The value chain
The entire value chain begins with the delivery of the materials. This is followed by the incoming goods inspection by the quality assurance department and the storage of the materials by the internal logistics department. Only then does the actual manufacturing of the products begin. Intralogistics supplies the various production sites. The finished products are then handed over to the shipping department. From here, the products are delivered to the customers.
The entire value-added process is digitally mapped with the help of an ERP system. The ERP system is used for production planning and production control, i.e. for planning, scheduling and monitoring the entire value chain.
The core tasks of production Production, also called fabrication, manufacturing or production, is the value-added process in which a producer creates consumer goods from materials by means of labour, using energy and means of production. From a business perspective, production is an organisational function in companies as part of the business process. It is located at the interface between procurement and sales of products.
The value chain
The value chain consists of different functions. These include inbound logistics, operations & production, marketing & sales, outbound logistics and customer service as primary activities and corporate structure, human resources, procurement, development and research as supporting activities. In order for all activities to work well together, the support of an external expert is usually required. With a flawless value creation process, several advantages arise for your company.
These can look as follows:
- Cost savings
- Competitive advantages
- Exploitation of optimisation potential
Nevertheless, companies should think carefully about whether to outsource parts of the value chain. This requires a comprehensive analysis and consideration of the advantages and disadvantages that arise.