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Essay / Business Process Analysis and Measurement Document
Business Process Analysis and Measurement Document Within the successful planning and execution of every leading business today lies the underlying factor underlying operational management. Although, in the beginning, most of the companies that focused on this area were manufacturing companies, this innovative idea has reached the service and retail sector. From creating software to computers, Dell has grown over the past 20 years to become one of the world's leading technology innovators. In 2006, Dell achieved a crucial goal and was named to the Fortune 500 list, a coveted seat among all companies. How does Dell achieve such endurance? “Direct relationships with our customers give us the advantage of seeing changing customer requirements and needs sooner than companies that do not have the same extent of direct relationships” (Dell, 2009). Customer satisfaction is just one of many areas Dell focuses on; from developing new and efficient processes to in-depth performance measurements, Dell strives to excel in every area. Four Processes In 1994, Dell was a struggling PC maker, like every other PC maker. Dell ordered components in advance and had a large inventory of components; this is when Dell began to invent a new business model (Byrnes, 2003). The new business model bypassed the idea of a make-to-order process with direct sales to customers. This change generated a significant amount of cash that Dell used to fuel the company's growth. Today, in Dell's day-to-day business, the organization uses multiple processes to function best on a daily basis. Account selection is a process that Dell deliberately implemented to select customers with relatively conventional purchasing patterns and low service costs. The demand management process that Dell integrated into its daily business cycle was the motto “Sell what you have.” Dell developed this motto for the core function of matching incoming demand to forecast supply. Another important daily business process that Dell has integrated into its business is product lifecycle management. Since Dell's customers were largely high-end buyers favorable to new technologies, Dell's marketing focused on managing product life cycle transitions. Supplier management is also a key part of Dell's daily business process. Dell's manufacturing systems featured multiple combinations of make-to-order and buy components to plan processes..