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Value chain: An introduction
Value chain is a set of activities that a firm operating in order to
deliver a valuable product or service for the market.
In other words, Customer satisfaction is a value for company and
to maintain or increase that value company follows a proper panel
or chain which is known as value chain.
Any company can deliver maximum customer satisfaction or
customer value by providing product at the time they want, at the
place they want, at the price they want, which quality or quantity
Value chain at Asian Paints
Asian paint is the giant in Indian chemical industry. The Company
is engaged in the business of manufacturing, selling and
distribution of paints, coatings, products related to home decor,
bath fittings and providing of related services. It look like
impossible to become a great company without delivering
Asian Paints deliver customer value by following special value
chain which is mainly bifurcated into two categories.
1. Primary activities
2. Supporting activities
Primary activities of value chain at Asian
Inbound logistics: In Asian Paints inbound logistics work as
deliver required qualitative raw material and provide it to
Operations: After getting raw material through inbound
logistics Asian Paints operate that and convert into finished
paints. Asian Paints produce qualitative paints to satisfy consumer
wants and Asian Paints always done operations by focusing on
actual need and wants of consumer.
Outbound logistics: After converting raw material into finished
paints Asian Paints deliver that paints into market to meet
consumer demand and satisfy them. To provide paints and other
products when and where customer wants Asian Paints follows
distribution channel to reach at bottom level customer.
Marketing and sales: Asian Paints follows marketing policies
with many objectives such as to increase sales, customer
awareness, fight against competition etc. Asian Paints advertise
and promote their paints and other products also.
Service: Asian Paints is very famous for providing better service
to consumer by providing them assistant who helps consumer to
design and decorate their home. Asian Paints provides 3D
designing technology to their consumer on their official website
as well as on their official application at free of cost. Consumer
can meet to their home designing assistant by giving just a missed
call on the toll free number and nearest assistant contact to
consumer within 24 hours.
Supporting activities of value chain at Asian
Procurement: To complete the primary activities supporting
activities are vital because without supporting activities smooth
running of primary activities is not possible. As a procurement
Asian Paint deals with procurement of finance, procurement of
material, procurement of machinery, procurement of employees
which supports to production process.
Technology development: This activity so important to
company to create consumer value and provide them maximum
satisfaction because every consumer wants to create different
home for them and they take help of designing application which
Asian Paints develop for their special consumer to take care of
them. MIS also considered in this technological development for
Human Resource management: To complete primary activities
or any other activities human resource is the main factor. Asian
Paints manage their Human resource very effectively and
efficiently by train, direct, control, promote and many other
Infrastructure: Almost 6500 employees working in Asian Paints
so its most important to provide better infrastructure facility to
their employees so they can work better.