Value chain analysis is a procedure through which an organization identifies its internal activities that add value to its final product or commodity. These activities are then analyzed in order to reduce costs or increase differentiation. In other words, we can say that a value chain analysis actually identifies the activities which are required to convert inputs to outputs. Usually these activities include the design, production, distribution etc. After these activities are identified and analyzed, the results of the analysis can be recorded. The entities can also use value chain analysis templates for this purpose and it will save a lot of time and effort.
A value chain analysis should be frequently performed, so as to stay updated regarding the activities necessary for the complete manufacturing of the product. So for this purpose, many organizations prepare their own value chain analysis template. Here, we provide you with some best quality and stylish value chain analysis templates and examples. These templates are available as PDF and MS WORD files. Feel free to download these template and use them for your own purpose.
Value Chain Analysis Templates in MS Word
Colorful Value Chain Analysis Template
Company’s Value Chain Analysis Template
Sample Value Chain Analysis
Porter Value Chain Analysis
Product’s Value Chain Analysis
Detailed Value Chain Analysis
Unique Value Chain Analysis Template
Porter’s Value Chain Analysis Model Template
Public Products Value Chain Analysis
Value Chain Analysis Example
Vegetable Value Chain Analysis Design
Value Chain Analysis Mapping Template
Network Value Chain Analysis
Value Chain Analysis Stages
Value Chain and Supply Chain
Stages of Value Chain Analysis
Things to consider for a Value Chain Analysis
For an effective value chain analysis, it is very important that you should have a clear understanding of:
- Your ideal target market.
- How your product will provide benefits to you target market.
- Who is your competitor and what they are offering.
The ultimate objective of a value chain analysis is that the entity has to select one of the following two options:
- Reduce the cost of your product. or
- Create a differentiation in your product to increase margins.
Competitive Advantage:
Competitive advantage means the factors or processes through which a business can compete with another business in the same market. The Cost of a product or service and its Differentiation are two main competitive advantages.
Cost:
A value chain analysis provides a plan offering the lowest cost in the market. If an entity maintains low costs of their products consistently, that means that the plan offered by their value chain analysis is efficient and effective. They keep their costs low by using low cost resources that contribute to the low cost of their product or service, thus increasing the profits.
Differentiation:
If you are providing differentiation in your product or service as compared to your competitor, the costs incurred can be higher. However, providing a unique or different product or service is not that easy. This will require extensive research and development, innovation and special resources etc. But if you develop a strategy to provide some different product or service, then you can set its reasonable price all on your own. This way, you can easily increase your profit margins.
Value Chain Analysis Examples in MS WORD
Brief Value Chain Analysis
Extended Value Chain Analysis
Formal Value Chain Analysis
Informative Value Chain Analysis
Value Chain Analysis Example
Value Chain Analysis Template
Value Chain Analysis Example
Value Chain Analysis Map
Academic Research Value Chain Analysis
Sample Value Chain Analysis Diagram
Sample Value Chain Analysis
Customer Value Chain Analysis
Detailed Value Chain Analysis Model
Stylish Value Chain Analysis Sample
Official Value Chain Analysis Template
Value Analysis Calculator for Product/Service
Primary and Support Activities
For preparing an effective value chain analysis of your business, you are required to determine the primary and support activities of your business. These are the most significant processes that are necessarily required for the completion of your product or service.
Primary Activities:
Following are some of the important ‘primary’ activities:
- Acquisition: This includes how you get the resources and materials from suppliers, which are required necessarily for the completion of the product or service.
- Operations: This includes the plan of using the available resources and materials for the manufacturing of final product or service.
- Giving Out: This involves the distribution and supply of the final product or service in the target market.
- Marketing and Advertisement: This includes the plan of properly presenting and selling your final product or service in the target market.
- Services: This involves supporting the customer after selling your product. Usually it includes installation, training, guarantees and warranties etc.
Support Activities:
Support activities are those which helps to perform primary activities effectively. Some of the support activities are as follows:
Infrastructure: The infrastructure means the infrastructure of the business as a whole. It includes all the current financial, non-financial,legal and management systems of the business which are involved in decision making and resource management.
Technology: It plays an important role in increasing the overall efficiency of the business and in supporting its primary activities. The competitive advantage of ‘Cost’ or ‘Differentiation’ can be get easily, with the help of development in technology.
Management of Human Resource: It includes all the systems and processes which are in place for the management of existing as well as newly hired employees. Professionally trained and qualified employees is also another important competitive advantage.
Procurement: It means the process by which you find and obtain the materials and resources required. Your main concern should be to obtain best quality materials and resources without compromising quality, and still remaining within your budget.