Apple's Organisational Structure and Culture: Theory and Practice

This report delves into the organizational theory and practices employed by Apple, examining its structure, culture, and leadership. It highlights how Apple's hierarchical and functional structure, influenced by Steve Jobs, facilitates innovation and decision-making. The report discusses the importance of a well-defined organizational structure for improved efficiency, reduced conflict, and effective communication, while also acknowledging potential disadvantages like coordination issues. Furthermore, it emphasizes the significance of organizational culture in shaping employee behavior and fostering a positive work environment. The report also outlines the advantages and disadvantages of organizational culture, including increased employee engagement and potential for excessive competition. Desklib offers a range of similar resources for students studying organizational theory and business practices.

Organisational
Theory And Practice

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................1
Organization Structure and Culture ............................................................................................1
Overview of Apple company structure and culture.....................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
The organization theory and practices refers to the introductory course which taught
within the context of business school of education and social policy as part of their learning
about their organizational change (Bhatia and Baruah, 2020). This theory also recognize the
roles according to their firm structure, leadership and decision-making process. This involves the
set of concepts/constructs which are similar to each other and briefly explain about the how an
individual behave in social units as they called organizations. This theory also attempts to
explain that there units are interrelated which are organization do or do not connect with each
other. These are those practices which are routine to which are used of knowledge. These are
conducting as a particular function which are influenced by an enterprise like about their history,
people, interest and actions.
This report is based on Apple which was established in April 1, 1976, in UK by Steve
Jobs and Steve Wozniak. They brought the change the way of people to viewed the computers
with their new vision of a company. This reports includes the structure and culture of an
organization and it also consist of overview of company structure and culture and how they
improved. Further, It also cover the recommendation with suitable example and change
management model to make necessary changes in their enterprise.
MAIN BODY
Organization Structure and Culture
Structure of an organization:
The structure of an organization refers to norms, policies and rules which are formed by
company to accomplished their objectives. These also includes value, behaviour and attitudes of
an employees. These both are equally essential for an enterprise of a success. It is system that are
outlines to perform any certain activities which are directed in well organised way so that it
become easy to achieve goals of a firm. In company the culture is also very important that
defines the proper way to deal and communicate with other employees and the authorities. If the
structure of an enterprise is well organized then each employees know to whom they report and
whom they have to lead (Blomber and Welander, 2019). This help management that if suddenly
they have to make any quick decision then they can take which affect the business process in
positive way. If in the corporation, structure is not organized in proper way then it directly
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impact on their business process that they don't have clear vision that what purpose they are
doing and employees also not clear about whom they have to report because this management
cannot take any quick decision. The management also do not have potential to achieve their
objectives in the given time frame. In Apple organization, their management follow the
hierarchical and functional structure which has been develop by founder and former by CEO
late Steve Jobs which help them to focus on realization for their innovative ideas and have clear
vision about their business. This structure are very common to perform the function of an
enterprise. It means the management of an enterprise is focused on areas which are expertise
rather than an individual products (Brown, 2018). It offers a flat structure which encourage the
employees to contribute while making decision by doing directly participate in it.
Importance of Organization Structure:
Organization Structure is important because it provides the proper guidance to all
employees which laying out to make the official reporting relationships which help to smoothly
workflow of their company. These form a formal structure of the company which help enterprise
easier to know about the requirement of the human resources and add they able to add new
position in the corporation as well as it provides the flexible and help to grow of their business.
As a CEO of an Apple organization they have responsibility to make proper structure in the
company to make an effective way, so that the management can make an right decision for their
business. This is also very important for a firm that they able to attain the objectives of an
organization.
Advantages of Organization structures:
The structure of an organization is have many advantages in the company are explained below:
 Improved operating Efficiency: The management of an enterprise have well structured
then they have direct impact on the operating efficiency that it is increase the production
level (Deschner Dorion and Salvatori, 2020). This is possible because these structures is
divide into various team group or branches which become easily to met the the
production goals easily in the market. This can help management of Apple organization
that they able to increase their operating efficiency which help to meet the demands of
the market.
 Reduce employee conflict: If in company there is proper structure then management
able to reduce the conflict of an employees because the work is clear to the employees
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which they have to perform, so for that they full focus on their duties and responsibility.
This will decrease the chance of conflict and it is effective to avoid any type of conflict
which is arise between the co-workers (Felsenstein and Taylor, 2019). The management
of an Apple company's of employees have clear vision about their duties and
responsibility which they have to perform with very sincerely, so that it decrease the
chances of conflict of employees.
