Value Chain Analysis

Value Chain Analysis

The Value Chain is certainly at the core of our efforts when we work with our clients on a strategic level. Why? Clearly, this is where most of the leverage is when it comes to structuring a sound business or corporate strategy. The proper engineering of an entreprise value chain will not only maximize profit margins but also create a solid divide between your long term sustainability and your competition.

What is a Value Chain

One can understand the concept of Value Chain as the set of activities or operations a company need to fulfill to deliver a product or service to the market within an industry. In the management sphere, it has been commonly agreed that those activities fit two broad categories: Primary and support activities. The main idea behind value chain is that a well orchestrated fit between those activities, especially those belonging to the primary activities, should provide both value to customers and at the same time generate more profits to the organization.

When complexity is a good thing

At UNEX, we will be the first to advocate for simplicity. But sometimes, complexity is your best defense against competition. Value Chain is one exemple. For a business strategy to be both sustainable and profitable to the organization, two conditions prevail. First, the activities should be structured in a way that positions the organization differently in the market. Second, the architecture of the value chain activities should be difficult to emulate by competition. Thus a well orchestrated value chain takes time, often years, to bring to fruition. Is it worth it? The more difficult it will be for your competitors to imitate your “successful strategy”, the more sustainable it will be.

Why it matters

One could see the Value Chain as the wall of a fortress. If well build, it will protect you against the enemy and allow your economy to prosper. This is obviously an excellent reason to work on a regular basis with those who made their expertise to analyse value chains within one’s industry. On the other hand, having analysts reporting on to you about your competitors respective value chain architecture is akin to exploit the cracks on the wall of their fortress.

Exemples of application

As we said, when it come to value chain analysis, our clients come to us for two reasons. They want to protect and enhance their position within the market or they want to understand their rivals structure. In both cases, the objective remains the same: maximizing competitive advantage.

UNEX, YOUR COMMERCIAL ARSENAL IN A FLASH

Inspired partly by the Japanese Keiretsu, UNEX is a Canadian Competitive Intelligence (CI) and Development Firm (IDF). With a full range of intelligence¹, analytics and business development services to facilitate its clients network globally, UNEX is here to assist you in maximizing your commercial options both at a strategic and tactical levels. Whatever market you chose to compete on, we are here to provide a full commercial arsenal at your disposal to maximize your competitive advantage.

From the executive room to the trenches

Our services are designed to assist both strategy and operations. Our strategic services are geared to serve decision makers at the board or executive room while our tactical services are specifically tailored for marketing, sales and business development functions.