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value network :

... an interconnection between individuals and/or organizations accommodating ... application of a process or method which results in an accomplishment or output of tangible value (source of quote). A network may have chain-like connections for delivering information and other intangibles which have financial value.

Value networks in the business world are interdependent relationships that deal with deliverables through supply chains. Deliverables are generally defined as goods and services but can certainly be information of value as well.

A resource paper online titled Value Chains Versus Supply Chains points out that the key difference between the two is that they flow in different directions. Interactions of deliverables connect through nodes. According to the definition of value network at Investopedia.com, chains can be visualized either way as ... nodes (members) and connectors (relationships). Wikipedia has an article about value chains.

A value network analysis is a statement of results from studying the interconnected parts of a process or method of a production chain, such as its nodes, connectors, and deliverables (goods, services, and useful information) as well as their relationships in making up the whole. As a methodology of enterprise and economic development the analysis help visualize complex economic ecosystems. Value network analysis as a part of the enterprise development process can initialte quality initiatives and achieving higher levels of excellence. Enterprise development is the key to effective jobs retention and job creation as well as wealth building and distribution in locations seeking economic development

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related: networking; Value Networks and the true value of collaboration

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Economic Development Services, Inc. / copyrights © and all rights reserved / 10/11/2011