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Key success factors for multinationals including smallholders in tight value chains
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Recently, an increasing number of food and agribusiness multinational enterprises (F&A MNEs) are recognizing the economic potential of smallholder inclusion in Africa, Asia, and Latin America. The 2016 report, "Critical Success Factors for Smallholder Inclusion in High Value-Adding Supply Chains by F&A MNEs", carefully outlines key opportunities to engage smallholders in tight global value chains.
Report written by August R. Sjauw-Koen-Fa, Vincent Blok, and S.W.F. (Onno) Omta
Authors August R. Sjauw-Koen-Fa, Vincent Blok, and S.W.F. (Onno) Omta report that more F&A MNEs are including smallholders in their supply chains using a range of success factors around topics such as customer segmentation, governance structures, smallholder productivity and quality, and many others. This is an important trend to keep note of as (among other things) it improves smallholders' bankability and access to finance.
"The aim of the present article is to identify the critical success factors (CSFs) that can help food and agribusiness multinationals to design and implement sourcing strategies for sustainable smallholder supply from a business perspective, and to scale up successful pilot projects from a business perspective."
Download the full report for a more exhaustive view of the relationship between smallholders and high value-adding supply chains.
