| EXAMPLE: Crispy Chips Corporation – Value Chain Analysis |
| Firm Infrastructure |
| Crispy Chips has one corporate office and four major production and distribution plants. About 40% of the company is owned by shareholders not employed by Crispy Chips. |
| HR Management |
| Crispy Chips employs approximately 500 corporate employees, production workers, distribution managers, and delivery drivers nationwide. The company retains employees with generous pay, benefits, staff resources, and bonuses. |
| Tech Development |
| The company utilizes a custom-built ordering software so customers can see new flavors, preview new flavors, and see how quickly an item is expected to go out of stock. |
| Procurement |
| The organization's dedicated Supplier Relations department works with more than 20 food & ingredient suppliers, in addition to five suppliers for packaging and distribution materials. |
| Inbound Logistics |
| Operations |
| Outbound Logistics |
| Marketing & Sales |
| Services |
| Crispy Chips sources fresh potatoes from farms local to each production facility. The company also works with nationwide food and packing supply companies to stay stocked up on these commodities. |
| Each batch of Crispy Chips is baked on-site, with flavors added after being cooked. Following a quality flavor check, chips are bagged and then packaged in boxes for shipping. |
| Following packaging, shipments are sent to a customer's retail store, where each bag of Crispy Chips then makes its way to the mouth of a hungry consumer. |
| Crispy Chips mainly advertises on television and social media. Sales are conducted between Crispy Chips Account Executives and retail stores, grocery stores, and restaurants that want to sell Crispy Chips to consumers. |
| Crispy Chips guarantees 100% customer satisfaction for both stores and consumers. To support this claim, Crispy Chips issues refunds for defective or unsatisfactory products upon request. |