Operational Effectiveness

The importance of understanding the value chain

02-10-2019

Luis Feliu

General Manager Spain

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At sea, arguments arise when the boat is drifting, off-course, in the doldrums. When the wind is strong, when the boat is sailing at a good clip, everyone is paying attention and there is no time for personal or banal matters. This is what CEDEC does at our client companies: we mark a destination according to the owner's wishes, we set a course that everyone is comfortable with, and we can all enjoy the sailing.

The importance of understanding the value chain

When a company is facing a corporate or strategic analysis, or an intervention, it is often the case that business owners will request that our collaborator be familiar with their sector of activity so that the communication and the transmission of experiences can be as deep as possible.

This is a logical and professional request that we always respect. But at the CEDEC Group, we go even further: more important than understanding the company's activity or market is understanding the VALUE CHAIN OF THE COMPANY ITSELF.

The value chain is all those activities realized by third parties that complement or give rise to the activity of the client company.

Let’s imagine a fruit marketing company. We have worked in dozens (if not hundreds) of companies with this activity throughout Europe. This, from the start, permits us a broad vision of this specific activity and, as far as comparison allows, permits us to establish evaluation parameters.

But beyond all this, the CEDEC Group has also worked in companies that produce fruit, companies that manufacture fruit packaging, companies that manufacture and/or market relevant plant products, national and international fruit transport companies, wholesale companies, companies with their own store chains, and large fresh-food distributors.

All this understanding of the value chain of each activity is what allows us to understand a company, not just individually, but also to understand how it is adapted to its environment and how it can take advantage of synergies and opportunities to improve its efficiency.

Only a company like CEDEC, with more than 46.000 clients in its 53 years of history, can offer this kind of knowledge to clients.

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