Living in Dell Time
Team 5
Ibrahim Ayyaz
Hassaan Mahmood
Hina Naveed
Hamza Zubair
Haris Usman
Maryam Iqtidar
Roadmap
• What makes Dell Super Efficient
– Supplier Relationships
– Structure of the Supply Chain
– Supply Chain Efficiency
– Supply Chain’s ability to counter
unforeseen circumstances
What Makes Dell Super Efficient
Measurable
Metrics
Information
over
Inventory
Customer
Centric
Supply Chain
Simplicity of
Operations
Efficiency
Watershed
Mindset
Supplier Relationships
• Based primarily on performance and merit
• Promotion of competition amongst suppliers based on metrics like:
– Cost
– Technology
– Supply predictability
– Service
• Integration with the rhythm of Dell’s production cycle
• Provide support for suppliers to improve their velocity, quality and
predictability
Supply Chain Structure
•
•
•
•
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•
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Lean, minimum inventory supply chain
25 core suppliers
Constant flow of inventory
Focus on maintaining control over manufacturing
US based computer assembly
‘Thin White Lines’
Consumer databases that supplement demand forecasts
Supply Chain Efficiency
•
•
•
•
•
Direct to consumer model to cut out intermediaries
Timely delivery from core suppliers
Limited ownership of inventory
Constantly updating demand forecasts
Closely monitoring/ controlling metrics like
– Inventory turnover
– Cash conversion
– Production time
• ‘Pleased, never satisfied’ mindset
Ability to Respond to Unforeseen Circumstances
• Use of specialist Tiger teams
– Minimized the damage of the 10 day labor lockdown
– Provided timely information about a prospective lockdown
• Constant communication with suppliers
• Ensuring access to alternative shipping channels
• Efficient management of loading/ offloading of merchandise
to minimize delays
• Demand Shaping
THANK YOU