Loading...

Messages

Proposals

Stuck in your homework and missing deadline? Get urgent help in $10/Page with 24 hours deadline

Get Urgent Writing Help In Your Essays, Assignments, Homeworks, Dissertation, Thesis Or Coursework & Achieve A+ Grades.

Privacy Guaranteed - 100% Plagiarism Free Writing - Free Turnitin Report - Professional And Experienced Writers - 24/7 Online Support

Aims and objectives of apple inc

07/12/2021 Client: muhammad11 Deadline: 2 Day

Running head: COMPENSATION PRACTICE 1

COMPENSATION PRACTICE 9

Compensation Practice

Name

Instructor

Course Title

Date

Abstract

Compensation practices have been used by the Apple Company, which is a multinational company based in America with its headquarters located in Cupertino. The Apple Company is known for developing, designing and selling computer software such as iTunes, iOS operating systems, among other consumer electronics. Their popular products in the Mac line are computers, iPads, iPhones, and iPods. The company is ranked number three in the phone making category, after Nokia and Samsung. The company has penetrated in more than 14 countries making it, by market capitalization, one of the largest publicly traded global companies.

Apple Company has an objective for employees on the platform of compensation. The company aims at attracting and retaining their executives since they ensure succeeds in the market competition. The company strives to achieve the objective on the company’s stakeholders. Compensation committee in the company determines the compensation for the executives of the company as well as overseeing the compensation program. Executive compensation strategy has been the greatest tool in the achievements of the company. Another compensation strategy used by Apple Company is performance-based cash incentive. Apple’s compensation committee determines the compensation plans of its employees and executives.

The company employs competitive strategies in finding out the compensation effects on the senior officials, employees, and stakeholders. There are three major challenges facing Apple Company, as well as attracting new employees, who have strong talents, controlling the labor costs and multinational operations challenge. Apple Company has employed compensation strategies that conform to compensation laws used globally and at the local country it operates. The traditional base for pay focuses on giving merits on seniority and therefore becomes effective since it facilitates a common ground to control compensation matters.

Compensation Strategy of Apple Company

For any company, they need to focus on the efficiency of operations since they pay their employees in return for the work done (O'Grady, 2009, p. 67). To avoid employee frustrations and bond frictions, a company and employees need to have a broad agreement on binding documents about the compensation package. Therefore, in that perspective, Apple Company has an objective for employees on the platform of compensation. The company aims at attracting and retaining their executives since they ensure succeeds in the market competition. The company strives to achieve the objective on the business’s stakeholders. Compensation committee in the business determines the compensation for the executives of the company as well as overseeing the compensation program. Through a good compensation program, the company believes that financial performance can improve in the challenging macroeconomic environment if compensation management is effective.

Executive compensation strategy has been the greatest tool to the achievements of the company. The strategy involves rewards such as base salaries, yearly bonuses out of the performance and long-term equity rewards. Notably, the strategy has ensured retention of performing executive leaders, as well as attracting the most outstanding executive team. Besides that, the strategy aims at determining supplementary rewards that stimulate the performance of the employees. The company rewards the mentioned employees with long-term equity rewards after every two years. The company does not stress so much on the overall monetary compensation but on equity rewards, thus, shaping its annual performance-based cash bonus from the named executive employee ("Apple, Inc. Executive Salaries & Other Compensation | Salary.com," n.d.).

Another compensation strategy used by Apple Company is performance-based cash incentive. The strategy has help Apple Company in attaining its goals, objectives as well as attaining better financial performance as compared with its competitors.

How the Compensation Practice Has Determined Positive/Negative Impacts to the Apple Company and Its Stakeholders

One way of indicating fair and equal plan effectiveness is through compensation impact. Employees show that they are satisfied with compensation programs through their behavior, as well as presenting a positive work attitude. Thus, the company benefits from the employee’s actions of higher performance and improved effectiveness. Apple Company has a compensation committee that determines the compensation plans of its employees and executives. The compensation plans are reviewed every year. The company employs competitive strategies in finding out the compensation effects on the senior officials, employees, and stakeholders. Besides this, the company has employed different governance techniques as well as charters so as to determine compensation impact. Occasionally, the committee reviews the policy on compensation to consider if it is still appropriate for use. Moreover, the committee approves the incentive, benefits policy, and the entire compensation policy of any employee, but more so, that of senior executive officers ("AAPL Apple, Inc. Executive Compensation," n.d.).

Also, compensation impact is assessed by the committee through annual performance evaluation. The same is also done by the governing board of Apple Company. Through this, the efforts of hard working executive members are acknowledged, as well as the individuals that partake in the financially based impact of the company.

