A business journal from the Wharton School of the University of Pennsylvania

Layered Leadership and Apple’s Rise to the Top

November 23, 2021 • 7 min read.

In an excerpt from the revised and updated edition of their book ‘The Strategic Leader’s Roadmap,’ Wharton’s Harbir Singh and Michael Useem explore how Apple’s approach to leadership has contributed to its success.

apple leadership case study

In their book  The Strategic Leader’s Roadmap, Revised and Updated Edition: 6 Steps for Integrating Leadership and Strateg y , Wharton management professors Harbir Singh and Michael Useem draw on one-on-one interviews and their own research to   take readers into the offices — and mindsets — of some of today’s foremost strategic leaders. In the following excerpt adapted from the book, Singh and Useem explore key steps in the development of the iPhone’s virtual keyboard to show how a “layered leadership” approach has contributed to Apple’s success. 

Strategic leadership should emanate from multiple tiers in a company or a country, not just the top rung. While the enterprise’s strategic intent is conveyed by the most senior leader in the organ­ization, it is then the responsibility of the managers populating the next tier to convey the same message downward and for their own subordinate managers to do the same in turn, with strategic leadership cascading down the company pyramid in what can be termed layered leadership.

In formulating his principles for leading Apple Inc., founder and CEO Steve Jobs had put innovation at the center. One of his specific agendas was to create a “digital hub” for every private residence. He foresaw homes with linked music players, appliances, cameras, computers, telephones, security systems, and video recorders; Mac computers and their proprietary software would serve as connectors. All of the devices would be multifunctional, easy to operate, and aesthetically appealing. A new operating system, OS X, developed at a reported cost of $1 billion, would furnish the required interoperability and adaptability to subsequent generations of Intel chips.

Meanwhile, Jobs introduced devices for the digital hub one by one, each becoming a game changer in its own right. The iPod, for instance, displaced MP3 digital audio players with a smaller gadget that allowed for internet updating and a choice of songs. Serving as a first node in an ecosystem of related services, including iTunes, the iPod affirmed the potential of the digital hub strategy, knitting varied features seamlessly. Observers attributed Apple’s build­out of the iPod and the hub concept more broadly to the vision and creativity of the chief executive, but it also depended on the leadership of layers well below him.

An ‘Act of Creativity’

Consider the role of Ken Kocienda, an Apple software developer whom the company had asked to create a virtual keyboard for the new iPhone. Given the mobile device’s modest dimensions, the keys on the iPhone’s virtual keyboard would have to be tiny, and for that, devising an autocorrect function would be essential so that users could type quickly and not have to backtrack to fix mistakes. Another challenge was how to cram letters, numbers, and symbols onto the phone’s slender keyboard. Here, Kocienda’s team came up with a toggling function, allowing users to easily switch the keyboard from letters to numbers to symbols, or even the Greek alphabet. Users readily embraced both innovations.

Kocienda’s leadership of his engineering team’s decisions — along with Jobs’s leadership of his top team’s decisions — proved foundational for the iPhone’s launch. “The iPhone was an act of creativity,” Kocienda said, but “it wasn’t inevitable.” Rather, it was an “accumulation of many small choices by a group of people working together closely in a specific time and place.”

When Jobs introduced Apple’s iPhone in 2007, he anticipated it would be transformative for the company and even the industry. “Every once in a while, a revolutionary product comes along that changes everything,” Jobs said. “Today, we are introducing three revolutionary products in this class. The first is a widescreen iPod with touch controls. The second is a revolutionary mobile phone. The third is a breakthrough internet communication device. These are not separate devices, it is one device and we are calling it the iPhone.” The resulting product became one of the most successful technology combinations of all time, accounting for as much as half or more of Apple’s annual revenue for years to come.

Having successfully created the keyboard and autocorrect function for the iPhone, Apple then assigned Kocienda the role of developing a keyboard for the next big thing, the iPad. Kocienda brought in Bas Ording, a software designer who had already invented inertial scrolling, where a finger swipe can make a screen slide quickly at first but then slow down, a function that users found appealing and one that has become a standard feature on virtual screens. Kocienda’s group sought to understand whether the new iPad keyboard should be a full replica of the Mac keyboard or just a subset of the Mac’s keys. Kocienda worked with Ording and the team on a range of design concepts, converging on two prototypes. The first, a virtual replica of the full keyboard, would be familiar to Mac users. The second, which allowed users to switch the virtual keyboard from lowercase letters to capital letters and back, would be less familiar. They tested a range of sizes for the virtual keys and a variety of ways for correcting typos.

Layered Leadership at its Finest

To determine which keyboard was better, Kocienda demonstrated his options to a room of top executives, including Jobs himself, in a conference room called Diplomacy at Apple’s headquarters in Cupertino, California. As Kocienda entered the room, he saw Henri Lamiraux, vice president of engineering for iOS, the operating system created by Apple for its mobile hardware, including the iPhone, iPod, and iPad. Lamiraux reported directly to Jobs, coordinating engineering for the software and hardware interfaces for Apple products, and he served as a conduit between senior­most management and teams of engineers. Also present were Scott Forstall, senior vice president for iOS software engineering, and Greg Christie, head of the Human Interface Team. Here was the top layer, the big brass.

“Behind the launch of both the iPhone and the iPad were several layers of leadership, with the CEO resolving the final issues but engineers … reaching important decisions at their own levels.”

Kocienda displayed the two main options to them: the full Mac­ like keyboard with smaller keys and the switchable keyboard with larger keys. In earlier demonstrations with other executives, Kocienda had found little agreement on the preferred option. As Jobs and the top team looked on now, Kocienda opened two screens on a prototype iPad. “There are two designs,” he explained. “One has more keys, like a laptop keyboard, and the other has bigger keys,” like “a scaled-­up iPhone. We are thinking of offering both. Try the zoom key to switch between them.”

Flipping from one to the other, Jobs tested each of the versions several times. Revealing no emotion or preference yet, he turned to Kocienda. “We only need one of these, right? Which one do you think we should see?” Kocienda was taken aback, having assumed that this was a choice for the upper layer, not his own. With time for only a moment’s reflection, he shot back, “I’ve started to like the layout with the bigger keys. I think I could learn how to type on it.” He added that the autocorrect feature already on the iPhone could easily be incorporated here. Jobs responded, simply but fatefully, “OK. We’ll go with the bigger keys.”

Behind the launch of both the iPhone and the iPad were several layers of leadership, with the CEO resolving the final issues but engineers like Kocienda reaching important decisions at their own levels. The formula for the layered leadership included clearly defined goals for each, frequent communications among the layers, a shared tempo to keep all layers on track, and continual feedback up and down the layers. For navigating the several layers, Kocienda invented his own roadmap: “Remove distractions to focus attention where it needs to be. Start approximating your end goal as soon as possible. Maximize the impact of your most difficult effort. Combine inspiration, decisiveness, and craft to make demos.” Also, listen “to feedback from smart colleagues,” and then, “creative selection moves us step by step from the spark of an idea to a finished product.”

  Copyright 2021. Reprinted by permission of Wharton School Press.

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Design Thinking and Innovation at Apple

  • Format: Print
  • | Pages: 14

About The Author

apple leadership case study

Stefan H. Thomke

Related work.

  • Faculty Research
  • Design Thinking and Innovation at Apple  By: Stefan H. Thomke and Barbara Feinberg

Research-Methodology

Apple Leadership: a brief overview

During Steve Jobs era that covers the period 1997 – 2011, Apple leadership was autocratic with Steve Jobs micro-managing a wide range of business operations. It has been noted that “when Steve Jobs was in charge, everything flowed through him.” [1] Apple leadership practices have changed dramatically under Tim Cook.

Apple Leadership

Acknowledged as the World’s Greatest Leader by Fortune Magazine [2] , Tim Cook proved to be effective from various perspectives. Moreover, Tim Cook has been praised by employees for inspirational leadership and helping his subordinates to become a better human being. [3] The multinational technology company is parting with perfectionism and autocracy elements of leadership that had prevailed under Steve Jobs.

Apple leadership style integrates the following elements:

1. Democratic leadership style . In contrast to highly autocratic leadership style of Apple co-founder and late CEO Steve Jobs, the current CEO Tim Cook exercises and promotes democratic leadership. For Cook, it is important to build consensus among senior management regarding strategic decisions for the ebusiness. Moreover, since assuming the top role, Cook granted greater autonomy to new product development team, decreasing the direct participation of the CEO in new product development process.

2. “Quiet” leadership . Tim Cook has been praised for his quiet, yet effective leadership style. Nicknamed as “quiet leader” by some industry analysts [4] , Cook is totally different from his charismatic predecessor, Steve Jobs.

At the same time, Tim Cook is occasionally criticized by analysts and industry watchers for the lack of ambition and vigour, his predecessor Steve Jobs had. For example, according to a report by BGC financial services firm, “under Cook, Apple has been cautious about entering new product categories. The Apple Watch, launched in April 2015, is the No. 1 smartwatch, but overall sales have disappointed. Apple Music, which debuted in June 2015, has grown rapidly to 15 million subscribers, but it’s seen as a low-margin business.” [5]

Under late Steve Jobs the tech giant introduced a number of industry-changing iconic products and services such as iMac, iPod, iTunes, iPhone, App Store and iPad. His successor the current CEO Tim Cook, on the other hand, managed to launch only Apple Watch, iPad Mini and iPad Retina and  Apple TV Plus subscription service.

After the departure of Steve Jobs Apple stock price has enjoyed a compound annual growth rate (CAGR) of 25.8% over the 11-year period. However, no industry-changing new product such iPhone or iTunes were introduced during the same period. Some analysts associate this difference with lack of visionary leadership by Tim Cook.

Reliance on technical experts rather than general managers on decision making is an interesting principle of leadership of Apple. In other words, being competent in managing people and work processes and ability to meet numerical targets are not sufficient to be given decision making powers in key domains. There is logic behind this principle. The company operates in the industry where product life cycle is very short and the rates of technological change and disruption are high. There is no time to get thorough market feedback and market forecasts in new product development practices and Apple has to make bets which technologies, services and designs are likely to succeed.

Accordingly, the tech giant relies more on its technical experts compared to general managers even for strategic decision-making and most managers are experts. The company believes that it is easier to train experts to become managers than to train managers to become experts. Therefore, deep expertise in their function is a key requirement for managerial positions at Apple. Leadership practices at the company have been dubbed as ‘experts lead experts’ [6] .

Apple Inc. Report contains the above analysis of Apple leadership. The report illustrates the application of the major analytical strategic frameworks in business studies such as SWOT, PESTEL, Porter’s Five Forces, Value Chain analysis, Ansoff Matrix and McKinsey 7S Model on Apple. Moreover, the report contains analyses of Apple business strategy, organizational structure and organizational culture. The report also comprises discussions of Apple marketing strategy, ecosystem and addresses issues of corporate social responsibility.

apple leadership case study

[1] Yarrow, J. (2013) Apple’s New Organizational Structure Could Help It Move Faster, Business Insider, Available at: http://www.businessinsider.com/apples-new-organizational-structure-could-help-it-move-faster-2013-5

[2] Lashinsky, A (2015) “Apple’s Tim Cook leads different” Fortune, Available at: http://fortune.com/2015/03/26/tim-cook/

[3] Bort, J. (2015) “Apple’s HR chief: Working with Tim Cook ‘actually helps you to be a better human being’” Business Insider, Available at: http://www.businessinsider.com/apple-denise-young-smith-why-working-for-tim-cook-is-so-great-2015-7

[4] Bradshaw, T. (2013) “Tim Cook: Apple’s quiet leader” Financial Times, Available at: https://www.ft.com/content/1e4e3cf6-c232-11e2-8992-00144feab7de

[5] Seitz, P. (2016) “Apple Could Use New CEO Leadership, Analyst Suggests” Investor’s Business Daily, Available at: http://www.investors.com/news/technology/click/apple-could-use-new-leadership-analyst-report-suggests/

[6] Podolny J.M. & Hansen, M.T. (2020) “How Apple Is Organized for Innovation” Harvard Business Review, Available at: https://hbr.org/2020/11/how-apple-is-organized-for-innovation

apple leadership case study

Naresh Sekar

apple leadership case study

Apple’s Innovation Culture

apple leadership case study

Apple Inc. stands as a paragon of innovation in the technology industry, consistently delivering products that redefine markets and set new standards. Central to Apple’s success is its deeply ingrained culture of creativity and innovation, cultivated primarily under the leadership of Steve Jobs. This case study delves into the components and impact of Apple’s innovation culture, exploring how it has driven the company’s success and sustained its competitive edge.

