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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: K. M. Strickler who wrote (57222)	8/9/1998 5:36:00 PM
From: jbn3	Read Replies (1) \| Respond to of 176387

DELL overload potential Ken, re your It seems to me that is DELL becomes too successful, their BTO-JIT process can 'overload', I realize that the Metric 12 plant and other facilities will add to their capacity, but a government order for 1mln systems would definitely be a bump in the road. You may be laboring under a misconception, as I don't think the government orders that way. In very general terms, it works like this: Each bureaucracy receives a budget, based upon a projection it submitted. When budget monies are received, the bureaucracy then breaks it down and allocates those funds to its subordinate offices, based upon the requirements they originally submitted. This process is continued until it reaches the lowest organizational element with a discretionary budget. These low-echelon offices can then use the funds to satisfy their requirements. This results in a myriad of smaller lot orders trickling in, rather than one large central order. DELLish, 3

To: K. M. Strickler who wrote (57222)	8/10/1998 11:04:00 AM
From: rudedog	Read Replies (1) \| Respond to of 176387

Ken - I have faith that Dell can expand MFG capacity to meet spot demand (via some 3rd party agreements already in place) and can also add base capacity as needed. There will doubtless be some 'bumps in the road' but an aggressive execution-oriented team can manage that problem. The issue of higher level services is harder to address. Dell currently works pretty close to the end of the procurement cycle - when someone wants to buy HW, Dell is there with a very compelling track record and proven capability. This is fine as long as the customer knows what he wants and is looking for fulfillment, but falls down when the system design itself is part of the procurement process. This is the reason that CPQ has dominated the exchange space with more than 10 times Dell's installed seats. CPQ will certainly look to leverage that model in the future in other areas of enterprise sales, and if Dell really intends to take CPQ on in that space they can not wait until the fulfillment portion of the cycle, they will have to get in on the front end of the process.

To: K. M. Strickler who wrote (57222)	8/10/1998 2:58:00 PM
From: Jim Patterson	Read Replies (1) \| Respond to of 176387

RE: It seems to me that is DELL becomes too successful, their BTO-JIT process can 'overload', I realize that the Metric 12 plant and other facilities will add to their capacity, but a government order for 1mln systems would definitely be a bump in the road. JMHO Ken, Maybe I am getting the wrong idea here, But are you questioning DELL capacity to expand into higher level markets that are dominated by IBM CPQ and HWP ? I know you are a DELL bull, but this is one of the pices of my bear argument. Jim