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BUS293 Organisational Theory and Behaviour Report, MU, Singapore impact of employee job satisfaction of a technology company, Apple Inc’s long-term viability
The goal of this report is to determine the impact of employee job satisfaction of a technology company, Apple Inc’s long-term viability, which could help the company develop and become more sustainable in the future.
Apple Inc’s analysis is based on publicly available data on the internet and may not be completely correct. Views and opinions found may be biased towards or against the company, while most datas found are superficial, thus unable to obtain an in-depth analysis on the proposed company based on the topic assigned. Due to word count limit, parts of the discussion are touched only on the surface and not concluded with thorough analysis.
1.3 Sources of Data
Sources of data for this report were gathered from Apple’s website, reports and news. Multiple sources were obtained that include the internet, news articles and reports. To gain a deeper understanding of the report concept, textbook on this subject are also referred.
1.4 Report Organization
In the first section of the report, the theoretical aspects of organizational culture and environmental sustainability will be discussed. The report will be followed by an examination of the organisation’s culture, Apple Inc., as well as the existing sustainability activities in place. This encompasses the issues that an organisation and its employees are facing based on data from both primary and secondary sources. The report will then conclude with suggestions for improving Apple’s organizational culture and how this might help with future sustainability strategy execution.
- Main Body
2.1 Apple’s Background
Apple is a global business that manufactures consumer devices, computers, servers, and computer software, as well as serving as a digital media content distributor. Steve Wozniak, then 26 years old, and Steve Jobs, at 21 years old, established Apple in April 1976. They were both university dropouts. Wozniak, a talented and self-taught electronics engineer, began developing devices that allowed him to make free long-distance calls some years ago, and their partnership began there.
By selling their most valuable assets, including a vehicle and two calculators, Jobs and Wozniak were able to raise $1,300. Jobs constructed 50 computers in his garage after a local merchant placed an order for them. They finally sold 200 of them to San Francisco Bay area computer hobbyists for $666 a piece. The business has sold over 2 billion iOS devices in the last several years alone. If the Apple II and older items are included, the overall number is likely to be in the millions; the Apple II, for example, sold between 5 and 6 million copies.
Apple established itself as a leader in the consumer electronics and media sales industries with the launch of the popular iPod music player in 2001 and the iTunes Music Store in 2003, prompting it to eliminate “Computer” from the company’s name in 2007. The company’s iOS line of smartphone, media player, and tablet computer products, which debuted with the iPhone, is now well-known.
2.2 Definition of Organisation
In order for the business’s success, a thoughtful strategy developed into a plan that should be executed in a company.
Organization is the foundation of management, for no organization can execute its tasks well without an effective organization. This organization is a second step in the management process to try to integrate different operations in an enterprise to achieve predetermined objectives.
It is the structural framework of the roles and obligations that staff have to do in order to achieve company objectives. In other terms, it simply means that individuals work together for the same objective. It is a collection of individuals that gather or congregate in one area and contribute to a shared purpose. Therefore, many operations are coordinated in order to efficiently operate the business company in order to fulfill the shared purpose.
2.2.1 Importance of an Organisation
A company should prioritize excellent management in order to develop an enterprise clearly committed to achieving its target.
Business executives must be clear about the aims and operations of the firm and willing to evaluate and adapt depending on critical input. Subordinates are clear on how to perform duties. When this happens, this establishes balance in the firm so that it adapts to changing surroundings as necessary. It also enables employees to offer suggestions from a basic production or service level that provides top managers with the basic information needed to improve the situation.
2.3 Definition of Sustainability
Doing business in a sustainable manner means avoiding negative impacts on the environment, communities, or society. Sustainability in business focuses on two main factors: The environmental impact of business and the social impact of business.
Businesses that fail to accept responsibility can lead to issues like environmental degradation, inequality, and social injustice. The goal of a sustainable business strategy is to enhance impact on at least one of those areas. When making decisions about their operations, sustainable businesses take into account environmental, economic, and social factors, so their short-term profits don’t become liabilities in the long run.
Sustainability is important because it can help drive business success. Many investors now evaluate an organization’s ethical impact and sustainability policies using environmental, social, and governance (ESG) indicators. Such investors consider a company’s carbon impact, water use, community development activities, and board diversity, among other things.
According to research, firms with strong ESG ratings have reduced loan and equity costs, and sustainability measures can aid companies in improving their financial performance while gaining public support.
With reference to Mckinsey, the most compelling reasons for adopting a sustainable mentality, according to almost 3,000 employees, are to fit with a company’s aims, missions, or values; establish, maintain, or enhance reputation; satisfy consumer expectations; and develop new development possibilities.
With reference to the above said, these are the six sustainability initiatives that Apple have in place to save the environment.