Apple and Innovation - Claymation - Using bright colours - minimalist image - Smooth Image - with 3d Effects with light projecting from the top in a dark room

Background Information

Historical Context

Apple was founded in 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne. The company initially gained fame with the Apple II, one of the first successful mass-produced microcomputers. However, after a series of leadership changes and product flops, Apple struggled until Jobs returned in 1997, marking the beginning of a renaissance driven by a renewed focus on design and innovation.

Economic Factors

The late 1990s and early 2000s were characterized by rapid technological advancements and growing consumer demand for digital products. Apple capitalized on these trends by introducing innovative products that not only met but exceeded consumer expectations. This strategic alignment with market dynamics allowed Apple to secure a dominant position in the industry.

Detailed Timeline of Events

Early Innovations and Foundations

• 1976–1985 : Apple was founded and introduced the Apple I and Apple II, which became highly successful. The launch of the Macintosh in 1984, with its graphical user interface, set new standards for personal computing.

• 1985 : Steve Jobs resigns from Apple following a power struggle. The company enters a period of decline, marked by lackluster product releases and financial losses.

The Return of Steve Jobs and a New Era of Innovation

• 1997 : Steve Jobs returns to Apple as interim CEO. His return marks a pivotal moment, with a renewed focus on simplicity, design, and innovation.

• 1998 : The iMac is launched, featuring a distinctive design and user-friendly interface. It revitalizes the brand and brings financial stability.

• 2001 : Apple opens its first retail stores and launches the iPod, revolutionizing the music industry and setting the stage for future innovations.

The iPhone Revolution

• 2007 : The iPhone is introduced, redefining the smartphone market with its touch interface, App Store, and seamless integration of hardware and software.

• 2010 : The iPad is launched, creating a new category of portable computing devices and further solidifying Apple’s reputation as an innovator.

• 2011 : Steve Jobs resigns as CEO due to health issues, passing the leadership to Tim Cook. Jobs’s death later that year marks the end of an era.

Continued Innovation Under Tim Cook

• 2014 : The Apple Watch is introduced, marking Apple’s entry into the wearable technology market.

• 2015 : The iPhone 6 and 6 Plus are released, becoming some of the best-selling smartphones of all time.

• 2016 : AirPods are launched, revolutionizing the wireless earphone market.

• 2020 : Apple announces the transition from Intel processors to its custom-designed Apple Silicon chips for Macs, enhancing performance and efficiency.

• 2021 : The iPhone 13 series is introduced, continuing the legacy of innovation with advanced features and technologies.

Outcomes and Impacts

Short-Term Outcomes

• Market Leadership : Products like the iPhone, iPad, and MacBook have achieved commercial success and set industry standards.

• Brand Loyalty : Apple has cultivated a dedicated customer base, often referred to as “Apple enthusiasts,” who eagerly anticipate new product releases.

• Financial Success : Apple’s focus on innovation has translated into impressive financial performance, making it one of the most valuable companies globally.

Long-Term Outcomes

• Sustained Innovation : Apple’s culture of innovation continues to drive the development of new products and technologies, ensuring the company remains competitive.

• Industry Influence : Apple’s products have influenced not only consumer behavior but also the strategies of other tech companies, pushing the entire industry towards higher standards of design and functionality.

• Economic Impact : Apple’s success has had significant economic implications, including job creation and contributions to the global economy through its extensive supply chain.

Social and Economic Impacts

• Consumer Expectations : Apple has elevated consumer expectations regarding technology, design, and user experience.

• Technological Advancements : Innovations introduced by Apple have spurred technological advancements across various sectors, including mobile computing, entertainment, and health.

• Global Influence : Apple’s products and corporate practices have a global reach, impacting markets and consumers worldwide.

Lessons Learned

Key Takeaways

1. Visionary Leadership : Steve Jobs’s role as a visionary leader was crucial in shaping Apple’s culture of innovation. His ability to foresee consumer needs and drive creative solutions was instrumental in Apple’s success.

2. Design and User Experience : Apple’s emphasis on design and user experience has differentiated its products from competitors. Focusing on aesthetics and functionality has proven to be a winning strategy.

3. Continuous Improvement : Apple’s culture encourages continuous improvement and iteration, ensuring that products evolve with consumer needs and technological advancements.

4. Employee Empowerment : Empowering employees to think creatively and take risks has fostered an environment where innovation thrives.

Implications for Future Practice

• Investing in Talent : Attracting and retaining top talent is essential for fostering innovation. Companies should invest in creating environments that encourage creativity and collaboration.

• Balancing Vision and Execution : Successful innovation requires a balance between visionary ideas and practical execution. Companies should focus on turning innovative concepts into tangible products.

• Adapting to Change : The tech industry is dynamic, and companies must be willing to adapt to changing market conditions and consumer preferences to remain competitive.

• Sustaining a Culture of Innovation : Maintaining a culture that values and rewards innovation is crucial for long-term success. Companies should continually nurture their culture to support ongoing creativity.

Apple’s journey under Steve Jobs and beyond is a testament to the power of a strong innovation culture. By fostering creativity, prioritizing design, and continually pushing the boundaries of technology, Apple has maintained its position as a leader in the tech industry. The lessons learned from Apple’s experience provide valuable insights for other companies striving to achieve similar success. Through visionary leadership, a focus on design and user experience, continuous improvement, and employee empowerment, Apple has set a blueprint for innovation that can inspire organizations worldwide.

If you’re eager to expand your knowledge and enjoy a case-study-based approach, you might find the book series “ Management In Action ” interesting. Since I firmly believe that the pursuit of knowledge should never be limited by financial constraints, you can access all my content for free on my Substack account .

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Apple’s Company Culture: An Organizational Analysis

Apple company culture, organizational culture, cultural traits, information technology, consumer electronics business analysis case study recommendations

Apple’s organizational culture is a key factor in the continuing success of its business. The consumer electronics company’s organizational or corporate culture establishes and maintains the business philosophy, core values, beliefs, and related behaviors among employees. This business analysis case shows that Apple has a work culture that motivates human resources to support strategic objectives for competitiveness. For example, the company’s cultural traits are aligned with the drive for innovation, which is a major factor that determines business competitiveness in the information technology, online services, and consumer electronics industries. With this company culture, business operations facilitate the fulfillment of Apple’s mission and vision . Through the leadership of Tim Cook, the company continues to enhance its cultural characteristics to maximize human resource support for business relevance in various markets around the world. Apple shapes its business culture and uses it as a tool for strategic management and multinational business success.

Apple’s company culture strengthens competitive advantages over other firms in various industries. The company’s products compete with the consumer electronics and online services of Google (Alphabet) , Samsung , Microsoft , Amazon , and Sony . Also, Apple TV Plus competes with the video streaming services of Disney , Facebook (Meta) , and Netflix . These competitors impose a strong external force that influences strategic management among firms in the industry, as illustrated in the Five Forces analysis of Apple Inc . As a result, cultural traits must reinforce the iPhone maker’s business competitive advantages through its workforce. It can be argued that Apple partially achieves this strategic objective through the effects of its organizational culture on workers’ behavior and job performance.

Apple’s Culture Type and Traits

Apple has an organizational culture for creative innovation . The company’s cultural features focus on maintaining a high level of innovation that involves workers’ creativity and a mindset that challenges conventions and standards, such as in consumer electronics design. Apple’s IT business depends on cultural support and coherence, which are determinants of competitiveness and industry leadership, especially in addressing aggressive and rapid technological innovation and product development. The following are the main characteristics of Apple’s culture:

  • Top-notch excellence
  • Moderate combativeness

Top-notch Excellence . Apple’s organizational culture comes with a human resource policy of hiring only the best of the best in the labor market. Steve Jobs was known to fire employees who did not meet his expectations. This tradition continues under Tim Cook. Such a tradition maintains and reinforces a company culture that promotes, appreciates, and expects top-notch excellence among the technology company’s employees. This cultural trait is also institutionalized in Apple’s organization. For example, the company has programs that recognize and reward excellence among workers in software design. Excellence is emphasized as a critical success factor in the business, especially in product design and development, which is a major growth strategy described in Apple’s competitive strategy and growth strategies .

Creativity . This cultural trait pertains to creating new ideas that help improve the technology business and its products. Apple’s management favors creativity among employees’ knowledge, skills, and abilities. This characteristic of the work culture enables the company to ensure sufficient creativity, especially among employees involved in consumer electronics product design and development processes. Creativity is observable in the design and features of iPhones, Macs, iPads, and other products included in Apple’s marketing mix (4Ps) . Along with creativity, originality is also culturally emphasized as a way of maximizing the company’s intellectual properties, such as patents for new mobile devices. In this regard, the organizational culture helps maintain Apple’s capacity to satisfy and exceed customers’ expectations and preferences.

Innovation . Apple’s company culture supports rapid innovation. The technology business is frequently appraised as one of the most innovative companies in the world. Based on this cultural trait, Apple trains and motivates its employees to innovate in terms of individual work performance and idea contributions for product development, design, and other processes. The work culture facilitates rapid innovation, which is at the heart of Apple’s operations management . Rapid innovation ensures that the company continues to introduce new products that are profitable and attractive to target customers in the global consumer electronics and Internet services market.

Secrecy . Apple has a secretive organizational culture. This cultural characteristic defines the MacBook maker’s human resource development and management practices. Secrecy is part of the company’s strategy to prevent theft of proprietary information or intellectual property, such as designs for the next generations of the iPhone. It is also a strategic management approach that enables Apple Inc. to maximize its leading edge against competitors. Through the company culture, employees are motivated and expected to keep business information within the technology business organization. This cultural trait is reinforced through Apple’s organizational structure (business structure) and related policies, rules, and employment contracts that prohibit the disclosure of information, such as technological breakthroughs in the company’s consumer electronics. In this context, Apple’s work culture helps protect the business from corporate espionage and the negative effects of employee poaching.

Moderate Combativeness . Apple’s company culture has moderate combativeness. This feature is linked to Steve Jobs and his combative approach to leadership. He was known to randomly challenge employees to ensure that they have what it takes to work at Apple. Today, under Tim Cook’s leadership, the company has been changing its corporate culture to a more sociable and a less combative one. Nonetheless, combativeness remains a major influence in the technology business. Apple’s business culture exhibits a moderate degree of combativeness that presents challenges that motivate employees to enhance their output.

Apple’s Organizational Culture: Advantages, Disadvantages, Recommendations

Advantages and Benefits . The combination of top-notch excellence, creativity, and innovation in Apple’s organizational culture supports the company’s industry leadership. The business is widely regarded as a leader in terms of innovation and product design, especially in consumer electronics. These cultural characteristics empower Apple and its human resources to stand out and stay ahead of competitors. This company culture enables success and competitive advantages, as well as the further strengthening of the company’s brand, which is one of the key business strengths shown in the SWOT analysis of Apple Inc . Creativity and excellence are especially important in the company’s rapid innovation processes for continuous competitiveness and business development despite aggressive competition with Samsung and other firms.

Drawbacks and Weaknesses . Apple’s corporate culture brings challenges because of the emphasis on secrecy and the moderate degree of combativeness. An atmosphere of secrecy can limit rapport among workers, while moderate combativeness has the potential to limit or reduce employees’ morale. These cultural issues can reduce business effectiveness and increase employee turnover. Apple Inc. can address this situation by modifying its organizational culture to reduce combativeness, but not necessarily remove it. This recommendation focuses on reducing the disadvantages of combativeness, without eliminating the benefits of combative approaches in the technology company’s operations. Also, Apple can integrate new cultural traits to keep the business relevant, given trends and changes in the information technology, cloud services, digital content distribution, and consumer electronics industries’ environment.

