SWOT And Organizational Analysis Of Dell Essay

Dell was founded in 1984 on a simple construct: that by selling straight to clients, Dell could outdo understand their demands, and expeditiously supply the most effectual calculating solutions to run into those demands.

“ We are uniting Dell ‘s Internet expertness, and our alone ability to form resources around distinguishable client demands, to make new Web-related capablenesss. The Dell advantage is based on direct relationships, low cost, velocity to market and e-commerce expertness every bit much as it is on Internet hardware, contraptions and client services and support. ” Michael Dell ( 1998 ) says who is the president and CEO of the Dell computing machine company.

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Today, Dell Computer Corporation is a top direct computing machine systems company in the universe, and more than 46,000 employees work for Dell across 34 states worldwide.

Organizational Culture

Dell is a planetary company runing in 34 counties, and more than 46,000 employees work for Dell. It is organized along geographic line into the Americas, Asia and Japan, and Europe, Middle East, Africa. Each of the parts has its ain regional central office and its ain assembly works and supply web.

Dell ‘s concern activities are organized in each part around different client sections, although, each part has different pull offing method, but by and large includes: relationship clients, place and little concern and public sector clients, such as authoritiess and schools.

Dell leaders characterize that environment in a statement of corporate doctrine called the “ Soul of Dell ” . It defines that the sort of company, everyone would be aspire to go, serves as a usher for their actions around the universe, and finally forms the footing of the “ victorious civilization. ” Harmonizing to dell Environmental Report ( 2003 ) shows that there are five elements of the psyche of Dell:

Customer: They can perpetrate relationship, supplying the best merchandises and services based on standard-based engineering, and surpassing the competition with value and superior clients ‘ experience.

The Dell Team: they believe their continued success line in teamwork and the chance each squad member has to tilt, develop and turn. They are still committed to being a meritocracy, and to developing, retaining and pulling the best people, reflective of their world-wide market place.

Direct relationship: they believe that the direct relationship with clients, spouses, providers and each other, and runing without inefficient hierarchy and bureaucratism, which can do them, do best than other rivals.

Global Citizenship: They are committed to understanding and esteeming the Torahs, values and civilizations wherever they do their concern ; productively turning in all markets and lending positively in every community.

Wining: They can win everything that they do, and supplying superior stockholder value over clip.

Dell concern theoretical account is simple in construct, but really complex in executing. First, they did non utilize the agent to sell the merchandises. They undertake channel to sell Dell computing machine for clients. Customers should be order on the Internet when they want to buy the computing machine. Second, constructing Personal computer ‘s to order agencies that Dell must hold portion and constituents on manus to construct a broad array of possible constellations with small beforehand notice. Third, because of fill order rapidly, Dell must hold first-class fabrication and logistics capablenesss supported by information system that enable it to replace information for stock list. On the one manus, Dell Company can utilize their peculiarly sale channel addition more net income and market portion. On the other manus, this concern theoretical account can give client maximal satisfaction via minimal distribution channel costs.

Harmonizing to construct of “ Soul of Dell ” and their concern theoretical account, the Dell company organisation construction should be like this ( Figure 1 )

In consequence, Dell has had to make similar but distinguishable maps in each of the major parts, and to future custom-make its selling and service maps for single states. The procedure of globalisation has shaped Dell ‘s ain construction, and leads Dell tally to the largest computing machine company in the universe.

Business Environment

Dell ‘s focal point on incorporating improved environment public presentation into all facets of their concern is strong and driven in big portion by their committedness to function clients and to make what is right for them and the universe they portion. The company end is no computing machine should travel waste ( Parra & A ; Hamiln, 2001 ) . Therefore, they continue to better their environmental public presentation by set uping and incorporating environment ends for merchandise design, fabrication, and recycling services into their operations, step and pass on their advancement against their ends.

Dell ‘s environmental plans for merchandise plus recovery and merchandise design for environment have spanned more than a decennary. Server old ages ago, they are fabricating and operations installations attained ISO 14001 enfranchisement, but today, they building their ain environment direction system substructure to back up effectual direction of their environment impacts and achieve their environmental ends: no computing machine should travel waste. Harmonizing to Dell Environmental Report ( 2003 ) shows, Dell ‘s environment policy include six byelaws

Achieve an environment: The mission is to to the full incorporate environmental stewardship into the concern of supplying quality merchandises, best in category services, and best client experience at the best value.

Design merchandises with the environment in head: Design merchandises with focal point on: safe operation throughout the full merchandise life rhythm, widening merchandise life span avoiding environmentally sensitive stuffs

Prevent waste and pollution: Operate Dell ‘s installations to minimise harmful impacts on the environment. Put a high precedence on waste minimisation, recycling and pollution bar.

