It was announced yesterday that Dell are cutting 100 jobs in Ireland. Hmmmm…
Dell is a company in trouble that is desperately trying to reinvent itself. However, my experience is that Dell is a company that is also deluding itself and incurring potentially large amounts of avoidable costs through poor management of processes and poor information quality.
Regular site visitors may remember my “Dell Hell” posts. I haven’t posted much on this recently, which may give the impression that this issue has been resolved.
Has it f**k. 5 months after I took delivery of the laptop Dell still have not completed manufacturing it to the specification I ordered. I am dealing with a single named person in Dell at this stage. 4 weeks ago I spoke to her and she undertook to send an other graphics card to me. She then emailed confirmation that she had done this to my work email address (which I’d specifically asked not be used).
4 weeks (and 2 emails from me) later I haven’t had an acknowledgement or confirmation that anything is happening and I still don’t have the laptop I ordered and am paying for. This is NOT rocket science but Dell can’t get it right.
To date I estimate that on a â‚¬1500 laptop Dell have spent the best part of â‚¬1000 to not fix my problem and continue to piss me off. If we assume that the laptop cost Dell â‚¬1000 to assemble & sell in the first place (assumes a 10% markup on the ex-VAT price) then Dell have LOST â‚¬500 (50% of cost of sales) on me as a customer.
50% of cost of sales. That’s a lot isn’t it. And all as a result of poor quality information and poor quality process management.
For my part I’ve gotten a few articles out of this and a few blog posts…
- Information Quality and the Bottom Line (Part 1)
– written for the IAIDQ e-newsletter, circulation to over 15 countries
- Article on Information Quality for Running Your Business Magazine – May edition (national circulation to SME’s in Ireland)
Silver linings I have… all they’re seeing in Dell right now are clouds.
50% of cost of sales… f**k me – if I had a business doing that badly I’d fold my tent and bugger off as well.
Via The Register I found this story about Dell’s new moves to reinvent itself. Reading down through it I found the following quote. Apparently Dell…
“..expect to ship customers a complete product. We’re not going to finish off products at customer sites with our services business.”
Whaddefook? Why then am I still waiting for a techie to come and finish building my consumer Inspiron laptop (at my premises)? I would have expected that it would have been built to spec in the factory…