Lowering the use of carbon materials
Apple has sold over 1.5 billion Iphone devices since its launch in 2007. To cope with the demands of Iphones, one of their strategies is to increase the quantity of low-carbon and recyclable components in goods, recycle existing items creatively, and make design more energy-efficient.
“Dave,” a recycling robot utilized to salvage rarer elements like earth magnets and tungsten from old phones, as well as a fraction of the steel utilized, is one example.
Apple also operates a Material Recovery Lab in Texas, where it collaborates with Carnegie Mellon University to develop innovative recycling methods.
Environmentally concerned consumers will be more receptive to products that are more environmentally friendly.
The transition to renewable energy lies at the heart of Apple’s green policy.
Apple’s new headquarters in California, which opened in 2017, is entirely powered by solar panels. On the property, they also planted 9,000 new trees. This extends to Apple’s supplier network. More than 70 vendors have pledged to use renewable energy exclusively. This is equivalent to removing nearly three million automobiles from the road.
Apple has always been on the cutting edge of technology, such as the ability to transmit faxes from a computer. They are now incorporating green policy innovation into their business strategy.
With many consumers becoming more concerned about environmental problems, this may have a significant impact on the psychology of closing purchases.
Innovations in materials
Apple is presently developing the first carbon-free aluminum smelting method in collaboration with two of its aluminum suppliers. They have created ultra-low carbon aluminum, which is utilized in the 16-inch MacBook Pro’s parts and components.
Fluorinated gases are another issue that contributes to global warming. Apple decreased its consumption of these harmful gases by more than 242,000 metric tons in 2019 thanks to the collaboration with their partners.
Apple’s production chain is heavily reliant on China. It is believed that 30% of all iPhone 6 orders are fulfilled there.
China, on the other hand, has serious pollution problems as a result of its coal-burning power plants. To assist with this, Apple established the China Renewable Energy Fund, which has spent slightly under $300 million in clean energy development in China.
The goal of the fund is to be able to generate one gigawatt of clean renewable energy. By the end of 2020, it is envisaged that all iPhones produced in China would come from their renewable energy facilities.
Reduce the use of conflict materials
Although most people are familiar with the term “blood diamonds,” fewer are familiar with the term “conflict minerals.” These often originate from parts of the globe where there is war and are gained via the exploitation of labor, with human trafficking and slavery being implicated, with the revenues aiding in the prolongation and funding of the conflict.
Tin, tungsten, and tantalum (the 3 Ts) are the most common conflict minerals. The Democratic Republic of Congo (DRC), which is rife with violence and human rights violations, are known to be a supplier of these minerals. Apple has severed ties with any mineral suppliers that fail Apple’s stringent auditing process. Apple aims to minimize demand from places like the Democratic Republic of the Congo by partnering with ethical and conflict-free suppliers and smelters.
Because Apple recognizes that this is a worldwide issue, it has expanded its efforts outside the Apple family. Among their initiatives are the following:
- A carbon solutions fund aimed towards restoring and conserving forests and other ecosystems all around the world.
- Conservation International has invested in a variety of initiatives, including repairing and restoration of damaged savannahs.
- Collaboration with Conservation International, WWF, and The Conservation Fund have aided in the protection, restoration, and management of over one million acres of forests and other natural climatic barriers throughout the world.
2.4 Definition of Job Satisfaction
Employee job satisfaction is described as how happy they are with their jobs. This includes happiness with team members/managers, contentment with organizational rules, and the influence of their employment on employees’ personal life, in addition to their daily responsibilities.
It’s important to keep in mind that work happiness differs from person to person. The characteristics that make one person feel good about their employment may not apply to another employee in the same workplace under the same circumstances. As a result, it’s critical to take a multifaceted approach to employee satisfaction that considers the following factors: the demanding nature of work, which pushes people to achieve new heights and a degree of comfort (short commutes, access to the right digital tools, and flexible hours).
The immediate management and the company as a whole express their gratitude on a regular basis. Employees receive competitive remuneration, allowing them to maintain a high standard of life.
2.4.1 Why is job satisfaction important
How job satisfaction can help organisations be more sustainable
Case study of job satisfaction of Apple
An article by Md.Anhar Sharif Mollah (2015) discusses the job satisfaction level of employees of Apple at one of the branches in the United Kingdom. It identifies the effective way of making employees feel satisfied with working at Apple which therefore profits the company as a whole.
There’s no denying that outstanding workers are a company’s most valuable asset. Keeping employees satisfied is one key factor to having productive, motivated and committed employees which in turns contribute to the organization’s goals. There will be a lower turnover rate where employees are less likely to quit. One of the greatest costs attributed to the HR department is turnover.
Retaining employees improves the working atmosphere, makes it simpler to acquire top talent, and saves money. The final line is that contented employees are less likely to depart. Company’s overall performance will also improve greatly with happy employees. Employees often support the business’s mission and work hard to assist and accomplish its goals when they believe the organization has their best interests at heart. Employees may also be more inclined to inform their friends, spreading positive experiences.
