Management innovation techniques

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Innovation is a keyword that is a Gateway to success or failure for any company but actually fact is there is never a structured methodology to implement Innovation in the Stream of Concern's Functioning or working as it is much trickier to confront than imaginative problem deciphering, idea creation or idea management as we can rightly rephrase as innovation is a key for reinvention of the Product as it was said there was no reinvention of wheel but there was a need to renovate the wheel as per Technological and Customer Mindset Evolution.

Apple Inc. an American multinational corporation that designs and manufactures world class consumer electronics, computer software, and commercial servers. The company is best-known for hardware products ranging from Macintosh computers, the iPod, the iPhone and the iPad to Apple soft wares that includes the Mac OS X operating system; the iTunes media browser; the iLife suite of multimedia software; the iWork suite of productivity software; Aperture, a photography package; Final Cut Studio, a suite of professional audio and film-industry software products; and Logic Studio, a suite of audio tools. So once the name APPLE pops up, the current generation people are reminded of its super cool products from Apple Inc and along with it none can stop admiring the man behind this Consumer Electronics Giant, Mr. Steve Jobs, the man with maximum charisma, Innovations and the best leadership Quality, Jobs believes in innovation, narrowing down to fineness clearly paying off dividends in market share.

Steve Jobs remains as a source of biggest inspiration for the project team members. So this paper describes about the strategic innovation management by Apple Inc's Father Mr. Steve Jobs. Thereby analyse how his values on innovation have been embedded in Cultural values, Vision of Apple Inc Organisation. Apple Inc is not only a leader in the Consumer Electronic Industry but also a leader in best Software and next generation Computers. The ultimate factor for every business firm to vie and stay alive in an extremely competitive global milieu is innovation. Apple's innovation success can also be attributed to their policy of empowering their employees to experiment and explore. This paper deals in analyzing the organisational innovation systems and various innovation polices made in Apple by Mr. Steve Jobs for their colossal success as leading Consumer Electronic manufacturer in the world, to an extent that Fortune magazine has named Apple most admired company in USA in 2008 and in world in 2009

This study deals the way innovation being handled by Mr. Steve Jobs for Apple on different aspects of organisation such as product development, manufacturing and environment by means of innovative organisational structural impact. Most interesting part of the paper discuss about his culture that demands most from Apple's engineers, scientists, stretches away from borders and recognizes that failure will transpire. His strategy had been the same on innovation since foundation and has paid off.

Chapter 1 Non Stop Innovation - Signature Of Stephen Jobs

Innovation has become a word synonymous to Apple Without question Jobs is very intelligent and was much too intelligent for his school environment. Having been born of two bright parents and then raised in what was essentially a working class environment, so he would have always felt like a square peg in a round hole. Jobs were a bright, hyperactive child who required little sleep, so he must have been somewhat of a challenge to his adoptive parents. In his high school, Jobs approached problems differently when compared to others. He was an inventive thinker.. Jobs did not continue many of the electronics classes in spite of that he with his friend Wozniak kept lessons together in his high school days . His big vision was always is his major strength. His Achilles heel is that he always knows the best. Sometimes he did and sometimes he did not know the best. But he saw and executed the things differently which is the main key to success. If CIP stands for Continuous Improvement Process for most of the Technocrats, for Jobs it would be Continuous Innovation Process


Stephen Paul Jobs and Walter Elias Disney shared the most important characteristic among them. They decided to quit the work that has relevance in deciding their careers. Walt Disney despite beginning his career as a cartoonist realized by the late 1920s that he had nothing to do with the drawing of Disney cartoons. He is believed to have told his colleagues that he could not have held down the animator's job in his own studio. Steve Jobs, now a CEO of Apple Computers has held technical positions at HP and Atari in Silicon Valley during the dawn of his time. Surprisingly, Steve Jobs have never been served as an engineer or of a technical position in Apple Computers Inc.

A quick browse in the Google for the patents filed by Apple in recent months reveal that Jobs' name is listed on the inventors list of about 12 of Apple filings over the past 30 years (which also includes his absence of 13 years in between). This actually proves that the major Apple products are a brain child of Jobs constant thinking and innovation and they would never be the same without him. Usually Jobs files for his patent with his other colleagues such as Jonathan Ive, the senior vice president of industrial design, apple computers and a few other less known engineers. Jobs mostly file his patents in the industrial design realm while some of them are for software. He has never filed a patent for the circuit design nor for the other "under-the-hood" technologies.

