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The Subcontracted to Four May Directly Protected by Dell's Engineers

Essay by   •  June 28, 2011  •  Essay  •  487 Words (2 Pages)  •  1,024 Views

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d individuals, household consumers. Dell will provide the corresponding demand for its products solutions and to the Global different customers. We help them develop their information technology and Internet infrastructure. Dell's supply chain system as early as breaking the traditional sense, "manufacturers" and "suppliers" between supply and demand rationing. On Dell business platform, customers are the core of the supply chain. Dell zero inventory is the key to success, in the inventory, Dell's success no one can match. Its global stock average number of days has been reduced to six days, and Lenovo stock index is about 30 days. The time of the General computer manufacturers was 2 months.

As far as Dell is conceived, the direct selling models to adhere to five principles, these five principles are in fact Dell's requirements to the supply chain.

One is to find the shortest path available to users. In other words, direct demand produced by the users of DELL. This shortest way is the best way to direct marketing. Clerect marketing can meet the needs of the clients directly, so the most direct knowledge of the market, the most direct understanding of consumer demands.

Second is standardized. DELL chose to enter the industries which are generally with high technical standardization. For example, PC, and the printer. If you want to promote a non-standard products in a regulated markets, it consumptions a great deal of work, so the standardization is very important.

Third is zero inventory. Zero inventory is based on the key production orders. This requires grasping the needs of the users accurately, and this is in fact --- to match the direct marketing, which is to acquire the demand from the users. And zero inventories another advantage is that we can maximize cost.

Four is a low cost. Dell's direct model, and production methods and supply chain management help to reduce costs; it concludes the choice of location for their offices and the invention of the new technology and the research and development it is also focused on lowering the cost but not to the quality. These reductions in costs will eventually be reflected to the users. The prices will become more reasonable. In this sense, DELL likes access to technology standardization, but "profit unreasonable (high)" in the industry. DELL through this "low-cost" operation achieved leading position in the field forcing the competitors to adjust its strategy and management, and lower prices.

Five is customer relationship management, focusing on service. In Dell's customer service center builted in Xiamen, 85% of the issue can be resolved by a telephone. The other 15% needs to be solved on site, of which 95% is also a one-time solution. DELL now in 1680 cities in response to the second working day of the on-site services. DELL in China's service is used by the Dell's customer

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