Challenges Related to Compensation Strategy Used by Apple Company

There are three major challenges facing Apple Company. To begin with is retaining, as well as attracting new employees who have strong talents. Due to high competition in the labor market for employees, the Apple’s compensation committee must recognize that and factor in the increasing competitive salaries and talented employees. The competition has raised wars in the multinational companies dealing with computer and software technologies. Therefore, Apple’s compensation committee is expected to aim higher and come up with a good enticing compensation plan for qualified and talented employees. Again, the compensation committee should aim at enhancing employee retention by developing a more complicated compensation strategy ("Apple, Inc. Executive Salaries & Other Compensation | Salary.com," n.d.).

Another challenge the Apple Company is facing is controlling the labor costs. The company’s budget has constraints in the countries that have constricted economies; meanwhile, war arises among information technology companies. Thus, the labor costs go up than the amount paid to the employees. As a result, the creation of effective compensation strategies becomes challenging.

Finally, Apple Company is facing a multinational operations challenge. Apple being a multinational company operating in different countries, it should, therefore, have strategies that balance expectations and employees’ needs in the various countries. Again the compensation strategies chosen should conform to the local customs and laws against global corporate policies. Sometimes adjusting this has been a significant problem for Apple Company.

How Laws, Market Factors and Labor Unions Impact Compensation Practices of Apple

Apple Company has employed compensation strategies that conform to compensation laws used globally and at the local country it operates. In this case, compensation laws and regulations become critical to Apple Company as it can undermine or improve compensation strategies used. Therefore, any established compensation strategy must conform to the law. Again, Apple should agree with the country’s compulsory leave to employees, bonuses, working hours, and minimum salaries for both permanent and temporary employees ("Apple, Inc. Executive Salaries & Other Compensation | Salary.com," n.d.).

Again, the compensation strategies should also consider the workers are working overtime. According to the law established, then all workers working overtime should be compensated effectively. For instance, the National Labor Relations Act states that private employees must be protected against the unfair labor practices of employers. Federal Labor Law is formed to regulate unions, employers, as well as employee relations. Labor unions have a greater impact on compensation since they have employees’ bargaining power. Therefore, they can directly affect employees’ wages, salaries, and total compensations. Through effective labor unions, employees can get the best compensation for the work done.

The market factors have impacted compensation strategies of Apple Company. Due to increasing competition in the information technology market, Apple Company must compete favorably by setting aside some finances for compensation. By doing so, evaluation reports are given by the compensation committee every year which says that the employee performance is increasing since they are motivated.

Effectiveness of Traditional Base for Pay approach

According to Need (2006), compensation strategy aims at motivating, retaining and attracting the most talented employees to the Apple Company. To ensure consistent financial success for the company, choices on compensation strategy must be made right. A traditional pay approach is perceived to be consistent and fair. The same approach can produce either productive or non-productive results. The truth of the matter is, with merit pay calls for binding to the ongoing employee training that can result in high costs.

The traditional base for pay focuses on giving merits on seniority and therefore becomes effective since it facilitates a common ground to control compensation matters. The approach provides a company with good criteria based on compensation evaluation. Reports should be drawn to show whether employees are rewarded more than necessary. The approach also serves as an important assessment tool on the company’s internal pay equity. Since all jobs in practice are based on a single system, it enables the company to compare what employees are getting across the board. More on that, the approach facilitates company market testing on the competitiveness of the pay scale. Again the approach allows all jobs to be scored using methods equitable to the other practices ("AAPL Apple, Inc. Executive Compensation," n.d.). Thus making the approach quite objective and again makes the paying system dependable as well as consistent. Hence employees won’t see compensation program as arbitrary.

Unlike other compensation approaches, such as incentive-based and person-focused, traditional base for pay may have some shortcomings. The approach emphasizes an upward career orientation, and senior executives continue getting the compensation. It also emphasizes on bureaucracy as well as the hierarchy in an organization. Finally, this approach fails to accurately compensate for the performance of talented employees.

In summary of the above discussion, Apple Company’s compensation strategy is not just to build a strong competitive edge, but supports human resource processes and helps the company in becoming highly efficient in these processes and leading in the information technology industry. The strategy has managed to attract top talents from global job markets to the company; therefore, retaining the talents for the best outcome of the company.

References

AAPL Apple, Inc. Executive Compensation. (n.d.). Retrieved on October 29, 2016, from http://insiders.morningstar.com/trading/executive-compensation.action?t=AAPL

Apple, Inc. Executive Salaries & Other Compensation | Salary.com. (n.d.). Retrieved on

October 29, 2016, from http://www1.salary.com/APPLE-INC-Executive-Salaries.html

Need, W. C. D. H. P. (2006). Human resource management: Gaining a competitive advantage.

O'Grady, J. D. (2009). Apple, Inc. Westport, CT: Greenwood Press.

Homework is Completed By:

Writer Writer Name Amount Client Comments & Rating
Instant Homework Helper

ONLINE

Instant Homework Helper

$36

She helped me in last minute in a very reasonable price. She is a lifesaver, I got A+ grade in my homework, I will surely hire her again for my next assignments, Thumbs Up!