The study of the Google Patent Search's records of patents credited in part to Steve Jobs is actually a comprehensive method to reflect some of his failures and accomplishments. It also enables us to learn the techniques employed by him that makes him so successful. Some of the peppy gadgets that we see today such as the iconic computers, MP3 players, and other gizmos sold by Apple from 1998 to the present are a result of the design patents filed by this genius. Ten of such important patents are listed below for discussion.

  2. The main competitive edge by the Macs over the Windows PCs is the Apple's power adapters-which are highly compact and sport magnetic connectors. It has an extension cord which is optional. The cable can be wrapped around the little wings. The important factor that makes Macs worth more money than garden-variety Windows boxes is the fact that the CEO is concerned even over trivial necessities such as power bricks. The following one shown here is a patent filed by Jobs and his team of 11 engineers in 2001.

  4. The Apple Remote was debuted in the year 2005 during 12th of October. The artistic view of the product shown below is from his patent that he used to file prior to the launch of the product 5 days earlier. The remote just uses two buttons with 6 functionalities as against a windows remote which currently uses more than 15 zillion buttons. The Apple Remote is quite a very good innovation which is an example of the Jobsian restraint. If the simplest remote in the world is being built by all the consumer-electronics companies they will probably still end up with 3 times the buttons, and about fifty percent of them would have incomprehensible labels.

  6. Many of the Apple's patents that are filed by Jobs revolve around one common idea - A desktop PC with guts in one box and the display panel in the other which is connected by an articulated cable or arm. Such a machine was made by the Apple for about two and a half years between 2002 and 2004 which is the iMac G4. The fact that Jobs being over obsessed with this idea is held by the evidences at the US patent office. The below product is one such of his which uses a snake arm articulation. The patent was filed before Apple started shipping the more rounded G4 model.

  8. A "handheld portable computing device" was filed by Jobs with 12 of his other engineers from his team in the year 2007. This is the early design that looks like an early iPod Nano with some sort of touch-strip control rather than the iconic click wheel. Such a device is yet to be made by the Apple. It should be noted that the Nano that got released in 2007 turned out to be the squared, square variant-which came out in less than three months after this filing.

  10. This patent is the most popular iPod Nano box. Even if the design and aesthetics looks good, Apple makes a point in the appearance of the packaging and the product itself. The iPod box is designed in such a manner that it is actually pretty much part of the iPod that we happen to remove during use. Apple has also plans to introduce a unibody aluminum iPod box with an Apple logo that lights up if the business plans are not to have an entirely recycled, biodegradable packaging at some point.

  12. The structural tower as can be seen at a San Francisco store of the Apple Computers Mall is the patent filed by Jobs. The store was opened in October, 2005 and since then, Microsoft, having taken note of the Apple Stores' great success, plans its own chain of retail outfits.

  14. The Macintosh OS X's spinning beach ball warns the user if the processor is too worked up it will be rotating for abnormally long time and/or be the first warning sign of a crash. This patent was filed by the Apple for the festive status indicator in January 2001, and Jobs was one of two designers to receive credit. It's one of the few good examples of a patent filed by Apple on something that we'd all be just as happy to never see that one again.

  16. The iPod and iPhone cases by Apple are meant for the gadgets that can get scratched very easily. This is actually a patent filed in the year 2002 by Apple for a couple of iPod cases, including this which claims Jobs and 10 others as its inventor.

  18. Steve Jobs mostly files for his patents on those products which are in their final form and are ready to be fabricated. In the year 2004, a patent for the touch tablet type PC was filed for credited to Jobs and fourteen others. The iPad released recently is the result of this patent.

    Thus the readers are left to imagine this innovative wonder wizard he is Harry Porter of Consumer Electronics and his organisation has weaved such a magic that almost Three Fourth of world Apple Users are Apple Fans and the proper salutation should go to the Hero of our Topic Mr Steve Jobs about whom this Paper shall be discussing

Chapter 2 A Genius technocrat to an innovative businessman

Steve Jobs was the unreliable market visionary for the start-up Apple Corporation. As a young entrepreneur he was an arrogant outsider with nearly one fatal flaw - he placed no value on the opinion of others. This led to jobs being responsible for some of Apple's early failures. Jobs delivered to consumers what he wanted, not what they wanted. After being fired by the company he helped found, and possibly having learned from his early marketing mistakes, he came back to lead Apple to huge market success with the fashionable iMac and even more fashionable iPod and MOST ADORABLE SMART Phones called iPhone.


