Records 1 - 20 / 373
Farmer preferences in contracting with modern retail in Indonesia: A choice experiment
Widadie, Fanny ; Bijman, Jos ; Trienekens, Jacques - \ 2020
Agribusiness (2020). - ISSN 0742-4477
choice experiment - contract preferences - modern retail - producer organization - smallholder
Understanding the preferences of smallholder farmers for contracting can help in making contracts more sustainable. This paper presents the results of a choice experiment (CE) among smallholder farmers in Indonesia to assess their preferences for accepting contracts with modern retail. The CE was based on attributes of actual sales transactions in modern retail and traditional retail channels. A total of 301 vegetable smallholder farmers participated, consisting of 173 farmers participating in traditional markets and 128 in modern retail markets. A random parameter logit model estimates that, in general, smallholders do not prefer contracting with modern retail over spot market selling in traditional retail channels. Most contract attributes are perceived as negative by smallholders. A willingness-to-accept analysis shows that farmers are critical of most contract attributes, particularly those related to quality requirements. Producer organizations (POs) reduce transaction costs and increase smallholders' preference toward contracts. Contract designs that reduce transaction cost, mitigate risks for farmers, provide fair prices, and involve POs are more likely to attract smallholders to modern retail channels. [EconLit Citations: D23, O13, Q13].
Typology of contract farming arrangements: a transaction cost perspective
Mugwagwa, Innocent ; Bijman, Jos ; Trienekens, Jacques - \ 2020
Agrekon 59 (2020)2. - ISSN 0303-1853 - p. 169 - 187.
Contract farming arrangements - contract types - typology - Zimbabwe
This paper proposes an alternative typology of contract farming arrangements (CFA) based on transaction cost theory. To construct the typology, we first surveyed managers of agribusiness firms and contracted farmers in Zimbabwe to understand the provisions in their contracts, the motivations for their inclusion and the level of transaction attributes, particularly the sub-categories of asset specificity and uncertainty. We then developed a two-by-two matrix of contract types based on the interaction of transaction attributes. The results show that four contract types can be distinguished: total, group, lean and market contracts. Furthermore, CFAs that are misaligned with transaction attributes have problems of side-selling and inefficiency. Our new empirically based categorisation can help managers and policymakers to design CFAs that match with underlying transaction attributes, thus enhancing the stability and efficiency of CFAs.
Sustainability transition pathways through ecological intensification: an assessment of vegetable food systems in Chile
Gaitán-Cremaschi, Daniel ; Klerkx, Laurens ; Duncan, Jessica ; Trienekens, Jacques H. ; Huenchuleo, Carlos ; Dogliotti, Santiago ; Contesse, María E. ; Benitez-Altuna, Francisco J. ; Rossing, Walter A.H. - \ 2020
International Journal of Agricultural Sustainability 18 (2020)2. - ISSN 1473-5903 - p. 131 - 150.
alternative food system - conventional food system - ecological intensification - Food system - sustainability transition
Ecological intensification has been proposed as a promising lever for a transition towards more sustainable food systems. Various food systems exist that are based on ecological intensification and may have potential for a sustainability transition. Little is known, however, about their diversity and about how they perform against dominant systems in terms of the multiple societal goals. The aim of this study is to contribute to knowledge about sustainability transitions in food systems through an empirical analysis of vegetable food systems in Chile. The study (i) characterizes the diversity of vegetable food systems in Chile (ii) evaluates the food systems in terms of multiple societal goals, and (iii) assesses their potential for supporting sustainability transition pathways from the perspective of ecological intensification. Results indicate that among the five vegetable food system types, the agroecological and the small organic have potential to foster a sustainability transition. Nevertheless, these systems are small and localized, and scaling them requires actions to remove barriers in the relations with the agri-food regime and among themselves. The broader relevance of this analysis is that there needs to be awareness in research on transitions about the diversity of food systems present in countries and how they interact.
Enforcement mechanisms and governance structures to protect a region of origin lamb product
Merwe, Melissa van der; Kirsten, Johann F. ; Trienekens, Jacques H. - \ 2019
Supply Chain Management : an International Journal 24 (2019)5. - ISSN 1359-8546 - p. 561 - 573.
