Apple Inc. Operational Plan

Company background

Business Background

Apple is a multinational technology company founded by Steve Jobs, Ronald Wayne and Steve Wozniak in 1976. The Company has its headquarters based in California and has its stores in Switzerland, Australia, Canada, Singapore, United Arab Emirates, France, Netherlands, Germany, Sweden, China, Taiwan, Brazil, Turkey, etc. Its main products include electric Vehicles, Apple Tv, Apple watch, software, iPad, iPhone, iPod and Mac Personal computers. Its first product was Apple I designed and built singlehandedly by Steve Wozniak (O’grady, 2009).

.Increase market share

.Offer reliable products and services to clients

.Production of most innovative products

.Consistent product differentiation

.Reduce total waste by 75%

.Increase recycling

.Reduce energy usage per production unit

.Increase Company Revenue

.Improve employee retention

Key Performance Indicators

.Cost reduction

.Monthly Sales growth

.Customer retention rate

.Monthly website traffic

.Revenue Improvement

.Increased customer satisfaction

Strategies

Direct Observation

Reporting

Questionnaires

In the recent years, the demand for innovative technological products has been on the rise. The preference of customers has shifted towards products that are up to date regarding technology. The middle age population has been found to have a more affinity for smart phones especially the latest versions (Hotelling et al.,2017) The consciousness on environmental sustainability has also seen a shift towards the preference of electric vehicles by people across all ages. The needs of the market regarding customer’s demands for outstanding smart phones and vehicles that are environmentally friendly have been on the rise. Apple’s Inc. Operational Plan is therefore focused on among other key targets, meeting customer related needs and remaining at the top in terms of technological development and innovation.

Facility	Unit cost	Total cost
2 Modern Research and Development plants in Australia and Germany	$150000	$300000
10 Additional stores in Africa and Asia	$15000	$150000

Hr Resources Required

RESOURCES	Cost per year	Total cost	Employment Type
4 Lead researchers	$ 1300	$ 5200	Fulltime
3 Market Analysts	$ 1000	$ 3000	Fulltime
3 IT Experts	$ 1200	$ 3600	Fulltime
4 Assistant Market researchers	$ 900	$ 3600	Fulltime
10 store Managers	$ 1250	$ 12500	Fulltime
10 Store Supervisors	$ 800	$ 8000	Fulltime
100 Store operators	$ 300	$ 30000	Fulltime

Internal recruiting

Internal Sourcing is the process of filling vacancies with employees from within an organization (Khanka,2015).  These positions can be newly created or vacated .This will be the most preferred method for IT Experts, Market Analysts and Lead researchers due to the fact that it does require much training.

Recruitment Agencies

Recruitment agencies will be used to source for people to fill other positions. The preference of recruitment agencies is because they will link the company with the best candidates in the technology industry.

Induction strategy

All employees joining the company will be required to go through a one week induction process about the company’s and industrial policies and procedures (Bratton,2012). The process will be carried out by seasoned employees of the company and selected industrial players.

Goals and targets

	Year 1	Year 2	Year 3	Year 4	Year 5
Revenues	$1896000	$2004200	$2116800	$2277041	$2400801
Cost of Sales	$1120100	$1218127	$1267910	$1299302	$1302701
Gross Profits	$775900	$786073	$848890	$977739	$1098100
Advertisement	40000	40000	40000	60000	60000
Telephone	3000	3000	3000	3000	3000
Designing	25000
Recruitment	15000			5000
Traveling	1700	1700	1700
Permit	4500
Utilities	4000	4200	4100	3900	4050
Licenses and fees	600	610	625	625	650
Insurance	1000	1000	1000	1000	1000
Maintenance	1000	1000	1000	1000	1000
Miscellaneous	1700	1730	1765	1800	1820
Total operating expenses	$97500	$53190	$53190	$76325	$71520
Cash flow	678400	732883	795700	901414	1026580
Balance b/d		678400	732883	795700	901414
Balance c/d	678400	732883	795700	901414	1026580

Identification of stakeholders

The first task will involve identification of stakeholders to facilitate their engagement throughout the various stages of the operational plan. Stakeholder engagement will continue throughout the phase of the project

Securing consents and permits

After stakeholders have been identified, the next task will involve securing non-legal consents and legal permits required to implement the plan. This will be carried out sooner after stakeholders have been identified.

Explaining the plan to the project team and resolving identified risks

The third step will involve explaining the contents of the plan to the involved parties and resolving any identified risks.

Risk identification and development of mitigation strategies 

Potential risks to the operation plan will then be identified alongside the possible mitigation strategies.

Operational plan monitoring

The final task for the plan will involve monitoring of the plan to facilitate the success of the operation plan.

