committee 4.
2 Tim Cook ChiefExecutive Officer TimCook is the CEO of Apple and serves on its Board of Directors.Beforebeing named CEO in August 2011, Tim was Apple’s Chief Operating Officer and wasresponsible for all of the company’s worldwide sales and operations, includingend-to-end management of Apple’s supply chain, sales activities, and serviceand support in all markets and countries. He also headed Apple’s Macintoshdivision and played a key role in the continued development of strategicreseller and supplier relationships, ensuring flexibility in response to anincreasingly demanding marketplace.
Priorto joining Apple, Tim was vice president of Corporate Materials for Compaq andwas responsible for procuring and managing all of Compaq’sproduct inventory.Previousto his work at Compaq, Tim was the chief operating officer of the ResellerDivision at Intelligent Electronics.Timalso spent 12 years with IBM, most recently as director of North AmericanFulfillment where he led manufacturing and distribution functions for IBM’sPersonal Computer Company in North and Latin America.
Timearned an M.B.A.
from Duke University, where he was a Fuqua Scholar, and aBachelor of Science degree in Industrial Engineering fromAuburn University.(apple, official online page) V. Matrix style use of Apple company 5.1 Definition Thematrix organizational structure is a kind of company structure is a more likelylike a traditional hierarchy or a set, that actually the reports that are givenby the managers are given as a grid or matrix rather than a traditionalhierarchy. So the employees are obliged to give report to both of thefunctional managers and a product manager.
5.2 AdvantagesIn amatrix organization, instead of choosing between lining up staff alongfunctional, geographic or product lines, management has both. The workers arereporting to the functional managers in order to improve their skills andprioritize and also review the work that is done by the staff and to a productline manager who decides on what to produce and what kind of the products to beoffered. This structure has some advantages:· Resources can be used efficiently, sinceexperts and equipment can be shared across projects. · Products and projects are formallycoordinated across functional departments.· Information flows both across and upthrough the organization.· Employees are in contact with manypeople, which helps with sharing of information and can speed the decisionprocess.
· Staffers have to work autonomously anddo some self-management between their competing bosses; this can enhance motivationand decision making in employees who enjoy it.5.3 Disadvantages The matrixstructure may be more difficult to use because the staff has to report to theboth managers for their work, but on the other side they are improving theirfunctionalities according to the needs and wants for the organization.
Thereare some thinking that a matrix style is more on the traditional or tendenciestoward anarchy, power struggle and many other things that are considered as athread for the organizations.The mistaken belief that matrix management is the same as groupdecision making.It is just the mistaken belief that the matrix is considered as a groupdecision is not really true. Because the report that is made to the bothmanagers doesn’t mean that they will decide on groups.
But it is true thatmanagers on matrix style are more sensitive and require teams to do anysuggestions or any decisions. But managers should expect difficulties to ariseif they believe group decision making to be the essence of matrix behavior. VI. Organizationalstructure6.14 common types of organizational structuresThereare many different kinds of organizational structures found in companies.Organizationalstructures can be tall, in the sense that there are a number of tiers betweenentry-level employees and the leaders of the company. Organizationalstructures can also be fairly flat, in the sense that there are only a coupleof levels separating the bottom from the top. Depending on your goals, paystructure, and division of work, you may relate more to one structure thananother.
Here are a few of the most common structuresin modern businesses:6.1.1 FunctionalAlsocommonly called a bureaucratic organizational structure, the functionalstructure divides the company based on specialty.
This is your traditionalbusiness with a sales department, marketing department, customer servicedepartment, etc.Theadvantage of a functional structure is that individuals are dedicated to asingle function. These clearly defined roles and expectations limit confusion.The downside is that it’s challenging to facilitate strong communicationbetween different departments.Functionalis based on the function of the company, different department are dividedaccording to their functionalities.6.
1.2. DivisionalThedivisional structure refers to companies that structure leadership according todifferent products or projects. Gap Inc. is a perfect example of this. WhileGap is the company, there are three different retailers underneath the heading:Gap, Old Navy, and Banana Republic. Each operates as an individual company, butthey are all ultimately underneath the Gap Inc.
brand.So they are one firmowned by one person or founder but have many parts that work individually butfor one only company.6.1.3MatrixThematrix structure is a bit more confusing, but pulls advantages from a couple ofdifferent formats. Under this structure, employees have multiple bosses andreporting lines. Not only do they report to a divisional manager, but they alsotypically have project managers for specific projects.
While matrix structurescome with a lot of flexibility and balanced decision-making, this model isalso prone to confusion and complications when employees are asked tofulfill conflicting responsibilities.Thematrix structure is a model that is also used by Apple company, which is morecomplicated and a little bit of autocratic.6.1.4 FlatarchyWhilelarge businesses have traditionally followed a tall structure, it’s becomingincreasingly common to see flatarchy model in smaller businesses and newstartups.Flatarchyis more traditional model which follows the vertical hierarchy. VII.
Conclusion Itis important for one organization to have a structure of the organization accordingto their operation, or what kind of function they have. Theapple company on this case they were investing tremendously on the innovationand constantly creating new and more sophisticated products in order to satisfycustomer needs. Their structure may not be beneficial for many other companybut in this case for Apple it was very successful in using the matrix style ofthe structure.
Although the matrix style has some advantages or disadvantagesthat above were examined.Fromall the structures of organization to define which one is better fororganization it is necessary to know also for the function of the organization,what kind of performance has the organization. Not all the structures aredefined for all organizations but it also depend on their functionalities andperformance.