Sherin and Bartoletti report that production lines could not restart at the first couple of days after the event as sensitive critical-path equipment had been damaged. The world markets of memory chips reacted very fast to this news, as supply was constrained at the last part of The spot price of memory chips went up fivefold. Dell Computer Co. Supply Chain Disruption, both potential and actual are the enemies of all firm. Supply Chain disruption can be defined as " Unplanned and Unanticipated event that has disrupted the normal flow of goods and material within a supply chain.
Risk Prevails in three categories i. Risk can be catogorised in variables. Variables suggested by Ritchie and Marshall include environment, industry, organisation , problem specific, decision maker related variables. Supply Chain Disruption :- Anything that affects the flow and supply of raw material, sub component, finished good from all the way from origin to the final demand point.
For example, Murphy categorized disruptions into "natural events", "external - man made events", and "internal- man made events.
Disruptions that cause an environmental change usually impact some form of the infrastructure for either a long time period or permanently. The framework tests the supply chain risks based on the above mentioned attributes and classifies them as deviation disruption or disaster, based on the severity of the disruption over the supply chain and the probability of occurrence as a parameter for risk calculation, assessment, prevention or mitigation.
In order to see the different aspect of risk management in a supply chain, a frame work prepared by Manuj and Mentzer has been reviewed.
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The schematic diagram of the framework is shown below. The framework is created in view with firms having a global outreach who source from different countries. This framework provided is a comprehensive one with both risk management and mitigation factors incorporated in to it. This framework proved to be ideal for risk management and mitigation in Dell, a truly global firm. The framework adopts 5 step approach for Risk management and Mitigation. Risk Identification: - Risk identification is an important stage in the risk management process.
Dell Computer Corporation - Assignment Example
Consequently, by identifying a risk, decision-makers become aware of events that may cause disturbances. To assess supply chain risk exposures, the company must identify not only direct risks to its operations, but also the potential causes or sources of those risks at every significant link along the supply chain Christopheret al.
Hence, the main focus of supply chain risk analysis is to recognize future uncertainties to enable proactive management of risk-related issues. Risk Assessment and Evaluation: - After the risk analysis, it is important to assess and prioritize risks to be able to choose management actions appropriate to the situation. Risk Management Strategy: - Different strategies are adopted for various risks according to their importance and nature. Implementation of Supply Chain Risk Management Strategy: - Once the various strategies have been decided, plans have to be made for implementing the strategies based on their priority.
Mitigation of Supply Chain Risk : - Mitigation is the most commonly considered risk management strategy. Mitigation involves fixing the flaw or providing some type of compensatory control to reduce the likelihood or impact associated with the flaw. The global presence of DELL with sales offices in 43 countries, sales presence in countries, 6 global manufacturing sites in Brazil, Tennessee, Texas, China, Ireland and Malaysia clearly defines its leading position in the computer systems market.
By cutting. Dell's integrated supply chain has allowed it to gain market share while remaining profitable. Dell's business strategy includes direct route to market, Supplier relationship and E- Commerce. Most other competitors are in the process of developing a direct market strategy but the transition from existing sales channel is not simple. Dell continues to gain market share by using its knowledge about its customers. Supplier Relationships : Dell.
The company can provide the component price decline to its customers quickly. In addition, Dell shares demand information with suppliers, so ensuring that inventory is kept to minimum. Dell also enhances cash flow by effectively paying suppliers after customers have settled invoices. Dell's relationship with their suppliers has played a key role in their success story. Product, customer, and geographic mix can be different than anticipated. Infracture failures and inaccurate product transition can have adverse effects. Supplier failure or disruptions in component availability slows delivery to the customer.
Foreign exchange hedging or the ability to get licenses can have adverse effects. Failure to attract or retain qualified personnel…… [Read More]. Dell vs Walmart the Most. If this was applied at GM, it is likely that demand will further drop, with the company unable to honor orders for long periods of time. Wal-Mart is a similar situation. Running out of a certain item on the shelves is less likely to cause a sudden demand in the Wal-Mart customers. However, a long waiting period for a car will certainly play worse on GM's company image.
