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	<title>Comments on: Value Chain Analysis</title>
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	<link>http://www.tomspencer.com.au/2008/10/16/value-chain-analysis-framework/</link>
	<description>An evolving perspective on management consulting, business strategy and investing</description>
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		<title>By: Tom Spencer</title>
		<link>http://www.tomspencer.com.au/2008/10/16/value-chain-analysis-framework/comment-page-1/#comment-9832</link>
		<dc:creator>Tom Spencer</dc:creator>
		<pubDate>Tue, 06 Apr 2010 11:07:02 +0000</pubDate>
		<guid isPermaLink="false">http://www.tomspencer.com.au/?p=312#comment-9832</guid>
		<description>Hi Marianne,

Thanks for your question.  I assume from your question that you are at step 2 i.e. trying to identify whether your NGO has a &quot;competitive advantage&quot; in its marketing/fundraising function (you use the &quot;need&quot; which may not be the right word).  Your marketing department can provide you with a competitive advantage by giving you a cost advantage or product differentiation.  

1. Does your marketing department give you a cost advantage? Can you reach more people/customers/donors at the same or lower cost than other comparable NGOs?  
2. Does your marketing department give you product differentiation?  Does your branding, sales, and promotion distinguish your offering from that of other NGOs?

I&#039;m no expert on where to get benchmarking data, I know Mercer provides this kind of information (http://www.mercer.com/). 

Does that help?

Cheers,
Tom</description>
		<content:encoded><![CDATA[<p>Hi Marianne,</p>
<p>Thanks for your question.  I assume from your question that you are at step 2 i.e. trying to identify whether your NGO has a &#8220;competitive advantage&#8221; in its marketing/fundraising function (you use the &#8220;need&#8221; which may not be the right word).  Your marketing department can provide you with a competitive advantage by giving you a cost advantage or product differentiation.  </p>
<p>1. Does your marketing department give you a cost advantage? Can you reach more people/customers/donors at the same or lower cost than other comparable NGOs?<br />
2. Does your marketing department give you product differentiation?  Does your branding, sales, and promotion distinguish your offering from that of other NGOs?</p>
<p>I&#8217;m no expert on where to get benchmarking data, I know Mercer provides this kind of information (<a href="http://www.mercer.com/" rel="nofollow">http://www.mercer.com/</a>). </p>
<p>Does that help?</p>
<p>Cheers,<br />
Tom</p>
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		<title>By: Marianne</title>
		<link>http://www.tomspencer.com.au/2008/10/16/value-chain-analysis-framework/comment-page-1/#comment-9822</link>
		<dc:creator>Marianne</dc:creator>
		<pubDate>Mon, 05 Apr 2010 18:43:23 +0000</pubDate>
		<guid isPermaLink="false">http://www.tomspencer.com.au/?p=312#comment-9822</guid>
		<description>Tom,

Im trying to find a typical NGO value chain in order to benchmarch the NGO i work for with a standard one... i.e: i need to confirm through the value chain that the marketing/fundraising department/function is a need! Any idea where i can get this resource from?

Thanks
Marianne</description>
		<content:encoded><![CDATA[<p>Tom,</p>
<p>Im trying to find a typical NGO value chain in order to benchmarch the NGO i work for with a standard one&#8230; i.e: i need to confirm through the value chain that the marketing/fundraising department/function is a need! Any idea where i can get this resource from?</p>
<p>Thanks<br />
Marianne</p>
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	<item>
		<title>By: Tom Spencer</title>
		<link>http://www.tomspencer.com.au/2008/10/16/value-chain-analysis-framework/comment-page-1/#comment-1163</link>
		<dc:creator>Tom Spencer</dc:creator>
		<pubDate>Thu, 08 Jan 2009 22:24:10 +0000</pubDate>
		<guid isPermaLink="false">http://www.tomspencer.com.au/?p=312#comment-1163</guid>
		<description>Kaushik, thanks for you message. That is a good suggestion. I will have a think about it and see what I can come up with. Cheers, Tom.</description>
		<content:encoded><![CDATA[<p>Kaushik, thanks for you message. That is a good suggestion. I will have a think about it and see what I can come up with. Cheers, Tom.</p>
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	<item>
		<title>By: kaushik</title>
		<link>http://www.tomspencer.com.au/2008/10/16/value-chain-analysis-framework/comment-page-1/#comment-1161</link>
		<dc:creator>kaushik</dc:creator>
		<pubDate>Thu, 08 Jan 2009 16:45:54 +0000</pubDate>
		<guid isPermaLink="false">http://www.tomspencer.com.au/?p=312#comment-1161</guid>
		<description>Dear Tom,

