Value Chains Versus Supply Chains

Andrew Feller · Dan L. Shunk · Tom Callarman

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Quality and Supply Management Sustainable Supply Chain Management Corporate Governance and Management

Abstract

The concept of a Value Chain has existed for twenty years but we find it still is an unclear concept. It has been suggested that the third generation supply chain is based on customer intimacy and is fully synchronized. In this paper, the authors discuss the need to relate the concepts of the value chain and the supply chain in a more comprehensive and integrative manner. We begin with a discussion of value and the development of the concept of value chain. We then discuss similarities and differences of the value chain and the supply chain, and conclude with suggestions regarding the need for synchronizing value and supply chains to optimize business performance.

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References

1985Competitive Advantage: Creating and Sustaining Superior Performance 2006The Core Competence of the Corporation 2005The governance of global value chains 1998Competitive advantage: creating and sustaining superior performance 1997Supply Chain Management: More Than a New Name for Logistics 1998Supply Chain Management: Implementation Issues and Research Opportunities 1997Lean Thinking-Banish Waste and Create Wealth in Your Corporation.2006Book Review: The World Is Flat: A Brief History of the Twenty-First Century by Thomas L. Friedman. New York: Farrar, Straus and Giroux, 2005

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