Post-Macworld Depression 392

Apple inc. has long been revered for it’s success, which is no surprise considering Apple currently commands over 6% of the US market, putting it far ahead of Dell, and just steps behind Intel. When Steve Jobs took over as CEO of the company in 1997, he turned the company completely around. Though Apple’s successes have a polarizing effect in everyday conversation. In an article “How Apple Got Everything Right by Doing Everything Wrong,” Leander Kahney scrutinizes Apple’s business tactics and employee treatment practices, which effectively render it a bureaucracy.

Bureaucracy is a term we defined just this week in 392, as a formal organizational system used to manage and regulate a large group for a special purpose—in this case—making a profit. The characteristics of a bureaucracy include 1) a division of labor, 2) an hierarchy of authority, 3) written rules and regulations, 4) impersonality, and 5) employment based on technical qualifications.

The article begins curiously, reporting on Apple’s projection of an egalitarian image to outsiders: the parking lot of Apple inc. headquarters in Cupertino, California is set up without reserved spots for higher-ups and executives. Instead, employees who arrive late to work are punished with a bad parking spot. To anyone outside the company, this seems like a fair set-up, and a dream that all cubicle employees fantasize about. However, Kahney reports a dark side—Steve Jobs, CEO of Apple since 1997, has been witnessed abusing handicapped spots when in a hurry. His employees have been known, however creatively, to bust his chops for this, leaving notes under his wipers that read “Park Different” and converting the handicap symbol to a Mercedes logo, matching his hood ornament. All in good humor, right?

Kahney believes not. Her description of Apple inc. as a business model screams bureaucracy. Let’s break this down:

1) Division of labor: Apple certainly boasts a division of labor. Jobs’ employees are specialized in different areas. The hardware and software developers are even housed in two completely different wings (so as not to share information with one another and to avoid understanding the ‘big picture’ of the project). There are few, if any employees that can do anyone else’s job.

2) Hierarchy of authority: Jobs is (obviously) at the top of the food chain. Although Apple generally keeps the dynamics of its headquarters under wraps, we can assume supervisors and managers of each department are under Jobs, developers and researchers, then those that physically build the products. Jobs is certainly the be-all end-all. He has been rumored to be “a notorious micromanager. No product escapes Cupertino without meeting Jobs' exacting standards, which are said to cover such esoteric details as the number of screws on the bottom of a laptop and the curve of a monitor's corners” (Kahney).

3) Written Rules and Regulations: With a company so large and prosperous, it is necessary to keep all employees on the same page. Whether or not this be with memos like in Office Space, there is no doubt that Apple has a way of controlling employees’ every move. Secrecy is key: “At times, Apple's secrecy approaches paranoia. Talking to outsiders is forbidden; employees are warned against telling their families what they are working on” (Kahney).

4) Impersonality: In any large-group setting there is an element of impersonality. Although Apple generally treats its employees well and rewards them with plentiful benefits, there is not much job security. With Jobs, “Even the most favored employee could find themselves on the receiving end of a tirade” (Kahney). It doesn’t matter who you are or what good you’ve done, one lapse in judgment could cost you your job.

5) Employment based on technical qualifications: There is no question really as to whether Apple’s employees are qualified in what they do. To be hired, employees must first undergo a rigorous training process in an area based on past experience in the field. This process, too, is kept incredible private.

Sure, it seems like Willy Wonka’s famous Chocolate Factory with all of its secrecy, but Apple is just playing the game. They’ve found it beneficial to keep their company vertically integrated—unwilling to collaborate or cooperate with hardware manufacturers outside their payroll. It is certainly a bureaucracy by all traditional standards, but is this bad? Office Space regards bureaucracies as structures that strip you of individuality and creativity, etc. But creative “sparks” in Apple employees are encouraged. It is impossible to believe Jobs is responsible for all of the innovation. He knows what consumers want, but his employees are responsible for making it happen. Overall, I think this article is a bit too accusatory (and was probably written by a PC owner). Apple has produced some of the most powerful, yet simple and elegant products on the market. Because all of the software is produced by them, they know how to fix bugs. And everything works together so harmoniously. I mean, really. Have you ever tried running iTunes on a PC? Fat chance.

How Apple Got Everything Right

Here's a humorous video I found. Not really related to this, but still funny.