In 1976, Steve Jobs and Steve Wozniak started Apple computers. The underfunded start-up company was born in the bedrooms and garage of the Jobs family home in San Francisco. The name was inspired by apple orchards where he had a job. Wozniak and Jobs belonged to a loose fraternity of 'wire-heads' that had been put together following the seminal edition of Popular Electronics in 1975. They both thought that computer was the future and went about finding a market edge.

Jobs' strongest influences were in the electronics rather than programming and hence he took a slightly different and more traditional route than Gates and Allen - he decided to make his own computer. Consequently an operating system was developed thus inking the hardware and software. Gates, on the other hand was more interested in the software side and built hardware as and when it was necessary. Gates business model was not dependent on any one hardware manufacturer, so he was able to play one manufacturer off against the other. Apple, in the mould of IBM, was really only interested in software to the extent that it supported hardware sales, therefore, Apple had more trouble expanding than the Microsoft did.

With Wozniak in charge of the technology, Jobs was in charge of parts supply, aesthetics and marketing. He was brilliant at supply, able to negotiate parts on credit. He was a problem in aesthetic department because he insisted that computers look and operate exactly as he wanted them to without reference to users. Throughout the early life of apple when Jobs was there, there were costly aesthetic and user interface mistakes. With some models the cases were too small for too long, and there were arbitrary changes in the interface protocols so that new computers were not compatible with the existing hardware or software, forcing consumers to completely change everything when they bought a new machine. This problem of Jobs foisting his opinion on the market without checking has plagued him right up until recent times. He now seems more willing to take advice.

By the end of 1977, more than 2500 Apple 2 computers have been sold out. Around 24 employees were working in a office which had the space about the size of a room. This led to a feeling that the office looked something like an army camp. In 1978, the office was relocated to a bigger work place where Jobs did his regular round checks. He was a perfectionist and hence he angered many of his workers who called him as a "Rejecter". In 1978, about 8000 computers were sold out and in 1979, 35000 computers have been sold. By the year of 1980, Apple computers went public and Jobs became a super rich guy at an young age of just 25. He had with him $200 million Apple Shares.


Apple Computers have clearly emerged as the pioneer in the Personal Computer industry. This company definitely has one of the longest tenure and a track record of innovations. Some of its early success such as the one after the multi-vendor "Wintel" standard, people believed that it limited its future which is strongly attributed due to its proprietary and vertical integrated strategy. The potential of Computers was well recognized by Steve Jobs. This made him to be the instrumental brain behind many of the Apple's signature features and success. The approach followed by him does not merely depend on a product-design philosophy steered by committee or determined by market research. His beliefs were relied mainly on the tenacity, patience, belief and instinct. The hardware and software design choices at Apple Computers always wait for his personal nod or veto in which he is heavily involved with. Jobs as a team leader of his team, was responsible in his duties and roles as a team member. He is quite careful in choosing key members of his team where he mainly looks for the excellence in multiplication factor. In his words, "Truly outstanding designers, engineers and managers, are not just 10 percent, 20 percent or 30 percent better than merely very good ones, but 10 times better". The raw materials of those catchy products such as iMac, iPod or iPhone are as a result of contributions of these outstanding engineers.


One of the earliest products in Apple Computers product line was the Apple 1 computers which were crude and eventually only 200 were sold to the byte shop. Of the 200, only 150 were actually sold to the public. This was followed by the Apple 2 which was born as a result of idea of Wozniak. This computer included much needed features such as a keyboard and a screen connection as well as Wozniak's newly invented floppy disk drive. This product was taken to a trade show but it was given quite a bad location. On top of that it was coupled with amateurish displays and sales material which proved a severe blow to sales and became very slow. The efforts to raise the capital and funding by both went fruitless. However repeated efforts by Jobs lead him to find a venture capitalist, who, gave them with the capital, credibility, and a new location to work out in return for 30 per cent of the company. Their task was to get ready for the next trade show. At this time Jobs began reverting to type by showing characteristics that would eventually get him fired from Apple. He was hard to please, seeing himself as an artist and visionary more than a businessman. Jobs would make lots of changes during projects, which in fact made difficult for apple to meet deadlines and sometimes lead to technical challenges.

