value chain


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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 ?
This developed as Dar also announced that the agency will institutionalize the value chain analysis in implementing its programs.
The National Agriculture Show which is organized by National Agriculture Foundation of Nigeria, is an annual agricultural Show where states, agricultural value chain associations, stakeholders in the sector, display their products and network with each other.
The program, called 'Agricultural Value Chain Financing Support and Capacity Building through Entrepreneurship and Organizational Development' (ASCeND), came to fruition through a memorandum of agreement (MOA) signed last August 9 by participating entities.
The grant amount of Japanese Yen 560 million will be utilized by UNIDO to pilot the enhancement of productive and compliance capacities of relevant actors in the cattle meat value chain within selected production areas / districts of Khyber Pakhtunkhwa (Peshawar, Abbottabad, Kohistan and D.I.
The grant amount of Japanese Yen 560 million will be utilised by UNIDO to pilot the enhancement of productive and compliance capacities of relevant actors in the cattle meat value chain within selected production areas of KP (Peshawar, Abbottabad, Kohistan and D.I.
The grant amount will be utilized by UNIDO to pilot the enhancement of productivity and compliance capacities of relevant actors in the cattle meat value chain within selected production areas / districts of KP (Peshawar, Abbottabad, Kohistan and D.I.
Tenders are invited for Value Chain Analysis and Business Strategic Orientation Consultant (m/f)
According to Choduyev, small agricultural producers often incur losses and do not participate in the value chain.
The cloud-based solution will enable Husky to plan and schedule its enterprise value chain from crude supply to product distribution through a single and unified system.
The annual show brings together value chain players to discuss sustainable livestock and rangeland management.
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.
A statement showed that a value chain study is now being carried out to beef up the country's calamansi output and export in countries like Hong Kong, United Arab Emirates, and Saudi Arabia.