April 06, 2001, 9:12 AM — Detailing its own supply-chain efforts, Dell Computer plans to reduce the days of inventory on hand this year from six to five.
Randy Mott, Dell's CIO, provided insight Monday into Dell's supply-chain plans at AMR Research's Retail and Consumer Goods Executive Conference here.
Mott said Dell has already achieved a six-day turn time by mastering reaction to customer demand rather than overemphasizing forecasting capabilities. "We manage demand much better than [we] forecast," Mott said.
However, on the forecast side, Dell, in Round Rock, Texas, provides suppliers with a 26-week rolling forcecast, Mott said. The company also provides weekly forecasts and is looking to move toward daily forecasts.
Dell's supply-chain infrastructure combines products from supply-chain software maker i2 Technologies, in Dallas, with systems built in-house.