After understanding and reviewing potters forces and value chain flow let us suppose that an organization has decided to carry on a specific strategy. Can u bring out any models  umm u know like..how to go on if the strategy adopted is an agressive one,or if strategy is to just extend its product life time in the market,, things like that</description>
		<content:encoded><![CDATA[<p>Dear Tom,</p>
<p>After understanding and reviewing potters forces and value chain flow let us suppose that an organization has decided to carry on a specific strategy. Can u bring out any models  umm u know like..how to go on if the strategy adopted is an agressive one,or if strategy is to just extend its product life time in the market,, things like that</p>
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	<item>
		<title>By: Tom Spencer</title>
		<link>http://www.tomspencer.com.au/2008/10/16/value-chain-analysis-framework/comment-page-1/#comment-1159</link>
		<dc:creator>Tom Spencer</dc:creator>
		<pubDate>Thu, 08 Jan 2009 07:33:40 +0000</pubDate>
		<guid isPermaLink="false">http://www.tomspencer.com.au/?p=312#comment-1159</guid>
		<description>Thanks for the feedback Bill.</description>
		<content:encoded><![CDATA[<p>Thanks for the feedback Bill.</p>
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		<title>By: Bill Snellings</title>
		<link>http://www.tomspencer.com.au/2008/10/16/value-chain-analysis-framework/comment-page-1/#comment-1157</link>
		<dc:creator>Bill Snellings</dc:creator>
		<pubDate>Thu, 08 Jan 2009 03:00:36 +0000</pubDate>
		<guid isPermaLink="false">http://www.tomspencer.com.au/?p=312#comment-1157</guid>
		<description>Your article is very informative. I was able to gain a good understanding of the value chain model and applications in the real world.</description>
		<content:encoded><![CDATA[<p>Your article is very informative. I was able to gain a good understanding of the value chain model and applications in the real world.</p>
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	<item>
		<title>By: Tom Spencer</title>
		<link>http://www.tomspencer.com.au/2008/10/16/value-chain-analysis-framework/comment-page-1/#comment-767</link>
		<dc:creator>Tom Spencer</dc:creator>
		<pubDate>Mon, 27 Oct 2008 02:32:21 +0000</pubDate>
		<guid isPermaLink="false">http://www.tomspencer.com.au/?p=312#comment-767</guid>
		<description>Aussie, 

After discussing your question with my good mate Para I have the following thoughts:

You could use the Porter&#039;s Five Forces and Value Chain Analysis, but as always, the usefulness depends on what the non-profit does. This is true of for-profit businesses as well. Many non-profits operate businesses - like fair trade coffee suppliers and if they were analysing whether to enter a new market, then you could use Porter&#039;s 5 Forces. Also, a microfinance business could used P5 forces to assess a market. Say, for example, an international NGO was deciding on whether to start a microfinance operation in Bangladesh (a highly saturated microfinance market with low barriers to entry) or China (a nearly empty microfinance market, which has significant demand but very high barriers to entry) - they could use P5 to assess them. 

As for the Value Chain Analysis, this might also be useful in trying to decide how to deliver the maximum social impact. What activities does the NGO engage in? Are they able to conduct their activities more efficiently than other NGOs who carry out similar work? Are they carrying out niche work that is not being attended to by other NGOs? Can the NGO create a greater social impact by dropping activities that are better performed by others and focussing on its core competencies? These are but some of the questions that you might want to ask yourself. 

Hope this helps,

Tom</description>
		<content:encoded><![CDATA[<p>Aussie, </p>
<p>After discussing your question with my good mate Para I have the following thoughts:</p>
<p>You could use the Porter&#8217;s Five Forces and Value Chain Analysis, but as always, the usefulness depends on what the non-profit does. This is true of for-profit businesses as well. Many non-profits operate businesses &#8211; like fair trade coffee suppliers and if they were analysing whether to enter a new market, then you could use Porter&#8217;s 5 Forces. Also, a microfinance business could used P5 forces to assess a market. Say, for example, an international NGO was deciding on whether to start a microfinance operation in Bangladesh (a highly saturated microfinance market with low barriers to entry) or China (a nearly empty microfinance market, which has significant demand but very high barriers to entry) &#8211; they could use P5 to assess them. </p>
<p>As for the Value Chain Analysis, this might also be useful in trying to decide how to deliver the maximum social impact. What activities does the NGO engage in? Are they able to conduct their activities more efficiently than other NGOs who carry out similar work? Are they carrying out niche work that is not being attended to by other NGOs? Can the NGO create a greater social impact by dropping activities that are better performed by others and focussing on its core competencies? These are but some of the questions that you might want to ask yourself. </p>
<p>Hope this helps,</p>
<p>Tom</p>
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	<item>
		<title>By: Aussie</title>
		<link>http://www.tomspencer.com.au/2008/10/16/value-chain-analysis-framework/comment-page-1/#comment-733</link>
		<dc:creator>Aussie</dc:creator>
		<pubDate>Fri, 24 Oct 2008 00:01:17 +0000</pubDate>
		<guid isPermaLink="false">http://www.tomspencer.com.au/?p=312#comment-733</guid>
		<description>Again, how can the value chain analysis be applied to an NGO? I am suggesting to the team to envision the product/service as the campaigns that the NGO likes to push forward to the public.

Thanks</description>
		<content:encoded><![CDATA[<p>Again, how can the value chain analysis be applied to an NGO? I am suggesting to the team to envision the product/service as the campaigns that the NGO likes to push forward to the public.</p>
<p>Thanks</p>
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