Integration maturity analysis for a small citrus producers' supply chain in a developing country

Abstract

PurposeThe purpose of this research is to determine the convenience of using a contract model as an integration mechanism for decision-making in a decentralized supply chain of small agricultural producers in a developing country, taking as hypothesis coordinated chain achieves better management. The analysis is based on information obtained by direct inquiry to 99 small producers in the region, about planning, production, marketing and distribution in the chain, supplemented with secondary information sources.Design/methodology/approachAs a methodology an analysis of maturity in the chain based on the Capability Maturity Model Integration is done, whose evaluation is later analyzed as a fuzzy logic model, with the support of the fuzzy logic of the MATLAB toolbox, to study the convenience of the use of the contract against the other mechanisms, and to establish an approximation to the level of readiness of the chain toward integration.FindingsResults obtained show that the small farmer supply chain studied, from a maturity perspective, has a strong disposition for the use of contracts as an integration mechanism.Research limitations/implicationsThe supply chain for small producers presents a high dispersion, little consolidated offer capacity and lack of coordination. Limitations in terms of information and criteria unification are a challenge for future research. Results have socioeconomic implications for small producers and can serve as a guide to formulate policies by the governments in Latin American countries.Practical implicationsAs practical implications, it can be stated that the use of supply contracts is a real mechanism that can be implemented in this type of chain, to break the mistrust between the echelons and improve the supply chain performance. This research will allow to establish support programs from local governments for the sustainability and improving income of small producers. In addition, contracts will allow to formalize the linkage of small producers to a sustainable commercial network.Social implicationsSmall agricultural producers in developing countries live in unfavorable conditions, with socioeconomic limitations. This work offers an alternative for their productive activity development that will allow them access to marketing chains in a safe way and improve their living conditions.Originality/valuePrevious studies related to the maturity toward the chain integration and fuzzy logic as a hybrid methodology, were not found in the literature, and less even applied to a chain of small agricultural products.

Backup Agreement as a Coordination Mechanism in a Decentralized Fruit Chain in a Developing Country

“…Data were obtained from a set of surveys carried out to small farmers, intermediaries and retailers as aforementioned, in a citrus supply chain. The structure of the surveys and the characterization method and results are presented in [27]. In this work, we do not focus on stakeholders' and process characterization but on cost and revenue structure and their variation considering two scenarios.…”

“…These elements become inhibitors of collaboration. On the other hand, [27] applied a maturity analysis model to implement a coordination mechanism in a small agricultural producer's supply chain in Colombia. A great implementation opportunity of integration mechanisms is identified, considering the potential benefits offered to the small producer in improving their income.…”

Trends and Recommendations for Enhancing Maturity Models in Supply Chain Management and Logistics

“…Numerous studies have examined the practicality of these tools in various industries [139,140] and different interand intra-organizational processes [110,111]. MMs have proven to be useful for both structured companies and small to medium-sized enterprises [112,138,[141][142][143], as well as in industrialized and emerging developing countries [8,107,144]. In this study, we aimed to address four research questions (RQs) concerning significant research contributions (RQ1), the evolution of topics over time (RQ2), key criteria for definition, design, and application (RQ3), and potential future developments (RQ4).…”

Sustainability Fruit Supply Chain Design in the Context of Decentralized Smallholders: Modelling Framework and Sensitivity Analysis

“…Constraints (9) and (10) refer to the weight capacities in the vehicles of the intermediaries considered in stage 1 and 2. Constraints (11) and ( 12) are necessary to satisfy the minimum product demand individually for the intermediary and retailer.…”

“…Global markets and consumers are demanding greater producer involvement in the development of sustainable practices, environmental legislation and raising customer environmental awareness [12]. Social improvement is thus becoming essential in some contexts [10]. As a result, there is an increasing pressure from supply chain stakeholders to manage them with regard to required sustainability [13].…”