Read DELL Strategy.doc

 PAGE \* MERGEFORMAT 11 Read DELL Strategy I see three principles of the gold DELL DELL has more than once declared him the ‘golden three principles’ - abandoned inventory, and customer alliance, adhere to direct marketing. Indeed, if the surface the distinction between direct sales and distribution, inventory is the most likely to think of the factors. In the distribution mode, the channel agent is like storage of goods ‘canals’, manufacturers of inventory pressure in the distribution channel, so to ensure the so-called ‘zero inventory’. The direct model will inevitably encounter ‘inventory’ issue. DELL said that to ‘abandon the stock’ fact is that too far, absolutely zero inventory does not exist. From the classical theory of supply chain management, the inventory problem is essentially two aspects: One is the ability to inventory management, and the second is a collaborative relationship with suppliers. In the second point, DELL put it very exciting: ‘with information instead of stock’. We are from the MBA Case ‘beer game’ can understand the truth: coordination of suppliers of the most important point is that the rapid accurate information. DELL constantly seeking to reduce inventory, and to further reduce the production line and customer doorstep of the temporal and spatial distance. According to survey data show that, DELL stock in the global average number of days can be reduced to within 8 days, but there is a certain lower limit. Last year’s data show that, COMPAQ number of days of inventory 26 days. ‘Alliance with the customer’ is a direct selling model at the most advantageous. DELL customer understanding are very in-depth, so he has proposed will allow people to reflect the views of - ‘thinking about customers, not the total Guzhuo competition’. Indeed, there are too many companies are too concerned about competitors act, but even more so by restraining spending too much time behind the efforts of others to catch up, but no time to look forward. C