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Apple Inc.

A Case Study On Steven Paul Jobs

Submitted To: Dr. Abha

Submitted By: Davejot Singh Sandhu B.Com LLB 6th Semester Roll No. 167/11

Acknowledgement I would like to express my thank to Prof. Abha for giving me this opportunity to represent my talent and skill for this project. I would also like to express my gratitude towards him for imparting me the vital information about the topic and the continuous support he has provided to me.

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Table of Contents
EARLY LIFE ............................................................................................................................ 4 EARLY CAREER AND ROAD TO APPLE INC. ................................................................... 6 APPLE COMPUTER................................................................................................................ 7 EXILE FROM APPLE AND NEXT ........................................................................................ 8 PIXAR........................................................................................................................................ 8 THE RETURN TO APPLE ...................................................................................................... 9 RESIGNATION & DEATH ..................................................................................................... 9 HIS ENTIRE JOURNEY & HIS INVENTIONS .................................................................. 10 TIME LINE OF STEVE JOBS .............................................................................................. 10 COMPONENTS OF JOBS' LEADERSHIP ......................................................................... 12 FOCUS ............................................................................................................................. 12 SIMPLIFY ....................................................................................................................... 12 TAKE RESPONSIBILITY END TO END ..................................................................... 13 PUT PRODUCTS BEFORE PROFITS ......................................................................... 13 IMPUTE ........................................................................................................................... 14 PUSH FOR PERFECTION ............................................................................................ 14 TOLERATE ONLY A PLAYERS ............................................................................... 14 KNOW BOTH THE BIG PICTURE AND THE DETAILS .......................................... 15 REALITY DISTORTION FIELD ................................................................................... 15

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Steve Jobs born on 24th Feburary 1955. American entrepreneur, marketer, and
inventor, who was the co-founder along with Steve Wozniak and Ronald Wayne), chairman, and CEO of Apple Inc. Through Apple, he is widely recognized as a charismatic pioneer of the personal computer revolution and for his influential career in the computer and consumer electronics fields, transforming "one industry after another, from computers and smartphones to music and movies". Jobs also co-founded and served as chief executive of Pixar Animation Studios; he became a member of the board of directors of The Walt Disney Company in 2006, when Disney acquired Pixar. Jobs was among the first to see the commercial potential of Xerox PARC's mouse-driven graphical user interface, which led to the creation of the Apple Lisa and, a year later, the Macintosh. He also played a role in introducing the LaserWriter, one of the first widely available laser printers.

Early Life
Jobs's birth parents met at the University of Wisconsin, where Jobs's Syrianborn biological father, Abdulfattah Jandali ,was a student, and later taught, and where his biological mother, Swiss-American Joanne Carole Schieble, was also a student. They were the same age because Jandali had received his PhD at an early age. Jandali, who was teaching in Wisconsin when Jobs was born, said he had no choice but to put the baby up for adoption because his girlfriend's family objected to their relationship. He was adopted at birth by Paul Reinhold Jobs and Clara Jobs, an Armenian American. According to Steve Jobs's commencement address at Stanford, Schieble wanted Jobs to be adopted only by a college graduate couple. Schieble learned that Clara Jobs hadn't graduated from college and Paul Jobs had only attended high school, but signed final adoption papers after they promised her that the child would definitely be encouraged and supported to attend college. Unknown to him, his biological parents subsequently got married (December 1955), have a second child, novelist Mona Simpson, in 1957, and divorce in 1962. The Jobs family moved from San Francisco to Mountain View, California when Jobs was five years old. The parents later adopted a daughter, Patty. Paul worked as a mechanic and a carpenter, and taught his son rudimentary electronics and how to work with his hands. Paul showed Steve how to work on electronics in the family garage, demonstrating to his son how to take apart and
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rebuild electronics such as radios and televisions. As a result, he became interested in and developed a hobby of technical tinkering. Jobs youth was riddled with frustrations over formal schooling. At Monta Loma Elementary school in Mountain View, he frequently played pranks on others. Though school officials recommended that he skip two grades on account of his test scores, his parents elected for him only to skip one grade. Jobs then attended Cupertino Junior High and Homestead High School in Cupertino. At Homestead, Jobs became friends with Bill Fernandez, a neighbour who shared the same interests in electronics. Fernandez introduced Jobs to his neighbour, Steve Wozniak, a computer and electronics whiz kid, who was also known as "Woz". In 1969 Wozniak started building a little computer board with Fernandez that they named "The Cream Soda Computer", which they showed to Jobs; he seemed really interested. Wozniak has stated that they called it the Cream Soda Computer because he and Fernandez drank cream soda all the time whilst they worked on it and that he and Jobs had gone to the same high school, although they did not know each other there. Following high school graduation in 1972, Jobs enrolled at Reed College in Portland, Oregon. Reed was an expensive college which Paul and Clara couldn't afford. They were spending much of their life savings on their son's higher education. Jobs dropped out of college after six months and spent the next 18 months dropping in on creative classes, including a course on calligraphy. He continued auditing classes at Reed while sleeping on the floor in friends' dorm rooms, returning Coke bottles for food money, and getting weekly free meals at the local Hare Krishna temple. Jobs later said, "If I had never dropped in on that single calligraphy course in college, the Mac would have never had multiple typefaces or proportionally spaced fonts."

