No Man Is an Island Essay

335 WordsJul 31, 20142 Pages
1. Case Study: DELL has manufacturing facilities all over the world. They follow a concept of Build to Order, where in, the manufacturing or assembly of laptop is done only when the customer places an order on the web and confirms payment. DELL buys parts and accessories from various vendors. DELL has taken the initiative to work with third party service providers (3PL) to set up warehouses adjacent to their plants. The third party maintains the inventories of all parts on behalf of more than two hundred Dell’s suppliers in their warehouse for a fee. When DELL receives a confirmed order for a Laptop, the system generates a Bill of Material, which is downloaded at the 3PL, processed and materials are arranged in the cage as per assembly process and delivered to the manufacturing floor of DELL directly. At this point of transfer only, the recognition of sale happens from the Vendor to Dell. Until then, the supplier himself at his expense holds the inventory. a. Which kind of production system is being followed at DELL? b. What are the advantages and disadvantages of this type of production system? c. Point out three advantages each to DELL and the suppliers from adopting this production system? d. Which type of production system you prefer- Continuous or Intermittent; and why? 2. A shift in consumer tastes to tablets continues to take its toll on the personal computer industry. Research firms Gartner and IDC estimated that global PC shipments fell by about 11% in the second quarter of 2013. Sales have now declined for five consecutive quarters. More people turn to touch-based tablets and smart phones rather than PCs to tap into the Internet and carry out other computing tasks which is

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