Continually better their public presentation: The environmental duty among employees and direction. They use environmental direction system attack to set up ends, implement plans, proctor engineering. And continually better environmental public presentation.

Demonstrate duty to stakeholder: Act in an environmentally responsible mode through sustainable patterns designed to guarantee the wellness and safety of Dell ‘s employees, neighbours and the environment. Engage stakeholders to better merchandises and procedures.

Comply with the jurisprudence: Behavior concern with unity and dedicated observation of environmental Torahs and ordinances, and strive for leading through plans that surpass conformity.

Dell ‘s environmental policy sustains a company civilization that targets betterments at every stage of the merchandise life rhythm, from initial construct and design through fabrication, client ownership, and the end-of-life reuse and recycling solutions. The ensuing Dell concern patterns help guarantee that merchandises and procedures protect the planetary environment and maximise preservation and recovery of resources.

Dell constructing their ain environment direction system substructure to back up effectual direction of their environment impacts and achieves their environmental ends. The environmental direction squad ( EnMT ) at Dell provides an inadvertence substructure made up of general directors and frailty presidents stand foring functional countries that may significantly impact the environment, and intent of the EnMT is to reexamine, O.K. , and supply resources for Dell ‘s environmental enterprises, policies, and schemes ( Michael S.Dell 2003 ) . From Dell ‘s Environmental Update ( 2003 ) , The EnMT uorks in concurrence with other critical maps that provide balance to the overall EnMT substructure: the environmental policy advisory squad ( E-PAT ) , the nucleus squads, and the office of the CEO. ( See figure 2 )


A company can be success by determination on assorted factors. Because they could outdo understand the clients ‘ demands, and supply the most effectual calculating solutions to run into those demands.

Today, Dell is heightening and broadening the cardinal competitory advantages of the direct theoretical account ( see figure 3 ) by progressively using the efficiencies of the Internet to its full concern. The company designs and customizes merchandises and services to the demands of the organisations and persons, and sells an extended choice of peripheral hardware and calculating package. About two-thirds of Dell ‘s gross revenues are to big corporations, authorities bureaus and educational establishments. Dell besides serves medium and little concerns and home-PC users.

When we look at 2003 financial twelvemonth for Dell ( see figure 4 ) , financial 2003 was Dell ‘s strongest twelvemonth of all time. They increased cargos, gross and net incomes per portion at double-digit rates. The committedness of people to straight present clients the best standards-based engineering at the round value led to full-year gross of $ 35.4 billion, and net net incomes of $ 2.12 billion. While they got really good public presentation, but they are non satisfied ( Dell one-year study, 2003 ) . They made important advancement against four strategic enterprises: merchandise leading ; growing in markets outside the United States ; making an exceeding client experience, and progressing our victorious civilization. Improvement in those countries is assisting spread out their company competitory advantages and sustain superior operating consequences for the long term

Anyhow, for the hereafter success, Dell should stay publically committed to doing the market leader by invariably polishing its direct concern theoretical account and the company ‘s procedures to present superior value to clients. Particularly, to further work the Internet and maintain being the taking electronic developed provider of Personal computers and even seek to go the market leader in some new markets ; to further develop their new organizational signifier – practical integrating ; and to further develop procedures of acquisition and reactivity to the market.

SWOT analyses

Strengths: monetary value for public presentation, customization, service and support, latest engineering, superior stockholder value, alone information from the relationship with the client, strong path record of traveling at the right clip ; inventory move fast ; ratio of histories receivable is high.

Failings: deficit of cardinal accomplishments in some countries, e.g. non really good at personal gross revenues ; deficiency of dominant constituent providers in the networking sector.

Opportunities: the Internet offers particular potency in spread outing internationally ; e-service ; the direct theoretical account offers alone chances to construct different types of relationship with providers and clients ; chance from the confederation between Dell and American Online.

Menaces: confronting falling monetary values ; uncertainness about engineering development ; clients are exchanging to Internet-based buying are likely merely the ideal conditions ; the industry relationships are strained and altering fast ; revitalized, more sophisticated rivals.


In decision, the Dell computing machine is successful in planetary markets as a consequence of the Dell could outdo understand clients ‘ demands and their direct sell concern theoretical account. They can bring forth different computing machine to provide the different degree of clients, Furthermore, they continue to develop new computing machine and better their organisational civilization, concern environment and merchandising concern theoretical account, in order to increase more clients.


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