Working with the company will also make employees feel more rewarding if they are satisfied with their job. Hiring a staff is always much easier compared to keeping them. There are several ways of keeping employees satisfied with their job, prioritizing work-life balance will be one of them. Overworking will cause employees to feel burnt out and not have time for their personal life outside of work.
Armstrong (2009) described that due to the raised responsibilities in the workplace, employees are becoming displeased with their job. In the long-run, problems like mental health issues will arise. Mental health is also another factor that should be well taken care of in a working industry. Thus, work duties should be well allocated to different staff based on their capability and skill set.
Being transparent and respecting your staff is also one key point to make them feel valued and connected to the company. Bosses should learn to build good rapport, have regular interactions and maintain good working relationships with their co-worker to understand more about them and how they are coping at work. Being open with discussions and having a good communication channel reduces friction at work which helps bring a sense of belonging and makes them feel more dedicated to their job. A good working environment, layout and favourable work conditions also lightens one’s mood while working. Imagine having only a small office table with minimal space, it would be very uncomfortable for employees to work in.
According to Herzberg (1966), the importance of a work environment is the primary determinant of job satisfaction of employees in a workplace. Keeping them happy and promoting a positive work environment is also the route to a satisfied employee. Keeping employees safe and happy may result in increased sales, cheaper expenses, and a stronger brand. Companies can do so by having lunch as a whole or creating outings for employees. Recognizing one’s hard work and rewarding them is also essential for a positive and happy employee. Having to be paid fairly, feeling secure with their job and being comfortable with their job and task allocated to them is also a contributing factor to job satisfaction (Maidani, 1991).
Job satisfaction can also be considered as a form of self fulfilment to employees themselves. Job satisfaction theories are being used to find out the satisfaction level of employees in the Apple Company at one of the branches in the United Kingdom. Maslow’s Hierarchy model (1943) gives a basic idea of the five different dimensions of job satisfaction level in its theory. These five dimensions of hierarchies are physiological needs, safety needs, love and belonging needs, esteem needs, and self-actualization needs.
The first level of hierarchy belongs to the physiological needs where it is the most basic level of human survival. This covers the flexibility and comfort level of the work conditions. It also comprises having a reasonable salary for the job, layout of the company and effectiveness of work in an employee.
The next level would be the safety needs which is related to being able to secure and manage the job with clear defined scopes to reduce the level of anxiety in an individual.
Thirdly, love and belonging needs to make sure that the employee is well taken care of in terms of their mental wellbeing and adaptation of the workplace. Having a sense of belonging is taken into consideration in this aspect.
Fourthly, the esteem needs where the employee should feel respected and validated for the hard work they put in.
Lastly, the highest level of the hierarchy belongs to self-actualization which defines whether freedom and creativity is given to employees to ensure that they are able to express their ideas freely and also if they have the opportunity to perform with the skills that they hold.
All these pointers serve as a guide for Apple to make sure that all employees are being reached out to and no one gets left behind in every level.
Concepts of organizational behavior and how they contribute to the organization’s current performance and sustainability.
With the challenges and competition faced in the market, organisations are being pushed to reconsider their strategies of how practices in the company works and also placing employees as their intangible asset.
Organizational behavior is a seminal and multi-faceted domain that has generated multifarious analyses connected with a range of contemporary management and organizational literatures (Cooper, Flint-Taylor, &Pearn, 2013).
Some basic concepts of organizational behavior are the differences between individuals, the person as a whole, the cause of a behaviour or individual, an individual’s dignity, social systems and mutual interest among co-workers. Although there has been a lot of research on both sustainability and organizational behavior as separate topics of interest, the questions about behaviours that drive sustainability at different levels of an organization are relatively recent.
“The core to build a socially conscious, innovative and environmentally responsible business is to synchronize employee engagement in work with sustainability strategy” (Lovins, 2012). To have employees to be included in the company’s sustainability plan will increase their engagement with the company.
Additionally, the employees will also be the marketers of the company by providing word-of-mouth facts about the company to others. By being more engaged with their work, they will be more proud and talk more positively about their job beyond their workplace.
According to Akhtar, Khan, Frynas, Tse, and Rao-Nicholson, “despite the fact that various studies have emphasized linkages between firm competencies, networks, and sustainability at the organizational level, the links between top management tangible competencies, relationship-based business networks, and environmental sustainability have not been so well-explored at micro-level”.
Thus, in order to contribute to the organization’s current performance and sustainability, organizations need to provide light on the connection of organizational behavior with sustainability. Organizations will have to deepen and widen the grasp of sustainability through micro-foundational work and organizational behavior linking processes and structures.
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