企业管理留学生论文范文下载-Dell Internal Analysis

企业管理留学生论文范文下载Dell Internal Analysis

 

 

Executive Summary:

Dell Inc is the world's third largest personal computer manufacturer. The firm as a result of different resources and unique capabilities has enjoyed the market leadership for an extended period of time. A major reason for the firm's top-tier performance in the huge potential PC industry could be attributed to the fact that the firm has enjoying various core competencies and dynamic capabilities that include unique business model, integrated supply chain, information and communication network, product management, and direct sales model. Although, in the past these different factors were resulting in the firm's market leadership, the industry has experienced many changes during the recent past. As a result of such changes that took place in the industry, the firm has lost its strategic leadership. 执行概要：

戴尔公司是全球第三大个人电脑制造商。公司作为一个结果，不同的资源和独特的能力，得到了市场的领导地位，在较长的一段时间。本公司的顶级性能的巨大潜力的PC行业的主要原因可能是由于公司享受和动态能力，包括独特的商业模式，不同的核心能力，集成化供应链，信息和通信网络，产品管理，直销模式。虽然，在过去的这些不同的因素导致公司的市场领导地位，该行业已在最近的过去经历了许多变化。由于这种变化发生在该行业，公司已失去了它的战略领导。

 

This report has been organised to carry out the internal analysis of the firm's by critically evaluating the firm's resources and capabilities in terms of the VRIO framework. Based on such analysis together with the external environmental analysis, the report look into why the firm has failed to sustain its leadership. Based on the analysis of the problems that Dell has been experiencing, the report offered various recommendations to the management of the organisation. The rationale behind the objectives is to rebuild the organisation resources and unique capabilities so the organisation could sustainable competitive advantage that may lead to the better realisation of the firm's long-term goals.

 

Table of Contents

Executive Summary: 2

1. Introduction: 4

2. Internal Audit of the Organisation: 4

3. VRIO Analysis: 5

4. Recent changes in Dell External Environment and its Impact on Dell's Core Competencies: 7

5. Recommendations to Dell: 8

6. Conclusion: 9

References: 11

本报告已组织开展公司的内部环境分析通过严格评估的VRIO框架方面公司的资源和能力。基于这样的分析和外部环境分析，报告，看看为什么公司未能维持它的领导。基于戴尔所遭遇的问题的分析，提出了各种建议报告的组织管理。在目标的目的是重建的组织资源和独特的能力使组织能够持续的竞争优势，可能导致该公司的长期目标更好的实现。

 

表的内容

内容提要：2

简介：4 1。

2。该组织内部审计：4

3 VRIO分析：5。

4。最近戴尔外部环境和戴尔的核心竞争力，其影响的变化：7

建议：8戴尔5。

6。结论：9

参考文献：11

 

 

1. Introduction:

Dell Inc is the world's third largest personal computer manufacturer (Euromonitor, 2011). The organisation was founded by Michael Dell, a college dropped out, in 1984 (Dell, 2011). Based in Texas, the firm has dominated the personal computer because of its unique business model (Benner, 2010). The business model of the firm that has been leading to the firm success is a direct sales approach, build to order, and the suppliers' integration (Breen and Anerijo, 2011). In addition, better supply chain arrangements, technological leadership, and product planning could be termed as some of the major factors that have ensured the firm's success at the global level (Euromonitor, 2011). The success that the firm has been enjoying could have not been possible without its unique cluster of internal strategic resources and capabilities (Kuman and Craig, 2007). This report has been organised to critically evaluate the key resources and capabilities of Dell Inc. The report is based on VRIO framework that will identify the core competencies that has been leading to Dell's competitive advantage in the market. The report will also look into how the external environment of the firm has been changing that has been decreasing the significance of Dell core competencies. At the end of the report, efforts will be directed to recommend strategies that could enable Dell to sustain its competitive advantage and regain its market leadership of the personal computer industry. 

 

2. Internal Audit of the Organisation:

Taking the resource-based view of the firm, the competitive advantage of Dell could be analysed considering the resources and capabilities of the organisation (Barney, 2002). The resources could be grouped into tangible resources and intangible resources (Hamel, 2002). The tangible resources of Dell include the financial resources, physical resources, human resources, and organisational resources owned by the business enterprise (Hamel, 1998). On the other hand, intangible resources are the brand name, the brand equity, intellectual property rights in the form of patents and trademark, and the reputation that Dell has been enjoying in the market (Digman, 2009). On the other hand, the capabilities of the firm may understand as a subset of resources that enable Dell Inc to fully exploit its resources. Such resources in case of Dell Inc include the unique business model, marketing skills, R&D and product planning, supplier's network possessed by the organisation and the networking capabilities that linked the firm with its different suppliers in different parts of the world (Shah, 2010). 

