restructured the company and optimized its production method leading to considerably reduced prices andtime-to-market, and conjointly redoubled the spectrum of devices made. These new methods made apositive impact and helped boost Nokia’s sales. When these changes were required to be made by the newCEO, the changes degraded Nokia and resulted in fatal slowness in Nokia’s moves against the threads inthe smartphone market.One of the problem that Nokia had was that it became habitual to making organization changes. It hadgone under three major changes in its structure and some major adjustments were made practically everyyear. These changes would have not been a problem if there was a good amount of coordination betweenthe different business units. But because of these changes there was no strong technological leadershipand different business units were driving into different directions.Beyond 2004, top management was no longer sufficiently technologically savvy or strategically12
Impact of Leadership on Change: Comparison of NokiaTeam-Aand Apple for the Period 2000-2013integrative to set priorities and resolve conflicts arising in the new matrix. Increased cost reductionpressures rendered Nokia’s strategy of product differentiation through market segmentation ineffectiveand resulted in a proliferation of poorer quality products. Shareholders were shocked about the strategyshift and Nokia’s share price was steep-dropped by nearly 10% immediately after the February 11thannouncement, and as of March 2013 Nokia’s share price is still far from recovering back to the pre-strategy-change level.Analysis of AppleLeadership AspectsApple has always been a leader in the technology market, and this was possible due to theefforts put in by its founder Steve Jobs. He transformed a total of seven industries by hisleadership in that particular sector, namely personal computing, animated movies, music,phone, tablet computing, retail stores and digital publishing and thus is regarded as one of thegreat innovators of the century. He is known for applying imagination to technology andbusiness. The highlight of Jobs’ personality was his way of doing business. Steve was knownto be being rough on his employees, but he believed that that is what was getting the workdone. One of the main aspect for Jobs’ leadership was his focus, he always stressed on doingwhat really mattered and leaving behind the things that dragged you down. This aspect is alsohighlighted in the company itself, Apple dose not focus on a very wide range of product ineach sector but makes the best of the product in each sector. This aspect is the crucial aspectfor getting the work done and getting best results.Market AspectsApple has one of the largest market-share in the technology world and that is due to itsunderstanding of the consumer requirement. The major advantage that Apple had was itsoperating system, the iOS, consumers specifically liked this operating system as it was nearly
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Term
Fall
Professor
prof Bruce Bowman
Tags
Nokia, Nokia Corporation