A Brief Introduction To Outsourcing Management Essay

A Brief Introduction To Outsourcing Management Essay One of the most common and highly used terms in business firm in last decade or so is outsourcing. Globalisation and new technological competitions have made the companies difficult to maintain range of expertise in skill in all areas to be a successful competitor. With the emergence of third world multinational companies the level of competition has become even more difficult and important issue. The best solution for this problem is outsourcing. Definition: Outsourcing is defined as contracting with a third service provider for the management and competition of a certain amount of work, for a specified length of time, cost, and level of service. So why exactly does the companies outsource the projects? There are many advantages by outsourcing a project to another company some of the reasons being less cost, more effective and to reduce the training times for the employees. And another reason is that the company can concentrate more on other work as the task has been outsourced to other company. Reasons for outsourcing: Tactical reasons: Operating costs: In recent survey it shows that the operation costs of a company is reduced to nine per cent by outsourcing by outsourcing its project to other companies. This is the most compelling benefit for a company to outsource but of course this is a short term benefit. Capital funding: outsourcing helps the company to increase the capital funding more available for the core areas. And it also reduces the investment of capital funds into no core business areas. The need to show the equity on capital investment in non-core areas is also reduced by outsourcing. Resource needs: companies mainly outsource because of the unavailability of the resources internally. For example a new company want to establish its process to other countries its best to start with outsourcing as they will have ready availability of resources by outsourcing. Cash infusion: companies often sell their resources for cash. For example if the provider has some requirements like manpower, Hardware resources, software resources and infrastructure resources the customer company can sell their resources to the provider Management difficulties: if there are many projects for a company then its good option for them to outsource. Because of the difficulty to manage all the projects it is good if some part or the whole project is outsourced as it reduces the amount of management. Strategic reasons: World class capabilities: as outsourcing mainly deals with other company customer often have advantage of new technology, tools, infrastructure and technical expertise. Thus by outsourcing there is always a greater possibility of having world class service. Reengineering benefits: outsourcing often helps the customer to reengineer the organisation and this is achieved by outsourcing to a world class company which helps in realizing the customer the need to reengineer. Shred risk: by outsourcing the customer company will be in a less risky situation and the producer company will also be in the same state. So with shred risk productivity is increased. Improving business focus: outsourcing will let the customer company to concentrate on when to issues rather than how to issues which will be taken care by the client or producer. (Johnson, 1997) Types of outsourcing: In general it outsourcing can be classified in to following types System integration Facility management Contract programming Software support Network maintenance Hardware maintenance (SUZANNE RIVARD, 2008) Other types of outsourcing based on mode of outsourcing are Complete IS outsourcing: in this scenario the outsourcing is done to the service provider along with all the communication centre, computer and manpower related to IS. Facilities management outsourcing: outsourced company plays a role in operating the resources of the outsourcing company to operate its complex IS data. System integration outsourcing: A system integrator is hired to manage the installation and operation of the integrated systems. The overall responsibility for the quality and performance is maintained by the integrator. Time sharing outsourcing: this often involves in buying time from the service provides for its resources which can be used by the service receiver in order to perform some task. This type of outsourcing is mainly in mainframes due to the cost of infrastructure. (Grover, 1994) Based on the extent of which a company relies on outsourcing it can be categorized in to four types Total outsourcing: in this type all the staff, IT assets, and management responsibilities are outsourced to the service provides which represents 80 per cent of the IS budget. Total insourcing: it involves insourcing of certain requirements such are machinery, manpower and technology which is hired for certain period of time. Selective sourcing: often involves in sourcing selected functions with external providers while still providing certain per cent of IS budget. Vendor is responsible for delivering the result of the outsourced task and customer is responsible for