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1、,Value Chain Management: Functional Strategies for Competitive Advantage,McGraw-Hill/Irwin Contemporary Management, 5/e,Copyright 2008 The McGraw-Hill Companies, Inc. All rights reserved.,chapter nine,9-3,Learning Objectives,Explain the role of functional strategy and value-chain management in achie
2、ving superior quality, efficiency, innovation, and responsiveness to customers Describe what customers want, and explain why it is so important for managers to be responsive to their needs Explain why achieving superior quality is so important and the challenges facing managers and organizations tha
3、t seek to implement total quality management,9-4,Learning Objectives,Explain why achieving superior efficiency is so important and the different kinds of techniques that need to be employed to increase it Differentiate between two forms of innovation, and explain why innovation and product developme
4、nt is a crucial component of the search for competitive advantage,9-5,Four Ways to Create a Competitive Advantage,9-6,Toyotas Product Lineup,Figure 9.2,9-7,Functional Strategies and Value-Chain Management,Functional-level strategy plan of action to improve the ability of each of an organizations dep
5、artments to performs its task-specific activities in ways that add value to an organizations goods and services,9-8,Question?,What is coordinated sequence of functional activities necessary to transform inputs into finished goods? A. Input chain B. Transformation series C. Value chain D. Value strin
6、g,9-9,Functional Strategies and Value-Chain Management,Value chain coordinated series or sequence of functional activities necessary to transform inputs into finished goods or services customers value and want to buy,9-10,Functional Activities and the Value Chain,9-11,Functional Strategies and Value
7、-Chain Management,Value-chain management development of a set of functional-level strategies that support a companys business-level strategy and strengthen its competitive advantage,9-12,Functional Strategies and Value-Chain Management,Product development engineering and scientific research activiti
8、es involved in innovating new or improved products that add value to a product Marketing functions task is to persuade customers a product meets their needs and convince them to buy it,9-13,Functional Strategies and Value-Chain Management,Materials management function controls the movement of physic
9、al materials from the procurement of inputs through production and into distribution and delivery to the customer,9-14,Question?,Which function provides after sales service and support? Production function Sales function Customer service function Call center function,9-15,Functional Strategies and V
10、alue-Chain Management,Production function responsible for the creation, assembly or provision of a good or service, for transforming inputs into outputs Sales function plays a crucial role in locating customers and then informing and persuading them to buy the companys products,9-16,Functional Strat
11、egies and Value-Chain Management,Customer service function provides after sales service and support Can create a perception of superior value by solving customer problems and supporting customers,9-17,Improving Responsiveness to Customers,Good value-chain management requires marketing managers to fo
12、cus on defining the company business in terms of customer needs,9-18,What Do Customers Want?,A lower price to a higher price High-quality products Quick service and good after-sales service Products with many useful or valuable features Products that are tailored to their unique needs,9-19,Customer
13、Relationship Management,Customer relationship management technique that uses IT to develop an ongoing relationship with customers to maximize the value an organization can deliver to them over time,9-20,Impact of Increased Quality on Organizational Performance,Figure 9.4,9-21,Improving Quality,An or
14、ganization able to provide, for the same price, a product of higher quality than a competitors product is serving customers better Higher product quality can increase efficiency,9-22,Total Quality Management,Total quality management (TQM) focuses on improving the quality of an organizations products
15、 and stresses that all of an organizations value-chain activities should be directed toward this goal,9-23,Steps to Successful TQM Implementation,Build organizational commitment to quality Focus on the customer Find ways to measure quality Set goals and create incentives Solicit input from employees
16、,9-24,Steps to Successful TQM Implementation,Identify defects and trace to source. Introduce just-in-time (JIT) inventory systems. Work closely with suppliers. Design for ease of production. Break down barriers between functions.,9-25,Focus on the Customer,Identify what customers want from the good or service that the company provides Identify what the company actually provides to customers Identify the gap that exists between what the customers want and what they get (quality
