Environmental Analysis: Dell Technology
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An organizations external environment has three components: the remote environment, the industry environment, and the operating environment. Please conduct an environmental analysis of Dell Computer. Describe several major changes that you expect to have a major impact on the remote, industry, and operating environments over the next 10 years or so. Also include an internal analysis. Based on your analysis, please create a set of long-term objectives for the organization.
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Solution Summary
This solution discusses the three components of an organizations external environment (remote, industry and, operating). The expert conducts an environmental analysis of Dell Computer, and describes several major changes.
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As a technology, the Internet is used to conduct business transactions between companies, as well as between companies and their customers. According to Dell Computer Corporation's CEO Michael Dell, the Internet also has great potential as a business-organisation system. Dell Computer uses this technology to reduce its paperwork flow, to more efficiently schedule its payments and to coordinate its inventories (operating environment). Dell accomplishes these tasks by linking personal computers with network servers, which the firm's CEO believes have the potential to revolutionise business processes "in a way that blurs traditional boundaries between supplier and manufacturer, and manufacturer and customer. This will eliminate paper-based functions, flatten organization hierarchies, and shrink time and distance to a degree not possible before." Thus, a competitive advantage may accrue to the company that is capable of deriving full value from the Internet in terms of both e-commerce and e-business activities (transactions taken to process the firm's workflow).
While the Internet was a ...
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