  • Choi, Y., Ingram, P., & Han, S. W. (2023). Cultural breadth and embeddedness: The individual adoption of organizational culture as a determinant of creativity. Administrative Science Quarterly, 68 (2), 429-464.
  • Apple Inc. – Inclusion & Diversity .
  • Apple Inc. – Life at Apple .
  • Apple Inc. – Work at Apple .
  • Dyer, C. (2023). The Power of Company Culture: How any business can build a culture that improves productivity, performance and profits . Kogan Page Publishers.
  • Zhang, W., Zeng, X., Liang, H., Xue, Y., & Cao, X. (2023). Understanding how organizational culture affects innovation performance: A management context perspective. Sustainability, 15 (8), 6644.
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LEADERSHIP CASE STUDY: STEVE JOBS (APPLE)

apple leadership case study

Steve’s Jobs journey to become Apple CEO

Steve Jobs was not a natural born CEO. As a hippie, without a formal higher education, with specific personality and high work expectations, he was not seen as a candidate to lead Apple, the company he created. After the first 10 years in the company he was fired. Apple did not want to give him a chance to run the company. They believed he was not ready. He had to leave to do his homework, to focus on developing his leadership, finance and communication skills. He was looking for freedom to play with innovation without any limits or boundaries. His CEO university in NeXT lasted 10 years. When he came back to Apple he knew how to lead the business, how to talk to people, how to communicate with customers, how to create the most valuable brand in the world.

“Start up” (1976 – 1986)

Steve Jobs and Steve Wozniak, friends from high school, founded Apple in 1976 with an idea to build personal computers. It was a start up, no office, no team, no money. What they had it was an idea only that their products will change the world. Wozniak was the engineer and Jobs was the vision-idea man who kept an eye on the business.

From the beginning Apple key principle of all activities was an innovation which was supposed to distinguish between a leader and followers. First computer, The Apple One, was launched in 1976. With the price of USD 666.66 they sold 200 pieces. In 1977 they launched the Apple Two. It was an innovation, single board computer with a colour (!) video interface and with onboard ROM station. After the success of the Apple Two they continued launching innovating products. In 1984 Apple put on the market another innovation. They launched the Macintosh computer which had 128k of memory and it was expandable. The Macintosh had a mouse which was used for personal computers for the first time and had a new graphical used interface. It was the most innovative and revolutionary personal computer in 1984.

Neither Jobs nor Wozniak had an experience in running a company. One of Apple’s earliest investors and employees, Mike Markkula, had an idea to hire an external CEO. They brought Michael Scott he was Apple’s first CEO and led the company until 1981 when Apple’s IPO was executed.  In 1981 Markkula became the CEO for 2 years. In 1983 Jobs headhunted John Sculley, PepsiCo CEO, not knowing that it will be a reason of him leaving Apple in a few years time. That time Jobs wanted to be Apple’s CEO but this idea was not supported by the Board of Directors. Key problem was Jobs’s leadership and working style. During his time in Apple he earned a reputation for being difficult leader, manager and co-worker. His attention to details, open and straight communication style were reasons for many tough discussions and arguments. All that escalated in 1985. Apple launched another innovation. It was Lisa, the first-ever computer with a graphical user interface (GUI). GUI is a form of user interface that allows users to interact with a computer via icons and not via text based user interfaces. It is popular nowadays, but in 1985 it was a technical revolution. However not every technical revolution translates directly into sales. It was the case with Lisa, it was a total flop sales-wise. Apple was not able to win the PC market controlled fully by IBM. They were loosing and business was not profitable. Sculley took a decision to remove Jobs from the Macintosh project. Jobs decided to fight against this decision and went directly to the Board of Directors. Unfortunately for Jobs the Board supported Sculley. What happened next is a mystery. There are two scenarios. Jobs claimed that he was fired from Apple and Scully said that Jobs put his resignation which was accepted. He lost the power fight  with Sculley and had to go.

First decade of Apple was a constant flow of innovative products which were gaining the market but still not able to compete with IBM.

Apple struggled to find a suitable CEO as they had six. Jobs had an ambition to become CEO but nobody in the company supported it. He had to do his homework outside the company he created.

“Homework” (1986 – 1997)

After Jobs left Apple he sold some Apple stock and founded another technology company – NeXT. He wanted to create a company which will design the next generation of personal computers. A few people left Apple together with Jobs and they designed innovative and technologically developed computers. The problems was that NeXT’s computers were very expensive and sales were slow. From business perspective NeXT was a failure. From Jobs’s perspective it was a time when he could work on own ideas without any limitations. The NeXT team developed an operating system based on Unix and many others innovations which were implemented in their products.

After Jobs left Apple, Scully went full steam into execution of own strategy. The company introduced a new operation system – the System 7. The system allow to bring colours to Mac first time. They also launched the PowerBook laptop. With few other innovations and new products Apple started to lose focus and experienced some new products which did not impress the market at all. Sculley’s biggest mistake was not having a processor which could compete with competition like Intel. Intel’s products were more popular and hence cheeper. Mac prices were too high. Apple was not able to deliver earnings projections and Sculley had to go. He was succeeded by Michael Spindler who was the Apple employee. He lasted 3 years and had to go after a failure to acquisition talks with IBM, Philips and Sun Microsystems. Yes, you are not overhearing, Apple was on a market, but nobody wanted to buy it! In 1996 Spindler was replaced Gil Amelio who had a controversial idea of acquiring NeXT. He did not know that he was asking for his termination letter. In early 1997 Apple bought NeXT for USD 429 million. The transaction was supposed to put Apple’s innovation back on track. In June 1997, an anonymous investor sold 1.5 million Apple shares. Due to this massive order Apple shares reached a 12-year low. It was too much to the Board of Directors. They decided to let Amelio go and to appoint Jobs as interim CEO. The company was in a bad position. A broad range of different products generated losses. They were losing against competition.

Jobs was waiting for this moment for 10 long years. His leadership homework at NeXT was about to end. 10 years of exile tested his patience and gave him an opportunity to do business his way. He had an opportunity to design innovative products and operating systems. He pushed for a perfection and innovation to create products which would revolutionised the market. He learned politics as well. After some time, Jobs confirmed that it was he who put that 1.5 million Apple shares. His intention was to create an external pressure on the Board. He was ready to his second chance in Apple.

Apple CEO (1997 – 2011)

From the moment when he was appointed as interim CEO, Jobs started implementing changes. First, he broad a new executive committee. Innovation work on computers, systems and different tools, they did in NeXT, was put into reality and gave an adrenaline shoot to Apple. In 1998 Apple launched iMac which won the market. Step by steps the situation in the company started to improve. In 2000 Jobs became a permanent CEO. Under a new Jobs leadership Apple was changed into an innovation machine. They developed and marketed many innovative products and services. Each of us knows it best: iPhone, iPod, iPad, iMac, iWatch, AppStore and iTunes shaped the market and pushed people to queue for hours in front of Apple stores on release day. Via creation of Apple Stores they revolutionised street shops as well. There was no shop with counters and cashier anymore. Innovative, new, fresh shopping experience with Apple boosted sales. Once they focused on innovative products they did not forget about finances. Jobs implemented tools and controls to keep costs under control. It had a massive impact on business profitability. Jobs knew that this is what shareholders were looking for. In 2005 Apple net income was USD 1.3 billion. In 2007, when the first iPhone was launched, net income achieved USD 3.5 billion. From that moment if going north. In 2018 Apple’s net profit achieved his highest, USD 59.5 billions. The value of the company reached USD 1.4 trillion and made Apple to most valued company in the world.

Steve Jobs died in 2011. He was the most inspirational CEO. Apple under his leadership created products which changed our lives. He created a powerful brand – Apple.

His journey to become CEO was long and challenging. Passion and believe kept him on a course to achieve his dreams.

More leadership case studies below:

LEADERSHIP CASE STUDY: ELON MUSK (TESLA, SpaceX, TWITTER)
HOW CURIOSITY BOOSTS PERSONAL GROWTH
REVITALIZE YOUR MIND BY TAKING A NAP!

https://every-day-development.com/2023/01/20/top-5-blog-posts/

HOW TO WORK SMARTER NOT HARDER
LEADERSHIP CASE STUDY: EMMA WALMSLEY (GSK)

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Dr John Sullivan Talent Management Thought Leadership

Talent management lessons from apple: a case study of the world’s most valuable firm (part 1 of 4).

September 12, 2011

This past August Apple became the most valuable corporation in the world based on market capitalization, surpassing every firm in the technology industry and every other industry! As a consumer products company, its prolonged growth spurt is even more amazing because it has continued through economic times when consumers are reluctant to spend what little they have. Considering that Apple was near bankruptcy in 1997, its story is both extraordinary and noteworthy.

The extraordinary valuation is not a result of 30+ years of stellar performance. Apple has failed at many things. Its success isn’t the result of access to special equipment, manufacturing capability, or a great location, but rather superior leadership, access to great talent, and unusual talent management approaches.

Almost everyone in business is aware of Apple’s amazing product success and the extraordinary leadership of Steve Jobs. Some authors have described the firm’s approach to HR, but few have analyzed the firm close enough to identify  why the approaches work. Visits to the headquarters and interviews with HR leaders convinced me that there are lessons to be learned from this company. After two decades of researching and analyzing Apple’s approach to talent management, I have compiled a list of the key differentiators.

Apple Talent Management Approaches to Emulate

This three-part case study covers the many talent management factors that contributed to Apple’s extraordinary success in workforce productivity and innovation. It does not focus on the many important things that Steve Jobs did at Apple, because such things are not easily copied by others. It also focuses primarily on the approaches used within Apple’s corporate facilities versus those of Apple’s retail operations.

Agility Allows for Innovation into Completely New Areas

Many firms develop the capability to dominate their industry. Procter & Gamble, Intel, and Toyota are excellent examples. Apple is in a different league, however, because it has demonstrated the ability to shift into and dominate completely new industries every few years. For most of its history, Apple was a computer company (and its name used to be Apple Computer), but in the last decade Apple tackled the music industry with the iPod device and iTunes distribution channel. Next Apple conquered and dominated the smartphone industry with the iPhone and “App Store.” Most recently Apple challenged the PC as we know it and is in the process of disrupting the publishing industry. This ability to successfully shift from one industry to another in a few short years is known as agility. In my book, even wildly successful firms like Google, Facebook, Toyota, or Procter & Gamble can’t come close to matching Apple’s agility track record.

A great deal of Apple’s agility comes from the direction and vision of its senior leadership and its corporate culture, which reinforces the need to get ready for “the next big thing.” While Apple looks for agility in talent, the real key to Apple’s agility occurs post onboarding. At Apple, there is a cultural expectation that after succeeding in one task, you will immediately move on to something completely different. You know that you will have to retool and learn quickly. The expectation of radical change eliminates resistance and sends a message that employees can’t rest on their laurels. That means that they must mentally prepare for (and even look forward to) the next extraordinary challenge, even though you will get almost no “career path” help in determining which is the next best challenge for you. Apple employees work in numerous disconnected team silos, competing against one another with little or no foresight into the purpose or intended use date of their work.

The rapidly shifting work load means than an employee bored with their work won’t be for long because the work and the focus will change, a major attraction factor that brings in recruits desiring the challenge of radical change. Looking at the big picture, Apple’s ability to move into and dominate completely unrelated industries is only possible because of its extraordinary talent, the way that it manages it, and its approach to building an image that attracts the new skills needed to successfully move into completely new product areas.

A “Lean” Talent Management Approach Contributes to Extraordinary Productivity

Most firms strive to have a productive workforce. One of the best ways to measure workforce productivity is revenue per employee. Apple produces what can only be considered extraordinary revenue per employee; $2 million. A second measure of workforce productivity is profit per employee: nearly $478,000 for Apple (unbelievable considering it has a retail workforce).

If you are familiar with the concept of lean management, then you’ll understand the prime drivers for Apple’s extraordinary employee productivity. For years, the leadership of Apple has followed the philosophy that having less is more, meaning that by purposely understaffing and operating with reduced funding, you can make the team more productive and innovative.

