Presented by Garikayi, Kieran Habeeb, Omari, Patrick and Jakub.

Dell: The Early Days Began in 1984 by Michael Dell Initially known as PC’s Limited Changed to ‘Dell’ in 1988 Began selling through website in Dell expanded its product line By Garikayi Brasington Madzudzo

Simple in concept but involves great complexity and precision in actual execution. By Garikayi Brasington Madzudzo

Build – to - Order Customer configures the product on the web. Order fulfilled within 36 hours. From its early beginnings, Dell operated as a pioneer in the “configure to order” approach to manufacturing. Customers are aided by configuration management software that enables them to choose from a menu of hardware and software options. By Garikayi Brasington Madzudzo

Build-to-Order By Garikayi Brasington Madzudzo

Direct Sales Dell sells its products to customers using direct sales model via Internet and Telephone network. The direct sales approach is built on two key elements : 1. direct customer relationships. 2. products and services targeted at distinct customer segments. Implements a just-in-time manufacturing approach By Garikayi Brasington Madzudzo

Dell’s Value Web Model By Garikayi Brasington Madzudzo

Direct Sales Comparison Indirect distribution channel of the PC industry Dell’s direct distribution channel By Garikayi Brasington Madzudzo

Advantages Brings new products to market quickly Increases market share Achieves high returns on investment in a highly competitive industry. Successful in minimizing inventory Cheap prices Enhances customers satisfaction By Garikayi Brasington Madzudzo

References  Steven, A.: Information Systems, the foundation of E-business. Fourth edition..Prentice Hall,  Kraemer K., Dedrick J., Yamashiro S.. Refining and Extending the Business Model with Information Technology: Dell Computer Corporation.2000    By Garikayi Brasington Madzudzo

By Habib Munir Babba WHY WE NEED INFORMATION SYSTEMS.. Dell also uses information to manage relationships with customers. Senior managers need information to help with their business planning Middle management need more detailed information to help them monitor and control business activities Employees with operation roles need information to help them carry out their duties.

Dell: Information System Transaction Processing Systems (TPS) Decision Support Systems (DSS) Expert Information Systems (EIS) Order Management Information Systems (DMIS Office Automation Systems (OAS) By Habib Munir Babba

Transaction Processing System Manage customer relationships Broker between customer and 3rd party maintainers Call-Centre uses system to troubleshoot customer problems Develops computerised FAQ’s (Frequently Asked Questions) By Habib Munir Babba

Order routed to finance department Payment approved, order referred to engineering Transferred to plant, with order specification Order checked against inventory Production begins. Order Management System By Habib Munir Babba

Dells Success: How IT Helped The contribution of IT to operational efficiency is reflected in measures related to procurement and inventory, manufacturing production, cash management, and administrative overhead By Habib Munir Babba

Dell - Information Access Requirements Unique business model Connecting participants Real-time response Virtual integration by Jakub Gieryn

Unique business model: knowledge drives sales Trends Technology Know-how Competition by Jakub Gieryn

Connecting participants : team effort to sell & service by Jakub Gieryn

Real-time response: key to customer care by Jakub Gieryn

Virtual integration by Jakub Gieryn

By Kieran Saeed Strategic Tactical Operational

Strategic Level Prioritise customer satisfaction Disdain inventory Fully customised PC’s By Kieran Saeed

Tactical Level Minimum stock Strategically placed warehouses Agility in staff 36 hours max By Kieran Saeed

Operational Level Keep staff motivated Offer technical support, different levels available to buy Conduct surveys and continue to ask for customer feedback By Kieran Saeed

A Supply Chain encompasses all activities in fulfilling customer demands and requests By Omari Kondo

There are four stages in supply chain The supply network, The internal supply chain (which are manufacturing plants), Distribution systems, The end users. By Omari Kondo

Supply Chain By Omari Kondo

Supply Chain in a Dell way. Direct ‘Build-to-order’ Dell has been following its unique ‘direct build-to-order’ sales model for more than 20 years. Customers can plan their own configuration and place orders directly with the company via the phone or its Web site. Over the years, Dell’s supply chain efficiencies and direct sales gave it a competitive advantage By Omari Kondo

Challenging Times Dell lost the leading in 2006 In 2006 however, Dell faced several problems. Many customers complained about long delays in supplies. The problem of Sony battery cells in its laptops brought undesirable media hype to the company. Increasing discontent of customers led to a slowdown in sales. Consequently, Dell lost its market leadership to Hewlett-Packard Co. (HP). By 2009 Dell’s Market Share in US and Worldwide (2009) compared to other top PC makers was still under HP. By Omari Kondo

References case-study case-study Steven, A.: Information Systems, the foundation of E- business. Fourth edition..Prentice Hall, Saunders,R.: Business the Dell Way, 10 Secrets of the World’s Best Computer Business. By Omari Kondo