Some Aspects Of Dell's Enterprise Management Strategy

With the market circumstance changing from seller's marker to buyer's market, the theory of enterprise management has changed from the firm theory, which was popular in 1920s to the demander theory. The theory of enterprise management is the basis of enterprise management strategy. Enterprise management strategy based on the demander theory is called the demander strategy. The demander strategy focuses on the value of customers. Supporters of the demand strategy believe: The essence of management is managing not a mix of products or assets but the mix of customer relationships. Focus on profitable customer relationships to gain higher investment profit. To find new customer value, in fact, is to create higher value for shareholders. Take technology as an effective method to know what customers need, when they will need and how they want to get. Great changes have taken place in the world economy since 1990s. The development of science and information makes information technology, computer and Internet become main power of the development of economy. This kind of economy is called information economy, which is characterized by information and velocity. Even though many enterprises have realized the importance of the demander strategy, the coming of information economy presents them a new question: how to effectively implement the demander strategy in the age of information economy.Dell is the representative of successful implementation of the demand strategy. The essay gives a detailed analysis on Dell's strategy idea, competition strategy, marketing strategy, culture strategy and Dell's development in China. Dell, founded in 1984, now is the largest PC manufacturer in the world with 41800 employees and annual revenue of $38.2 billion in 2003. Focusing on customers and dedication to provide best consumption experience is the basis of Dell's success. The direct model is the origin of Dell's competitive power. With the power of direct model, Dell isable to have the firsthand feedbacks, so as to develop product form the customers' points of view, deliver the appropriate products and improve the present program according to customers" needs and provide its customers with superb value; high-quality, relevant technology; customized systems; superior service and support; and products and services that are easy to buy and use. By means of direct information system based on Internet, Dell keeps a close and simple relationship with its suppliers and shares information on customer experience, inventory, new trend of technology with them. The suppliers can acquire the demand information of Dell in real time, while Dell is able to control the supply and adjust its production at the same time. Trade information with inventory reduces the inventory to 4 days, which brings customers the advantage of price-cutting parts. Building winning culture and develop one strategy-focus on customers and be direct, and share with all employees by means of Intranet, e-mail, letters and call. Dell's marketing strategy is made from the point of view of customer experience, which includes customer solutions, customer cost, convenience and communications. Dell also focuses on its people and provides them comprehensive training and development opportunities; Communicate fast and deep, avoid bureaucracy and speak frankly about problems and where needs to do better. This essay also analyzes the development and achievement of Dell in China and points out the aspects the Chinese PC enterprises need improve and learn from: online selling is necessity; know what is customers really need; improve competitive power by enforcing the management of supply chain; diversity needs developing cautiously.Finally, Dell's success results from the successful implementation of demander strategy, results from the effective share of information via Internet, and results from the management of supply chain. The management strategy of Dell builds a model for the operation of other enterprises in the age of information economy and its competition strategy, mar...