Jan 2, 2009

Well…. Well… Dell – Happy New Year!!

dell_logo_new_emea

Dell was one of those companies that seemed to be unaffected by all that was happening  in the outside world. It continued to post profits as the rest of the world fell. It was the epitome of Supply Chain Optimization pdf. Dell’s lean mean machine jumped into high gear and churned out more profits for its company. And on top of all this, Michael Dell’s famous speech saying that Dell still had loads to achieve in optimizing its supply chain – giving it direction towards reducing its emissions and cutting costs (further?) gave us the impression that nothing was going to stop Dell.

 

But time has a way of catching up with everything and everyone. And this Great Slump  that we are experiencing has brought Dell to its knees. Struggling imageto maintain profits, the Dell stock has seen a whirlwind of a year with a 58% decline in stock price as this chart points out. This chart is for the past year  and shows that the Dell stock has seen heights of $25 before dropping to an unprecedented low of $9.30 with the current price ($10.64) shown in the picture. Michael Dell is still confident of a turnaround in the company’s fortunes and is certainly taking measures to ensure this happens.

 

A very significant move that occurred over the new year is a management shuffle where Dell has made significant changes. Here are excerpts from a ZDNet article.

      • Mike Cannon, president of Dell’s global operations will retire on Jan. 31. Cannon was Dell’s supply chain guru. CEO Michael Dell hired Cannon from Solectron when he returned as chief executive. In many respects, Cannon has given Dell what it needed–insight into contract equipment manufacturing vendors, which are used more by Dell. Cannon will be replaced by Jeff Clarke, who leads the company’s business client product group. Clarke will become a vice chairman, global operations.
      • Mark Jarvis, Dell’s marketing chief, will leave at the end of Dell’s fiscal year and become a consultant. Jarvis came from Oracle and his move out may indicate that Dell is comfortable with its messaging today–previously the PC maker’s marketing was muddy at best. Jarvis’ job was to restore lust for Dell’s products and overall there is some yearning, but it’s far from unanimous. Erin Nelson, vice president of marketing, will become the chief marketing officer.

 

The guys moving up the ladder, also listed in ZDNet include the following.

      • Steve Schuckenbrock, currently president of global services and chief information officer, will lead Dell’s large enterprise unit.  It wasn’t immediately clear how Schuckenbrock will juggle those roles.
      • Paul Bell, president of Dell Americas, will lead the unit focused on the public sector.
      • Steve Felice, president of Dell’s Asia-Pacific and Japan business will become leader of an SMB group.

Let us hope that the fortunes turn around and Dell is back to its healthy self in 2009. Happy New Year Dell!!

Jan 2, 2009

Well…. Well… Dell – Happy New Year!!

dell_logo_new_emea

Dell was one of those companies that seemed to be unaffected by all that was happening  in the outside world. It continued to post profits as the rest of the world fell. It was the epitome of Supply Chain Optimization pdf. Dell’s lean mean machine jumped into high gear and churned out more profits for its company. And on top of all this, Michael Dell’s famous speech saying that Dell still had loads to achieve in optimizing its supply chain – giving it direction towards reducing its emissions and cutting costs (further?) gave us the impression that nothing was going to stop Dell.

 

But time has a way of catching up with everything and everyone. And this Great Slump  that we are experiencing has brought Dell to its knees. Struggling imageto maintain profits, the Dell stock has seen a whirlwind of a year with a 58% decline in stock price as this chart points out. This chart is for the past year  and shows that the Dell stock has seen heights of $25 before dropping to an unprecedented low of $9.30 with the current price ($10.64) shown in the picture. Michael Dell is still confident of a turnaround in the company’s fortunes and is certainly taking measures to ensure this happens.

 

A very significant move that occurred over the new year is a management shuffle where Dell has made significant changes. Here are excerpts from a ZDNet article.

      • Mike Cannon, president of Dell’s global operations will retire on Jan. 31. Cannon was Dell’s supply chain guru. CEO Michael Dell hired Cannon from Solectron when he returned as chief executive. In many respects, Cannon has given Dell what it needed–insight into contract equipment manufacturing vendors, which are used more by Dell. Cannon will be replaced by Jeff Clarke, who leads the company’s business client product group. Clarke will become a vice chairman, global operations.
      • Mark Jarvis, Dell’s marketing chief, will leave at the end of Dell’s fiscal year and become a consultant. Jarvis came from Oracle and his move out may indicate that Dell is comfortable with its messaging today–previously the PC maker’s marketing was muddy at best. Jarvis’ job was to restore lust for Dell’s products and overall there is some yearning, but it’s far from unanimous. Erin Nelson, vice president of marketing, will become the chief marketing officer.

 

The guys moving up the ladder, also listed in ZDNet include the following.

      • Steve Schuckenbrock, currently president of global services and chief information officer, will lead Dell’s large enterprise unit.  It wasn’t immediately clear how Schuckenbrock will juggle those roles.
      • Paul Bell, president of Dell Americas, will lead the unit focused on the public sector.
      • Steve Felice, president of Dell’s Asia-Pacific and Japan business will become leader of an SMB group.

Let us hope that the fortunes turn around and Dell is back to its healthy self in 2009. Happy New Year Dell!!