paper will enumerate a brief background of Dell, customer Focus Company that has maximized its value chain for the profitability of the company. This paper will analyze the unique value chain of the company. Furthermore, the paper will evaluate how Dell has used its direct sales and build-to-order model to develop an exceptional supply chain. The main advantages and disadvantages of Dell’s direct sales model will also be analyzed. Also noted is how Dell competes with other retailers that already
VALUE CHAIN INTRODUCTION AND DELL VALUE CHAIN Introduction to Value-Chain The Value-Chain was conceptualized and popularized by Porter in 1985 through his book, a best-seller, Competitive Advantage: Creating and Sustaining Superior Performance. The main thrust of “the value-chain” is to categorize the generic “value-adding activities” of an organization. The value-chain management tool recognizes two value-adding activities in an organization, the “primary activity” and the “support
ORGANISATION: Dell Computer Corporation Background: Founded in 1984 by Michael Dell with the aim of building relationships directly with customers. Dell is a premier provider of PC products and services sought by customers worldwide to build their information technology and internet infrastructures. Through its direct business model it designs, manufactures and customises products and services to customer requirements and offers an extensive selection of software and peripherals. Dell’s operations
and value chain to establish their evaluations about the performance. This paper creates a better understanding of Hewlett-Packard’s value chain and its value proposition. A successful organization like Hewlett-Packard maximizes it public value through value creation, reduced total cost, improvised business performances, customer satisfaction and increased interoperability. HP’s Profile: Hewlett- Packard was founded in the year 1939, it has established itself
Question 1 How has Dell used its direct sales and build-to-order model to develop an exceptional supply chain? The many challenges in order to improve the supply chains usually come with the unidentified. Many companies produce products they think their consumer will want. After that, they ship their products to retail stores. Then, these stores try to sell the products to the customers. Here, the supply chains slows down as they are figuring out what to build next. Then, these companies deal with
Summary of Dell Computers Value Chain Analysis Primary Activities Inbound Logistics Here goods are received from a company's suppliers. They are stored until they are needed on the production/assembly line. Goods are moved around the organization. Dell relies mostly on its highly reliable supplier, where Dell streamlines its operation and relies on its computer monitor supplier to ship directly to the customer. As long as its supplier retains its leadership position, Dell would collaborate with it
Value Chain Analysis Value Chain is a strategic tool to measure the importance of the customer’s perceived value in value chain analysis. By enabling companies to determine the strategic advantages and disadvantages of their activities and value-creating processes in the marketplace, value chain analysis assumes critical importance in assessing competitive advantage. The dissertation explores the different elements of the value chain of computer hardware and behemoth Dell and seeks to
University Global Value Chains Ereatara Enari ID: 1119812 COMM110 – The Global Business Environment Dr. Anthony Brien 19/03/2015, 12:00pm 1.0 Table Of Contents: 1.0 Table Of Contents ……………………………………………………………….1 2.0 Introduction………………………………………………………………………2 3.0 Global Value Chain Definition…………………………………………………..2 4.0 GVC Example 1: Adidas………………………………………………………...3 4.1 Value 1…………………………………………………………………….3 4.2 Value 2…………………………………………………………………….4 5.0 GVC Example 2: Dell…………………………………………………………
Dell’s Value Chain 1. How has Dell used its direct sales and build-to-order model to develop an exceptional supply chain? Dell has used its direct sales and build-to-order model to develop an exceptional supply chain by taking customer feedback very seriously. Dell uses the feedback to further evaluate and when necessary, implement change to improve their supply chain. The company maintains close-knit relationships with customers, and maintains very close, professional relations with their suppliers
cuts Dell’s cost on inventory. Dell customers could order through their website or even via phone, custom-made servers and workstations based on the needs of their applications. For desktop and laptop, customers are able to order whatever configuration of microprocessor speed, random access memory (RAM), hard-disk capacity, CD-ROM drive, fax/modem, monitor size, speakers, and other accessories they favored. The orders will then be directed to the nearest factory. Dell has proven to be successful in