insourced task. De facto insourcing: uses its internal resources from other departments for serving the purpose. (Lacity, 1996) Decision factors of outsourcing We have already seen what the uses of outsourcing are and now it is time we have to learn about the factors that are responsible for outsourcing. In 1994 Quinn and Hilmer identified factors such as core peripheral activates, supplier relationships, Technologies and cost should be considered as the factors that should be considered for outsourcing. In 2000 McIvor suggested a four staged framework for helping a companys outsourcing decision. However it provides very basic information about the factors. A survey is conducted followed by the interviews for several managers in handling outsourcing decisions. This survey gave us some interesting answers for the questions raised in outsourcing decision. Outsourcing degree, impact of outsourcing, IS outsourcing drivers and strategic alignment. APH: APH (analytical hierarchy process) developed at Wharton school of business by Thomas Saaty, helps in decision making for complex problems in hierarchical structure. AHP employs both qualitative; a complex problem is decomposed into a hierarchical structure. Quantitative, a pair wise comparison to rate the decision elements. It has three steps the first step is to construct a hierarchy, in second step calculating weight of elements at each level, and in final step weight of each decision alternative is calculated. Step 1: Main problem is divided into sub problems. And this should not exceed 7 because of the complexity. Top level of the hierarchy is goal of the outsourcing and the lowest level is the decision or choice alternatives. Elements in between the hierarchy are the factors and sub factors that are associated with the decision making. Step2: this step involves three steps again Paired comparison: Elements in first step are compared according to the given importance criteria. This is calculated with the formula n (n-1)/2 where n is the number of elements and the number used for comparisons are 1/9,1/8,1/7à ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦..7,8,9. If the two sets of elements that are to be compared are represented by c1, c2, c3à ¢Ã¢â€š ¬Ã‚ ¦cw and ci, cjà ¢Ã¢â€š ¬Ã‚ ¦..can be represented by n*n matrix as A= (aij), (i, j = 1, 2à ¢Ã¢â€š ¬Ã‚ ¦n) and if aij = 1/a, and aij = 1 if i = j Computing vector properties: when normalized the principal Eigen vectors become the vector properties and the formula for that is Aw=  Ã‚ ¬max w, the largest Eigen value of A is  Ã‚ ¬max w is the Eigen vector. Measuring consistency: consistency is said to be achieved when aij*aik = aik Step 3: weight at immediate next higher level elements is calculated. And the overall ranking is obtained by adding the results of the weight criteria multiplied by weight alternatives. Rj = i=1n Ã¢â‚¬Å" ci, Piji=1 (where RJ is used to rank alternatives) This is a figure which represents the above scenario (Gupta, 2009) Planning stage With increased competition and management challenges manager of the companies are concentrating more on the cost effective solutions which also increases performance and profits. Most of the outsourcing decisions are done by the senior management as the medium and low level management feels outsourcing is actually risking their jobs. Outsourcing varies from company to company and is decided by which part of the company it is outsourced. In some companies outsourcing is done my middle level companies and in some it is done by business process managers. So what is the view of senior management when it comes to outsourcing? A decision which can cut costs, a process to reengineer the business, a method to meet with the competition, a method to enhance public perception, a process to outsource non-core business activities. And in the view of business process managers outsourcing is viewed in the following perspective. Reorganisation of business department, cutting business process costs, method to enhance performance, methods to learn new methodologies and technologies. Forming an outsourcing team: Once it is decided that outsourcing has to be done the follows a protocol which involves negotiations and approvals from the top level management. This is because in process of outsourcing there are some different resources which are crucial for process initiation. These resources typically include travelling costs, meeting costs, consulting costs, infrastructure costs, and personal resources. In some cases approvals for board committee is not needed at initial stages of outsourcing. In those cases it is advised to get the on board committee approval in order to avoid the negative reactions due to unexpected raise in costs. Next step in outsourcing is selecting a project leader who is responsible for taking critical decisions like organising manpower form the same department, purchasing, human resources, tax, and risk management. Internal evaluation: Since the security is important in communication in both internal as well as external ways. So it is very important to form some security guidelines before moving in to the actual outsourcing. And it is