Corporate Culture as the Main Source of the Profit
As the culture is the basics of every country on which it holds. The corporate culture is the basics of the entire firm on which holds all the sales and success. A corporate culture is the inner rites, rituals, heroes, and values of a firm. This two words have enormously powerful influence on how employees think and act. It determines public perception of the product. And eventually, has a strong influence on performance over time. Creating a corporate culture for a startup project is unbelievably hazardous process. That is why it is always useful to separate the idea on ingredients.
Corporate Culture Indicators
The main part of corporate culture is physical setting (for instance building
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These characteristics of human resources empower Apple to stand out and stay ahead of competitors. These features of the company’s organizational culture are key factors that enable success and competitive advantage. Creativity and excellence are especially important in Apple’s rapid innovation processes.
Drawbacks and Weaknesses
Apple’s organizational culture brings challenges because of the emphasis on secrecy and the moderate degree of combativeness. An atmosphere of secrecy limits rapport among workers. Also, the moderate combativeness that still exists in the firm today has the disadvantage of limiting the morale of some employees. These issues indicate that Apple’s organizational culture has room for major improvements to strengthen the firm’s human resource capabilities.
Google Organizational Structure
Google’s organizational culture is:
Open
In relation to Apple’s internal environment, the company encourages an innovative culture, involving staff creativity and open-mindedness to novel ideas. In addition, Apple stresses the use of environmentally friendly practices, and protection of employees’ safety and health at work (Schneider, 1995, p. 70). Apple’s external environment poses a challenge to the company in terms of emerging firms in the technology business line, competitors selling substitute products, charging lower prices that entice customers because of their affordability, in comparison to the high quality and pricing of similar items from Apple (Apple, 2012, p.1).
“Culture consists of the symbols, rituals, language, and social dramas that highlight organizational life, including myths, stories, and jargon. It includes the shared meanings associated with the symbols, rituals, and language. Culture combines the philosophy of the firm with beliefs, expectations, and values shared by members. It contains the stories and myths about the company's founder and its current leading figures. Organizational culture consists of a set of shared meanings and values held by a set of members in an organization that distinguish the organization from other organizations. An organization's culture determines how it perceives and reacts to the larger environment (Becker, 1982; Schein, 1996). Culture determines the nature
The Apple culture has a great deal of controversy. The Human resources department expressed that they only hire people who are the top of their field or have the potential to be (Learn and Transform, 2013). Apple employees work in small groups; therefore, communication between departments is limited due to secrecy within the organization. Apple is very innovative, as well as strives to be the best in the field which requires company information to stay secretive. Since Apple competes with other organizations in the field, the culture is aggressive. Different departments compete with each other to produce the best product or idea producing a competitive environment. The work environments that were depicted in the video (Learn and Transform,
Apple has prospered internally and it is necessary to consider both strengths and weaknesses. Apple has lots of strengths, the major of them being it’s impressive brand reputation, Apple managed to position the brand as “premium products” for “elite” people. Customers are loyal and tend to stay in Apple’s ecosystem. Apple’s self-reinforcing ecosystem, it has a diverse ecosystem which integrates various hardware and software products into one large interactive space. Status of top innovator, Apple is perceived as the leading innovator and its products are highly anticipated. Apple’s very strong financial performance, high profit margins and very high liquidity. It’s network of retail stores, high-quality customer service helps to create advanced user experience. A powerful marketing strategy, Apple’s team masterly uses various marketing techniques to create a hype for their products and to strengthen the brand.
Corporate culture can be shown in the workplace. How people dress, how the offices look, how the employees are treated and the way the workplace puts its culture into its merchandise & services and how it shows itself to its customers. There can also be cultural diversity in the workplace with individuals themselves. That can cause problems in the corporation with everybody's diverse ways.