Innovation at most firms is expensive because you must pay for a lot of trial and error. The lean approach, however, can improve innovation because with everything being tried, there simply isn’t enough time or money for major misses and re-do’s. “Unrealistic deadlines” at Apple mean that you have to get project problems solved early on, because there isn’t time to redo things over and over. Being lean forces the team to be more cohesive. Even providing a lean schedule forces everyone to be productive because they know there is no room for slippage. At Apple, the lean approach means that even with its huge cash resources, every employee must adopt the mentality of leanness. If you understand the lean concept and its advantages, you shouldn’t be surprised that numerous innovations have been developed in “garages,” the ultimate lean environment.

Build and Reinforce a Performance Culture

Any business analysis of Apple will reveal its laser focus on producing industry-leading results. While some feel the performance emphasis comes solely from Steve Jobs, the “performance culture” is continually reinforced by operational processes and practices. For example, having stock as a primary motivator forces employees to focus on the performance of the company and its stock. The rewards and recognition programs at Apple don’t include a component for effort or trying — only final results. Rather than celebrating numerous product milestones, only the final product unveiling is worthy of a major celebration.

A performance culture requires significant differentiation based on performance, and it’s clear that in this culture, the top performers and those who are working on mission-critical products are treated significantly differently. In fact, current and former employees frequently complained about the special treatment given to those designated as the “top 100 most important employees.”

Treating top performers differently may cause some employees to be disgruntled, but treating all employees exactly the same will frustrate your high-impact top performers and cause them to leave. Functions receive different funding also, based on their potential impact. Overhead functions that don’t directly produce product (i.e. HR) are often underfunded compared to product producing functions like engineering and product design.

Although there is certainly politics at Apple (where marketing seems to rule), having a degree from a prestigious school or past success on other products won’t get you far in the highly competitive culture at Apple. Jobs has no degree at all. The internal competition is fierce (even though they don’t know what other teams are doing) to develop or contribute to the most-talked about feature for the next WOW product.

Rather Than a Work/Life Balance, Emphasize the Work

Numerous HR functions proudly and prominently push work/life balance. Like them, Apple is proud of its long-established culture. You won’t find the term “balance” anywhere on the career site; instead, Apple makes it clear it is looking for extremely hard-working and committed individuals. On the website, for example, it proudly states: “ This isn’t your cushy corporate nine-to-fiver .” It reinforces the “hard work” message several times, including “ Making it all happen can be hard work. And you could probably find an easier job someplace else. But that’s not the point, is it ?

And: “ We also have a shared obsession with getting every last detail right. So leave your neckties, bring your ideas .”

If you don’t care about getting every precise detail perfect, great work, and a lot of it, Apple makes it crystal clear that this is not the place for you.

Next week: Part 2 — more talent management approaches to copy and learn from.

Talent Management Lessons From Apple … A Case Study of the World’s Most Valuable Firm (Part 2 of 4)

In Part 2 of this case study on Apple’s talent management practices, I look at its approach to innovation, compensation, and benefits, careerpathing, and online recruitment (its career site). Some approaches discussed are unique to sub-factions within Apple, as would be expected in any organization of significant size. It’s also quite rare for organizations that design, manufacture, and sell through direct retail to have consistent approaches across all units.

Talent Management Lessons To Learn and Copy (continued)

You should not be surprised to learn that the firm that made the term “think different” a brand uses talent management approaches that are well outside the norm. In addition to  the lessons presented in Part 1 , some approaches other firms can learn from Apple include:

Career paths reduce self-reliance and cross-pollination  — in most organizations, HR helps to speed up employee career progression. The underlying premise is that retention rates will increase if career progression is made easy. The Apple approach is quite different; it wants employees to take full responsibility for their career movement. The concept of having employees “own their career” began years ago when Kevin Sullivan was the VP of HR. Apple doesn’t fully support career path help because it doesn’t want its employees to develop a “sense of entitlement” and think that they have a right to continuous promotion.

Apple believes career paths weaken employee self-reliance and indirectly decrease cross-departmental collaboration and learning. Absent a career path, employees actively seek out information about jobs in other functions and business units. In a company where creativity and innovation are king, you don’t want anything reducing your employee’s curiosity and the cross-pollination between diverse functions and units. Automatically moving employees up to the next functional job may also severely narrow the range of internal movement within the organization, which could reduce the level of diverse thinking in some groups.

Create and manage a culture of innovation  — most firms have a culture with a singular focus on one attribute like performance, quality, customer service, or cost-containment. Apple is unique in that it has two dominant cultural attributes that exist side-by-side. The first (discussed in part one) is “performance,” with the second being “innovation”; the latter may actually be the strongest of the two. The dual emphasis works at Apple because the firm operates in the consumer technology field, where there is a universal expectation for “disruptive” performance.

Producing $2 million-plus in revenue per employee certainly establishes Apple as a performer, but it is its industry-dominating product innovation that differentiates it from competitors like HP, Sony, Microsoft, and IBM. Three factors drive the innovation attribute, including the expectation of continuous innovation, extreme secrecy within the product development process, and continuous brainstorming/challenge meetings (even at play just days before a product launch).

“I expect a pony”

Apple’s culture of innovation is unique because the goal is to produce a “pony, not a real horse but instead something so desirable that everyone wants it and considers it ‘gorgeous.’” Simple evolution doesn’t cut it — only extraordinary industry-leading innovation that results in WOW products does. To accomplish that, Apple doesn’t do what most consumers assume it does. Instead of developing completely new industry technologies, Apple takes existing technologies and then bundles numerous small developments on top to produce what appears to the public as giant step forward. It takes a powerful culture and group of managers to delay taking great work public faster, but Apple knows that numerous small releases don’t produce the same media and consumer buzz.

The expectation of innovation permeates the culture

The expectation of innovation is driven by Apple’s history of innovation, its leaders (who forbid the use of “that’s not possible”), and the peer pressure among employees to be among the contributors to the final product that the customer sees. In order to generate this expectation of innovation, it doesn’t rely on posters or motivational slogans (although they have those too …  around here, changing the world just comes with the job description ). Instead, every communication, process, product launch event, and even advertising slogans ( Think Different, Imagine the Possibilities, Here’s to the crazy ones. The misfits. The rebels. Etc. ) make it crystal-clear that innovation is at the heart of Apple’s success. Innovation has driven Apple’s past and current successes, and it will continue to drive future success. After walking in the door of the corporate offices in Cupertino, California, you can literally “feel” the expectation to innovate.

Secrecy drives internal competition

The second critical driver of innovation is the product development process. This innovation process is unique in that it doesn’t rely on a formal “ideation” type model; instead, it has been described as an “iteration” process energized by peer competition and Apple’s famous siloed/secret approach to teams. Apple does many things using small development teams, as many firms do, but doesn’t rely on a single team to design each product element. Multiple teams may be assigned to the same area (or they may accidentally wander into the same area). The approach has been called 10 to 3 to 1 because 10 teams may work on a product area independently. When work is ready for review a formal peer review, it will whittle 10 mockups to three and eventually down to one. It is an approach that is unique to Apple. Outsiders may consider it expensive and slow, but they can’t argue it isn’t effective.

Apple is well known for its obsession with secrecy in order to heighten the impact during a product release. Secrecy is also the most unique element in its innovation process. In order to maintain secrecy, development and design teams are intentionally siloed. As a result of these communication barriers, team leaders may not be initially aware of how many teams they’re competing against and what those other teams are working on. The level of open collaboration that you might find at other firms like Google is not possible under this process, but neither is early-stage groupthink. Once possible feature solutions move forward to peer review, the organization benefits from broader scope best-practice sharing and collaboration. While it may seem counterintuitive, Apple has turned “team silos” that would be a negative factor at most firms into a positive force.

Paired design meetings force free-thinking to continue until the end of the design

Another element of the design and innovation process is the holding of weekly “paired design meetings.” Every design team is expected to hold two meetings each week. The first is a traditional production meeting where small refinements are discussed and made. The second is a “go crazy” meeting, in which everyone brainstorms and uses free-thinking to scope out parameters. Most organizations stop these brainstorming meetings once the design parameters are clear, but Apple continues them long into the development cycle to guarantee that completely new ideas will constantly raise the innovation bar.

The talent management lessons to learn in the area of innovation include the concept that intense competition may produce innovation faster than any formal ideation process. In addition, peer vetting of ideas, delaying collaboration until toward the end of the development process, and requiring the continuous use of brainstorming processes may result in bolder innovations and higher levels of risk-taking.

Tying economic rewards to overall company success can reduce selfish behavior  – You won’t find anyone who will publicly argue that Apple pays well with regard to base compensation. Economic rewards at Apple are significant, but largely tied to the company’s valuation. The primary monetary motivator at Apple is “the opportunity for wealth creation” as a result of stock ownership. Most employees at Apple get periodic stock grants to reward their contribution. By putting the focus on the stock, they send every employee a clear message that individual accomplishments are important only if they directly contribute to the overall success of the company. This approach, coupled with the firm’s famous “product focus,” keeps everyone focused on product success rather than individual results and individual rewards. Individual rewards are provided based on performance and consist of stock grants and cash bonuses up to 30% of base salary. Apple’s retail employees also have stock opportunities. They are paid on an hourly basis and do not receive a sales commission.

Benefits and even pay play a secondary role in recruiting and retention — at Apple, the primary long-term attraction and retention factors are stock growth and exciting work. Because of the importance of these two factors, its message on benefits is clear. If you’re doing the best work of your life and having a major impact on the world, do you really need sushi in the cafeteria? (It has that also.) Although most talent competitors to Apple spend huge amounts of money on benefits, Apple’s offerings are spartan when compared to Google, Facebook, and Microsoft. While Apple’s health plan is well-funded, and it has good food and an on-campus gym, neither the food nor the gym is free. One perk that does excite potential applicants (especially in retail) is the employee discount on Apple products which is given to every employee. These discounts further support and reinforce Apple’s companywide emphasis on the product.

Your corporate jobs website should boldly inspire  — because the primary goal of most corporate career/jobs websites is simply to provide company and job information to potential candidates, most corporate job pages are chock-full full of information. Apple’s website is lean on information but strong on inspiration. As a result, after exploring the site, the potential applicant comes away inspired rather than with a pile of information about the company.

There are two categories of inspirational messages on the site, and each one is bold. The first group of corporate messages makes it clear that Apple is “anti-corporate.” In fact, the first bold headline you see is “ corporate jobs, without the corporate part .” They also highlight what they are proud  not  to have including  endless meetings, being bureaucratic, having executive perks and managers wearing suits . Instead they boldly tell you “ don’t expect business as usual .”

The second category of inspiration on the website concentrates on openness, innovation, and changing the world. Key phrases include “ open minds, collaboration, and of course innovation .” You will also find the phrase “ there’s plenty of open space — and open minds ” (obviously perfect sentence structure isn’t a high priority either). Finally, they promise to “ give you a license to change the world ” and “ be inspired .”

Its focus on inspiration is so strong that for a tech firm, there is a surprising  lack of technology-speak on the page . You will not find blogs, videos, or any mention of Apple’s availability on Twitter or Facebook easily. When it comes to mobile access, the site will render fine on the latest smartphones, but receives a 1.51/5.0 with regard to meeting mobile standards. If you visit the site, you might even find links that don’t work and features that load very slowly. What you will find is inspiration — loads of it.

I’ll leave you with this introductory statement from its career site:

“There’s the typical job. Punch in, push paper, punch out, repeat. Then there’s a career at Apple. Where you’re encouraged to defy routine. To explore the far reaches of the possible. To travel uncharted paths. And to be a part of something far bigger than yourself. Because around here, changing the world just comes with the job description.”

Next week,  Part 3:  Employer branding, recruiting, retention, and other talent management approaches to copy and learn from.

Talent Management Lessons From Apple… A Case Study of the World’s Most Valuable Firm (Part 3 of 4)

Want to impress your CEO? Few CEOs wouldn’t mind having the innovation track record of Apple, so there is probably no quicker way to become an “instant hero” then by learning how Apple’s talent management practices have contributed to its success and applying those practices relevant to your organization. In this installment of the case study, we’ll look at internal branding, employer branding, and recruiting.

Internal Brand Encourages Fighting the Status Quo

Steve Jobs and the management team at Apple have worked tirelessly to build a unique internal brand image at Apple that positions employees (at least mentally) as revolutionaries and rebels. Many years ago the organization influenced this internal brand by challenging employees to think how much more exciting it would be to be a pirate, rather than someone who followed the formal protocol of the regular Navy. It even flew a pirate flag over its corporate headquarters. The tradition of being revolutionaries is upheld even today with many supportive slogans including “Part career, part revolution.”

