Environmental Management Review of Dell

Case Study
Pages 13 (3263 words)
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Judge us not by what we say, but by what you see us do." Michael Dell, Chairman and CEO. How true is this statement will be judged by the foregoing statement and data from their Dell's website and other third party testimonies.
Founded in 1984 by Michael Dell, the company is a premier provider of products and services worldwide that enable customers to build their information technology and Internet infrastructures.


He used a basic model: selling PCs to the final customer and built them to users' specifications. Dell Computer still does it today, the so-called build-to-order scheme, although with some modifications. He started with telephone sales using IBM compatible PCs, and then assembling and selling his own brand. This model provided a 24-hour hotline for complaints and guaranteed immediate shipment of replacement parts, that is, 24- to 48-hour shipment (Dell 1999).
The improvements in design and production processes have helped Dell cut the estimated production cycle time for a desktop computer - from beginning of the build process to placement on a delivery truck - to 7 hours (McWilliams, 1997, cited in Kraemer et al, 1999:11). At its newest Austin plant, named Metri 12, sometimes a PC can be built, software installed and tested, and everything packed in a box for shipping within 5 hours (Ramstad, 1997, cited in Kraemer, 5). The customization that occurs in production is carried over to sales and service. For instance, Dell installs custom software on the machines that it builds for corporate customers. It also maintains an inventory of its customers. ...
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