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NAME :

INTAKE CODE :

MODULE CODE AND NAME : BM007-3-1-IMT (Introduction to Management)

DATE OF SUBMISSION : 01 November 2010


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Table of Contents

Sno Topic Page Nos

1 Introduction 1

2

Mega Environment ( Legal Political and Technological

Element ) 2-3

3Task Environment ( Customers and Clients andCompetitors ) 4-5

4 Conclusion 6

5 References 7-8

6 Group Task Report 9


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IntroductionDell Incorporated is a multinational information technology

corporation that develops, sells and supports computers and

related products and services. [1] It is the worlds leading

direct seller of computer systems which has employed more

than 96,000 people and is serving worldwide in almost 180

countries. Dell Inc. was founded by Michael Saul Dell on 4th

November 1984 in Austin, Texas with the former name PCs

Limited. In 1988, the new name Dell Computer Corporation was adopted and they began

expanding globally. In 2003, it was rebranded Dell Inc. in a means to recognize the

companys expansion beyond computers.

Dells mission is to deliver innovative and cost-effective solutions to their customers. They

believe in a very simple concept, which is by direct selling of computer systems the company

could best understand the customers needs and efficiently provide the most effective

computing solution to meet their requirements. [2]

Dell follows very closely the American corporate culture. Every employee is required to

speak English. They emphasize on team work. Every person in the organization is believed to

contribute significantly to the brainstorming process. [4]

To increase effectiveness and efficiency of its output, Dell emphasizes on the scientific

management introduced by Frederick W. Taylor which focuses on job division and

responsibility. Each employee has to take responsibility of their actions.

However, business operations might be affected in either a positive or negative way since the

markets are changing all the time. Therefore, it is extremely important to take intoconsideration the mega and task environment.

Figure 1


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Mega EnvironmentThe Mega Environment consisting ofTechnological, Economic, Legal-political, Socio-

cultural and International Elements is the general environment reflecting the conditions and

trends in the societies and markets within which an organization operates.

Sociocultural Element

Peoples nowadays need to be extremely vigilant about the environment, Global Warming

being the major concern. Very often people tend to take things for granted and neglect the

seriousness of this issue. Dell has proved to be an environmentally friendly company by

promoting earth friendly products. Dell was the first company in the IT industry that

established products recycling programme. In 2007, Dell was awarded the National

Recycling Coalitions ninth annual Recycling Works Award for theirefforts. Dell now has

set a goal of becoming the greenest technology company.

Dells objective is to minimize the stress on the envi ronment

simultaneously achieve speed, responsiveness and cost savings. From

the time we conceive and design a product to the point when that product

is responsibly recycled, we seek to minimize our companys impact on

the world and empower our customers to join us, said Michael Dell. [3]

Dell tends to conserve product energy consumption, reduce or eliminate materials for

disposal, prolong product life span and provide effective and convenient equipment recovery

solutions.

Dell believes no computer should go waste. Hence, people are advised to keep technology out

of the trash. To ensure the resale and recycling of obsolete or excess computer systems, Dell

provides Asset Recovery and Recycling Services. The options include recycling, donation,

value recovery, and lease return.

Throughout this campaign, Dell helps customers to decrease electricity usage and system

operating costs as well as educating them to become effective environmental stewards.

Figure 2


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Technological Element

The technological element reflects the current state of knowledge regarding the production of

products and services. With the expanding internet technology, Dell took this opportunity to

expand its business globally by allowing customers to purchase products via internet.

Today technology is changing every day. Every single product comes out with a better

technology. In order to remain competitive, it is extremely important for Dell to stay updated

about the latest technologies and the development of new technologies. This will ensure that

Dell could keep on delivering the newest technologies.

However, pricing competition in China is the greatest war in the world. And this restricts Dell

from achieving high levels of market share in China.

Due to the wide range of competition in China, most

of the technological products are cheap in cost and

price. In order to compete with the markets, Dell

started offering low end products. In fact, this is

such a flaw because the only way to achieve market share is through good quality higher end

products.

