Value Chain Management

A Value Chain is a related group of organisations co-operating to progressively add value in response to market opportunities.

Value Chain Management is the review of all elements of a value chain. With a view to achieving the following:

• Reduced cost of doing business
• Increased market share
• Reduced lead times
• Reduced inventory or physical stock movement
• Increased capacity

Value chain management achieves this by focusing in three key areas:

• Identifying and eliminating value destroying intercompany activities/ processes
• Identifying and disseminating across the chain the value adding knowledge/ information held by the individual chain partners
• Identifying those activities that exist in the physical/logistical layer of the value chain and seeking to move them to the virtual layer

Graham Raspass, the Managing Director of BSI Learning is one of 16 Government Appointed Value Chain Management Consultants in Australia.