A Dissertation Report

On
UNDERSTANDING HUMAN RESOURCE PRACTICES
AT
APPLE INC
DISSERTATION SUBMITTED IN PARTIAL FULFILLMENT OF
REQUIREMENT FOR THE DEGREE
OF
MASTER OF BUSINESS ADMINISTRATION

PREPARED BY:
SHALINI BANERJEE

Roll no. PG/VUOAP 04/MBA-IVS No: 156

VU registration no: VP225040721 Of 2022-2023

Major specialization: Human Resource Management

Minor Specialization: Marketing Management

UNDER THE GUIDANCE

OF
PROF. MITHILA ROY BARDHAN
(FACULTY of HR, EIILM)

Submitted to
EASTERN INSTITUTE FOR INTEGRATED LEARNING IN
MANAGEMENT, KOLKATA (VIDYASAGAR UNIVERSITY)
May, 2024
CERTIFICATE
 DECLARATION

I, do hereby declare, that this dissertation entitled “UNDERSTANDING HUMAN

RESOURCE PRACTICES AT APPLE INC” has been done by me and all the information
provided is correct and true to my knowledge.
I submit this dissertation to partially fulfill the award of a degree in “Master of Business
Administration”.
The dissertation is exclusively prepared by me and has not been submitted to any other
institutions or published anywhere before.

Place:

Signature: SHALINI BANERJEE

VU Roll: PG/VUOAP 04/MBA-IVS No: 156
Registration No: VP225040721 Of 2022-23
 ACKNOWLEDGEMENT

I express my sincere gratitude to all faculty, at Eastern Institute for Integrated Learning in
Management (EIILM), Kolkata for guiding & supporting me, and for giving me critical
suggestions & valuable insights which enabled me to complete the dissertation and bring out
this the best way possible.

I would take this opportunity to thank Prof. (DR.) R.P. Banerjee – (Chairman & Director,
EIILM, Kolkata), and my dissertation guide Prof. Mithila Roy Bardhan for the cooperation,
support & guidance.
I am also thankful to all my colleagues for their motivation and to all those persons who directly
or indirectly helped me during development of the dissertation.

SIGNATURE:

DATE:
 TABLE OF CONTENT

SL No. Particulars Page no.

❖ Chapter-1
Introduction

1.1 Company Overview 1

1.2 SWOT Analysis 2
1.3 Financial Analysis 2-3
1.4 Competitive advantage 3-4
1.5 HRM Organizational 4
Objective
1.6 Some challenges that Apple 4-5
has faced in HRM
❖ Products at Apple 6-7
❖ Chapter 2 8
Objective Of the Study
❖ Chapter-3 9
Methodology
❖ Chapter-4
Data Analysis &
Interpretation of HRM
Practices at Apple

1. Compliance practices at 10-11

Apple

2. Recruitment Process at Apple 12-13

3. Talent Management in Apple 14-16
4. Apple’s Performance 17
Management Process
5. Employee Welfare Programs 18-19
at Apple
6. Strategic Human Resource 20
activities
7. Post Covid changes in HR 21-25
Practices
❖ Chapter-5 26
Findings
❖ Chapter-6 27
Conclusion
❖ Bibliography 28
 Chapter-1
INTRODUCTION
❖ 1.1. Company Overview
Apple is one of the largest tech companies in the world. It has been diversifying its business
over the years to cover more and more technology-related fields. The company started in 1976
as a computer company and created Apple I, a personal computer that was supposed to create
a revolution in the computer industry. However, the product failed, and the founders Steve Jobs
and Steve Wozniak had very little encouragement to go further. They came up with Apple II,
and it did what Steve Jobs and Steve Wozniak were expecting from its predecessor. Its striking
new feature; the color display was a massive hit and allowed the personal computer industry to
jump from $7.8 million in 1978 to over $117 million in 1980, the year Apple went public. Over
the years, Apple tried to consolidate its command in the computer industry, but it started losing
out to Windows in the late 90s. As Steve Jobs was dismissed from the company, Apple entered
its darkest phase and was on the verge of bankruptcy. Realizing their mistake, Apple acquired
the new company formed by Jobs and rehired him as the CEO. He realized that to move
forward, he had to diversify the offering of Apple products. He decided that Apple had to enter
some new industries during the 21st century to stay relevant. For more than three decades,
Apple Computer was predominantly a manufacturer of personal computers, including the
Apple II, Macintosh, and Power Mac lines, but it faced rocky sales and low market share during
the 1990s. Jobs, who had been ousted from the company in 1985, returned to Apple in 1997
after his company NeXT was bought by Apple. The following year he became the company's
interim CEO, which later became permanent. Jobs subsequently instilled a new corporate
philosophy of recognizable products and simple design, starting with the original iMac in 1998.

With the introduction of the successful iPod music player in 2001 and iTunes Music Store in
2003, Apple established itself as a leader in the consumer electronics and media sales
industries, leading it to drop "Computer" from the company's name in 2007. The company is
also known for its iOS range of smartphones, media players, and tablet computer products that
began with the iPhone, followed by the iPod Touch, and then the iPad. As of June 30, 2015,
Apple was the largest publicly traded corporation in the world by market capitalization,[7] with
an estimated value of US$1 trillion as of August 2, 2018.[8] Apple's worldwide annual revenue
in 2010 totaled US$65 billion, growing to US$127.8 billion in 2011[9] and $156 billion in
2012.
Apple is a company famed for its innovative strategic management. Apple's management
strategy places great emphasis on groundbreaking new products and designs. Apple's change
management has proved successful over the years as the company has adapted to the changing
market by constantly redefining the design and purpose of digital technology. The Apple brand
is now synonymous not only with Macintosh personal computers but with innovations such as
the iPod and the iPhone. The corporate culture of Apple Computer is one of optimism and
belief. The founder and CEO, Steve Jobs, believes in funding and investment in new products
and innovation even against the backdrop of a challenging economic climate.

