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Business Process Management Reflective Analysis - Research Paper Example

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The author of the "Business Process Management Reflective Analysishave" paper discovered the importance of value chain in modern management. The author has found that the concept is applicable in all types of organizations, be it a service provider or be it a product manufacturer…
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Business Process Management Reflective Analysis
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Download file to see previous pages Several definitions of ‘strategy’ are available in both academic as well as a business arena. According to Chandler’s opinion, strategy refers to “the determination of the basic, long-term goals and objectives of an enterprise and the adoption of courses of action and the allocation of resources necessary for those goals” (Mazzucato, 2002). Michael Porter, on the other hand, has defined strategy as the “broad formula for how a business is going to compete, what its goals should be and what policies will be needed to carry out these goals” (Harmon, 2007). It is quite clear that there are three different phases that form the strategy. In the first phase, management identifies what the company is doing now. In other words, they identify the existing strategies of the company. In the next phase, it is important to understand about the environment in which the company operates in and in the final phase management has to decide about the next actions that are required to be taken. These decisions are taken by comparing the environmental situation with the company’s existing strategies (Harmon, 2007).

The concept regarding the value chain is made popular by the famous management expert Michael Porter. Now it is considered as one of the most crucial sources of sustainable competitive advantage for the business organizations. The basic idea of the value chain is referred to as the processes that convert the raw materials into the finished products that are saleable as well as consumable. It engages the main activities of a company and these activities are organized in such a way that each of them adds ‘value’ to the entire business operation. In simple words, a value chain is the combination of the supply chain and distribution chain (Orcullo, 2007).

Michael Porter has developed a specific model on the value chain. In this model, there are five primary activities that are directly responsible for value creation. In order to support these five activities, there are four secondary activities that indirectly create values. ...Download file to see next pagesRead More
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