Therefore, Dell should innovate for low price to high quality products to move with theshift that is currently happening in China. [4]

Figure 3


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Task EnvironmentThe Task Environment consisting ideally of the Customers and Clients, Competitors,

Labour, Suppliers and Government Agencies includes sectors with which the organization

interacts directly and that have a direct impact on the organizations ability to achieve its

goals. The organization interfaces with these elements in the course of conducting its

business. These conditions are not stable but are volatile. [5]

Customers and Clients

Customers and Clients of an organization are those individuals and organizations that

purchase its products and/or services. It has become increasingly important to stay up-to-date

with the needs and demands of the customers as they are crucial to the organizations success,

reputation and sales. They are the recipients of the Organizations output (Products /

Services).

According to a recent survey, more than 37% of Business owners watch video on YouTube.

Dell hopes to reach out to those people with their new YouTube channel: IT Solutions for

Business. The channel

highlights several

business innovators

that have chosen Dell

to help them in their

success. In addition, the

channel also features

almost 200 select

videos aligned to

technologies and

solutions. They also have a feedback system that helps users determine what type of video

content they would like to include to the channel. [6]

The malicious and criminal use of cyberspace or cyber crime as it is commonly called is

widespread these days. Cybercriminals have become a permanent part of the Internets

ecosystem and they are responsible for financial losses and putting critical infrastructures at

risk. It is thus critical at this point of time for companies to quickly move to a process

driven model to respond to threats and manage these risks. Companies need to be flexible

Figure 4


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enough to accommodate the users evolving and complex needs, simultaneously providing and

maintaining a safe environment. [7]

Dell takes these challenges seriously and strives to protect its customers and business

partners. They have begun investigating innovative ways to develop a secure supply system

and to integrate security encryption and other technologies into their hardware and security

services.

Students these days are looking for lighter, cheaper and convenient systems that could help in

their coursework and at the same time be easy to carry around. Netbooks are a good choice

for this. Dell should work more on the production of netbooks thereby targeting effectively

the younger market as well.

Competitors

Competitors are other organizations in the same industry or type of business having the same

target market. The organization needs to keep abreast of what their competitors are doing.

This could be done by obtaining information from news clippings, help wanted ads,

business reports, and advertisements. They have to keep a track on the latest products or

services and upgrades being brought about by their competitors.

Dells major competitors include HP, Sun Microsystems, Gateway, Lenovo, Sony, Acer,

Toshiba and Asus. One major concept of Dell that has given the company an upper hand over

its competitors is the Direct Customer Contact. They have been able to be at the top of the

industry by delivering the best possible customer experience by directly selling products and

services online. Michael Dell, the founder of the company uses a variety of approaches like

chatting, talking to people and being part of discussions to keep an update on the happenings

of the industry, the competitors and the likes and dislikes of the consumers.

A Tablet PC is a portable personal computer equipped with

a touch screen as the primary input device. The four forms

of tablet PCs are Booklets, Convertibles, Slates and

Hybrids. Dell has its product launched in terms of Slates

and Convertibles, but it hasnt yet entered the Hybrid

market. Its major rivals HP and Lenovo have already

inculcated this technology into their products. Dell should thus venture into this product inthe near future.

Figure 5


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ConclusionIn the PC business, competition is extremely intense. Dell needs to maintain their valuable

customers. In order for Dell to sustain its competitive advantage, customer relationshiphas

become the most important management strategy.

Dell Computer Companys direct-to-customer sales service business model is the key to the

companys dramatic growth and success. Dell provides products, technologies, solutions, and

services to individuals of different sectors such

as home, public sector, small and medium sized

businesses, and large enterprises worldwide.

The direct model enables Dell to develop a

complete understanding of what are their

customers expectations thereby assisting them

strengthen customer relationships and increases

customer satisfaction and loyalty. It also helps

eliminate the middleman and offers customers

more powerful configured systems at better prices.

One of the most distinguishing features of Dell that is a critical success factor is that they

provide the mode to customize computers based on the customers requirements on systems,

software, hardware, and also the appearance of the computer casing and the mode of delivery

of the system.

Dell always initiated ways to overcome its weaknesses and use its strengths to gain advantage

over its competitors. Careful analysis of the various factors and business strategies that

contributed to the companys success and subsequent implementation of them created the

path for the companys continued success. Thus the present leader is surely to be credited and

appreciated for the success of the organization.

In order to achieve more success, Dell must be aware of the benefits they wish to achieve,

how it will be realized and they must ensure appropriate investments of resources to obtain

these benefits. Consumer awareness surveys should be conducted to ensure the positive

image that Dell has created for itself is maintained.

