Value chain Analysis

1. Value Chain Analysis
-Prof. Nishikant C. Warbhuwan
Research Scholar, S.R.T.M. University Nanded,
S.R.T.M. University, Sub centre, Latur, India.

2. Value Chain Analysis
Introduction:
Every business activity is composed of number of separate tasks which ultimately lead
to value creation in terms of company’s products/ services
These activities put together in a successive sequence of value addition we get a chain of
activities called value chain
The goal of these activities is to offer the customer a level of value that exceeds the cost
of the activities, thereby resulting in a profit margin
Chain of activities starting from new material purchase to delivery of finished products
Every activity in a chain adds some value to the product, may it be cost cutting or value
addition
A competitive advantage can be achieved by analyzing and restructuring the value chain
to provide lower cost or better differentiation
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7. अवघ्या 15 हजारात अॅॅपलचा आयफोन 4
मु
ंबई
: स्माट
रफोन चाहत्यांसाठी खुशखबर आहे
. कारण अॅॅपल अवघ्या 15 हजार रुपयात आपला आयफोन-4 िरलाँच
करत आह
े
. त्यामुळ
े भारतीय बाजार कािबज करण्याचा अॅॅपलचा इरादा
, आणखी मजबूत झाला आह
े
.
अॅॅपलचा आयफोन 4 हा 8 जीबीचा आह
े
. त्याची िक
ंमत केवळ
15,000 रुपय
े असेल
. त्यामुळ
े मोबाईलप्रेमी या फोनच्या
खर
ेदीसाठी झुंबड उडवतील
, असा अ
ंदाज आहे
.
सध्या भारतीय बाजारात स
ॅमसंग
, मायक्रोम
ॅक्स यासारख्या कंपन्यांची चलती आहे
. त्यांना टक्कर द
ेण्यासाठी अॅॅपलने  
आयफोन-4 हा स्वस्त िक
ंमतीत बाजारात आणला आहे
.
यापूवी आयफोन-4 ची िक
ंमत
26 हजार 500 रुपय
े होती
.
आयफोन 4 हा तीन वषारपूवी लाँच करण्यात आला होता. त्यान
ंतर आयफोन
4S, 5, 5C, आिण 5S ह
े फोन लाँच करण्यात
आल
े
.
ग
ेल्या काही मिहन्यांपासून अॅॅपलने आपलं उत्पन्न थांबवलं होतं
. क
ंपनीच्या लेटेस्ट फोनच्या िवक्रीत वाढ व्हावी
, यासाठी
हा िनण
रय घेतल्याचं सांिगतलं जातंय
.
02/25/14 7
nishikant.warbhuwan@srtmun.
ac.in

8. Porter’s Generic Value Chain
SUPPORTED BY →
Firm’s Infrastructure
HR Management
Technology Development
Procurement
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9. Inbound Logistics:-
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10. Inbound Logistics:-
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11. Value Chain Analysis
Inbound Logistics:-
The receiving & warehousing of raw materials & their distribution to
manufacturing as they required.
Case of Tata Motors:
Long term contract with service provider’s – transporters and
agents.
Transparency and monitoring through deployment of IT – all
transactions through SAP.
Efficient storage facilities – easy storage and retrieval.
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12. Operations:-
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13. Value Chain Analysis
Operations:-
The process of transforming inputs into finished products/services
Apprentice Trainee Course – ensuring stable source of skilled
manpower.
Automated manufacturing processes.
Distributed manufacturing – Assembly units at South Africa,
Thailand, Bangladesh, Brazil etc.
Capacity Utilization – Mercedes Benz cars make use of Tata
Motors paint shop facilities. .
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14. Outbound Logistics
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15. Value Chain Analysis
Outbound Logistics:-
The warehousing & distribution of finished goods
Stockyards, all across the country.
Long term contracts with transporter’s – higher volume of
business to transporters ensures competitive price.
Regional Sales Office and Vehicle Dispatch Section linked
through SAP.
Efficient security system for prevention of any kind of
pilferage.
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16. Marketing & Sales:-

17. Marketing & Sales:-

18. Value Chain Analysis
Marketing & Sales:-
The identification of customer needs and the generation of sales
Clear identification of product requirements, leading to
development of innovative products – Tata 207 DI, Tata Ace
Independent teams for addressing the requirements of
institutional customers – Defense, State Transport Units
Helping to augment the scarce resources – Fiat selling vehicles
through Tata dealerships, in return Tata has access to Fiat’s
technology and unutilized capacity.
Large network of dealers
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19. Services:-
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20. Value Chain Analysis
Services:-
The support of customers after the products & services are sold to
them
Easy availability of spare parts.
Efficient collection of data from field and communication to the
respective plants.
Large network of workshops – Dealer workshops and TASS.
Training facilities – for dealer
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21. Value Chain Analysis
Supported By
Infrastructure:-
Organizational structure, control systems, company culture etc.
Human Resource Management:-
Employee Recruiting, hiring, T&D, Compensation
Technology Development:-
Technologies to support value creating activities
Procurement:-
Purchasing inputs like materials, supplies, equipment
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22. Value Chain & Value System of TATA
motors
Inbound
Logistics
Operations
MarketingService
Outboud
Logistics,asSryTc!chnoMyeIMnyT
Suppliers , Contractors
SAP , VCM
SAP , CRM - DMS,MyeMrLSIctssSeoIrT
Strategic AlliancesvyeoTnyMryT!chno n.c%yS ryTc
tTTnISeMSno
Transporters, Convoy Drivers
Association%resryc&rM' ny!ceyrMSoLc
# rTreyI c(SyUT!cRr SIsrc
(SoeoISoL
Dealer Network, Marketing
Research Firms, Vehicle
Financing#rLSnoesc)eyr naTrT!c%resryc
)nyT nT!c%STMySdaMnyT!c
vt,,
Regional Warehouses, Dealer
Workshops, Distributors,
TASS

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24. [email protected]

25. Value Chain Analysis
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