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Effect of Best-Fit Model on Human Resources Strategy at Apple

2222 words (9 pages) Business Assignment

12th Nov 2020 Business Assignment Reference this

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Introduction to the Best-Fit Model

Will be discussing how the best-fit model has a drastic change in the Human Resource Strategy for the organization Apple. I will be discussing the best-fit model and the procedure each company goes through using this model, such as the external analysis contexts and the internal analysis contexts.

When it comes to establishing the external contexts of the external environment, it all starts with a broad scan that could benefit the organisation or have an impact on the organisation this allows us to focus on the key factors such as the objectives and the activities. This indeed though is not a one-time process; organisations also need the motivation to hold a key factor, which is constant to audit the external environment as well as giving agendas and views to the external shareholders. The main tool that can help when it comes to this is the PESTLE analysis as it gives us an overview of the company. (Julian, 2011)This is a pestle analysis based on Apples Company giving us information on their PESTLE analysis. This allows us to see the impact Apple had made or impact it occurs through its PESTLE analysis.

In the Political contexts, problems such as culture diligence, the government and health issues can cause difficulty to Apple Inc. and its products in China, Korea and japan alongside other countries to allow for savings in the operating of products. In this case, Apple are due to lose parts of its market due to a postponement in the manufacturing process.

Within the Economic contexts, the current economic conditions have a huge impact on consumers when it comes to the purchasing power of consumers. It is a huge uncertainty of unemployment within in many countries as its rise or fall of unemployment is too unpredictable. When it comes to the purchasing power of consumers, it draws consequences to the economic factors. This can lead Apple Inc. having a big decrease in sales of the products.

Socio-cultural contexts, the Human Resource managers need to acknowledge the HRM policies that grasp the collective culture. Work commitment and performance can be improved when they encourage employees in decision-making scenarios. The strategy may be used as an advantage for the company to help maintain its most valuable employees, encourage more employees, and build a stronger work force for the company.

Technological contexts, Apple have been known for their innovation when it comes to producing new products and its commitment in getting them onto the consumer market. The main competitive advantage apple hold against others companies is their innovation to being able to develop the same operating system and software for all its products. (Linton, 2018)

Legal contexts, Property laws have a huge impact on Apple, as they need to be covered by its intellectual property law for all the variety of products that Apple produce, this includes Apple music and its software, due to the income it receives. Due to all of this, it can leave Apple to be highly vulnerable to both litigation and piracy.

Environmental contexts, the biggest issue Apple Inc. may find environmentally is the disposability of their used or nonworking products. The main issue of them disposing the products is due to their products that occur lithium batteries, could be very high. Apple will be at fault for all the landfills that have their wastage on and will be forced to assume that expense. (Inc, 2015)

The internal analysis context allows us to see the type of management style used within the organisation. Can also show how a business controls their employees. This also allows us to see the Internal Structure, which shows us what is going on within the business; this is done by performing a SWOT or a PESTLE analysis.

Management style shows us how staff can be treated as well as how they can be managed on a day-to-day basis with Google. For me I find that for leaders, it is important for employer’s show that they are consistent and fair and their employees know that there is an element of predictability. For a leader to be consistent it must be shown, this will allow the employees to experience the will for freedom within the company. This will then allow them to know all the areas within the business and feel the need to do whatever they want people on their teams experience a will for freedom, because then they know that within certain areas of the company, they can do whatever they want. If the employer/manager is inconsistent and not keeping up with work, then employees will not know what to do within the company. This will then lead to employee’s experiences to be prohibited (Bryant, 2013).

Internal structure allows us to see what is going on inside the business and shows us the good and bad traits apples has. This will be demonstrated by allowing us to do a SWOT analysis on apple and showing their Strengths, Weakness, Opportunities and Threats.

Strength: This aspect of the SWOT analysis framework identifies the strengths that enable the company to overcome weaknesses within apple, take advantage of opportunities, and holdup against threats in the business industry. The main strengths that apple have come from within the organisation. In this case, the following are the most notable strengths of Apple Inc.

In this aspect of the SWOT analysis, the emphasis is on the weaknesses or inadequacies of the company. Weaknesses are internal factors that are obstacles to help business grow. The following business weaknesses are the most notable in the case of Apple, there limited distribution network, the fact that apple have very high selling prices give a decrease in customer satisfaction, and the dependence on a high-end market. (Smithson, 2019)

This is the aspect of a SWOT analysis for Apple Inc.; it pinpoints the most significant opportunities that are available to the business. Opportunities are external factors based on the industry environment. These factors influence the strategic direction of business organizations. In Apple’s case, the following are the most significant opportunities, the expansion of the distribution network, the higher sales going with the rising demand, and the development of new product lines.

