Managerial Decision Making Report: Strategic Change at Apple Inc.

This report provides a comprehensive analysis of managerial decision-making processes, using the case of strategic change at Apple Inc. as a central example. The report outlines the stages of problem-solving, including problem background, definition, and solution generation, utilizing tools like brainstorming and mind mapping to explore various options. The solutions are evaluated using an affinity diagram, categorizing factors like management, people, process, skills, equipment, and environment. The report then details an implementation plan, incorporating force field analysis to address resistance to change, and proposes a 12-month action plan with measurable outcomes. The conclusion emphasizes the importance of a systematic approach to decision-making and the application of these principles to organizational challenges, highlighting the significance of adaptability and resource allocation in achieving desired results. Finally, the report presents an overview of the problem faced by Apple Inc., different steps for solving the problem, and the action plan to implement the decisions.

Managerial Decision Making

Table of Contents
Introduction...........................................................................................................................................2
Problem Background.............................................................................................................................2
Problem Definition................................................................................................................................3
Solution Generation...............................................................................................................................3
Solution Evaluation...............................................................................................................................4
Implementation......................................................................................................................................7
Action Plan............................................................................................................................................9
Conclusion.............................................................................................................................................9
References......................................................................................................................................11

Assessment Task 3
Solution Application
Introduction
Managerial decision making helps in finding solutions for the problems faced in
organizations and industries. There are many days to day challenges faced by companies
which require making appropriate decisions. There are a series of stages through which each
of the problems is evaluated to find the best option (Chendroyaperumal, 2010). Companies
have to adopt a rational process to solve the problems faced by them.
The purpose of the report is to evaluate one of the problems faced in an organization and how
the effective decision-making process can be adapted to deal with the situation. Different
stages of problem-solving have been discussed in detail to evaluate the solutions and create a
plan for implementation.
The report has been divided into the stages which indicate the stages in managerial decision
making.
Problem Background
Problem: Resistance to Change
Current State of Affairs- The problem which is being faced is Strategic Change in Apple
Inc. The company has been following the minimalistic strategy under the leadership of co-
founder of the company, Steve Jobs. As the management of the company has changed in the
year 2010 and Tim Cook has been appointed as the new CEO, there has been some of the
strategic changes in the company.
Tim Cook believes in expansion strategy and has formulated goals to increase the product
offerings of the company. This strategy is expected to improve the position of the
organization in the global competitive space. However, it has been difficult for the employees
of the company to accept and implement this new change. This is leading to other problems
like conflicts, lower productivity, etc.

Problem Definition
This is the first stage in the problem-solving process. Some of the models which can be used
in the identification of the problem are SWAT Analysis, 5W's and root cause analysis, or
value analysis.
Desired State of affairs-
 Improve the productivity of the employees towards the accomplishment of the new
strategic actions.
 Remove any form of internal or external resistance to change.
 Identify the new opportunities with the adoption of a new strategy.
 Improve the moral and manage conflicts among the employees.
Solution Generation
Some of the solution generation tools which has been used are brainstorming and mind
mapping. This is an expansive and comprehensive process. Thus the methodologies adopted
are based on divergent style thinking.
Brainstorming- This tool will help in the generation of new ideas to solve the problem faced
by Apple Inc. The management can discuss ways to reach a creative solution through which
the resistance to change can be lowered (Frączkiewicz-Wronka, Dyaczyńska, Szymaniec &
Kotowski, 2011). It uses the concepts of lateral thinking and explores various solutions to a
problem.
Mind mapping- It is a form of visual thinking tool which helps in the graphical presentation
of the ideas. This method will help identify the resistance to change as faced by Apple Inc
while implementing a new strategy.
Based on these two tools, the following options have been considered to solve the problem
faced by Apple Inc.
Option 1 Option2 Option 3 Option 4 Option 5
Engage
employees
Improve
communications
Implement
change in a
phased manner
Resolve the
challenges
faced by the
Train and
prepare them
for change

