CHAPTER 3

Global Projects and the Value Chain

While Mintzberg provides general guidance for coordinating project activities at a distance, another approach is to consider which specific project functions will be located in distant geographical locations and which will be maintained close at hand at or near the home office of the project. A method for considering such activity assignment in detail is to borrow again from strategic operations management and to analyze project activities in terms of the value chain. The value chain analysis methodology decomposes an operation into primary and secondary activities and identifies the contribution of each to determine the value added by each activity as well as how it contributes to the overall profit ...

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