• be used in the electronics industry and other products technology updated quickly of finished goods and raw materials of industry price rapidly .
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• Found a professional sales group ,these members have more product’s knowledge .they can make promise with client
• Direct contact with the Client ,DELL can directly get the information about the product service and competetion
machinery and equipment
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• Also ,the progress in product also have some problem ,for example :
1 Shutdown problem
• measures: make the good relationship with the
5Байду номын сангаас
Process
Spare Parts suppliers
Advertising company Transportation companies
dell
Client
Service companies
Representative Office
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Advantage
1:Reduce the storage costs and inventory management workers salary
• Suppliers often nearly by Dell factory, or they can not be the Dell supplier .
• By Dell website , suppliers and Dell virtual synchronization
• Suppliers can get the profit total 3% 5%from DELL
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Quickly satisfied the demand of customers : In order to avoid customer waiting and delivery time delay, Dell has established a powerful order processing and customer service system.
caused as a result of the rapid changes in the technology market (the provision for the inventory
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DELL
Impairment Of Asset
FOUNDER
LENOVOR
599712.5
1301274.47 2335735.07
• 4 In 1998, start to introduce the "direct" model into China, and quickly become China's largest international computer brand
2
The main products
3
Direct Business Model
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• Next compare with normal PC factory ,they need more strong plan and trainning investment and management ability ,and this is amount of cost
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Zero inventory applicable industries
DELL direct business model
1
background
• 1:Dell Computer was founded as PC's Limited in 1984 by university student Michael Dell.
• 2: By 1991, seven years after selling it's first computer, Dell Computer Corporation was listed in the Fortune 500
• 2 Reducing inventory , more flow capital can used with investment in other ways or used for scientific research
• 3 To avoid a large backlog of outdated products
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Measure
Only build a close relationship with a few and supplier and share important
customer and every production information with them
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DELL ‘s suppliers strategy
1 zero inventory 2In-time production 3 Production orders
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Direct Business Model
• Direct business modern don’t have middle business ,so they can save a lot of sales cost .
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Ensure production running smoothly, the implementation of comprehensive quality management:
•
Routine
maintenance of production lines,
training of skilled workers operating
reduce the cost of ordering .
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Direct business cost
• First ,direct business modern spent most advertising overhead. because it has less opportunity to communicate with customer and most sales net sit ,so direct business must increase propagate on the other aspect ,although DELL don’t have the middle business ,they can save more sales cost ,but, in fact company firstly must have a huge and complex global information system (including free fax and call ).for example , everyday DELL must deal with 50,000 call from customer ,at the same time they must build a excellent sales and serviced group ,
suppler and ensure the quality of supply
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• 2 Discount and prices problem • Measures :as close as possible to
contact with the few of supplier . • Make the long-term contracts to help
• 3:With much experience in mail order telephone sales, Dell was one of the first companies to offer computers for mail order via the Internet. The Dell Coupon program made many Internet models cheaper than other brands, and continues to be popular to this day.