Conjoint analysis - Conjoint experiment - Enforcement mechanisms - Governance - Governance structures - Karoo Lamb - Meat industry - Monitoring - South Africa - Supplier relationships - Supply chain disruptions - Transactional model
Purpose: This paper aims to make an empirical contribution by investigating the enforcement mechanisms and governance structures required to protect and govern a regional food product when public certification fails. As one of the recent additions to South Africa’s repertoire of products with a designated origin, Karoo Lamb made for an interesting case study. Design/methodology/approach: A conjoint analysis was conducted to elicit the farmers’ preferred enforcement mechanisms to protect the authenticity of the Karoo Lamb product. The investigation, furthermore, draws on survey data collected among 73 farmers, five abattoirs, two processors/packers and five retail outlets to evaluate the governance structures of the Karoo Lamb supply chain. Findings: The results indicate that due to failed public certification that is governed by market-like structures, Karoo Lamb is better off being governed by hierarchical structures. These structures are expected to allow for a stronger focus on stricter enforcement mechanisms. Practical implications: At the farm level, the Karoo Lamb supply chain requires better enforcement mechanisms to protect the unique attributes of origin and taste to ensure the authenticity of Karoo Lamb. This change towards stricter enforcement requires more hierarchical structures to allow for private or mutual enforcement mechanisms. Originality/value: This paper contributes empirically to the governance structure knowledge base by analysing the enforcement mechanisms and governance structures needed to enforce and protect, the quality and origin standards of a region of origin product, Karoo Lamb, in South Africa.
Implications of horizontal and vertical relationships on farmers performance in the Brazilian pork industry
Martins, Franco Müller ; Trienekens, Jacques ; Omta, Onno - \ 2019
Livestock Science 228 (2019). - ISSN 1871-1413 - p. 161 - 169.
Brazil - Contracts - Performance - Pork supply chain - Relationship characteristics
According to the literature, vertical and horizontal relationships are of key importance to farmer performance. However, most studies have examined these relationships using distinct models. This paper contributes with new insights to the supply chain management and network theories by using a single model to analyse how horizontal relationships impact on vertical relationships and how these jointly affect the performance of Brazilian pig farmers. Data were obtained from 269 farmers delivering pigs through contracts and spot markets in southern Brazil. The results demonstrate that both vertical and horizontal relationships can improve farmer performance. Moreover, horizontal relationships positively influence vertical relationships by improving the exchange of information between farmers and buyers. Furthermore, the findings suggest that these relationships are sensitive to the context (spot market or contracted production) in which the transactions are executed. The study draws relevant management implications for pig farmers, buyers and farmer associations.
From information sharing to information utilization in food supply chains
Kiil, Kasper ; Hvolby, Hans Henrik ; Trienekens, Jacques ; Behdani, Behzad ; Strandhagen, Jan Ola - \ 2019
International Journal of Information Systems and Supply Chain Management 12 (2019)3. - ISSN 1935-5726 - p. 85 - 109.
Food Supply Chain - Information Sharing - Information Utilization - Mapping Tool - Supply Chain Operations Reference (SCOR) Model
Information sharing has been extensively studied as a key enabler for coordination and integration in supply chains. However, exactly how the shared information is utilized for decision making has only received limited scientific attention in the research literature. The aim of this study is to identify the characteristics of information sharing, and conceptualize how to move from information sharing to information utilization in food supply chains. Using a case study methodology together with a review of the existing literature the authors describe the main facets of shared information - which influence the information utilization in a supply chain - and propose a mapping notation for how these facets can be visualized together with a supply chain operations reference (SCOR) model. Information utilization is especially important because more information sharing does not necessarily result in a better supply chain performance unless the shared information is effectively used in the relevant processes in the chain and well-aligned with the requirements for those processes. The proposed notation provides a systematic structure for mapping the information flows, their specific facets, and helps clarify what information is available and how this information can be utilized in different supply chain processes. Four facets of information sharing are identified and elaborated for food supply chains, together with a mapping tool that emphasizes the information flows and the utilization of information in supply chains.