also important to form some outsourcing objectives for the team as it helps the leader to review milestones reached at each point. Clear norms should be formed with the customers with respect to how the transfer of assets or manpower is done. In addition to this customer should also consider the impact that outsourcing is going to leave on the organisation either in technical terms or methodological terms. And customer should also analyse the benefit verses risk in order to have a clear ideal. Benefit Risk Cost saving Ability to concentrate on core business Lacking expertise with new technologies by outsourcing every time. Reengineering Cost involved for every outsourcing Varied skill resources Compatibility problems Reduction of training expenses More time to learn new technologies Greater flexibility Difficulty in cost management. Less flexible for new technology Additional responsibility Timetable: It normally takes two to three months in order to begin the outsourcing process. This is due to selection of vendor, assets management, selection of team and vendor negotiation. Vendor will always look for faster deals. It is beneficial to prepare a timetable which contains all the time lines with respect to outsourcing. Communicating with employees: There are three ways to communicate outsourcing deal with the internal employees. Keeping the deal confidential until the deal is signed off Informing the employees that there is an idea of outsourcing and keeping rest of things like actual dates, vendor and other things confidential. Informing everything to the employees from starting of idea. Lets see what are the benefits and risks in each type Scenario 1: there are some benefits like employees will not be involved in negotiations. There is no fear of resignations by the employees with the decision of outsourcing. Avoid false alarms for the employees and avoiding leakage to media. And the risks involved are employees may think that they are not treated in a fair way. Creates distrust among the employees. Scenario 2: in this type of communication employees will be in trust with management. Employees will not leave the company until they know what the full situation is. But this creates rumours between the employees. Employees may fell that they are not adequately informed about the situation and may force management to get involved in negotiations. Scenario 3: this creates full trust for the employees. Helps management to understand the situation of employees and negotiate according to the situation. But there is more risk involved in this situation as some of the employees may leave the company especially those who are not in the team of outsourcing. And employees may demand more things or there is a risk of resignations. And as the deal is known to all pressure to close the deal will be high. And there is an important point that always should be remembered and that is all the employees should be informed with the same information otherwise it may lead to rumours and company may end up with dropping the idea. Vendor selection: There are many vendors who can complete the outsourcing task but it is very important step to choose one from that list who has very good experience, resources, and capability. There are many cases that vendor will know about the outsourcing. So in these cases the customer should consider all the available vendors and select according to the current requirement. There are many situations that there may be a vendor who has gained trust with the customer. In this type of scenario customer should keep in mind of all that available options for the current situation and have to take a decision on outsourcing. So after deciding the vendor what is the first step in communication? Many of the customers might know how to communicate with the vendor at initial stages but some might not know how to start the initial communication. In that situation the following points are very important to Look for industrial publications Get in touch with other outsourcing customers Obtain information from surveys So after selection of pool of vendors it is very important to target some of the vendors and this is done by some steps which may include visiting vendor sites, talking to the vendors, checking previous experiences with vendors, taking a look at annual reports and review of surveys. Next step includes set of questions that the customer needs to ask a vendor either it may be in a formal or informal way. And these questions include Reputation: what is the reputation of vendor in the selected country or place where the customer wishes to outsource? What is the culture of the country and will it fit for the customers culture. History of vendor: customer should have deeper look in to some areas like vendors history in business, market share, any disputes faced in the past and legal issues. Financial condition: is the vendor financially stable? Is the vendors market share steady without any valleys? Are the any pending claims that could weaken vendors financial condition? And customer should also obtain a copy of recent financial statement. Resource allocation: client should consider the availability