Value Network Analysis resembles but is more valuable than balanced scorecard.

In Value Networks we begin by writing down the list of stakeholders: companies, customers, suppliers, influencers. This may be as many as 50 different players, actors. These are represented as nodes or elements in the system.

We then add connections or links between the stakeholders which have interactions or “flows”, which are directional, between the two nodes or elements. The flow can be money, goods, services, information, or some other intangible. There may be as many as 200 links, and if we focus only on tangibles, this may reduce to 100.

One can work out a current value network – that which is going on now. And one can then take a given change or disruption in the marketplace that is expected or beginning to happen, and consider what the value network might be expected to look like in the future.

How for example are the money flows changed? What new players are there?

Having analysed the value flows in the future in this way, we are now able to look into a suitable sub-network, centred around a key player such as a typical, key customer type, and the appropriate subset of the network related to this player.

Examples of insights from both money and money + intangible analyses are potential impact on cash flow at focus players.

Cambridge Investment Research team contains experts who can lead blue chip and innovator business teams in this method.