 Fast decision making: The most important thing of make the structure in well organized
way that the management can take effective decision when ever they required to make
quick decision because it is a effective team communicate in the company. The Apple
company have potential to make fast decision making which help company to gain
competitive advantage in the market.
 Develop proper communication: The effective structure of a company developed the
proper communication which help employees to communicate with other co-workers and
their reporting authorities. The management of Apple company have to proper
communication due to their well organized structure.
Disadvantages of Organization Structure:
 Lack of co-ordination: If the structure is not organized in proper way then management
have to face many problems while communicating the employees. This employees do not
able to communicate properly and the employees don't have clear whom they have to
report. Apple company do not have proper structure then they have to faced problem
while communicating the employees in the company.
 Slow decision-making: The Apple firm have to face many difficulties because of the
informal structure of the business (Hoang, 2018). This why it is very necessary to make
formal structure in the organization, so that when ever employee need to make fast
decision they can make and grow in the market.
 Failure to share ideas: If the management do not form proper structure then employees
do not have potential to share ideas while making the new ideas in the organization. The
management of Apple company do not make effective idea which help them to run their
business smoothly in the market.
Culture of an organization:
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The culture of an organization refers to define the proper way to behave and
communicate within the organization (Izlar, 2019). This culture includes the shared beliefs and
values which are established by their leaders and then they have to communicated and reinforced
through different methods, ultimately shaping their employees perceptions, behaviours and
understanding. The major objectives of culture of an organization is to understand the employees
better, so that management able to know about the employees skills. This can help management
to assign task to their employees according to their skills and education. The management have
responsibility that they provide proper and friendly environment to their co-workers so that they
happily work there and they give their best in the company. To maintain the effective culture the
management have to developed the necessary things which must be there like purpose,
ownership, community, effective communication and having good leadership. The Apple of an
organization have to maintain the culture of an organization that they have to provide proper
environment to their employees where they feel motivated towards their responsibility and duties
and they have to performed sincerely. This help Apple Organization that they able to run their
business process smoothly in the market and they have to attain the objectives in given time
frame.
Importance of Organization Culture:
The importance of work environment which possess the organizational culture which are
driven by the purpose and clear expectations. This help employees to motivates and inspire to be
more engaged in their duties and responsibility as well as interactions with others. This leads
high level of workforce which drives the productivity (Kemmis, 2021). This also includes verbal
behaviours and mindset which defines the business functions on their daily basis. The
management make code words which are used by their employees while working and
communicate with other employees in the company. The company of Apple have to maintain the
their environment culture which help them to perform activity in proper way that they treat their
employees in most effective way, so that employees also feel comfortable and they give their
best in the organization.
Advantage of Organization Culture:
There are some advantages of organizational culture are explained in below:
 Increased Employee Engagement: If in the organization the employees get proper
culture to work then it directly increased the employees engagement in the organization.
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This motivate and inspire their employees to be engaged with their duties and interacts
with others co-workers in the company. The management have to make strong
connection for their organization and it creates a positive atmosphere to their employees
which help management to sustain their employees for long term in the market (Khan and
Ghouri, 2022). The Apple Company have to provide better work culture so, that they
sustain their employees for long term in the market.
 Increased Turnover: If management developed the effective culture in the organization
then they able to improved the performance level which directly impact on the
organization profit in the market that management able to increased the turnover. Apple
Company have to provide effective culture, so that their employees able to perform the
task in effective way which directly impact on the business performance of an
organization. This also impact on the Apple turnover that it will increased accordingly.
 Strong Brand Identity:The company culture represent the image of the public
reputation and in the market the customer make assumption about their business
according to the based on interactions which is outside the company. This lacks of
organizational culture have weak images and management have to think before do the
business with the company. The management of Apple company have to make strong
brand in market that in customer minds the image of Apple Company has very reputed
brand and only higher class people afford in the market. This culture is made by the
Apple company that they able to make an effective way.
 Healthy Team Environment: The management have to maintain their environment of
the organization, if in the organization there is negative environment then they have to
face many problem that their employees is not happy with the working environment and
they do not able to perform their duties in appropriate way due to unhealthy environment
(Kenge and Khan, 2020). This is why it is very important for the Apple Company that
they have to manage the environment and provide healthy environment, so that
employees of Apple company get positive environment. This is the best way which Apple
Company provides to their employees in the organization and they able to perform in
effective way.
Disadvantage of Organization Culture:
There are many disadvantages of organization culture which are explained in below:
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 Too much competition: In market the competition level is increased then management
also make competition culture which provide very negative impact on the business
process because the employees is not comfortable to work and they feel pressure while
doing the work (Nachbagauer and Schirl-Boeck, 2019). The company of Apple have to
change their environment and they make pressure on their employees according to the
competition level which will impact on the employees productivity level.
 Leniency towards bad habits: If in the management,the employees done bad habits
while performing the work that they do complete the task inmost appropriate way. The
management have to suffer from the problem that they do not have potential to meet the
their target which are set by the organization. The employees behaviour is also
considered under the bad habits that if employees do not behave properly with other
employees then management of Apple Company have to face many problem that their
employees is not comfortable to talk with other employees freely.
 Low engagement in the office: The employees do not feel comfortable if they do not get
proper environment in their work place. The employees feel uncomfortable to talk with
other employees and management, this will decrease the productivity level of an
employees. The employees do not able to perform the work effectively and management
do not aware about the problems which is faced by their employees and they do not make
right decision for their organization due to lack of communication. If management of
Apple Company do not provide good environment of working place then employees do
not communicate properly to their authorities and management do not able to make
effective decision in the organization which will impact on their growth and
development.
Handi's Culture
The organisational culture has an impact and it also influences the organisational behaviour but it
is difficult in defining and understanding as it is intangible in its nature. Organisational culture
presents the unspoken rituals along with the rules and addresses various values, actions as well as
behaviour of the people working in an organisation which are important as they contribute to the
organisation’s environment. It is helpful as it shapes the manner in which the employees and
other staff are required to behave in organisation and are allowed to make decisions accordingly.
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This culture model has four main elements that are as follows and is discussed in context with
Apple Company are explained as follows:
 Power: There are some organizations in which power rests in only few people’s hands
and they are responsible to take decisions only. They enjoy various special privileges in
business organisation. They are one of the most important people that are working at the
workplace and also are major decision makers present (Odendaal, 2019)(. These
individuals in Apple Company do further give responsibilities to their lower or other
employees. In this culture, the juniors possess no option and have to strictly follow up
with their superior’s instructions in company. The employees of Apple Company do not
possess liberty to express or present or share their views and ideas and have to follow up
with the instructions of their superiors. The managers of Apple Company in this culture
are partial sometimes to someone resulting in major unrest in other employees.
 Task Culture: Organizations in which the teams are formed for attaining targets or for
solving critical problems do follow up the task culture in them. In Apple Company,
individuals that have common interests as well as same specializations do come together
and then make a team. There are four to five members that are present in each team of
Apple Company. In this culture, every team member of Apple Company has to make
contribution equally for achieving tasks in most innovative manner.
 Person Culture: There are various organizations in which the employees do feel that
they have their importance in their organization. The organizations which follow this
culture are called person culture. The individuals of Apple Company are more worried
about their own self instead of the company. The company in this culture have back seat
and they are the ones that eventually suffers. Employees come to their office and not get
attached as they are there for the sake of money. They are rarely loyal towards Apple
Company and its management as they never get to decide for company’s favour.
 Role culture: Role culture is the important culture in which each and every employee has
been divided with their own roles and responsibilities in accordance with own
specialization, qualification of education and interest for company. In Apple Company,
the employees can decide what they can serve best and they can do and accept the
challenge willingly. Each and every individual is responsible for something or the other
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as well as they take ownership of tasks that are assigned to them. Power in this comes
with responsibility in this working culture.
Overview of Apple company structure and culture
In Apple Company as a CEO that they have to be developed the proper structure so that
they able to make quick solution of the problem. This also help CEO to make an effective
communication with their employees in the organization. This is will enhance the production
level of the organization and they able to beat their competitors in the market. The CEO required
to do proper planning for the future and they have consider about their past while preparing the
plan so that they able reduce the mistakes which is done in the past. Then CEO fill the people
according to the business process requirements and then build the proper and suitable structure
according to their Apple company (Rao and Tilt, 2020). If these things developed properly by
CEO of company then they able to mange their performance level of the company and they able
to achieve the goals of the company.