1
❖ 1.2. SWOT ANALYSIS

❖ 1.3. Financial Analysis:

Financial Analysis of a company is the process of evaluating the finance-related activities of
the company to understand its performance and how is it going to perform in the future. In this
project, the financial analysis of Apple will be done with the help of ratio analysis, horizontal
analysis, and vertical analysis. reported fiscal first-quarter earnings Thursday that beat
estimates for revenue and earnings, but it showed a 13% decline in sales in China, one of its
most important markets.
Apple shares fell more than 4% in extended trading after management provided some details
about the outlook for the current quarter that suggested weakness in iPhone sales. Here’s how
Apple did versus consensus expectations from LSEG, formerly known as Refinitiv, for the
quarter ending Dec. 30:
Earnings per share: $2.18 vs. $2.10 expected
Revenue: $119.58 billion vs. $117.91 billion expected
Here’s how Apple’s product lines did versus LSEG expectations:
iPhone revenue: $69.70 billion vs. $67.82 billion expected
Mac revenue: $7.78 billion vs. $7.73 billion expected
iPad revenue: $7.02 billion vs. $7.33 billion expected

2
Other Products revenue: $11.95 billion vs. $11.56 billion expected
Services revenue: $23.12 billion vs. $23.35 billion expected
Gross margin: 45.9% vs. 45.3% expected
Apple did not guide for the current quarter ending in March.
Apple CFO Luca Maestri said that Apple expected iPhone sales in the March quarter would be
similar to last year’s $51.33 billion in revenue, after taking out $5 billion in sales attributed to
outperformance a year ago as supply recovered from Covid shutdowns and catching up to
demand.
❖ 1.4.Competitive Advantage
1. Business Strategy
Before returning to Apple, Steve Jobs said: “Apple was a company that was based on
innovation. When I left Apple ten years ago, we were ten years ahead of everybody else.
”Apple’s business strategy leverages its unique ability to design and develop its own operating
systems, hardware, application software, and services to provide its customers with new
products and solutions with superior ease of use, seamless integration, and innovative design.
Known for its innovation, Apple has established a unique reputation in the consumer
electronics industry and has a loyal customer base for reasons as diverse as its philosophy of
aesthetic design to its unusual advertising campaigns. The company believes a high-quality
buying experience greatly enhances its ability to attract and retain customers.
2. Pricing Strategy
Apple attempts to increase market demand for its products through differentiation, which
entails making its products unique and attractive to consumers. The company’s products have
always been designed to be ahead of the curve compared to its peers. Apple has succeeded in
creating demand for its products, giving the company power over prices through product
differentiation, innovative advertising, ensuring brand loyalty, and hype around the launch of
new products. Apple uses a retail strategy called “minimum advertised price” (or MAP).
Minimum advertised pricing policies prohibit resellers or dealers from advertising a
manufacturer’s products below a certain minimum price. MAP is usually enforced through
marketing subsidies offered by a manufacturer to its resellers. Apple’s cheapest products are
usually priced in the mid-range, but they ensure a high-quality user experience with their
features. The hardware and user interface are designed to provide a lot of value for the price,
which keeps profits high. Meanwhile, a company can charge a premium price as long as it has
a competitive advantage.
3. Vertical Integration
Vertical integration has given Apple a competitive advantage, as it owns chip manufacturers,
controls manufacturing follows extremely strict software standards and operates in a nearly
closed ecosystem of proprietary retail stores. With these advantages, the company has more
control of its value chain and, more importantly, its component costs. Apple is known to have
the most popular, addictive, and tightly integrated ecosystem of all technology companies.
Applications work on multiple devices at the same time—even with a single purchase—and
user interfaces are very similar across devices. Currently, Google, Microsoft, and Amazon have
entered the fray by setting up their ecosystems, including devices, books, games, music, media,
and storage services. However, Apple had a head start with the success of its iPods, iTunes

3
software, and iTunes Store, and Apple was also one of the pioneers of touchscreen technology
in phones. Apple’s App Store recorded more than $15 billion in sales in 2014, as the company
announced. Its unique vertical system will be critical to drive future business opportunities for
them.
4. Supply Chain Analysis
Apple’s products and components are manufactured by several suppliers around the world.
Apple has built a closed ecosystem, with the company having control over nearly every activity
in the supply chain—from design to retail. It has outsourced its assembly for economic reasons
but has also partnered with manufacturing companies that understand that Apple’s products
require different techniques and approaches, which often must be accommodated by very little
lead time. Apple uses some custom components that aren’t commonly used by its competitors,
and Apple’s new products often use custom components available from only one source. A
recent Bloomberg report said Apple is investing a record $10.5 billion in new technology—
from assembly robots to milling machines—in its supply chain to improve sales that have been
slowing due to competition.
❖ 1.5. HRM Organizational Objectives
Below are 8 primary objectives of human resource management with in-depth elaboration
respectively:

✓ Achieve Organizational Goals

✓ Work Culture
✓ Team Integration
✓ Training and Development
✓ Employee Motivation
✓ Workforce Empowerment
✓ Retention
✓ Data and Compliance

❖ 1.6. Some challenges that Apple has faced in human resource

management include:
Toxic workplace culture
Some current and former Apple employees have publicly criticized the company's HR
department for ignoring allegations of racism, sexism, discrimination, harassment, and abuse.
Compensation
Employees have reported problems with low wages, forced labor, child labor, and physical and
emotional abuse.
Change management
The company has experienced frequent management changes, which can lead to employee
turnover.
Managing a diverse workforce

4
Apple has 35,000 employees worldwide, and a proper HR strategy and policy are needed to
manage this large workforce.
Lack of transparency
Some reports suggest that Apple's HR management policies lack transparency, which can lead
to confusion among staff members.
Secrecy
Apple's corporate culture emphasizes secrecy, which can limit rapport among workers.

