Tuesday 11 September 2018

Agricultural Value Creation through Effective Supply Chain Management: (CIACR) - Lupine Publishers


Agriculture is the most important industry for humanity. Unfortunately, however, it is also one of the least effectively managed industries. It is true that for the last several decades, there have been enormous scientific advancements that have increased the agricultural productivity. However, the question is whether the world has been able to reap the benefits to the fullest extent of such scientific advancements. The agricultural supply chain is characterized with an extremely long and fragmented system consisting of many gatekeepers throughout the value chain. As a result, it is vulnerable to a serious systemic malfunctioning such as the bullwhip effect. When a supply chain is inflicted by the bullwhip effect, it suffers huge inefficiencies, which include increasing costs, hampering innovation, and weakening problem solving capability. Unless it overcomes such inefficiencies, the industry as a whole will lose its competitiveness and perish eventually. As such, in order for the agricultural industry to sustain and thrive, it is vital to implement supply chain strategy effectively through coordination among the entire participants in the agricultural value chain.

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