Molick Scott
Business Ethics
Professor Crocitto
5/12/14
Sustainability of Apple Inc.
Apple Inc. is a multinational corporation that produces and markets a wide selection of Electronic devices, Hardware and Software and a range of other consumer goods. Founded in California, United States in 1976, Apple has grown to become one of the worlds must successful organizations in the area of personal computing and networking. Credited mainly to its late CEO, Steve Jobs, Apple Inc. has revolutionized the market for personal electronics. Through a number of radicle innovations such as the iPod, iPhone and iPad, Apple Inc. gained a first mover advantage that no other organization could compete against.
As a result of the numerous difficulties occurring in the worldwide economy today, it is becoming critical that organizations consider their sustainability. Sustainable business practices can now be the difference between success and failure. For Apple Inc. there is a number of reasons why sustainability is critical to this organization. Apple Inc. gained a first mover advantage in the industry for personal computing and electronics. Being the first organization to produce a modern day mp3 player and the first organization to combine this with a cellular device and Internet connectivity has created a level of prestige for Apple Inc. In order to maintain this level of Prestige, Apple Inc. must be seen to be up-to-date and current with consumer needs and wants. Consumers are now demanding environmentally friendly products, which are also high in quality and competitive in prices. Apple Inc. must appear to be working with these consumer concerns in order to maintain their level of prestige and competitive advantage. Sustainability can create new opportunities for the organization and Apple Inc. understands this and has used this to their advantage. In an aim to reduce packaging and the use of harmful materials, Apple Inc. has managed to create a number personal computing devices that are slimmer, lighter and more efficient than any of its market competitors. The MacBook Air and New Generation iPad are prime examples of this. Sustainability can create a wide range of opportunities from new innovative products to increased employee development and training. This is important to Apple Inc. as the industry becomes increasingly competitive. Sustainability has become a growing concern in recent years. The effects of global warming and the rise in CO2 level are becoming increasingly obvious worldwide. Government agencies are now introducing legislation to counteract the effects of climate change and minimize the irreparable damage. Manufacturers and Organizations are under increased pressure to follow new legislation. Apple Inc. must adapt to the new legislation, which effects its organization, such as the WII directive in Ireland, and create a more sustainable strategy for conducting business. Sustainability is critical to the Apple Inc. organization as pointed out above. This is due to the opportunities sustainability creates, its ability to maintain competitive advantage and the organizations reputation and the impact new legislation will have on the organization if they do not take action.
Apple Inc. is undertaking a number of strategies and procedures to address sustainability. The policies and procedures Apple Inc. have introduced to address sustainability can be examined using the Triple Bottom Line Theory. In relation to Society, Apple has adapted the following procedures in relation to sustainability. Apple Inc. suppliers have to accept Apples supplier Code of Conduct. (Apple, 2013) This Code of Conduct contains rules and regulations in relation to treatment of employees, fair and safe workplace practices and also a number of environmental restrictions that the supplier organization must follow. Apple Inc. conduct onsite audits to ensure the Code of Conduct is not being violated in any way. Apple assists and approves corrective