Apple corporate culture has played a major role in its success; the corporate culture is founded on values, traits, morals, principles and standards that are believed to be crucial in assisting it and its employees to succeed. The corporate culture is the foundation for what is done in Apple and how it is done. Cumulatively, the distinctive values make Apple a unique company. Apple’s core corporate culture is founded on innovation and nurturing talents of creative people. The company strives to build highly innovative products that not only meets but exceeds the expectations of the customer. Apple’s products embody outstanding designs and styles that attract consumers across the world. Since its inception, Apple has always been associated with cutting edge technology; the company boasts of the most
From its start-up until the present, Apple’s corporate structure hasn’t changed a lot. Before his death, Steve Jobs was the one to make the calls regarding all the decisions; everything had to be passed through him. The company’s decision making processes were and still are centralized, in which the CEO makes all the decisions but it is incorporating more of a collaborative approach. The company is doing so by encouraging its hardware and software teams to collaborate. This approach however, never existed when Jobs was the CEO. Apple is considered a centralized company because it makes high capital investments that encourage centralization. It is highly competitive, offers high technology products, has a homogeneous product line, low product diversification, and has a lot of experience doing international business. Furthermore, it is organized on different basis; functional, divisional and geographical. Its functional structure is that the innovations and visions essentially come from top management and flow down the organization. Top management includes the board of directors in which they oversee and ensure that shareholders’ interests are being served for a long-term. Also, its functional structure is departmentalized and includes marketing, engineering, manufacturing, financing, IT, research and development. Its divisional functions include the products the company is offering, the market it is operating in and geographical areas. Apple has four product categories; the
Apple prides itself on offering innovative technology to a society that has become dependent on it. In markets inundated with companies offering similar products and services, Apple has had to rise above and distinguish itself from the masses. While their products have a cultivated a devoted-customer following (our family is one of them), their organization and the values it espouses are what will help them to remain a relevant and successful company in the tech world.
However, they may face the limitation on the firms’ development. Apple is based on a hybrid hierarchical structure (mixed with other organizational structures (Meyer, 2015). Meyer (2015) depicts that companies’ main framework is based on innovation and the leadership of Steve Jobs but for that type of leadership only works if the structure allows it to do so. Due to leadership change to Tim Cook, there are some changes made in the organizational structure in order to suit the market and its demands (Meyer, 2015). Despite the leadership change in Apple Inc. it may well enhance Apple’s capabilities will grow rapidly in creative and design (Meyer, 2015).
ORGANIZATIONAL CULTURE, or CORPORATE CULTURE, comprises the attitudes, experiences, beliefs and values of an organization. It has been defined as "the specific collection of values and norms that are shared by people and groups in an organization and that control the way they interact with each other and with stakeholders outside the organization.
Since organization culture is the combination of many factors there are several factors that could affect it. Among the internal factors to consider are the company’s approaches to their processes, is the company more into results and profits or product quality and employee’s safety. Management style is another important feature that affects corporate culture micromanage companies tend to have less motivated employees. Technology these days influence organizations at all levels as the company’s approach to technology will go hand on hand with bettering processes. New factor affecting corporate culture these days is the different work arrangements that are needed these days with the implementation of flexing time and tele-working had commuting acceptable. The management approach to work environment, communication style will definite affect organization culture.
Particularly under Steve Job, the structure was so centralized that Job was in charge of all final tasks, supervisions and decision makings. Although such autocracy getting better through the years by the effort of transformational leaders like, Tim cook, by attempting to implement a more flatter structure, the chain of command remains the same. Such hierarchal and centralized structure is a set back for innovation as well as it obstructs effective communication. The distance between the top management and front line employee not only demotivate employees but limits commitment. Therefore for Apple as technology and innovation-based company their ability or willingness to share ideas The more decentralized organizational approach promote new ideas while motivating
Hofstede (2003) defined culture as "the collective programming of the mind that distinguishes the members of one group or category of people from another". Corporate culture refers to the intangible aspects of companies, including the interactions at an interpersonal level, and values, morals and ethics which permeate the way that decisions are made and polices are implemented (Buchanan & Huczynski, 2011). Just as when one undertakes international travel, and sees different cultures where there are different attitudes and traditions, one can also observe different
Throughout history there have been many successful companies as well as companies that have been a debacle. The success of the company has to do with the management and how it executes its strategy. If the management is ineffective, the company will most likely fail; however, if the company has good management it is more likely to prosper. There are many responsibilities that a manager must complete, chief among them are the four functions of management are planning, organizing, leading, and controlling (PowerPoint). In order for the company to be successful the management must fulfill all four functions. In some case not all four functions are met to expectation, with the results that the company to be not as successful as it could be if they
What the structure of apple company is customized management institution,the ice of bureaucratic hurdles was broken by this creative simplifies structure. It is the creative culture that Apple Company has launched the new technology new products come out every year.