The Value Chain Approach

The Concept of “Value Chain Analysis” was first introduced in 1985 to describe how an organization’s activities (inbound logistics, operations, outbound logistics, marketing and sales, and service) affect its competitive position. It is based on an understanding about how support activities -procurement, research, technology, human resources, infrastructure and online systems -influence organizational effectiveness and efficiency

*Michael Porter, Competitive Advantage: Creating and Sustaining Superior Performance, (1985)

Since its introduction, Value Chain Management has been adopted in economies around the world as an integrated approach to business that aligns the goals, and objectives of both buyers, sellers and trade service providers

By their nature “Value Chains” are more customer driven and therefore, more responsive to the regional, national and the international Digital Economy

By adapting the “Value Chain Approach” to the discipline and security provided by the VCMx Digital Exchange, improvements to traditional “Global Supply Chains” through “Secured Digital business to business relationships”

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