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Apple Inc.

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Roshawn Helmandi

on 15 February 2014

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Transcript of Apple Inc.

Apple Inc.
Mission Statement
"Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and Internet offerings."
Vision
"Man is the creator of change in this world. As such he should be above systems and structures, and not subordinate to them "
Background
Steve Jobs and Steve Wozniak founded Apple Inc. in 1976 in Los Altos, Ca.
Apple was incorporated on Dec. 2, 1980
Sculley entered apple in 1984 and was named the new CEO.
Sculley was previously president of Pepsi cola division of Pepsi.
Sculley Years
1985-1993
Steve Jobs fired in 1985
Goal was to figure out how to differentiate Apples product lines
1990 Sculley tried to move apple into the mainstream market.
Spindler Years
Steve Jobs
Amelio Years
Digital Hub Era
Apple in 2012
Apples Stock
Tim Cook
Apples Differentiation Strategy.
Competition
iPod
iPhone
iPad
iCloud
Apple Television
Apple Management Strategy
Divisional Approach
Swot Analysis
Apple Supply Chain Issues
Cooperation Issue
Financial Summary
Future for Apple
Company Culture
Questions
1993 - 1996
Slashed Costs
Cut 16% of Apples workforce
Pushed for international growth
High hope for the revolutionary OS
69 million dollar loss in the first quarter of 1996
1996-1997
Acquired NeXT
More Job Cuts and restructuring efforts
Apple lost 1.6 billion dollars under Amelio
Apple world wide market share fell around three percent
Apple was within 90 days of Bankruptcy
1997-2011
Moved quickly to reshape Apple
Cut there fifteen product lines to four
Hired Taiwanese contract assemblers
Revamp apples distribution System from smaller outlets to national distribution chains.
Steve jobs passed from pancreatic cancer in 2011.
2001 Apples 25th anniversary
Apple introduced the Macintosh
Jobs had a new vision for Apple
Company remained committed to education market.
New PC products focused on home consumers lifestyles
"Think Profit"
Apples computer sales growing faster than the industry
First Retail store opened in McLean Virginia in 2001
364 retail stores in 13 countries
60,400 Permanent Employees
2,900 Temporary Employees
Main Headquarters Located in Cupertino, CA
Apples market capitalization surpassed six hundred billion dollars making it the most valuable company in the history of this world.
1980 apple went public
Most oversubscribed initial offering since Ford in the 1950's
Apple was worth 1.79 billion dollars in 1980.
In the process Apple made 300 people millionaires.
1998-Present
Previously COO
Jobs appointed him as CEO in 2011 after his passing
Wanted to run Apple differently
Changed Apple product Charge ports
Apple's market capitalization surpass 600 billion
For a computer to be truly great, its hardware and software had to be tightly linked. In later years, Jobs whole widget approached would distinguish the iPhone, iPod and iPad from their competitors.
PC-
IBM, Dell , Acer, HP, Lenovo

Ipod Series-
Samsung, SanDisk, Creative, Microsoft Zune, Napster, Amazon.com, Napster.

Iphone Series-
Samsung, Google, Motorola

iPad-
Amazon's kindle, Dell, HP, Samsung

Operating System-
Microsoft Windows, Android OS, Linux
iPod was introduced in 2001
2003 iTunes was introduced
Apple holds more than 70% of the U.S MP3 market.
Currently they have 5 different iPods and many different generations.
Introduced in Jan. 2007
On June of 2007 iPhone was considered Invention of the Year.
Four years after the launch iPhone accounted for 44% of Apples total revenue.
Released in March 2, 2010
More than 450,000 iPads were sold in the first week on the market
In 2012, Apple had sold 55,000,000 iPads
Launched by Steve Jobs in October of 2011.
Stores data over the internet
iCloud allowed users to synchronize seamlessly across multiple Apple devices.
It did terribly
First Failure in several years
Poor ratings, technical difficulties and low sales
They are planning to relaunch it sometime soon
Divisional Approach
Apple is very secretive about there management structure
They have a closed door policy
Non traditional teams and department divisions
Very informal and non-hierarchical
Advantages- fast response time, flexibility, Unstable environment, fosters concerns for customers needs,
Disadvantage-Duplication of resources across divisions, Poor coordination across divisions.
Swot Analysis
Apple had a supplier in China that caused controversy due to poor labor conditions
Apple responded by saying "Apple takes working conditions very, very, seriously....We care about every worker...No one in our industry is doing more to improve working conditions than Apple." Timothy Cook, Apple CEO
Apple in is early days did not have coordination within its divisions causing problems and conflicts with product launches (ex. the LISA launch)
Employees were not sure of Apples Strategies.
Directions were being received differently from research, development and marketing.
Came from a lack of functional leadership and team cohesiveness
Strong Ratios
Positive predictions for financial
growth
Profit Margins leveling out
Tim Cook
Tim Wants to run Apple somewhat differently than Jobs
How can Tim, separate himself from Jobs while maintaining Jobs' legacy?
No dress code
Jobs was quoted saying that "the general structure is bullsh-t"
Focuses on specialization.
Apple promotes innovation, individual accountability and efficiency.
"Being the richest man in the cemetery doesn't matter to me. ... Going to bed at night saying we've done something wonderful -- that's what matters to me."
Quote
“Being the richest man in the cemetery doesn't matter to me. Going to bed at night saying we've done something wonderful... that's what matters to me.”
(Steve Jobs)
Full transcript