Hrm at Dell

Dell's business strategy combines its direct customer model with a highly efficient manufacturing and supply chain management organization and an emphasis on standards-based technologies. This strategy enables Dell to provide customers with superior value; high-quality, relevant technology; customized systems; superior service and support; and products and services that are easy to buy and use.

Dell. Dell’s products—computers, servers and printers—are commodities. Dell tends not to develop the technologies underlying these products. Instead, it purchases the components from firms that develop the technologies (semiconductors and computer software). Dell’s direct-to-customer marketing strategy is not unique, but the extent to which Dell performs this strategy better than anyone else in the industry gives it a competitive advantage. Its size, purchasing power, quality control, and efficiency permit it to operate as a low-cost provider.

The advantages of Dells model are: The internet allows Dell an extensive scope and reach for its products at a relatively low price (Dedrick and Kraemer 2001). Using the internet Dell has been able to automate many of its business functions, such as product configuration, order entry and technical support (Dedrick & Kraemer 2001), therefore the company can achieve higher revenues without customer service costs increasing greatly. Online configuration ensures that the customer gets exactly what they want. Dells build to order strategy means that inventory levels are low, they only hold approximately 4-8 days of stock, therefore inventory costs are low (Breen 2004).

In summary, Dell competes with a retailer by offering a lower price and allowing the consumer to customize the product to the options that they prefer.

Today 's fast-paced, competitive business environment has resulted in "rediscovery" of the human resource management function as a group that may be able to enhance firm competitiveness and performance by being "strategic" (Dyer & Kochan, 1995; Ulrich, 1997). Strategic Human Resource Management is a term describing an integrated approach to the development of Human Resource Strategy that will enable the organization to achieve its goals (Armstrong, 2005). Whiles strategy is an action that managers take to attain one or more of the organization’s goals. Strategy presents a general direction set for the company and its various components to achieve a desired state in the future. This results from the detailed

To survive and thrive, an organization must create a competitive advantage. A competitive advantage is a product or service that an organization’s customers place a greater value on than similar offerings from a competitor. Unfortunately, competitive advantages are typically temporary because competitors often seek ways to duplicate the competitive advantage. In turn, organizations must develop a strategy based on a new competitive advantage.

Dell is a computer corporation recognized for manufacturing computer systems through parts assemble. In 1983, Michael Dell saw an opportunity in using IBM compatible computers for a new assembly line that can be sold to local businesses. The idea as explained by Michael Dell, in one of his interview, is that in the early days of computers' manufacturing, companies had to be able to produce every part of the system. As the industry matured, companies started to focus on single parts and to become specialized in creating items that can be assembled with other parts to prepare a computer. As a result, Dell understood that to have a competitive edge in the market, they needed to

Dell positioned itself as a successful differentiator; however, its competitive differentiation is no longer an advantage for it due to the ease of their Direct Model imitation.

Dell Company has a successful business strategy. As it is following cost leadership strategy. Its success story is hidden in cost proposition, delivery, and unique customization. In response to the high performance and better chances for growth Dell is applying two way strategy parallel to one another.

Firstly, the unique dell direct sales model which means that the company established a system of communication with the customer and customers can send orders directly to the dell. Then, the company will according to the orders which including all demands that customers listed in produce the production. Compared with the traditional model, this model eliminates the middleman, which not only saves the cost but also provides customers with more efficient service. Now, 90% of Dell computer products by direct sales model sold directly to the final customer, the greatest extent, bypassing the agency. (1) "This direct customer relationship is the key part of the Dell's business model, and provides distinct advantages over the indirect sales model." (source) Behind the success of direct sales model is the integration of virtual supply chain which is inseparable. The so-called virtual integration refers to the cooperative division of labor and global optimization. Dell has an important though of the business is that only focus on doing what they're good and turn what they are not good at to company which is good at it in the industry. Cooperating with them and let them become the supplier which could make the enterprise efficiency compared with

If   a   company   wants   to   be   successfull   in   their   business   it   has   to   be   able   to   create   competitive   advantage  over  it  competitor  in  a  same  business  area.  (De  Wit  &  Meyer,  2010).  What  approach   or   strategy   should   the   company   take   into   account   in   order   to   create   competitive   advantage   in   their  business  environment  is  the  core  issue  for  the  managers.

Competitors- This industry has very high competition. Each company is trying to provide the best product they can in their own way. Dell has focused on using the build-to-order model to provide customers with custom computers at relatively low prices.

Dell, one of the largest technological corporations in the world, sells personal computers, software, computer peripherals and other digital products among the world. According to the Fortune 500 list, Dell is currently listed as number 51. Dell is well known for its customer-oriented services such as supply chain management and electronic commerce. More specifically, the supply chain management (SCM) used by Dell allows customers to build their own PC online and successfully satisfies each customer’s specification. The selling and buying of products in Dell is conducted over electronic systems, for instance, online transaction process enables consumers attain various services through the Internet. Such considerate

Dell’s direct model approach enables them to develop a deep understanding of the customer and how the product is likely to be used. This allows Dell to make quick but wise decisions in balancing the benefit offered by a feature against the time required to develop it. As mentioned earlier, Dell’s direct model approach cuts wasted resources, time wasted with the middleman, and sells directly to the consumer. Moreover, a team that knows its customers will be able to reach such conclusions on the fly, rather than by checking with the marketing department and implementing a new round of market research. Speeding up development is hard work, which is why Dell utilizes technology to reduce their development times. Technologies, such as computer networking, videoconferencing, product data management software and computer aided design (CAD) can support an improvement, but the center of the change must be in the management styles, team

To gain high profitability and increase sales, competitive advantage is essential. As a business we should be able to tell our customers that we