SUPPLY CHAIN OF DELL

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SUPPLY CHAIN OF DELL : 

SUPPLY CHAIN OF DELL by NANDA IBA, Bangalore

Slide 2: 

INTRODUCTION: DELL FOUNDED IN 1984 It is a multinational technology corporation that develops, manufactures, sells and supports personal computers and other computer related products. Products: personal computers, servers, data storage devices, network switches, software and computer peripherals.

Slide 3: 

The supply chain of dell includes: The customer Dell’s Website Dell assembly plant Dell’s suppliers Their suppliers

Slide 4: 

Types of supply chains: depending on timing of execution Pull process (reactive process) Push process (speculative process)

Slide 5: 

Process cycle of DELL: Customer order and manufacturing cycle - pull process Procurement cycle - push process

Push/Pull View of DELL Supply Chain: : 

1-6 Push/Pull View of DELL Supply Chain: Procurement cycle Customer Order and Manufacturing cycle Customer Order Arrives PUSH PROCESSES PULL PROCESSES

Slide 7: 

Competitive strategy : DELL To provide large variety of customizable products at Reasonable price. New product development strategy: DELL Designing products that are easily customizable, i.e designing common platforms across several products.

Slide 8: 

Supply chain strategy: DELL To achieve high flexilibility and responsiveness Supply chain responsiveness: DELL (capabilities of DELL’s supply chain) Respond to wide range of quantities demanded Try to meet short lead times Handle a large variety of products Build high innovative products Handle supply uncertainity

Slide 9: 

2-9 High Low Low High Responsiveness Cost

Slide 10: 

Drivers of supply chain: DELL Facilities: low facility costs Inventory: low inventory costs Transportation: high transportation costs Information: high information costs

Slide 11: 

Inventory Costs Number of facilities

Slide 12: 

Transportation Costs Number of facilities

Slide 13: 

Distribution in the supply chain: Distribution refers to steps taken to move and store a product From supplier stage to customer stage in the supply chain. Types of distribution networks: Manufacturer storage with direct shipping Manufacturer storage with direct shipping and intransit merge Distributor storage with carrier delivary Distributor storage with last-mile delivary Manufacturer or distributor storage with customer pickup. Retail storage with customer pickup.

Slide 14: 

Distribution network: DELL Manufacturer storage with direct shipping Manufacturer storage with direct shipping and intransit merge

Manufacturer Storage withDirect Shipping : 

Manufacturer Storage withDirect Shipping DELL assembly plant DELL web Customers Product Flow Information Flow

In-Transit Merge Network : 

In-Transit Merge Network units website Product Flow Information Flow In-Transit Merge Customers