of resources form the customer in required place where the outsourcing is done. Is there enough number of employees to meet the requirement in required location for client? These are common enquires that should be done. Vendors vendor: this is another area where the client should be aware of. This is nothing but vendor may be relying on some other vendor for the supply of some services. So is that vendors capable of handling the current requirement? Technical issues: is the vendor capable to meet the requirement for the current technology and can implement the requested technology. And also should consider whether there is room for current technology in use with client familiar to vendor. (Havely, 2007) Other benefits: can the vendor provide other benefits like reengineering and can introduce to new technologies which can help the customer in feature? This is very important because there should be some benefit for the customer besides the actual work. RFI and RFP: These are the two terms which are help full in final stages of selection and narrowing down the vendors. RFI refers to Request For Information which is extremely useful in cases like when customer is not aware of vendors especially in different location form the vendors or overseas. In general if the customer has already outsourced to same vendor previously this can be eliminated as it delays the process. This is done in a confidential way because this may lead to leakage of information to employees and stakeholders. And this document differs with the requirement of the client. RFP means Request For Proposal in this process customers will be issued with a form which is useful in screening the vendor selection. Vendors will be ranked on the basis of that form which evaluates the vendors and makes the selection process easy. (TENDERSZEAL RESOURCES, 2010) Request form evaluation: After RFP process it is customers job to evaluate the proposals and choose the best one according to the requirement. RFP document should be categorised in to three types like commercial, technical and organisational. Qualitative analysis and the report which is formed by splitting RFP document is combined together to get a full report on selected vendor. All the outsourcing team should agree the criteria which are applied in order to sort the bids. After looking at all the bids cross checking several times the documents are categorised in to rejects, doubtful and candidates. And a third party consultant is involved in evaluation to have a look at the rejects and doubtful forms. This process is again done in order to evaluate some more profiles. All the above process is quantitative process and before moving to qualitative process there may be some doubts among the documents. All the doubts are documented clearly and are discussed in a meeting which will be arranged in later stage. This stage will put an end to qualification of responses. The next step is Qualitative analysis all the documents which are finalised in the above step are processed and given a score on the scale of 0 to 5 where 5 is the best. Risk evaluation: Final outcome of all the above process is list of candidates or vendors may be three or fewer than that are analysed. This analysis mainly deals with risk which is mostly carried out by risk analysis managers who are employed especially to analyses risks. If the company have no risk managers employed then they should consider the following steps to evaluate risk. They are Is the company in kind of some financial crisis? Is there a threat of bankruptcy? Is there any change in pricing model due to outsourcing? Are there any government rules in tax that restrict the performance of vendor? Financial modelling: Financial quotes of companies differ from vendor to vendor and this should be considered in the process of evaluation in order to chooses best vendor and the points that should be considered in this section are Model of pricing from one vendor to other Price level comparison Payment methods and terms Taxation changes or import costs. Selecting the right candidate: Once the final list is prepared it is preferred to review the list with business case and make the final decision. Final decision occurs in two phases in the first phase project manages or senior managers are informed to choose the outsourcing team. Each employee is given a score and the score is analysed and a project team is formed. A document is shown to all the team which contains quantitative analysis, qualitative analysis, risk chat, and financial comparisons. Next stage is board level management decision stage which involves review of all the documents including the above document which contains list of employees chosen for outsourcing team. General mistakes made in vendor selection process include short of time for the decision. In general enough time should be given to employees to evaluate all the criterias. Most of the people think that the decision making process is just computer work entering some numbers and doing some mathematical calculations. All the levels of management should consider that the selection process is very important and crucial in decision making.

