2007-11-02

Side-effects of globalisation

In the book 'The World is Flat", read short review here, Thomas Friedman illustrated globalisation via scores of, well, global firms, and one of them was Dell Inc. The supply chain intricacies at Dell lent themselves to the emergence of 'Dell Theory of Conflicts'. Like the book, my experience with Dell, albeit post-purchase, is no less speckled with side-effects of globalisation.

The story begins with the occurrence of a problem that turned my laptop into a lemon, defined here. I have been using a Dell Inspiron 5160 for close to three years now.This should tell you that with the basic warranty long expired and without extended or global warranty I am vulnerable. And until recently, I was oblivious to the existence of #M1004. This is the error code Dell-ians see on the BIOS screen after their laptop is 'preventively shutdown to avoid damage due to overheating'.

I saw this error for the first time few months ago,soon after I upgraded the RAM four times over to 2 GB. I was hoping to get more out of my laptop. I was getting more heat out of it, alright! This paralysed my normal usage of the laptop, since the preventive shutdown happened at 70 degree C, which was reached within 40 minutes of operation. Thus began my research on the problem that had fortunately or unfortunately eluded me since the laptop had arrived at my doorstep. Googling #M1004 gave me more than I had expected. Dell 5150 and 1150 were doomed as far as I could see in online forums.5160, though an evolved version of 5150 with 'fixes to avoid overheating' and at least did not 'melt' or 'explode', still suffered from bad ventilation design. More research told me that the motherboard-heat-sink combo were defective and there were class action suits in Canada and the US. Apparently, even the devout Dell-ians were peeved.

Recently I learnt that, since early 2006, Dell had been replacing the defective hardware for free (one time only). Wow and Oops!"Wow!" because the combo hardware costs close to Rs 25K (half the cost of laptop) and it requires substantial commitment from Dell to replace it for hundreds of thousands of laptops sold out of the Inspiron lot. while I also know that from Dell's point of view a case-by-case replacement would be cheaper than a recall. "Oops!" because I m now living in India and my laptop has a US warranty which has expired.

So, I started tracing the steps followed by many to gain temporary or in some cases permanent relief. BIOS upgrade came first. Version 8 of the BIOS cought to optimise fan operation. But it did not help. Cleaning the vents and heat sink was the next possibility. With more research, I learnt to open a Dell Laptop and was amazed at how neatly so much is packed in 1.5 inch thickness (5160 has older design). I stopped short of opening the heat sink assembly. My gut told me that I should contact Dell India and find out what they can do; give me some the minimum coverage at least.

I was surprised by the support Dell gave me. I placed an online request, to which I got a response within 10 hours. As far as the US ownership was concerned, I was told that I could initiate a transfer to Dell India. That would eventually happen, but meanwhile I could run hardware diagnostic tests (I had told Dell India that I am an advanced computer user, hadn't I?). After sharing the results with Dell India, I not only got a phone call confirming the problem but was also , hold your breath, told that Dell would replace the motherboard and heat sink for free!

That I got such good service ought be a side effect of globalisation. Of course, with significant Indian operations, offering service to Indian customers is but imperative. Having made the original purchase in the US probably gave me some edge for getting prompt service; but I have a feeling I would have got it even otherwise. I am saying this based on the fact that last year Nikon India had replaced a defective power module, post warranty, in my digital camera. (They did charge me a service and shipping fee). Nikon USA had at that time made free replacement for cameras within warranty period. Both the pieces of equipment had been widely acknowledged as being defective; in case of Dell, leading to class action suits in North America. But to benefit from an America lawsuit sitting in India?

The ease with which all transactions happened tells a lot about the CRM commitment global companies ought to provide, irrespective of customers' global location. Global companies have to put more effort in giving one face to their brands. They cannot discriminate, because an Indian customer today can be a customer in the US tomorrow or, the day after, one in Japan. American regulatory system ensure compliance to frameworks for resolving to conflicts between sellers and buyers. Be it in the BRIC or other emerging economy nations, buyers are more aware and more enabled, not just by information, read as Internet, but also by the expectations they have from brands. They have the money to buy top brand items. If you are paying top dollar, literally, you deserve top dollar service. This is evident in other popular examples such as the Dell's global replacement of laptop batteries and more recently Nokia's worldwide replacement of certain cellphone batteries.

Hopefully the new heat sink and motherboard will perform better. Whatever the side effect, I am happy Dell customer now. #M1004 anyone?

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