ValueNetSM is a proprietary extension of the classic Value Chain that was described and popularized by Michael Porter. However, Lone Star® addressed deficiencies of the Value Chain by extending the process through an additional dimension by developing a unique GUI interface that both develops the “Net” and simultaneously documents it.
Lone Star’s ValueNetSM depicts a two dimensional Value Chain. The Classic Value Chain is a one-dimensional construct of products/processes passing through various stages, gaining value at each stage. In its simplest form, products must pass sequentially through all stages of the chain. It originally contained six classic stages:
- Research and Development
- Design of Products, Services, or Processes
- Customer Service
In the classical approach, a graphical illustration of participants and concentration points defining a market space from its simplest initial elements to delivery shows the general “Value Flow”.
In the illustration below, Lone Star’s ValueNetSM tool extends this concept to two or more dimensions. The graphical illustration of participants and concentration points (defining a market space) shows two dimensions, from simplest initial elements to delivery and shows the general “Value Flow”. With ValueNetSM, two dimensional connections and connections across defined regions are possible and insightful when considered.