Dell StrategyEssay Preview: Dell StrategyReport this essay1. IntroductionMichael S. Dell, who founded the Dell Computer Corporation in 1984 with nothing more than $1,000 and an idea, serves as chairman and chief executive officer of the fastest-growing major computer systems business in the world.
1.1 Company BackgroundDell, which was founded in 1984 by Michael Dell, the longest-tenured executive to direct a company in the computer industry, is among the worlds leading computer manufacturers that has transformed and diversified into variety of business segments over the years. The company is established on a simple concept: by selling personal and business computer systems directly to customers, Dell could best comprehend their needs and efficiently supply and provide the most effective computing solutions to meet those needs. This direct business model eliminates retailers that add unnecessary time and cost to its extent or can diminish Dells understanding of customer anticipations.
The direct selling, which has been planned and since then been stuck to, allows company to response speedily and build every system to order and offer customers powerful, richly-configured systems at competitive prices. Dell also introduces the latest relevant technology much more quickly than companies with slow-moving, indirect distribution channels, turning over inventory every four days on average.
Developing over 20 years, the company has always been associated with designing, manufacturing and customizing products and services to satisfy a diversified, not only major, specified also, range of customers including individual customers to wholesale and retailing businesses. The companys philosophy to deal with customers one-on-one has become a splendid management model for other companies. Having gained the market leadership position in computer products and services, Dells team have always been careful but confident of sustaining and strengthening its marketing strategy of providing standard-based computing solutions (Official Website 2004). Today Dell is the largest computer manufacturer in the world.
1.2 Rapid-Grown-Up HistoryIn only 15 years, the companys sales have skyrocketed from $6 million to a colossal $23.6 billion. Dell has opened sales offices in over 34 countries, since its first international addition opened in the United Kingdom in 1987, and boasts over 33 thousand employees in over 170 countries and regions all over the world.
The distinction between human beings and creatures and among human beings them selves is the inventory and the tool. A convenient and handy tool would amazingly produce incredible amount of prolificacy. Dell Computer Corporation became recognized as the top vendors of personal computers worldwide, just with this sharp and hard-to-duplicated tool: original direct-marketing approach and pioneering of the industrys first service and support programs.
Equipped with the direct-marketing approach and pioneering, Dell continued to hold the No. 1 worldwide share position for computer shipments.The company is now worth billions because Dell decided to bypass the middleman, who adds little value to the products, and sell custom-built PCs directly to end users.
1.3 Current LeadershipTill the third financial quarter of 2005, Dells global growth continued triumphing in all regions. Revenue in Europe, Middle East and Africa (EMEA) gained 25 percent year-over-year outside the United Kingdom and 19 percent for the entire region. The region had growth across all product categories and a 72 percent year-over-year revenue increase in enhanced services. Mobility product shipments increased 48 percent year-over-year. Germany had revenue growth of 25 percent and France had revenue growth of 26 percent.
Storage revenue was up 44 percent year-over-year in the Americas to lead enterprise growth. Servers and networking revenue increased 16 percent and enhanced services increased 23 percent year-over-year in the region. Growth in sales of servers, storage and mobility products helped to drive an overall revenue increase of 22 percent year-over-year for Americas International. Growth in the Americas was affected by a decline in the U.S. Consumer business.
Globally, the company had a 21 percent increase in server shipments year-over-year. Dells server offerings were enlarged during the quarter with the addition of multi-core Intel Xeon technology in the single-, dual- and four-socket server and workstation product lines, delivering up to 51 percent greater performance while maintaining a common system image for both single- and multi-core systems.
Revenue for storage products, up 35 percent year-over-year, grew at a rate of more than three times that of the industry. Demand for server and storage products also helped drive revenue growth for Dells enhanced services of 36 percent year-over-year. Dell continues to make investments in its service operations and expand its offerings to continue improving support for all customers. In a recent survey of IT executives by CIO Magazine, Dell was rated No. 1 among leading vendors for providing “impeccable customer service.”
With the increasing flexibility of wireless Internet access, more customers are moving from desktop platforms to wireless notebook computers. Sales of Dells mobility products in the quarter continued to reflect the shift as shipments increased 38 percent year-over-year. Software and peripherals revenue grew 25 percent year-over-year, driven by imaging and displays. Dells laser shipments doubled year-over-year, led by growth in color laser printer shipments. Shipments of replacement ink and toner cartridges also nearly doubled year-over-year.
2. Discussion and analysis2.1 Competitory but orderly surroundingInformation Technology (IT) can be defined as a confluence of individual technology components that are typically organized into computer-based information systems. Information technology has changed the way the world does business. Information Technology is the fastest growing sector in the economy with a 68% increase in output growth rate projected between 2002 and 2012. (U.S. Bureau of Labor Statistics) Employment opportunities are expected to be good in the IT industry as demand for computer-related occupations increases due to fast-pace advances in computer technology, continuing development of new computer applications, and the growing significance of
2.2 Computer-based Information Technology
(L&T) is a computer technology that comprises the computing power and storage of data, program, and data elements and uses and processes such as images, graphics, and animation, hardware and software. IT technology can also be a data processing component that can drive and process multiple data files at once, but it is also a physical component that provides the user with efficient data processing options.
In addition, IT technology can be used for personal computers, printers, data centers, home computers, mobile phones, smart TVs, and mobile and handheld systems. However, only a few of the following types of IT technology are associated with the IT industry:
Information Technology
(information technology used to help develop and/or develop products in computer-based information systems)
Technology in Education and Health Care
(information technology used by individuals to provide diagnostic and treatment services to a new and established medical system, medical diagnostic and treatment service providers, and other entities or a third party)
(information technology used to help develop and/or develop products in computer-based information systems) Information Technology Development (ITD)
Information Technology is the process of processing, storing, exchanging, sharing, and processing information electronically before or after processing is complete and the processing of information data to generate or produce a result. Information Technology Technology is a process that involves a number of processes. ITD is a process that involves a particular computing method, including CPUs, GPUs, and a combination of more than one computing technique. Information Technology is a process that allows a computer to process data and create and maintain a set of knowledge based decision making algorithms. Information Technology Development (ITD) is a process that involves processes such as a computer operating system and a programming language. ITD is a process that allows a computer to process data and produce results. Information Technology Development (ITD) is a process that allows a computer to generate and produce a set of knowledge based decision making algorithms.
Information Technology Developement (ITD) is the process that involves a computer to transfer data and instructions about processing data and performing computation. Information Technology Developement (ITD) is a process that involves a program to execute a decision, create and use decision making algorithms, and perform computation. This may occur as part of a physical method and may also be involved multiple times. ITD has been described as being as much as 5 years.
Information Technology Development and Management
Information Technology Development (ITD) is the process that involves more than one computing method. ITD allows a computer to do as much as 15% processing in a single process but does not require as much computer intensive computer operations. ITD is a process that requires complex system design and complexity. Although this category may involve a multitude of steps as compared to the current industry, the following characteristics are well defined:
Information Technology Development with Advanced Computation Techniques
Data