Dell pioneered the direct sales model by offering its customers technology solutions through full-system configurability. In 2007, Dell launched several strategic initiatives to drive channel transformation by offering fixed configurations through online channels, retailers, distributors, and other channel partners. Dell's center of excellence (CoE) in analytics developed solutions that apply operations research (OR) to address key challenges across the value chain and enable profitable growth in the new channels. These solutions include (1) a configuration optimizer to reduce product complexity by identifying fixed hardware configurations (FHCs), which Dell builds and stocks, (2) an online conversion rate accelerator to improve the online customer purchase experience, leading to increased revenues and customer satisfaction, and (3) a retail margin maximizer to improve forecasts, mitigate inventory risk, and recommend promotions to increase margins. Since 2007, OR has helped Dell solve complex business problems and has facilitated its growth in the FHC business to $15 billion. Since 2010, these OR solutions have delivered a margin impact of more than $140 million by reducing markdown expenditures, improving online conversion rates, increasing ocean shipments, and enhancing customer satisfaction.

Many academic institutions of higher education are experiencing fluctuating or declining levels of public support and funding. One approach to framing potential solutions is identifying the competitive advantages academic institutions have in the marketplace. The advantages for Extension can be described in the context of increasing effectiveness, efficiency, and long-term impact. As an organization, we can focus on 10 competitive advantages related to brand, product, impact, leveraged resources, relevance, objectivity, approach, networks, trust, and unique expertise. The future success of Extension will require that we capitalize on these competitive advantages in visionary and innovative ways to maintain our niche in the marketplace.

No abstract