Value Chain Analysis describes the activities that take place in a business and relates them to an analysis of the competitive strength of the business. Influential work by Michael Porter suggested that the activities of a business could be grouped under two headings:
(1) Primary Activities - those that are directly concerned with creating and delivering a product (e.g. component assembly); and
(2) Support Activities, which whilst they are not directly involved in production, may increase effectiveness or efficiency (e.g. human resource management). It is rare for a business to undertake all primary and support activities.
Value Chain Analysis is one way of identifying which activities are best undertaken by a business and which are best provided by others ("out sourced").
Linking Value Chain Analysis to Competitive Advantage
What activities a business undertakes is directly linked to achieving competitive advantage. For example, a business which wishes to outperform its competitors through differentiatingitself through higher quality will have to perform its value chain activities better than the opposition. By contrast, a strategy based on seeking cost leadership will require a reduction in the costs associated with the value chain activities, or a reduction in the total amount of resources used.
Primary Activities
Primary value chain activities include:
Primary Activity
Description
Inbound logistics
All those activities concerned with receiving and storing externally sourced materials
Operations
The manufacture of products and services - the way in which resource inputs (e.g. materials) are converted to outputs (e.g. products)
Outbound logistics
All those activities associated with getting finished goods and services to buyers
Marketing and sales
Essentially an information activity - informing buyers and consumers about products and services (benefits, use, price etc.)
Service
All those activities associated with maintaining product performance after the product has been sold
Support Activities
Support activities include:
Secondary Activity
Description
Procurement
This concerns how resources are acquired for a business (e.g. sourcing and negotiating with materials suppliers)
Human Resource Management
Those activities concerned with recruiting, developing, motivating and rewarding the workforce of a business
Technology Development
Activities concerned with managing information processing and the development and protection of "knowledge" in a business
Infrastructure
Concerned with a wide range of support systems and functions such as finance, planning, quality control and general senior management
Steps in Value Chain Analysis
Value chain analysis can be broken down into a three sequential steps:
(1) Break down a market/organization into its key activities under each of the major headings in the model;
(2) Assess the potential for adding value via cost advantage or differentiation, or identify current activities where a business appears to be at a competitive disadvantage;
(3) Determine strategies built around focusing on activities where competitive advantage can be sustained
Value chain analysis is the process to determine which process of production is increasing the value of product and which is not so that the product manufacturing cost can be reduced by eliminating that process from the production chain.
How to improve Supply chain of toy world?
The chain of production is the different stages involved in the production of a particular product :)
Determining Costs: Use of Activity-Based costing in the management cycle where the main focus is managing activities rather than costs. Value Chain and Supply Chain analysis in the activity management. Identification of Value-Adding activities and eliminating Nonvalue-Adding activities. Eventually, from the cost hierarchy (Unit level, Batch level, Product/Service level and Operations level) the bill of activities are computed; and then the product unit costs are calculated.
The GCT is a value added tax, it is applied on the value added to goods at each stage of the production/distribution chain, It is applied to both imported and locally bought goods, GCT has consolidated several taxed such as stamp duty and excise duty.
value chain analysis of coca cola company
no different it's the same
Value chain analysis is the process to determine which process of production is increasing the value of product and which is not so that the product manufacturing cost can be reduced by eliminating that process from the production chain.
polypeptide chain
While the electron transport chain’s main function is to produce ATP, another important byproduct is water. If you follow the path of electrons and protons you might notice that they follow the same basic pathway until the point where ATP is produced. At the end of the chain the electrons are taken up by oxygen molecules to make water. This is why oxygen is known as the final electron acceptor.
The line of authority from top management to the lowest ranks represents the scalar chain. Communications should follow this chain. However, if following the chain creates delays, cross-communications can be allowed if agreed to by all parties and superiors are kept informed.
Value chain analysis examines a business unit and examines how products pass through the chain, in order from inbound logistics to service, market & sales and other elements. The information provided shows where in the chain products are slowed or altered from the intended design.
The basic level of the food chain is the producer level. This level contains plants that make their own food.
In what sense? Follow as in on the food chain, or follow as in stalking. Please rephrase. Then i can answer.
polypeptide chain
Polymerase chain reaction
Polymerase chain reaction