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Apple: Human Resource Strategy

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Jessica Delaney

on 22 April 2015

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Transcript of Apple: Human Resource Strategy

Jess, Sandra, Eddie & Jocelyn
Apple
Background
1.Changing consumer preference: greater emphasis on corporate social responsibility
Poor working conditions at Apple's suppliers
Poor management, autonomous work, long working hours
Problem first identified in 2010
Continuous problem for Apple
Suppliers not meeting societies standards
Apple's response
Apple created an organization wide goal to ensure that every person in the supply chain is treated with the respect and dignity they deserve
Supplier code of conduct
Ensures workers at suppliers are treated fairly
Conduct regular audits
Reinforcing Apple's commitment to its workers
Training and development programs
Suppliers:
Train-the-Trainer, and Supplier Employee Education and Development
These programs educate suppliers of health and safety, workers rights and injury prevention
Workers:
Educating workers on their own rights
Ensure that their suppliers are meeting Apples expectations of working conditions and more importantly societal expectations
Impact on stakeholders
Factory workers
Managers
Consumers
Shareholders
Tim Cook
Theory of best fit
Match an organisations human resource practices with organisational or external environmental contexts
Poor economic conditions, lenient laws on minimum wages and high unemployment rates
These human resources practices don’t reflect either the Apple brand nor consumers expectations
Porters typology of competitive strategies
Apple would be classified as having a differentiation strategy
Therefore the overall Apple brand and strategy of differentiation was not being reinforced by the human resource strategies implemented at the factories
2.Changing workforce demographics- employees are focused on more WLB , flexibility, and Greater Entitlements
Diversity is considered to be important in an organisation due to changes in demographics around the world


Time , money and effort to attract, recruit and select diverse workers , however good employment practices are the most crucial aspect in terms of being able to retain these high skilled and diverse workers within the organisation

Apple’s response: Changes to management and retention of staff
Parental leave


Education reimbursements for employees



student loan refinancing
Apple has made diversity a key area of focus in an effort to attract and retain their talent

Made improvements to its parental leave policy

Blue Sky” program- allow engineers to work on own projec

Charitable matching program
HPWS
selecting the right people for the job


Involving employees in decision making


Continuous training and development
3.External/Industry Pressures

Apple company designs, manufactures and distributes computers, tablets, smartphones and MP3 player. The local subsidiary employs about 2,800 staffs in Australia (IBISWORLD, 2015).


iPhone and iPad as its best-known products have got 50.2% market share in the mobile market and tablets market (IBISWORLD, 2015).
Apple's Response
Resource Based View
- VRIN resource
- War on talent
- Lepak and Snell's employee architecture model
- Blur between ethical practices when it comes to acting in the organisation's best interest
- Employee Poaching/ Predatory Nature
as the one of world's most valuable brand, Apple is on the 55th place of the America's Best Employers List (Forbes, 2015)
Managing in Apple
- Moore's Law - innovation within the industry
External and Industry factors influence the HR practices used to protect resources that are of value to the organisation
Influencing Factors
- Understanding a core resource: human capital
- Firm partnerships
- Need for knowledge to support new technology
- Rise of the StartUp
Compare Apple response to the theory
Best fit
high-performance work system
resource base view
Three environmental trends
1.Change in consumer preferences
2.Change in demographics
3.Change in industry regulations
Full transcript