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Early Career and Road to Apple Inc.


Jobs started working at Atari, Inc in 1972. Later in 1972,he made Wozniak designed his own version of the classic video game, Pong provided they share the money earned from the endeavour. After finishing it, Wozniak gave the board to Jobs, who then took the game down to Atari, Inc. Atari's cofounder Nolan Bushnell described him as "difficult but valuable", pointing out that "he was very often the smartest guy in the room, and he would let people know that". Jobs travelled to India in mid-1974 to visit Neem Karoli Baba at his Kainchi ashram with a Reed College, Daniel Kottke, in search of spiritual enlightenment. When they got to the Neem Karoli ashram, it was almost deserted because Neem Karoli Baba had died in September 1973. Then they made a long trek up a dry riverbed to an ashram of Haidakhan Babaji. In India, they spent a lot of time on bus rides from Delhi to Uttar Pradesh and Himachal Pradesh. After staying for seven months, Jobs left India and returned to the US ahead of Daniel Kottke. Jobs had changed his appearance; his head was shaved and he wore traditional Indian clothing. During this time, Jobs experimented with psychedelics, later calling his LSD experiences "one of the two or three most important things he had done in his life". He also became a serious practitioner of Zen Buddhism, engaged in lengthy meditation retreats. Jobs then returned to Atari, and was assigned to create a circuit board for the arcade video game Breakout. According to Bushnell, Atari offered $100 for each chip that was eliminated in the machine. Jobs had little specialized knowledge of circuit board design and made a deal with Wozniak to split the fee evenly between them if Wozniak could minimize the number of chips. Much to the amazement of Atari engineers, Wozniak reduced the number of chips by 50, a design so tight that it was impossible to reproduce on an assembly line. According to Wozniak, Jobs told him that Atari gave them only $700 (instead of the offered $5,000), and that Wozniak's share was thus $350. Wozniak did not learn about the actual bonus until ten years later. Wozniak had designed a low-cost digital "blue box" to generate the necessary tones to manipulate the telephone network, allowing free long-distance calls. Jobs decided that they could make money selling it. The clandestine sales of the illegal "blue boxes" went well, and perhaps planted the seed in Jobs's mind that electronics could be fun and profitable. In 1976, Jobs and Wozniak formed their own business, which they named "Apple Computer Company" in remembrance of a happy summer Jobs had spent picking apples. At first they started off selling circuit boards.

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Apple Computer
In 1976, Wozniak single-handedly invented the Apple I computer. After Wozniak showed it to Jobs, who suggested that they sell it, they and Ronald Wayne formed Apple Computer in the garage of Jobs's parents in order to sell it. Wayne stayed only a short time leaving Jobs and Wozniak as the primary cofounders of the company. They received funding from a then semiretired Intel product-marketing manager and engineer Mike Markkula. In 1978, Apple recruited Mike Scott from National Semiconductor to serve as CEO for what turned out to be several turbulent years. In 1983, Jobs lured John Sculley away from Pepsi-Cola to serve as Apple's CEO, asking, "Do you want to spend the rest of your life selling sugared water, or do you want a chance to change the world?" In the early 1980s, Jobs was among the first to see the commercial potential of Xerox PARC's mouse-driven graphical user interface, which led to the creation of the Apple Lisa. A year later, Apple completed the Macintosh. While Jobs was a persuasive and charismatic director for Apple, some of his employees from that time described him as an erratic and temperamental manager. Disappointing sales caused a deterioration in Jobs's working relationship with Sculley, which devolved into a power struggle between the two. During a board meeting, Apple's board of directors gave Sculley the authority to remove Jobs from all roles, except chairman, to reassign him to an undetermined position. John delayed a reassignment. But when Sculley learned that Jobswho believed Sculley to be "bad for Apple" and the wrong person to lead the companyhad been attempting to organize a boardroom coup, on May 24, 1985, called a board meeting to resolve the matter. Apple's board of directors sided with Sculley once again and removed Jobs from his managerial duties as head of the Macintosh division. With no duties and exiled from the rest of the company to an otherwise-empty building, Jobs stopped coming to work and later resigned as chairman.