 

Although, Dell has been possessing different resources and capabilities, not all of them are enabling the organisation to enjoy a competitive advantage in the market (Hamel, 1998). This is because competitive advantage that results in superior market performance could be enjoyed only if the resources are valuable and the competitors of the firm could not imitate such resource or capability (Henry, 2008). In order to analyse whether the different resources and capabilities that Dell has been possessing can be termed as core competencies that could lead towards the realisation of competitive advantage, a useful framework that could be used for such analysis is the VRIO framework that has been highlighted in the following. 

 

3. VRIO Analysis:

VRIO is an acronym that stands for Valuable, Rare, Imitable, and Organised (Pearce and Robinson, 2010). If the resources and capabilities of Dell Inc fulfil these criteria, it could be then termed as a core competence of the business enterprise (Hamel, 1998). A resource or competence could be termed "Valuable" if Dell could either exploit a market opportunity or neutralise an environmental threat through such resource or competence (Hamel and Prahalad, 1989). The "value" criterion also means that whether the resource could be used to increase the firm's revenue, decrease its cost or some combination of decreasing cost or increasing revenue (Webster, 2008). The quality conformance of the firm's and low cost perception that Dell has been enjoying in the market could also be termed as the factors that provide value to the firm (Webster, 2008). Furthermore, the unique product design capabilities of the firm along with the R&D skills possessed by the firm could be termed as valuable factors leading to the firm's competitive advantage (Park, Burrow and Calif, 2003). The supply chain capabilities, low inventory level, and the communication network and the information system that the firm has installed that linked Dell with its different suppliers could also be termed as valuable factors (Benner, 2010). In addition, the direct sales model of Dell of the firm also provides value to the organisation. (Kuman and Craig, 2007) 

The rarity criterion means that the resource is scarce and could not be easily availed by the major competitor of the firm (Hamel and Prahalad, 1989). The information system that Dell has been relying could be termed as rare because it enabled the business enterprise to better connect and share different information with its supply chain members (Breen and Anerijo, 2011). Without such information system, the firm could have not been in a position to implement the build to order model (Euromonitor, 2011). Although, the competitors of the firm have built such information system, but the number of such organisations are few. As the information system possessed by the firm provide both value as well as it is scarce, it could be termed as a factor that provide the firm with a competitive advantage (Hesseldahl, 2012). The same could be said regarding the supply chain network of the firm. The supply chain that the organisation has been possessing provide the firm with value and such a supply chain is scarce in the computer industry due to which it could be also termed as a factor that provide the firm with a competitive advantage (Yalabrik, Howard and Roden, 2012).  #p#分页标题#e#

 

The inimatability criterion means that competitors while imitating the firm's imitating the firm's rare resources experienced a cost disadvantage (Lynch, 2007). In this regard the intangible resources possessed by the firm's competitors are difficult to imitate, as the firm has been possessing patents for that (Benner, 2010). On the other hand, the tangible resources of the firm could be readily imitated by the major competitors of Dell Inc (Dell, 2008). The same could be said regarding the reputation and brand equity that the organisation has been enjoying as it could take an extended period of time and resources to develop the brand equity and reputation that Dell has been enjoying in different parts of the world (Euromonitor, 2011). On the other, the computers that the firm has been producing could be easily imitated by other market players in the industry (Kuman and Craig, 2007). Furthermore, the firm has been enjoying the various first mover advantage that influences consumers' perception. The competitors of the firm may find it extremely hard to create such sorts of perceptions as the lack the technological leadership that Dell has been enjoying (Breen and Anerijo, 2011). 

The Organisation criterion means that the firm's culture and structure has been aligned in a manner that members of the firm's could fully exploit the firm's resources (Digman, 2009). The structure and control mechanism that could be experienced within Dell has been doing a great a job at the firm has been effectively realising its major goals and objectives (De-Wit and Meyer, 2010). In fact the Dell organisational structure and Dell control mechanism complement each other that results in the better exploitation of the competitive advantage possessed by the business enterprise (Dell Inc, 2011). 

 

Based on the VRIO framework, although Dell possessed different resources and capabilities, not all of them could be termed as the core competencies of the organisation as it did not lead to competitive advantage of the firm (Hesseldahl, 2012). However, the supply chain management of the firm could be termed as the core competence of the firm as it provides value to the firm, is rare in the industry, competitors could not easily replicate the system, and the firm has learned how to organise that (Henry, 2008). The same could be said regarding the direct sales model which also fulfils the VRIO framework characteristics (Breen and Anerijo, 2011). The low price capability that the firm has been enjoying in the market could be attributed to the firm direct sales model and the supply chain capabilities that the organisation has developed during the recent past (Hesseldahl, 2012). The operational capabilities of the firm could also be termed as a source of competitive advantage for the organisation as it enabled the firm to appropriately exploit customer needs and wants and meet the growing demands of the firm's target market without incurring inventory carrying cost. (Euromonitor, 2011) 

 

However, the environment in which Dell has been operating is constantly changing (Euromonitor, 2011). This in turn means that the competitive advantage that the firm possessed could no longer provide the firm with a competitive advantage as the competitors of the firm have now possessed a better advantage than the organisation (Park, Burrow and Calif, 2003). As of such changing environmental factors, one may observe Dell Inc that was leading the personal computer industry during 1990s is now in the third spot (Euromonitor, 2011). A possible reason for this could be that the firm failed to invest in its core capabilities, and the competitors of the firm acquired competitive advantage that in turn enabled such organisations to better satisfy the target market needs and wants as well as magnify their returns (Hesseldahl, 2012). The section to follow elaborates how the external environment of the firm has been changed and how such changes have been negatively affecting the firm's core competencies. 

