Cybersecurity Awareness Training Presentation v2024.03
Apple Programmatic Recommendation
1. Apple Inc.
Andrew Brewer - International Business
John Funke - Marketing/Management
Ellis Kim - Management
A.J McKay - Marketing/Management
2. History
FOUNDING AND INCORPORATION
1971 -
The Beginning
1976 -
Apple Computer begins
1977 -
Apple II introduced
-
Michael Scott becomes 1st CEO
1980 -
Apple goes public
3. History
EARLY SUCCESS
1981 - Mike Markkula becomes CEO
1983 -
John Sculley III becomes CEO
-
Project Lisa introduced
1984 -
Original MAC introduced
1985 -
Jobs resigns at Apple
DECLINE
1993 - Michael Spindler becomes CEO
1996 - Gilbert "Gil" Amelio becomes CEO
1997 - Jobs returns as "Interim CEO"
- Introduces 1st online Apple
store
1998 - Jony Ive promoted to design team
4. History
RETURN TO PROFITABILITY
2000 -
Steve Jobs becomes CEO
2001 -
1st iPOD, 1st Apple store opens
2003 -
iTunes store opens
2004 -
Jobs announces medical leave
2007 -
Apple introduces iPhone
2009 -
Steve Jobs takes 2nd leave of absence
2010 -
Apple introduces iPad
5. History
POST JOBS ERA & EXPANSION
2011 -
Jobs resigns as CEO
-
Steve Jobs Passes Away
-
COO Tim Cook becomes CEO
2012 -
Apple releases iPhone 5
-
First dividend payment in 17 years
2014 -
7-for-1 stock split
-
Angela Ahrendts becomes VP of retail & online stores
- Acquires BEATS
2015 -
Apple sees record sales in App Store
-
Firm reaches world record valuation of $700B
-
Iphone 6 released
-
Apple Watch released
6.
7. Opportunity Statement
Apple Inc. currently operates in a highly competitive technology
industry. They rely on their superior brand image, high-quality products,
and quality intellectual capital for competitive advantage. There exists
opportunities to further leverage underutilized assets that would
increase customer share and identify other sources of sustainable
competitive advantage.
8. Significance to Leadership
We have identified new forms of sustainable competitive advantage,
and have developed a strategic program designed to implement these
sources. By focusing on and leveraging these resources, Apple will be
able to build and sustain new forms of sustainable competitive
advantage.
9. Sustainable Competitive Advantage
A long-term advantage that uniquely differentiates a firm from its
competitors, achieved by augmenting physical products with
value-added benefits to create high customer perceived value
and meet customer needs for time, convenience, fear and/or
risk reduction.
14. Leadership
Steve Jobs
“Without passion, any rational person would give up. So if you’re not having fun doing, if you
don’t absolutely love it, you’re going to give up. And that’s what happens to most people,
actually.”
“While some see them as the crazy ones, we see genius. Because the people who are crazy
enough to think they can change the world are the ones who do.”
Transformational
Charismatic
Visionary
Perfectionist
15. Leadership
Tim Cook
CEO
Methodological
Transactional
Supportive
Empowers Employees
“We believe in the simple not the complex. We believe that we need to own and control the
primary technologies behind the products that we make, and participate only in markets where
we can make a significant contribution.”
“Together, we are committed to diversity within our company and the advancement of equality
and human rights everywhere.”
-Tim Cook
16. Leadership
Executives
Luca Maestri
CFO
Denise Young Smith
Worldwide Human Resources
Dan Riccio
Hardware
Engineering
Philip W. Schiller
Worldwide Marketing
Bruce Sewell
General Counsel
Jeff Williams
Operations
Paul Deneve
Special Projects
Steve Dowling
Communications
Lisa Jackson
Environmental Initiatives
Joel Podolny
Dean, Apple University
Johny Srouji
Hardware Technologies
17. Leadership
Noteworthy Executives
Jonathan Ive
Senior VP
Design
Eddy Cue
Senior VP
Internet Software and
Services
Craig Federighi
Senior VP Software
Engineering
Angela Ahrendts
Senior VP
Retail and Online Stores
18. Corporate Culture
“ We want people to be themselves. And contribute throughout their own,
individual experiences. Because this environment inspires creativity and
innovation. And empowers us all to do the best work of our lives. Together.”