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Exile from Apple and NeXT


Jobs founded NeXT Inc. in 1985 after his resignation with $7 million. A year later he was running out of money, and with no product on the horizon, he sought venture capital. Eventually, Jobs attracted the attention of billionaire Ross Perot who invested heavily in the company. NeXT workstations were first released in 1990, priced at $9,999. The NeXT workstation was technologically advanced, but was largely dismissed as cost-prohibitive by the educational sector for which it was designed. The NeXT workstation was known for its technical strengths, chief among them its object-oriented software development system. Jobs marketed NeXT products to the financial, scientific, and academic community, highlighting its innovative, experimental new technologies. Tim Berners-Lee invented the World Wide Web on a NeXT computer at CERN. The revised, second generation NeXT cube was released in 1990, also. Jobs touted it as the first "interpersonal" computer that would replace the personal computer. With its innovative NeXT Mail multimedia email system, NeXT cube could share voice, image, graphics, and video in email for the first time.. Jobs ran NeXT with an obsession for aesthetic perfection, as evidenced by the development of and attention to NeXT cube's magnesium case. This put considerable strain on NeXT's hardware division, and in 1993, after having sold only 50,000 machines, NeXT transitioned fully to software development with the release of NeXT STEP/Intel. The company reported its first profit of $1.03 million in 1994. In 1996, NeXT Software, Inc. released WebObjects, a framework for Web application development. After NeXT was acquired by Apple Inc. in 1997.

PIXAR
In 1986, Jobs bought The Graphics Group (later renamed Pixar) from Lucasfilm's computer graphics division for the price of $10 million, $5 million of which was given to the company as capital. The first film produced by the partnership, Toy Story (1995), with Jobs credited as executive producer, brought fame and critical acclaim to the studio when it was released. Over the next 15 years, the company produced box-office hits ToyStory2 (1999); Monsters,Inc. (2001); FindingNemo (2003); TheIncredibles (2004); Cars (2006); Ratatouille (2007); WALLE (2008); Up (2009);and Toy Story 3 (2010)

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The Return to Apple


In 1996, Apple announced that it would buy NeXT for $427 million. The deal was finalized in February 1997, bringing Jobs back to the company he cofounded. Jobs became de facto chief after then-CEO Gil Amelio was ousted in July 1997. He was formally named interim chief executive in September. In March 1998, to concentrate Apple's efforts on returning to profitability, Jobs terminated a number of projects, such as Newton, Cyberdog, and OpenDoc. Jobs also changed the licensing program for Macintosh clones, making it too costly for the manufacturers to continue making machines. With the purchase of NeXT, much of the company's technology found its way into Apple products, most notably NeXTSTEP, which evolved into Mac OS X. Under Jobs's guidance, the company increased sales significantly with the introduction of the iMac and other new products; since then, appealing designs and powerful branding have worked well for Apple. At the 2000 Macworld Expo, Jobs officially dropped the "interim" modifier from his title at Apple and became permanent CEO. With the introduction of the iPod portable music player, iTunes digital music software, and the iTunes Store, the company made forays into consumer electronics and music distribution. On June 29, 2007, Apple entered the cellular phone business with the introduction of the iPhone, a multi-touch display cell phone, which also included the features of an iPod and, with its own mobile browser, revolutionized the mobile browsing scene.

Resignation & Death


In August 2011, Jobs resigned as CEO of Apple, but remained with the company as chairman of its board. The resignation was associated with the fact that his health had been in the news for several years, and he had been on medical leave since January 2011. Jobs died at his Palo Alto, California, home around 3 pm on October 5, 2011, due to complications from a relapse of his previously treated islet-cell neuroendocrine pancreatic cancer, resulting in respiratory arrest.