Why do agribusiness firms simultaneously source from different contract farming arrangements? Evidence from the soybean industry in Malawi
Mugwagwa, Innocent ; Bijman, Jos ; Trienekens, Jacques - \ 2019
International Food and Agribusiness Management Review 22 (2019)1. - ISSN 1096-7508 - p. 79 - 96.
Contract farming arrangements - Malawi - Plural governance - Transaction costs
This paper describes and analyzes the rationale for concurrent use of different contract farming arrangements (CFAs) by a large agroprocessor. We postulate that plural governance is determined by ambiguity over the best mode of coordination, complexity of transactions and strategic behavior by the agroprocessor. We carried out an in-depth case study of an agroprocessor that has multiple CFAs in the soybean industry in Malawi. We find that ambiguity explains the formation of plural governance structures, but strategic behavior is the main motivation for their persistence. Hence, the study findings unite hitherto opposing schools of thought on the stability of plural forms. The results imply that the incentives and disincentives of agribusiness firms to source through different CFAs should be considered in designing policies and programmes to promote contract farming.
Characterizing Producer Organizations: The case of organic versus conventional vegetables in Uruguay
Groot Kormelinck, Annemarie ; Bijman, Jos ; Trienekens, Jacques - \ 2019
Journal of Rural Studies 69 (2019). - ISSN 0743-0167 - p. 65 - 75.
Organic - Organizational characteristics - Producer organizations - Uruguay - Value chains - Vegetables
Producer organizations (POs) are considered important for rural development in developing and transition countries. Scientific studies on POs mostly focus on their impact, but do not distinguish among different types. However, POs are a heterogeneous group. This paper explores the organizational characteristics that distinguish POs in the vegetables sector of Uruguay. In comparing organic and conventional vegetables chains, we have identified five types of POs and we have investigated their distinct organizational characteristics. We found, first, that POs in the organic value chain are responding to market incentives, whereas POs in the conventional value chain are responding to public incentives. Second, contrary to POs with a focus on social and political activities, POs with economic activities are small, they have a product focus, they require member investment, and they have a high formalization status. Third, POs with output-driven objectives have higher levels of horizontal and vertical coordination than POs with value-driven objectives. Our study contributes to the increasing body of literature on the internal and external conditions that explain the diversity of POs in developing and transition countries.
Characterizing diversity of food systems in view of sustainability transitions. A review
Gaitán-Cremaschi, Daniel ; Klerkx, Laurens ; Duncan, Jessica ; Trienekens, Jacques H. ; Huenchuleo, Carlos ; Dogliotti, Santiago ; Contesse, María E. ; Rossing, Walter A.H. - \ 2019
Agronomy for Sustainable Development 39 (2019)1. - ISSN 1774-0746 - 22 p.
Agricultural innovation systems - Agricultural production systems - Agroecology - Food regime - Food system - Grassroots movements - Sustainability transitions - System diagnosis - Transformations - Value chains
Dominant food systems are configured from the productivist paradigm, which focuses on producing large amounts of inexpensive and standardized foods. Although these food systems continue being supported worldwide, they are no longer considered fit-for-purpose as they have been proven unsustainable in environmental and social terms. A large body of scientific literature argues that a transition from the dominant food systems to alternative ones built around the wider principles of sustainable production and rural development is needed. Promoting such a sustainability transition would benefit from a diagnosis of food system types to identify those systems that may harbor promising characteristics for a transition to sustainable food systems. While research on food system transitions abounds, an operational approach to characterize the diversity of food systems taking a system perspective is still lacking. In this paper we review the literature on how transitions to sustainable food systems may play out and present a framework based on the Multi-Level Perspective on Socio-Technical Transitions, which builds upon conceptual developments from social and natural science disciplines. The objectives of the framework are to (i) characterize the diversity of existing food systems at a certain geographical scale based on a set of structural characteristics and (ii) classify the food systems in terms of their support by mainstream practices, i.e., dominant food systems connected to regimes; deviate radically from them, niche food systems such as those based on grassroots innovation; or share elements of dominant and niche food systems, i.e., hybrid food systems. An example is given of application of our framework to vegetable food systems with a focus on production, distribution, and consumption of low-or-no pesticide vegetables in Chile. Drawing on this illustrative example we reflect on usefulness, shortcomings, and further development and use of the diagnostic framework.
Patterns in sustainable relationships between buyers and suppliers : Evidence from the food and beverage industry
Werff, Suzanne van der; Trienekens, Jacques ; Hagelaar, Geoffrey ; Pascucci, Stefano - \ 2018
International Food and Agribusiness Management Review 21 (2018)8. - ISSN 1096-7508 - p. 1023 - 1043.
Food industry - Performance - Procurement - Supplier relationships - Sustainability
Although research on sustainable procurement is increasing, little empirical research has been done on how sustainable procurement is established between companies. Therefore, drawing on supply chain management and purchasing management literature, this study explores how food industries manage sustainable supplier relationships. Through the identification of company clusters with typical sustainable procurement approaches, the paper contributes to the supply chain management literature. A questionnaire is applied to gather data amongst Dutch Food and Beverage companies from which 62 could be used for the analyses (effective response rate 28.9%). Cluster analysis revealed four types of companies with distinctive sustainable procurement relationships: market relationships (arms-length), sustainability leader, one-sided sustainability (interested supplier but less interested buyer), and inconclusive sustainability (buyer and suppliers only made a start). As the implementation of sustainable procurement remains low in practice, insights from this study are important for managers.
Determinants of cooperative pig farmers' safe production behaviour in China — Evidences from perspective of cooperatives' services
Ji, Chen ; Chen, Qin ; Trienekens, Jacques ; Wang, Hai Tao - \ 2018
Journal of Integrative Agriculture 17 (2018)10. - ISSN 2095-3119 - p. 2345 - 2355.
China - farmer cooperative - farmers' safe production behaviour - pig sector
Farmers' production behaviour is a key to ensuring the safety and quality of their final products, and cooperatives play an important role in shaping that behaviour. This paper aims to explore the determinants of pig farmers' safe production behaviour, giving special focus from the perspective of cooperatives' services. This study adopted cross sectional survey data from 27 pig cooperatives and their 540 farmers in China to test the influence of cooperatives' services on farmers' safe production behaviour. The hypotheses were tested using a logit regression model. The findings indicated that although the number of services is not a key determinant of farmers' safe production behaviour, service quality matters. When a cooperative is strongly capable of involving more farmers in certain services, and provides certain services in more frequency, member farmers behave more safely. The results also show that veterinarian and pig-selling services play an important role in ensuring farmers' safe production behaviour. For this study, the quality of cooperatives' services is implied to have a positive impact on farmers' safe production behaviour. Leaders/managers of cooperatives must try to improve the quality of their services instead of merely attempting to provide a large number of services. For government officials and policy makers, designing policies that encourage cooperatives to improve their service quality is important. This research contributes to the scant literature on how cooperative services could help farmers engage in safer production behaviour, which would improve the safety of pork products in the future.
The Karoo Meat of Origin certification scheme : A silver bullet?
Merwe, Melissa van der; Kirsten, Johann F. ; Trienekens, Jacques H. - \ 2018
International Food and Agribusiness Management Review 21 (2018)5. - ISSN 1096-7508 - p. 655 - 668.
Differentiated lamb - Monitoring and enforcement mechanisms - Opportunistic behaviour - South African Karoo Meat of Origin - Supply chain challenges
The Karoo Meat of Origin certification scheme is the first certification scheme established to differentiate and protect a region of origin meat product in South Africa. Although this scheme has come a long way in protecting the value embedded in the name 'Karoo', many challenges and loopholes for non-compliance still exist. These challenges include opportunistic behaviour on the farmers' side regarding the vulnerable free range claim as well as inconsistent supply and mismatched objectives of supply chain stakeholders. Because of these challenges the niche product has not yet come to its own. The purpose of this case study is threefold. Firstly, to understand the notion of Karoo Lamb as a geographical indication, and the subsequent establishment of the Karoo Meat of Origin certification scheme. Secondly, to identify and understand both the institutional and supply chain challenges that Karoo Lamb is faced with. Thirdly, to guide the certification scheme to evaluate their modus operandi for better regulation. Ultimately, the managerial decisions are expected to come full circle; if the certification scheme is better-managed consumers may be willing to pay higher premiums which might, in turn, convince farmers to become part of this prestigious certification scheme.
