ISO-Topic 3
ISO-Topic 3
It links systems and activities to each other and demonstrates what effect this has on
costs and profit margins. Consequently, the Value Chain Analysis makes clear where
the sources of value and the losses can be found in the organization.
The Value Chain activities
It consists of a number of activities, namely primary activities and support activities.
Inbound Logistics
These are all processes that are involved in the receiving, storing, and internal
distribution of the raw materials or basic ingredients of a product or service. The
relationship with the suppliers is essential to the creation of value in this matter.
Production
These are all the activities (for example production floor or production line) that
convert inputs of products or services into semi-finished or finished products.
Operational systems are the guiding principle for the creation of value.
Outbound logistics
These are all activities that are related to delivering the products and services to the
customer. These include, for instance, storage, distribution (systems) and transport.
Service
This includes all activities that maintain the value of the products or service to
customers as soon as a relationship has developed based on the procurement of
services and products.
What is meant by value creation?
Value creation happens when a business or organization uses its work and resources
to create something of value that is sold to a customer base. In turn, the business
earns a profit for what it has created and the customers have a want or need fulfilled.
What are the main elements of value creation?
The value creation process consists of three key elements: determining what value
the company can provide to its customers (the 'value customer receives');
determining the value the organization receives from its customers (the 'value
organization receives'); and, by successfully managing this value exchange, ...
Enterprise Systems
Enterprise systems are pieces of software that senior management figures can use to
monitor their business' performance. Firms can then more easily monitor their own
productive efficiency, brand exposure and costs, before creating data-driven
solutions to progress towards their financial goals.
compiling data about consumers' shopping habits, personal tastes and values
planning marketing campaigns that appeal to specific demographic groups
projecting revenue generated by different marketing strategies
producing regular written reports that detail the progress made by a marketing
campaign
retaining customers by issuing regularly personalized marketing emails or
digital adverts
tracking customer complaints and identifying common themes
Supply chain management systems monitor the flow of raw materials, money and
products at every stage of the production process. Using this software, you may
compile data about your firm's performance during this process to ensure that it's
allocating resources efficiently. If not, you can use this data to identify and improve
any unproductive processes, creating a more integrated supply chain as a result. You
might also use these tools to plan and track repeat transactions with suppliers,
allowing you to maintain a constant flow of consumer goods by minimizing
bureaucracy.
You could use supply management tools to complete the following tasks: