Cost Advantage via Value Chain Analysis

Overview/Description
 This course teaches the learner considerations in assigning costs and assets to value-chain activities. Drivers and dynamics of costs are presented to enable managers to identify areas of cost advantage. Finally, the course addresses the application of knowledge of costs to develop sustainable low-cost provider strategy.

Target Audience
 Middle and upper level managers involved in business strategy development, students of business management, and others interested in understanding competitive positioning and how to improve an organization's effectiveness.

Expected Duration
1.5 hours

Lesson Objectives:

Value Chain for Cost Analysis

  • identify the significance of understanding the value chain in cost analysis.
  • identify the principles applied in disaggregating a generic value chain.
  • analyze the assignment of costs and assets in a given case.

    • Cost Behavior

  • identify the significance of cost behavior employed in a value chain.
  • identify the cost drivers that determine the value activity given an example.
  • diagnose the cost drivers given a case study.
  • identify the sources of cost dynamics that influence the value activity.

    • Cost Strategy

  • identify the significance of comprehending cost strategy implementation and its pitfalls.
  • identify the cost drivers that have been controlled in a given case.
  • analyze the reconfiguration of value chain in a given case.
  • identify the pitfalls a company made in a given case.

    • Course Number: STGY0332