Governance of market-oriented fresh food value chains : Export chains from New Zealand
Trienekens, Jacques ; Velzen, Mariska van; Lees, Nic ; Saunders, Caroline ; Pascucci, Stefano - \ 2018
International Food and Agribusiness Management Review 21 (2018)2. - ISSN 1096-7508 - p. 249 - 268.
Fresh global food chains - Market orientation - Value chain governance
The competition in international food markets is increasingly moving towards products with higher levels of added value and higher degrees of differentiation, requiring companies to become more market-oriented. Market orientation is 'the extent to which an actor in the marketplace uses knowledge about the market, especially about customers, as a basis for decision-making on what to produce, how to produce it, and how to market it'. Market orientation comprises three constructs: market intelligence generation, dissemination and responsiveness. Value chain governance can facilitate market orientation requirements. Value chain governance includes network governance, contracting and informal relationships. Knowledge about how governance can facilitate a value chain's market orientation is limited. Therefore, the aim of this study is to explore how the governance of a global food value chain can facilitate the value chain's market orientation. The study applies a multiple case study design. Four in-depth case studies were conducted on global food value chains from New Zealand to Western Europe dealing with the products apples, kiwis, venison and lamb. Interviews were conducted with actors from these four value chains in the Netherlands as well as in New Zealand. In each value chain actors with similar functions were interviewed in order to make the results comparable. Analysis of the case studies shows that network governance (i.e. leadership, shared governance and facilitation), contractual agreements (i.e. type and content: price, volume, quality) and informal relationships (i.e. trust and commitment) can contribute to the market orientation of a value chain. Leaderships and shared governance, in combination with good informal relationships in the chain, as well as contractual incentives, are main contributors to market orientation in global fresh food value chains. The paper adds to the still very scarce literature on governance of value chains and market orientation of value chains.
IFAMA best paper competition : Introduction to the special issue
Trienekens, Jacques - \ 2018
International Food and Agribusiness Management Review 21 (2018)2. - ISSN 1096-7508 - p. 179 - 180.
Ambidexterity and mobile hubs as the interfaces for orchestrating multi-level innovation networks and fostering capabilities in innovation processes: evidence from agricultural netchains in Sub-Saharan Africa
Pérez Perdomo, Silvia Andrea - \ 2018
Wageningen University. Promotor(en): S.W.F. Omta; J.H. Trienekens. - Wageningen : Wageningen University - ISBN 9789463436823 - 186
Tackling complex challenges in innovation processes requires the collaborative efforts of innovation networks at various levels. These innovation networks need to be governed appropriately to manage contradictory but also complementary dynamics for innovation.
Exploration and exploitation are concepts that describe different types of dynamics in innovation processes that require management. In this thesis I present ambidexterity as the higher order managerial capability to orchestrate innovation networks while exploring but also exploiting opportunities to innovate, which entails multiple network capabilities.
I analysed stakeholder testimonies and household level panel data from case studies in Uganda, the Democratic Republic of the Congo and Rwanda to assess the performance of innovation networks that aim to tackle complex challenges of family farms in developing countries. I tested the effectiveness of three network governance mechanisms (first order, second order and meta-governance) and their influence on network capabilities.
An ambidextrous management in multi-stakeholder innovation platforms fosters multiple network capabilities and the emergence of mobile hubs to manage various interfaces of innovation networks. However, in contrast to the management of organisations, I found that the management of innovation networks via network governance mechanisms that focus mainly on managing structural challenges, is not the most effective managerial strategy in innovation processes. Managing exploration and exploitation effectively might need a more ambidextrous management of structural, contextual and temporal challenges in interplay, more ‘govern-ability’ and sufficient resources. I recommend further research on the context as a mediating factor between network governance and network-related capabilities. These findings are relevant for managing effectively multi-stakeholder processes for tackling collectively different types of challenges in different contexts.
"Actionable" critical success factors for supply chain information system implementations : Exploratory findings from four German pork supply chains
Denolf, Janne M. ; Trienekens, Jacques H. ; Nel Wognum, P.M. ; Schütz, Verena ; Vorst, Jack G.A.J. Van Der; Onno Omta, S.W.F. - \ 2018
International Journal on Food System Dynamics 9 (2018)1. - ISSN 1869-6945 - p. 79 - 100.