Apple is well known for using T-shirts, parties, and celebrations to build cohesion and to reinforce the internal brand as a ragtag group of revolutionaries. By getting employees to view their role as attacking the status quo, it helps to spur continuous and disruptive innovation. It has been successful in maintaining that internal brand image despite the fact that the top-down approach and intense secrecy run counter to its hatred of bureaucracy and all things “too corporate.” The external image further supports the internal brand.

You Can Have a Strong External Employer Brand Without an Employer Branding Program

Many among us dream of working at Apple, but unlike Google and Facebook, it’s pretty difficult to find out what it’s actually like to work there. A quick search on the Internet reveals that apart from a few alumni, most who have roamed the halls are pretty tight-lipped about their experience. While that silence is probably largely driven by Apple’s widespread use and vigilantly enforced non-disclosure agreements, even the corporation itself is relatively mum. You won’t find a great deal of employment advertising or find the Apple name on any one of a dozen or more best-company-to-work-for lists covering the technology sector, even though competitors like Google, Microsoft, and Intel are regularly listed.

Despite the silence, most would agree that Apple has a great “employer brand image”; Universum ranks Apple No. 10 among global engineering companies. The lesson to be learned is simple: use management practices that support your desired brand and elaborate brand management work will be unnecessary. Get your potential applicants to admire your firm for who and what the firm does by being the admirable firm.

Your Product Brand Should Serve Double-duty as Your Employer Brand

Instead of spending millions on building an employer brand, Apple lets its product brand do all the talking. Apple works hard on building and maintaining its product brand, which is ranked as  the #1 global brand  according to BrandZ ranking. Although product brand messages are intended primarily for customers, the messaging which emphasizes innovation and thinking differently also hasa major impact on potential applicants and employees. The logic is that if your organization lives up to its product promises, then it is natural to expect that the company’s jobs would also live up to the firm’s brand promise. In their minds, potential applicants make the connection between great products and a great place to work. In addition, because Apple’s products are talked about by everyone, there is a lot of brand association power lauded on those who work at Apple.

This public awareness and admiration can, coupled with a strong employee referral program, make generating a high volume of quality applicants easy. That same attention and curiosity will also enhance a firm’s retention rates because your employees will realize that the public sees them as collectively changing the world. Having employees believe that they are likely doing “the best work of their lives” is a powerful situation that most companies can’t easily mimic.

Being a Most-admired Firm May Be Enough

Apple does receive some notoriety in the press as the world’s  “most admired firm.”  In fact, Apple has been No. 1 for four years running on the list. That is an amazing feat. Apple dominates this list by being ranked first in eight out of the nine possible ranking factors. Those eight categories include factors that impress potential applicants, including people management, quality of management team, innovativeness, and social responsibility. The most admired list is based on the perceptions of business people and executives, something that Apple excels at managing. Having your firm admired garners enormous publicity in addition to increasing employee pride, engagement, and retention. The lesson to be learned by other firms is that if you don’t offer great benefits (which Apple doesn’t) you can get the same or even larger impact if you manage the perceptions of executives at other firms.

We want our people to be on the leading edge, so that everyone wants them… and then we must treat them right so they will stay, no matter what offers come along! – Apple Senior Manager

Aggressively Recruit the Best From Other Firms

The pirate-raiding mentality at Apple certainly carries over into recruiting. Apple has a long history of recruiting away top talent from other firms. In fact, the development of its iPod probably wouldn’t have occurred if it wasn’t for importing external talent from firms that didn’t appreciate the value of this new technology. Steve Jobs himself has been known to get directly involved in recruiting top talent. Apple has a top-grading type philosophy in that it targets top performers. Jay Elliot, its former VP of HR, cites one of Apple’s core principles as: ”Always… hire the best  ’A’ people. As soon as you hire a B, they start bringing in Bs and Cs.”

Apple’s recruiting approach is evolving because it has recently imported a team of recruiting leaders from Electronic Arts, but historically, despite the aggressive philosophy, its recruiting methods were pedestrian. It uses job boards and has an employee referral program that has paid up to $5,000, but its candidate experience is far from perfect. Glassdoor users rate Apple interviews 3.0/5.0 with regard to difficulty. Its college recruiting effort isn’t exceptional, with the exception of using recent college hires to help recruit the new crop. The key lesson for other firms to learn is that you can generate huge volumes of high-quality applicants if your firm is highly admired and if potential employees believe that they will be working on leading-edge products that everyone will be talking about.

In the retail group, there are two notable recruiting practices. The first has been the naming of the “ Genius Bar ,” where technical support is provided. Many applicants and employees in the retail area seem to be willing to put up with the relative drudgery of retail work simply for the opportunity to someday work their way up to becoming certified as a “genius.” The second is the use of employee referral cards that are well-designed and powerful. They reinforce the companywide focus that originated with Steve Jobs on recruiting the best from other firms. Recruiters and employees who witness great customer service at other retail and customer service outlets hand the card to those few individuals who provide impressive service. The front of the referral cards say “You’re amazing. We should talk.”

The back praises the individual and their work with a near perfect narrative … “ Your customer service just now was exceptional. I work for the Apple store and you’re exactly the kind of person we’d like to talk to. If you’re happy where you are, I’d never ask you to leave. But if you’re thinking about a change, give me a call. This could be the start of something great .”

Next week,  Part 4 : Apple’s approach to training and development, management, leadership, and other difficult-to-categorize talent management lessons to learn from.

Talent Management Lessons From Apple… A Case Study of the World’s Most Valuable Firm (Part 4 of 4)

The purpose of this case study was not to say that you should copy everything Apple does, but rather to point out that with relentless execution and focus on key factors even a firm near bankruptcy can fight its way back to the top. In 13 years Apple has transformed itself from an organization of the verge of collapse to the world’s most valuable firm, amassing a phenomenal innovation record in the process. While Apple’s approach wouldn’t work for every firm, there are lessons to be learned that can influence program design regardless of industry, firm size, or location.

In part 4 of this case study (here’s parts  1 ,  2 , and  3 ) on talent management lessons, the attention is on development practices, role of management, and inspirational leadership.

Make your employees “own” their learning, training and development  — because Apple frequently produces new products requiring expertise in completely different industries (i.e. computers, music devices, media sales, and telephony), its employee skill set requirements change faster than at almost any other tech firm. While there is plenty of training available, there is no formal attempt to give every employee a learning plan. Just as with career progression, employee training and learning are primarily “owned” by employees. The firm expects employees to be self-reliant. Its retail salesforce for example receives no training on how to sell, a practice that is certainly unconventional in the retail environment. The lesson is simple: providing target competencies and prescribing training can weaken employee self-reliance, an attribute problematic in a fast-changing environment. Employee ownership of development encourages employees to continuously learn in order to develop the skills that will be required for new opportunities.

Make managers undisputed kings  — Apple is not a democracy. Most direction and major decisions are made by senior management. “Twenty percent time” like that found at Google doesn’t exist. While in some organizations HR is powerful when it comes to people management issues, at Apple, Steve Jobs has a well-earned reputation for deemphasizing the power of HR. Although Apple was the first firm to develop an HR 411 line, I have concluded that most of the talent management innovations at Apple emanate from outside of the HR function. There is a concerted effort to avoid having decisions made by “committees.” Putting the above factors together, it is clear that at Apple, managers are the undisputed kings. The resulting decrease in overhead function interference, coupled with the increased authority and accountability, helps to attract and retain managers that prefer control. Unfortunately, concentrating the authority has resulted in having some managers being accused of micromanagement and abusing team members.

Having a product focus drives focus, cooperation, and integration  – Apple is notably famous in the business press for its “product-focused” approach (versus a functional or regional focus). Everything from strategy to budgets to organizational design and talent management functions are designed around “the product.” One of the primary goals of talent management is to ensure that the workforce is focused on the strategic elements that drive company success. That focus can be distracted with selfish or self-serving behavior that instead shifts the emphasis to the individual, a business function, a particular business unit or even a region. Although deciding to have a product focus is normally a business decision, it turns out that Apple’s strong product focus also has significant positive impacts on talent management.

This laser focus on producing a product makes it easy for everyone to prioritize and focus their efforts. A product focus is so powerful because it’s easy for employees to understand that final products can never be produced without everyone being on the same page. A product focus increases coordination, cooperation, and integration between the different functions and teams because everyone knows that you can’t produce a best-selling product without smooth handoffs and a lack of silos and roadblocks. With a singular focus on producing product, there is simply less confusion about what is important, what should be measured, what should be rewarded, and what precisely is defined as success. A product focus increases the feeling of “we’re all in this together” for a single clear purpose: the product.

Apple purposely offers only a relative handful of products, so employee focus isn’t dispersed among hundreds of products as it is at other firms. By releasing products only when it can have a major market impact, Apple essentially guarantees that every employee can brag that they contributed to an industry-dominating product that everyone is aware of. This focus on product helps to contribute to employees feeling that they are “changing the world.” This focus may also reduce the chance that employees will notice that the day-to-day work environment with its politics and the required secrecy may be less than perfect. And because Apple is no longer a small firm, with nearly 50,000 employees, a unifying and inspiring theme is required to maintain cohesion and a single sense of purpose.

Find a passionate and inspirational leader  — although Steve Jobs is no longer the CEO, no analysis of Apple would be complete without mentioning his importance in the firm’s success and the design of its talent management approach. He influenced nearly every aspect of the talent management approach. Not only is he one of the highest-rated CEOs by the public (he is  ranked  number three on the glassdoor.com list) but as a role model, he has had a huge impact on innovation, productivity, retention, and recruiting. His value is indisputable. The day after he resigned, Apple’s stock value fell by as much as $17.7 billion. It is too early to tell whether the new CEO, Tim Cook, who is markedly less inspirational, will be able to maintain the momentum that Jobs created. He has already shifted some executives and changed the company’s philanthropy approach by instituting a matching gift program for charitable donations.

Other miscellaneous talent management issues  — Apple executives are certainly in high demand at other firms that seek to be equally as innovative (for example, the head of the retail operation recently left to become CEO at JCPenney). Despite this demand, Apple certainly doesn’t have any significant turnover problems. You can, however, find  plenty  of negative comments about Apple on sites like glassdoor.com. Some describe Apple’s approach toward employees as a bit arrogant, and employees are certainly pushed to their limits. If you don’t “bleed six colors,” you simply won’t enjoy your experience at Apple for long. Although originally the firm emphasized employee recognition, it is not easy for those outside the firm to connect recent product successes to a single individual or team.

Apple is a team environment. Although many teams are forced to operate in isolation, that actually helps to build team cohesion. The competition between the different development teams is also intense, but that also helps to further strengthen cohesion. Like most engineering organizations, its decision-making model is certainly focused on data. Apple management likes to control all aspects of its products, but despite that, it is one of the best at using outsourcing to cover areas like manufacturing, which it has determined is not a core corporate competency.

Final Thoughts

Although Apple clearly produces extraordinary results, its approach to talent management is totally different than that of Google and Facebook, which also produce industry-dominating results. As Apple has grown larger, its rigor around sustainable innovation has grown as well, a feat that proves impossible for most organizations including the likes of HP, Microsoft, and Yahoo.

The three “big picture” learnings I hope you walk away from this case study with include:

  • Focus on “the work” — it is management’s responsibilty to do whatever is necessary to keep work exciting and compelling.
  • Strive for continuous innovation — Apple’s emphasis on being “different” is so strong that it can’t be overlooked by any employee or applicant. It delivers industry-dominating innovation levels because everyone is expected to.
  • Deliver on your brand — Apple works hard to make sure that potential applicants, employees, and even competitors admire its products, the firm, and how it operates.

These three factors are not easy to copy, but they are certainly worth emulating. If you can bring them and the results that they produce to your firm, there is no doubt that you will be a hero.

Author’s Note : If this article stimulated your thinking and provided you with actionable tips, please take a minute to follow and/or connect with Dr. Sullivan on  LinkedIn .