Figure 6


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References Richard L. Daft, Dorothy Marcic (2008) Understanding Management. 6th ed. United

States: South Western Educational Publishing.

Vadim Kotelnikov (2009) Case Study: Dell Computer Corporation [Online]. NA:1000 Ventures. Retrieved from:

http://www.1000ventures.com/business_guide/cs_im_dell.html [Accessed October

2010].

1. Anon. (2010)Dell [Online]. US: Soft Serve. Retrieved from:http://www.softserveinc.com/methodology/technology-partners/ [Accessed October

2010].

2. Dell, 2010, AboutDell|History | Dell sterreich, [online], Available fromhttp://www.euro.dell.com/content/topics/global.aspx/about_dell/company/history/hist

ory?~ck=ln&c=at&l=de&lnki=0&s=corp[Accessed 4th

October 2010]

3. Dell, 2007, Go Green with Dell, [online] , Available fromhttp://www.dell.com/content/topics/global.aspx/vectors/en/2007_go_green_with_dell

?c=us&l=en&cs=555[Accessed 15th

October 2010]

4. Jacob Augustine (2010)Dells Corporate Culture [Online]. US: Pacific LutheranUniversity. Retrieved from:http://www.plu.edu/~augustja/doc/dell-corporate.doc

[Accessed 26th October 2010].

5. Anon. (2010)Define Task Environment[Online]. US: Google. Retrieved from:http://googledefinition.com/definition-of/task-environment [Accessed October 2010].

6. DELL-Laura (2010) Bringing Innovators and Technology for Business to YouTube [Online]. US:Dell. Retrieved from:http://en.community.dell.com/dell-

blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-

for-business-to-youtube.aspx [Accessed September 2010].
http://www.1000ventures.com/business_guide/cs_im_dell.htmlhttp://www.1000ventures.com/business_guide/cs_im_dell.htmlhttp://www.softserveinc.com/methodology/technology-partners/http://www.softserveinc.com/methodology/technology-partners/http://www.euro.dell.com/content/topics/global.aspx/about_dell/company/history/history?~ck=ln&c=at&l=de&lnki=0&s=corphttp://www.euro.dell.com/content/topics/global.aspx/about_dell/company/history/history?~ck=ln&c=at&l=de&lnki=0&s=corphttp://www.euro.dell.com/content/topics/global.aspx/about_dell/company/history/history?~ck=ln&c=at&l=de&lnki=0&s=corphttp://www.dell.com/content/topics/global.aspx/vectors/en/2007_go_green_with_dell?c=us&l=en&cs=555http://www.dell.com/content/topics/global.aspx/vectors/en/2007_go_green_with_dell?c=us&l=en&cs=555http://www.dell.com/content/topics/global.aspx/vectors/en/2007_go_green_with_dell?c=us&l=en&cs=555http://www.plu.edu/~augustja/doc/dell-corporate.dochttp://www.plu.edu/~augustja/doc/dell-corporate.dochttp://www.plu.edu/~augustja/doc/dell-corporate.dochttp://googledefinition.com/definition-of/task-environmenthttp://googledefinition.com/definition-of/task-environmenthttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://googledefinition.com/definition-of/task-environmenthttp://www.plu.edu/~augustja/doc/dell-corporate.dochttp://www.dell.com/content/topics/global.aspx/vectors/en/2007_go_green_with_dell?c=us&l=en&cs=555http://www.dell.com/content/topics/global.aspx/vectors/en/2007_go_green_with_dell?c=us&l=en&cs=555http://www.euro.dell.com/content/topics/global.aspx/about_dell/company/history/history?~ck=ln&c=at&l=de&lnki=0&s=corphttp://www.euro.dell.com/content/topics/global.aspx/about_dell/company/history/history?~ck=ln&c=at&l=de&lnki=0&s=corphttp://www.softserveinc.com/methodology/technology-partners/http://www.1000ventures.com/business_guide/cs_im_dell.html


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7. DELL-Pam C (2010) Two Sides of the Coin: Cyber Benefits and Cyber Threats [Online]. US: Dell. Retrieved from:http://en.community.dell.com/dell-

blogs/Direct2Dell/b/direct2dell/archive/2010/09/23/two-sides-of-the-coin-cyber-

benefits-and-cyber-threats.aspx[Accessed September 2010].

