Value Chain Mgnt.
Client Benefits

VALUE Chain management PROCESS

Value chain management is a strategic business management process whereby a firm strives to cost-effectively improve value for its customers in order to gain and sustain competitive advantage in its markets.  As it affects all aspects of the firm’s operations and relations, prior to implementation, VXTConsulting recommends:

1.      A careful review of the clients’ current situation.

2.      Presentation of the opportunities and potential affixed this approach.

3.      Client’s senior management commitment and full support.

We developed a ten step process to manage the variables and interdependencies that go into the development of our clients' competitive strategies and the design of their value activities.  When operated together, the value activities improve upon our clients’ objectives to maximizing customer value at the overall lowest possible cost.  Implications for competitive advantage vary from activity to activity; yet, their combination results in our clients’ sustained growth and profitability.

Implementing value chain management entails: tailoring the process to the specific configuration of the firm; training and communicating; developing the support and management systems and; initiating the process.  VXTConsulting teams up with its clients to ensure a smooth transition throughout the implementation phase and:

Ø      Customizes the Value Chain Management Process and coaches management on its steps, principles, objectives, dynamics, and strategic and planning aspects, as well as what triggers the process; which can be of one of the following:

o       By design (according to the planning steps)

o       Due to the interdependence of variables (nature of optimization)

o       Learning curve (improvements from experience and knowledge transfer)

o       Change in circumstances (customer, technology, competitor, opportunity)

Ø      Initiates the value chain management process by taking the clients’ management and team leaders through the process steps from strategy formulation to launch.

Ø      Develops communication and training programs for management, associates, and strategic value chain partners, as part of a change management process.

Ø      Identifies system requirements reflecting the modified process objectives and relationships and, jointly with select vendors, the clients’ IT staff, team leaders, and process owners, develops a systems architecture to progressively achieve:

o       Process automation and integration across organizational value functions.

o       Sales tools with integrated forecasting and funnel management capability.

o       Integration of ERP, SCM, RPO, SFA and CRM systems and databases.

o       Deployment of a dynamic network collaboration systems architecture.

Ø      Follows up with the clients’ progress, communicates on new helpful research and process methodologies, and supports ongoing competitive development activities.

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Strategy Development
Competitive Assessment
Trend Analysis
Customer Value Analysis
Functional Value Analysis
Channel Development
Relationship Management
Value Chain Mgnt. Process


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