Strategic Value Sources and Implementation Challenges PPT
This PPT slide, part of the 80-slide Value Managed Relationships Analysis PowerPoint presentation, outlines 3 primary sources of value within the context of managed relationships, specifically focusing on volume/scale economics, value engineering and quality improvement, and systems cost reduction. Each source is accompanied by a methodology that describes how value can be derived and a visual representation of the difficulty of implementation, along with the level of senior management involvement required.
For volume/scale economics, the methodology emphasizes supplier consolidation. This approach enables buyers to negotiate better terms and potentially secure a larger share of incremental profits. The implementation difficulty is indicated as relatively low, suggesting that this strategy can be executed with less senior oversight.
Value engineering and quality improvement require a more nuanced approach. The slide suggests that open dialogue about product design can lead to optimized design and cost trade-offs. The implementation difficulty is marked as moderate, indicating that while achievable, it necessitates more engagement from senior management to navigate the complexities involved.
Systems cost reduction is the most challenging of the three. It involves collaboration between buyers and suppliers to assess and streamline current interaction methods, aiming to eliminate redundancies. This approach is visually marked as high in difficulty, signaling that it demands significant senior management involvement to ensure successful execution.
Overall, this slide serves as a strategic guide for executives considering how to leverage managed relationships for value creation. It highlights the varying levels of complexity and the necessity for senior leadership engagement, which is crucial for driving successful outcomes in these initiatives.
This slide is part of the Value Managed Relationships Analysis PowerPoint presentation.
EXPLORE MORE SLIDES FROM THIS PRESENTATION
EXPLORE MORE PRESENTATIONS ON
Customer-centric Organization Customer Profitability Cost Reduction Value Creation Leadership
Flevy is the world's largest knowledge base of best practices.
Leverage the Experience of Experts.
Find documents of the same caliber as those used by top-tier consulting firms, like McKinsey, BCG, Bain, Deloitte, Accenture.
Download Immediately and Use.
Our PowerPoint presentations, Excel workbooks, and Word documents are completely customizable, including rebrandable.
Save Time, Effort, and Money.
Save yourself and your employees countless hours. Use that time to work on more value-added and fulfilling activities.
