Organization Structure

Supply chain management at Dell Inc

Dell Inc . is the market leader in the computer hardware manufacturing industry . According to Michael Porter 's framework for strategy formulation , a business organization has three strategies available for developing a competitive advantage : differentiation , cost minimization and quick response . Dell has been implementing the strategy of cost minimization in building its market leadership position . The implementation of this strategy has been facilitated through the e-commerce business model which enables the company to eliminate distribution intermediaries . As a result , the manufacturing company is able to

keep its manufacturing costs low . According to the e-commerce business model , customers go to the company website and specify their desired configurations . The s are instantaneously sent to the factory floor where manufacturing operations begin immediately . In this manner the company is able to implement the just-in-time manufacturing philosophy . However this requires a considerable level of integration in supply chain management

Dell Inc . has been chosen for this report because the company has been implementing the latest technology in supply chain management integration . The company 's business model is the off-spring of e-commerce technology and JIT manufacturing . The framework which has facilitated the well-functioning of this business model is the integration in supply chain management . This integration is facilitated through an information sharing network operated through an ERP solution In this respect , Dell shares the costs of maintaining compatibility in the information sharing network so that suppliers can access the information . This information enables the suppliers to maintain their inventories...