An analysis of porters value chain

Operational systems are the guiding principle for the creation of value. Outbound Logistics After the final product is finished it still needs to finds it way to the customer. A solid infrastructure is necessary for all primary functions.

importance of porters value chain model

Technological Development Technological development is used during research and development and can include designing and developing manufacturing techniques and automating processes. Bottom Line The primary activities within Michael Porter's value chain are used to provide a company with a competitive advantage in any one of the five activities so it has an advantage in the industry in which it operates.

michael porter value chain book - pdf

Those activities are as follows. You can immediately add value to your business by making an effective sales pitch and presenting that pitch in a way that hits home with your target audience. Outbound Logistics: Involves the storage and movement of the final product to the end user.

Technology development activities can be grouped into efforts to improve the product and the process. A value chain should be constructed at the business unit level. Human resource management This includes the support activities in which the development of the workforce within an organization is the key element.

This part is of importance for an organization when it concerns increasing competitive advantage from the value chain.

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Porter's Value Chain