Value chain analysis презентация

ARE WILLING TO PAY FOR A FIRM’S PRODUCTS.
THE DIFFERENCE BETWEEN THE TOTAL VALUE (OR REVENUE) AND THE TOTAL COST OF PERFORMING ALL OF THE FIRM’S ACTIVITIES PROVIDES THE MARGIN .
THE VALUE CHAIN IS A TOOL DEVELOPED BY DR. MICHAEL PORTER(HARVARD BUSINESS SCHOOL)

design, produce, market, deliver, and support the product/service.
The value chain is concentrating on the activities starting with raw materials till the conversion into final goods or services.
Two categories:
Primary Activities (operations, distribution, sales)
Support Activities (R&D, Human Resources)

the type of organizations.
Manufacturing based.
Service based.
Both manufacturing and service based.

advantage
Specifically:
Opportunities to secure cost advantages
Opportunities to create product/service differentiation
Includes the value-creating activities of all industry participants

creation, sale and transfer of products (including after-sales service)
Inbound logistics
Operations
Outbound logistics
Sales and marketing
Service and support

Support Activities:
Those that merely support the primary activities
Human resources (general and admin.)
Tech. development/ IT
Procurement

OF RAW MATERIALS, WAREHOUSING, INVENTORY CONTROL)
OPERATIONS
COMPRISE THE TRANSFORMATION OF THE INPUTS INTO THE FINAL PRODUCT FORM (E.G. PRODUCTION, ASSEMBLY, AND PACKAGING)
OUTBOUND LOGISTICS
INVOLVE THE COLLECTING, STORING, AND DISTRIBUTING THE PRODUCT TO THE BUYERS (e.g. PROCESSING OF ORDERS, WAREHOUSING OF FINISHED GOODS, AND DELIVERY)

sales. (e.g. ADVERTISING, PROMOTION, DISTRIBUTION)
SERVICE -INVOLVES HOW TO MAINTAIN THE VALUE OF THE PRODUCT AFTER IT IS PURCHASED (e.g. INSTALLATION, REPAIR, MAINTENANCE, AND TRAINING)

control system, company culture are categorized under firm infrastructure.
HUMAN RESOURCE MANAGEMENT
Involved in recruiting, hiring, training, development and compensation.
TECHNOLOGY DEVELOPMENT
These activities are intended to improve the product and the process, can occur in many parts of the firm.
PROCUREMENT
Concerned with the tasks of purchasing inputs such as raw materials, equipment, and even labor.

a firm can be seen from its discrete activities and how they interact with one and another.
The value chain is a tool for systematically examining the activities of a firm and how they interact with one another and affect each other’s cost and performance.
A firm gains a competitive advantage by performing these activities better or at lower cost than competitors.
Helps you to stay out of the “No Profit Zone”
Presents opportunities for integration
Aligns spending with value processes

IS A LINKAGE BETWEEN A FIRM’S CHAIN AND THE VALUE CHAIN OF ITS SUPPLIERS AND CHANNELS.

e.g. THE ACTIVITIES OF THE RAW MATERIALS SUPPLIERS AFFECT THE ACTIVITIES OF THE FIRM. SIMILARLY, THE ACTIVITIES OF THE DISTRIBUTOR ALSO AFFECT THE FIRM.

THE DIFFERENT FIRMS WITHIN AN INDUSTRY VARY FROM ONE ANOTHER.
IN FACT, THE DIFFERENCES IN THE VALUE CHAINS AMONG THE DIFFERENT INDUSTRY PLAYERS PROVIDE THE SOURCE OF COMPETITIVE ADVANTAGES BETWEEN THESE PLAYERS.