Leadership Steve JobsSteve Jobs –Co-Founder/CEO/Director o /1996-Present College dropoutCollege dropout PerfectionistPerfectionist Founded company withFounded company with Steve Wozniak Steve Wozniak Source: Reuters
Leadership Peter OppenheimerPeter Oppenheimer –CFO/Senior VP o Present Former CFO of Automatic Data Processing, Inc. (ADP) Former CFO of Automatic Data Processing, Inc. (ADP) IT Consulting firm IT Consulting firm Source: Reuters
Leadership Timothy CookTimothy Cook –COO o Present Previously VP Corporate Materials for Compaq Computer Corp. Previously VP Corporate Materials for Compaq Computer Corp. COO for Intelligent Electronics COO for Intelligent Electronics Source: Reuters
Apples Culture Self-organizing teams. More rewarding and enriching tasks Loan to own program. Secrecy of information. Enhance innovation. Inward focus. Top ranked support organization. Brand loyalty. Provides an environment that enhances change.
Apples Culture (contd.) Little understanding of the needs of enterprise customers Driven by top management. Doesnt bring out the best in people. Secrecy reveal. Abnormal working hours. Little understanding of the needs of enterprise customers Presumption - the customer is wrong.
Organizational Structure Non-traditionalNon-traditional -Team and department divisions -Very informal and non-hierarchical Jobs still very much in controlJobs still very much in control Source: The Wall Street Journal; ICMRIndia; Apple Insider
Operations Corporate headquarters in Cupertino, CACorporate headquarters in Cupertino, CA Most manufacturing in ChinaMost manufacturing in China –Supplier code of conduct Source: Apple More than 200 stores More than 200 stores worldwide worldwide
Sales Breakdown 2009 Sales by Operating Segment Source: Apple
Problems faced and how did he overcome those… "You have probably had somebody punch you in the stomach and it knocks the wind out of you and you cannot breathe. The harder you try to breathe, the more you cannot breathe. And you know that the only thing you can do is just relax so you can start breathing again." - Steve Jobs, after he was ousted from Apple Computer, in 1985.
Personality Attributes Visionary Risk Taker Emotional Stability Openness to Experience Highly Focused Committed / Persistent Passionate Positive Attitude "I am convinced that about half of what separates the successful entrepreneurs from the non-successful ones is pure perseverance." - Steve Jobs, in
Positive Attitude Words showing his positive attitude towards everything Steve Jobs in a speech given at Stanford University 16
An Aura of Charisma Vision: One person, one computer Risk: Slice it, dice it, and if it looks good, eat it for breakfast Highly optimistic Highly focused A continuous trigger - motivation 18
Contd.. Quest for perfection Make the change and not go with the changes Quoted as a brilliant and impulsive leader Shows off his legendary charisma when introducing new products at press conference. 19
The Managerial Grid Concern for People Low high Low high Concern for Production 20
Jobs -A transformational leader Space for creativity Perceived as a great motivator and a good coach..my job is not be easy on people, but to make them better. An apple without Jobs!- can it exist?? Good job or good JOBS? 22
Financial News April 20, 2010: Apple announced fiscal 2010 Q2 results: April 20, 2010: Apple announced fiscal 2010 Q2 results: - Revenue of $13.5 billion - Quarterly profits of $3.07 billion Stock price $252.36/share Stock price $252.36/share Holds over $40 billion of cash reserves Holds over $40 billion of cash reserves Source: World of Apple; BusinessWeek; Hoovers
Short-Term Solvency Ratio Current Ratio = Source: Hoovers
Long-Term Solvency Ratio Debt to Equity Ratio = Total Liabilities Shareholders Equity Source: Hoovers
Efficiency Ratio Receivables Turnover = Net Credit Sales Avg. Accounts Receivable Source: Hoovers
Profitability vs. Revenue Source: Hoovers; Argus Research Company
Financial Summary Strong RatiosStrong Ratios Positive predictions for financial growthPositive predictions for financial growth Profit margins leveling outProfit margins leveling out
Vision (Latest) To become the global leader in computer and digital music products. 29
Mission Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers globally through innovative hardware, software and Internet offerings. 30