5
 PRODUCTS AT APPLE
Apple Inc. (Apple) designs, manufactures, and markets smartphones, tablets, personal
computers, and wearable devices. The company offers software applications and related
services, accessories, and third-party digital content. Apple’s product portfolio includes iPhone,
iPad, Mac, iPod, Apple Watch, and Apple TV. It also provides advertising services, payment
services, cloud services, and various consumer and professional software applications such as
iOS, macOS, iPadOS, watch OS, iCloud, AppleCare, and Apple Pay. Apple sells and delivers
digital content and applications through the App Store, Apple Arcade, Apple News+, Apple
Fitness+, Apple Card, Apple TV+, and Apple Music. The company's business operations span
the Americas, Europe, the Middle East, Africa, and Asia-Pacific. Apple is headquartered in
Cupertino, California, the US.

• Macintosh, commonly known as Mac, is Apple's line of personal computers that use
the company's proprietary macOS operating system. Personal computers were Apple's
original business line, but as of the end of 2023, they account for only about eight
percent of the company's revenue.
There are six Macintosh computer families in production:

iMac: Consumer all-in-one desktop computer, introduced in 1998.

Mac Mini: Consumer sub-desktop computer, introduced in 2005.
MacBook Pro: Professional notebook, introduced in 2006.
Mac Pro: Professional workstation, introduced in 2006.
MacBook Air: Consumer ultra-thin notebook, introduced in 2008.
Mac Studio: Professional small form-factor workstation, introduced in 2022.
Often described as a walled garden, Macs use Apple silicon chips, run the macOS operating
system, and include Apple software like the Safari web browser, iMovie for home movie
editing, GarageBand for music creation, and the iWork productivity suite. Apple also sells pro
apps: Final Cut Pro for video production, Logic Pro for musicians and producers, and Xcode
for software developers.

Apple also sells a variety of accessories for Macs, including the Pro Display XDR, Apple
Studio Display, Magic Mouse, Magic Trackpad, and Magic Keyboard.

• The iPhone is Apple's line of smartphones, which run the iOS operating system. The
first iPhone was unveiled by Steve Jobs on January 9, 2007. Since then, new models
have been released every year. When it was introduced, its multi-touch screen was
described as "revolutionary" and a "game-changer" for the mobile phone industry. The
device has been credited with creating the app economy.

6
iOS is one of the two largest smartphone platforms in the world alongside Android. The iPhone
has generated large profits for the company and is credited with helping to make Apple one of
the world's most valuable publicly traded companies.[181] As of the end of 2023, the iPhone
accounts for more than half of the company's revenue.[1]

• iPad
The iPad is Apple's line of tablets that run iPad OS. The first-generation iPad was announced
on January 27, 2010. The iPad is mainly marketed for consuming multimedia, creating art,
working on documents, videoconferencing, and playing games. The iPad lineup consists of
several base iPad models, the smaller iPad Mini, the upgraded iPad Air, and the high-end iPad
Pro. Apple has consistently improved the iPad's performance, with the iPad Pro adopting the
same M1 and M2 chips as the Mac; but the iPad still receives criticism for its limited OS.
Apple sells several iPad accessories, including the Apple Pencil, Smart Keyboard, Smart
Keyboard Folio, Magic Keyboard, and several adapters.

• Other products

1. Air Pods Max

2. Apple Watch Ultra
3. Apple makes several other products that it categorizes as "Wearables, Home, and
Accessories". These products include the Air Pods line of wireless headphones, Apple
TV digital media players, Apple Watch smartwatches, Beats headphones, Home Pod
smart speakers, and the Vision Pro mixed reality headset.

Services
Apple offers a broad line of services, including advertising in the App Store and Apple News
app, the AppleCare+ extended warranty plan, the iCloud+ cloud-based data storage service,
payment services through the Apple Card credit card and the Apple Pay processing platform,
digital content services including Apple Books, Apple Fitness+, Apple Music, Apple News+,
Apple TV+, and the iTunes Store.

7
 Chapter-2
Objective Of the Study

To understand the Human Resource Management Practices at Apple Inc.

❖ Compliance standards.
❖ Recruitment procedure.
❖ Talent Management process.
❖ Performance Management system.
❖ Employee Welfare Programs.
❖ Strategic Human Resource Management policies.
❖ Post covid changes in HRM.

8
 Chapter-3
Methodology

For this dissertation, the researcher adopted data from various secondary sources like journals,
published articles, reports, and newspaper clippings, various websites. Based on the
information the researcher studied the various aspects of Human Resource Management
Practices at Apple Inc. The parameters helped the researchers to develop a conceptual
understanding of the topic under study.

