refers to a business as a "collection of interdependent activities, which in turn, form part of a continuous system that stretches back to suppliers and forward to channels and customers... Using the value chain framework, Michael Porter suggests advantage can be captured through ... improvement or reorganization of these value activities." (van den Bosch & de Man, eds., p.10) [Go to source
is the sequential set of primary and support activities that an enterprise performs to turn inputs into value-added outputs for its external customers. As developed by Michael E. Porter, it is a connected series of organizations, resources, and knowledge streams involved in the creation and delivery of value to end customers. Value systems integrate supply chain activities, from determination of customer needs through product/service development, production/operations and distribution, including (as appropriate) first-, second-, and third-tier suppliers. The objective of value systems is to position organizations in the supply chain to achieve the highest levels of customer satisfaction and value while effectively exploiting the competencies of all organizations in the supply chain.
A variation on Supply Chain. Value Chain is typically used to describe processes that add value in the supply chain that the final buyer in the supply chain will pay for.
Value-chain is a high-level processes which looks at every step from raw materials to the customer. The goal is to deliver maximum value to the cutomer for the least possible total cost.
the overall value-adding activities from the demand chain through the supply chain (handling all aspects of supply or and demand for a product or service).
A tool, developed by Michael Porter, that decomposes a firm into its core activities.
Partnered companies help produce a highly integrated value proposition through a managed process. Products are custom tailored to match customer needs.
A concept used in the development of corporate strategy, whereby the firm's operations are divided into a series of activities.
A very large-scale business process that is initiated by a customer request and results in the delivery of a process or service to a customer. A value chain includes everything that contributes to the final output. A value chain is comprised of a number of business processes.
A very large-scale business process that is initiated by a customer request, or by the decision of the company to enter a new line of business, and results in the delivery of a process or service to a customer. A value chain includes everything that contributes to the output. By adding up all of the costs of each activity in a value chain, and subtracting the total from the sale price, an organization can determine the profit margin on the value chain. Most organizations support from 3 to 15 value chains. Many managers associate value chains with the description provided in Michael Porter's Competitive Advantage (1985).
A series of activities a company performs to achieve its goal by adding additional values when each activity proceeds from one stage to the next one.
The sequential set of primary and support activities that an enterprise performs to turn inputs into value-added outputs for its external customers. An IT value chain is that subset of enterprise activities that pertain to IT operations, both to add value directly for external customers and to add indirect value by supporting other enterprise operations.
an extended supply chain that encompasses the demand chain and other activities that add value
a series of interrelated processes that is designed to deliver value to the customer
A string of companies working together to satisfy market demands. The value chain typically consists of one or a few primary value (product or service) suppliers and many other suppliers that add on to the value that is ultimately presented to the buying public.
In the R/3 Reference Model, an aggregated representation of business scenarios across enterprise areas. Value chains can be defined for a particular type of business or industry, showing the overall course of a business process across enterprise areas. On a highly aggregated level, the value chains show how business scenarios are linked. Industry-specific value chains also help customers to identify their business processes on an aggregated level.
The set of activities that create a product's value to customers.
A collection of business entities, each of which contributes a product or service that makes up a finished good (or service) purchased and used by an end-use customer.
Concept describing the chain of value-adding steps for a product or service performed by one (internal value chain) or several companies with customer, supplier or partnership realtionships.
A value-added process in a firm to transform raw materials and other inputs to finished goods, which creates value to customers.
Sequence of activities that, when combined, define a business process. An example would be the sequence of activities from suppliers
The value chain (really a value network) is the conceptual sequence(s) of activities that contribute to the corporate competitive advantage either through cost leadership, differentiation or focus.
The set of activities required to design, procure, produce, market, distribute, and service a product or service.
Activities outside of your organization that adds value to your final product, such as the value adding activities of your suppliers.
A series of activities, which combined, define a business process; the series of activities from manufacturers to the retail stores that define the industry supply chain.
An enabling subset of components and services spaces that connect ChangeWaves to SuperSectors to SuperSpaces to WaveRider companies to customers.
A voluntary alliance of companies to create an economic benefit for customers and to share in the rewards thereof.
A high-level model of how businesses receive raw materials as input, add value to the raw materials through various processes, and sell finished products to customers.
The functions within a company that add value to the goods or services that the organization sells to customers and for which it receives payment.