More handpicked essays just for you.
The importance of the value chain analysis
Impacts of electronic health records on patients
Impact of electronic health records in healthcare
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Introduction Value Chain Analysis is used to describe the activities that take place within the organization and relates them to an analysis of the competitive strength of the organization. Michael E. Porter (1991) stated that the activities of an organization could be divided into two groups: Primary Activities- Those that are directly concerned with creating and delivering a product and Support Activities- this group consist of those not directly involved in production, this group also add values to the organization because they help to increase effectiveness or efficiency (e.g. human resource management). Porter also stated that is not common for an organization to undertake all primary and support activities (Porter, 1991). …show more content…
When employees are motivated, the value chain is also improved. At Children’s National, moving up the value chain is a form of continuous change that has improved over time. To have a competitive advantage in the health industry, Children’s National changed its culture by revamping its human resource management; new policies and procedure were implemented, Employee Spotlight was introduced, benefits, compensation and incentives were also renewed. Children’s National’s mission to be preeminent in providing health care services to children locally and internationally through leadership and innovation. Children’s National recognized that the employees were the heart of the organization and the soul of the hospital’s mission. The HRM also added richness to the culture of the hospital by practicing teamwork, dedication and professionalism (Children’s National Medical Center, …show more content…
At Children’s National, patient care is at the fore front and this has been a challenge because of the increasingly changing world of technology. Strategic information systems (SIS) also known as support system (Swayne, Duncan and Ginter, 2008) was introduced at Children’s National in 2005 when the Electronic Medical Record was implemented and the whole organization went paperless. Children’s National has the leading NICU in the country, its state- of- the art facility opened up less than three weeks ago; consists of 54 bed private rooms, equipped with two flat screen televisions, a personal computer, a refrigerator and a futon for family members. Each floor is equipped with a beautiful laundry room furnished in elaborate colors, a large flat screen television and an expresso coffee machine and three desk top computers! Children’s National wished to outperform its competitors through differentiating itself through higher quality and it performed its value chain activities better than the opposition. SWOT analysis The biggest problem faced by Children’s National is how to best increase the hospital's capacity to serve more patients while at the same time maintaining control of quality of service delivered and customer satisfaction.
Strengths
Children’s National
...he company which suggests that if you examine managerial styles and work to improve employee satisfaction there will be a correlational increase in productivity and retention. It suggests that perhaps people leave companies not because they are unsatisfied with their work or pay, but rather, because they are unsatisfied with their manager. While this idea might seem brash, it is a significant point being made that suggests that in order to see improvement you need to revamp a program or company from the top. Having worked as both an entry level worker and a managerial supervisor, I can testify to the importance of manager support, appreciation, and feedback and how this impacts your role in the company. Seeking out the strengths in employees, though it seems so obvious in theory, is a revolutionary way to transform the work environment and employee morale.
The series of activities that are enacted by a firm that add value to a product beyond the cost of the production are referred to as the value chain. Harley Davidson offers a combination of superior performance and unique attributes within its value chain that promotes their core competencies and provides them with a competitive advantage.
• Analyzing the value chain of the McDonald’s Corporation to determine where they can create using resources, capabilities, and core competencies, which have been discussed above.
“Without change there is no innovation, creativity, or incentive for improvement. Those who initiate change will have a better opportunity to manage the change that is inevitable.” William Pollard’s, a 20th century physicist, words show us the power of being proactive, and igniting change to strengthen a company’s productive climate (Sellers, Boone, Harper, 2011). Acme Airlines flight attendants lacked incentive to improve the quality of their work, as a result of distrustful management and overall frustration within the company. Acme took successful steps to rebuild their FA program into a more relationship oriented work environment. Through an understanding of effective leadership, we will use the
In a high competitive world market and with the increasing rational buyers a company can only win by creating and delivering the best customer value than the others competitors do. To succeed, a company needs to use the concepts of value chain.
Quint Studer’s, Hardwiring Excellence: Purpose, Worthwhile Work, and Making a Difference, is designed to motivate healthcare leaders to positively transform the culture of their organizations to move them from good to great. Studer notes that he aims for every healthcare leader to read this book and then ask all those who work with them to read it also. Hardwiring Excellence focuses on transforming culture by hardwiring positive attitudes in employees to create and sustain a great place for employees to work, for physicians to practice, and for patients to receive care. Studer emphasizes that transformation begins with core values of commitment to purpose, worthwhile work, and making a difference, which are cultivated by the ‘healthcare flywheel’ that creates the momentum necessary to drive change. Studer identifies nine principals that guide the flywheel to motivate transformation.
