Choose one existing business operation and analyze its strategy. Suggest the competitive priorities that the business used in the development of its operations strategy. Evaluate how well or how poorly the chosen strategy supports that business’ vision, mission, and business plan. Provide support for your rationale.
DELL is a computer technology that develops sells, supports and repairs computers and other related products. The company has adopted effective supply chain strategy and this business operation has helped the organization to sustain the competitive edge in the global market. The company has implemented the “direct model” whereby it sells its PCs directly to customers without any retail channel. Thus, DELL is able to create and sustain direct relationship with customers which they have segmented into groups to make it easier to approach.
The competitive priorities the business used in the development of these operational strategies are firstly, the implement build – to – order strategy according to which the product will be developed only as per the configuration requested by the customer. This way DELL maintains its competitive advantage. Secondly, the company has been successful in minimizing the inventory cost with the help of which change and update of system becomes successful. Lastly, DELL has implemented Just – In – Time approach with the help of which as soon as the order is received, the company procures material, assemble it and install the required programs, followed by the arrangement of perfect delivery system within minimal time period.
DELL has very well implemented this strategy and this move supports the vision and mission of the company. This is so because DELL has implemented this strategy all the three levels, i.e. strategic, tactical and operational. This way DELL is able to acquire superior profits in the industry because they are knowledgeable in the areas of information, communication, e – commerce, internet and e – business and web technologies.
JOIN OUR STUDY GROUPS