NOT many are fully aware of a certain process which experts refer to as the value chain analysis or VCA as applied in business or entrepreneurship.
Said VCA is a process where an enterprise identifies its primary and support activities that add value to its final product and then analyze these activities to reduce costs or increase differentiation.
While representing the internal activities which a firm transforms inputs into outputs, the chain analysis is a tool used to analyze internal work activities from start to finish or input to output. Further, the goal of the process is to recognize which activities are most valuable to the business and which process can be improved to achieve a competitive advantage.
When economist and author Michael Porter introduced his value chain model in 1985, hundreds of followers tried his five forces analysis which became the model framework for analyzing the level of competition within an industry and business strategy development.
According to the Porter’s Value Chain, most organizations engage in numerous activities that runs to even hundreds in the work process. These activities can be classified generally as either primary or support activities that all businesses must undertake in some form.
First of the five primary activities of the value chain is Inbound Logistics which involve relationships with suppliers and include all the activities required to receive, store, and disseminate inputs. The second is Operations referring to all the activities required to transform inputs into outputs or products and services. Third is Outbound Logistics which include all the activities required to collect, store, and distribute the output. Fourth is Marketing and Sales which refers to the activities meant to inform buyers about products and services, induce buyers to purchase them, and facilitate their purchase. The fifth and last of the primary activities is Service which includes all the activities required to keep the product or service working effectively for the buyer after it is sold and delivered.
The secondary activities in Porter’s value chain has four components.
First is Procurement referring to the acquisition of inputs, or resources, for the firm followed by Human Resource management which consists of all activities involved in recruiting, hiring, training, developing, compensating and if necessary dismissing or laying off personnel. The third is Technological Development which pertains to the equipment, hardware, software, procedures and technical knowledge brought to bear in the firm's transformation of inputs into outputs. The fourth and last of the secondary activities is Infrastructure that serves the company's needs and ties its various parts together, it consists of functions or departments such as accounting, legal, finance, planning, public affairs, government relations, quality assurance and general management.
All these when thoroughly taken into consideration provides a simple perspective for accessing and analyzing the competitive strength and position of an enterprise or a firm.
Branding on the other hand is defined as the process involved in creating a unique name and image for a product in the consumers' mind, mainly through advertising campaigns with a consistent theme. Branding aims to establish a significant and differentiated presence in the market that attracts and retains loyal customers. A type of branding process that dates back to ancient times is the marking livestock or animals using a fire heated piece of metal that leaves a mark on the animal’s back when pressed on it.
The Cordillera as a region is known for many things like the Banaue Rice terraces, Sagada Caves and the upland indigenous peoples as a whole including the indigenous tattooing of Ina Whang-od of Buscalan, Kalinga.
Latest to hit global attention is the dynamic mixed martial arts group of Team Lakay which has really scored big in as far as this form of sports is concerned. The recent winnings of its stalwart fighters coached by Mark Sangiao and Eduard Folayang has created a record in Asia for viewership and subscription making the Team Lakay a byword among Filipinos.
My office is also promoting a cluster of industries relating to coffee, bamboo and wearables made of locally woven fabrics. With all the festivals and tourism initiatives that promotes trade and culture in the upland region, the Cordillera region is branding itself as destination for eco-cultural tourism, indigenous products and organically grown food products.
As my group of 16 artists prepare to go to Davao for an art encounter and cultural exchange, I took a portrait of me wearing an ethnic outfit complete with a head wrap, a metallic necklace called “bwaya” and a Bontoc “Pinagpagan” blanket.
In order to promote an image symbolizing an old Igorot, I attached a #ApoLakay hashtag on my Facebook post and there were surprising results.
I came to know that the same hashtag is also used on the late strongman Ferdinand E. Marcos. When I tried to scan for its female counterpart #ApoBaket, it turned out that it is being used for posts showing the Blessed Virgin Mary. My daily encounter with social media is truly a learning experience.