Key Message	Stakeholder	Communication	Channel of communication	Time	Person responsible	Status
The new operational plan has been found to be the most effective in improving  market share and  profitability	Company’s CEO	Written evidence in support of the operational plan	Mail followed by a Face to face engagement	End of December	James	Not yet commenced
Senior vice Presidents	A demonstration explaining the new operation plan to the vice presidents	Meeting	Start of January	Lucy	Not yet commenced
Design and Chief operating Officer	An engagement regarding the legal and technical requirements of the new plan Operational Plan steering committee	Meeting	End of January After one week	James James and Lucy	Not yet commenced Not yet Commenced
All  Employees involved in the operation plan will receive formal training on its implementation	Apple Inc. Employees	A Training plan with clear dates and timelines	Email	End of  February	James	Not yet Commenced
General Counsel	A Training plan with clear dates and timelines	Meeting	End  February	James and Lucy	Not yet commenced

1. Performance monitoring and review

Performance monitoring is the process of ensuring that a particular undertaking is being carried out as per the pre established goals and objectives in a bid to ensure that the undertaking is not deviating but progressing towards these goals and objectives. Performance monitoring is intended to improve performance and achieve results with its main goal being improving present and future management of outcome, output and impact of an undertaking. On the other hand performance review entails evaluation and documentation of the performances of different personnel involved in an undertaking (Harvard Business School,2009).

There are numerous advantages associated with the process of performance monitoring and review .The processes involves working together of the management and members of the project team working together to monitor and evaluate the performance of individual employees or an undertaking which in return improves the effectiveness of individual employees (Delpo, 2015).  It is an important consideration because it ensures that various predetermined goals and objectives are met within time and budgetary estimates. I would use it in the Apple Inc. operation plan to facilitate the realization of operational objectives.

1. Budget tracking and performance

A budget refers to the amount of money needed to successfully implement a given project. Each undertaking has a given budgetary estimate upon which all the activities are supposed to be carried. For an operational plan to be considered successful, it must be carried out within the established budget. Budget tracking entails comparing the cost of what has been accomplished in a particular period to what was budgeted for the same period at the start of a project in order to establish if a project is progressing well or poorly (Rathore, 2016).

Recruitment process

Budget tracking and performance has several benefits. It can be used to measure the progress of a given undertaking, prevent any crisis that is bound to arise in a situation where the budget for an operational plan runs out before the plan is implemented. It is an important consideration in implementation because it can be used to eliminate stress associated with worrying about the unknown by the implementation team and management and act as a signifier that goals are actually being met (Solanki, 2009). I would carry out budget tracking and performance in regular intervals so that any deviation is identified and corrected early.

1. Mentoring and Coaching staff

Mentoring and coaching entails guiding and helping less experienced staff by more knowledgeable or experienced personnel in order to help them establish the right direction and able to develop solutions to the various issues that they may encounter while carrying out tasks assigned to them. The processes are intended to help solve performance problems or improve the capabilities of employees by managers. The two are an important consideration in implementation because Mentoring helps in transferring tactic knowledge from managers to employee’s helps organizations to retain valued employees and transforming them into assets for an organization. On the other hand coaching helps staff to overcome performance related problems, improve their overall productivity and help in creating a positive culture in an organization (Nieto,2014).  I would use coaching and mentoring to instill necessary skills and capabilities required to successfully carry out the operation plan. 

1. Processes for managing under -performing staff and those who continue to perform below expectations

Different employees process different capabilities which are witnessed in their respective performances. While it is not possible to completely avoid coming across with underperforming employees at the work place there are various strategies available for managers for dealing with them. The process of managing underperforming employees entails identify employees performing below expectations, rolling out training programs to improve their competencies to improve their performance abilities, redeploying them or terminating their employment contracts id they are found to be redundant (Bratton,2012). The process is important for several reasons; it helps in maintaining increased efficiency and employee productivity, determines the appropriate compensation package for each employee and can be used to create healthy and productive outcomes for an organization.

The successful implementation of the operation plan is solely dependent on the ability of the project team to perform exceptionally in their various assigned tasks .In a situation where members of the implementation team perform below expectations the operation plan is likely to suffer a big blow. It will therefore be important to ensure that members of the implementation team remain steadfast in their operation by managing underperforming employees (Khanka, 2015).  I would use this process to identify members of staff whose performance is below expectation so that they can be trained to ensure that their operation gains momentum.

1. Risk management and contingency planning

Operational plan implementation tasks

A risk is any unforeseen event caused by internal or external vulnerabilities and whose occurrence can lead to damage, loss or injury. Risk management entails putting in place strategies to prevent the occurrence of such risks or mitigate them upon occurrence. Contingency refers to a future circumstance or event whose occurrence is possible but not predictable with certainty.  Contingency planning entails planning for a future circumstance or event by facilitating immediate follow up by both employees and the management (Hopkin,2010). The processes are important to ensure that future unfavorable occurrences do not have a major setback on an undertaking.

The process is important for implementation in that it ensures that the possible risks and circumstances that are likely to affect the implementation of the plan are identified in advance alongside their remedial strategies. I would use it in the context of the plan by identifying the possible risks and undesirable events, analyzing each of them individually, evaluating and ranking them in the order of urgency and impact and establish treatment and monitoring strategies for the risks and contingencies (Fragnie?re & Sullivan, 2007).

