Michael Dell founded Dell in 1984 at the age of 19. Steve Jobs and Steve Wozniak designed Apple Computer on April 1, 1976. As both companies continue to grow they have contributed to a wide impact on competiveness and efficiency towards strategic goals. Dell Computer Corporation is one of the most visible success stories in the computer market. By selling personal computers directly to customers over the Internet, offering a build-to-order sales system, and then linking suppliers, workers, managers, customers, and service personnel together on the Internet, Dell has built a series of rapid-response systems that have revolutionized organizational communication. Dell’s rapid-response systems have led to fear, admiration, and attempts at …show more content…
Second, Dell has a rapid-response system for providing customer service. This interactive real-time communication system can be accessed by telephone or computer for personal or automated technical and customer support in dealing with computer problems. This service is toll free 24 hours a day, seven days a week throughout the world in multiple languages. Dell monitors these service interactions in order to construct maintenance profiles on each piece of equipment and the appropriate instructions for its use, and to develop appropriate repair sequences for each type of problem for use by its live and automated repair processes. Such profiles allow Dell to warn customers of potential problems, develop clear problem correction routines, and access equipment and worker performance in manufacture and assembly. This interactive customer service system has won Dell awards from Fortune Magazine, PC World Magazine, Windows Magazine, and Best Buy Stores as the number one computer firm in customer service. Third, Dell has a rapid-response system for linking all suppliers, workers, managers, and customers to Dell’s value chain. This interactive real time communication system is employed to order parts, manufacture and outsource computer modules, and coordinate assembly and distribution of products to customers. Managers employ this system for all human resource functions, workers and suppliers for all coordination sequencing and quality control processes,
Dell’s business processes are mainly customer focused and are not determined by what managers and staff is willing to provide. They address the zero-value-gap principle by providing the customer with the product that they desire, consistently, by only building products when they are requested by the customer. The build-to-order philosophy enabled the company to build customer value with a quick
Concerning corporate customer service by Dell and Compaq should be mentioned deep understanding of customer needs at Dell Corporation and 24/7 support against based on forecast production system with 64 days of delivery period. (see Appendix 4, 4.1 for detailed explanation)
By grafting its system of custom direct sales onto the Internet infrastructure, Dell has transformed these activities, creating an innovative and efficient procurement, production, and distribution network. The innovative advance made by Dell in deploying Internet communication as the foundation of its production network, is a process innovation. Although to some extent, the Internet has enabled Dell to create a new product -- a PC custom-configured through Internet communication -- it is the process of organizing flows of materials and information within its network, from customer order to procurement, production and delivery, by means of Internet communication, that defines the innovation at the Firm. The case supports this notion by stating “While most other PCs were sold preconfigured and pre-assembled in retail stores, Dell offered superior customer choice in system configuration at a deeply discounted price, due to the cost-savings associated with cutting out the retail middleman. Additionally, an important side-benefit of the Internet-based direct sales model was that it generated a wealth of market data the company used to efficiently forecast demand trends and carry out effective segmentation strategies. This data drove the company’s product development efforts and allowed Dell to profit from information on the value drivers in each of its key customer
The direct supply chain model that Dell has been using for many years to sell customized PC’s to customers via the internet has been very successful. Dell designed and structured the supply chain to provide customized computers in a quick manner and with a reasonable price. Customers can visit the Dell website and configure the PC they desired and see the cost options they selected. Once the order was finalized, Dell would then start the building of that customized computer to meet the customer’s selection and ship the finished product directly from the manufacturing
Steve Jobs’ first rise began in 1976 when he and friend Stephen Wozniak founded Apple Computers. Apple became very successful in the early years after their startup, aided in large part by the release of the Macintosh, the very first successful computer with a graphical user interface otherwise known as a GUI.
In 1976, when Jobs was just 21, he and Wozniak started Apple Computer. The duo started in the Jobs family garage, and funded their entrepreneurial venture by Jobs selling his Volkswagen bus and Wozniak selling his beloved scientific calculator. Jobs and Wozniak are recognized for revolutionizing the computer industry by categorizing the technology and making the machines smaller, cheaper, intuitive and accessible to every day consumers. Wozniak was in charge of making the computers while Jobs was in charge of
Dell Computer Corporation was founded in 1984 by Michael Dell. From the early 1990s until the mid-2000s, Dell was ranked as a PC market leader relying on their distinctive marketing pattern “Direct Model” which undertook direct communication with customers and provided customized products. Recently, the PC industry is facing inconceivable worldwide competition, and Dell is gradually losing their competitive advantages by using its direct model in critical business segments. The company is facing shrinkage of growth, increasing competition, declining quality of customer service, and limitation of expansion. These issues have an enormous impact on Dell’s position as a technological giant in the PC industry.
Fulfilling the client/customer’s requirement Dell perform primary and support activities that produces cost effective and differentiated features. The company provide
Steve Jobs and Steve Wozniak was founded Apple Computers on April 1st, 1976. Throughout Apples’ history there are a number of events that helped shape the company as we know it today.
This situation was different to Dell’s supply chain, were by using new technologies Dell shared information in a real time fashion with its suppliers, helping them know Dell’s daily production requirements making the supplier more responsive to Dell’s needs.
Dell is considered a very successful company. According to Govindarajan & Gupta (2005) one of the successes is its customer-direct concept that has been practiced since the company 's inception. The concept involves dealing with customers directly and not through a third party, which helps maintain the quality of the relationship with its customers and also the products. In addition, this concept allows Dell to eliminate unnecessary inventories, warehouse space and storage expenses. Dell succeeds by expanding its business, which can be measured by how it creates relationships with other big businesses, such as Walmart, Boeing, and Ford. Dell expands its business by providing products other than computers, for
Due to a changing market environment and existing product life-circle there is a need for the company to revise its present business units and to think about further expansion. There is a shift in customer demand and therefore it is crucial for Dell to recognize in what ways best to satisfy the customers?needs.
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 is a technology company, offering a broad range of product categories, including desktop computer systems, storage, servers and networking products, mobility products, software and peripherals and services to manage IT infrastructure for large organizations . Dell are the number one supplier of personal computer systems in the United States, and the number two supplier worldwide. This case study is based on the Dell 2007 SEC filing. Read the latest Dell SEC filings from Yahoo!. I
With a net revenue of $61,133,000,000 is the second largest computer manufacturer company in the word and the number one in United States. Dell focuses on Business to Business(B2B) and Business to Consumer(B2C) commerce to satisfy their business and individual customers. Dell differentiates between classes of customers because the needs of their business customers, who buy large quantities of computers, are different than the individuals who want to configure a single unit. The present