Assess the effectiveness of strategies used to manage the impacts of glacial processes

Guidance:Candidates:(i)should show knowledge and understanding of the problems arising from the impact of glacial processes and landforms on human activity or from the impact of human activities on glacial environments;(ii)should show knowledge and understanding of the strategies put in place to manage these impacts;(iii)should show an assessment of the effectiveness of the above strategies; better candidates should make an assessment of the effectiveness of the strategies discussed throughout, whereas the average candidate may only assess the strategies in passing or perhaps briefly in their conclusion.Candidates need to demonstrate their knowledge and understanding of the problems arising from the impacts of glacial processes and landforms on human activity or the impact of human activity on glacial environments. There may be a discussion not only of the nature, but also of the seriousness of the impacts.In order to assess the effectiveness of strategies adopted to deal with the im pacts, candidates will need to briefly describe the strategies. Strategies will vary depending on the glacial environment chosen. The assessment should involve an evaluation of both the positive and negative aspects of the strategies adopted in relation to the aims of the strategies implemented.Assess the effectiveness of strategies used to manage the impacts of glacial processes and landforms on Human activity.Problems arising from glacial processes and landformsStrategies used to deal with these (remember to assess +tive and -tive) Many strategies have been put in place to manage the impact of glacial processes. The types of glacial processes they would be managing range from erosional  processes Glacial processes- avalanche, ablation glacial (flooding) & fluvioglacial deposition (landslides) Landforms- pyramidal peaks, arà ªtes, troughs, hanging valleys, lakes, outwash plainIn glacial environments such as the French Alps human activity is very popular with up to 100 million to urists going for holidays each year to enjoy the winter sports available. However strategies must be put in place to control the glacial processes in order to make the area safe to minimize the negative impact on humans. The methods used include prevention and control measures by both soft and hard strategies, but are they successful?An avalanche is a type of glacial process and to deal with it strong, resistant buildings are constructed, as are avalanche barriers on the slopes and trees are planted near to pistes and woods made denser so as to break the flow as well as to hold the snow together reducing the risk of an avalanche starting. The choice of strategy is very much dependent to the nature of human activity, the density of the settlement and the impact the strategy could have on the surrounding nature.Another factor that must be considered is the frequency and intensity of the avalanche as well as the potential impacts like fatality ad damage to buildings and infrastructure. In Verbier Austria they have introduced a way to categorize areas which are at risk of avalanches by creating red and yellow zones. In the red construction of any kind is banned while in the yellow specific safety measures must be applied and a strict building code followed. This should result in buildings that will withstand avalanches, protecting the people inside, even though they will not do anything to stop an avalanche actually occurring.The town of Gà ¤ltur in Austria is predominantly a yellow zone however when the huge avalanche of 1999 struck it was during the day when people were returning the their homes so weren’t able to be protected by this strategy thus the death toll was 4000. Though a great deal of money is being invested in the various strategies, more pressure is being put on the planners, as the alpine towns are swelling thus putting themselves at further risk of avalanches as more and more trees are being cut down and the safe areas to build are almost full forcing more buildings in to the danger zones.Glaciers aren’t the only threat developing towns in the upland have to face. As the globe is going through climate change the rates of ablation in glacial areas is much higher. This is made worse by the increased popularity of the areas for tourists who access them through cars and planes, which contribute to the pollution. Furthermore activities like skiing and snowboarding damage the soil under the snow making it weaker, and young trees are damaged while older trees are removed for ski lifts or roads. These factors all accumulate in the potential danger of landslides, which can also be caused by the fluvioglacial deposition during the summer periods adding to the instability of the land.To deal with landslides, planners ensure that fragile areas are not being used to allow for the regrowth of vegetation. In resorts in the French alps the only means to get there is via train so no extra cars are present. Also codes of conduc ts are enforced to avoid young saplings from being damaged so that the soil in the future will be held together and strengthened by the presence of the roots. However, many of these strategies are there only to lessen the impact of an already present issue. They can not stop landslides from happening as they have little influence over the rate of ablation of the glacier.Rapid retreat of glaciers increases run-off, contributing to the growth of glacial lakes and the conversion of some supraglacial lakes to moraine-dammed lakes. These lakes tend to breach the weak and unstable loose moraine dam, with catastrophic impacts downstream. Strategies for predicting future glacier lake formation are important for an early planning of safety measures, The Ngozumpa Glacier project aims to study the response of glaciers to climate change and to gain data to predict hazards like lake outbursts and slope failures. Glaciers in the Himalayas are some of the most prominent glaciers to undergo shrinka ge due to global warming.In the past years there have been many glacier lake outburst floods with many more unstable lakes currently being monitored such as the Tsho Rolpa in Nepal. These unstable glaciers have engineering projects conducted on them to lower the levels and mitigate the hazards. But, these works are not only expensive but are logistically difficult due to the fragile high altitude environment. However they can be used to develop the potential of hydropower production.Another area with which Hydropower potential has been explored is using hanging valleys. These occur where the main valley has been eroded at a much higher rate than the tributary valleys. After glaciation the latter are left at a higher altitude ‘hanging’ above the main valley. Streams that flow from such tributary valleys fall steeply creating waterfalls. The kinetic energy of the water is turned into electricity. The owners of the power stations must ensure that enough water is in the str eam/river at all times to protect that habitat which can mean that no electricity is produced in the summer. I believe that many of the strategies in place to manage the impacts of glacial process and landforms on human activities are successful as we have better knowledge and technology to deal with them. Yet I do not think that they are utterly effective as they are all very expensive and the majority are to limit the impact rather then to stop it from happening in the first place.

The Dos and Donts of Persuasive Essay Samples Middle School

The Do's and Don'ts of Persuasive Essay Samples Middle School Facts, Fiction and Persuasive Essay Samples Middle School Descriptive Essay on Market can be employed by tourists or visitors that don't have any prior understanding of a marketplace. Numerous alternative logical structures for essays are visualized as diagrams, making them simple to implement or adapt in the building of an argument. To begin with, let's define the kinds of argument available and strategies you could follow. Such approach always pays off because it offers you an exceptional insight into the practice of essay writing that is directed at achieving excellent outcomes. The thesis could relate to a wide variety of different philosophical or political problems. Since the content of narratives essay can vary when it has to do with unique institutions, we've resolved to supply you with examples in the event you face an issue. In some instances, it represents a quarter of your overall grade. Therefore, it' s critical to compose an attractive paper if you want a simple time in school. Stories about traveling have an outstanding potential. If you are able to choose interesting subjects to write about, think about the work half done. The writer ought to be in a position to bring an emotional relationship between the reader and the subject. The narrative is extremely personal, and that means you should underline the importance of the ongoing events for your identity. The story ought to be well-detailed and organized to spell out the entire story and connect different pieces of it. Whether your story is true or a fiction, make certain you relay a collection of events in an emotionally engaging way. What Persuasive Essay Samples Middle School Is - and What it Is Not Wearing school uniforms may also help people gain more self-confidence only because they know they're a component of something bigger. The starting point of each story is true and it's very clear that, as a way to be worthy of being told, it has to be an interesting one. The whole procedure for visiting the office ought to be described. So far as sitting before my laptop the entire time wasn't an option, I began to hunt for some new experiences. Subsequently, essay was defined in various ways. It's possible for you to write a persuasive essay on just about any topic provided you take the suitable strategy. In that case, then you ought to attempt writing narrative essays. Starting your essay with a counterargument is frequently one of the most troublesome techniques to start an essay. The main matter to be cautious about in personal descriptive essay is that there shouldn't be any over-exaggeration. Also find out whether or not there's a particular audience that you're expected to compose the essay for. It's really hard to pick just a single topic whenever there are so many you could write about. When it has to do with narrative essay topics, there are lots of things you should take into consideration. The 30-Second Trick for Persuasive Essay Samples Middle School The most important idea of all of the criticism is to supply an opinion both of positive or negative implication. To the contrary, you might not have been supplied a specific topic in the slightest. If you're saying something, ensure you're making any sense. As it is easy to recognize, it all starts with a suitable argument. As with any other facility, keeping a school open needs a whole lot of money. Cutting fewer trees will earn a huge difference in the surroundings. A significant part a youn gster's life is summertime. For instance the children wont. The One Thing to Do for Persuasive Essay Samples Middle School The very first thing you ought to create a fantastic thesis is you should figure out your most important arguments, which you've done while working on your topic. Ensure you didn't miss any vital points. There are many things worth sharing. Therefore, unless your mentor or professor assigned you a particular subject, the decision of creating a fantastic topic is your choice. The goal of a persuasive essay is to analyze a particular matter when trying to convince readers about a fair idea. Unlike topics for middle school or higher school, very good college topics are somewhat more challenging to discover. Students may order persuasive essay models as a way to receive a better feeling of what it is that they should do, since professional persuasive essays are likely to be missing lots of the errors that amateurish writers are often likely to make themselves. Frequently teachers will tell you exactly what they are searching for in your narrative piece. Using Persuasive Essay Samples Middle School You would like your paper to be noticed, meaning you don't need to choose the simple topic and have your paper reflect precisely the same thing every one's paper does. When you want example written student. Students lead busy lives and frequently forget about an approaching deadline. They are asked to explain, comment on, or assess a topic of study in the f orm of an essay.

