Business Model and Information System of Dell Computers

7/31/2019 Business Model and Information System of Dell Computers

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BUSINESS MODEL AND INFORMATION SYSTEM

OF DELL COMPUTERS

INTRODUCTION:-

A business model describes the rationable of how

an organisation creates, delivers, and captures value (economic,

social, or other forms of value). The process of business model

construction is part of business strategy.

An information system (IS) - is any combination of informationsystem and people's activities that support operations, management

and decision making.

ABOUT DELL COMPUTERS:-

Dell Computer Corporationis a major manufacturer of personal

computers, computer peripherals, and software. Among the leading

producers of computers in the world, Dell sells its products directly tocustomers through the Internet and mail-order catalogs rather than

through retail outlets.

Dell was founded in 1984 by Michael Dell. In 1983, during his

freshman year at the University of Texas, he bought excess inventory

of RAM chips and disk drives for IBM personal computers from

local dealers.

The company soon began manufacturing its own IBM-compatible

computers under the name PCs Limited. Because Dell soldcomputers directly to users through advertisements in magazines and

catalogs, the company could price its machines lower than those sold

through retail stores.


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BUSINESS MODEL OF DELL COMPUTERS:-

1. Compliance With Laws and Rules:- For Dell, compliance is about

adhering to the local laws throughout their global business and to the

internal rules defined in their Code of Conduct. Effective and alignedcompliance programs are even more important during times of

economic uncertainty. Now, more than ever, their shareholders and

their stakeholders expect us to run their operations profitably, safely,

legally and ethically.

2. Credibility With Stakeholders:- Credibility is about making sure to

customers, employees, shareholders and other stakeholders know

and recognize Dells commitment to ethical and legal behavior. Bybinding their ethics and compliance efforts to their overall business

goals, they strive to inspire trust and aspire to be a role model in the

business world. They continue to learn from the many stakeholders

whose lives and businesses they affect.

3. Business Ethics Leadership Alliance:- In December 2008, Dell

was invited by the Ethisphere Institute to help launch the Business

Ethics Leadership Alliance (BELA) as a charter member and the key

representative from the technology industry. With a mission to

reinforce ethical principles and priorities, BELA aims to strengthen

worldwide confidence in free enterprise. Their participation magnifies

Dell's successes by sharing their own best practices and

consolidating efforts throughout their global business.

4. Open Compliance and Ethics Group:- They are founding member

of the Open Compliance and Ethics Group (OCEG), and continue as

an active Leadership Council Member. OCEG provides the goldstandard for best-practice ethics and compliance programs by

promoting Principled Performance. It places corporate culture at the

heart of its comprehensive guidance, standards, benchmarks and

tools for integrating governance, risk and compliance processes.


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INFORMATION SYSTEM OF DELL COMPUTERS:-

Information systems were critical to Dell. The information systems

supported the Dell.Direct business model by providing a range of tools

from order entry to production integration.Information systems

provided the means for delivery of instant information to employees

through e-mail or over the intranet. And information systems were a

way to connect suppliers to the business, to collect and analyze

information collected from the marketplace, and to support decisions

on everything from hiring practices to product offerings to pricing.

The backbone of the information system was an architecture called

"G2". The G2 architecture was an object-based infrastructure, with a

web browser front end interface. It had a single point of connection

and was built in small pieces.There was local control of functionality but

a global view of the business.The primary components of the G2

architecture were commonly available applications such as Microsoft

office, database engines, and Internet servers. The G2 architecture wassimilar in design to the Dell organization structure, which was also built

in small pieces, with local control but a global view of the business.

"We have to have an information architecture that can grow as fast as

our business grows," explained Gregoire.

The information systems were highly decentralized. No programmers

reported directly to the CIO. Instead, each division and business hadsome IT people.


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IT support Dell for making Business-

If Dell is an organic body then IT is blood of dell which transfer/provide

information to its functional part of its body.

IS use in DellThere are many function/Service provided by Dell like..

1. Cloud Computing and Virtualization.

2. Education Technology.

3. Global Service.

4. Efficient IT.

5. Security.

6. Storage.

SUBMITTED BY:-

VARUN KUMAR SINGH

12BSP1362

SECTION B

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Business Model and Information System of Dell Computers