Perceived Value and Brand Management in a Value Network

One of the most powerful benefits of value network modeling is the ability to monitor, predict and influence performance. Metrics are made simple with the Comprehensive Reports function in the ValueNetwork.com application. In addition to Animations and Detailed Visuals, indicator reports are generated for the Standard Value Network (Role view) and the Collaborative Value Network (Participant view). The text and charts below are drawn from a Standard Value Network (Role-based) Report, using the example of scheduling procedures in a health care organization. For other blogs in this series see the links at the end or simply search "Indicators and Metrics."

Brand Management and Perceived Value 

Brand Management has a lot to do with how valuable people perceive your offerings to be. Perceived Value is a way to assess the level of value Roles feel they receive from individual Deliverables, from other Roles, and from the network as a whole. Perceived Value indicators are especially useful for surfacing assumptions - often unspoken or unconscious - about value and value flows. Simply because there is an interaction does not mean that positive value is being created. In fact people may actively dislike the input, or feel it is too costly to process - which could be a negative value. Perceived Value is especially useful when applied to intangible Deliverables, as it is often difficult to gauge their value with a number or financial measure.

It is important to remember that this is a subjective assessment. It is only about a Participant’s perception of value. Nonetheless, the different patterns that weighted value measures produce can lead to significant insights and point to where further research is needed.

How highly does the Receiver value what is being provided? Perceived Value can be understood from the viewpoint of the Sender, the Receiver, or both. The first and most obvious comparison to make is how the Sender and Receiver might perceive value differently. For example, a Sender believes a Deliverable brings high value to the Receiver but the Receiver perceives it as negative value. That would call into question whether it is worthwhile to expend resources to create thatDeliverable in the first place.

Does that Deliverable really provide value to the Receiver? It also is useful to compare Perceived Value indicators with the comparable cost/benefit data. The table below is a partial view of the data entry template for the ValueNetworks.com Application showing the selection list for Perceived Value.

The first pair of charts show the overall Perceived Value of transactions in the network. The first chart of the pair shows Perceived Value by Receiver. The second shows Perceived Value by Sender.

The next pair of charts shows the overall Perceived Value in terms of both financial and non-financial assets of all the transactions in the network. The first chart of the pair shows Receiver Perceived Value and the second shows Sender Perceived Value. The reporting function in the ValueNetworks.com application also generates a Table that shows all transactions in descending value order per the perception of the Receiver. 

Perceived Value assessment at the Network or Group level

Using survey technology and the same format as above, it is possible to conduct a qualitative evaluative survey of each Participant. The goal is to assess whether they feel the value received from their participation in the network overall is high, low, or negative, on the same scale as the example above. You may also do this for a designated sub-group in the network.

Aggregating data for the Value Network as a whole

It is also possible to aggregate the Perceived Value results to the network as a whole by taking the total Perceived Value of Role exchanges.

Other topics in this series: