Identifying fraud through supply chain mapping and analysis

Value Chain Analysis is a tool used by the private sector to categorize the primary activities firms undertake to produce and deliver (or “add value” to) a final product. By breaking the service-delivery process into its aggregate parts, value chains help businesses identify inefficiencies and weaknesses in their own supply chains. The World Bank has adapted the value chain approach to analyze process flows in projects and sectors. Task teams use value chains to explain the process by which funds are transformed into development outcomes by laying out the sequence of activities, called stages or phases, that a sector undertakes to deliver a particular output. Through Value Chain Analysis, task teams can map the critical points in a sectoral supply chain where value is created and where critical decisions are made that affect the delivery of services in that sector.

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