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A Comparison of the Operations Management of Two Companies: Dell (Mpo) & Tesco (Cpo & Ipo)

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A Comparison of the Operations Management of Two Companies: Dell (Mpo) & Tesco (Cpo & Ipo)
MANM098 OPERATIONS MANAGEMENT | Operations Management Assignment | A group report assessing the Operational Strategies of Dell and Tesco | GROUP 9:Miss Sirada Udomsak (6225345)Mr Farhan Khan (6243110)Mr Mohamad Basil Abutaha (6067107)Mr Francesco Tenero (6241237)Mr Zohair Ashfaq (6238307)Mr Iker Santos (6238488)Mr Matthias Gerz (6199999)Mr Zach Willis (6080774) | 12/17/2012 |

Table of Contents INTRODUCTION 2 COMPANY PROFILES 2 2.1 Dell 2 2.2 Tesco 2 COMPETITIVE ADVANTAGE ANALYSIS 3 3.1 Definition 3 3.2 Dell 3 3.3 Tesco 6 ORDER WINNERS ACHIEVEMENT 8 4.1 Cost 8 4.1.1 Dell 8 4.1.2 Tesco 10 4.2 Flexibility 12 4.2.1 Dell 12 4.2.2 Tesco 13 ORDER QUALIFIERS ACHIEVEMENT 15 5.0.1 Definitions 15 5.1 Dell 15 5.2 Tesco 17 COMPARISON 18 CONCLUSION 19 APPENDICES 20 REFERENCES 24

INTRODUCTION
The aim of this assignment is to compare and contrast the competitive advantages between a material processing operation and a customer processing operation, namely Dell and Tesco through the Neely criteria (2008). Both of these companies use a mix of customer (CPO), materials (MPO) and information (IPO) processing. The transformation of all of these resources is considered, usually with one holding quintessential importance in the entire operations (Slack et al., 2010).
COMPANY PROFILES
2.1 Dell
Dell currently is the fourth largest PC vendor in the world by market shares (see Appendix A) and is mainly a material processing operation (MPO). It primarily sells computers through its online store, however recently they have moved to retail selling (Hachman, 2006) this contrasts with their biggest competitors such as HP who have a big retail presence.
2.2 Tesco
Tesco is currently the third largest supermarket retailer in the world (National Retail Federation Store, 2011) and first in the UK (see Appendix B) which focuses on customer processing operations (CPO).

COMPETITIVE ADVANTAGE ANALYSIS
3.1 Definition
Competitive



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[Online] Available at: http://www.computerweekly.com/news/2240163025/Tesco-signs-65m-datacentre-deal-as-it-expands-online (Accessed: 29 November 2012). Hachman, M. (2006) Dell Plans to Open Retail Store. [Online] Available at: http://www.pcmag.com/article2/0,2817,1966610,00.asp (Accessed: 9 December 2012). Harrison, A. and van Hoek, R. (2008) Logistics management and strategy: competing through the supply chain. Harlow: Pearson Education Limited. Heizer, J. and Render, B., (2010). Operations Management. Tenth edition. New Jersey: Pearson. HP (no date) Hewlett Packard. Available at: www.hp.com (Accessed: 21 November 2012). Industryweek (2012) Market-Driven Demand Management. Available at: http://www.industryweek.com/companies-amp-executives/market-driven-demand-management (Accessed: 4 December 2012). J Sainsbury 's (2012) Annual Report 2012. London: J Sainsbury 's. Jones, P. and Robinson, P. (2012), Operations Management. First edition. Oxford, Oxford University Press. Kapuscinski R., Zhang Q. R., Carbonneau P., Moore R., Reeves B., (2004), “Inventory Decisions in Dell`s Supply Chain”, Interfaces, Vol. 34, No 3, pp. 191-205. Kumar S. and Craig S., (2007) “Dell, Inc.’s closed loop Supply Chain for computer assembly plants”, Information Knowledge Systems Management, (6), p. 197–214. Kam City, (2012) Key Note (2012) Computer hardware Market update. 10th Edition. Hampton: Key Note. Key Note [Online] Available at: http://www.keynote.co.uk (Accessed: 20 November 2012). Neely, A. (2008) Business Performance Measurement: Unifying Theory and Integrating Practice. 2nd edition, Cambridge: Cambridge University Press. Mason, K. and Spring, M. (2011) “The sites and practices of business models”, Industrial Marketing Management , 40(6), pp. 1032 – 1041. Mauch, P.D. (2009) Quality management: theory and application. Boca Raton: CRC Press. [Online] Available at: http://www.crcnetbase.com/isbn/9781439813812. (Accessed: 1 December 2012). Microsoft, (2011). 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[Online] Available at: http://www.tescoplc.com/index.asp?pageid=187&mediastart=11&mediaid=314 (Accessed 15 December 2012). Times, 100. (2012). Developing appropriate leadership styles. Available at http://businesscasestudies.co.uk/tesco/developing-appropriate-leadership-styles/management-and-leadership.html#axzz2DFlk6Qe6 (Accessed: November 20, 2012). University of Oxford, (2004). Assessing the Productivity of UK Retail Sector. General Research. Oxford: University of Oxford. Wisson, C. (2012). Pricing and Promotions in Food and Drink. Mintel. Whiteaker, J Zuke, E. (2010) “Tesco takles peak time staff shortages”. The Grocer. [Online]. Available at: http://www.thegrocer.co.uk/companies/tesco-tackles-peak-time-staff-shortages/213794.article (Accessed: 16 December 2012).

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