From: XXXXX To: XXXXX Subject: Ford Motor Company vs. Dell Computer Corp: Supply Chain Strategy Date: March 17‚ 2007 Summary: As per our meeting earlier this week‚ here is the information you requested regarding the supply chain strategy of the Ford Motor Company. I have also included a quick comparison to the strategy used by Dell Computers in attaining my final recommendation. Ford ’s Dilemma: The director of supply chain systems at Ford has two options to consider before implementing
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Dell Computers Issue Identified in the Scenario that is also Facing the Company When Michael Dell started Dell Computer in 1984‚ he believed that by selling personal computer systems directly to customers‚ his company could better understand customers’ needs and provide the most effective computing solutions to meet those needs. During that period‚ competing computer makers experienced poor supply-chain management strategies that usually involved assembling in advance and sending to distribution
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Background Dell traces its origins to 1984‚ when Michael Dell created PCs Limited while a student at the University of Texas at Austin. The dorm-room headquartered company sold IBM PC-compatible computers built from stock components. Dell dropped out of school in order to focus full-time on his fledgling business‚ after getting about $300‚000 in expansion-capital from his family. In 1985‚ the company produced the first computer of its own design‚ the "Turbo PC"‚ which sold for $795. PCs Limited
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Issue Identification Ford continues to face increased completion from foreign competitors while operating in an industry that is experiencing significant over-capacity. In the face of the challenges presented to us‚ we must determine if Ford should embrace the direct business model which utilizes “virtual integration” that has driven Dell to become a clear leader in their industry. Further‚ if we chose to utilize “virtual integration” based on the Dell model‚ we will need to develop and implement
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Executive Summary: After carefully analyzing Ford’s existing supply chain‚ I realized the main issues that Ford have are its large base of suppliers‚ suppliers does not have enough IT capability to support the requirements of Ford and it appears that Ford and their dealers have not too much communication in obtaining the accurate forecast. Meanwhile I am also aware of its highly complex nature of auto manufacturing comparing with computer industry. It would be applicable for the customers to place
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era is known to most people as the point where America advanced itself to become a world renowned country. An advancement that will be focused on is the Ford Model T. During this time owning a car was a symbol of wealth. Henry Ford‚ the creator of the Model T‚ made a system that revolutionized the automobile industry as we know it today. Henry Ford made it possible for people with an average income to own a motor vehicle by creating the assembly line and the theory of mass production. "The horse‚ which
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many ways‚ the Dell story is a textbook example of American entrepreneurship. Michael Dell began by selling computers from the trunk of his car and quickly rose to being CEO of a highly respected computer manufacturer. Dell’s business model was simple: make computers to order and deliver directly to the customer. As the company grew‚ it encountered growth problem. A maturing industry caused Dell to rethink it’s business model and this case study asks the question‚ “Should Dell continue with its
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contents 1.0. Introduction 3 2.0. Marketing Model 4 2.1. Direct sale model definition 4 2.2. The main features of Dell direct sale model 5 3.0. SWOT Analysis 6 3.1 strength 7 3.2. Weakness 8 3.3. Opportunity 8 3.4. Threat 9 4.0. Problems of Dell direct sales model 9 4.1. Internal factors 9 4.2. External factor 11 5.0. Recommendation 12 6.0. Reference 14 Hartline‚ Ferrell. (2011).Marketing Management Strategies. International Edition. 5th Edition. South Western Cengage Learning: Canada
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Strength 1) Dell ’s Direct Business Model which consist of the five principles: Most efficient path to the customer - through direct relationship with no intermediaries to add cost and confusion Single Point of accountability - so that resources necessary to meet customer needs can be easily marshaled in support of complex challenges. Build-to-Order - provide customers exactly what they want in their computer systems through easy custom configuration and ordering. Thus eliminates the maintenance
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Ford Motor Case Table of Contents Executive Summary 3 Issue Identification and Root Case Analysis 4 Alternatives and Options 7 Recommendations 8 Implementation Plan 9 Monitor and Control
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