What Does Value Chain Management (VCM) Mean?

Techopedia Explains Value Chain Management (VCM)

VCM was introduced in the mid-1980s by Michael Porter, a business strategy authority and longtime Harvard Business School professor. VCM has evolved into a universally applied business management strategy, and is a powerful strategic planning tool that extends from organizations to distribution and supply networks.

VCM requires the following components:

  • Integrated chain strategy, planning and scheduling
  • An efficient supply chain
  • Full and interdependent chain resource management and optimization
  • Integrated customer insight data and information