Sustainability experiments in the agri-food system : uncovering the factors of new governance and collaboration success

In recent years, research, society and industry recognize the need to transform the agri-food system towards sustainability. Within this process, sustainability experiments play a crucial role in transforming the structure, culture and practices. In literature, much attention is given to new business models, even if the transformation of conventional firms toward sustainability may offer opportunities to accelerate the transformation. Further acceleration could be achieved through collaboration of multiple actors across the agri-food system, but this calls for a systems approach. Therefore, we developed and applied a new sustainability experiment systems approach (SESA) consisting of an analytical framework that allows a reflective evaluation and cross-case analysis of multi-actor governance networks based on business and learning evaluation criteria. We performed a cross-case analysis of four agri-food sustainability experiments in Flanders to test and validate SESA. Hereby, the key factors of the success of collaboration and its performance were identified at the beginning of a sustainability experiment. Some of the key factors identified were risk sharing and the drivers to participate. We are convinced that these results may be used as an analytical tool for researchers, a tool to support and design new initiatives for policymakers, and a reflective tool for participating actors

Strategic Alliances in the U.S. Beef Supply Chain

This study analyzes vertical-coordination practices in the U.S. beef supply chain focusing on strategic alliances. We present results from a survey of beef alliances describing their organizational structure, the nature of participantsÂ’' involvement, contractual requirements, information-sharing practices, services offered to alliance participants, and marketing strategies. Survey results provide a detailed description of 13 beef alliances and are intended to inform potential participants about vertical-coordination alternatives. In addition, the study provides relevant information for future economic research on the formation, organization, and functioning of beef alliances.Livestock Production/Industries, Marketing,

Bridging global divides with tracking and tracing technology

Product-tracking technology is increasingly available to big players in the value chain connecting producers to consumers, giving them new competitive advantages. Such shifts in technology don't benefit small producers, especially those in developing regions, to the same degree. This article examines the practicalities of leveling the playing field by creating a generic form of tracing technology that any producer, large or small, can use. It goes beyond considering engineering solutions to look at what happens in the context of use, reporting on work with partners in Chile and India and reflecting on the potential for impact on business and community well-being

E-logistics of agribusiness organisations

Logistics is one of the most important agribusiness functions due to the idiosyncrasy of food products and the structure of food supply chain. Companies in the food sector typically operate with poor production forecasting, inefficient inventory management, lack of coordination with supply partners. Further, markets are characterised by stern competition, increasing consumer demands and stringent regulation for food quality and safety. Large agribusiness corporations have already turned to e-logistics solutions as a means to sustain competitive advantage and meet consumer demands. There are four types of e-logistics applications: (a) Vertical alliances where supply partners forge long-term strategic alliances based on electronic sharing of critical logistics information such as sales forecasts and inventory volume. Vertical alliances often apply supply chain management (SCM) which is concerned with the relationship between a company and its suppliers and customers. The prime characteristic of SCM is interorganizational coordination: agribusiness companies working jointly with their customers and suppliers to integrate activities along the supply chain to effectively supply food products to customers. E-logistics solutions engender the systematic integration among supply partners by allowing more efficient and automatic information flow. (b) e-tailing, in which retailers give consumers the ability to order food such as groceries from home electronically i.e. using the Internet and the subsequent delivery of those ordered goods at home. (c) Efficient Foodservice Response (EFR), which is a strategy designed to enable foodservice industry to achieve profitable growth by looking at ways to save money for each level of the supply chain by eliminating inefficient practices. EFR provides solutions to common logistics problems, such as transactional inefficiency, inefficient plant scheduling, out-of-stocks, and expedited transportation. (d) Contracting, a means of coordinating procurement of food, beverages and their associated supplies. Many markets and supply chains in agriculture are buyer-driven where the buyers in the market tend to set prices and terms of trade. Those terms can include the use of electronic means of communication to support automatic replenishment of goods, management of supply and inventory. The results of the current applications of e-logistics in food sector are encouraging for Greek agribusiness. Companies need to become aware of and evaluate the value-added by those applications which are a sustainable competitive advantage, optimisation of supply chain flows, and meeting consumer demands and food safety regulations. E-business diffusion has shown that typically first-movers gain a significant competitive advantage and the rest companies either eventually adopt the new systems or see a significant decline in their trading partners and perish. E-logistics solutions typically require huge investments in hardware and software and skilled personnel, which is an overt barrier for most Greek companies. Large companies typically are first-movers but small and medium enterprises (SMEs) need institutional support in order to become aware that e-logistics systems can be fruitful for them as well

Australian Lamb Supply Chain: A Conceptual Framework

In the last decade, supply chain management has played an important role to lead agribusiness today to succeed in their business goals, to gain competitive advantages, and to improve business performance. As the result of that, there has been extensive studying in a popular topic of strategic supply chain management in order to improve business performance as well as along supply chain performance under the real situation. This is because in current business world, supply chain practices are crucial to influence many agribusinesses to continuously adapt proper supply chain management in their nature of business. This paper will propose a conceptual framework of supply chain practices and supply chain performance indicators of the Australian Lamb Industry.Lamb Supply Chain, Supply Chain Management, Livestock Production/Industries,

Agri-food supply chains and sustainability-related issues: evidence from across the Scottish agri-food economy