In Apple Company as a CEO it is very big responsibility that they have to provide very
positive culture to their employees so that management provides positive environment in which
they able to perform many activities effectively which directly impact on the organization
productivity level. These are very important for the management that they make their employees
comfortable then only it is possible for employees to work effectively in the organization. If the
organization provide healthy environment then employees also perform very effectively in the
organization which increased the profit level in the market. If the management provide healthy
environment to their employees and they also feel free to communicate with other employees and
discuss their problem to their respected authority so, that management know the problems of
their employees and they provide suitable solution to their employees. This improve the
communication level in the company and management able to make quick decision which help
them to grow and expand in the market.
It has been evaluated that organisational structure of Apply organisation is functional and
hierarchical through which the company is doing well in performing their regular activities.
Different sections have been divided by the company in which each department have their
experts in order to give orders, authorities and roles to their subordinates. As it involves a formal
decision-making making process, it is able to make fast and viable decisions for the betterment
of company. Every employee has clear lines of control and responsibility. Moreover, it also
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develop opportunities to grow to specialise in their field of expertise. Somehow, it is also
evaluated that it creates disconnection among employees. Also, it develops less flexibility to
react and adapt environmental changes, along with market pressure. Hence, it is quite complex is
nature and company need to refocus on their plans and strategies. In context with organisational
culture of Apple, it can be said that organisational culture of company is quite pleasurable and
friendly to their employees to be adapted (Tanwar and Kumar, 2019). Leaders and managers also
try to make a culture that is familiar to their employees and they feel comfort while working. It
creates positivity when employees are communicated with workplace culture that how it works,
deal or adapt changes, and much more. When employees understand and identify what they are
expected or what their leaders and managers want them to work or perform in the organisation, it
actually builds productivity of overall business.
There are some recommendations that can be used by the chosen multinational firm.
Although the company is doing fine with their current organisational structure and culture, but
there is always a need to adapt changes while dealing several internal and external factors in the
business environment. It can be better understood with an example that the company alters their
existing organisational structure with the team based organisational structure through which the
leaders and managers of the company can develop small teams that highly concentrates on giving
one good or service. These teams are competent of addressing issues and making choices of
business without bringing in third parties. Hence, there is a need to understand the change model
through which leaders and managers can enable their employees to adapt such kind of changes in
the workplace.
Kotter's 8 step change management model:
It is a 8 step model which is created to support leaders successfully implement the
organisational change. Also, it gives easy to follow roadmap for change managers, even if they
are not experts in the area. In case of Apple, these eight steps are as follows:
 Create urgency: It is the first in which an acknowledgement has been passed to
employees that there is a need for change in the business. It is essential to make them
understand that the new change which is introduced is for organisational growth. Hence,
leaders in the chosen organisation need to ensure that their employees should be prepared
for the upcoming change and to motivate them to participate. Leaders can communicate
the current issues that the company is facing and need for the alteration.
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 Put a team together: In this phase, a strong team has been created with essential
qualifications, skills, connections, power to lead change steps and influence stakeholders
of company.
 Develop vision and strategies: It contains to communicate a clear vision for the
business's initiative and plan relevant tactics to support the team in attaining it. Leaders
need to ensure that the new change and vision of the company should motivate and leads
team's actions. It should be realistic in nature that are attainable to track success.
 Communicate the change vision: The main objective is top communicate the strategy
and vision in a manner that motivate the entire organisation to accept and help the change
initiative. Leaders of chosen company also take feedbacks and opinions from their
employees in order to understand their issues, fears or concerns related with the change.
 Remove obstacles: There may be some obstacles such as employee resistance to change,
inadequate processes, business rules and policies and many more. Hence, leaders must
focus on such hurdle while implementing change and give relevant training, rewards and
so on to their employees (Yeoman and Carvalho, 2019).
 Set short-term goals: It is important to comprehend that it may take some tike to attain
desired change and employees may feel discouragement after working for long. Hence,
leaders should establish short-term goals in order to attain short term wins for motivation.
 Keep the momentum: Leaders need to ensure that the change is ongoing and keep by
their team members to attain the desired vision. Also, it helps in increasing the benefits of
the quick wins.
 Make the change stick: It covers adjusting the business values, norms, reward systems
and many more. In order to make change stick to the organisation, leaders can
communicate the benefits of new change, eliminate business procedures that do not
match with the new culture and many more.
CONCLUSION
It has been concluded that organisational structure and culture both plays an essential role
in an organisation. For every company, it is vital have effective organisational structure in which
employees can be directed to do certain activities in order to accomplish business goals.
Whereas, the organisational culture involves a way of acting or behaving within the company. A
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