Enterprise Risk Management at DELL Computer

Dell Computer, a leading provider of computing products and services, generated revenues of $31.2 bn in the year 2002. The company's business model had been driven by a relentless focus on improving efficiencies and delivering value through a direct selling process that bypassed tradition of distribution channels. Analysts felt Dell's direct model, efficient procurement, and effective supply chain management had given it a strong lead over competitors. Some analysts felt Dell had pioneered one of the most successful business model innovations in corporate history.

The Americas region was based in Round Rock, Texas, and covered the US, Canada and South America. The Europe region, which was based in Bracknell, England, covered the European countries and also some countries in the Middle East and Africa. The Asia-Pacific and Japan region covered the Pacific Rim, including Japan, India, China, Australia and New Zealand, and was based in Singapore.

Sales outside the US accounted for approximately 35% of Dell's revenues in 2002. The company's manufacturing facilities were located in or around Austin, Texas; Nashville, Tennessee, US; Eldorado do Sul, Brazil; Limerick, Ireland; Penang, Malaysia; and Xiamen, China.