Implementing Value Chain Model, Essay Example

Introduction

Value chain management refers to the design on which businesses and enterprises obtain raw materials in there companies, affix worth to these raw materials using various processes and techniques and sell them as refined products to their customers.

According to Robbins, there are six requirements that are necessary to be implemented by Smart Chips Company in order to fit and beat competition on market. Value chain management requirement includes: coordination and collaboration, technology investment, organizational process, leadership, employee and human resource management and finally organizational culture and attitudes. If value chain management is well triggered and adopted by Smart Chip Company, it will be able to beat high competition.

Planning is the way one ought to do something in advance in order to get desired results. Organizing is how one manages his employees in an organization to avoid confusion of roles. Controlling is being in charge of every activity that is taking place in an organization to ensure efficiency and finally leading is how one interacts with employees to establish good working atmosphere.

Coordination and Collaboration

The company will need to work together in order to reach for their goals. This is made possible if managers and workers coordinate in any activity that takes place in the company. For instance, if the Smart Chips company wants to market its products, sales marketers should market the product with one heart aiming to beat their competitor. This creates conducive atmosphere for work hence selling more products than there opponents on market. Collaboration is aided by sharing ideas, knowledge, new skills and reaching a common stand as an organization (Ehab & Salim, 2010).

Technology Investment

Competition from other companies should trigger the company to start maximizing its sales on each customer. For this to happen, a company should have well developed technological system in order to grab customers. Because of improved technology, the company would be able to market its products via the internet and reach most parts of the world since the world has become a global village.

More so, enhanced technology will help in large production of products, sorting of the products, accounting, assembling, communication and marketing. In addition, transportation will require use of modern tracks to avoid any cases of delay in delivery of product. This will enable the Smart Chip Company to offer high competition to its opponents thus winning more customers (Lee & Larry, 2006).

Organizational Process

Organizational process is where a company organizes its operating system through many processes and stages that a product undergoes. It includes measures taken to improve the operation and performance of the business, how to deal with problems and challenges, decency reproduction that leads to attainment of company’s objectives and goals. The Smart chip company should revamp its production stages using different activities that are similar to defining the requirements that are needed in product production. This will in long run influence production in a positive manner whereby, there is increased quality production. It is important to sustain and maintain the operation of the company at the times when market is ready and product is nearing completion (Lee & Larry, 2006).

Employee and Human Resource Management

For any company to succeed on this competitive market, it needs to motivate its employees for them to work hard for success of the company. Employees should be trained for them to be able to produce high quality products. In addition, human resource department will ensure friendly existence among workers in the organization. When the company has high qualified and skilled personnel, it will be able to offer tough competition on its products that other company’s will not manage to beat (Martin, 2005).

Leadership

Leadership of any company is vital for its survival. Existence of good relationship between mangers and sub-ordinates will ensure delivery of results in the company where they have relevant knowledge. Junior members will rely on their seniors for direction. More so, employee’s roles are defined and well elaborated to them. This equips every employee with requisite on what to do and at what time to do it therefore raising the company’s image to its customers. At the end they are able to outshine their opponents because of brilliant leadership (Martin, 2005)

Organizational Culture and Attitude

Organizational culture refers to organizations management that stipulates the attitudes, beliefs and values of employees in an organization while attitudes are beliefs about a product the company is producing. This will influence the thinking of people on what kind of products to produce, methods that members will use to arrive at the company’s goals and the behavior of people in the company. This will have an impact on type of finished products that will be produced. Smart Chip Company should bring its members close as one family with same objectives and goals, when they work as team, they will be able to contain pressure from other companies in the same field (Ehab & Salim, 2010).

Conclusion

All in all, it has been seen how value chain management can help a company to beat competition on market. For example, good leadership gives morale to workers to do the work and target to win more customers than their opponents. In this case, smart chip company should adopt this kind of management in order to sell its products faster than its competitors.

References

Ehab, H.S & Salim, N.S. (2010). Lean and Agile Value chain Management Guide to the next level of improvement. Michigan City: J Ross Publishing.: A

Lee, J. K& Larry, P.R. (2006). Operations management: Processes and value chains, 8^th edition. New York: Prentice Hall.

Martin, C. (2005). Logistics and Supply chain management: Creating value adding networks. Fort Wayne City: F T Press.