Organizational Goal Setting and SMARTER Analysis: Apple Company

Topic: Business Analysis
Words: 561 Pages: 2

Introduction

Apple is a premium-segment company that produces high-end smartphones and paraphernalia, accompanied with exclusive software and other benefits associated with the brand. The creation of the first iPhone managed to propel the company forward by creating a revolutionary product and getting headway against all competition (Dempsey, 2019). One of the issues Apple products have, however, is poor availability of cheap repair services (Dempsey, 2019). As it stands, Apple’s Genius Bars and other similar facilities offer exorbitant checks for repairs to users, making it economically detrimental to buy new phones. The purpose of this paper is to develop a goal for the next 12 months using the SMARTER framework.

SMARTER Analysis

SMARTER framework stands for specific, measurable, achievable, relevant, time-framed, exciting, and reviewable goals. The proposed idea for a company goal is to reduce the expenditures leveraged at customers for repairs by improving the quality of service at a component level. The analysis part is as follows (McShane & Von Glinow, 2017):

  • Specific. The proposed goal for the next 12 months is to reduce the expenditures per customer asking for repairs by 25%. The intervention does not aim at making products more durable, but to simplify and streamline the repair process, making it cheaper as a result.
  • Measurable. The measure of success for the proposed goal is the reduction of individual prices for component repair for individual customers. Points of comparison would involve prices for specific repair procedures between then and now.
  • Achievable. As it stands, Apple’s repair services are exorbitantly overpriced. Despite having a better access to components and schematics, Apple-certified centers have prices 7-10 times higher when compared to 3rd-party shops (Dempsey, 2019). This leaves much room for improvement, which could be achieved within the selected timeframe.
  • Relevant. Modern-day consumer is concerned not only with prestige and efficiency, but also with ecological impact. This gives a push towards repairability and recyclability. Following this trend will benefit Apple, which presents itself as an eco-friendly company (Dempsey, 2019).
  • Time-framed. The proposed timeline for this goal is 12 months, which is enough to promote relevant change and impact the company profit line by the end of the year.
  • Exciting. The change will require many alterations to be made, which will give employees and customers the opportunity to change Apple for the better. It will offer the means for talented and active to promote their ideas and rise up.
  • Reviewable. The results of the program would be reviewable across all repair facilities either owned or authorized by Apple. Checks, expenditures, and revenues could serve as primary metrics for being reviewed (McShane & Von Glinow, 2017).

Conclusions and Recommendations

The proposed goal of reducing customer expenditures on repairs by 25% is a goal that adheres to all positions in the SMARTER framework. The objective is beneficial to Apple as it will help achieve a greater economy of scale, provide better customer retention, and eliminate various inefficiencies in the supply chain and production process. In addition, it will benefit the company’s eco-friendly agenda. Some recommendations on starting working towards the goal include training staff to provide component-level repair, ensuring the supplying of those components to provide services within 1-3 days rather than 2 weeks, and removing the policy of forcing new products on customers whose devices are repairable. It would be a healthy start towards a list of policies aimed at achieving the announced goal.

References

Dempsey, P. (2019). The teardown: Apple iPad pro. Engineering & Technology, 14(2), 80-81.

McShane, S. L., & Von Glinow, M. A. (2018). Organizational behavior: Emerging knowledge, global reality (8th ed.). McGraw-Hill Education.