Strategic Analysis of Apple Inc.

This report is based on the detailed strategic analysis of Apple Inc. which is based on the compensation and the benefits that are provided to the employees. The strategy that has been implemented by the company and the effectiveness of leadership is also an important part of the entire business strategy. The diversity levels of the company is also analysed in detail along with the employee relations policy in Apple Inc. The social responsibility and corporate responsibility based activities of Apple Inc. is discussed in the report. The analysis is further related to the development of the employees and the organization and the technologies that are used in the Apple Inc. is also discussed.

Running head: STRATEGIC ANALYSIS OF APPLE INC.
STRATEGIC ANALYSIS OF APPLE INC.
Name of the Student
Name of the University
Author Note

1
STRATEGIC ANALYSIS OF APPLE INC.
Executive Summary
This report is based on the detailed strategic analysis of Apple Inc. which is based on the
compensation and the benefits that are provided to the employees. The strategy that has been
implemented by the company and the effectiveness of leadership is also an important part of
the entire business strategy. The diversity levels of the company is also analysed in detail
along with the employee relations policy in Apple Inc. The social responsibility and corporate
responsibility based activities of Apple Inc. is discussed in the report. The analysis is further
related to the development of the employees and the organization and the technologies that
are used in the Apple Inc. is also discussed.

2
STRATEGIC ANALYSIS OF APPLE INC.
Table of Contents
Introduction....................................................................................................................3
Benefits and compensation............................................................................................3
Business leadership and strategy....................................................................................5
Diversity.........................................................................................................................6
Employee relations.........................................................................................................6
Ethics and corporate social responsibility......................................................................7
Organizational and employee development...................................................................7
Talent management........................................................................................................8
Technology.....................................................................................................................8
Best practices in human resource management.............................................................9
Conclusion....................................................................................................................10
References....................................................................................................................10

3
STRATEGIC ANALYSIS OF APPLE INC.
Introduction
Apple Inc. is a multinational organization of American origin which operates in the
technology sector of the country. Apple was founded in the year 1976 by Steve Wozniak,
Steve Jobs and Ronald Wayne. The company was further incorporated as the Apple
Computer Inc. in the year 1977. The headquarter of the company is located in Cupertino,
California where the designing, development and selling of the consumer electronics takes
place. The hardware based products that are developed by the company include, iPad, iPhone,
iPod, Mac personal computer, Apple Watch, Apple TV and HomePod speaker (Coriana
Spencer, 2018). The software based products of the company on the other hand include,
iTunes, iLife, iWork and many more. The growth of Apple Inc. had taken place from the year
1980. The company started growing fast in the technology filed of America which had helped
in creating a different position in the market as well.
The report is based on the analysis of the human resource management based policies
that have been implemented by Apple in the organization. The benefits that are provided to
the employees and the ways by which diversity levels are managed is also an important part
of the analysis in the report. The development based chances that are thereby provided to the
employees will be discussed in the report in detail.
Benefits and compensation
Apple Inc. has proved to be one of the most challenging places to work in the
technological industry. The employees who are appointed by the company are considered to
be the best in their fields. The organization thereby pressurizes the employees to show their
best performance in all their tasks. However, the advantages that are provided to the
employees of the company are quite high as compared to the stress that are faced by them.
The perks that are provided to Apple employees are as follows,

4
STRATEGIC ANALYSIS OF APPLE INC.
 The salaries that are provided to the employees are quite high. The pay scale
and perks offered by the company are high which is thereby considered to be a
huge advantage. The pay is considered to be quite good by majority of the
Apple employees. The average pay of a software engineer in the company is
around 76,000 Dollars per year.
 The work environment in Apple Inc. is also quite mature as compared to the
other companies in the technology industry. The experience that has been
gained by the employees has been a major reason behind the high levels of
maturity in the work process of Apple (Forbes.com. 2018).
 The employees of the company are provided with huge discounts on various
products of Apple. This discounts that are provided by the company are loved
by the employees. The employees have rated the discounts to be one of the
favourite perks that is offered by Apple Inc.
 The employees are also able to gain a lot of knowledge from their fellow
colleagues as the company is known for hiring the best in the industry.
 Apple provides the employees with beer bashes after short periods of time
which is also loved by them (Human Resource Management of Apple Inc. |
Management Paradise. 2018).
 The brand value that has been gained by Apple in the industry helps the
employees of the company to secure a better job in some other organization in
the future. This increases the career growth of Apple Inc. the technology
industry of the world.
 Apple is also favourite among the employees as the company tries to make the
commute based activities easier for them. Stipends are also provided to the
employees to help them with the costs that are related to their commute.