Steve Jobs made three major efforts in Apple to develop a more powerful business-oriented PC to complement the Apple 2 computer: the Apple III, Lisa and Macintosh. It should be noted that even before the IBM PC was released, these efforts were already kick started by Jobs. The Macintosh system emerged as the most successful PC in the product line. Some of the components such as the 16-bit processor, GUI and system software were acquired from its Lisa predecessor. The Mac PC was finally introduced in January 1984 after many delays using the infamous "1984" Super Bowl television ad that linked IBM PC users to an Orwellian nightmare.

Most businesses and individuals were offered their first opportunity to take advantage of menu-based user interface by the Macintosh. Later computer users took the features such as WYSIWYG high-resolution display, and various other innovations were taken for granted. The adoption of this PC was slowed down due to its high cost and certain key features were lagging such as the hard disk drive, color display and application software.

The Apple computer achieved an unique differentiation with its Macintosh, and from 1989-1993 enjoyed increasing market share and revenues. However, we should note that the Apple's revenues peaked in mid-1995 just prior to the introduction of Windows 95, and for two years its revenues, market share and profit margins resembled an uncontrolled freefall. We can infer that the Apple's decline during the mid-1990s has two popular explanations. The first explanation is that which focuses on its standards strategy, which unlike all rivals eschewed licensing and joining the "Wintel" alliance of PC makers. The second explanation makes a reference to a combination of strategic and operational errors - particularly in product design and inventory management - which would have made it impossible for Apple to compete even as a Wintel PC maker.


With regards to the standards strategy in the PC industry, the Apple remained unique by the mid-1990s. The Apple computers did not license its software to buy out hardware components such as Microsoft where it sold the MS DOS to buy the Intel compatible chips from its rival, the Intel. As an operating system vendor, unlike Microsoft it did not offer its OS to other companies in an attempt to get the widely adopted standard

Apple started licensing comparatively weak companies to make clones by the end of 1994. However, within two years the clones captured about 20% of the Mac market even though Apple refused to license strong competitors such as Gateway 2000. At the same time the Mac's share of the overall PC market declined. In the summer of 1997, Apple unilaterally ended cloning when Steve Jobs took over as interim CEO, citing the failure of clones to attract new users.

In the face of this severe financial pressure, Steve Jobs changed the company's business strategy and focused on improvements in operational efficiency. Similar to strategy shown in the above Figure 2.1 the efficiency of handling downtime and meltdown were so good that competitors were awestruck once he released following statements, "We've had one of these before, when the dot-com bubble burst. What I told our company was that we were just going to invest our way through the downturn that we weren't going to lay off people, since that we'd taken a tremendous amount of effort to get them into Apple in the first place - the last thing we were going to do is lay them off." Thus as expected time the downtime was over with money pumped in R&D stream there were many superb Products in the pipeline thus competitor were greeted post economic meltdown with shock surprises and that's Jobs' way Two targets in one shot motivating the people and turning off the competition

Chapter 3: jobs- a man with innovative leadership Quality

The aim of the work is to analyse the leadership style of the apple's CEO Steve jobs through the analysis of the articles and works connected with his business activity; it is also necessary to contemplate on the way his leadership style and ideas can be applied for our Understanding. First of all, it is widely known fact about Steve Jobs is that he may always supposed to be the central personality within the company, he is a icon and cult-like personality, and thus Apple may be seen as 'personality-driven'. However, the question arising here is whether it is good or bad, is it really that Jobs is a cult, and how personality driven companies may become profitable and successful. Answer can be Known from History of Apple Inc When it had six CEOs through the period of 1977-1985, it became evident that it lacked both marketing and technological zeal and the CEO which the company needed had to combine the knowledge and vision of the future technology and convert it with extraordinary marketing skills . Thus, one of the peculiarities of Jobs' leadership style is that he sees the core company's Technological advancement through a marketing prism. Jobs was able to restructure the company and return it to the normal performance through Research and development of new innovative products and trigger them to customer with an excellent launch pad which were always popular in the Market because of his superb Marketing skill-set. 'Apple became renowned for bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and Internet offerings. Thus once it became a Household brand then it ventured in to other Consumer Electronics Products and it almost started sweeping the Market shares in absolutely all the areas it entered in. This can be substantiated with its mission statement


