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Professional Practice and Ethics

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Executive Summary

Digital disruption is a transformation that takes place due to the introduction and emerging

digital technologies. The term has been using widely nowadays but it is not defined by the

authorities. The disruption is considered as an unstoppable force and the fight it is futile. The

main which is identified is the continuous changes occurring due to the development of

digitalization. The emerging digital technology is demanding the business operators to change

and prepare according to the need of the market. The major goal of the digital disruption is

innovation. The innovation manifests totally depends upon the organization and its overall goals

that are defined earlier. There are some of the challenges that are faced in adopting the

digitalization. Before adding few implementations and adopting new strategies most of the

organizations have to face some of the challenges. To have a smooth adoption and

implementation of the new digital technology it is required for the business operators to follow

some of the recommendations suggested. To lead the digital disruption it is important to respond

according to the need of the market and the consumers.

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Table of Contents Executive Summary ...................................................................................................................................... 0

Introduction ................................................................................................................................................... 3

Digital Disruption ......................................................................................................................................... 3

Problem Identification .................................................................................................................................. 8

Goals ............................................................................................................................................................. 8

Challenges ..................................................................................................................................................... 9

Recommendations ....................................................................................................................................... 10

Implementation Plan ................................................................................................................................... 11

Conclusions ................................................................................................................................................. 12

References ...................................................................................................... Error! Bookmark not defined.

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Introduction

Digital disruption is a transformation that takes place due to the introduction and emerging

digital technologies. It is interpreted as an attack on the business and considered in a negative

way but it does not have any negative sense. It provides benefits to the company once they adopt

it. The report will be giving a brief about the issue faced by Apple of digital disruption taking

into account the work centered approach followed by apple. The changes emerged rapidly and

affected the company by digital technology. The increased number of the digital technologies it

becomes important for the company to fight back or to find something more convenient the

digital technology.

Digital Disruption

The term has been using widely nowadays but it is not defined by the authorities. The disruption

is considered as an unstoppable force and the fight it is futile. The new forces including Amazon,

Flipkart, Myntra, Snapdeal and many more affected the business and provide many alternatives

to the consumers. Talking about Apple, it is one of the famous organizations that use a

benchmark for connecting innovation to profitable growth (Gilbert, 2015). Clayton Christensen

coined the term disruptive innovation that gives a brief on the process that helps in establishing

initials roots in simple applications at the bottom of the market.

Work Centered Analysis can be used to analyze the situation of Digital Disruption. In WCA

(Work Centered Analysis) we will measure various aspects of a company such as its partners,

customers, product and services, information and technologies. The infrastructure of work

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centered analysis revolves around the aforementioned entities only. There are a total of 9

elements inside the work centered framework:

Activities and processes, information, participants with technology as considered within

the system of work.

Products and customers may be considered partially in and partially out due to the fact

that customers participate in activities and also the products take shape inside the system.

Infrastructure, environment and strategies are considered as outside to the system. They

can have indirect or direct influence to the system.

Activities and Processes includes all the things that tis happening inside of the system.

Business process term is not used here as big companies like Apple has more structured

approach to the system. In this type of system, each activity is being hit in a pre-defined

manner. This was the same case when Apple introduced iTunes in the market. The

activities were being hit in a predefined manner to avoid maximum loss.

The participants are the people who do all the work within the system. Before the digital

disruption many were using little or no technology or relying solely on computers for

their work. This all changed after the evolution due to digital disruption as people started

using more and more technology inside and outside of the system.

The information may be regarded as the non-coded or coded information that is

generated, manipulated, created, deleted etc. by the activities and processes. Before the

digital disruptions, most of the information was stored in physical file, invoices, memos,

resumes etc. The information had to be stored in a place where it was accessible to

everyone all the times.

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Technology may include various tools such as spreadsheets, software, cellphones etc. and

automated services that work independently. This difference was very crucial as the work

analysis is decomposed during review.

Services and products consist of physical things, information, agreements, intangibles or

various actions generated by the system for the consumers.