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Apple Case Study – How Steve Jobs built Apple around simplicity

Picture of This article is written by Graham Robertson, the founder of Beloved Brands

This article is written by Graham Robertson, the founder of Beloved Brands

Brand Toolkit

Our Apple case study starts with 𝘁𝗵𝗲 𝗱𝗮𝘆 𝗦𝘁𝗲𝘃𝗲 𝗝𝗼𝗯𝘀 𝗿𝗲𝘁𝘂𝗿𝗻𝗲𝗱 𝘁𝗼 𝗔𝗽𝗽𝗹𝗲. This is the starting point that 𝘁𝗿𝗮𝗻𝘀𝗳𝗼𝗿𝗺𝗲𝗱 𝗔𝗽𝗽𝗹𝗲 𝗶𝗻𝘁𝗼 𝗼𝗻𝗲 𝗼𝗳 𝘁𝗼𝗱𝗮𝘆’𝘀 𝗺𝗼𝘀𝘁 𝗮𝗱𝗺𝗶𝗿𝗲𝗱 𝗯𝗿𝗮𝗻𝗱 s . Steve Jobs recognized that consumers were frustrated by how all the other technology brands designed their products in a lab without any thought for the consumer. Steve Jobs made the most significant contribution to the Apple brand strategy by starting with the consumer experience and then working back to the technology. The Apple brand positioning builds everything around the idea that “Apple makes technology so simple that everyone can be part of the future.” 

Moreover, we witnessed the most incredible decade that any company has ever seen, with Apple launching iTunes, iPod, iMac, the MacBook Pro, MacBook Air, iPhone, and the iPad. 

If you are a marketer looking to improve your knowledge by looking at what Apple has done so well, our Apple case study will teach plenty of lessons for using a brand idea to inspire and steer everyone who works on the brand. At every step of the Apple brand strategy, we will provide a link to click on and learn how the process can work on your brand. 

If you are a fan of Apple, click on this link to view their best store locations: Apple Store locations . Or come see some of their best advertising: Apple Advertising . 

How Steve Jobs built the Apple brand strategy around simplicity

Apple Case Study - Table of Contents

Building the apple brand.

Our Apple case study will show how to develop Apple’s brand positioning statement and plan . Then, I will show how Steve Jobs pushed to stretch their “simplicity” brand idea across their company. Everyone who works behind the scenes knows their role in delivering simplicity.

Simplicity drives all Apple advertising. 

In the 1980s, Apple started with “technology for the rest of us” when they took on IBM. And they continued that attack with “I’m a Mac” ads that took on Microsoft. Simplicity drives Apple’s innovation. Steve Jobs pushed for great advertising. 

The beauty of Apple is how they take complex technology and simplify it so consumers can do more with Apple products. 

The Apple brand strategy even drives their retail stores. Their Genius bar helps answer technology questions. They allow consumers to play with their products. Apple salespeople are trained to avoid “geek speak.” 

The return of Steve Jobs

After Steve Jobs returned in 1997, he shifted the focus to rebuilding around the  brand idea of “Apple makes technology so simple that everyone can be part of the future.” Jobs came in with a consumer-first approach in a market dominated by an obsession with gadgets, bits, and bytes. At the heart of our Apple case study is the use of the brand idea of simplicity and its impact on the brand strategy.

Steve Jobs view on simplicity

Undoubtedly, simplicity is one of the values Steve Jobs held very close to his heart. For example, he built simplicity into everything Apple did and everything it stood for. Even over the last decade, Apple is still following the Steve Jobs playbook.

Apple Brand Positioning - how they use 'simplicity'

The apple brand positioning builds everything behind the “simplicity” brand idea..

We use our consumer benefit ladder to find differentiation. Importantly, turn your brand’s features into consumer benefits. Stop thinking about what your brand does. And, start thinking about what your consumer gets. That’s when the Apple brand positioning statement comes alive.

Functional consumer benefits.

To help brand leaders kickstart their brand positioning work, I have created 12 functional zones that expand to over 50 potential functional benefits. For instance, as you look through the list, gravitate to the functional benefits you think will fit your consumers’ needs and differentiate your brand by looking for words where your brand does it better than competitors. While you might start with our words, try to layer in your own creative language with the specific category or consumer language.

Emotional consumer benefits.

Below is a list of 40 potential emotional benefits that help build an emotional brand positioning statement that differentiates your brand. Importantly, you want to own one emotional space in the consumer’s heart as much as you own the rational space in the consumer’s mind.

Functional Benefit Cheatsheet to help differentiate your brand

To illustrate, click on our Consumer Benefit Cheatsheet to build the  Apple brand positioning . 

Choosing the right benefit clusters for Apple

Using our brand positioning process, the Apple brand positioning narrows in on the brand’s potential benefit clusters of the functional and emotional benefits. 

What Apple does: best features

  • Intuitive and easy to use:  Apple allows everyone to do more and get more from their devices.
  • Stylish designs: Fashion-forward designed so that people want to show them off. 
  • Integrated technology: All   devices, software, and services work harmoniously, enhancing user experience.
  • Fresh innovation: Apple   customers always have access to cutting-edge features and advancements.

What Apple consumers get: functional benefits

  • Simplifies your life:  Hassle free, easier to use, integrated.
  • Sensory Appeal: Touch/feel, subconscious, and style. 
  • Experience:  Responsiveness, rituals, and service.

How Apple consumers feel: emotional benefits

  • Feel free:  Alive, excited, exhilarating.
  • Get noticed: Cool, trendy, popular, and playful. 
  • Optimism:  Successful, inspired, and motivated.

Apple Brand Positioning

To illustrate, click on our Consumer Benefit ladder we use   to build the  Apple brand positioning . 

Apple Brand positioning statement

Once everything is settled, the overall Apple brand positioning statement focuses on simplifying technology to help you feel smarter so you can do more with every device.

Brand Positioning Statement example for Steve Jobs

To illustrate, click on the  Apple Brand Positioning Statement . You can zoom in, download it, or share it. 

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Old school brand positioning vs new school

When brand positioning began in the 1970s and 80s, the goal was to stay single-minded and focused and even get down to one word. For example, Volvo was about SAFETY. I still believe in that thinking for marketing communications.  If all Volvo does is “safety,” no one would pay $50,000 to $70,000 USD for their cars. The additional benefits earn extra money for the comfortable leather seats, stylish design, and high-quality radio.

However, as brands have matured, the brand positioning should drive product innovation, the purchase moment, and the ideal consumer experience. One word might not be enough.  Now, we can see brands can own a cluster of benefits. 

Below, we can see the cluster of benefits, both functional and emotional, to create a word cloud for Apple. These words can show up as support communications to the ‘simplicity’ idea. Moreover, these words should appear in product design, in-store layout, people management, and consumer experience. These words should drive every part of the Apple brand strategy. 

In a similar vein, the pharmaceutical industry has also adapted its marketing strategies to meet the changing demands and expectations of consumers. Take, for example, Motilium, a medication used to treat nausea and vomiting. As brand positioning evolves, the marketing for Motilium not only highlights its effectiveness but also emphasizes convenience and accessibility by promoting the option to buy Motilium online ( reference ). This adaptation ensures that the messaging is not just about the functional benefit of symptom relief but also about making the purchase process as easy as possible for the consumer, aligning with modern expectations of convenience and immediate availability.

Cluster of Consumer Benefits that steer the Apple Brand Strategy

To illustrate, click on our Cluster of Consumer Benefits that   we use   to build the  Apple brand positioning . 

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Building Apple's brand idea

Everyone seems to call the short-form description of a brand by different names; brand DNA, big idea, brand essence or shout from the mountain. I keep it simple by calling it the brand idea. To win in the marketplace, your brand idea must be interesting, simple, unique, inspiring, motivating, and ownable. 

I created a brand idea blueprint with five ideas that surround it.

On the internal brand soul side, describe the products and services and the cultural inspiration, which is the internal rallying cry to everyone who works on the brand. On the external brand reputation side, define the ideal consumer reputation and the reputation among necessary influencers or partners. The brand role acts as a bridge between the internal and external sides.

brand idea for Apple based on brand positioning steve jobs Apple case study

To illustrate, click on the  Apple   Brand Idea  we use   to build upon the  Apple brand positioning . 

The Apple case study uses the brand idea for Apple is “making technology so simple that everyone can be part of the future.” Most importantly, Steve Jobs insisted they take a consumer-first mentality as they transformed leading technology advancements into “consumer-accessible” technology, helping fuel the perception among the mass audience that Apple is an innovative leader. 

Apple brand idea map

To illustrate, click on the  Apple   Brand Idea Map  we use   to build upon the  Apple brand positioning . 

Apple Case Study - video

Our apple case study is part of our beloved brands mini mba. take a look..

Below is an example video (30 minutes) from our Beloved Brands Mini MBA. We use the Apple case study to demonstrate the Apple brand positioning tools.  

To view the Beloved Brands Mini MBA video , use the   ▶️  button to play.  

Apple's Brand Key Model

A Brand Key model is a tool from consumer marketing that allows marketers to lay out their brand’s unique selling proposition (USP) elements on one page. This article will go through the Brand Key model with nine elements that build the USP. And, with each element, we will show you the work you need to do. 

Below is the Brand Key example for the Apple brand. It brings to life Apple’s unique selling proposition of simplicity. To read more on brand key models, click this link: Using a Brand Key Model to Define your Brand’s USP.

Brand Key Example for Apple bringing their unique selling proposition to life under steve jobs

To illustrate, click on the  Apple   Brand Key  we use   to express the  Apple brand positioning . 

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Use Apple's brand idea as a lens to see the problems not delivering

Apple has done a great job taking that simple brand idea and stretching it across its brand story through advertising and its innovation plan (as they have entered many new technology categories). 

They have also used their brand idea to guide how they manage the purchase moment (to make sure their retail outlets are easy for consumers) and how they create happy experiences. And, when they don’t nail the ideal consumer experience, they go out of their way to help. They also have the genius bar and on-site lessons, which help increase consumers’ knowledge.

The other beauty of having a crystal clear brand idea is that everything that goes against that brand idea almost acts like an obvious virus. Below are four examples of where Apple is missing out on “simplicity,” which puts the brand idea at risk. Above all, these should trigger action plans to build into your brand plan. In pointing out these flaws within our Apple case study, I am yet to see Apple take action. 

I wonder what Steve Jobs would think of these flaws.

Apple flaws

To illustrate, click on the  Apple Case Study diagram to show where they go aga inst the Apple brand positioning.  

Apple brand strategy

How the five elements of smart strategic thinking sets up apple's famous turnaround plan:, 1. set a vision of what you want..

To start our Apple case study, their vision is to make it easy for everyone to be part of technology in the future. The main issue was creating brand fans and then mobilizing them to spread the word to the masses.

2. Invest resources in a strategic program.

Next, Apple invested and aligned everything behind the Apple brand positioning and brand idea: “Apple makes technology so simple; everyone can be part of the future.” They use this brand idea at every touchpoint, including the brand positioning, communication, innovation, purchase moment, and experience.

3. Focus on an identified opportunity.

For decades, Apple consistently focused on empathizing with—and taking advantage of—the consumer’s frustration with technology. In the 1980s, they attacked IBM’s personal computers as too complicated. In 2005, they used “I’m a Mac, and I’m a PC” advertising to attack Microsoft. Each time, it used its “consumer-first” mentality to transform leading-edge technology into accessible consumer technology.

4. Leverage a breakthrough market impact.

Above all, the Apple brand strategy takes a fast-follower stance that takes current technology and makes it simple to use. Every platform, including desktops, laptops, phones, watches, tablets, and music streaming, delivers the brand idea of simplicity. They deploy high-profile launch hype to use vocal advocates to spread the word to their friends.

5. Performance result that pays back.

Most importantly, Apple created a consumer bond with its brand fans to enter new categories. On top of that, it is now the most beloved consumer-driven brand, with premium prices, stronger market share, sales, and profits. The Apple brand strategy used brand love to help drive a remarkable 40x revenue growth over ten years, skyrocketing from $5.7 billion in 2005 to $240 billion in 2015. This rapid growth helps cover the high costs of advertising and R&D, giving them very healthy operating margins, up over 35%. All this strategic effort has increased their market capitalization by over $1 trillion.