employees
Solution Evaluation
In order to evaluate all the options, we use the affinity diagram for grouping and
understanding the information under each of the categories.
 Management
 People
 Process
 Skills Environment
 Equipment
Thus this method will help in the organization of the ideas into important groups of
evaluation.
Each of the options identified above has been evaluated based on the categories of the affinity
diagram.
Option 1 Option2 Option 3 Option 4 Option 5
Engage
employees
Improve
communicatio
ns
Implement
change in a
phased
manner
Resolve the
challenges
faced by
the
employees
Train and
prepare them
for change
Manageme
nt
The
manageme
nt would
have an
important
role to play
as they
need to
The
management
of Apple Inc.
has to improve
their
communicatio
ns with the
employees
The
management
has to decide
on some parts
of the
organization
would be
changed
The
manageme
nt needs to
resolve any
issues or
conflicts
faced by
the
Management
can also adopt
strategies to
train and
develop the
employees for
the change.
When the

engage the
employees
in the
change
process.
during the
change
process.
initially.
Adopting the
phased
manner for
change will
help to
prepare the
employees.
employees
as faced
during the
change
process.
This will
ease the
process of
change.
employees are
ready to take a
new role, they
will accept the
strategic
change.
People Employees
of the
company
would play
an
important
role in the
change
process by
planning
and
suggesting
the best
solution for
the
achieveme
nt of goals.
High level of
communicatio
ns with the
employees will
help them
understand the
objective of
strategic
change and
connect with it
(Monger,
2014). The
employees
would feel
internally
motivated for
the
achievement of
the goals.
Using this
option for
change
management
would help to
prepare the
employees in
a phased
manner.
When they
will see the
positive
results of
change, they
will
participate in
the activities.
Employees
would face
many
conflicts
and
challenges
while
undergoing
the change
process.
When these
conflicts
are
resolved on
time, it
would lead
to less
resistance.
Employees
would also
resist change
as they would
apprehend
some of the
difficulties in
performing
the new role.
When they are
trained to
undertake
higher
responsibilitie
s, the level of
resistance
would
decrease.
Process The
process
which
should be
adopted in
this option
The process
which should
be adopted
relates with the
use of various
modes of
The process
which should
be adopted by
identifying
the part of the
organization
The
process
which
would be
used here
related to
The process
which should
be used here
is the
planning of
the training

relates to
employee
engagemen
t programs
to help
them
participate
in the
change
process.
effective
communicatio
n so that
interactive
discussions
can be
conducted for
the strategic
change.+
which should
lead the
change. It will
eventually set
an example
for the other
parts of the
company to
implement
change.
the
manageme
nt of issues
and
conflicts as
arises with
the
employees.
Providing
support and
confidence
will help
the
employees
sail through
the change.
program
according to
the new skills
required in the
new roles.
These training
programs
should be
specific to the
needs of the
employees.
Equipment The
equipment
which can
be used
here related
to
employee
engagemen
t portals
and
networks
where the
employees
can directly
participate
in planning
for change.
The equipment
which would
be used here
relates to
information
technology
which will
improve the
communicatio
ns between the
management
and the
employees.
The
equipment
which would
be used here
related to the
implementatio
n programs
for a part of
the
organization.
The
equipment
which
would be
used here
relates to a
common
portal
through
which the
grievances
and
conflicts of
the
employees
would be
managed
The
equipment
used here is
the online and
offline
training
programs
which will
prepare the
employees
with the new
skills.

effectively.
Skills In order to
use this
solution,
the
manageme
nt should
have the
necessary
skills to
engage and
allow the
employees
to
participate.
They
should be
open to
new ideas
and
concepts as
suggested
by the
employees.
The
management
should evolve
their
communicatio
n practices and
develop a
culture which
promotes open
communicatio
n. This process
will help the
management
with all the
necessary
information
regarding the
factors leading
to resistance to
change.
The company
should have
skills to
implement the
strategic
change in a
part of the
organization
and then
conduct it for
other parts.
The
company
should
have the
necessary
skills to
resolve the
issues and
challenges
faced by
the
employees.
This will
lead to long
term
relations
with the
employees.
The company
should have
the expertise
to train its
employees in
the necessary
area or
outsource this
task to third
parties.
Implementation
The action is a 12-month plan with another 6 months required to review and prepare the
comprehensive reports.
Change Management for a period of 12 months (TICHÁ, HRON & FIEDLER, 2010).
Dealing with the conflicts- every fortnight for a period of 12 months.

