Tuesday, June 29, 2010

Dell In Big Trouble

http://www.nytimes.com/2010/06/29/technology/29dell.html?pagewanted=1&hp

Outsourcing destroys the reputation of another once proud company. Yay outsourcing......

"Dell actually sent the university desktop PCs riddled with faulty electrical components that were leaking chemicals and causing the malfunctions. Dell sold millions of these computers from 2003 to 2005"

" Dell didn’t seem to recognize this as a problem at the time.” When thousands gets laid off there aren't many left to recognize anything.

"employees tried to play down the problem to customers and allowed customers to rely on trouble-prone machines, putting their businesses at risk" Dell is a shining example of good ethics.

"The documents chronicling the failure of the PCs also help explain the decline of one of America’s most celebrated and admired companies"

“Dell model” became synonymous with efficiency, outsourcing and tight inventories, and was taught at the Harvard Business School and other top-notch management schools as a paragon of business smarts and outthinking the competition." Harvard may want to reconsider their curriculum.

"For the last seven years, the company has been plagued by serious problems, including misreading the desires of its customers, poor customer service, (INDIA)suspect product quality (China) and improper accounting."

"The problems affecting the Dell computers stemmed from an industry wide encounter with bad capacitors produced by Asian PC component suppliers."

"Dell shipped at least 11.8 million computers from May 2003 to July 2005 that were at risk of failing"

"A study by Dell found that OptiPlex computers affected by the bad capacitors were expected to cause problems up to 97 percent of the time"

"contractor found that 10 times more computers were at risk of failing than Dell had estimated. Making problems worse, Dell replaced faulty motherboards with other faulty motherboards (Idiots)

"Dell employees went out of their way to conceal these problems" “We need to avoid all language indicating the boards were bad or had ‘issues’ per our discussion this morning.” I wonder if they teach that part at Harvard....

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