Michael Dell in 1984, then 19 years old, founded 'PC's Limited', later renamed to DELL Inc., which is an American privately owned multinational computer technology company with its headquarter in Round Rock, Texas, USA, that develops, sells, repairs and supports computers and related products and services. DELL Inc. today is one of the largest technological corporations in the world, employing more than 103,300 people worldwide (Statista Inc., 2014). In 1992 27-year old Michael Dell was the youngest CEO of a company ranked in Fortune magazine's list of the top 500 corporations. In 2014 DELL Inc., after Lenovo and HP, was the third largest PC vendor in the world (Pettey, 2015).
Direct from Dell
Michael Dell's Personal
Life and the Growth of DELL
Michael Saul Dell, born on February 23rd, 1965 into a Jewish family, early had an interest in technology. His mother being a stockbroker, dinner table discussions often were about "[…] inflation rate, the oil crisis, which companies to invest in, and which stocks to sell and buy" (Dell,1999,pp.3-4) leading little Michael developing a flair for business.
Dropping out of Med School in 1984, Dell founded his first company 'PC's
Limited' which he soon incorporated as 'Dell Computer Corporation' and employed Jay Bell, the engineer who built DELL's first PC. The same year they made $6m in sales. By 1986 sales
hit $60m and DELL was first to introduce a '30-day-money-back guarantee'. In 1987 they had their first subsidiary in UK. 1988 the company went public, bringing the market capitalization to $85m.
DELL were first in selling through retail stores like CompUSA, Best Buy and WalMart but quickly withdraw after determine the model did not meet financial objectives. "The more mistakes I
made, the faster I learned" (Dell,1999,p.17) Dell said. Sales grew quickly reaching $2bn by 1993. The launch of their Latitude Notebook with lithium-ion-double-life batteries and the start
of their server business were further steps towards becoming the market leader. 1998, Dell made revolutionary $12m a day just from internet sales, he expanded 'Premier Pages', a tailored web-link
for customers and established web-based connections with suppliers. By the time Michael Dell wrote this book, an integrated sales, manufacturing, and support center was opened
Michael Dell's Management Approach
Figure 1 - The Blake-Mouton Leadership Grid (Cobbe,2014)
Figure 2 - Goleman's Leadership Styles (Goleman,2000)
Figure 3 - Hersey-Blanchard Situational Leadership Theory (Team FME,2015,p.25)
One of the ideas of how to organise change come from afore mentioned Kurt Lewin. In 1947 he published his three step model known as "Unfreeze – Change – Refreeze".
It was John Kotter who in 1995 systematically explained eight steps how to 'organise' change.
Analysis of Michael Dell's Traits, Characteristics and Behaviours
Dell led the company for almost 20 years as CEO and was well known amongst his staff for making other people feel important and appreciated, providing a vision and inspiration for the future but also for demanding from his people not less as he himself is willing and able to give. After he decided to step back in 2003 Kevin Rollins took over his post as CEO. Although he was brought on board by Michael and he still describes him as a "great business partner and friend" (Lohr,2007) and his contributions over the years are looked upon with great respect, he was not able to fulfil Michael Dell's role. Rollins was seen as the foremost practitioner and advocate of the Dell model, even when pushing the same buttons no longer worked subsequently in 2007 the director's board of DELL agreed that Michael Dell is required to re-take the position as CEO.