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Dell, Incorporated: An Organizational Analysis - Essay Example

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Dell conducts its operations worldwide and is managed in three geographic segments where it distributes its products: the Americas; EMEA (Europe, Middle East, and Africa); and APJ (Asia Pacific and Japan). The Americas Region which is based in Round Rock, Texas covers the United States, Canada, and Latin America…
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Dell, Incorporated: An Organizational Analysis

Download file to see previous pages... Dell's produces its diverse products on its manufacturing facilities located in: Austin, Texas; Winston-Salem, California; Lebanon, Tennessee; Eldorado do Sul, Brazil; Limerick, Ireland; Penang, Malaysia; and Xiamen China (Dell Annual Report 2005)
As stated above, the production activities of Dell are conducted in seven locations worldwide. From this, it can be seen that the manufacturing operation of the company is highly decentralized. The company does not utilize a single production plant to manufacture all its products. Instead, it opts to establish manufacturing facilities in order to reap specific business opportunities present in a region.
The geographical locations of the manufacturing plants are very much strategic as they embody the primary business model and strategy of Dell which is cost leadership. For example, Brazil is chosen as a site for production because of "its sophisticated labor force, its economic incentives to attract technology manufacturing companies in the region, and its strategic location as an export hub to other South American countries" (Mahoney, 1999).
The decentralization of production enables Dell to customize its products according to customers' specifications. This is also strongly in line with the company's efforts of motivating employees through empowerment. These factors hinder Dell in confining its manufacturing activities in a single location.
Does it standardize products or adapt them for different markets
Dell strongly boasts its strategy of customizing its product and services according to the specification of the customers. The company recognizes that each customer should be provided only with the products and services which suit their specific needs. Thus, the company has installed a direct business model in order to specifically address each customer's wants.
The company's website states that "Culture plays a significant role in companies that do business around the world. Dell's goal is to be great globally while being mindful of local issues and culture" (Dell Incorporated 2006). It can be seen that the computer manufacturer follows this commitment closely when conducting its operations globally. Dell does not often deal with the question of tailoring its products to its specific market as it is imperative. The company often deals with the issue of adapting its direct business model to a specific market. It can be seen that Dell painstakingly takes into account the culture of its host country. It can be recalled that Dell ...Download file to see next pagesRead More
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