This paper examines the influence of agri-food supply chains on the sustainability-related activities and decisions of Scottish farmers, as well as the treatment of sustainability issues by food processors and retailers themselves. It is based on 8 whole chain case studies covering some of Scotland’s major agricultural products. The cases identify differing levels of understanding and activities related to sustainability, but widespread acknowledgement that sustainability involves the development of chains within which all parties can achieve acceptable profits. Indeed, collaborative supply chains, which seek improved economic performance, frequently assist environmental and social sustainability. The main drivers of sustainability are found to be the cost of key inputs, product markets where customers increasingly seek sustainability in products, the ethos and values of the businesses and people involved, and legislation and strategies of industry bodies. At the farm level, many farmers are seeking more sustainable production systems, particularly in economic and environmental terms, but there is a need for greater guidance and assistance. The paper presents a review of several key food supply sustainability issues, the methods and concepts used in compiling and analysing the cases, as well as the principal findings and implications for agri-food supply chain and policy development.Sustainability, Food, Supply chain, Agribusiness, Food Security and Poverty,

Direct Farm-to-Institution Marketing: The Common Challenges and Keys to Success of Northeast Producers

This research discovers what are the shared barriers Northeast producers engaged in the institutional market consistently face and what enables them to establish, maintain and strengthen a sales relationship with institutions. The findings can help producers understand the challenges and opportunities, how and when to approach, and provide strategies to enhance their success with the institutional market. The research concludes with implications for non-grower farm-to-institution stakeholders. The common challenges producers faced in establishing, maintaining and strengthening institutional sales relationships included buyers who focus on low price points, uncommitted buyers, food service management companies, demand for processed products and laws and regulations. Producers have been able to overcome some or all of these barriers with institutions through having wholesale experience and systems that allow producers to better access and serve institutional markets because of the product consistency, and lower price points they can provide. Producers have successfully established, maintained and strengthened relationships with champion buyers through effective initial and on-going communication that result in product satisfaction

Agri-food supply chains and sustainability-related issues: evidence from across the Scottish agri-food economy

This paper examines the influence of agri-food supply chains on the sustainability-related activities and decisions of Scottish farmers, as well as the treatment of sustainability issues by food processors and retailers themselves. It is based on 8 whole chain case studies covering some of Scotland‘s major agricultural products. The cases identify differing levels of understanding and activities related to sustainability, but widespread acknowledgement that sustainability involves the development of chains within which all parties can achieve acceptable profits. Indeed, collaborative supply chains, which seek improved economic performance, frequently assist environmental and social sustainability. The main drivers of sustainability are found to be the cost of key inputs, product markets where customers increasingly seek sustainability in products, the ethos and values of the businesses and people involved, and legislation and strategies of industry bodies. At the farm level, many farmers are seeking more sustainable production systems, particularly in economic and environmental terms, but there is a need for greater guidance and assistance. The paper presents a review of several key food supply sustainability issues, the methods and concepts used in compiling and analysing the cases, as well as the principal findings and implications for agri-food supply chain and policy development.Sustainability, Food, Supply chain, Food Consumption/Nutrition/Food Safety, Q13, Q18,

DEMAND OVERVIEW FOR ORGANIC PRODUCE

The market for organic food has been growing 20% per year for the past nine years. Fruits and vegetables are a large part of the organic market, accounting for more than $670 million in retail sales annually. This presents an opportunity for entry of new agricultural producers, and the expansion of existing organic growers. Similarly to other businesses, organic producers will succeed by providing customer value. The best opportunity for organic growers to achieve this is to focus on increasing the perceived benefits of the product. Examples of benefits for organic growers to focus on are: favorable environmental impacts, positive health benefits, and positive effects on the local economy. Since the market for organic fruits and vegetables is currently small relative to the overall food market, a market segmentation strategy is advisable. Two market segments, the "True Naturals" and the "New Green Mainstream" have been identified as the core market for natural products. Marketing efforts should be focused on appealing to one (or both) of these groups. Six major marketing channels were considered, with positive aspects and barriers/potential pitfalls given for each. The two easiest channels to enter, in terms of lowest financial capital and networking requirements, are farm markets (on-site) and farmers' markets. These alternatives may have limited volume potential, however. The upside of marketing to distributors, retailers, and restaurants is the potential to market a substantially larger volume than would be possible through marketing direct to consumers. Significant barriers must be overcome to market to these more complex buyers, however. The best way to enter these channels (i.e., distributors, retailers, and restaurants) is for growers to pool resources and work together as a group.Demand and Price Analysis,

CHANGES IN RETAIL FOOD DELIVERY: SIGNALS FOR PRODUCERS, PROCESSORS AND DISTRIBUTORS

This paper contains two chapters related to changes in retail food delivery and sales. The first discusses trends in consumer demographics and lifestyles and how these continue to drive changes in the way food is prepared and delivered to consumers. Retail stores are responding with new formats: providing more ready to eat foods; more convenient store layouts; lower prices and better service in niche markets across the country. Their demands send signals up the food chain to processors and producers that alter their production and inventory decisions. Electronic information technology speeds these changes and leads to more efficient operation with, allegedly, better service for consumers. The second chapter discusses how advances in information technology affect not only the internal business operations in food firms throughout the food supply chain but also how the product flows and how businesses link their processes together. The reengineering of the food supply chain by way of an industry-wide initiative called "efficient consumer response" (ECR) is explained and analyzed for its motivations and implementation, thus far. The many facets of ECR such as product replenishment and promotion are discussed. Lessons learned from ECR include that it is possible to accommodate the coexistence of firms of various sizes and types, and that the role of trade associations in facilitating industry-wide changes is vital and impressive.Agribusiness, Industrial Organization,