Micro Chips Company can apply Michael Porter's Value Chain by improving its present support processes and core business processes that are important to its growth in the industry. First, to improve the support processes, Porter's Value Chain model stipulates the need to incorporate corporate management strategies, human resource management, finance and accounting procedures, technology development and procurement practices (Rosemann & Brocke, 2009). This is because in the computer industry, support processes provide a major link of retaining customers.
Secondly, to improve the core business processes, Porter's Value Chain stipulates the need to initiate new product development concepts, operations, distribution mechanisms, service provision, marketing and sales approaches (Rosemann & Brocke, 2009). These are important in enabling Micro Chips computer to protect its inventions from price wars brought upon by cheap alternatives in the market. It is also enhances the inclusion of value added advantages along the supply chain of the Micro Chips company.
Thirdly, it is possible to improve operational effectiveness compared to the rivals through adoption of better management practices than the rivals such as total quality management and benchmarking techniques (Stonehouse & Snowdown, 2007). Total Quality Management and benchmarking have for a longtime been used to improve business growth potential in the manufacturing industry.
Lastly, Micro Chips can effectively integrate the Total Quality Management Approaches and Benchmarking techniques into its core business by applying the quantitative elements associated with them into its management framework. For instance, Total Quality Management serves to integrate contemporary management techniques, the present improvement efforts put in place and provides the necessary technical tools (Sage & Rouse, 2009). Hence, through the provision of the technical tools Micro Chips can effectively use Total Quality Management and Benchmarking in line with Michael Porters Value Chain model. As a result, the decision making techniques necessary in initiating proper production and supply processes will be easily achievable.