“And doing things great -- not accepting good or very good but only the very best.
Apple has a culture of excellence that is, I think, so unique and so special.”
-Steve Jobs
Innovation
Perfectionism
Collaboration
Secrecy
19. "...You also want people to buy into the philosophy, not just buy in, but to deeply
believe in it."
“Together, we are committed to diversity within our company and the advancement of
equality and human rights everywhere.”
-Tim Cook
● Diversity
Social responsibility
Corporate Culture Recent Changes
21. Human Resources Recruiting
● Apple Website
● LinkedIN
● Career Fairs
● Scholarship Programs
"You're trying to pick people that fit into the culture of a company...You want a very
diverse group with very diverse life experiences looking at every problem. But you
also want people to buy into the philosophy, not just buy in, but to deeply believe in
it."
-Tim Cook
23. Human Resources Training
● Employee Orientation
“Whether you work at one of our global offices, offsite, or even at home, a job at
Apple will be demanding. But it also rewards bright, original thinking and hard
work. And none of us here would have it any other way.”
-Apple Website
24. Human Resources Retaining
Health and life insurance
401K plan with company match
Employee stock purchase plan
Tuition assistance
Wellness program
"Our people are the essence and we can’t really do anything without
making sure we have a culture and environment that is constantly thinking
about our people."
-Denise Young Smith, VP Human Resources
25. Organizational Structure
Non-traditional
Flat
Team/department divisions
Matrix influence
“Today, I am announcing changes that will encourage even more collaboration
between our world-class hardware, software and services teams at all levels of
our company." -Tim Cook, CEO
“Great things in business are never done by one person, they are done by a
team of people.”
-Steve Jobs
28. "We want to be as innovative with supply responsibility as we are with our
products. That’s a high bar. The more transparent we are, the more it’s in
the public space.."
- CEO Tim Cook
Operations Supply Management
29. Operations Supply Management
“Around the globe, Apple employees are united on bringing equality,
human rights, and respect for the environment to the deepest layers
of our supply chain.”
-Jeff Williams Senior VP of Operations
31. Operations Worldwide
Worldwide
453 retail stores in 16 countries
Online store available in 40 countries
Third-party retailers worldwide
iTunes and App Store in 147 countries
China
32. Operations Workforce
92,600 Employees worldwide
66,000 employees in the U.S.
30,000 retail store employees
4,400 additional temporary jobs and contractors
36. Decrease of 10% in shareholder equity
from 2013 to 2014
Significant increase in:
A/P
Commercial paper
Long-Term Debt
Total liabilities increase 45.6%.
Finance
Balance Sheet
37. Finance
Balance Sheet
➔ Decrease of 10% in
shareholder equity
➔ Total liabilities increase
45.6%.
➔ Significant increase in:
◆ A/P
◆ Commercial paper
◆ Long-Term Debt
2014
2013
39. Finance Short-Term Solvency
Cash & Equiv
Current Liabilities
Measures cash on hand to pay off
short-term debts and/or emergencies.
Only represents money that can be
accessed immediately.
Current Assets
Current Liabilities
Measures the firm’s ability to pay
back short-term obligations.
Accounts for illiquid assets such
as inventory.
Current RatioCash Ratio
40. Measures financial leverage, and a
firm’s ability to take on more debt to
finance long-term growth.
Total Liabilities
Total Shareholder Equity
Debt/Equity Ratio
Finance Long-term Solvency
41. Finance Efficiency Ratios
Measures how quickly a firm
uses up it’s supply of goods
over a given period of time.
COGS
Avg. Inv.
Receivables TurnoverInventory Turnover
Measures how efficient a
firm is at collecting
debts.
Net Credit Sales
Avg. A/R
42. Finance Profitability Ratios
Profit Margin Return On Equity
Measures how much
revenue translates into
actual profit.
Calculates how much
money a firm generates
with the equity they have.
Net Income
Total Revenue
Net Income
Shareholder Equity
43. Finance Profitability Ratios
Tells us how much an investor is
willing to pay for stock relative to
the firm’s earnings.