5
STRATEGIC ANALYSIS OF APPLE INC.
 The employees are able to work in Apple Inc. in an independent manner to
achieve the targets and objectives that are set by the management. The levels
of innovation in the work process thereby increases with the help of the
freedom that they have in the company (Forbes.com. 2018).
Business leadership and strategy
The leadership of Apple Inc. under the co-founder of the company Steve Jobs was
unique and effective in nature. After the death of Steve Jobs however, it had proved to be
difficult to maintain the culture of the company that has been developed by co-founder. A
new and innovative way of thinking was infused by the co-founder of Apple which was
helpful in increasing the growth of the company. Tim Cook has proved to be quite effective
for the value that can be provided to the operations of Apple Inc. He has been able to change
the things that were not possible even under the leadership of Steve Jobs himself. The culture
of the company was also quite different as compared to its competitors in the industry. Apple
was able to develop the organizational activities that were all directed in the right way
(Jurevicius, 2018). The innovation levels in the products were achieved with the help of the
flat management structure that was developed by Tim Cook. In this case the employees were
allowed to provide their opinion in the various processes.
The generic strategy which is used by Apple Inc. is combined with the intensive
growth of the company in the technology industry. Apple Inc. has been able to become one of
the most valuable company in the world. The generic strategy used by Apple is main
determinant of the advantage that the company has gained as compared to its competitors.
The growth strategy of the company also supports the strong position of Apple in the market.
This position thereby indicates the effectiveness of Apple in the technology field. The generic
strategy that has been implemented by Apple Inc. is broad differentiation. This strategy

6
STRATEGIC ANALYSIS OF APPLE INC.
focusses on the key features which help the products of Apple to distinguish the company
from the competitors. The broad differentiation strategy thereby implies that the company
aims at setting itself apart from the other organizations (Jurevicius, 2018). The products of
the firm are designed for the customers who support the broad reach of the company in the
market. The strategic objectives are also affected by the broad differentiation strategy of
Apple Inc. The intensive growth strategy is thereby based om the product development and
market penetration based activities of Apple Inc.
Diversity
Apple Inc. has been able to set an example for the purpose of improving the inclusion
and diversity related efforts. The company has also planned to invest a huge amount on a
ground breaking innovation based plan which is based on the increase of inclusion and
diversity in the company. The Human Resources Chief of the company Denise Young Smith
had stated that Apple is aiming at providing opportunities to the candidates who are a part of
the minority groups. The company is thereby trying to offer them with the opportunity to the
candidates to start their first job in an organization like Apple Inc. The organization is trying
to form an employee base which consists of members who belong to different parts of the
society. The main objective of the company is thereby to increase diversity levels of the
company so that the innovation in products can be increased (Kabin, 2018).
Employee relations
The employee relations that are established in an organization is important for the
proper management and the long term based performance. The good relationships that are
established with the employees can also create better engagement with the organizational
processes. A 360-degree employee engagement based program was created by Steve Jobs
within the organization. The employee relations and employee engagement based strategies

7
STRATEGIC ANALYSIS OF APPLE INC.
that were implemented by Steve Jobs helped in the generation of revenues as well. The
productivity of the employees in Apple is high which also proves that the company has a
good employee relationship based policy (Owler.com. 2018). The organization however does
not have any established systems which are used for measuring the engagement levels of the
employees. Apple Inc. has been able to establish policies that are based on the development
of employee relations within the organization. The strategy which is followed by the
company is based on the management of relationship with the employees in an effective
manner. The employee relationship strategy is rooted within the business strategy of Apple
Inc. This has helped the company to increase the productivity to highest levels (Kabin, 2018).
Ethics and corporate social responsibility
The ethics and social responsibility based activities that are performed by Apple are
mainly based on the empowerment that the company provides to the employees so that they
are able to provide their best possible performance. The organization provides extensive
training and educational resources to the employees during their work process. The standards
and expectations of Apple from the employees are high. The organization thereby provides
the necessary training and tools that are required by the employees to enhance their
performance. The company has however, not been able to provide enough support to the
communities in the areas where Apple has its operations (Owler.com. 2018).
Organizational and employee development
Apple has been trying to develop the different operations within the organization
which have led to many issues that are based on the culture and functioning of the team as a
whole. The internal structure of the company has thereby faced immense changes which has
helped in maintaining the profitable operations. The changes have also helped the company to

8
STRATEGIC ANALYSIS OF APPLE INC.
increase the collaboration between the teams and enhance the reputation of the brands as
well.
The employee development based activities of the company have also been an
important factor in the increased innovation levels of Apple and its products as well. The
training that is provided to the employees and the tools that are provided to them have played
an important role in enhancing their performance levels as well (Coriana Spencer, 2018).
Talent management
The best level of talent is present in the employee base of Apple Inc. which includes
the key people who are appointed in the various positions like, technical, staff and marketing.
The main objective of the talent management system is based on attracting and retaining the
employees. The human capital is recognised as a major element of the overall competitive
activities of the company. The HR of the organization therefore works towards increasing the
return on the investment that can be gained by Apple. The HRM department is thereby
working towards maximizing increasing the employee development and engagement based
activities of the company. The key human resource management functions thereby include
the activities like, recruitment and selection, equal opportunities for employment and
diversity and the compensation and benefits that are provided to them (Jurevicius, 2018).
Technology
Apple has always been able to stay ahead of its competitors with the help of its unique
technological capabilities. The company has created a position in the smartphone industry
which has been quite tough for the others to compete effectively. The iOS software that is
used by the company for the iPhones is different from all the other smartphone brands in the
world. The technological advancements that have taken in the external environment has also
affected the successful operations of Apple. The different features that are offered by the