Customers are on the receiving end of the work system. The system must analyze the

customer needs, how they want the work to be done or how they use the services. There

are two types of customers, internal and external. Internals are employed by the system

on the other hand externals are the receivers of the work from the system.

Environment consists of all the physical, cultural, organizational or demographic aspects

within which the system is working. These all aspects affect the working of the system in

positive or a negative way.

The term infrastructure includes informational, human and technical resources. These are

also used by system but it is managed from outside.

Enterprise strategy, work system strategy and departmental strategy are the strategies in

the work system. The strategies must be aligned with each other.

Apple always strived to change the game by introducing new products or adding more features to

their products. The digital disruption caused by Apple was due to the introduction of the iTunes

music store. All the people who were downloading music illegally saw a sudden halt due to the

introduction by Apple. All the record companies were feeling positive as the people were now

forced to buy music from the companies instead of just downloading it from illegal sites. Due to

this digital disruption by Apple, major companies such as Sony Music saw their revenue increase

as more and more people were now buying legally from the stores or were willing to pay online

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for the music. The music industry saw a new dawn due to this step by Apple and many

companies were forced to change their business model due to the same. The business processes

were directly affected by the loss of customers. The customers were then more easily attracted

towards officially buying music rather than doing illegal things to download music. This affected

various companies big time. Various products sold by the companies or various software

developed by the companies just for this sole purpose of downloading media over the internet

saw a major hit. The participants in the business of these companies were forced to sell their

stakes or were forced to part ways from the companies. The technology used by these companies

was destroyed or the people made it feel outdated. There was a sense of emergency in the air due

to Apple’s introduction.

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Source: http://www.stevenalter.com/wp-content/uploads/2012/05/work-system-framework.gif

After this digital disruption was caused by Apple, the companies that were hit by huge losses

started developing various services that allowed users to either stream music or download music

that was paid but cheaper than the offerings by Apple. Many services were launched to tackle

this digital disruption by Apple. Spotify, Pandora and Google Play Music are some of the major

companies in this segment. The companies had to change the business model they were

following before digital disruption, they had to attract more partners and investors who were

willing to invest in their ecosystem and they were also forced to attract buyers and customers by

implementing new schemes and offers. The technology they were using earlier had to be

modified completely so that they can add legal streaming and downloading services to their

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portfolio. The companies saw an increase in their revenue after the new offerings and were

attracting more partners and customers worldwide. Apple being a giant and crowd favorite was

leading the race in the segment. There are major leaps that are taken by companies such as

Spotify, who is now a major in this segment.

Problem Identification

The problem was identified when the organization got disrupted by the competitive company i.e.

IBM in 1981. IBM is considered one of the biggest competitions to Apple; it is the long running

competitive company. The companies susceptible to its unique disruption formula are considered

very small to meet the needs of growth. Before the event of digital disruption the organization of

Apple were not taking much steps but giving tough competitions to other companies. After

getting disruptive by IBM, the organization never looked backed and introduced numerous of

products and become the famous and demanding company. Apple followed the work centered

approach and adopts the digitalization appropriately. Also before digital disruption, the company

not only disruptive by the products but also takes a bite out of an industry with the clear rejection

of the apps created from the commercial templates. After the event the organization comes with

many of the products and updates for the users and disrupted many of the competitive

organization.

Goals

There are three major goals that are aimed to achieve long term achievements made by the

organization. The first strategic goal is relates to the section of the firm’s vision statements that

needs to be company that spearheads innovation. Apple is redirecting its attentions towards the

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utilization of renewable recourses. The second strategic goal is to keep up the competition, and

providing world class innovations and integration with their products, goods and services. The

third structural goal which is set by the organization is enhancement and expedition of the

investment over resources for the development of the organisation.

Challenges

There are some of the challenges that are faced by the company in adopting the digitalization.