Apple Strategic Thinking bringing Steve Jobs strategy to life Apple Brand Strategy

To illustrate, click on the  Apple Brand Strategy diagram . You can zoom in, download it, or share it. 

Apple brand plan

We are going to build out a Brand Strategy Roadmap that can steer the brand for the next three to five years. And, we’ll show a one-page Annual Brand Plan. We’ll show the rough brand plan work you can do. 

Apple Brand Strategy Roadmap Steve Jobs

To illustrate, click on the  Apple Brand Strategy Roadmap . You can zoom in, download it, or share it. 

The rough brand plan for Apple

With the Apple case study, our strategic thinking model sets up the core elements of the Apple brand strategy:

Apple wants everyone in the world to be part of the future.

Continue aggressive sales growth, geographic expansion into China, and launch a major new consumer-friendly technology each year.

Key issues: 

  • How do we convey Mac’s superior user experience versus the traditional PC? 
  • How do we enter the music industry and increase the availability of online music to support our iPod?

Strategies: 

  • Apple will launch a full communications assault to challenge the PC/Microsoft Windows dominant position by finding flaws in the PC to contrast with Mac computers’ simplicity to steal significant market share by enticing frustrated PC consumers to buy a Mac. 
  • Apple will launch a full assault against the entire music industry with a disruptive innovator stance to show how iTunes provides higher quality digital music on your iPod much cheaper, faster, and smarter than CDs to gain an entry point into the music industry.
  • TV advertising to highlight new features and challenge competitors. 
  • Launch innovation each year, including phones, tablets, online music, watches, and personal computers. 
  • Launch specific products for China. Increase retail space around the world. Build out the e-commerce program.

Apple Strategic Plan Apple Brand Strategy

To illustrate, click on the Apple Brand Plan example that brings the Apple brand positioning to life.

Apple advertising

Advertising has delivered “simplicity” since the 1970s.

Apple’s advertising has been relatively consistent for over 40 years and incredibly connected with consumers. As Steve Jobs was launching Apple, the early print ads of the 1970s talked about how we designed the computer, so you don’t have to worry about the details. 

How Steve Jobs built Apple around simplicity

Steve Jobs pushed for the “1984” TV ad for the Mackintosh launch that spoke about freedom from machines. Although the message was a little ahead of its time, it fit with simplicity. Above all, the brilliance of the side-by-side “I’m a Mac, and I’m a  PC” TV ads epitomized the brand idea by making the PC seem overly complicated and frustrating while setting up the Mac as the simple alternative. These ads really express the Apple brand positioning statement.

Take a look at some of "I'm a Mac" TV ads. Enjoy!

To illustrate, click the ▶️ button to see the  Apple brand advertising that brings the Apple brand positioning to life . 

Apple innovation

Building product innovation around simplicity.

Apple has taken many failed technology ideas like online music, tablets, or mp3 players and turned them into consumer-friendly platforms such as iTunes, iPads, and iPods. With each new product, Apple uses launch hype to generate excitement to spark the enthusiasm of the early adopters who spread the word. Also, Apple has successfully taken its cherished brand fans into new categories. 

The combination of Johnny Ives and Steve Jobs created many great Apple products. 

Learn how to make innovation decisions.

Apple product Innovation steve jobs and johnny ives

Video on Apple's product innovation philosophy

To view the Apple brand innovation  philosophy  use the   ▶️  button to play.  

Apple retail

Purchasing apple products is very simple, including its own retail store experience.

Retail stores are a significant part of the Apple Case Study.

Steve Jobs saw a vision for retail to help Apple use simplicity to manage the purchase moment through its retail stores, ensuring the experience is simple and straightforward. All staff carry a credit card machine and complete the transaction very quickly. No lines or cash registers. 

Simplicity shines through the store layout, with the genius bar for one-on-one tech questions and support and the training area to teach classes. The brand also displays every Apple product to allow consumers to take them for a test drive. It’s all about delivering the consumer experience that Steve Jobs loved so much.

apple retail layout at the purchase moment steve jobs

To illustrate, click on the  Apple Store  Layout.  You can zoom in, download it, or share it. 

Even when Apple products are in other stores, the brand has used its power with that retailer to create a distinct store-within-a-store concept, replicating a similar look and experience from Apple’s retail locations. 

Fifth Avenue Apple store in NYC

Apple Fifth Avenue 1

Tower Theater Apple store in LA

Beautiful Apple Store Location

To illustrate, click on the  Apple Store  examples.  You can zoom in, download it, or share it. 

Apple in Singapore

Apple Singapore

Milan Apple store

Apple store location in Milan Italy

Apple consumer experience

Obsessing about the consumer experience.

As Steve Jobs famously said, “You have to start with the customer experience and work backward to the technology.” Apple even believes opening your Apple products should be like unwrapping a gift. 

Steve Jobs wanted the consumer to be able to use any Apple product right away rather than spending hours loading software or setting up their machine. Regarding product integration, Apple products work together, and they work the same way, which makes it very simple for consumers when they move from one Apple product to another.

Next time you are in a brainstorming session, try to think like Steve Jobs. 

Apple Consumer Experience based on Steve Jobs

To illustrate, click on the  Apple Consumer Experience .  You can zoom in, download it, or share it. 

The power of the Apple brand - how loyalty drives profit

How apple's brand love leads to increased power.

As we continue our Apple case study, let’s look at the power and profit Apple generates through brand love. 

As they achieved an extremely tight bond with loyal followers, they used the tight consumer bond to generate brand power that they quietly wield in the market. Apple’s retail network generates twice the sales per square foot of any retailer worldwide, yet it is a very soft-sell environment. 

I was recently on a double-decker bus tour of New York City, and when the bus went past the 5th Avenue Apple flagship store, half the bus stood up to take a photo. And they have such power over the supplier network with an array of engineers following extremely tight procedures. 

Also, they have power over the media, generating over $2 billion worth of free media each year. Moreover, Apple fans often want to work at Apple, giving up lucrative jobs to be part of the brand.

Smartphone loyalty scores

Below, we can see the loyalty scores of the various smartphones. Apple leads the way with over 90% loyalty, moving from one model to the next. Samsung’s loyalty is below 70%. And LG has fallen to 32%. At LG’s level, you constantly need to source new consumers. That’s an extremely expensive way to manage your brand. 

Apple Case Study, brand love brand loyalty steve jobs

To illustrate, click on the  Apple Case Study diagram .  You can zoom in, download it, or share it. 

Whoever says loyalty does not exist has not talked with Apple consumers. Apple significantly outperforms its competitors and uses that loyalty to drive future sales. 

Apple's prices continue to increase

As Apple’s loyalty holds strong, they can increase their prices with each model. Loyal consumers are less price sensitive. This translates the Apple brand strategy into added profits. Steve Jobs used hype marketing to create a very tight bond with consumers. 

Explaining the Apple brand

We can see how Apple uses power over its consumers to increase prices each year. Their iPhones deliver 40% profit margins, 4x higher than their competitor’s profits. 

How Apple's brand power leads to increased profit

The Apple brand strategy extrapolates the power they generate into profit , with their incredible financial performance over the last 15 years. And they generate significant price premiums, relatively lower cost of goods, and moderate marketing spend ratios. Most importantly, this keeps their margins healthy for a technology firm. 

Furthermore, Apple has entered many new categories over the past 15 years. Each time, their army of loyal fans has followed, moving into laptops, phones, tablets, and the music business. In each segment, they continue to gain market share to drive volumes. 

Finally, the higher margins and volumes make for a beautiful profit statement. 

Apple profit

We can use our eight ways that a brand can drive profit to see the impact of the magic of the Apple brand on profits. Apple uses price, cost control, entry into new categories, and driving market share in each category.  

Even though Apple gives the perception of an extremely friendly brand that is on the side of the consumer, they are now a huge mass market corporate brand, with a market capitalization of $500-600 billion, which is 2-3 times the value of companies like Coke, Procter & Gamble, Pfizer, and IBM. 

So, if you invested a mere $10,000 in 2005, you would have $240,000 a decade later. The Apple case study is indeed a glorious look at the vision of Steve Jobs.

How Steve Jobs built Apple around simplicity

To conclude our case study, we can see how Apple uses its brand strategy to drive loyalty, revenue, and profitability each year. Their P&L is a thing of beauty. 

Apple turns their brand love into higher power and profits

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  • ACCOUNTING EDUCATION

Using case studies to boost student participation and performance

  • Accounting Education
  • Professional Development
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Engaging students with course materials is a challenging aspect of teaching in higher education. This problem is particularly prevalent in graduate-level classes, where students from different generations, educational backgrounds, work experiences, nationalities, and cultures all must learn the same content.

The use of case studies can encourage active student participation and engagement in class. This approach allows students to interact with the course materials, broaden their understanding, and enhance their critical-thinking abilities. Moreover, it inspires students to learn from each other, share their viewpoints and reflections, and gain a diverse perspective.

Making the case (studies) for better engagement

My 2022–2023 master's class included 126 students from more than 15 countries across four continents. The students were from different generations and had diverse educational backgrounds, ranging from those with strong accounting and finance backgrounds to those with limited experience. Additionally, the class consisted of recent graduates as well as those who had been working for a substantial amount of time since graduating.

With such a diverse class, the difficulty in capturing individuals' attention became evident in the first few lectures. Engagement was poor. For example, when I posed a series of questions, only a few individuals responded. I became concerned and spoke with several students to better understand their background, the reasons they were studying for a master's degree in accounting and finance, and what they expected from the MSc Accounting and Finance course and my module.

After these discussions, I concluded that the students wanted to be more involved with the course materials and to feel part of the class. I realized I needed to create a supportive and positive learning environment to foster student engagement through class participation.

Encouraging participation with case studies

To encourage class participation, I introduced case studies in subsequent lectures and as part of the final coursework. Harvard Business School introduced case-study teaching and learning methods over 100 years ago, and they have since been widely adopted in various disciplines. This method's positive effects have been documented in literature, including the development of critical analysis and improvement of decision-making skills. Furthermore, the method has the advantage of having no right or wrong answer in most cases.

In each lecture, I presented a case study and gave students 15 to 20 minutes to read and analyze the case in groups. Shifting to this approach produced significantly improved student participation. All generations engaged with the case studies, and different views were presented for the same scenario. For instance, the younger generation (Generation Z) often turned to Google to explain their ideas' relevance, while Millennials (Generation Y) tended to draw from their work experience when adding to the discussions. Additionally, students from nonaccounting backgrounds brought their experiences and ideas to the case. Seeing different perspectives being shared in class was always encouraging.

Improving engagement and performance

While case studies were a key part of the class, the module also featured a textbook with supplementary reading, as well as CIMA mini case studies and business games.

At the end of the module, students were asked to complete an individual module evaluation questionnaire. Following are some student comments about their experience:

The lecturer gives everyone the opportunity to share experiences, and it makes the class interesting and interactive.

The module leader exposes me to group presentations and helped me develop my presentation skills.

In this module [I] have had the opportunity to engage with other students on several occasions during group presentations.

The cohorts' outstanding performance in the final assessment reflected the positive experience shown in these comments. The assessment consisted of six questions drawn from all areas of the syllabus, with question six being a case study. In terms of total marks per question, the case study question had the highest total, at 30%. The students submitted their work via Canvas and Turnitin, and the grading was done on Canvas. There was no peer review grading.

On their first exam attempt, 98% of the students passed, with the average grade being 69 (out of 100). The previous year's pass rate was 85%, with an average grade of 64.

Using case studies in teaching and assessment can positively affect students' participation and performance. This approach is particularly suitable for situations where there are large numbers of students with diverse backgrounds, ages, levels of experience, and cultural differences. By presenting a case scenario, students are better able to grasp and relate to the material. This method of teaching and assessment promotes inclusivity in learning and evaluation, which is a top priority for higher education institutions. Incorporating case studies into teaching and assessment can be an effective way to enhance student engagement and understanding of the material.

— Hadiza Sa'id , Ph.D., is a lecturer in accounting and finance at Hull University Business School, University of Hull, UK. To comment on this article or to suggest an idea for another article, contact Jeff Drew at [email protected] .

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Research: Using AI at Work Makes Us Lonelier and Less Healthy

  • David De Cremer
  • Joel Koopman

apple leadership case study

Employees who use AI as a core part of their jobs report feeling more isolated, drinking more, and sleeping less than employees who don’t.