9
STRATEGIC ANALYSIS OF APPLE INC.
products of the company are able to provide tough competition to the organizations in the
smartphone industry. The OLED technology, microLED technology and many other features
that have been embedded in the phones have proved to be ground breaking in nature. The
organization has thereby become the most valuable company in the whole world
(Forbes.com. 2018). The production levels of the company have been outsourced to the other
countries which has helped in creating products that are unique. The production facility of the
company in California is not competent enough to manufacture the products. This has led to
the outsourcing of the manufacture facilities. The technological development of the company
has been able to help the company to create a unique position in the smartphone industry. The
organization is always quite secretive about the technology that has been used in the
products. The products are updated on a periodic basis and this helps Apple Inc. in
maintaining the topmost position in the market (Forbes.com. 2018).
Best practices in human resource management
The best approaches have been implemented by Apple Inc. to manage the employees
of the company. The HRM of the company thereby aims at increasing the returns based on
the investment of Apple. The HRM activities are performed in an efficient manner by the
employees of Apple Inc. The recruitment process that has been implemented by the company
is based on the computer knowledge that has been gained by them. The employees are
provided with equal opportunities which has been able to promote the diversity levels. The
compensation levels that are decided by the management of Apple Inc. are larger as
compared to the other organizations in the industry. The organization has created a program
named Apple fellows program which has helped the employees to gain knowledge in
different fields to assist them in the future as well (Human Resource Management of Apple
Inc. | Management Paradise. 2018). The HRM practices of Apple Inc. have thereby been
helpful in retaining the best talent within the company so that the innovation levels can be

10
STRATEGIC ANALYSIS OF APPLE INC.
increased. The productivity of the employees has also been increased with the help different
programs that have been created for their development. The appreciation and recognition that
is provided to the employees is an important part of the HRM practices of Apple Inc. The
organization has always recognised the employees who have provided their highest
contribution to Apple. The leaders are also appointed in the company based on their previous
performance levels. The strategy thereby motivates the employees to further increase their
productivity and the revenues of the company as well. The organization values and
appreciates the employees who have shown commitment towards the innovation based
activities. The firm has also been able to attract the best talents with the help of its attractive
compensation and perks based policies (Human Resource Management of Apple Inc. |
Management Paradise. 2018).
Conclusion
The report can be concluded by stating that Apple Inc. has been able to maintain the
position in the market with the help of different policies that are based on the welfare of
employees. The employee relations have also been given importance by the company which
has helped in creating a positive working environment. The company has also been able to
provide the highest levels of motivation to the employees which has helped in increasing the
revenues as well. The technological capabilities of the organization are high and the
management has been quite secretive about the various activities that are performed. This has
led to the growth of Apple Inc. in the technological industry as compared to its competitors.
The employees have been able to provide the innovative ideas and the leadership of Apple
Inc. has maintained them in an efficient way. This has been a major reason behind the
extraordinary success of Apple.

11
STRATEGIC ANALYSIS OF APPLE INC.
References
Coriana Spencer, H. (2018). Apple Sets Example for Improving Diversity and Inclusion
Efforts. Retrieved from https://www.berkshireassociates.com/balanceview/apple-sets-
example-for-improving-diversity-and-inclusion-efforts
Forbes.com. (2018). [online] Available at:
https://www.forbes.com/sites/forbesleadershipforum/2012/01/25/the-real-reason-the-
u-s-doesnt-make-iphones-we-wouldnt-want-to/#5d374c40301c [Accessed 29 Jun.
2018].
Human Resource Management of Apple Inc. | Management Paradise. (2018). Retrieved from
http://www.managementparadise.com/forums/human-resources-management-h-r/
213861-human-resource-management-apple-inc.html
Jurevicius, O. (2018). Apple SWOT analysis (15 Key Factors in 2018) - SM Insight.
Retrieved from https://www.strategicmanagementinsight.com/swot-analyses/apple-
swot-analysis.html
Jurevicius, O. (2018). Samsung SWOT Analysis (17 Key Factors in 2018). Retrieved from
https://www.strategicmanagementinsight.com/swot-analyses/samsung-swot-
analysis.html
Kabin, B. (2018). Apple's iPhone: Designed in California But Manufactured Fast All Around
the World (Infographic). Retrieved from
https://www.entrepreneur.com/article/228315
Owler.com. (2018). Apple Competitors, Revenue and Employees - Owler Company Profile.
[online] Available at: https://www.owler.com/company/apple [Accessed 29 Jun.
2018].