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The value chain is a strategic planning concept developed by Michael Porter, and classifies the value-adding activities of an organisation – the costs and value drivers are identified for each value activity. The aim is to maximise value creation while minimizing costs. The support activities include: administrative, human resource management, Research & Development, and outsourcing and procurement. A key consideration relates to evaluating supplier impact on profitability. Gaining an in depth understanding of your suppliers’ business strategies, and your competitors allows you to evaluate their potential impact on your profitability, as well as develop strategies and cultivate relationships that foster your competitive advantage. |
- Future-Proof Business
- Strategy | Operations & Growth
- FUTURE AGENDA | Evolving Challenges
- Value Creation and Business Model Innovation
Value Chain adding Activities
Gaining an in depth understanding of your suppliers' business strategies, and your competitors allows you to evaluate their potential impact on your profitability, as well as develop strategies and cultivate relationships that foster your competitive advantage.
The primary activities include: logistics, operations (production), marketing and sales- Advertisement -
