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Technology Stocks : Dell Technologies Inc.
DELL 121.05+4.9%Feb 6 9:30 AM EST
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To: rudedog who wrote (66445)9/21/1998 1:10:00 PM
From: Stewart Walton  Read Replies (1) of 176388
 
Re In-transit merger: You mean I was right? It IS assembled in the air! LOL

Dell pioneered the In-transit merger. This is the process where Dell coordinates shipment of components to arrive as a unit at the customer site (like a computer, monitor and printer all from different suppliers).

Is this one of the services that FedEx provides? Coordinating the deliveries so all parts of the shipment are on the same truck? I'm not knocking it; it sounds like a great strategy.

There was a book about 10 years ago (proably more) called "World Class Manufacturing" (I think it's probably a classic by now) that first pointed out (to me anyway) the cost of inventory. Specifically he talked about the waste of moving components around on the factory floor, and the necessity of adding value at every stage. Moving stuff on the floor doesn't, but coordinating transportation to the end user's door does.

Thanks for the explanation.
Regards,
Stewart
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