Question 1
Using framework from the chapter, analyse the strategic capabilities of Dyson.
Dyson’s Value Chain Model Support
Activities
FirmInfrastructure | Structuring and planning, HQ in UK, manufacturing and testing facility in Malaysia with 120 testing station, patent protection, management, corporate commitment to product development supported by company motto: thinking, testing, breaking, questioning. 350 engineers in Wilshire with 20 specialist laboratories close by. | INFORMATION FLOW
Human ResourceManagement | Up-to-date employee details, training, reward scheme, 2500 people working for Dyson around the world, recruitment follows an online process, the right candidate will be called for an interview, recruitment strategy focuses on recruitment of engineers and designers | TechnologyDevelopment | Margin
Helps in R&D, which is the key operation, ERD and IRM to manage the information flow within the company, a wide selection of technology involve in production process and technological innovation. Dyson’s technology: multiplier technology and ball technology. | Procurement | Raw materials procure from the UK and Asia. Majority of procurement come from Asia where suppliers are based and cost are low. The material is shipped to Dyson’s manufacturing plant in Malaysia. Malaysia is on of the leading procurement centres in the world. | Primary
Activities
Inbound logistics | Connected with suppliers, so that they can meet the needs, raw materials, energy, inventory management, reverse logistics process as defective product can be returned to Dyson company at the cost to the customer. The product will be return within 24h to the customer. | Operations | Avoiding unwanted operations and thus enhance the
References: Campbell, D., Stonehouse G et al. (2002) Business Strategy-An introduction, 2nd edition, page 40-50, [Accessed on 10/11/2011] Dess, G.G., Lumpkin, G.T., et al., Strategic Management (Boston, McGraw Hill, 2004) pp Grand, R.M., Contemporary Strategy Analysis (Cambridge, England: Blackwell Business, 1991), pp. 100-102, [Accessed on 10/11/2011] Grant R Hitt M.A., Ireland R.D., et al. Strategic Management: Competitiveness and Globalization, 4th ed. (Cincinnati, OH: South-Western College Publishing, 2001), [Accessed on 17/11/2011] Musa, Z., 2009 M Porter (1990), Competitive Advantage of Nations, Free Press, [Accessed on 10/11/2011] M.E Porter (1985) Competitive Advantage: New York: Free Press, [Accessed on 10/11/2011]