Rapid-Response Capability in Value-Chain Design Harvard Case Solution & Analysis

Regardless of industry, all companies operate in an increasingly rapid evolutionary tracks and in even greater danger. The real core of the opportunity - perhaps the only stable one, say the authors Charles Fine, Roger Vartan, Robert Pethick, and Jamal El-Hout - is its ability to restructure their chain of continuous rearrangement of structural, technological, financial and human assets, to find maximum, although a temporary competitive advantage. The ultimate goal of the strategic analysis of the value chain, the authors say, is building institutional capacity to respond quickly to rapidly evolving industry dynamics. To perform this analysis, the authors developed a strategy for the value chain over an annual strategic assessment in organizing General Motors Powertrain. The framework seeks to answer four key questions: where value is created and what activities do not add to the total value of the enterprise? What areas of the business should remain in the house opposite to be transferred? Where investments have been made and how they should be used? As the value chain will be organized to optimize existing and new alliances? To answer these questions, the authors use not only traditional economic value-added analysis, but also their own strategic valuation, which considers factors such as customer preferences, rate of change in the underlying technology, competitive market position, the depth of the supply base, and the integral or The modular nature of the asset. Widely used in the framework shown in the author's discussion of the decision of IBM to outsource its first microprocessor PC to Intel, the company's decision to outsource consumer goods manufacture branded products and Recording Industry Association of America's decision to put down, and you buy a file-sharing capabilities Napster. "Hide
by Charles H. Well, Roger Vartan, Robert Pethick, Jamal El-Hout Source: MIT Sloan Management Review 9 pages. Publication Date: December 1, 2002. Prod. #: SMR077-PDF-ENG

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