Dells Supply Chain Management - 1882 Words

Dell’s Supply Chain Management The term supply chain management (SCM) was initially used in wholesaling and retailing to denote the integration of logistics and physical distribution functions with the goal of reducing delivery lead times. Manufacturers and service providers have used the same term to describe integration and partnership efforts with first- and second- tier suppliers to reduce cost and improve quality and delivery timing. Terms such as integrated purchasing strategy, integrated logistics, supplier integration, value chain management, supply base management, strategic supplier alliances, lean production, Just-In-Time (JIT) logistics, and supply chain synchronization have been used in the literature to†¦show more content†¦The pulse of Dell s execution effort centers on increasing business velocity and eliminating waste. Dell employees are constantly focused on driving down backlogs, promoting best practices, and creating synergies among adjacent proces ses as seen in cross-functional initiatives such as the design-for-manufacturability effort between manufacturing and Ramp;D. This initiative successfully promoted product designs that are easier to assemble. In 1994, Dell was a struggling second-tier PC maker. Like many others, the company ordered its components in advance and manufactured to inventory. Then Dell began to implement a new business model. It converted its operations to a build-to-order process, eliminated its inventories through a just-in-time system, and sold its products directly to consumers. Dell carefully targeted corporate relationship customers that had predictable, budgeted needs and that wanted a pre-determined set of product models. The company also selected individual customers who were high-end, repeat purchasers with a preference for early technology adoption. Both account segments had the stable, predictable purchase patterns that Dell needed to make its joint build-product-to-order/buy-component-to-plan system work. In connection with this, Dell developed a set of new operations capabilities in five crucial areas (2005). First, it created the flawless make-to-order system that has been widelyShow MoreRelatedDells Supply Chain Management2081 Words   |  9 PagesDirect Sales and Build-to-Order Model: Dell’s computers, workstations, and servers are built-to-order and none are produced for inventory purposes which clearly cuts Dell’s cost on inventory. Dell customers could order through their website or even via phone, custom-made servers and workstations based on the needs of their applications. 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With new business models prevailing, Ford did notRead Moredell supply chain managment1676 Words   |  7 PagesCourse: Supply Chain Management (SCM) Assignment One – Singular Unit Supply Chain Management Subject HOW DELL IS MANAGING ITS SUPPLY CHAIN Writer Bassam Badran IV Date of delivery 10-10-2012 Due date (submittal) 10-11-2012 Grade 20% References Compiled from several articles in Business Week (1997 through 2001); cio.com (2001); dell.com, accessed March 27, 2003; Hagel (2002). 1. Principals and Reasons In this project you would understand the concept of managing the supply chain in DellRead MoreDell Supply Chain Managment2938 Words   |  12 PagesSupply Chain Management Term Paper On INVENTORY DECISIONS IN DELL’S SUPPLY CHAIN MANAGEMENT Submitted to Dr. P.R.S SHARMA Gitam School of International Business Submitted by UKR PRASANTH BABU.K 1226111138 (IB) SECTION-A INVENTORY DECISIONS IN DELL’S SUPPLY CHAIN MANAGEMENT EXECUTIVE SUMMARY Dell is the largest computer-systems company based on estimates of global market share. It is also the fastest growing of the major computer-systems companies competing in the businessRead More Ford Motor Company Supply Chain Strategy Essay1397 Words   |  6 PagesFord Motor Company Supply Chain Strategy Background In 1913, Henry Ford revolutionized product manufacturing by introducing the first assembly line to the automotive industry. Ford’s hallmark of achievement proved to be a key competence for the motor company as the low cost of the Model T attracted a broader, new range of prospective car-owners. However, after many decades of success, customers have become harder to find. Due to relatively new threats to the industry, increasing numbers of