Value Delivery Network :: essays research papers

Value Delivery Network     A value delivery network allows many companies to cause customer value that can non be created by use of the companys own value chain. A Value delivery network, is made up of the company, suppliers, distri onlyors, and in conclusion the customers who partner with each other to improve the movement of the entire system (Armstrong et al. 52). This type of system interests me because I have always been curious as to what street a product or serve well must take in order to be considered a value to a customer. Generating my interest during one of the end studies during class, Accenture is a company that has improved the value delivery network for many companies. Accenture has improved not only the value delivery system for the airline industry, but its own global delivery system with its partner BT.     Accenture found the need to introduce e-commerce to the airline industrys line of services to its customers. E-co mmerce, as Accenture puts it reduces costs, maximizes information about customers, allows targeting original distribution channels, differentiates products, establishes long term relationships, and creates lifetime loyalty all of which creates value in the delivery network (Stewart). E-commerce allows the airline industry to connect to its customers directly and with one-third party electronic channels that provide value to customers in ways unknown in the traditional distribution cycle (Stewart). As a consulting firm, Accenture not only improved the value delivery network for the airline industry, but for its partner BT.      Signing a 10-year, $575M outsourcing contract w/ BT, Accenture has essentially expanded its geographical reach of services provided to BT within the global market. Services provided under the new contract include customer contact/call center, recruitment, pension administration, payroll and benefits administration, performance management administration, health and safety, and HR advisory and information services. By outsourcing most of its services to Accenture, BT improves its value delivery network by providing lower costs and higher(prenominal) quality services to its customers. As stated by BTs Alex Wilson, "Accenture HR Services has a proven track record of consistently high quality service and a true partnership approach. These were key factors in its selection, along with its unmatched ability to deliver HR services on a global basis. This concord will allow our staff to concentrate even more on the strategic role of HR management to our growing global business." Just as Honda has outsourced all of its automobile mirror operations to Donnelly Corporation benefiting both companies in terms of increased performance and passing the value on to its customers (Armstrong et al.