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His entire Journey & his inventions


Product Apple-I Computer Apple-II computer Year Released Year 1976 Year 1977 (April) Retail Price $666.66 $1297 $2495 $6500 $1299 $400 $599

TheMacintoshComputer Year 1984 (Jan) The Next Computer iMac iPod iPhone Year 1989 Year 1998 Year 2001 Year 2007

Time Line of Steve Jobs 24th Feb,1955 Steven Paul Jobs was born in San Francisco. After being
abundant by his biological parents he was adapted by Paul and Clara Jobs on the same year.

1972 Jobs enrolled at Reeds college and dropped out after 6 months so
that he could attain only creative classes .

1974 Took his first job as a technician at Atari Inc. in Los Gatos,
California. Same year he visited India for spiritual enlightment.

1976 Jobs and his friends Steve Wozniak and Ronald Wane formed their
own business naming it Apple Computers

1980 Apple Lisa 1st personal computer with graphics interface came in the
market.

1983 Jobs appoints John Scully from PepsiCo. to join as Apple CEO. 1984 Macintosh Computers an Apple brand was launched which changed
the personal computer market.

Early 1985 Difference between Scully and Jobs gave the board a reason to
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remove Jobs as head of MAC division.

Nov 1985 Resigned from his own company . Dec 1985 Jobs founded NEXT Computers Inc with $7 Million. 1990 NEXT CUBE was released, 1st inter personal computer concept
revolutionizing human communications and work group.

1994 NEXT reported its 1st profit of $1.3 million. Dec 1996 NEXT was acquired by APPLE computers for $427 million and
1.5 million shares of Apple stock.

1986 Acquired graphics group Lucas films and named it PIXAR for
$5million

1995-2010 First film production was Toy Story and then academy award
winning movies like Finding Nemo, The Incredible, Ratatouille, WALL-E, Up and Toy Story 3 came out from PIXAR productions.

Jan 2006 Disney purchased Pixar all stock transactions worth $7.4 Billion. Late 1996 Apple brought back Steve Jobs as interim CEO and share price
of apple in that year went up from below $13 to $30 just by his brand image.

2000 Jobs became permanent CEO of Apple Inc. 2003 Jobs was diagnosed with Pancreatic cancer . 2010 Forbes Magazine estimated his net wealth of $8.3 Billion making him
USAs 42ndwealthy person.

24thAug,2011 Jobs resigned as active CEO of the company due to health


issues caused by cancer.

5thOct,2011 Steve Jobs passed away in California due to Pancreatic


cancer.

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COMPONENTS OF JOBS' LEADERSHIP FOCUS


When Jobs returned to Apple in 1997, it was producing a random array of computers and peripherals, including a dozen different versions of the Macintosh. After a few weeks of product review sessions, hed finally had enough. Stop! he shouted.This is crazy . He grabbed a Magic Marker, padded in his bare feet to a whiteboard, and drew a two-by-two grid. Heres what we need, he declared. Atop the two columns, he wrote Consumer and Pro. He labelled the two rows Desktop and Portable. Their job, he told his team members, was to focus on four great products, one for each quadrant. All other products should be cancelled. There was a stunned silence. But by getting Apple to focus on making just four computers, he saved the company . Deciding what not to do is as important as deciding what to do, Thats true for companies, and its true for products.

SIMPLIFY
During the design of the iPod interface, Jobs tried at every meeting to find ways to cut clutter . He insisted on being able to get to whatever he wanted in three clicks. One navigation screen, for example, asked users whether they wanted to search by song, album, or artist. Why do we need that screen? Jobs demanded. The designers realized they didnt. At one point Jobs made the simplest of all suggestions: Lets get rid of the on/off button. At first the team members were taken aback, but then they realized the button was unnecessary . The device would gradually power down if it wasnt being used and would spring to life when reengaged. Jobs aimed for the simplicity that comes from conquering, rather than merely ignoring, complexity. Achieving this depth of simplicity, he realized, would produce a machine that felt as if it deferred to users in a friendly way, rather than challenging them. It takes a lot of hard work, he said, to make something simple, to truly understand the underlying challenges and come up with elegant solutions.

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TAKE RESPONSIBILITY END TO END


Jobs knew that the best way to achieve simplicity was to make sure that hardware, software, and peripheral devices were seamlessly integrated. An Apple ecosysteman iPod connected to a Mac with iTunes software, for exampleallowed devices to be simpler, syncing to be smoother, and glitches to be rarer . The more complex tasks, such as making new playlists, could be done on the computer, allowing the iPod to have fewer functions and buttons. Jobs and Apple took end-to-end responsibility for the user experience something too few companies do. From the performance of the ARM microprocessor in the iPhone to the act of buying that phone in an Apple Store, every aspect of the customer experience was tightly linked together .

