1

Position Paper on How Apple is Organised for Innovation

Neha Parab

Colleague ID: 0608679

GGU FEB 23- MBA

LEAD 300: Management and Leadership

April 19, 2023

 2

How Apple is Organised for Innovation

As many of you know, Apple has faced challenges with its organizational structure. The

company has grown rapidly in recent years and the traditional hierarchical structure no longer

serves the needs of the business. This has led to issues with communication, decision-making, and

collaboration between departments. To address these issues, the company has been exploring ways

to become more agile and adaptive to changing market conditions. I want to make the difficult

decision to replace our conventional structure with a functional one. Apple's new structure aimed to

correct the shortcomings of its previous one and ensure Apple's long-term competitiveness across a

wide range of products.

Under the previous structure, we had a siloed organization where each business unit operated

independently. This led to a lack of cohesion and alignment across the organization, making it

difficult to execute on our strategy. The profit and loss (P&L) were split between multiple business

units, which made it hard to track performance and optimize our resources. There was also a

duplication of efforts and resources in areas like marketing and engineering.

The functional structure I propose will address these challenges by creating a more integrated

and streamlined organization. All business units will report to one P&L, and various functional

departments will be placed under one functional organization. This will allow for better coordination

and alignment of resources, making it easier to execute on our strategy. This structure will also give

senior management more visibility into the performance of each business unit and functional

department, as well as better insights into how resources are being allocated. This will enable more

effective decision making and help ensure that resources are used in the most efficient and effective

way possible.
 3

I understand that this change may concern some of you. You may have concerns about job

security, reporting lines changes, and autonomy. Some of you may be concerned about how this

new structure will impact your ability to innovate and take risks. These are all valid concerns, and I

want to assure you that we are making these changes with the intention of enhancing our overall

performance. We have taken the time to analyse the data and understand the implications for our

organization, and we are confident that the new structure is the best way forward.

Firstly, I want to reassure you that this change is not aimed at eliminating jobs. Instead, it is

aimed at creating a more efficient and effective organization that is better equipped to compete in

the marketplace. I recognize that this change may involve some adjustments, but I am confident that

the benefits of the new structure will far outweigh any temporary disruptions.

The new structure will enable us to better align our resources and capabilities to deliver on

our strategy. By creating a more integrated organization, we will be able to leverage our collective

strengths and expertise, creating a more innovative and customer-focused company. By bringing

different teams together, we will be able to increase collaboration, which will help us create new

solutions and products more quickly. Additionally, it will allow us to better serve our customers by

providing a more unified customer experience.

I understand that this change may raise concerns about autonomy. However, I believe that the

benefits of a more cohesive organization far outweigh the need for autonomy. As a team, I believe

that we can achieve more than we could ever do if we worked separately towards a common goal.

By having a unified organizational structure, we can create better communication channels,

eliminate redundancies, and create more efficient processes. This will not only help us increase our

effectiveness, but it will also help us to better manage our resources and increase our overall

performance.

I want to assure you that I understand the importance of feeling valued and respected as an

employee. As we make this transition, we will do everything we can to support you and ensure you
 4

feel valued and heard. We will be instituting policies that prioritize employee feedback and create

open and honest dialogue between management and employees. Additionally, we will be offering

training and development opportunities to ensure that you have the skills and knowledge to be

successful. We believe that creating a culture of respect, trust, and appreciation is essential for a

productive and successful workplace. We will encourage employees to share their ideas, opinions,

and concerns, and we will foster an environment where everyone feels valued and heard. Moreover,

we will provide resources to help employees develop their skills and knowledge so that they can be

successful in their roles.

In conclusion, I firmly believe that this new structure is the best way forward for Apple. It will

allow us to create a more integrated and streamlined organization, better equipped to compete in

the marketplace. I understand that change can be difficult, but I urge you to embrace this change

and work with us to create a brighter future for Apple. Together, we can achieve great things and

create a company we can all be proud of. Let's take this opportunity to push the boundaries and

redefine what's possible. With our collective efforts, I am confident that Apple will remain a leader in

the industry and continue to be an example of excellence.

References

Harvard Business Review- REPRINT R2006F, PUBLISHED IN HBR NOVEMBER -DECEMBER 2020

https://services.hbsp.harvard.edu/api/courses/1043846/items/R2006F-PDF-ENG/sclinks/

0f12d96da9cc7997805598a735a51b2e