Order & Get This Solution Within 3 Hours in $25/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 3 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 6 Hours in $20/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 6 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 12 Hours in $15/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 12 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

6 writers have sent their proposals to do this homework:

Helping Hand
Top Class Results
Essay & Assignment Help
Write My Coursework
Exam Attempter
Chartered Accountant
Writer Writer Name Offer Chat
Helping Hand

ONLINE

Helping Hand

Being a Ph.D. in the Business field, I have been doing academic writing for the past 7 years and have a good command over writing research papers, essay, dissertations and all kinds of academic writing and proofreading.

$26 Chat With Writer
Top Class Results

ONLINE

Top Class Results

I have read your project details and I can provide you QUALITY WORK within your given timeline and budget.

$28 Chat With Writer
Essay & Assignment Help

ONLINE

Essay & Assignment Help

I have assisted scholars, business persons, startups, entrepreneurs, marketers, managers etc in their, pitches, presentations, market research, business plans etc.

$29 Chat With Writer
Write My Coursework

ONLINE

Write My Coursework

As an experienced writer, I have extensive experience in business writing, report writing, business profile writing, writing business reports and business plans for my clients.

$43 Chat With Writer
Exam Attempter

ONLINE

Exam Attempter

I am an experienced researcher here with master education. After reading your posting, I feel, you need an expert research writer to complete your project.Thank You

$27 Chat With Writer
Chartered Accountant

ONLINE

Chartered Accountant

I will provide you with the well organized and well research papers from different primary and secondary sources will write the content that will support your points.

$29 Chat With Writer

Let our expert academic writers to help you in achieving a+ grades in your homework, assignment, quiz or exam.

Similar Homework Questions

Written assignment - A consumer's optimal choice when buying a flat screen tv - Research Design and Sampling - Jb hi fi return policy change of mind - C304 task 1 - Examples of disrespect in the classroom - African capital ventures sadly rejected in the morning - Where i m calling from summary - Balance sheet accounts are listed in order of - Sample mean and population mean symbols - Ashworth preschool and kindergarten - The ultimate gift questions and answers - Remember the maine worksheet answers - How to organise a library - Positive effects of hidden curriculum - Mr happy burger elwood closing - Feast watson stain colours - Kent state university v ford case brief - Solar geometry calculator - Our father in chinese - Teaching in the northern territory - Audit Assignment with Tableau - How to connect turntable to virtual dj - Bandicoot holes in garden - Full sentence outline - How did oda nobunaga unify japan - Bernie mcgann spirit song - Which of the following best describes the hedonic treadmill - Art Creation & Reflection – Photography/Cinema - Southampton vts shipping movements - The beatles eleanor rigby lyrics meaning - Timeline of french revolution - 500 word prompt - Year 10 biology textbook - Royal gwent hospital wards - The rise and fall of the american teenager pdf - Ocr latin a level - Staffordshire university clinical psychology - Devil in the white city murderer - A first look at communication theory 9th edition chapter summaries - Me talk pretty one day purpose - Junior finance officer job description - Dr eben alexander malpractice - Toe chart visual basic - Advantages and disadvantages of production budget - ACCOUNTING FOR MANAGERS2 - How can uniform data sets be used to compare hospitals - Coil machine set up - Me talk pretty one day summary - Public administration 7 - Essary enterprises has bonds on the market - Casey donovan rendezvous lyrics - Margaret atwood happy endings essay - Pm benchmarking levels and reading ages - Accounting assignment 3 hrs - Oracle hyperion smart view - What did bushrangers do - What temperature does pewter melt at - Helpyourmath sign in - Leeds uni canoe club - The epic of gilgamesh study guide - Placer hills real estate - Cert iv training and assessment cheat sheet - American gothic analysis essay - Need 4 examples no references needed - Ludlow medieval christmas fayre - Warren buffett 2005 case study - One advantage of corporate ownership of amy's ice cream is: - Overloading a binary operator as a member requires two arguments. - YouTube Save Video - Cdu semester 2 start date - 2007 hsc general maths - What are the four d's of abnormal psychology - Answer 4 questions separately ... this is not a paper 4 questions need 4 answers - Oil and gas services company profile pdf - Warwick on eden dog training class - The beginning inventory of merchandise at dunne co - Amenable to scientific study - Https www csun edu bashforth 098_pdf 06sep15connotation_denotation pdf - Microcontroller Need it in 5 hours - Discussion : 15 hours time limit - Principles of training specificity examples - According to zinn what is his main purpose for writing - 6-10 Side PPT (Cite 2 Reference) on Trade Secret Theft Study - Dillon v champion jogbra - A coffee manufacturer is interested in whether - Celestron powerseeker 127eq collimation - How does mbsa check for weak passwords - Image processing literature review - Wdo self service portal - Presentation on storage devices - Nike learns how to change case study - Bayonet charge poem analysis - Paul's tattered clothes are a symbol of his - 2044 kj to calories - Army counseling class ppt - Program planning - August 2026 there will come soft rains summary - The story of an hour third person omniscient - Air enters an evaporative cooler at atm