value chain

(redirected from Value Chains)

Value Chain

The set of activities whereby a company take raw materials and turns them into finished products by adding value at each step. For example, take a conglomerate that controls every step of a supply chain. It may have a timber division that cuts down trees, which adds value to the wood because it can then be used. It then sends the timber to the milling division, which adds value by refining the timber into planks of wood. The carpentry department refining the planks adds value by making them into a table, which can then be sold to a customer.

The value chain analyzes how much value each activity adds to the final product against how much each step costs. The two may not be equivalent; making a table may add a great deal to the wood's value without costing very much. Analyzing the value chain is one strategy a company can use to identify and cut costs in a way that maximizes profit.

value chain

see VALUE ADDED CHAIN, VALUE CHAIN ANALYSIS, VALUE CREATED MODEL.
References in periodicals archive ?
USAID calls this work 'upgrading value chains.' Coffee is one of the crops in Myanmar undergoing value-chain development.
The organisers of National Agriculture show has said that this year's Show would be centered on attracting youths into agriculture in order to develop the various agricultural value chains in the country.
'ASCeND is envisioned to be a learning platform for banks and nonbank RFIs that plan to engage in AVCF, as well as for ACPC and other government agencies involved in developing and supporting agriculture value chains,' it added in a statement on Monday.
As an expected result of this project it will revitalize the livelihood of value chain actors, covering their daily income from the apple and cattle value chains and to improve practices of food manufacturers and processors along with the related enabling environment across two provinces of Pakistan.
This project will revitalise the livelihood of value chain actors, covering their daily income from the apple and cattle value chains and to improve practices of food manufacturers and processors along with the related enabling environment across two provinces of Pakistan.
Your most important duties will be as follows: Identified as key agricultural production areas of WHH project participants, the consultant will describe the sheep farming, tomato, cucumber, fig and olive value chains with a focus on opportunities and barriers for development and identify market-based solutions (MBS) for micro/small scale producers He/she will provide strategic recommendations through a concrete list of activities and timeline, based on the key findings of the value chain analysis (VCA) The study will be used as a basis for a sustainability-oriented business model, integrating producers to be reliable and self-sustaining partners in the value chain
Agriculture Minister Erkinbek Choduyev addressed the round-table discussion on development of value chains for milk, meat, wool and honey on July 15 in Bishkek.
This is by providing and promoting a market place, livestock value chains services, and other accountable extension services.
Margaret Adamson signed Memorandum of Subsidiary Arrangement for Developing Competitive and Inclusive Value Chain of Pulses in Pakistan to support development of socially inclusive and competitive value chains of chickpeas, lentils and mung beans in Punjab and Sindh, with spill-over effects in Khyber Pakhtunkhwa.
The business community in COMESA is set to benefit from e1/410m kitty provided by the European Union (EU) to support increased private sector participation in regional and global value chains.
While the expansion of global value chains (GVCs) has generally slowed since the financial crisis of 2008-09, recent data shows that complex value chains involving production processes across multiple economies grew faster than GDP in 2017, according to Global Value Chain Development Report 2019.
'It is on that basis that we developed value chains for all beneficiary packages to guide future packaging to avoid over-subscription of the same packaging at any given time and location, identify gaps within the value chains for the purpose of addressing that for self-sustaining value chains,' he said.