An Analysis of Production and Logistics System of Dell Computer Corporation Essay

SYNOPSISIn this report an examination will be made of the production and logistics system of Dell Computer Corporation. Emphasis will be placed on the following The important aspects of Dells product service How effective is the firms resource planning procedures? Dells internal and external logistics process The key difficulties - potential points of failure in the Dells logistics process How technologies are being used or can be used to make the logistics function more efficienteffective?What is Dell Computers all about?Michael Dell founded Dell Computer Corporation in 1984 having only 1000 start-up capital. To date, his business has grown to become the second largest computer systems producer in the world, with average daily sales of more than 5 million. The hub of Dells production system is based in the U.S (Round rock, Texas), while other factories are located in Nashville, Tennessee, Limerick, (Ireland), Penang, Malaysia, Xiamen, China and Eldorado do Sul, Brazil. Dell has offices in thirty-four countries around the world and sells its products and services in more than one hundred and seventy countries. The table below provides a break down of Dells global market growth and position. Monetary values are quoted in US in millions.Continent Market Position Net Revenue as at January 282000 Annual Growth RateDell AmericasDell EuropeMiddle EastAfricaDell Asia Pacific and Japan127 1787955901796 482452According to Dells forecast it is estimated that total revenue will amount to US33 billion this year, where US20 billion will be as a result of online transactions. (1) In the Appendix of this report, a consolidated statement of income on Dells financial position for the year ending 28100 is presented.The important aspects of Dells Product and ServiceDells core competency lies in customising its product computer hardware and software to the specific needs of the consumer. The organisation has been able to gain a cost advantage by creating a standardised product as well as achieving the market advantage of variety and uniqueness. The modular design of Dells products...

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