Steve Jobs had based the leadership culture of the Apple Company on brand fanaticism and radical customer devotion. Though Jobs is and was highly criticized for his leadership style, but his achievements in nurturing apple cannot be neglected rather it has been a case study or he has been taken as a Role model CEO by most of other Industry, to an extent that Job Style became a Management Mantra or rather a system of Management.. It has been because Mr. Jobs the perfectionist and we should also include that he, in the past has been described sometimes as being intimidating by several publications. (Harvey, 2001) Another important peculiarity of Jobs' leadership is that he does not see Products, but far beyond giving it a emotional feel from Customer point of view. He has been quoted as highly demanding both towards himself and towards his employees. His target deadlines often seemed impossible to be met, but is constantly moving, moving towards continuous improvement in all spheres of his work. (Erve, 2004). One more remarkable characteristics of Jobs' leadership style thus is his ability to combine zeal and fear for his employees, who often state that they are afraid of him, but for any business, especially for the large companies, it is essential that the employees have the same vision of reality with the head of the company; this often defines its success, no matter in what economic zone the concern works.

The present work has been designed for the discussion of the relevant leadership ideas to be applicable to the all sort of business, based on the example of the Apple's CEO Steve Jobs, who is considered to be one of the most prominent leaders in the Global business circles. It has become obvious fact and evident that Apple Inc is able to achieve success and profits under Jobs. He has concentrated his focus on minimum products with awesome quality. The push behind the some astounding innovation from Apple is a result of their corporate policies that insists on respecting individual ideas with strong urge in its employees establishing a research system that develops product with originality and innovation embedded with high class Secrecy and Trust that is expected of all the Apple Employees by its most inspiring CEO Mr. Jobs. The typical sample of Apple research and development flow is shown in figure 3.1.

The totally different Leadership quality in Jobs made him a messiah in the Market as he always chose a path seldom taken by so called Market leaders and as goes the famous quote , "Winners don't do different things but they do things quite differently" also his famous quotes goes "Innovation distinguishes between a leader and a follower.

Chapter 4- Apple's Evolution Of Innovation In Technology under Steve Job

The Research stage and the Design stage function as integrated environment, a symbiosis which has been generating maximum efficiency of innovation. The product development activities of Apple Inc are clearly distinguished based on products application and also in to fundamental research. Apple has been more innovative in cascading technologies from high end products to a totally new set of applications that is never before in market Kind of Products. Apple has been highly successful in translating innovations into a High Class Product and Markets it with such a hype that Competitors are blown off the Track and they are almost out of the Race. Thus it achieves a perfect balance between engineering, market research, sales and development. This sweep through in the Market is solely due to the CEO level stance on innovation that is imbibed in to the heart and Soul of the Apple Corporate Employees. This Culture can be explained in more detail by taking few Quotes of Steve Jobs that depicts the Corporate Culture which is reflected in their Products

INNOVATIVE DESIGNà "Design is the fundamental soul for an artificial creation that ends up expressing itself in successive outer layers of the product or service

Steve Jobs always used to stress importance of the design and he always made no compromise in aesthetic quality of the Product and he use to be tough as an Engineer and his level of Toughness Increased as he grew on to become a best entrepreneur and later on the world wide admired CEO. The Man used to be so focus oriented that he came with a Public statement as follows:- "It comes from saying no to 1,000 things to ensure we don't get on the wrong track." Thereby ensuring the Quality is never lost in the Process of Innovation, Research and Development. If not for their Design the Apple I pod wouldn't have been world famous, as we know even though the Mp3 Player Technology was originally of Creative Inc but Apple's best in the world design group had carved out a Product called iPod that was a Trend setter and revolution in the Music Industry. And term evolution is a right word as same Apple came out with Miniature model called iPod Nano fitting in smallest jeans packet, Thus are the words of Jobs Highly Innovative, Motivating and had depth with right meaning

PERSEVERANCE à "I'm convinced that about half of what separates the successful entrepreneurs from the non-successful ones is pure perseverance."

These words depicts a very good secret of success of Apple which generally has some failed Products Like Apple Newton (A PDA phone) though it was flop in Market unless there was an Element of Perseverance in whole Apple team not necessarily only in its CEO, and world saw that The Apple Inc was able to deliver a Smart Phone called iPhone that is being widely used all over the world at present. Currently it is Ranked No1 by the Customer in Smart Phone Business

FOCUS VALUE, NOT DOLLAR VALUE à "Innovation has nothing to do with how many R&D dollars you have".

