Dell Operations Management Dell (NASDAQ: Dell) a Term Paper

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Dell Operations Management

Dell (NASDAQ: Dell) a global technology leader in the areas of enterprise, mid-market and small & medium business (SMB) systems and solutions. The company is best-known for its PC and laptop businesses, which are the catalyst of their highly differentiated build-to-order supply chain, production, selling and services strategies (Gunasekaran, Ngai, 2005). Dell's reliance on the build-to-order operations process is integral to the success of its four core segments including large enterprise, pubic administration, small and medium businesses and the well-known consumer segment as well. As of the close of their latest fiscal year on December 31, 2012, Dell report $56.9B in revenues earning a net income of $2.3B, making it one of the largest technology manufacturers and service providers globally today (Dell Investor Relations, 2013).

Analysis of the Dell Build-To-Order Operations Process

The Dell build-to-order process is predicated on real-time inventory and demand management with suppliers, extensive reliance on advanced Vendor Managed Inventory (VMI) processes (Kapuscinski, Zhang, Carbonneau, et.al.

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, 2004) and IT systems specifically designed to give customers up-to-the-minute status of their orders (Gunasekaran, Ngai, 2005). The Dell build-to-order operations process is also heavily reliant on department, system and process integration across the entire enterprise. These integration points throughout the build-to-order operations process are the most critical in the company, as they serve to unify a complex, yet highly profitable process together. Like many complex operations process that today are delivering world-class performance, the Dell build-to-order process took over a decade to perfect (Gunasekaran, Ngai, 2005).

One of the most valuable lessons learned according to research completed of Dell's operations management teams is the greater the level of integration across departments, systems and processes the higher the Return on Investment (ROI), greater demand planning precision, all leading to increased order accuracy (Laura, Johnson, 2003). An analysis of….....

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