Figure 1:https://www.dosd.dell.com/portal/en/Home.aspx

Figure 2:http://thepirata.com/college-dropouts-who-became-billionaires/

Figure 3:http://www.engadget.com/2007/03/21/chinese-dudes-and-dudettes-get-

cheap-dell-desktop/

Figure 4:http://en.community.dell.com/dell-

blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-

technology-for-business-to-youtube.aspx

Figure 5:http://www.techgadgets.in/tablet-pcs/2009/10/dell-latitude-xt2-convertible-

tablet-pc-announced/

Figure 6:http://e-learning.dmst.aueb.gr/mis/Cases/Dell/Case/overview.htm

Video: http://www.youtube.com/dellbusiness
http://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/23/two-sides-of-the-coin-cyber-benefits-and-cyber-threats.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/23/two-sides-of-the-coin-cyber-benefits-and-cyber-threats.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/23/two-sides-of-the-coin-cyber-benefits-and-cyber-threats.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/23/two-sides-of-the-coin-cyber-benefits-and-cyber-threats.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/23/two-sides-of-the-coin-cyber-benefits-and-cyber-threats.aspxhttps://www.dosd.dell.com/portal/en/Home.aspxhttps://www.dosd.dell.com/portal/en/Home.aspxhttps://www.dosd.dell.com/portal/en/Home.aspxhttp://thepirata.com/college-dropouts-who-became-billionaires/http://thepirata.com/college-dropouts-who-became-billionaires/http://thepirata.com/college-dropouts-who-became-billionaires/http://www.engadget.com/2007/03/21/chinese-dudes-and-dudettes-get-cheap-dell-desktop/http://www.engadget.com/2007/03/21/chinese-dudes-and-dudettes-get-cheap-dell-desktop/http://www.engadget.com/2007/03/21/chinese-dudes-and-dudettes-get-cheap-dell-desktop/http://www.engadget.com/2007/03/21/chinese-dudes-and-dudettes-get-cheap-dell-desktop/http://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://www.techgadgets.in/tablet-pcs/2009/10/dell-latitude-xt2-convertible-tablet-pc-announced/http://www.techgadgets.in/tablet-pcs/2009/10/dell-latitude-xt2-convertible-tablet-pc-announced/http://www.techgadgets.in/tablet-pcs/2009/10/dell-latitude-xt2-convertible-tablet-pc-announced/http://www.techgadgets.in/tablet-pcs/2009/10/dell-latitude-xt2-convertible-tablet-pc-announced/http://e-learning.dmst.aueb.gr/mis/Cases/Dell/Case/overview.htmhttp://e-learning.dmst.aueb.gr/mis/Cases/Dell/Case/overview.htmhttp://e-learning.dmst.aueb.gr/mis/Cases/Dell/Case/overview.htmhttp://www.youtube.com/dellbusinesshttp://www.youtube.com/dellbusinesshttp://www.youtube.com/dellbusinesshttp://e-learning.dmst.aueb.gr/mis/Cases/Dell/Case/overview.htmhttp://www.techgadgets.in/tablet-pcs/2009/10/dell-latitude-xt2-convertible-tablet-pc-announced/http://www.techgadgets.in/tablet-pcs/2009/10/dell-latitude-xt2-convertible-tablet-pc-announced/http://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/24/bringing-innovators-and-technology-for-business-to-youtube.aspxhttp://www.engadget.com/2007/03/21/chinese-dudes-and-dudettes-get-cheap-dell-desktop/http://www.engadget.com/2007/03/21/chinese-dudes-and-dudettes-get-cheap-dell-desktop/http://thepirata.com/college-dropouts-who-became-billionaires/https://www.dosd.dell.com/portal/en/Home.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/23/two-sides-of-the-coin-cyber-benefits-and-cyber-threats.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/23/two-sides-of-the-coin-cyber-benefits-and-cyber-threats.aspxhttp://en.community.dell.com/dell-blogs/Direct2Dell/b/direct2dell/archive/2010/09/23/two-sides-of-the-coin-cyber-benefits-and-cyber-threats.aspx


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Group Task ReportGroup Members:

No. Task / Description / Responsibility Name & Signature

1 Task EnvironmentIntroduction and Customers and

Clients

Compilation and Editing of individual works

2 Mega EnvironmentTechnological Element

3 Introduction to the organization Mega EnvironmentIntroduction and Legal Political

Element

4 Discussion about the success of the organization and

conclusion

Task EnvironmentCompetitors

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