Operations Management at Dell Computers

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Dell Operations Management Introduction Founded in 1984 by Michael Dell, Dell Computer (NASDAQ: DELL) in the latest fiscal year generated $62B in revenue and earned a Net Income of $3.4B, the majority of sales generated from mobility-related products ($19B). Dell is atypical of the many PC hardware manufacturers who have been able to bypass the extreme price wars that left many of them bankrupt and well-positioned to be acquired by larger competitors. Dell transitioned quickly to a solutions-based strategy and has been successful in creating enterprise-wide systems and software solutions for many of its Fortune 500 clients globally (Dell Investor Relations, 2012). In order to attain this level of concerted, synchronized performance, Dell has had to move from being focused just on OM as a means to coordinate hardware suppliers to using these core technologies and processes as a means to support strategic alliances in software as well. enterprise software Strategic alliances with Microsoft, SAP, Oracle and other leading enterprise systems and solutions vendors are being integrated into the OM processes and workflows throughout the company today (Dell Investor Relations, 2012). This shift in strategy are making the operations management (OM) aspects of the Dell strategy critically important in the delivery of highly customized systems and networks that often require third-party intellectual property (IP) as well in the form of complex, highly valuable software. The depth of

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