Actionable csfs (actions) - Critical success factors - Food sector - Pork supply chains - Supply chain information systems
Implementing a supply chain information system (SCIS) incurs organizational and technical complexities. For managing these complexities, information system researchers have identified generic critical success factors. However, CSFs are abstract and, therefore, difficult to use in practice. To maximize the chances of successfully implementing a SCIS in the food industry, we aim to identify "actions" linked to CSFs. We, consequently, investigated four German pork supply chains that implemented a SCIS. Fourteen critical success factors were made "actionable"; most actions were identified for the CSFs "manage change and deliver training" and "select standards, vendor, and software package", indicating their relative importance.
Differences in quality governance : the case of the Brazilian pork chain
Martins, Franco Müller ; Trienekens, Jacques ; Omta, Onno - \ 2017
British Food Journal 119 (2017)12. - ISSN 0007-070X - p. 2837 - 2850.
Brazil - Contracts - Coordination mechanisms - Pork chain - Quality requirements
Purpose: The purpose of this paper is to analyze the relationships between coordination mechanisms (CMs) and quality requirements used to support transactions in the Brazilian pork chain. Design/methodology/approach: Based on the transaction cost economics theory, the paper focuses on the alignment between CMs and quality requirements. The results were obtained by means of interviews (n=41) with public and private actors, including the main companies and other stakeholders in the Brazilian pork sector. The research addresses regulations, requirements of customers and supporting CMs used in different transaction contexts. Findings: In the Brazilian pork sector, five transaction contexts can be distinguished: spot market, mini integration, singular cooperative, central cooperative and investor-owned firm. The chain actors apply different CMs to support a set of quality requirements which presents little diversity. The main quality requirements are driven by baseline public regulations. Besides, there are, in particular international, customers with more specific requirements. To support transactions, chain actors use different contracts in terms of resource allocation and price incentives. Originality/value: Literature assumes alignment between governance structures (GSs) and quality standards. This paper further investigates this assumption by analyzing the relationships between CMs (underlying GSs) and quality requirements (underlying quality standards). The research findings show that similar quality requirements may well be supported by different CMs. It further gives indications on why different CMs are used to support a homogeneous set of requirements.
Information sharing as a safeguard against the opportunistic behavior of South African Karoo Lamb farmers
Merwe, Melissa van der; Kirsten, Johann F. ; Trienekens, Jacques H. - \ 2017
Agricultural Economics 48 (2017). - ISSN 0169-5150 - p. 101 - 111.
D22 - D23 - D70 - D82 - D85 - farmer networks - information sharing - Karoo Lamb - Opportunistic behavior - Q10 - trust
Misconduct in global meat supply chains are omnipresent and even more so in differentiated chains where credence attributes such as origin and taste are used to differentiate the product. By definition, these attributes signal asymmetric information which implies that in the presence of bounded rational individuals with conflicting interests, misconduct in the form of opportunistic behavior is bound to prevail. Increased information exchange through farmer networks is, however, expected to reduce opportunistic behavior. In the case of a differentiated meat product, such as Karoo Lamb, the article studies the farmer-abattoir transaction with the purpose of recommending strategies that can be implemented to reduce the farmer's tendency to behave opportunistically. The article employs the PLS approach to SEM and reveals a significant negative relationship between information shared and opportunistic behavior. The results indicate significant positive relationships between trust in the abattoir and information shared as well as between farmer networks and information shared. These results are indicative of the support provided to the information shared construct by higher levels of trust between farmers and abattoirs and established farmer networks. It is, therefore, recommended that differentiated meat supply chains, through their various associations, concentrate their efforts to promote information sharing by building stronger, trust centered relationships and by supporting farmer networks.
Challenges and opportunities in ‘last mile’ logistics for on-line food retail
Trienekens, Jacques ; Hvolby, Hans Henrik ; Turner, Paul - \ 2017
In: Advances in Production Management Systems : The Path to Intelligent, Collaborative and Sustainable Manufacturing - IFIP WG 5.7 International Conference, APMS 2017, Proceedings. - Springer New York LLC (IFIP Advances in Information and Communication Technology ) - ISBN 9783319669250 - p. 122 - 129.