Market Value
EPS
P/E Ratio
53. Marketing
Personal Selling
Frontline employees
iPad Coordinated
Hands-on experience
“The thing is, I don't want to be sold to when I walk into a store. I
want to be welcomed.”
Angela Ahrendts, VP Retail and Online stores
54. Marketing
Direct Marketing
● Email Campaigns
1. Educate customers on
products & launches
2. Encourage site visits
& product purchases
● Push notifications
● Not measurable
69. Threats
Security and privacy
Direct competitors
Suppliers performance
Labor issues
Volatile global and local economies
Indirect competitors
New technology/innovation
70. Sustainable Competitive Advantage
A long-term advantage that uniquely differentiates a firm from its
competitors, achieved by creating high customer perceived value
through the augmentation of physical products to meet customer
needs for time, convenience, fear and/or risk reduction.
71. New Forms of S.C.A
Further leverage customer data base
Build & insulate personalized relationships
Anticipating the current and future needs of
customers
73. Viable Alternatives
Talent Recruitment
Potential
opportunity to
obtain new talent for
the company
through research
and internship
partnerships with
universities.
Acquisition Strategy
Potential
opportunity to
expand into a new
industry through
acquisition.
75. Through a new application that lies at the center of
the Apple experience, this initiative will begin to foster
learning relationships between Apple and its
customers.
76. Goals & Objectives:
Integrate with the App Store
to provide a customized
recommendations stream
Allow Apple to capture
valuable customer
knowledge
Allow users to create a
profile through their
pre-existing Apple ID
81. Build Relationships
Direct Marketing
● Continuous Engagement
● Insulate Relationships
● Focus on Customer Share
82. Ryan Smith
Name: Ryan Smith
Apple ID: Ryansmith@icloud.com
City: Los Angeles
State: CA
Age: 22
Primary Device: iPad
Profession & Productivity:
-Marketing Coordinator (3 years)
-Drives an hour to work daily
-Grocery shops every Monday
-Stock market
Fun & Recreation
-Favorite sport: baseball
-Surfing
-Music: Piano,Guitar
-Photography
Lifestyle & Culture
-Wine enthusiast
-Vegan
-News
-Christian
92. Data Security and Privacy
● Strict policies
● Transfer and Storage
● Extremely transparent
“What Apple doesn’t do is hand over the keys to all that data and let advertisers
plug into it directly with their own data-mining and targeting software.”
Apple will not perform iOS data extractions in response to government search
warrants because the files to be extracted are protected by an encryption key
that is tied to the user's passcode, which Apple does not possess.”
-Apple Website
Macro-Economic
93. This should have more info about security and privacy
Electronic Frontier Foundation gave them 6/6 stars for security
commitment
government agencies frustrated they dont have a back door to
apple and that apple cant get them things
Macro-Economic - Back Up
“Our commitment to protecting your privacy comes
from a deep respect for our customers. We know
that your trust doesn’t come easy. That’s why we
have and always will work as hard as we can to
earn and keep it.” - Tim Cook
94. Operations Supplier Standards
Apple products are manufactured primarily in China until the software is downloaded onto them. From there the final
product is shipped to distribution centers in Elk Grove, California and Memphis, Tennessee and then to retail stores,
third-party retailers, and to customers who placed online orders. Since Angela Ahrendts took her position, she has
been instructing retail store employees to encourage customers to make more of their purchases online, especially
around times that new products are introduced. This is not in an attempt to move away from retail stores but an
attempt to minimize long lines in stores, prevent long inventory backorders, and dissatisfied customers that go to a
store that does not have the product they want in stock.
95. Finance Back up (6 reasons for COS)
1. New versions of existing products (like new macbooks) cost
more to make but are selling for the same or reduced prices.
2. An overall shift in sales mix to products with lower margins
3. The introduction of the iPad mini with a significantly lower profit
margin.
4. Price reductions on the iPad 2 and iPhone 4
5. Higher warranty expenses
6. Unfavorable foreign exchange fluctuations
Products Affected By Shift In Pricing Model/Reasons For
COS Spike