Many organizations today place multiple demands on its leaders to provide vision, initiate change, and make difficult decisions when necessary. In order for leaders to handle these demands, leaders must be able to be flexible and most importantly be able adapt to change. Having strong leadership skills and a sense of direction are part of the trades that successful businesses seek in a leader. Therefore, it is important for leaders to engage effectively with their subordinates in order to build commitment, in order to motivate and improve the quantity and quality of their work. Good leaders will find innovated ways to motivate their staff using a variety of skills whether it is through training or experience, which will help to accomplish a common goal.
Every company in any industry consists of collection of activities that help the company to create value for their customers, these collection of activities celled “ value chain”. The value chain has two types of activities: the primary activities and costs, and the support activities and costs. We will explain both of them that are related to Nintendo.
The tool essentially shows the chain of activities required to develop and deliver the products. The effectiveness of the organization vastly improves when all the key activities such as customer, vendor, suppliers and partner within the value chain working smoothly. The value chain used to reduce operational and production cost using low-cost producer strategy. If two service or products are delivery by two separate divisions for two different markets, there are functionality and process that can be integrated to save cost.
This article is about Harrah’s Entertainment; one of the largest casino entertainments made a decision to move away from being a product based company to a strategic marketing company geared towards customer satisfaction by implementing a customer focused rewards program. Bill Harrah, the founder of the company established the company’s reputation on the premise of pride of the employees working for “the best in the business” while given more attention to the condition of the properties. However, when Gary Loveman joined the company as the new Chief operating officer, he made a move towards customer service. Gary Loveman hired Marilyn Winn, the head of Human Resources, to change how the company engaged in people development. Winn came up with a strategic plan to develop Harrah’s human capital. As a result, Winn is faced with the difficult task of improving employee motivation and job satisfaction in a rough economy after 9/11, which changed our nation forever. Although, the company gained market share it did not quite meet the company’s projected level.
Value chain model highlights specific activities where the information systems could be applied. This model is set to identify leverage points in which IS could have a strategic impact to enhance company’s competitive position. The value chain perceives firm as a series of interconnected activities that add a margin of value.
For Dynax to implement an effective value chain analysis, they must identify the value-chain activities and decide how they are going to develop a competitive edge. The primary activities in Dynax’s value chain include the design process, acquisition of raw materials, manufacturing processes, marketing and sales, and customer service. The organization must determine what activities produce the most value and what activities are not contributing any value to external parties. In addition, Dynax must decide if they want to pursue a differentiation advantage or cost advantage. Differentiation advantage will allow the organization to create more superior products, while cost advantage focuses on reducing the costs in any activity of the chain. Moreover, Dynax must study the linkage of value activities and understand that a weakness in one activity will most likely affect the next activity in the chain. Dynax can minimize these occurrences by dedicating more attention and detail to higher valued activities. Lastly, Dynax can analyze and interpret other companies and economies that have previously implemented a value chain analysis through benchmarking techniques to gain a competitive advantage. They can ultimately gather insightful information on the secrets and
Value chain analyses a firm 's internal activities such as planning, production, and development, packaging and distribution so as to create value for clients. The function of the value chain is to identify the sources for cost reduction along with quality improvement. It means value chain is used to identify the strong and weak points, positive and negative points, the scope of improvement; in a nutshell, the advantages and disadvantages of the activities taking place in the system. The value chain is also called as a strategic analysis tool and it is a well-known concept in business management industry.
Though the 4Ps approach has been working for companies for years, it became less effective as the market has developed. This happened due to the fact that product, price, place, and promotion do not include all the activities that are related to marketing a product. As a result, a more efficient approach was developed - the value approach.
To get started, we first need to understand what Crocs' value chain is and how that process plays a role in the strategic direction of the company. The authors of our text, views the value chain as "the entire series of organizational work activities that add value at each step, from raw materials to finished product. In its entirety, the value chain can encompass supplier's suppliers to the customer's customers"(Robbins & Coulter, 2009, p.430). At Crocs, the entire series of organization work activities may be broken down even further using Porter's value chain model of viewing a manufacturing (or service) primary and secondary activities as a "system made up of subsystems, each with inputs, transformation processes and outputs"(Ifm.eng.cam.ac.uk, 2011). A diagram, compliments of Porter(1985) can be seen below: