Define the term value chain and briefly discuss the purpose of the supply chain component in a manufacturing organization.

What will be an ideal response?

The value chain is a series (chain) of activities that an organization performs to transform inputs into outputs in such a way that the value of the input is increased. In a manufacturing organization, the supply chain is a key value chain whose primary activities include inbound logistics, operations, outbound logistics, marketing and sales, and service. These primary activities are directly concerned with the creation and/or delivery of the product or service. There are also four main areas of support activities, including technology infrastructure, human resource management, accounting and finance, and procurement.