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Dell Supply Chain 1

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Capella University
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DELL’S SUPPLY CHAIN
1
Dell Supply Chain
Student’s Name
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DELL’S SUPPLY CHAIN
2
Dells Supply Chain Strategy and Its Success
Dell has been selling computers for two decades and a half and it can be referred
to as an epitome of success in the computer hardware industry. Dell's efficiency and
ever sustained earnings in the industry can be attributed to its efficient supply chain
system. Dell’s supply chain. First, dell gathers the consumer information in a
humongous volume. This information is then used to make an informed decision on
the flow of goods, supplies equipment, logistics, and other production metric
adjustment (Lakshmi, 2018). The company uses a direct sale-model that allows it to
obtain quality customer information. This model, in conjunction with the external
suppliers, sales department, and internal procurement department allows the company
to have a highly effective structure of optimized production and supply. The main
source of efficiency for the company is information. The information allows the
company to have real-time insights on matters such as demand, deficiency, market
stagnancy, and inventory. Dell maintains low inventory while at the same time,
ensuring that the company is always at par with the consumer demand.
Dell uses a sophisticated information system communication platform that allows
for collaboration among different stakeholders. In the early days, dell used
spreadsheets, but with the current evolution, dell sees an efficient mix of activities
that analyze what products are moving and which are not. Dell does not utilize
middlemen in its supply and hence manages its supply with efficiency and full
responsibility, allowing it to control the consumer sentiments (Thomas, 2020). The
company’s virtual integration strategy is quintessential. This strategy entails
developing a long-term relationship with the Pc parts manufacturers. The part
manufacturers are also required to develop hubs near Dell assembly plans, allowing
for easier communication and delivery of parts with short notice time. This form of

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DELL’S SUPPLY CHAIN 1 Dell Supply Chain Student’s Name Institution DELL’S SUPPLY CHAIN 2 Dells Supply Chain Strategy and Its Success Dell has been selling computers for two decades and a half and it can be referred to as an epitome of success in the computer hardware industry. Dell's efficiency and ever sustained earnings in the industry can be attributed to its efficient supply chain system. Dell’s supply chain. First, dell gathers the consumer information in a humongous volume. This information is then used to make an informed decision on the flow of goods, supplies equipment, logistics, and other production metric adjustment (Lakshmi, 2018). The company uses a direct sale-model that allows it to obtain quality customer information. This model, in conjunction with the external suppliers, sales department, and internal procurement department allows the company to have a highly effective structure of optimized production and supply. The main source of efficiency for the company is information. The information allows the company to have real-time insights on matters such as demand, deficiency, market stagnancy, and inventory. Dell maintains low inventory while at the same time, ensuring that the company is always at par with the consumer demand. Dell uses a sophisticated information system communication platform that allows for collaboration among different stakeholders. In the early days, dell used spreadsheets, but with the current evolution, dell sees an effic ...
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