 

4. Recent changes in Dell External Environment and its Impact on Dell's Core Competencies:

Dell is operating in an environment that is characterised by rapid changes and to better capitalise the changing market opportunities or neutralise the threats, Dell requires an enhanced commitment in terms of core competencies and competitive advantage (Euromonitor, 2011). Unfortunately, during the recent past, the management of Dell has failed to give precise considerations to gain and sustain its core competencies that have been translated into a decrease of the firm's market share. Dell is now ranked as the third largest computer manufacturer (Kuman and Craig, 2007). The economic environment around the world has changed which in turn requires a firm to maintain a smart approach in terms of both price as well as technological leadership (Hesseldahl, 2012). Although, Dell is the lowest cost producer in the industry, it has failed to sustain the quality dimension. On the other hand, Lenovo which is now the market leaders in the industry has gained the market leadership as the organisation has been very smart in terms of cost leadership along with the quality dimensions (Breen and Anerijo, 2011). 

 

Furthermore, as a result of the positive political atmosphere the global trade has been touching new extremes. Of particular significance are the emerging markets, particularly the Chinese market; however Dell failed to realise the growth potentials of such markets (Jing, 2012). On the other hand, the competitors of the firm, e.g., Lenovo has established effective and efficient distribution network whereas Dell is still concentrating on its direct model. Although, the direct market is successful, however the success of the model could only be realised in the Western countries (Hesseldahl, 2012). Furthermore, in terms of technological factors, the market has also changed. As the growth in personal computer has been approaching maturity, most of the market players have diversified in terms of technology. Most of the market players took an early edge over Dell by entering such segments and established a first mover advantage (Park, Burrow and Calif, 2003). Although, Dell now has some star products in such cutting edge technologies, the firm could not establish itself as the leader in innovation (Benner, 2010). 

 

5. Recommendations to Dell:

Dell could sustain its core competencies and the competitive advantage through aggressive investments in its resources and enhancing its capabilities. However, this depends on the top management support that could use their leadership skills and authority to provide direction and resources that the firm need for sustaining its competitive advantage (Benner, 2010). Furthermore, the firm should be maintaining an open perspective whereas the firm should be investing more in its resources, particularly R&D and product management teams. Leadership in innovation could be a major factor that will be dictating the success and failure in the computer and personal electronic devices (Breen and Anerijo, 2011). Furthermore, the firm should increase the coordination between the R&D, operation, marketing, and product management teams. Through better coordination between these three departments, the firm could effectively identify the needs and wants of the target market, developers need satisfying products that provide the real value, and deliver the product in a manner that is convenient for the firm's target market (Jing, 2012). The future of the firm thus depends on how best the firm will be creating synergies through concentric efforts. 

 

Furthermore, strategic alliances and merger and acquisition strategies are very popular in the industry as it helps in consolidating a firm's position in the market. On this front, Dell has been very weak (Euromonitor, 2011). The organisation could create real synergies that could boost the firm's competitive advantage in the market through effective use of strategic alliances and merger and acquisition strategies (Shah, 2010). Of particular significance could be the forward integration where the firm should be forming strategic alliances that could strengthen the firm distribution network in different parts of the world, particularly emerging economies. This is due to the fact that in emerging countries the ecommerce activities has not yet gained momentum and most of the products that consumers purchase in such countries are through conventional store environment, whereas Dell existing strength is its direct sales model (Benner, 2010). The direct sales model should be thus complimented in the emerging markets through the development of firm's own outlets and/or development of strong distribution network that could help the firm in the realisation of desired market penetration in these markets (Steigmeyer, 2012). 

 

6. Conclusion:

Dell Inc has many resources and capabilities that have made Dell one of the most powerful brands in the world. The core competencies of the firm are its supply chain, the direct sales model, the build to order operation,  and the low price leadership that the firm has been enjoying as a result of the low inventory carrying cost. However, as the competition in the industry has been touching new extremes, and the unprecedented technological revolution has been emerging with the passage of time, it is now extremely hard for Dell Inc to sustain its core competencies and hold back its market share. As a result of the massive changes taking place in the computer industry, the firm has been losing its market share which could be attributed to the inability of the firm to invest and sustained its core competencies, particularly dynamic capabilities. The future success of the firm much depends on how effective the firm sustained its core competencies by taking a dynamic perspective. The paper suggests that through development of supplier network, strengthening R&D and firm's innovative capabilities, ensuring desired coordination between R&D, operation, marketing, and product management teams, and using strategic alliances, merger and acquisition strategies the firm may regain its lost position in the industry. #p#分页标题#e#

 

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