Value Chain Analysis is a process where a firm identifies its primary and support activities that add value to its final product and then analyze these activities to reduce costs or increase differentiation (Jurevicius, O., 2013). Value chain is based on the process view of organizations, the idea of seeing a manufacturing or service organization as a system, made up of subsystems each with inputs, transformation processes and outputs. Inputs, transformation processes, and outputs involve the acquisition and consumption of resources such as money, labor, materials, equipment, buildings, land, administration and management. How value chain activities are carried out determines costs and affects profits. (IfM, 2015) Value Chain Analyze is internal factor of company that can control and change any things. Value Chain consists of primary activities and support activities.
Value Chain Analysis is a process where a firm identifies its primary and support activities that add value to its final product and then analyze these activities to reduce costs or increase differentiation (Jurevicius, O., 2013). Value chain is based on the process view of organizations, the idea of seeing a manufacturing or service organization as a system, made up of subsystems each with inputs, transformation processes and outputs. Inputs, transformation processes, and outputs involve the acquisition and consumption of resources such as money, labor, materials, equipment, buildings, land, administration and management. How value chain activities are carried out determines costs and affects profits. (IfM, 2015) Value Chain Analyze is internal factor of company that can control and change any things. Value Chain consists of primary activities and support activities.
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