Value Networks

 and the true nature of collaboration

   

Chapter 4: Analysis Basics

 

 

Value Network Analysis Basics 

 

The Analysis Basics chapter covers core analyses of     

the value dynamics within the network.    

While Value Network Analysis (VNA) can significantly improve business operations with insights into collaboration patterns, its potential goes far beyond that. A basic assumption of VNA is that value emerges through the role interactions of networks. So to understand how any type of value is created, it is necessary to understand the value dynamics within the network.

 

Once the roles and deliverables have been mapped you are ready to evaluate the network in a number of interesting dimensions. There are four basic issues to address:
Exchanges: What is the overall pattern of value exchanges in the network as a whole? How healthy is the network and how well is it converting value?
 
Value Flow: How well is value flowing in the network? This question expands operational thinking beyond the traditional process perspective to a complex adaptive systems approach that more readily handles variation, multiple flows, and flows of intangibles.
 
Impact: What impact does each value input have on the roles involved in terms of realizing value? In other words, how well are inputs being converted into financial and non-financial assets - expanding the capacity of the role to create more value in the future?
 
Value Creation: What is the best way to create, extend, and leverage value in and beyond the network? Value Creation Analysis first addresses the question of asset utilization - how well are assets being utilized to generate value outputs for other roles in the network? Secondly it addresses how value is created beyond the network itself in terms of impact on industry, society, and the environment.
Many of the visuals and charts used in this chapter, including the two above - 2 kinds of reports - were generated in the ValueNet Works application. However, most analyses can also be performed manually using visual modeling tools, spreadsheets, and social network analysis applications.

 

 

  

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