Supply and demand have been very deeply studied concepts. For our purposes here in a market, the more demand there is for something, the more value opportunity there is to provide it. This frames our abstract concept of an economic market remembering that the market sets and determines value.

A value chain is within a market. Generally, when dealing with organizations there are two competing value chains representing two distinct markets. There is the internal value chain where direct control can be exhibited within the organization, and the external value chain that frames how an organization interacts externally to the market.

• VALUE CHAIN - A set of activities to deliver value to a market
• SUPPLY & DEMAND - An economic model of price/value determination in a market.
• DEMAND CHAIN – Awareness, exchange, and fulfilment in a market.
• SUPPLY CHAIN – Acquisition, production, and distribution in an organization

The ORGANIZATION (Super System) Value Chain is how your enterprise brings value to a market and where your contribution fits within the whole.

For example, simply reorganizing how teams work and are organized does not in and of itself guarantee that it will be more valuable than the prior way of operating, meaning that the change must bring about more valuable material output; the concept of value, where that efficiency can be in production (supply), consumption (demand), or some other meaningful non-theoretical measurable capacity.

• MEASURABLE – Something that can be quantified and evaluated independent of perspective.

In TSoT team systems, at all levels, exists an optimized means for converting inputs into outputs in the most beneficial and least harmful way possible. But this is almost never the actual case. We will spend a great deal of time framing this item, but for now it is important to introduce another key TSoT language construct, the contradiction.

• CONTRADICTION - The belief that ‘less than all’ desired characteristic of a team system is possible.

For team systems to evolve along their most efficient paths, each organizational characteristic of the system model must resolve the highest number of contradictions while creating the fewest new contradictions; must provide the greatest number of beneficial effects against the least number of harmful ones; must create the most value with the least harm.