1. options for varying the operation plan

Scenario	Employees leaving the organization before the plan is implemented fully
Response Strategy	Provide minimum number of employees required for each task
Implementation plan	Assign vacant roles to employees from within the organization Redistribute the roles of the vacant position among the remaining members of the implementation team. Seek the services of implementation experts from outside the organization
Operational support plan	Task a member of the management with the responsibility
Preparedness plan	Identify necessary external agencies Identify potential employees from within the organization
Budget	$10,000

Scenario	Some or all members of the project team performing below expectations
Response Strategy	Improving staff performance to minimum allowed level
Implementation plan	Train staff members to improve their skills and competencies Relinquish staff with serious underperforming cases  of their roles    Seek the services of employee performance experts from outside the organization
Operational support plan	Task an experienced  member of the management with the responsibility
Preparedness plan	Identify required performance standards Identify available staff performance experts from outside the organization.
Budget	$10,000

1. Actions you would take to minimise the impact on your operational plan.

In the event that a member of the implementation team gives a four week notice, there are a number of actions that I would take .I would first have a one on one conversation with the member of the team to establish which roles have been completed and which have not been completed from the roles assigned to them to establish where the incoming employee is supposed to pick from. , I would then prepare role description detailing the roles and responsibilities of the employee who will take over from the incumbent and then contact the recruitment and selection officers to identify a suitable replacement option within a period of maximum three weeks to facilitate the transition (Dessler & Phillips,2008). 

Areas where monitoring is needed: Budget Monitoring

The plan is set to be completed within a specified budget failure to which it will be deemed to have failed. Budget monitoring will therefore be very important to ensure that all the activities included in the plan are carried out within the budget.

Another important factor in the success of the plan will be its completion time .The plan is supposed to be implemented within a period of one year. At any other timeline the implementation of the plan will be considered unsuccessful.

1. Specific measures to monitor for each of the areas in (1)

Weekly review

This will be an effective strategy for identification of most important tasks for the plan that need to be completed. I will use this technique to ensure that the most important tasks for each week are completed going forward (Kerzner & Learning, 2013).This will ensure that any possible delays that are likely to be encountered in the implementation of the operation plan are minimized

Performance monitoring and review

The use of time blocking technique

This technique works through the principle of dedicating several hours to a single task until when it is completed (Pasian, 2015). I will implement this technique by blocking time on the calendar for each task stated in the plan. While creating schedules for different tasks, I will also leave allowances for any unavoidable interruptions

Expert judgment,

Expert judgment is a process that involves the use of the knowledge and experience of specialist to estimate the cost of a given plan (Heldman & Mangano, 2011). I will seek the input of various experts including members of the implementation team, the management or experts from outside the organization to ensure that the budget for implementing the plan is based on views from experts

Bottom-up estimation

This process involves including the members from the implementation team in the process of estimating a budget. I will work together with members of the implementation team to develop an estimate for each task that will be involved in the plan to ensure that the most appropriate budget is arrived at (Heldman & Mangano, 2011).

1. Forms of monitoring finances that you will be used for the plan

Balance sheets

Balance sheet will be used to ascertain the financial position of the business at various times in the course of the implementation of the plan ( Khan & Jain, 2007). It will indicate what the company owns and what it owes.

Profit and loss statement

The income statement will be used as a snapshot to show the profitability of the company during different periods to determine whether the company was profitable or not during the specified periods. These will be used to evaluate the current state of the company so that any necessary changes can be made ( Khan & Jain, 2007).

1. Monitoring financial information and what needs to be looked at when reviewing this information.

I will monitor financial information of the company by reviewing its financial statements including balance sheets, statement of stakeholder’s equity, statement of cash flows and the income statements. I will need to watch out if the information from these statements indicates a positive or negative financial standing of the company (Vinter & Pierce,2007).

1. Tools to be used to compare what is happening with what should be happening

Creation of a to-do list

A to do list shows activities which should be carried out in a given undertaking .This tool will be used through writing down of daily activities of what should be covered for the operational plan so that it is possible to compare current results with anticipated results.

1. Actions to be taken when it is found out that actual performance is not

Meeting the planned performance

• Replacing non performing members of the project team with more experienced members from within or outside the organization.
• Rolling out training programs for the members of the project team to make them more effective.
• Motivating members of the project team by working with them in the various decisions regarding the operational plan so that they can feel to be included in the process.

1. Flow Chart on Variations implementations

References

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Heldman, K., & Mangano, V. (2011). PMP: project management professional exam review guide. Indianapolis, Ind, Wiley.

Hopkin, P. (2010). Fundamentals of risk management : understanding, evaluating, and implementing effective risk management.

Hotelling, S., Huppi, B.Q., Strickon, J.A., Kerr, D.R., Ording, B., Chaudhri, I., Christie, G. and Ive, J.P., Apple Inc., 2017. Mode-based graphical user interfaces for touch sensitive input devices. U.S. Patent 9,606,668. 

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Vinter, G. D., & Pierce, G. (2007). Project finance. London, Sweet & Maxwell.