Time Apple rolled out the Mac, IBM was spending at least 100 times more on Ra&D. As Mr. Jobs said the following way, it's not the quantity of money that is being spent on R&D. It's about the people that company is having matters, more than that is how those people are led is what counts and above all how much the concern gets back. Thus was the Clarity of Thoughts embedded in the employees of Apple Inc in the and that defined and distinguished the Cultural value of Apple Inc with rest and the Credit would rightly be unto Jobs again.

sTRIVE TOWARDS eXCELLENCE success FOLLOWSà "We don't get a chance to do that many things, and hence one should be really excellent".

Quality is always more important than quantity as Steve justified in an Interview a really catchy phrase that was "One home run is much better than two doubles" and he always felt to maintain Excellence the basics ought to be right and he always wanted to own and control the primary technology in everything he did "

Chapter 5 Apple's Innovative Money Spinning Products

As it has been rightly said ''For managers, the fundamental challenge of innovation is to achieve the required cash payback by managing the overall innovation process with the understanding that payback can come quite directly and quickly, but also that it may take longer, be much less certain, or come back to the company only indirectly, via other products and services. '' Apple Inc always passes this condition here are examples to illustrate this fact Lets analyse the fact of few Products and overall Apple Inc's Cash back Curve. The generic Cash back curve looks as follows

It is always expected by any entrepreneur to foresee how he to en-cash his idea in to valuable bucks. Apple Inc is an Organisation that is highly innovative in its Products. What counts is how the innovation can please the Customers and in the end up in buying the Products, It's not just like a Do or die, Make or Break sort of decision that makes up a Commodity in to Living room of the Customer, It is far beyond it The Product needs to win the taste of Customer but what is more important is the Brand being emotionally attached to the Customer thus bringing in a everlasting Craze for the Product.

Apple always does this and it has been happening undeniably a' la ever perfect metrological prediction, Apple always witnesses the launch of its Products in front of scores and scores of media people like a paparazzi following the most happening Pop star. The Product Launch to be precise usually since the Leadership of Mr. Jobs, has always been with Apple stores usually Queued up for miles since a day before the launch, and it always have the loyal Customer base.

Apple's products are some of the most sought-after, and its retail stores are often crowded with customers. When the latest product, the iPhone, hit the market on June 29, media reported long lines ranging to 4.8 miles in front of Apple stores, of consumers waiting to buy the phone. As per Media reports lines had formed a few days before the event and people had brought mattresses and food, just so they would be one of the first to get the iPhone. Thus on an average 9 out of 10 Products of Apple are of excellent Innovation standards and in return at least 7 or 8 of them would be a money spinner, and as always there is lot brand following and customer fanaticism. That defines the Innovation Quality of Apple Inc and this success ought to go the high level strategic and innovative thinking by Jobs.

We have enlisted quarterly financial data along with other quantitative data such as iTunes song sales and product release dates. These trends show the massive growth of the company since 2000.The report here is summary of Apple performance Jan '01 to Jul '06. The following date is taken as it is only during this period after the recall of Mr. Jobs was Apple blooming out and his role was highly remarkable and obvious and it can be stated as a proof how innovation is always converted in to success through the aid of Strategic leadership and the credit of shepherding the Apple from crisis stricken company to best in class was very much evident in the period ranging from 2001 till now. It was during this period that Apple computer Inc was changed to Apple Inc and they raided the Consumer electronic Markets and iWaves of fanaticism is flowing and tide is turning out into Tsunami and as the years are growing success of Apple Inc is remarkable and share values are always peaking up . Lets analyse the Golden period of Apple as APPLE INC and not as APPLE COMPUTER INC, in the forthcoming Paragraphs

Mac sales

Revenue generated through iMac sales is shown in purple dots. Number of Mac units sold is portrayed in blue line - the unit sales are multiplied by a factor of 1500 in order to show up on the scale of this graph, for ease of capture of trend in unit sales when compared with revenue. Scaling by 1500 makes it clear as Apple targets an average sales price of USD 1500 for Macs.

iPod sales

Revenue generated through iPod sales is indicated with brown dots. Number of iPod units sold is portrayed in brown line. Similarly iPod unit sales are scaled by a factor of 200 to show up on the scale of the graph, and so the trend of unit sales can be compared with revenue. In this case, Apple targets an average sales price of USD 200 for iPods. The exponential growth in iPod sales is obvious, in 2005, the iPod Shuffle was introduced in January and made possible a growth in unit sales even as revenue dropped due to the lower price of a Shuffle

