Introduction
Background information
Apple Corporation is a Multinational technology company based in the In the United States. The company designs, produces and sells electrical consumer products around the world. Some of the products of the company are iPhone Smartphone, iPod, Macbook laptops, and consumer software such as the OS X and iOS and operating systems among others. The company was founded in 1976 by Steve Jobs, Steve Wozniak, as well as Ronald Wayne (Apple Info – Apple, 2016).
Link: http://www.apple.com/about/
Apple Corporation is the globally largest information technology company by revenue and total assets. In the last three years, the company has recorded a rise in the total revenue and growth. In 2013, the company generated total revenue of approximately $ 37.037 billion. The revenue could go up a year later to approximately $39.510 billion in 2014. In 2015, the company continued to advance as it got to approximately $53.394 billion (Apple Inc, 2016). The trend is an indication that the company continues to advance in trade and dominance in the technology industry.
The company operates in the technology industry, which is a highly competitive industry with massive changes occurring with time. The company deals with hardware products as well as software products. The hardware products include the iPhone smartphone, iPad tablet computer, Mac personal computer, iPod, as well as the Apple Watch Smartwatch. The company software products such as the OS X and iOs operating systems, iTunes, and Safari web browser among others (Apple Info – Apple, 2016).
The industry is highly competitive with the main competitors to Apple Incorporation being Samsung, Microsoft Corporation, and Lenovo (Apple Inc, 2016). The companies are competitive on the basis of production of the electronic devices as well as marketing for the various products. However, Apple Incorporation edges the competitors by having a range of products. The company targets medium and higher income earners following the premium prices for its products, which make them highly affordable to people in these classes (Apple Info – Apple, 2016).
Company’s Organization and Management of Information Systems
Apple’s Information Systems
The company has been keen on the development of specific information system, which includes hardware and software systems. The company has kept secret some of its information systems to keep their competitive advantage. However, there are some systems which the company has maintained to assist in its operations as well as relationship with the customers. The company focuses on the systems, which bring more customers and increase the purchases for the company over time.
iCloud
One of the features that Apple offers to its customers is iCloud. The iCloud service is highly useful in allowing the users to back up data from various Apple products online. The individual customer is given an online access to all the information from any of the devices online (Apple Information Systems, 2016). As such, the customer does not have to carry along with him all the devices.
Apple Support Communities
The other feature that Apple’s website offers to its customers is the Apple Support Communities. The service enables the customers to engage in conversations with other users of Apple products on various topics. Customers can make enquiries regarding the various activities of Apple Incorporation and they are assured of answers through the support, which offers directions and guidance over a number of activities that may happen online (Apple Information Systems, 2016). The system can be highly useful in the middle management to determine frequent customer issues.
Tumblr
Apple has a Tumblr page useful in the advertising their iPhone Color. In the Tumblr webpage, the company had a short animated advertisement for various products such as iPhone in various colors. Each color is played in different songs thus making it attractive and interesting for use by the customers (Apple Information Systems, 2016).
Supplier Information database
In order to get the best suppliers, Apple Incorporation has a Supplier Information Database. The system is highly significant and useful in the registration with SID. If any need for types of products that the supplier provides, Apple contacts the supplier to explore the opportunities (Apple Information Systems, 2016).
Apple’s information systems as enhancements to business processes
The iCloud technology is highly useful when the client needs to locate any iDevice, which may be connected to the internet if the product could have been misplaced or stolen. The iCloud system is highly significant to the security of the security of the data of the customers. It is also significant in the reduction of traffic in the system, which may be caused by the existence of a large number of customers.
Through the Apple’s Support Communities, engineers and scientists in the Apple’s middle management will look into the various problems through Apple Support Communities. The data can be used to fix technical issues as well as increase the customer value. The business processes for the company in the middle management has become exceedingly easy since a number of elements, which include handling of the management problems and customer issues have become affordable and highly competitive to achieve the desired business excellence.
Advertising is one of the most interesting business processes and Tumblr offers the platform. It includes the use various platforms to make the world knowledgeable of the products. Therefore, Apple has succeeded in defining a unique advertising process, which makes it easy to reach a large number of customers who may be interested in the product. It becomes easy to notify the customers of the improvements on the products.
The purchases and supplies process is extremely crucial for any business, Apple Incorporation benefits from the information system by having ready suppliers. Therefore, upon requirement for a supplier, Apple Incorporation can access one easily. Therefore, the procurement process for the company is well enhanced.
