Apple’s Quality Production and Unique Products

For a long period of time, Apple has been considered to be the best worldwide company manufacturing the electronic devices. Apple has 453 retail stores in more than 16 countries. The quality of production has been increasing day by day as the company has understood the needs and 5requiremnts of the consumer available in the market. The company is offering a product like iPhones, iMac and iPod which are unique and user friendly in nature (Panmore Institute, 2017a).

The business has gained this success due to the introduction of uniqueness and competency in their products as a comparison to their competitors. The analysis made by the company to understand the taste and preference, customization in the products according to the requirement of customer makes them different. The success of the business is because of its organizational structure followed in the organization, the marketing strategies adopted by the company and the logistics and supply management techniques used by the company. The company was able to maintain the HR policies which are flexible in nature and easily adopted by the organization (Grant, 2016). 

Organizational Structure and management  Organizational Structure

Apple organizational structure is considered to be hierarchal in nature in which one has to report to others. This structure in the organization has been developed by the Steve Jobs. Jobs are offering their advanced thoughts and a strong vision for the trade and this has made the business successful in the competitive market. The organizational structure of Apple is guided by the leadership of the Tim Cook.

Cook focused on the decentralization of work while following the hierarchy in the business. Decentralization makes the decision making in the structure easy so that the level of creativity and innovation can be generated at all the levels of the management in the organization. The structure of the organization is bifurcated into the different basis which includes product portfolio such as iPad, iPhone, iPod, Apple TV as a result of the association of the product based groups (Panmore Institute, 2017b).

Features of Apple Organizational Structure

Structure of Apple makes the organization grow rapidly while implementing the innovation in the business. The following are the utmost important features of Apple organization structure which are as follows:

Product Based groups

The company is distributed its structure on the basis of product produced by the company. This made the structure of the organization as divisional structure. In Apple, the chain followed is that below the senior vice president for iOs apps, Vice president for iPad and Vice president for consumer apps.  This helps the structure of the organization to make a differentiation in their product.

Apple’s Hierarchical Organizational Structure

Functions Based groups

The functions of the company also divided on the basis of the function performed by the individual in the organization. Each level of management in the Apple holds or performs the specific function in the organization to complete the hierarchy and chain followed in the company. The top leader of Apple addresses the business needs in terms of their functional areas (Research Methodology, 2018).

Suitability of the structure

This structure is found suitable to the organization like Apple as there is a long chain of hierarchy followed in the organisation. if there is follow of decentralization only in the organisation theme the implementation of work converts into the conflicts and chaos in the organisation. of the company followed the total centralisation in the business in which no power is given to the individual for the decision making then it will difficult for the employee to work. In mid the democratic style in which there is the use of both centralization and decentralization in the business like Apple. This will help the business to sustain and grow more in the environment (Damanpour and Aravind, 2012). 

Management Style

Democratic style has been used by the Apple so that the employees also feel the part of the organization and contribute their full potential towards the company. In this type of style, the participation of the people, their consent and mutual respect is shared with the common goal. This goal not only fulfills the aspiration of the individual but also to the organization.

Benefits

Collaboration between the leaders and the team

The supply of the accountability among the members, encouraging the process of choice maker within the group increases integrity of the company. The common idea behind using this technique is that there will be coordination, sharing a distribution of the responsibilities (Shaw, 2016). 

Participation in decision making

Democratic leaders have a great level of self-confidence, and they have the sense of responsibility they involve in their decision-making process. In other words, Democratic leaders are committed to the decentralization and delegation in the work which brings trust and collaboration in the work. This will bring integrity among the team members and organization. In Apple, the employees are motivated by the jobs and their confidence. The company is prone to hire the skilled and professional, which have the sense of responsibility (Baker, 2016).

Marketing Management

Organisation Strategies

Porter’s Generic Strategy

This strategy is used by the company to expand its business operations to get the broad market. The growth of business and expansion can be achieved through the use of the intensive strategies for the growth of the company.

Features of Apple Organizational Structure

Product development

Apple uses product development strategy as its main intensive strategy for the growth. Apple visions and mission statement specify that there will be a product development. Apple is continuing making the innovation in new products which include iPhone, apple watch and iPod (Brown, 2016).

Market penetration

Market penetration includes the gaining the superior market share by selling more of the products and service by the company. For example, Apple has used this strategy by selling more iPhone ad pads to its present target market.

Market development

Market development involves creating the new market while offering the new product. Basically, the company is entering the entirely the new market. Apple innovates to offer the good like Apple Watch which is totally the new product line for the firm (Garcia et al., 2016).

Diversification

Apart from making the portable and personal; technology, Apple has also entered into the solar energy sector in which it could turn into a big business provider. This will not enhance the brand and market share too for the company.

Target Market

The company is targeting the younger age group as they are the one who is called the early adopter in the environment. Teenagers are considered to be one of the Apple Inc’s target markets.

7 P’s marketing mix

Price

Apple uses the premium price strategy ion the business that means the price charged by the company is normally found to be high as compared to its competitors. The effect of this strategy is creating the high-end image of the company in the market (Park, Egilmez and Kucukvar, 2016).