9
 Chapter-4
Data Analysis & Interpretation of HRM Practices at APPLE
COMPLIANCE STANDARDS AT APPLE INC

1. Business Conduct
The Business Conduct Policy provides the foundational guide for how we interact with
customers, third parties, and each other.
2. Anti-Corruption
Apple does not tolerate any form of corruption. Apple’s Anti-Corruption Policy details our
commitment to complying with anti-corruption laws.
3. Export and Sanctions
Apple is committed to compliance with applicable export and sanctions laws. All employees
are responsible for complying with these laws and reporting possible violations.
4. Trade Compliance
As a global technology company, Apple is committed to complying with all applicable trade
regulations in all countries in which we operate, including, but not limited to, all export and
sanctions regulations. It is our policy to continually adhere to these regulations in all activities
that we engage in.
5. Whistleblower Policy
Apple’s Global Whistleblowing Policy applies to all current and former employees, directors
and officers, contractors and subcontractors of Apple and its subsidiaries. It sets out Apple’s
approach to protecting and supporting individuals who report potential misconduct.
6. Antitrust and Competition
Apple is committed to conducting business in full compliance with competition laws
worldwide.
7. Third-Party Code
Apple sets out the legal and ethical standards required of businesses that associate themselves
with our brand. At Apple, we believe in doing business ethically, transparently, and in full
compliance with all applicable laws and regulations. Apple requires all businesses and persons
who associate themselves with our brand to uphold these same high standards. To that end,
Apple requires certain third parties working with Apple or on behalf of Apple worldwide to
comply with this Third Party Code of Conduct (Code).

8. Human Rights
Apple treats everyone with respect and dignity — from our customers and teams to our business
partners and people at every level of our supply chain.

10
 9. Public Policy Advocacy:
Apple engages in policy discussions where they matter to our business and customers. This
policy defines our position on corporate political contributions and describes how Apple
participates in public debate in the United States through direct and indirect advocacy.
10. Labor and Human Rights and Environmental Protection in the Supply Chain
Supplier Responsibility is a core value at Apple. We hold ourselves and our suppliers to the
highest standards to protect the people in our supply chain, and the planet we all share. We
uphold that commitment by setting out what is required of our suppliers.

11
 RECRUITMENT PROCESS AT APPLE INC
Human resources and management is an aspect of management that is very essential in every
organization and falls under the staffing function of the general management process.

It focuses on aspects like recruitment, coordination, and control of the people working in an
organization. Human resource management is associated with issues like hiring (recruitment
and selection), benefits and compensation, motivation and communication, performance
management of the employees, and training among others. This paper looks into the
recruitment and selection methods in Apple Inc. Company and their appropriateness. The
process of HRM starts with recruiting people in the organization. Apple does follow the below
stages for recruitment:
• Telephonic Round
Apple invites you for an on-site interview after the online application has been assessed by
the recruitment team. This is your chance to show off your abilities, expertise, and passions
that make you a good fit for the position. This interview will take place over the phone and
will be done based on competence. The firm advises applicants to think about prior projects
they’ve worked on, as well as their academic and professional experiences. Consider your
former position, your accomplishments, and the problem-solving techniques you used, and
then form an answer.

• Assessment Test
You will be selected to participate in the company’s assessment center if you do well in the
over-the-phone interview. This will allow you to network with Apple’s qualified professionals
and gain important information about the company. This would be a good opportunity for you
to learn more about what it’s like to work at Apple.
certain exercises at the assessment center, such as:

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 1. Apple group exercise
2. Apple written exercise
3. Apple role-play exercise

• Final Round
This is the final round of Apple’s hiring procedure; advancing to this point demonstrates your
ability to work for the company. It would be a one-on-one interview with a director or senior
management who works in the specific industry you want to join.
It’s a competency-based interview, and the purpose is to determine how skilled, passionate, and
eager you are to be considered for a position at Apple.

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 TALENT MANAGEMENT IN APPLE INC.
Talent Management, as the name itself suggests is managing the ability, competency, and power
of employees within an organization. The concept is not restricted to recruiting the right
candidate at the right time but it extends to exploring the hidden and unusual qualities of your
employees and developing and nurturing them to get the desired results. Hiring the best talent
from the industry may be a big concern for the organizations today but retaining them and most
importantly, transitioning them according to the culture of the organization and getting the best
out of them is a much bigger concern. Talent Management in organizations is not just limited
to attracting the best people from the industry but it is a continuous process that involves
sourcing, hiring, developing, retaining, and promoting them while meeting the organization‘s
requirements simultaneously. For instance, if an organization wants the best talent of its
competitor to work with it, it needs to attract that person and offer him something that is far
beyond his imagination to come and join and then stick to the organization. Only hiring him
does not solve the purpose but getting the things done by him is the main task. Therefore, it
can be said that talent management is a full-fledged process that not only controls the entry of
an employee but also his or her exit.
TALENT CHALLENGES
1. Attracting and retaining enough employees at all levels to meet the needs of organic and
inorganic growth.2. Creating a value proposition that appeals to multiple generations. With four
generations into day's workplace, most companies are struggling to create an employee
experience that appeals to individuals with diverse needs, preferences, and assumptions.3.
Developing a robust leadership pipeline. One of the biggest potential threats to many
corporations is a lack of a robust talent pool from which to select future leaders.4. Hiring people
for global leadership. It's relatively straightforward to identify and assess experts in specific
functional or technical arenas, but much more difficult to determine whether those individuals
have the people skills, leadership capabilities, business breadth, and global diversity
sensibilities required for the nature of leadership today. Increasingly, the challenge of
developing these broader skill sets falls to the corporations.5. Transferring key knowledge and
relationships. The looming retirement of a significant portion of the workforce challenges all
companies, but particularly those who are dependent on the strength of tacit knowledge.6.
Stemming the exodus of Gen X' ers from corporate life. A big threat in many firms today is the
exodus of mid-career talent. people in whom the organization has invested heavily and in whom
it has pinned its hopes for future leadership.7. Redesigning talent management practices to
attract and retain Gen Y's. The challenge of calibrating talent management practices and
programs to attract and engage our young entrants is critically important to all firms and
particularly so for firms that depend on a strong flow of talent. 8. Creating a workplace that is
open to Boomers in their "second careers." Age prejudice still exists, but smart companies are
looking for ways to incorporate the talents of Boomers and even older workers in the
workforce. In many cases, this requires rethinking roles and work relationships.

Apple became the most valuable corporation in the world based on market capitalization,
surpassing every firm in the technology industry and every other industry! As a consumer
products company, its prolonged growth spurt is even more amazing because it has continued
through economic times when consumers are reluctant to spend what little they have.
Considering that Apple was near bankruptcy in 1997, its story is both extraordinary and

14
noteworthy. The extraordinary valuation is not a result of 30+ years of stellar performance.
Apple has failed
at many things. Its success isn‘t the result of access to special equipment, manufacturing
capability, or a great location, but rather superior leadership, access to great talent, and unusual
talent management approaches. Almost everyone in business is aware of Apple‘s amazing
product success and the extraordinary leadership of Steve Jobs. Some authors have described
the firm‘s approach to HR, but few have
AGILITY ALLOWS FOR INNOVATION INTO COMPLETELY NEW AREAS
Many firms develop the capability to dominate their industry. Procter & Gamble, Intel, and
Toyota are excellent examples. Apple is in a different league, however, because it has
demonstrated the ability to shift into and dominate completely new industries every few years.
For most of its history, Apple was a computer company (and its name used to be Apple
Computer), but in the last decade, Apple tackled the music industry with the iPod device and
iTunes distribution channel. Next Apple conquered and dominated the smartphone industry
with
the iPhone and ―App Store.‖ Most recently Apple challenged the PC as we know it and is in
the process of disrupting the publishing industry. This ability to successfully shift from one
industry to another in a few short years is known as agility. Even wildly successful firms like
Google, Facebook, Toyota, or Procter & Gamble can’t come close to matching Apple‘s agility
track record. A great deal of Apple‘s agility comes from the direction and vision of its senior
leadership and its corporate culture, which reinforces the need to get ready for ―the next big
thing.‖ While Apple looks for agility in talent, the real key to Apple‘s agility occurs post-
onboarding. At Apple, there's a cultural expectation that after succeeding in one task, you will
immediately move on to something completely different. You know that you will have to retool
and learn quickly.
A “LEAN” TALENT MANAGEMENT APPROACH CONTRIBUTES TO
EXTRAORDINARY PRODUCTIVITY
Most firms strive to have a productive workforce. One of the best ways to measure workforce
productivity is revenue per employee. Apple produces what can only be considered
extraordinary revenue per employee; $2 million. A second measure of workforce productivity
is profit per employee: nearly $478,000 for Apple (unbelievable considering it has a retail
workforce). For years, the leadership of Apple has followed the philosophy that having less is
more, meaning that by purposely understaffing and operating with reduced funding, you can
make the team more productive and innovative. Innovation at most firms is expensive because
you must pay for a lot of trial and error.
BUILD AND REINFORCE A PERFORMANCE CULTURE
Any business analysis of Apple will reveal its laser focus on producing industry-leading results.
While some feel the performance emphasis comes solely from Steve Jobs, the ―performance
is continually reinforced by operational processes and practices. For example, having stock as
a primary motivator forces employees to focus on the performance of the company and its
stock.
CREATE AND MANAGE A CULTURE OF INNOVATION

15
 most firms have a culture with a singular focus on one attribute like performance, quality,
customer service, or cost-containment. Apple is unique in that it has two dominant cultural
attributes that exist side-by-side. The first is ―performance, ‖ with the second being
―innovation‖; the latter may be the strongest of the two. The dual emphasis works at Apple
because the firm operates in the consumer technology field, where there is a universal
expectation for ―disruptive‖ performance. Producing $2 million-plus in revenue per employee
certainly establishes Apple as a performer, but it is its industry-dominating product innovation
that differentiates it from competitors like HP, Sony, Microsoft, and IBM. Three factors drive
the innovation attribute, including the expectation of continuous innovation, extreme secrecy
within the product development process, and continuous brainstorming/challenge meetings
(even at play just days before a product launch).

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APPLE’S PERFORMANCE MANAGEMENT PRACTICES
Apple’s performance management process relies on strong communication to create a snapshot
of how every employee contributes to the organization.
• 360 Annual Performance Reviews
Apple’s annual performance review process includes a semi-annual review and an end-of-year
review. Each employee is reviewed by three or four executives, in addition to being reviewed
by direct reports and peers, making it a 360 process. This helps Apple to get a broader view of
every employee’s performance, creating new perspectives on how each employee impacts the
organization and where improvements can be made. Employee performance is measured
against three categories: teamwork, innovation, and results. Based on those categories,
employees will receive one of three ratings: exceeds expectations, met expectations, or needs
improvement. Not only does this help employees understand how management and other team
members believe they’re doing, but it also helps HR determine skills gaps among employees.
Managers can then work to help underperforming employees develop the skills needed to excel,
or HR can focus on recruitment efforts to find new employees with skills that are missing
among current employees. Employees' annual raises are directly tied to their performance
reviews, ranging from 0-8% of their current salary.
• Feedback
Apple is tight-lipped about its specific feedback practices, but based on the research, It is found
that feedback is a key component of Apple’s performance appraisal system.
Apple incorporates continuous feedback, and employees receive feedback once a week.
Whether feedback is delivered through check-ins or written in their performance management
system, continuous feedback provides insight into performance and helps Apple employees
understand where they can improve in their daily efforts.
• Cascading Goals
Apple’s performance management strategy focuses on how individuals meet organizational
goals through the use of cascading goals. Cascading goals begin with the company's ultimate
vision and are reinterpreted for every department and employee to ensure individual and team
performance is aligned with those goals.

17
 EMPLOYEE WELFARE PROGRAMS AT APPLE
1. Health and Wellness
Apple employees enjoy excellent health insurance, with both dental and vision coverage. An
onsite wellness center at Apple’s headquarters in California also gives employees access to
various medical professionals, including doctors, chiropractors, and mental wellness
practitioners.
Other Apple employee health benefits include:
• Life and supplemental life insurance
• Disability insurance
• Occupational accident insurance
• Retiree health and medical

2. Vacation and Time Off

Apple believes in a healthy work/life balance. Paid time off (PTO) for vacation and sick days
for new hires is between 15 to 20 days per year.
For more senior employees, this jumps to between 20 to 30 days of vacation and leave days a
year.
3. Parental Leave
Apple has a very unique and generous maternity leave policy. New mothers receive four weeks
of paid leave before giving birth and 14 weeks of maternity leave afterward. An additional six
weeks’ unpaid leave is also optional.
Fathers and non-birth parents are also able to take six weeks of paid leave.
4. Commuting
Commuting is the bane of most employees’ daily work life. As such, Apple sweetens the deal
for its employees by offering a free, exclusive shuttle service for workers living in Cupertino,
Apple’s California HQ.
The company also provides a $100 stipend for employees to use towards the bus and other
transport costs.
5. Gym Credit
It is widely known that physical fitness plays a big role in mental wellness and productivity.
That’s why Apple gives its employees $300 gym credit per month to put towards their physical
health and wellness.
6. Stock Purchase Program
Being personally invested in a company has proven to deepen an employee’s drive to work
harder towards its success. Apple has a company stock purchase plan, with available stock
grants that allow employees to buy discounted stock.
7. Tuition & Self Improvement

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Apple has its own ‘university’, which is an on-campus training center geared towards helping
employees understand the company’s culture, values, and role in the world.
Employees can upskill with general business skills through online classes, along with personal
finance seminars.
Apple also offers to reimburse its employees for tuition costs up to $5,250.
8. Retirement
Apple doesn’t forget about its employees just because they are retired. While in the company’s
employ, employees are offered a 50% 401(k) match for up to 6% of their total salary.
9. Some More Fun Stuff
To keep things fresh and exciting, Apple has some fantastic extra employee perks that keep
people connected and driven:
10. Product Discounts
Employees receive significant discounts on Apple products, keeping them on-trend and
connected.
11. Subsidized Meals
Apple’s on-site Cafe Mac offers healthy home-cooked-style meals at low subsidized costs. In
addition to this, there are always fresh apples available to snack on for free.

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 STRATEGIC HUMAN RESOURCE ACTIVITIES
1. Selection And Recruitment:
Apple focuses on its primary objective of hiring the talented and right candidate. The selection
process is based on verbal communication by identifying the person who holds out-of-the-box
thinking and is ready to commit himself or herself to the company.

2. Forcing Unique Thinking

Apple provides a considerable amount of opportunities for its employees to develop
prospective careers. The intern who showed high performance will automatically get hired. To
force free thinking, the design team is allowed to attend the meeting twice a week. This led
anyone to brainstorm about the ideas and changes that could be made (Schaarschmidt, 2019).

3. Employee Rewarding And Appreciation-

Apple runs APPLE FELLOW PROGRAM to recognize employees' major contributions to the
company. Those employees are rewarded and later on designated as leaders. This is how the
company appreciates employee contributions who become a star player (Sharma, 2019).

4. Benefits And Compensation-

To attract talented staff, apple provides competitive packages, flex benefits, and periodical
stock grants for their contribution to the company. They are also entitled to the product
discounts.

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POST COVID CHANGES IN HR PRACTICES AT APPLE INC
1) Start With Focusing on Worker Wellbeing
Many companies concerned about the future of work focus on the massive disruption of jobs,
automation, and workforce demographics. All of this is important but HR leaders need to start
with making worker wellbeing a priority from 2020!
Michael Fenlon, Chief People Officer of PwC, shares why this is growing in importance, "As
HR leaders worker wellbeing is impacted by several macro trends such as the growth of the
digital economy and the increased need to develop resilience while we are being bombarded
by constant social media notifications. We decided as a firm it was time to study this and take
action." PwC conducted a comprehensive study among their global workforce with the
University of Southern California (USC) to explore this in depth.

First, PwC holistically defined worker well-being, including physical, mental, emotional, and
spiritual lenses. Then PwC team set out to identify specific practices that can improve well-
being. This makes well-being tangible rather than an abstract concept. These habits are
identified in the PwC Habit Bank and range from reminding employees to stand up for short
meetings, wind down before sleep, make time to be outside with nature, turn off smartphone
notifications, and decide what "not" to do as well as what to "focus" on!
But just providing the information on wellbeing isn't enough. Fenlon states, "The real power
lies in creating a wellbeing culture, making a commitment to wellbeing at the individual, team,
and organizational levels and equipping employees with technology that promotes wellbeing
behaviors." This is just the advice we need as we craft our HR agenda for the 2020 workplace!