Conventional approaches to logistics for food retail continue to be challenged by the rapid growth of on-line food retail. At the same time, ‘last mile’ logistics optimization for on-line retail also face challenges as changing consumer expectations, habits and purchasing patterns intersect with the increasing density of urban environments. Numerous considerations are already in play around servicing of last mile logistics for on-line food retail including whether it is home delivery or pick-up; delivery is attended or not; and, whether the service is managed in-house or out-sourced to third party providers. Selecting the appropriate distribution and delivery channel is challenging with choices intimately related to the variety and price of products offered for sale (premium or discount) as well as the delivery times promoted to prospective customers. Beyond these pragmatic considerations, are also changing consumer expectations and preferences, innovations in new technology, provenance & traceability, seasonality and emerging reverse logistics issues linked to ‘green’ carbon miles considerations. This paper systematically explores these issues emerging in online food retail logistics.
Diversity of coordination mechanisms to support transactions : farmer - buyer relationships and farmer performance in the Brazilian pork chain
Müller Martins, Franco - \ 2017
Wageningen University. Promotor(en): S.W.F. Omta; J.H. Trienekens. - Wageningen : Wageningen University - ISBN 9789463436366 - 146
supply chain management - pigmeat - pig farmers - farmers - piglets - buying groups - consumers - brazil - south america - ketenmanagement - varkensvlees - varkensboeren - boeren - biggen - inkoopcombinaties - consumenten - brazilië - zuid-amerika
In the last decades consumers preferences have continuously triggered changes in quality regulations and the implementation of various private quality standards. New quality demands also imply new coordination arrangements to support transactions between food companies and their suppliers. To coordinate these transactions, food companies (i.e. buyers) use different types of governance structures (GSs) made up of different coordination mechanisms (CMs). These mechanisms are used to coordinate aspects such prices, quality, and allocation of resources (e.g. services, inputs). The general goal of this thesis is to analyse the complexity behind the GSs used to support transactions in the Brazilian Pork Chain (BPC). Furthermore, this thesis examines how these GSs impact on farmer performance and farmer investment. Brazil is the fourth world producer and exporter of pork. The quality standards and GSs used in this supply chain offer an interesting background to be examined with implications for theory and management. Chapter 1 presents a general introduction depicting the research problem, the research questions and the theoretical framework used in this thesis hich is grounded on Transaction Costs Economics, Supply Chain Management and Networks Theory. Chapter 2 examines, through an exploratory approach, the relationships between quality requirements and CMs. This study allows us to demonstrate that, in the BPC, chain actors use a wide array of CMs to support a non-diverse set of quality requirements. Quality requirements are based on public regulations and on a few specific requirements set by specific customers. The differences in CMs regard aspects such as base prices, criteria for bonuses, control on inputs and processes and resource allocation. Chapter 3 addresses the complexity of CMs embedded in a GS and the use of plural forms of coordination by individual buyers. A framework setting values of CMs on price, volume, quality and resource allocation, was used to demonstrate that a single GS (e.g. a contract) may include CMs on distinct positions within the market-hierarchy continuum. In addition, this framework is used, in four case studies, to support analyses on how and why individual buyers use plural CMs to support similar transactions. The main explanations that were found were the need to handle market fluctuations, the implementation of new and specific quality requirements, to adopt to CMs used by competitors, and to deal with bargaining power of specific groups of farmers. Chapter 4 applies structural equation modelling (SEM) to analyse influences of vertical (buyer-farmer) and horizontal relationships (farmer-farmer) on performance of pig farmers. Data were obtained through a survey questionnaire applied to 269 pig farmers. The results demonstrate that vertical and horizontal relationships improve performance and that horizontal relationships improve information exchange. In addition, the findings suggest that the context in which transactions take place (i.e. spot market, contracting), may affect these relationships. Chapter 5 analyses, based on the farmer survey, influences of buyer support on famer performance and farmer investments. A SEM analysis was applied to 199 farmers that deliver pigs through contracts. The results demonstrate positive influences of buyer support on farmer performance and farmer investment capacity. Chapter 6 provides a general discussion including theoretical, policy and management implications.