Scientific Essay from the year 2010 in the subject Business economics – Supply, Production, Logistics, grade: 1, 0, University of Phoenix, course: Integrated Supply Chain Applications, language: English, abstract: Dell Inc. Case Paper
Dell Computer Company founded in 1984 uses the business model of eliminating retailers from the sales channel and selling directly to customers. Dell used this model to deliver customized systems to customers with lower than market average prices. To assist Dell in accomplishing this achievement, Dell used contract manufacturers to build and supply various components of its computer equipment. However, Dell has identified issues arising from its L5 and L6 manufacturing processes regarding motherboard availability and the resulting increased cost of manufacturing and logistics. In this paper, I will review and evaluate the L5 and L6 manufacturing and logistics cost, the manufacturing solution to best minimize the issues, and address the chipset supply concerns In addition, the business process improvement methodology will be reviewed, supply changes recommended, and the application to other industries and work environments.
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