Threats: In this aspect of the SWOT analysis, the focus is on the threats that the company experiences from various sources, such as competitors. Threats are external factors that limit or reduce the financial performance of businesses. In Apple’s scenario, the most significant threats that occur to apple (Smithson, 2019)

The Wright and McMahan 1992, this study helps us examine the capability of strategic human resource management and the technical human resource management showing how they help in predicting the organisational performance in the health care. In predicting organizational performance in the health care industry. Technical HRM has shown to be more beneficial when it comes to anticipating the organizational performance, and strategic HRM has shown to be more beneficial within the human capital. Technical HRM does not mitigate the relationship between strategic HRM and grasped organizational performance, but it does moderate HR strategy and human capital accumulation. (Yang, 2014)

The Baird and Meshoulam 1998 is the horizontal fit of the “fit” model, it is based, HRM hierarchy show that inside and outside the organisation, there are HRM policies and practices. Labour market policies have always shown their interest in employment, this is part of their focuses. When it comes to employers, they always tend to see how the policy may affect personal recruitment. This will highlight that the labour policy can affect certain aspects of the personal recruitment. Things such as job supply and job demand, allocation for job offers and a degree of selectivity may affect the aspect of personal recruitment (Ingrassia, 2017).

The Schuler and Jackson 1987 is the vertical fit of the “fit” model, this is based on a strategy of process in an organisation and an alignment of the HRM policies. The alignment of HRM and strategy define the organisations management process. This is the HRM alignment, which is there to help set the organisations objectives (Green, 2006). The fitness of theoretical models and the observed data examined. One thousand three hundred enterprises in Taiwan consumer electronic industry were to be selected at random to be part of a survey pool. Their responses received back from the organisations were then analysed to help complete the fitness model with a structural equation for the modelling analysis. A reasonable fitness can be found for the theoretical model of innovation strategy, design strategy, design characteristics, and the collected data. Within enterprises, innovation strategy will control product design characteristics, and the innovation strategy will control product design characteristics through design strategy. Among these three variables, design strategy serves as a design characteristics to intervene variable and independent variable. (Hsu, 2013)

The societal fit research evidence demonstrates the different approaches within human resource management and how they can contributed to your country.

The first of the three is Labour law, union recognition, and collective bargaining and workplace consultation, in the unions of Germany and France as ‘social partners’. The societal transition shows “a radical structural change of a societal system that gives us the result of a co-operative of economic, ecological, cultural, technological and institutional developments at different scale levels (J. Rotmans, 2009). When studying change of these systems societal transitions research shows us a broader perspective than the other approaches to a continual development, and this will highlight the dimensional interactions between civil society, culture, technology and the industry (STRN, 2010). The second of the three in the societal fit research evidence is the Economic conditions, if there is a strong growth within an organisation the labour market may remain tight, whereas if there is a slow growth within an organisation the labour market will remain will be a fluid, reducing unemployment takes a very essential part in the economic growth. The more people that work within the economy produce more good that will keep adding value to the economic growth. The reason for the high unemployment is due to the negative growth within in economy or caused by stagnant economy. The main solution to unemployment is for the government to create more jobs and help people get out of the job. A way this may be done is by increasing employment programs to help the unemployed get jobs the government must issue these programs, or another way is by the government to issue tax cuts, which will encourage businesses to hire. (McGlynn, 2017)

Within the organisational structure, the human resource policies begin from great hiring. Every year more than 2 million applicants apply to secure a job at Google. Thousands of applications are filed each year for every vacant position. The focus of Google’s recruitment policy is to have the right person in the right position.  It does not officially reveal its number of recruiters but sources say that more than 400 internal and external recruiters were working for hiring new Googlers in 2009. These recruiters are well-paid professionals, many of them external recruiters, to recruit new candidates. Recruiters focus on hiring staff that is highly talented and culturally compatible. Culture plays an important role when it comes to hiring new people. How culturally compatible you are with Google decides how well you will perform once you are inside. The role of culture and cultural compatibility has also been highlighted by research. The more culturally compatible are the employees, the higher will be the overall productivity of an organisation.  

However, the recruitment process is not so straightforward. Instead, the applicants have to be through a lengthy and complicated process. The budget for recruitment at Google is also high.  Productivity matters at Google and so there is a lot of investment behind hiring each new employee.  It tests several things before recruiting. To some, it may appear too complicated but then things are complicated inside technology companies and it is also, why their turnover rates are higher compared to other industries. Surviving the pressure is not possible for everyone and in this sense; Google is not wasting money by spending on recruitment. The way Google does it has also become a lesson for other players in the industry. (Pratap, 2019)

References

  • (Inc, 2015) 
  • (Linton, 2018) 
  • (Julian, 2011) 
  • (Smithson, 2019) 
  • (Smithson, 2019) 
  • (Pratap, 2019) 
  • (Bryant, 2013) 
  • (Yang, 2014) 
  • (Green, 2006) 
  • (Hsu, 2013) 
  • (Ingrassia, 2017) 
  • (STRN, 2010) 
  • (J. Rotmans, 2009) 
  • (McGlynn, 2017) 

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