Retail stores

A lot of researchers don't track or miss the reality of how important Apple's retail strategy is. The number of retail stores portrayed as yellow triangles, and scaled to be visible on this graph. Retail revenues of stores are shown as the light blue diamonds. Apple has aggressively and systematically grown their retail presence revenue generated is very substantial. These Apple stores ensures that Apple keeps a greater share of the profit on iPhone, iPod and Mac sales and logic is since none in the industry have anything similar in terms of a retail chain, hence Apple Inc always had options for much more profit generation per product sales than any of their competitors. The question is whether more retail stores will produce enough additional sales to continue justifying additional retail stores, and its getting clear as daylight that retail stores do drive sales growth At present these stores also hit by online purchase through downloads of lot of iPhone applications, Though these revenues haven't been incorporated in to the chats

ITunes song sales

The cumulative number of iTunes songs sold is shown dark blue dots. These clearly show the exponential growth in sales, Music Related Revenue, which includes both iTunes song sales and sales of iPod accessories, is graphed with the blue triangles and can give some idea of when iTunes sales are jumping,

Software sales

Software sales are portrayed by light gray boxes,despite massive expansion in Apple's software offerings, revenue growth does not seem to exceed growth in Mac shipments. Though admittedly, this particular point deserves some deeper analysis,. One explanation may be, for example, that sales of Mac OS X releases are so successful that it hides the effects of other software sales.

IPhone sales

As Apple's iPhone, which has iPod features built in, has grown in popularity,(AP)Apple Inc. declared its net income rose 47 percent in the most recently concluded quarter four as more people bought Mac computers and succumbed to the iPhone craze resulting in Apple shares surging 7 percent. Apple unveiled a faster iPhone in June and cut the price of the previous generation of the phone to $99. That boosted iPhone sales from July'09 through September'09 to 7.4 million devices, half a million more than 2008.

Very Interesting fact to analyse would be the dealing of economic meltdown of 2008 and 2009 period. Apple weathered the economic meltdown better than other computer companies, giving it a running start when PC sales grew in the quarter. Apple had updated its Mac operating system and refreshed its Mac book Pro line. Apple sold 3.1 million Macs, a 19 percent rise from the same period a in 2007-2008 .Apple earned $1.82 per share in its 209 fiscal fourth quarter. Sales jumped 25 percent to $9.9 billion.

Chapter 6: Apple Inc --> A Best In Class Concern Without Steve Jobs

Before we get into this Topic we phrase the following Quotes from Mr. Jobs "I mean, some people say, "'Oh, God, if [Jobs] got run over by a bus, Apple would be in trouble.' And, you know, I think it wouldn't be a party, but there are really capable people at Apple.

My job is to make the whole executive team good enough to be successors, so that's what I try to do."

Steve jobs Has been consciously enough trying to make Apple as a System, a legacy of its own, Its normal that there will be a blow when Jobs retires and also it would be cruel to make him take over even at a older age, but Apple Inc has got all sorts of capability within its employees, within its Corporate culture also in its core values to enable it to shine as present even after our beloved leader is out for relaxing in his country sides or an Indian Ashram. The following facts can be justified in the forthcoming Paragraphs.

Steve Jobs was the founding father of the US multinational Apple Computers along with Steve Wozniak. The share value of Apple has increased 10 times from $10 to $100 when Steve Jobs just took over the reins after a 12 year absence. Such is the customer confidence Jobs had built around himself.

Sure, it's right to talk about Apple's future, what are possible new product directions and how they'd manage the succession process If Jobs calls it a day, and it has turned to be a million dollar question as to how Apple will fare when Jobs is not taking the reins of APPLE INC

We should accept that history has seen many companies having its CEOs moving in and out of the executive suite in a musical chair like scenario, a concern's founder is a one like captain of a ship or a director of movie in end of the day he foresees concern's direction, and the results got to be too great particularly if that person is a charismatic visionary and it's the case of Apple Inc where its founder is revolutionary leader . so there are deep concerns how ship will sail with its main captain replaced , and Jobs himself answers it in his working style he makes an Engineer a more Perfect Disciplined Human being , such is his power and he has guided the Apple Inc as a system where the bloods of Discipline , perfection , The ideology of best is not good enough , that extra yard of hard work all these characteristics traits run in each and every Employees of Apple Inc thus a System has been created knowingly or unknowingly by Jobs himself , so it sounds obvious that those who is going to be leader next will surely have most of the characteristics of Jobs rather it may be called a trademark working style of Apple Inc .

