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

Hrm practices of apple company

29/11/2021 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:

Quality Homework Helper
Professor Smith
Engineering Mentor
ECFX Market
Assignments Hut
Academic Master
Writer Writer Name Offer Chat
Quality Homework Helper

ONLINE

Quality Homework Helper

I am an elite class writer with more than 6 years of experience as an academic writer. I will provide you the 100 percent original and plagiarism-free content.

$42 Chat With Writer
Professor Smith

ONLINE

Professor Smith

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.

$42 Chat With Writer
Engineering Mentor

ONLINE

Engineering Mentor

I am an elite class writer with more than 6 years of experience as an academic writer. I will provide you the 100 percent original and plagiarism-free content.

$24 Chat With Writer
ECFX Market

ONLINE

ECFX Market

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

$41 Chat With Writer
Assignments Hut

ONLINE

Assignments Hut

This project is my strength and I can fulfill your requirements properly within your given deadline. I always give plagiarism-free work to my clients at very competitive prices.

$24 Chat With Writer
Academic Master

ONLINE

Academic Master

I will be delighted to work on your project. As an experienced writer, I can provide you top quality, well researched, concise and error-free work within your provided deadline at very reasonable prices.

$30 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

Urgent 2 - Making pronouns and antecedents agree - Mt942 swift message format - Verification Background Checks - Which animal hides during the battle of the cowshed - Mckesson human capital management - Brothers and sisters riddle - Gps tracking database design - Cement business in ghana - 9. read 1 corinthians 15:42-57 and list three characteristics of the glorified state. - Which of the following differentiates introverts from extraverts - Methods for discussing ethical disagreements productively - Leading with values IP - Radio ritam srca melbourne - Terminate end event bpmn - Papa john's competitive strategy - 7005 nw 73rd ave tamarac fl 33321 - Fourex clothing pty ltd - Kabash in the bible - Why wouldn t a linear model work for a savings account - Sin stained demon kenning meaning - Polar reactions organic chemistry - Dulux electro dark bronze - How did harry get the elder wand - The men we carry in our minds summary - Hsbdata sav - Label each of the arrows in the following slide image - Which means Erath - Cis assessment standard 1 answers - Spotty-handed villainesses speech 1994 - PEREGRINE ASSESSMENT EXAM - Cilicaine vk strep throat - Campaign Financing/ POL2076 Week 4 Project - Board game project rubric - Does psychotherapy have a biological basis - Sonia sanchez homecoming poem pdf - BD Paper - Policy Analysis paper on Prison Reform - Colin turner risale i nur - Health Assessment - Seneca digital marketing - When the mind is without fear - Nucor corporation competing against low cost steel imports case study - Identify and evaluate marketing opportunities answers - Can a pmo accelerate the implementation process discussion - The survey reading of Kashmir Conflict - Possible conflict management and negotiation techniques - A dry cleaner uses exponential smoothing to forecast equipment - Find the total kinetic energy of the dumbbell - Chapter 1 an introduction to anatomy and physiology - Merchants of doubt study guide - Linear momentum lab - Introduction to leadership peter g northouse pdf - Chippewas company sells one product - Why does pgp generate a signature before applying compression - E hv practice problems - Australian gaap vs us gaap - Activity 3.5 applied statistics conclusion questions answers - Ethics Module 5 - Persuasive techniques in writing - Passion for the outdoors environment - If the dna triplets were atg-cgt, the mrna codons would be - Pilar hola irene cómo 1 - Army sharp essay example - Replies 2 - Compaq in crisis case study solution - Aqtf essential standards for registration - Mitigation of DDoS Attacks in Cloud Computing PPT - PRACTICE: SHARED VISION AND TEAM LEARNING - Cis 568 information planning system - Cultural presentation psy 450 - Critical thinking steps university of phoenix - Receiver Coffee Ivey Case Study - I am in blood stepped in so far quote - Challenges in integrated marketing communication ppt - Party list system advantages and disadvantages - Jihua v belt a 820 e - Forest hill group practice - Warm up cool down pdhpe - Brett archer plastic surgeon - Usworth colliery primary school - Why should preschool be mandatory - Paper - What does sol mean in spanish - Advertising expense debit or credit - This is just to say by william carlos williams pdf - Vengo de Bucaramanga y les - In my craft or sullen art analysis - Destin brass products co case study answers - 1.30 104kg express your answer as an integer - Composition - Marble density kg m3 - Lead sheet association details - Is copper pipe a pure substance - Human Resource - The four building blocks of diversity consciousness leadership are - How to make recommendation report - Week 4 Discussion - English_Journal Assignments_week4 - Kathy raffles counselling services