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    APPLE

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    Uttam
    Apple adopted an adhocracy organizational structure in the 1970s that favored flat, informal structures over traditional tall hierarchies. This structure was well-suited to Apple's need for innovation in a dynamic technology industry. While unconventional, Apple's structure empowered employees and allowed for quick policy implementation and product innovation. However, it also lacked stability, as seen when Steve Jobs was dismissed - successors struggled until Jobs returned. Apple also uses functional structures where employees are grouped by expertise, which improves efficiency but can limit communication.

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    APPLE

    Uploaded by

    Uttam
    174 views2 pages
    Apple adopted an adhocracy organizational structure in the 1970s that favored flat, informal structures over traditional tall hierarchies. This structure was well-suited to Apple's need for innovation in a dynamic technology industry. While unconventional, Apple's structure empowered employees and allowed for quick policy implementation and product innovation. However, it also lacked stability, as seen when Steve Jobs was dismissed - successors struggled until Jobs returned. Apple also uses functional structures where employees are grouped by expertise, which improves efficiency but can limit communication.

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    Apple adopted an adhocracy organizational structure in the 1970s that favored flat, informal structures over traditional tall hierarchies. This structure was well-suited to Apple's need for innovation in a dynamic technology industry. While unconventional, Apple's structure empowered employees and allowed for quick policy implementation and product innovation. However, it also lacked stability, as seen when Steve Jobs was dismissed - successors struggled until Jobs returned. Apple also uses functional structures where employees are grouped by expertise, which improves efficiency but can limit communication.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    174 views2 pages

    APPLE

    Uploaded by

    Uttam
    Apple adopted an adhocracy organizational structure in the 1970s that favored flat, informal structures over traditional tall hierarchies. This structure was well-suited to Apple's need for innovation in a dynamic technology industry. While unconventional, Apple's structure empowered employees and allowed for quick policy implementation and product innovation. However, it also lacked stability, as seen when Steve Jobs was dismissed - successors struggled until Jobs returned. Apple also uses functional structures where employees are grouped by expertise, which improves efficiency but can limit communication.

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    APPLE’S ORGANISATIONAL STRUCTURES

    In the 1970’s when apple inc. was formed, it drifted from the traditional corporate
    structure that is been practiced in most companies at that time and continued in a
    different and unique method of managing its organisation. The company operated
    based on the concept of informal corporate culture within the technology industry
    where it favoured a seemingly flat organisational ad hoc structure than the tall
    structure.

    Mintzberg (1983) suggests that administrative adhocracy occurs when an


    organisation has a special need to be innovative, due to intense product competition
    or dynamic technology. This is the case with Apple. They adopted adhocracy as it is
    the only structure suited to solving complex problem and can match its sophisticated
    innovative culture.

    Apple’s corporate culture is a unique corporal style that is only suitable for Apple.
    Measuring against the traditional classical organisational culture, it can be said that
    Apple’s ad hoc approach is out of date. However, when measured against the post
    classic, modern information generation as supported by Hewlett et al. (2009) it can
    be argued that Apple is in line with today’s requirement for success.

    In contrast to the tall hierarchical structure, a flat organizational structure is


    characterized by relatively few layers or just one layer of management. As a result,
    the chain of command from the top to the bottom staff is short.

    The merit of this type of organisational structures is their effectiveness in terms of


    innovation and empowerment (Fayol 1949). Policies are easier and quicker to
    implement and there is increased coordination. This explains why Apple inc. is
    famous for distinctive competence in product design and innovation.

    However, a major drawback is that if there is a change in leadership or culture, they


    may be faced with damaging repercussion as other aspect of the strategic structures
    may not fit. This was the case when Jobs was dismissed and all other successors
    struggled with the organisation until he was later reinstated.

    The organisational structure in Apple is also a functional structure as the company is


    organised along functional line (Torrington et al. 2005).

    In functional structure, people are grouped on the basis of their common expertise,
    experience and resources. Employees within the functional divisions of an
    organisation perform a specialized set of tasks. This results in operational efficiency
    within the group. However, it could also lead to lack of communication between the
    groups in the organisation as is the case in Apple.
    Mintzberg’s framework of organizational structures can be applied to Apple’s
    company structure. This framework divides a business into six basic parts :

    1. The strategic apex, or the key decision-makers

    2. The middle line, or the middle managers

    3. The operating core, or the operational processes

    4. The techno structure, or the technical support and systems

    5. Support staff, or the supplementary staff

    Apple uses a company structure that is commonly known as “functional


    organization”. This means that the company has been organized around areas of
    expertise, rather than individual products. The products themselves are then
    worked on by individuals from across the different areas of expertise.

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