Human resources and other support functions are not value-creating activities in the value chain; only the value chain activities create value.

Question

Quizplus · Accepted Answer

While human resources and other support functions may not directly create value in the same way that primary value chain activities do, they can still play a crucial role in supporting and enabling those activities. For example, HR may recruit and train skilled employees who are needed to perform the primary activities of manufacturing, marketing, or service delivery. Additionally, support functions like IT, finance, and legal can provide the necessary infrastructure, funding, and legal framework for value chain activities to occur. Therefore, support functions can indirectly contribute to the creation of value in the value chain.

Human Resources and Other Support Functions Are Not Value-Creating Activities