Motivating employees towards the new strategy- monthly.
 Communications
 Managing Stress
 Building relations
In order to construct the implementation program, Force field analysis has been used which
intends to solve the problem of Resistance to Change.
This method would be effective to reduce the opposing forces of change and strengthen the
supporting forces of change. It would also help to determine the best approach Apple Inc.
should take in order to employ the new strategy as proposed by Tim Cook.
Based on the above evaluation of the different solution which is available, it can be suggested
that the company should determine the internal resources before choosing the options. Each
of the options or the solutions suggested for dealing with resistance to change require
commitment from management and resources to undertake such responsibilities. For
example, if the organization chooses to train and develop the employees for the new
positions, the company should deploy resources for the training programs.
Finally, the implementation of the solution would be done after the final selection of the
solution has been made by the management of Apple Inc. The proposal has been made with
all the suitable options determined through the problem-solving steps (Tyagi & Mallya,
2018).
The steps as used in Force Field Analysis are as follows:
 Step 1- Set Up
The issue of resistance to change would be divided into restraining forces and the
driving forces.
 Step 2- Brainstorm
Each of these forces would be discussed in detail to identify how the driving forces
can be strengthened and how the restraining forces can be limited.
 Step 3- Sort and Prioritise
Each of these forces would be prioritized based on their overall effect on the strategic
change.
 Step 4- Scoring
Based on the process of prioritization, the scores would be allotted from 1 to 5.

 Step 5- Calculate the results
Graphic representation of the restraining and the driving forces would help to identify
the course of actions to be taken.
 Step 6- Moving forward
At this stage, the strategies would be determined by the company to eliminate the
restraining forces and capitalize on the driving forces.
Action Plan
A comprehensive report which contains the recommendations for the period of the next 12
months will contain the breakdown of the costs, activities, schedules, measurable outcomes,
etc. Once the contract is signed by the management of the company, we will take the steps to
solve the problem of resistance to change as faced by the company.
The action plan would depend on the solution selected by Apple Inc. under the leadership of
Tim Cook. The effectiveness of the action plan would play an important role in achieving the
results. This is one of the important stages as it determines the allocation of the resources for
the achievement of goals. As the main focus of the CEO of Apple Inc is to lead the company
towards a new growth level and also prepare it for the global competitive environment, the
action plan should be more dynamic and consider the factors affecting the external business
environment in an organization.
Conclusion
Finally, based on the above analysis of the steps which would help in making an effective
managerial decision in an organization, it can be concluded that each of these steps is
important in finding the solution. The problem faced by Apple Inc affects all levels of the
organization and some solution should be sought to address the problem. The report has
identified each of the option which can be undertaken and the final plan for implementation
which is necessary to achieve the desired results.
Thus we see how decisions form a part of the daily activities of the organization and using a
process helps in finding the best solution. It is important to evaluate all the options which can
be adopted by the company to undertake the best course of actions.

References
Chendroyaperumal, C. (2010). Decision-Making: Some More Decision-Rules for Managerial
Excellence. SSRN Electronic Journal. doi: 10.2139/ssrn.1549109
Frączkiewicz-Wronka, A., Dyaczyńska, K., Szymaniec, K., & Kotowski, P. (2011). THE
IMPACT AND IMPORTANCE OF STAKEHOLDERS OF THE HEALTH UNITS TO
THE MANAGERIAL DECISION-MAKING PROCESS. Economics &
Sociology, 4(1a), 148-165. doi: 10.14254/2071-789x.2011/4-1a/10
Monger, R. (2014). Managerial decision making with technology. Burlington: Elsevier
Science.
TICHÁ, I., HRON, J., & FIEDLER, J. (2010). Managerial decision making –
importance of intuition in the rational process. Agricultural Economics (Zemědělská
Ekonomika), 56(No. 12), 553-557. doi: 10.17221/169/2010-agricecon
Tyagi, K., & Mallya, P. (2018). Managerial Decision-Making Process in Corporate Social
Responsibility (CSR) in a Developing Country Context. Siddhant- A Journal Of
Decision Making, 18(2), 153. doi: 10.5958/2231-0657.2018.00016.2