Apple organizational structure can be described as hierarchical and functional. Such a structure has been developed by its founder and former CEO late Steve Jobs in order to ensure focused realization of his innovative ideas and clear vision for the business. When Steve Jobs returned to turnaround failing Apple in 1997 the company had a typical organizational structure with many business units with their own profit and loss (P&L) responsibilities. In order to increase the coherence and fuel innovation, Jobs fired general managers of all business units (within one day) and put in place one P&L for the entire business. Apple organizational structure has been subjected to certain modifications since the leadership role was assumed by Tim Cook on August 2011. Specifically, Mr. Cook embraced the decentralization of decision making to a certain extent in order to encourage innovation and creativity at various levels. Also, Cook divided hardware function into hardware engineering and hardware technologies. As the most recent change to the corporate structure Cook added artificial intelligence (AI) and machine learning as separate function areas due the increasing importance of AI and machine learning. Currently, Apple organizational structure has the format illustrated in figure below: Apple Organizational Structure Generally, Apple corporate structure has the following characteristics: 1. Hierarchical organizational structure. Although Tim Cook introduced considerable changes to Apple corporate structure since assuming the top job in 2011, the structure still remains to be highly hierarchical with many layers of management. Massive size of the company that comprises 164,000 full-time equivalent employees globally necessitates the adherence to the hierarchical organisational structure. Advantages of Apple hierarchical organizational structure include tight control possessed by senior management over all aspects of the business. Moreover, promotion opportunities motivate employees to perform well and there are clear levels of authority and responsibility. On the negative…Apple Organizational Structure: a brief overview
Sunday, July 2, 2023
Research Methodology
Apple organizational structure can be described as hierarchical and functional. Such a structure has been developed by its founder and former CEO late Steve Jobs in order to ensure focused realization of his innovative ideas and clear vision for the business. When Steve Jobs returned to turnaround failing Apple in 1997 the company had a typical organizational structure with many business units with their own profit and loss (P&L) responsibilities. In order to increase the coherence and fuel innovation, Jobs fired general managers of all business units (within one day) and put in place one P&L for the entire business. Apple organizational structure has been subjected to certain modifications since the leadership role was assumed by Tim Cook on August 2011. Specifically, Mr. Cook embraced the decentralization of decision making to a certain extent in order to encourage innovation and creativity at various levels. Also, Cook divided hardware function into hardware engineering and hardware technologies. As the most recent change to the corporate structure Cook added artificial intelligence (AI) and machine learning as separate function areas due the increasing importance of AI and machine learning. Currently, Apple organizational structure has the format illustrated in figure below: Apple Organizational Structure Generally, Apple corporate structure has the following characteristics: 1. Hierarchical organizational structure. Although Tim Cook introduced considerable changes to Apple corporate structure since assuming the top job in 2011, the structure still remains to be highly hierarchical with many layers of management. Massive size of the company that comprises 164,000 full-time equivalent employees globally necessitates the adherence to the hierarchical organisational structure. Advantages of Apple hierarchical organizational structure include tight control possessed by senior management over all aspects of the business. Moreover, promotion opportunities motivate employees to perform well and there are clear levels of authority and responsibility. On the negative…
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