Case Study : Supply Chain Management

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BA628 - OPERATIONS AND SUPPLY CHAIN TERM PAPER: DELL– SUPPLY CHAIN STUDY SRUJANA SACHIDANANDA KHOT RedID: 818471037 DATE: 4/27/2015 EXECUTIVE SUMMARY Dell is well known for its uniqueness and the innovativeness in its supply chain. They were the pioneers for selling the PC at the cheaper rates. They ranked 2nd in the computer distributors. The benchmark of their successful company was because of their unique Supply Chain Management which used the ‘Built – to – order’ and ‘Direct Sale Strategies’. Supply chain management plays a vital role in any organization to increase the customer satisfaction and also to maintain the competitive advantage in the market. In case of the Dell, it uses ‘Dell Direct’ model. In this model there is no…show more content…
Earlier Dell didn’t manufacture any of the parts on its own. It mainly dealt with assembling the right products. It provides IT solutions and services along with the recovery of the asset, financing, infrastructure consulting, support, system integration and training. Dell is a worldwide company and has about 108,800 employees in over 180 countries. (According to 2013). It provides about 400,000 solutions in the classrooms worldwide. It is also No 1 healthcare IT service provider. It has over 3.5 million connection on the social web communities of the company. Dell was successful because of the great customer service it offered, it expanded globally. Financially also it gained a lot of growth because of being unique for the work it did. Most of the things about the needs of the companies for production, demands and forecasting is done with the analysis done by the IT sector. So it plays a vital role today. Dell experienced decline in the sales of their PC market as the demands of the market changed. It derived most of its revenue from the sales of the PC or from the products like monitors, displays, televisions etc. Hence, they were in bad scenario financially. So CEO, Michael Dell decided to go private and take help from the Silver Lake Venture Capitalist. He thought about the long term improvement for the company. Initially they may experience high expenses for operating cost. In long term in will be beneficial and it may provide opportunity for Dell to get

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