PUT PRODUCTS BEFORE PROFITS


When Jobs and his small team designed the original Macintosh, in the early 1980s, his injunction was to make it insanely great. He never spoke of profit maximization or cost trade-offs. Dont worry about price, just specify the computers abilities, he told the original team leader . At his first retreat with the Macintosh team, he began by writing a maxim on his whiteboard: Dont compromise. The machine that resulted cost too much and led to Jobss ouster from Apple. But the Macintosh also put a dent in the universe, as he said, by accelerating the home computer revolution. And in the long run he got the balance right: Focus on making the product great and the profits will follow. John Sculley, who ran Apple from 1983 to 1993, was a marketing and sales executive from Pepsi. He focused more on profit maximization than on product design after Jobs left, and Apple gradually declined. Job said I have my own theory about why decline happens at companies, They make some great products, but then the sales and marketing people take over the company ,because they are the ones who can juice up profits. When the sales guys run the company, the product guys dont matter so much, and a lot of them just turn off. It happened at Apple when Sculley came in, which was my fault, and it happened when Ballmer took over at Microsoft.

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IMPUTE
Jobss early mentor Mike Markkula wrote him a memo in 1979 that urged three principles. The first two were empathy and focus. The third was an awkward word, impute, but it became one of Jobss key doctrines. He knew that people form an opinion about a product or a company on the basis of how it is presented and packaged. Jobs said Mike taught me that people do judge a book by its cover, . When he was getting ready to ship the Macintosh in 1984, he obsessed over the colors and design of the box. Similarly, he personally spent time designing and redesigning the jewel like boxes that cradle the iPod and the iPhone and listed himself on the patents for them

PUSH FOR PERFECTION


During the development of almost every product he ever created, Jobs at a certain point hit the pause button and went back to the drawing board because he felt it wasnt perfect. That happened even with the movie Toy Story . After Jeff Katzenberg and the team at Disney, which had bought the rights to the movie, pushed the Pixar team to make it edgier and darker, Jobs and the director, John Lasseter, finally stopped production and rewrote the story to make it friendlier . When he was about to launch Apple Stores, he and his store guru, Ron Johnson, suddenly decided to delay everything a few months so that the stores layouts could be reorganized around activities and not just product categories.

TOLERATE ONLY A PLAYERS


Jobs was famously impatient, petulant, and tough with the people around him. But his treatment of people, though not laudable, emanated from his passion for perfection and his desire to work with only the best. Its important to appreciate that Jobss rudeness and roughness were accompanied by an ability to be inspirational. He infused Apple employees with an abiding passion to create groundbreaking products and a belief that they could accomplish what seemed impossible.

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KNOW BOTH THE BIG PICTURE AND THE DETAILS


Jobss passion was applied to issues both large and minuscule. Some CEOs are great at vision; others are managers who know that God is in the details. Jobs was both. Time Warner CEO Jeff Bewkes says that one of Jobss salient traits was his ability and desire to envision overarching strategy while also focusing on the tiniest aspects of design. For example, in 2000 he came up with the grand vision that the personal computer should become a digital hub for managing all of a users music, videos, photos, and content, and thus got Apple into the personal-device business with the iPod and then the iPad. In 2010 he came up with the successor strategythe hub would move to the cloudand Apple began building a huge server farm so that all a users content could be uploaded and then seamlessly synced to other personal devices. But even as he was laying out these grand visions, he was fretting over the shape and color of the screws inside the iMac.

REALITY DISTORTION FIELD


Apple's Bud Tribble coined the term "reality distortion field" in 1981, to describe Jobs's charisma and its effects on the developers working on the Macintosh project. Tribble claimed that the term came from Star Trek. Since then the term has also been used to refer to perceptions of Jobs's keynote speeches. The RDF was said by Andy Hertzfeld to be Steve Jobs's ability to convince himself and others to believe almost anything, using a mix of charm, charisma, bravado, hyperbole, marketing, appeasement, and persistence. Although the subject of criticism, Jobs's so-called reality distortion field was also recognized as creating a sense that the impossible was possible. By motivating the people around him to create innovative products, Jobs was in turn able to market them creatively to reach a wide audience.[145] Once the term became widely known, it was often used in the technology press to describe Jobs's sway over the public, particularly regarding new product announcements.

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Bibliography

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