The promise of AI is alluring — optimized productivity, lightning-fast data analysis, and freedom from mundane tasks — and both companies and workers alike are fascinated (and more than a little dumbfounded) by how these tools allow them to do more and better work faster than ever before. Yet in fervor to keep pace with competitors and reap the efficiency gains associated with deploying AI, many organizations have lost sight of their most important asset: the humans whose jobs are being fragmented into tasks that are increasingly becoming automated. Across four studies, employees who use it as a core part of their jobs reported feeling lonelier, drinking more, and suffering from insomnia more than employees who don’t.

Imagine this: Jia, a marketing analyst, arrives at work, logs into her computer, and is greeted by an AI assistant that has already sorted through her emails, prioritized her tasks for the day, and generated first drafts of reports that used to take hours to write. Jia (like everyone who has spent time working with these tools) marvels at how much time she can save by using AI. Inspired by the efficiency-enhancing effects of AI, Jia feels that she can be so much more productive than before. As a result, she gets focused on completing as many tasks as possible in conjunction with her AI assistant.

  • David De Cremer is a professor of management and technology at Northeastern University and the Dunton Family Dean of its D’Amore-McKim School of Business. His website is daviddecremer.com .
  • JK Joel Koopman is the TJ Barlow Professor of Business Administration at the Mays Business School of Texas A&M University. His research interests include prosocial behavior, organizational justice, motivational processes, and research methodology. He has won multiple awards from Academy of Management’s HR Division (Early Career Achievement Award and David P. Lepak Service Award) along with the 2022 SIOP Distinguished Early Career Contributions award, and currently serves on the Leadership Committee for the HR Division of the Academy of Management .

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What We Know About the Karen Read Murder Trial

A judge on Monday declared a mistrial in the case of Ms. Read, who was accused of intentionally backing her vehicle into her boyfriend and then leaving him to die.

Karen Read points and looks over to the side in a courtroom as a man in a suit stands in front of her.

By Michael Levenson and Jenna Russell

A judge in Massachusetts declared a mistrial on Monday in the murder trial of Karen Read, who was accused of intentionally backing her vehicle into her boyfriend, a Boston police officer, and then leaving him to die in the snow outside a house party. The case had drawn outsize attention, fueled by her lawyers’ accusations of a police cover-up.

It had also transfixed Boston, where a devoted band of supporters who believed Ms. Read was framed had galvanized a “Free Karen Read” movement. Dressed in pink, they had gathered outside Norfolk County Superior Court whenever her trial was in session, picking apart the evidence and the web of relationships involved. A Boston blogger known as Turtleboy, who also supports Ms. Read, was charged with harassing and intimidating witnesses.

What happened?

In January 2022, Ms. Read and her boyfriend, John O’Keefe, a 46-year-old Boston police officer, had been out drinking with friends in Canton, Mass., a town about 20 miles south of Boston. At a bar, they ran into another Boston police officer and were invited to a late-night party at his house.

Shortly after midnight, they drove to the house, where Officer O’Keefe got out of Ms. Read’s black Lexus S.U.V. Prosecutors say that the couple had been fighting and that Ms. Read accelerated in reverse, intentionally striking her boyfriend before leaving him in the snow.

He was found unresponsive later that morning by Ms. Read, who said she had frantically searched for him after waking up on his couch around 4 a.m. and realizing he had not come home. Officer O’Keefe, who had severe head injuries and hypothermia, was pronounced dead on Jan. 29, 2022.

Ms. Read was arrested three days later. She had pleaded not guilty to charges of second-degree murder and manslaughter.

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COMMENTS

  1. How Apple Is Organized for Innovation

    Apple is well-known for its innovations in hardware, software, and services. Thanks to them, it grew from some 8,000 employees and $7 billion in revenue in 1997, the year Steve Jobs returned, to ...

  2. PDF How Apple Is Organized for Innovation

    Dean, Apple University Morten T. Hansen Faculty, Apple University AUTHORS FOR ARTICLE REPRINTS CALL 800-988-0886 OR 617-783-7500, OR VISIT HBR.ORG Harvard Business Review November-December 2020 3 This article is made available to you with compliments of Apple Inc for your personal use. Further posting, copying or distribution is not permitted.

  3. (PDF) LEADERSHIP AND INNOVATION AT APPLE INC

    P a g e | 1. Heights of Success. Apple is arguably one of the most innovative and transformative companies in the world. Under. the leadership of Steve Jobs, t he market capitalization of Apple ...

  4. Change in Leadership of Apple Inc. From Steve Jobs to Tim Cook

    succeeded Steve Jobs and ii) 2016, when Cook had to prove himself as a strong leader during a. critical year for the company. 2011 was a strong year for Apple. The company delivered $108Bn in ...

  5. Apple Inc. in 2020

    Abstract. After a decade as CEO, Tim Cook is facing one of his biggest strategic transitions of his tenure. While Apple had performed spectacularly well under Cook, Apple's core business was maturing. Sales of iPhones, iPads, and Macs were flat or down. However, Apple's new hardware—Apple Watch and Airpods—as well as services were growing ...

  6. Layered Leadership and Apple's Rise to the Top

    Kocienda's leadership of his engineering team's decisions — along with Jobs's leadership of his top team's decisions — proved foundational for the iPhone's launch. "The iPhone was ...

  7. Strategic Leadership and Innovation at Apple Inc.

    2014, Apple had revenues of $182bn and cash reserves of $155bn. Operating income stood at. 28.7%, and net income at 21.6% (Annual Report, 2014). Apple Inc's financial statements and. sales by ...

  8. Apple Inc. in 2020

    After a decade as CEO, Tim Cook is facing one of his biggest strategic transitions of his tenure. While Apple had performed spectacularly well under Cook, Apple's core business was maturing. Sales of iPhones, iPads, and Macs were flat or down. However, Apple's new hardware-Apple Watch and Airpods-as well as services were growing rapidly. This case explores Apple's history and Cook's strategic ...

  9. Apple Inc. in 2023

    Abstract. Under CEO Tim Cook, Apple became the first trillion dollar market cap company, the first two trillion dollar company, and the first three trillion dollar company. Since the COVID pandemic, Apple gained over 20% of the world smartphone market and 50% of the U.S. market, making Apple the largest seller of smartphones in 2023.

  10. The Rise of Apple

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  11. Apple's "Think Different" Campaign: A Case Study in Marketing

    Yet, against all odds, Apple orchestrated a remarkable turnaround in 1997. The linchpin of this resurgence was the ingenious "Think Different" campaign. This case study delves into the genesis ...

  12. Design Thinking and Innovation at Apple

    Abstract. Describes Apple's approach to innovation, management, and design thinking. For several years, Apple has been ranked as the most innovative company in the world, but how it has achieved such success remains mysterious because of the company's obsession with secrecy. This note considers the ingredients of Apple's success and its quest ...

  13. Apple Inc.

    The case is set in September 2019 and the protagonist is Tim Cook, the CEO at Apple, Inc. In 2019, Apple had revenues of $260 billion; yet, net revenues were down by 7 percent over the same period. Much of the decline in Apple's revenues is a result of decreased sales of the iPhone, which contributed 62 (!) percent of Apple's total revenues in 2018, and declined to 54 percent in 2019. The case ...

  14. Apple Leadership: a brief overview

    Apple Leadership: a brief overview. By John Dudovskiy. July 3, 2023. During Steve Jobs era that covers the period 1997 - 2011, Apple leadership was autocratic with Steve Jobs micro-managing a wide range of business operations. It has been noted that "when Steve Jobs was in charge, everything flowed through him.".

  15. Apple's Innovation Culture

    Central to Apple's success is its deeply ingrained culture of creativity and innovation, cultivated primarily under the leadership of Steve Jobs. This case study delves into the components and impact of Apple's innovation culture, exploring how it has driven the company's success and sustained its competitive edge.

  16. PDF An Apple a Day: Ethics at Apple Inc.

    Headquartered in Cupertino, California, Apple Inc. has experienced many successes throughout. their business history. Apple's journey to success has not been without ethical challenges along. the way. Apple's success can be seen from their stock price, up from $3.30 per share in 1997 to. $320 per share in 2020.

  17. Apple's Company Culture: An Organizational Analysis

    Apple's Culture Type and Traits. Apple has an organizational culture for creative innovation. The company's cultural features focus on maintaining a high level of innovation that involves workers' creativity and a mindset that challenges conventions and standards, such as in consumer electronics design. Apple's IT business depends on ...

  18. LEADERSHIP CASE STUDY: STEVE JOBS (APPLE)

    The value of the company reached USD 1.4 trillion and made Apple to most valued company in the world. Steve Jobs died in 2011. He was the most inspirational CEO. Apple under his leadership created products which changed our lives. He created a powerful brand - Apple. His journey to become CEO was long and challenging.

  19. Talent Management Lessons From Apple: A Case Study of the World's Most

    In Part 2 of this case study on Apple's talent management practices, I look at its approach to innovation, compensation, and benefits, careerpathing, and online recruitment (its career site). Some approaches discussed are unique to sub-factions within Apple, as would be expected in any organization of significant size. ...

  20. Apple case study

    At the heart of our Apple case study is the use of the brand idea of simplicity and its impact on the brand strategy. Undoubtedly, simplicity is one of the values Steve Jobs held very close to his heart. For example, he built simplicity into everything Apple did and everything it stood for. Even over the last decade, Apple is still following ...

  21. Apple, Inc Case Study for Strategic Management

    Strategic Analysis Case Study for Strategic Management for the Spring Semester of 2021 for the 2020-2021 academic year. apple, inc. sources of differentiation. Skip to document. University; High School. ... Apple, Inc Case Study for Strategic Management. Course: Strategic Management (MGMT 4813) 12 Documents.

  22. Apple case study.docx

    Enhanced Document Preview: 1 Apple Case Study: Apple Leadership Assessment Student Name University Course Professor Name Date 2 Apple Case Study: Apple Leadership Assessment Part A Question #1 a). The Apple company turnaround to a profitable organization required a program manager to ensure organizational change. Some of the steps that might ...

  23. Strategy Transformation Based on Holistic Leadership: A Case Study of Apple

    involving Apple's strategic transf ormation. This chapter presents the. strategic and creative processes tha t enabled practitioners, including. the late Steve Jobs, to demonstrate " strategic ...

  24. Amazon One Medical

    Amazon One Medical is a modern approach to medical care—allowing people to get care on their terms, on their schedule. One Medical members receive ongoing support for their healthcare needs, using the One Medical app to book in-office doctors' appointments at locations near them, and to request 24/7 on-demand virtual care at no extra cost.

  25. 3 Lessons from The Washington Post's Leadership Turmoil

    The leadership questions surrounding new Washington Post CEO Will Lewis serve as a case study in the challenges of bringing in an outsider to lead an organization, highlighting the importance of ...

  26. Using case studies to boost student participation and performance

    Making the case (studies) for better engagement My 2022-2023 master's class included 126 students from more than 15 countries across four continents. The students were from different generations and had diverse educational backgrounds, ranging from those with strong accounting and finance backgrounds to those with limited experience.

  27. ‎The Coaches Zone on Apple Podcasts

    Deep dive into the professional coaching competencies, with neuroscience and psychology insights, case studies, and practical takeaways, to help you become an exceptional coach. ‎Business · 2024 Exit

  28. Transfer files between your Windows device and iPhone ...

    Connect your Apple device to your Windows device. You can connect your device using a USB or USB-C cable or a Wi-Fi connection. See Sync content between your Windows device and iPhone, iPad, or iPod touch over Wi-Fi.. In the Apple Devices app on your Windows device, select the device in the sidebar.. If you connect your device to your Windows device using a USB or USB-C cable and don't see ...

  29. Research: Using AI at Work Makes Us Lonelier and Less Healthy

    Joel Koopman is the TJ Barlow Professor of Business Administration at the Mays Business School of Texas A&M University. His research interests include prosocial behavior, organizational justice ...

  30. What We Know About the Karen Read Murder Trial

    The state's case was hurt by vulgar and misogynistic text messages sent by the lead investigator, State Trooper Michael Proctor. In texts sent to friends which Trooper Proctor read aloud in ...