The emergence of value chain thinking Online publication date: Mon, 06-Mar-2017
by Togar M. Simatupang; Pairach Piboonrungroj; Sharon J. Williams
International Journal of Value Chain Management (IJVCM), Vol. 8, No. 1, 2017
Abstract: The concept value chain has been promoted by Porter for more than three decades. A value chain represents a chain of activities that an organisation performs to deliver a valuable product for the market. Porter's value chain assumes that an organisation is a system composed of inputs, transformation processes, and outputs. Each activity in the system involves the acquisition and consumption of resources. How the organisation carries out value chain activities determines costs and profits. One enhances the competitiveness of a company by improving its value chain structure. However, little attention has been given to developing value chain thinking. This paper examines the emergence of value chain thinking and proposes new value chain thinking that involves a chain of activities linked to one another in order to sustain value. A conceptual model is presented which consists of four steps: value discovery, value design, value delivery, and value capture. A methodology is also proposed in which to operationalise the value chain thinking.
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Value Chain Management (IJVCM):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email subs@inderscience.com
Our Blog 
Follow us on Twitter 
Visit us on Facebook