Place

Steve Jobs decided to provide the high position to the retail stores of Apple, as they are the one who is taking the reviews from the customers and able to analysis and summarise the needs. This will create the deeper relationship with the customer by the company. Place also able to promote the brand awareness. Places include affiliated websites, Apple stores, Authorised retailers and telecom companies.

Product or service

Apple is offering the wide variety of products and service to its customers while offering the innovation in their product. All apple products are easy to use and are found to be user-friendly in nature with an intuitive design (Waterloo, 2016).

Promotion

The activities can be promoted by Apple by using the various channels of promotion which include advertising, personal selling, sales promotion and maintain the relationship with the public.

Apple’s Democratic Management Style

People

Apple is promoting the vision of the company by using its employees. It is significant that they should have the perfect information about the company and its product offerings. In apple, proper and strict training is giving to the employees.

Process

The company always aims to match up with the condition prevailing in the market. Apple is giving the high importance to the growth and the customer experience. The company is trying to mix the culture of the organization with all the interactions don between the user and the company.

Physical Evidence

Apple is managing its culture with the environment. Apple has c related its own culture, rules and regulations to be followed in the organization. Apple brand is relatively related to the innovation and technology (Just Virtual, 2015).

Purpose of chosen Apple

The reason behind choosing Apple as the organisation for the marketing department is that this industry is found to be dynamic which gives the challenges to marketer to develop new strategies to promote their product and service in the market. This company is responding to the consumer needs with the on-going development of their product according to the need of consumer.

Organisation Approach to Marketing

Apple is using the Retail marketing strategy in its business operations. as the business is using the 7P’s which able to obtain the significant results with an innovative way it’s the place, in particular, retail strategy. In the company like Apple, the marketing strategy is interrelated and interlinked to each other and stores are the part of the vision. They are in apposition to promote the brand create the awareness about the culture. The area which is required to be changed in marketing is the process of communicating about the product to its customers. More advertisement to be used by Apple so that spread of products ranges and service in the market will be increased. 

Supply chain Management

Supply chain management is the process of flow of goods and services which involves the movement and storage of raw materials. The works in process of inventory and of finished goods are also included in it from the point of production to the point of consumption. The supply chain management has its process in Apple which is found different from others (Chesnotes, 2018).

Supply Chain management process

Research and development

In this phase, Apple introduces the new technologies to attract the customer. For the same company is acquiring the license of the intellectual property. The company has to invest a big amount in research and development of the product or service offered to the customer. It should fulfill the needs of the individuals.

Porter’s Generic Strategy

Concept Testing

In this step, market research has been conducted by the Apple in which innovation on which the product is based on is checked by the experts in the company. The product testing is done in the market by offering the samples to some persons to use it. All the data has been assembling in this part from which the cost measurement of the product is done. It will also analyze to help the potential quality defects in the product if any.

Pre-launch

The main issues arise in the pre-launch of the product. All the management of the production is done in this step. In this, there is involvement of new software products. All the handling of the material purchased has been recorded in this step. The purchase agreement, raise orders, make pre-order payment to the suppliers are made (Ching and Moreira, 2014).

Launch

All the issues which are found at the previous stages are solved by the company. In this step, all the backlogs have been resolved by the Apple experts. The demand forecasting is done to know the product demand in the market.

Quarterly review

In this, the review is taken from the market in which review of inventory level, check of production level and adjustment of demand forecasting is done. The introduction to the new development in the product of Apple is used. The main focus is given on monitoring the sales and cost components of the product (Gamme and Aschehoug, 2014). 

 Challenges and Solutions

The business has experienced the challenge of launching the product as all the resolves which are finding in the previous stages has to be resolved by the experts of Apple. Clearing out all the backlogs which are found has to be resolved which take a lot of time and forecasting the demand of the product is another problem faced by the Company (Romero, Cavalieri and Resta, 2014).

The solution to this can be simply by hiring the specialists for resolving the problem in implementing the product in the market. For the proper demand forecasting by the company, Apple should do the trend analysis of the past performance of their customers so that it can be identified that how many customers respond in favorable and how many is there in against the policy and logistics opt by the company. For this, Apple also required a professional who is well versed with the knowledge and skills of statistics.

Apple’s Target Market

Conclusion

From the above discussion, it can be concluded that Apple is considered to be the innovator in producing the products and services. This range varies according to the requirement of the individual customer. Apple is performing well in the market due to its hierarchal structure in the organization which makes the smooth working in the organization. This smooth working results in operating the market and its issues on time without any delay.

The market is also influenced by the marketing strategies opt by the company. From the generic strategy, it can be said that the Apple is performing well in the market and has diversified activities in the business. The logistics and supply chain management of the company also facing the challenges and issues but are able to cope up with them and survive in the market with the best results. While challenges and difficulties with supply chain responsibility is not unique to Apple, the company is recording the high amount of profit and a brand value which can make easy and highly visible to the target.

References

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