Value chain analysis in consumer focus improvement

Abstract

PurposeA key vision of tomorrow's industry is creating supply chains which collaboratively strive on enhancing the value to the end‐consumer. The purpose of this paper is to introduce the food value chain analysis (FVCA) methodology for improving consumer focus in the agri‐food sector based on the lean paradigm, value stream mapping and value chain analysis (Porter, 1985).Design/methodology/approachThis contribution presents a case‐study of a UK red meat supply chain explaining how the FVCA method enabled a team of researchers and practitioners to identify the misalignments of both product attributes and supply chain activities with the consumer needs.FindingsThis paper explains how the FVCA methodology potentially realigned the processes along the supply chain with the true consumer requirements and why the supply chain effectiveness was improved; this follows with a description of the subsequent efficiency gains from application of the FVCA methodology.Originality/valueThis paper further defines the demarcation between supply chain “effectiveness” and “efficiency”. This paper contributes to the debate on the importance of supply chain effectiveness by linking to consumer value at every stage of the supply chain.