If we roll back pages in the history of Apple Inc , how Apple existed when Steve left Apple Inc in the mid-1980s. It would be as clear as daylight that Apple was scraping for over a decade sans Jobs , and , there were some great products as well as bad in the Apples Kitty , By the time Jobs returned Apple was an absolute, hemorrhaging lots of red ink.

They say that the company was never closer to folding, though fans of Apple do feel that they don't want to see a repetition of the bad old days. Thing that ought to be observed carefully over here is That Steve Jobs was totally different with amateurish and rash approach may be due to lesser age and inexperience doped with raw zeal and unguided excitation not a good example of a CEO

But the Steve Jobs who took over CEO "for life" was not definitely the same person who co-founded Apple along with Steve Wozniak. He had matured as a business person, and understood the need to hire executives with vision and talent to manage the day to day affairs with much better excellence. As his removal from Apple taught him very much deserved Experience of Life the raw genius was mushrooming into world class entrepreneur

The people who are there today in Apple Inc have been immersed in Steve Jobs' vision, they are more quality oriented and much more disciplined employees than those of 1980s Apple Computer Inc's employees , For example, COO Tim Cook who is proxy for Steve Jobs is regarded as one of the best operating officers on the planet. He has tamed Apple's wild and rough runaway inventory issues, and is famous in running a meaner and leaner Concern.

Sure Apple delays with products launch but it's usually by no more than a few weeks and we can guess that's largely because of unexpected manufacturing line issues, but not as expected by most as a deep-seated management problem. Sometimes critical product defects don't actually crops up till the production is ramped up. So it would be just a media beef up that Apple is totally dependent on Jobs.

It is quite obvious with many that Steve Jobs will call it a day some times in few years down the lane, at least first to his full-time job. The system will be such that there will be nomination for a permanent CEO, perhaps on the perspective of history it may be Tim Cook, and for initial stages Steve will l assume some sort of supreme advisory role to set the company's product direction and marketing strategy, it may be quite similar to phases of 2008 and 2009 when Jobs took a brief medical leave of course similar to that the stock prices will fall down but we can always ensure that Apple Inc System will not crash , If it was 1980 we will be tempted to say Apple would can better start some other business but since re- launch of Steve Jobs in late 1990s there has been wide system wise changes , Vision changes and Mission changes in Apple Inc the hard steve job had matured in to Smart Jobs Hence when he will be Hanging up his signature Black tees and Blue Jeans Apple will still be sailing with same Aura and Splendor as now

"That might sound somewhat like the role that That might sound somewhat like the role that Bill Gates played at Microsoft in the years before he retired from his full-time position to become the full-time philanthropist. Of course, when it comes to Gates, it's questionable just how innovative he's ever been. He used innovation more as market-speak rather than as a genuine goal." Says many apple insiders

Though when Wall Street comes in it would be already digested the potential impact to Apple if Jobs' hangs up his boots. Though most fail to think in following aspects where the company's ongoing performance are in market , as a maker of super cool gadgets till launching of some of them . It's quite evident that other people at the company are perfectly capable of demonstrating new products and getting almost same level of media coverage

In hindsight, maybe they won't be having the legendary Jobs Style "reality distortion field," but it's also need to analyse as a fact that that he is not credited completely for that label also. As Apple Inc has a supremely skilled marketing team actually designing the total promotional strategy and key frameworks, the trademark presentations, and to an extent even writing the scripts used in those legendary keynote addresses which are considered mostly responsible for their impact. This isn't to state that Jobs isn't a good performer, but it's wise to accept that he didn't do it all alone.

Rolling out of iPhone 3.0 SDK is an example, the upcoming update contains plenty of Projects to feel for without talking about Jobs. This is not to state that Jobs was nothing more than a figurehead. Rather it is clever to add up Jobs created the people that innovated great things first for NeXT and Pixar, and later for Apple when he returned to the company and became its chief executive. The illusion in media that Jobs is the one-man-army for Apple that did everything significant at Apple is clearly false. The actual fact is that people around him design the Devices, develop software and then go out put it out in the Market. Apple's staff demonstrates extreme dedication and work like well-oiled machinery. There are few rules in their working like secrecy, don't waste money building products that are unsuccessful; well, except Apple TV.

Thus with this report we believe Legacy that Apple Inc has established will always keep going on and we salute the innovative man who established this System and we are proud to announce that we consider him to be our Role Model as an Entrepreneur as an Engineer and above all as disciplined , Innovation Oriented Gentleman who works from his heart and executes his dream and passion to perfection .


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