Assignment 2 - Porters Value Chain Analysis
Assignment 2 - Porters Value Chain Analysis
25490)
The above diagram shows Porter Value chain analysis, developed by Michael porter and
presented in his book named as “Competitive Advantage” in 1985.
This scheme classify organization into 9 activities further separate into two main categories
named as primary activities and secondary activities.
Primary Activities
1. Inbound Logistics: Receiving, warehousing and routing of direct and indirect received materials.
4. Marketing and Sales: It involves value exchange process to generate revenue by means of
increasing sales.
5. Service activities: Activities that maintain and improve perceive customer value such as
customer support, gratuity and maintenance services.
Support Activities
1. Procurement: Sourcing and purchasing of direct and in direct material from PR to A/P invoicing.
2. Technology Development: Market research, product analysis and tools management to achieve
promised customer service level.
3. Human Resource Management: Talent acquisition, aligning cooperate goals with employee
target, learning and development of employees to cater future talent demand.
4. Firm Structure: Finance management, quality assurance and other legal activities needed for
smooth organization operations.