#2) Prepare for Humans + Bots as The New Blended Workforce:

When we think of the blended workforce we often think of full-time workers working side by
side with contract and gig workers. In 2020 when we refer to the "blended workforce," we
mean humans and bots working together. Research among 8,370 global HR leaders, hiring
managers, and employees conducted by Oracle and Future Workplace found that half (50%) of
workers already use some form of AI at work, up from 32% in 2018. As Gartner predicts, by
2021 25% of workers will use a virtual employee assistant (VEA) daily, an increase from less
than 2% in 2019. This includes Amazon Alexa for Business and an array of conversational bots
used for all types of HR processes.
Knowing how to orient, develop, engage, and work side by side with a bot will be the newest
skillset for 2020, as human and bot teams will work together and, in many cases, outperform
either humans or bots working on their own! How you orient, develop, and engage your
blended workforce in 2020 will be your competitive advantage. shorten the screening time from
32 minutes per candidate to 8 minutes per candidate improve the completion rate of job
applications from 85% to 97% and respond to 96% of all candidate queries.
#3) Look for New Use Cases of AI 4 HR:
Artificial intelligence is being used in talent acquisition at both L’Oreal and Hilton Hotels to
deliver significant results increasing the speed of hiring and allowing recruiters to assume more
strategic roles. It’s time in 2020 to expand AI to other HR processes. The range of new use
cases includes Schneider Electric's launch of an AI-powered internal talent mobility platform,

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Open Talent Market, and DaVita's pilot of an AI-powered tool to report misconduct in the
workplace.

Sexual harassment exposed by the #metoo movement led to the development of another new
application of AI at work: an AI-powered platform to report sexual misconduct in the
workplace. According to Jeff Rieb, Senior Director, People Operations & Innovation, DaVita,
"One of the many benefits of using an AI Bot to report discriminatory behavior is while
employees want to report these events, they are reluctant to do so out of fear of retaliation. But
reporting the incidence to a conversational bot results in a time-stamped report of the
information they can either send to their employer (anonymously) or hold on to for potential
reporting at another time."
#4) Focus On Building Ethical AI:
As we move into 2020, a key issue for companies will be to use AI ethically and responsibly
and prove it. AI vendors and companies using AI platforms may be subjected to requirements
similar to safety checks now conducted on automobiles. Conducting AI audits and testing for
unequal outcomes across gender, race, and age will start to be commonplace.
#5) Consider Soft Skills to Be Power Skills :
As more routine tasks are taken over by AI in the workplace, as depicted in McKinsey's Global
Institute report, Jobs Lots and Jobs Gained, The Workforce in a time of Transition there will be
an increased need for workers to hone their "soft skills," or what I have called "power skills"
in the chapter I wrote for the Federal Reserve publication, Navigating the Future Workplace:
The New Power Skills for Jobs of the Future. These include a combination of soft skills,
thinking skills, and digital skills.
These power skills are growing in importance and acknowledge how most jobs are being
disrupted at the same time our expertise has a shorter shelf life. The secret sauce to attracting
and developing the next generation will be to develop these power skills. This is what Ravi
Kumar, President, of Infosys, is pioneering as Infosys recruits for technical talent at Rhode
Island School of Design and Trinity College Liberal Arts. then training them in the hard skills
they need to be successful in technical roles. Ravi Kumar says, "We are focusing on recruiting
individuals with learnability and aptitude to operate at the intersection of design, technology,
and industry, and not just recruiting them for their current credentials."
#6) Audit Your Workplace Environment for Physical, Emotional, and Environmental
Attributes:
When you think about creating a healthy workplace environment, you probably think of fitness
centers, standing desks, or even meditation rooms. Future Workplace and View recently
surveyed 1,601 workers across North America to figure out which wellness perks matter most
to them and how these perks impact productivity.
Surprisingly, It is found that employees want the basics first: better air quality, access to natural
light, and the ability to personalize their workspace. Half of the employees we surveyed said
poor air quality makes them sleepier during the day, and more than a third reported up to an
hour in lost productivity as a result.
workplace wellness as physical wellness, emotional wellness, and environmental wellness,
then conduct an audit to determine how to improve all aspects of the workplace environment.

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You might even conduct this audit during the open enrollment period when employees are
already thinking about their health and well-being for the coming year!

#7) Explore Virtual Reality for Corporate Training:

Virtual Reality (VR) may not have reached its potential in the consumer market yet, but it is
growing in corporate training.
For example, Verizon has been using VR to train store managers and their teams on how to
handle a potential store robbery. VR allows store managers to practice the nuances of proper
response in a potential robbery. When the Verizon store managers were surveyed, 95% said
they better understood the factors they would need to consider during an actual burglary attempt
than when using traditional types of training.
Using VR for soft skills how Mursion is helping develop problem-solving resolution skills
among front desk employees at Best Western Hotels. To date, the results have been impressive,
with Best Western hotels experiencing an average of 2-5% gains in post-guest satisfaction
ratings and strong gains in problem-solving resolution training. According to Mark Atkinson,
CEO of Mursion, "The big opportunity to use VR going forward is in the area of soft skills
development. When we think about the skills employers need for the workforce of the future,
it’s skills like building empathy, handling conflict, and having difficult conversations with both
co-workers and customers. VR provides workers with the opportunity to perform at their best
in their moment of need."
#8) Re-Define Blended Learning to Include On Demand Coaching:
Most coaching solutions are expensive, time-consuming, and reserved for top leaders. In 2020,
this seems out of sync with how we work and the changing demographics of the workforce
where Millennials and Gen Z now make up more than 60% of global workers.
To date, more than 2,000 new leaders have participated in the program. The design has given
new meaning to "blended learning," which no longer means combining inherently limited face-
to-face training with online training but is now democratized to include on-demand coaching
as well.

