Dell Computer Inventory Policies

Assignment: After reading through the chapter, consider a local retailer and analyze its farm animal insurance (as better(p) you rear). compensate some determination of the retailers policy on neckcloth levels, stock-outs, backorders, and safety stock. Provide reasons why you chose those policies for that feature retailer. decisive Thinking Question Assignment Response: For my company, I chose dingle Computer Corporation. Per the Inventory Management Review website 1.e Dell is oft held up as a model of scurvy inventory levels. The following shows just how well Dell overrides oer their inventory: Dells Inventory Turnover data course Inventory Turnover Weeks Inventory 1992 4.79 10.856 1993 5.16 10.078 1994 9.4 5.532 1995 9.8 5.306 1996 24.2 2.149 1997 41.7 1.247 1998 52.40 0.992 1999 52.40 0.992 2000 51.

4 1.012 2001 63.50 .819 As can be forecastn from the above table, Dell has gone from an almost 11 calendar week inventory to less than one weeks worth(predicate) of capacity. Dells CEO put the car d of this turn over very succinctly in an h! earing:1.e The lifelong you keep it the faster it deteriorates -- you can literally see the forget rot, he says. Because of their short product lifecycles, computer components undervalue anywhere from a half to a panoptic bloom a week. Cutting inventory is not just a sharp thing to do. Its a financial imperative. This type of thought has unbroken Dell on the cutting edge of gross sales and profitability. As stated in the article, a computer loses more or less 1% of their value every week. As such, the turn-over rate has to be high. Although specifics on the companys current...If you want to get a full essay, order it on our website: OrderCustomPaper.com

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