Before adding few implementations and adopting new strategies most of the organizations have

to face some of the challenges. The faced challenges will be helpful for the further

improvements. Some of the challenges are listed below:-

1. Technology challenge has been emerged after the event of digital disruption. It was

required for the company to work upon the physical attributes and technological

capabilities.

2. Leadership challenges also came into existence, it is stated that the company required a

leader that can help in adopting the new technology. The CEO of Apple with a strong

vision develops the technology and created the buzz again in the organization.

3. Competition challenges increased highly after IBM disrupted the organization. The other

companies act as barriers to the organization and gives hard competition. After the

introduction of I phone the company return back to its speed.

4. Economy challenges are faced by the organization although the company does not have

any limitations as they have a very strong brand image in front of their consumers. But its

sales are considered very sensitive to an impeding down turn. (Doz and De Roover,

2017).

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Recommendations

To have a smooth adoption and implementation of the new digital technology it is required for

the company to follow some of the recommendations suggested. To lead the digital disruption it

is important to respond according to the need of the market and the consumers. The

recommendations also show the possible way out to cope up with the demands and the structural

changes in the market (Myruski et al., 2017). Following are some recommendations that can be

followed to have the smooth implementation that will help in the development of the business.

Finding a way to collaborates with the other companies or leader on the digital

disruptions and also focuses on the creation of future deliverables. Active response and

scanning to the digital disruptions. This include in providing opportunities to innovate the

digital disruptions and the initiated digital disruptions.

Appropriate use of sources related to crowds, linked workshops that will help in

attracting a variety of ideas and indulges many contributors for help. An organization can

also establish a cross-functional team in relation to different departments and the also

considering the different perspective of the people.

Asking each miscellaneous to implement and use the respective business models as well

as state the outcome statements that focus trend spotting. Use of strategic plan that focuses on

the innovation efforts. There should be a proper strategic priority that set the scope of

innovations.

The appropriate creation of the strategy co-relating to the governance that focuses on

providing guidelines that help in the empowerment of the business leaders in making

investments based decisions.

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Identification and grabbing the opportunities those are associated with threats of digital

disruption and also keeping an eye on the technologies that help in building the business

models and value chains. Development of such alternative models that lead to delivering

more value.

Implementation Plan

The above-mentioned recommendations can lead to the achievement of all the desired goals and

overcome the challenges faced due to the increased competition in the market because of the

emerging digital disruption. Firstly, responding to the digital disruptions and overall scanning

proactively will increase the chances to achieve the good position in the developing market. It

accounts the responsibility for making the recommendation in relation to the developing

innovative business. Secondly, the establishment of a trend- spotting capability when it comes to

the technology and the performing companies. Identifying the technology process and the

dedication, it has limitless scanning and the technology landscape for innovations (Rosenstand et

al., 2017).

Thirdly, the recommendation says the establishments of business goals and the enabled strategies

to redeliver the goals will be helpful to face the challenge and adopt the changes which are

required. Fourthly, collaboration with the government itself may provide less assurance but can

guide and ensures the standards that agreed upon. The top performances and the

underperformance came into light that helps in the bureaucratic oversight exists and focuses on

the provided guidance to empower the company that will lead to accurate choices of investments.

Fifthly, the organization needs to give proper focus on the identification of the opportunities and

more than that it is important to have knowledge about the threats that may cause harmful impact

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to the organization. Development of the plan that responds to the assimilations of the

technologies, that strengthen the business model and provides alternative plans to provide more

gains.

Conclusions

According to analysis it is understood that the steps taken by the Apple is needed and other

companies needs to face the digital disrupts and fight against it. In the developing era and the

rapid adoption and implementation of the digital technology, the lagging behind organization

will be lost as there is a lot of competition in the market. The strategic goals made by the

company help them to make reputation for self as an individual. After the digital disruptive event

Apple enhanced the quality of their products and provides full satisfaction to the consumers.

Digital disrupts needs to stay and Apple has shown the advanced technologies that came out

because of the digital disruptions. Apple portrays the creation of best products during the event

of digital disruptive.