#9) Recruit for Skills Rather Than College Pedigree:

More companies are piloting skills-based hiring, or setting specific skills and competency
requirements for a job rather than only looking at a candidate's credentials. Many companies
realize they need to tap into new sources and relax some of the requirements they held in the
past to find candidates for open positions. According to Glass Door, companies as varied as
Apple, Bank of America, Google, and Nordstrom will now consider and hire candidates
without a college degree as a requirement.
Research conducted by Wiley Educational Services and Future Workplace with 600 HR
Leaders found the majority of companies are open to hiring "non-traditional workers.” More
than half (53%) would hire someone with some college coursework but no degree, or a person
who had not attended college but earned industry certification (52%), while only
#10) Make Your Workplace Experience A Top Priority:

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The Future Workplace Experience, "the last best experience anyone has anywhere becomes
their minimum expectation for the type of experiences they want everywhere, and especially
in the workplace." Workplace experience is the application of user experience to the workplace,
re-imagining the physical, digital, and cultural aspects of work. This "employee as customer
mindset" requires a total rethinking of the moments that matter to segments of employees –
those starting their first day on the job to those exiting the organization. Work needs to be as
frictionless, digital, and personalized as the rest of our lives.

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HR Strategy at Apple Make Their Employees Creative and Innovative:
The success of a company is not only a result of incredible manufacturing capability and great
location. Many times, HR strategy becomes the reason for the company to stand strong and
grow big to rule the world. Apple is one example of such a company. Great talents and unusual
talent management approaches are considered the most important reasons why Apple could be
the leader in consumer electronics.
Recruiting is something that becomes the key to success. Apple requires all candidates to be
hard workers, committed to the company, and get every precise detail perfect. Many times,
Apple recruits high-quality workers from other firms. Some people call it pirate raiding.
Apple is known as a different company in many ways. Instead of promising work and life
balance, Apple is emphasizing hard work for all workers. Instead of promising career
progression, Apple's concept is for employees to own their careers. The career path is not fully
supported by Apple. Employees must seek information about other jobs in different units
themselves. Apple makes things so different in talent management. Instead of providing
training and development programs, Apple makes the employees do it themselves. Trainings
are available but Apple does not give or create learning plans for the employees. Apple
reinforces the employees to have strong self-reliance and develop their skills on their own.
• When others use development programs as part of a retention strategy, Apple does the
opposite. The important retention factor of Apple is economic reward. Employees will
get stock grants periodically if they can contribute something big to the company. They
call it an opportunity for wealth creation that you will have a nice retirement if you can
reach your accomplishment.

• Agility is believed as the most important key to Apple's success. As the world can easily
see Apple's agility to shift from a computer company into the music industry and then
rule the smartphone industry, agility in talent is the real key behind it. Instead of making
the employees focus on one thing and improve themselves on the subject, the company
encourages employees to prepare themselves for the next big thing.

• It is not that employees cannot focus on a project but after one project is successful,
they must prepare themselves to do something new. The new project could be
something completely different from the previous project. Workers must prepare
themselves to learn and retool in a very short time. The preparation is not only physical
but also mental and the work of the brain, for sure.

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 Chapter-5
FINDINGS
After doing a thorough study of the literature, we can conclude that HRM practices play a vital
role in the success of any organization. From a broader perspective, we can say that if we want
to tap and retain the talent in a company for Organizational success following things must be
done. Certainly, there are some observations after studying Apple's HR practices,

o Rigorous recruitment process emphasizing technical skills, creativity, and

cultural fit.

o Robust training and development programs tailored to foster innovation and

skill enhancement.

o Performance management system integrating regular feedback, goal setting, and

career development opportunities.

o Competitive compensation and benefits package to attract and retain top talent.

o Strong emphasis on diversity and inclusion initiatives, reflected in hiring and

leadership development.

o Employee wellness programs promoting work-life balance and mental health

support.

o Innovative approaches to employee engagement, including internal

communication platforms and feedback mechanisms.

o Commitment to environmental sustainability and corporate social

responsibility, influencing HR policies and practices.

o Investment in continuous learning and skill development through partnerships

with educational institutions and internal resources.

o Cultivation of a culture of excellence and collaboration, supported by

recognition programs and cross-functional team projects.

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 Chapter-6
CONCLUSION

In conclusion, the comprehensive study on Human Resource Practices at Apple Inc. has
provided valuable insights into the company's unique approach to managing its workforce.
Through an in-depth examination of various HR practices, it is evident that Apple strongly
emphasizes innovation, talent development, and employee engagement. The company's
recruitment strategies, training programs, and performance management systems are designed
to attract top talent, nurture skills, and drive employee motivation.

Moreover, Apple's commitment to diversity and inclusion is reflected in its HR practices,

fostering a culture of respect and collaboration among employees from diverse backgrounds.
The company's focus on employee well-being, work-life balance, and career development
opportunities further contributes to high levels of employee satisfaction and retention.

Overall, the study highlights the critical role of effective HR practices in driving organizational
success and maintaining Apple's position as a global leader in the technology industry. By
prioritizing talent management, fostering a culture of innovation, and promoting diversity and
inclusion, Apple sets a benchmark for excellence in Human resource management practices.

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 BIBLIOGRAPHY
Books & Journals:
Human Resource Management: Text & Cases By K Aswathappa, Sadhna Dash

Websites:
a. www.apple.com Searched on - (3 May 2024)
b. https://www.prepbytes.com/ (26th March,2024)
c. https://www.forbes.com/ (26th March,2024)
d. www.fastercapital.com (2nd May,2024)
e. https://sourceessay.com/hr (6th May 2024)

f. https://www.mheducation.co.in/human-resource-management-text-and-cases-
9789355323675-india (9th May 2024)

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