Entrepreneur: Michael Dell
Company: Dell Computer Corporation
Founders: Michael Dell
Year Started : 1984
"You don't have to be a genius or a visionary or even a college graduate to be successful. You just need a framework and a dream."-Michael Dell
PROFILE:
Michael Dell was born in 1965 in Houston, Texas, and attended the University of Texas in Austin. Dell has earned the title of "Entrepreneur of the Year" from Inc magazine, was named "Man of the Year" by PC Magazine, "Top CEO in American Business" by Worth Magazine, "CEO of the Year" by Financial World and Industry Week magazines, and was on Business Week’s list of "Top 25 Managers of the Year" from 1997-1999. In 1992, Dell became the youngest CEO to earn a spot on the Fortune 500. He also sits on the U.S. President’s Advisory Council on Science and Technology.He is ranked as the 41st richest person in the world on 2012 Forbes Billionaires list, with a net worth of US$15.9 billion as of March 2012In 2011, his 243.35 million shares of Dell stock were worth $3.5 billion, giving him 12% ownership of the company. His remaining wealth of roughly $10 billion is invested in other companies, and managed by a firm called MSD Capital (named after Dell's initials).
How the Business Started:
Michael Dell went to college intending to become a doctor. Meanwhile, his hobby was working with computers. His hobby won out. Dell began selling computers out of his dorm room. And as his new venture progressed, he developed an innovative approach to conducting business: his idea was to sell computers directly to the consumer without going through retailers, and in the process design and deliver a computer based upon the customer’s own specifications. Thus, in 1984, Dell founded the Dell Computer Corporation with $1,000. In 18 years, Dell has grown into a $31.2 billion company. Today, Dell's average earnings are $40 million per day, and it is the largest online commercial computer seller in the world.
Contributions:
Dell currently has offices in 34 countries with nearly 36,000 employees. Recognizing the extra and unnecessary costs of retail distribution, Dell’s innovative direct service industry has created a PC that is inexpensive and designed to meet the needs of the individual customer. Michael Dell currently is the longest-serving CEO in the PC industry.
Michael Dell has established a number of foundations within his organization committed to philanthropic and community services. These foundations work to advance educational, environmental, business, economic, and social issues.
In just 18 years, Dell has grown from a one-person operation to a company of 36,000 employees. In 1988, when Michael Dell took his company public, Dell employed 650 people and posted sales of $159 million.
Dell’s corporate headquarters are in Austin, Texas, where the company was founded. Texas also is home to Dell Americas, the regional business unit for the United States, Canada and Latin America. Dell has regional headquarters in England, for Europe, Middle East and Africa; in Singapore to serve Asia-Pacific; and in Kawasaki, Japan, for the Japanese market. The company manufactures its computers in six locations: Texas, Tennessee, Brazil, Ireland, Malaysia, and China.
Philanthropy:
In 1999, Michael and Susan Dell established the Michael and Susan Dell Foundation, which focuses on children’s causes. By 2010, the foundation had committed more than $530 million to assist nonprofit organizations serving urban communities in the United States and India. The foundation has also provided $65 million in grants to three health-related organizations associated with the University of Texas: the Michael & Susan Dell Center for Advancement of Healthy Living, the Dell Pediatric Research Institute, and the Dell Children’s Medical Center, as well as funding for a new computer science building on the University of Texas campus.
In 2002, Dell received an honorary doctorate in Economic Science from the University of Limerick in honor of his investment in Ireland and the local community and for his support for educational initiatives.