Apple’s information systems as competitive advantage
The iCloud technology by Apple gives the competitors an edge since the company attracts a higher number of customers through it. It offers the customers a larger storage for their data in a secure manner, which may not be available from the competitors. More customers are likely to purchase Apple products as they are assured of an extra service of secure storage of data and private information (Tan & Theodorou, 2009).
The Apple Smart community is an advantage also since the company manages to gather feedback from the customers in a clear and reliable way creating room for easy developments in the company. Also, the Tumblr is unique since the company is in constant communication with the customers on the new products and the development of the existing products. The advertisement medium is unique and effective to the target strategy. The company also manages its suppliers more effectively through continuous availability of suppliers through the supplier information database (Tan & Theodorou, 2009).
Apple’s information technology environment
Although the company has been highly effective in the application of technology in its endeavors, certain measures may be undertaken to bring further change. The first improvement that would major for the company is the application of social media in its iCloud system. Although, the system works well with the new Find My Friends App, more may be done to make the iCloud a product for all the people provided they have the app (Chikhale & Mansouri, 2015). The users of other Operating Systems should have access to the new system.
Also, it would be highly useful to the company if it embraced the ideas and inventions of other people around the world. The company should vet and adopt technological ideas from outsiders. This will expose the company to a wide pool of ideas with the necessary facilities availed through the creative personnel (Tan & Theodorou, 2009).
Apple should also consistently improve on the effectiveness of the iPhone. The smartphone is a major requirement for business people following its reliability and convenience. The device should be improved to incorporate more business features which will make it easy for the business people to use. The company should maintain the devices at the premium prices (Chikhale & Mansouri, 2015).
The company is mainly concerned with the security of the customers. There are a number of instances where the protection of the consumers solely depends on the company. Apple has focused on systems such iCloud to give the customers the needed privacy. Only the consumer has access to his iCloud account. Therefore, the information in the account can never leak to the outsiders (Chikhale & Mansouri, 2015).
Also, the company has the Apple Pay service, which is a tow-step verification process. It is highly significant in preventing access of the Apple products by a third party as it protects the Apple ID account information. The company does not share personal information of their customer to any third party (Tan & Theodorou, 2009).
Application of information systems to manage Apple’s Business
Apple’s Supply chain
Through the supplier information database, the company manages to hold on to a number of suppliers. Therefore, the company always has the supplier in his disposal so as to ensure constant flow of activities for the company. Apple purchases the needed materials from the suppliers and ships them to the assembling plant in China. The company ships its products direct from China to consumers in different parts of the world where the company operates. Apple has hired a security company; UPS or Fedex to assist in the transportation of the products to the various destinations. Most of the customers globally purchase the products from the Apple’s Online Store (Apple Inc, 2016).
For various distribution channels like retail stores and distributors, Apple stores products at ELK Grove, California at the central warehouse of the company and ships the products to different destinations. At the end of the life of a product, customer has an opportunity of sending the products back to the closest Apple stores for recycling (Apple Inc, 2016).
Apple’s e-commerce
The company trades effectively through e-commerce in the form of Apple stores. Customers can access and purchase any product online. The system is highly reliable since the processes are automatically authorized with critical monitoring by the management. The e-commerce is supported with well secured transportation system of the security firms to ensure the customer gets the products on time (Chikhale & Mansouri, 2015).
Conclusion
Information systems have been highly significant in the success of Apple Incorporation. Proper management of the information systems has been a calling to the company. The benefits of the properly managed information systems include successful relationship with the consumers through proper protection for their activities. Also, they have enhanced the business system of the company through secured business processes. The business operations have further been subjected to excellent information systems, which have been an assurance for progress and growth in business. The information systems have helped the company to sustain excellent business through e-commerce and well managed supply chain.
References
Apple Inc. (2016). Apple Inc. - Annual Report. Investor.apple.com. Retrieved 4 May 2016, from http://investor.apple.com/secfiling.cfm?filingid=1193125-15-356351&cik=320193#D17062D10K_HTM_TOC17062_10
Apple Info - Apple. (2016). Apple.com. Retrieved 4 May 2016, from http://www.apple.com/about/
Apple Information Systems (2016). Sites.psu.edu. Retrieved 4 May 2016, from http://sites.psu.edu/mis390goup7/apple-information-systems/
Chikhale, M. & Mansouri, M. (2015). An Agile and Collaborative Framework for Effective Governance to Enhance Management in Large-Scale Enterprise Business Systems: The Case of Apple Inc.Global Journal Of Flexible Systems Management, 16(3), 283-293.
Tan, A. & Theodorou, P. (2009). Strategic information technology and portfolio management. Hershey, PA: Information Science Reference.
