Introduction
Apple is a multinational tech company based in the USA that acts as a dominant player in the global technology industry. Apple has a business model that is divided between products and services, with its iPhone products constituting a majority of revenue and other segments, including wearables, accessories, digital content, and cloud licensing (Johnson et al., 2012). Apple Inc. aims to provide its customers with the best experience through its innovative products (Johnson et al., 2012). Based on this mission, the goals of the corporation include;
Expanding its platform to discover and deliver digital content.
To provide a top-quality experience to customers with excellent customer support.
To engage in constant innovation and development of digital content and applications to set a standard in the industry.
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Based on its organization profile and goals, the functional areas identified as being critical to Apple’s operations are marketing, customer service, and research and development. These functional areas will be further explored in this paper.
Functional Area: Marketing
In an organization, the marketing function is responsible for the promotion of products, ideas, and mission of the firm. This function has a vital role in the promotion of the business and mission of the organization. Marketing is also responsible for conducting product and market research while planning and implement advertisements and promotional campaigns (Anderson, 2012). Marketing is essential to the organizational structure as it helps identify and understand the markets the company is targeting while also outlining strategies to effectively meet the needs of these markets.
There are several channels through which the marketing function supports organizational success. One of these is through product and service management, which refers to the design and development of products to ensure that they are best suited to the consumers. For every firm, products have to be structured to reach the desired customers. If products and services do not suit an organization's market, then there will be a low level of profitability or loss that may result in organizational failure. A second way that market function supports organizational success is through the design and implementation of distribution. Distribution involves the determination of the best way for customers to access products (Gnizy, 2014). Marketing helps in the construction and expansion of the company’s sales channels as well as its distribution network. This supports the organization to effectively reach more customers.
Marketing also defines and manages the brand of an organization through the management of campaign initiatives and producing marketing and promotional resources. This action involves the proactive identification of the products and services that a firm should focus on a sales cycle and then producing communications that will make these products known to consumers (Anderson, 2012). The marketing function creates materials that define and promote the products to consumers, outside vendors, and even the media. This function is critical for supporting the knowledge of products and services by consumers and other essential third parties in this channel. This knowledge supports increased sales in firm and brand recognition, which eventually facilitates a firm's growth.
Functional Area: Customer Service
The customer service function is essential for determining the quality of the relationship that an organization has with its customers. It mainly involves listening to customer feedback and resolving their problems when required. This function supports organizational structure as it promotes the establishment of good relationships with customers and enhances the level of information that a firm has concerning its customers (Goodman, 2019). Without a proper relationship with customers, other parts of the organizational structure, such as sales, are adversely affected.
There are several ways through which the customer service function is essential to organizational success. Firstly, which also acts as the broadest aspect of customer service, the function builds positive relationships with customers. This involves interactions with the target market, such as contacting new customers, and involves the application of effective communication skills (Poddar et al., 2012). It also involves dealing with customer issues in a way that shows customers that they are important and valued, supporting return sales. Therefore, through the function, an organization can ensure that it will have repeat sales and that demand is satisfied. Secondly, the customer service function is also responsible for ensuring that the firm has the proper knowledge of its customers (Goodman, 2019). Customers often want recognition from organizations that they are individuals. Through the function, customers can feel that their needs are being met and that the firm values them.
Thirdly, the customer service function is also a driver for company values and beliefs hence supporting the establishment of a successful organizational culture. The function drives company values through the promotion of customer services across the organization. Its key duty, therefore, is to demonstrate to organizational employees that effective customer service is the driving force behind the company (Goodman, 2019). This involves ensuring that all employees understand the need to provide the best possible service to customers. Lastly, the function is engaged in the negotiation of agreements with customers that correspond with the organization's policies. Customer service often includes negotiation and ensuring that the outcome agreed is in line with the expectations of the customers, as well as the policies in the organization. Through these duties, the customer service function ensures that a proper relationship exists between a firm and its customers.
Functional Area: Research and Development
The research and development function helps support an organizational structure by maintaining the competitiveness of an organization. In an organization, this function also plays a critical role in the life cycle of a product. The roles of the research and development function, support the maximization of other functional areas in the organization, such as sales and production.
One of the duties of the research and development function in its contribution to organizational success is new product research. Before the development of a new product, this function conducts research to support the project. This research involves determining product specifications, the associated costs, and the schedule. The research may also involve an evaluation of the need for the product to ensure that it is a commodity that customers want to use (Adamska et al., 2014). Another way that this function contributes to the success of an organization is the development of new products. Employees in this function are responsible for ensuring that the products are developed to meet existing guidelines and regulatory specifications.
The R&D function ensures that constant updates are made to existing products. The function is responsible for the regular evaluation of the products offered by the organization to ensure that they are functional (Galbraith, 2014). Potential changes or upgrades are assessed, and, in some cases, the function resolves problems with existing products that have problems. These changes typically involve providing support to other functions such as production and ensuring high-quality products are provided to consumers. Lastly, this function engages in constant innovation to facilitate the competitiveness of an organization. Often, the research and development functions are responsible for a company's dominant position within the industry.
Recommended Organizational Structure
Due to the nature of organizational functions identified, the best structure to be used is the functional organizational structure. As with the hierarchical structure, the functional structure begins with positions with the greatest levels of responsibility at the top and goes down for them (Fairfield, 2016). The employees in this structure are organized according to their particular skills and the corresponding functions within the firm. Each separate function is independently managed without reliance on other functions. This organizational structure suits the functions identified due to the level of specialization required in each function (Fairfield, 2016). Based on their roles and contributions to an organization, the marketing, research and development, and customer service functions contribute distinctly to an organization's success. The use of this organizational structure will allow employees to focus on their roles while also encouraging specializations. However, as this structure may limit communication between these functions, effective communication channels should be implemented (Bai et al., 2018). This will allow for the integration of different departments while allowing them to function independently.
Conclusion
As a multinational firm, Apple requires the proper implementation of three functional areas to achieve its objectives; research and development, marketing, and customer service. The marketing function will help expand Apple's platform to discover and deliver digital content through the management of marketing initiatives and market and product research. Through customer service, Apple can create the best customer experience with an excellent salesforce and support team. This is essential for the attraction and retention of customers. Constant investment in the research and development function is essential to promote Apple’s goal of developing and selling innovative products, services, and technologies. For the proper application or use of these functions, Apple should apply a functional organization structure which will allow specialization. Greater focus should also be directed towards implementing effective communication channels to allow for the flow of information between these functions.
References
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Galbraith, J. R. (2014). Designing organizations: Strategy, structure, and process at the business unit and enterprise levels . John Wiley & Sons.
Gnizy, I., & Shoham, A. (2014). Uncovering the influence of the international marketing function in international firms. International Marketing Review, 31 (1), 51-78.
Goodman, J. (2019). Strategic customer service: Managing the customer experience to increase positive word of mouth, build loyalty, and maximize profits . Amacom.
Johnson, K., Li, Y., Phan, H., Singer, J., & Trinh, H. (2012). The Innovative Success that is Apple, Inc.
Poddar, A., & Madupalli, R. (2012). Problematic customers and turnover intentions of customer service employees. Journal of Services Marketing, 26 (7), 551-559.
