Managing the Value Chain
Value Chain as Competitive Advantage
Unit 3 Assignment
Gerod Washington
GB570 Managing the Value Chain
John Craddock
Kaplan University
April 6, 2014
Value Chain as Competitive Advantage
Successful companies are successful because of their ability manage the intrinsic concept which develops and evolves their value chain and competitive advantage. The purpose of this paper is to provide the reader with a compelling argument as to why an effective value chain creates competitive advantage. The author will also discuss and provide an analysis of the following: three critical concepts when thinking about how a value chain creates competitive advantage in relation to the value chain, competitive advantage, and customer delight. The author will also discuss the inter-relationship of these three concepts, provide examples of successful companies, and finally, provide examples of unsuccessful companies. Review of Concepts
Write a one paragraph summary related to reviewing the following three critical concepts when thinking about how a value chain creates competitive advantage.
Value Chain
The concept of a value chain plays an essential role in a business operating competitively. A business value chain is a network of business relationships that measures the effectiveness of a business’ management performance amongst is competitors. “The competitiveness of the individual firm depends upon the competitiveness of the value chain to which it belongs. Competitive pressure to achieve efficiency gains obliges companies to work more closely with partners upstream and downstream in the value adding process” (Lu, & Hung, 2010, P. 1155).
According to Lu and Hung “In order to manage the performance of the system, the constraint must be identified and managed correctly. The core constraint of virtually every chain is that chains are structured, measured and managed in parts.” As this process is developed within a business, the level of its competitiveness
Unit 3 Assignment
Gerod Washington
GB570 Managing the Value Chain
John Craddock
Kaplan University
April 6, 2014
Value Chain as Competitive Advantage
Successful companies are successful because of their ability manage the intrinsic concept which develops and evolves their value chain and competitive advantage. The purpose of this paper is to provide the reader with a compelling argument as to why an effective value chain creates competitive advantage. The author will also discuss and provide an analysis of the following: three critical concepts when thinking about how a value chain creates competitive advantage in relation to the value chain, competitive advantage, and customer delight. The author will also discuss the inter-relationship of these three concepts, provide examples of successful companies, and finally, provide examples of unsuccessful companies. Review of Concepts
Write a one paragraph summary related to reviewing the following three critical concepts when thinking about how a value chain creates competitive advantage.
Value Chain
The concept of a value chain plays an essential role in a business operating competitively. A business value chain is a network of business relationships that measures the effectiveness of a business’ management performance amongst is competitors. “The competitiveness of the individual firm depends upon the competitiveness of the value chain to which it belongs. Competitive pressure to achieve efficiency gains obliges companies to work more closely with partners upstream and downstream in the value adding process” (Lu, & Hung, 2010, P. 1155).
According to Lu and Hung “In order to manage the performance of the system, the constraint must be identified and managed correctly. The core constraint of virtually every chain is that chains are structured, measured and managed in parts.” As this process is developed within a business, the level of its competitiveness
References: Walters, D., & Rainbird, M. (2007). Strategic operations management: A value chain approach. New York: Palgrave Macmillan. Porter, Michael (1985), Competitive Advantage, retrieved on April 7, 2014 from http://www.stanford.edu/class/msande473/483primerV3.doc Lu, W. M. & Hung, S. W. (2010). Assessing the performance of a vertically disintegrated chain by the DEA approach-a case study of Taiwanese semiconductor firms. International Journal of Production Research, 48(4), 1155-1170. Ed Miller, (2008) retrieved on 4/3/2014 from http://www.enterprisestlucia.com/how-adding-value-throughout-the-value-chain-can-lead-to-differential-advantage.html (Include at least three references, list them in alphabetical order, and use APA formatting)