Demand forecasting seems like a better fit inventory instrument. If the company would be able to evaluate both future potential demand, as well as the potential demand variation over the next period of time, then it is likely that it would also be able to better adapt its supply to match demand and avoid the type of inventory problems it is facing. In this sense, it is more likely that the problem GM is facing is less one strictly tied to inventory,…… [Read More].
Dell Computer Corporation Assignment Example | Topics and Well Written Essays - words
Dell for Its Entire. The company can no longer look to its production model as a source of sustainable competitive advantage. Although it can still provide competitive advantage, evidence over the past few years indicates that any such advantages will be temporary. Production cost control is only a core competency, therefore, not a source of sustainable competitive advantage.
The company's brand is a source of sustainable competitive advantage as the Dell name has opened doors into other product lines, some of which have been successful for Dell. The company name, however, is no stronger than that of Hewlett-Packard or Apple, two of its main competitors, and is arguably weaker than either two. Thus, while the brand value of Dell is more easily sustained it is not necessarily a source of competitive advantage. This leaves Dell in a challenging position. It has built its market share on its ability to deliver the lowest-cost computers and…… [Read More].
Executive Summery In order to expand their business to Latin America and set up a manufacturing unit there, Dell choose to set up a manufacturing unit in Brazil. The reason for choosing Brazil as the country to set up the unit was that the rise in sales in personal computers as the highest in Latin America compared to the world and Brazil was one of the largest Latin American countries with a population of more than This made Brazil a very attractive country. The company chose to set up its unit in the state Rio Grande do Sul as the company found that the state had the requisite number of qualified personnel, adequate supply of electricity and requisite infrastructure for telecommunications and transport.
The state also offered special financial incentives to the company. During that period Brazil was divided into…… [Read More]. Dell Ebusiness the Impact of. The customer expectations of large business or enterprise customers is also very specific about the customization of PCs and their delivery, as are the many government accounts Dell has globally.
What all of these customers share in common is an expectation of receiving a PC customized to their specific needs in the timeframes committed Gunasekaran, Ngai, Compared to traditional procurement and SCM strategies, the Dell e-business model requires a much faster pace of fulfillment with less room for error on each order.
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Traditional procurement processes often operate in a 90 day forecast period while Dell will often operate in one that is 72 hours or less, using Just-in-Time JIT production scheduling techniques Kapuscinski, Zhang, Carbonneau, Moore, eeves, Dell has also revolutionized the aspect of supply chain collaboration throughout the PC industry as well, creating shared resources and the ability to create cross-supplier visibility measures of performance as well. Michael Dell. Michael Dell While looking for a multibillion dollar management, the success of a company is measured by its business ideas and its strategic moves.
The capacities of the individual personnel shouldn't limit the operating capabilities. The winning combination for a management team comprises of practical experience along with intellectual capacity while being able to respond to the ever changing requirements of an industry. A case in point is Michael Dell. Currently, he is the chairman of the Dell board of directors. He is the proud owner of Dell to which he gave birth in The key idea here was to build rapport and long-term relationship with the clientele Dell, His vision Dell rose to unreachable heights within his lifetime.
It was a childhood vision. He was raised in suburban Houston, Texas,…… [Read More]. Apple Computer About the Company. The first of these was co-designed with Sony, and established the modern layout for laptop computers that has remained popular ever since. Apple's operating system software was adjusted so that most software written for the older processors could run in emulation on the PowerPC series. This move brought Jobs back to Apple's management. On July 9, , Gil Amelio stepped down as CEO of Apple after overseeing a year record low stock price and crippling financial losses.
Jobs stepped in as the interim CEO and began the critical restructuring of the company's product…… [Read More]. Apple Computers in Looking at.