Agribusiness

Measurement of the efficiency of management on stud farms using the DEA method

by Robert Rusielik

Folia Universitatis Agriculturae Stetinensis, Oeconomica 2000 No. 38 pp. 85-98; ISSN1230-770X Polish language.

DEA (Data Envelopment Analysis) was applied to 29 Polish horse-breeding establishments, with reference to data from... more DEA (Data Envelopment Analysis) was applied to 29 Polish horse-breeding establishments, with reference to data from 1996 and 1997 covering income from sales and subsidies, land area, fixed assets, remuneration, and use of materials and energy. Average sales income rose from 4,250,000 to 4,307,000 złotys during the study period, while land area contracted by an average of 5.4%. The average value of fixed assets rose from 4,569,000 to 4,826,000 zł., while average remuneration costs were respectively 1,447,000 and 1,559,000 zł. Energy and material costs also rose. Efficiency indices dropped somewhat from 1996 to 1997, 15 establishments being rated as efficient in the first year and 13 in the next. Economy of scale enabled average reduction of costs of 2.6% in 1996 and 4.1% in 1997. In general it was found that there was potential for raising efficiency through optimal outlay combinations. This applied particularly to land area and the value of fixed assets, and to a lesser but still important degree to costs. This type of analysis is recommended for use in the development strategy of the State Agency administering stud farms as well as within the enterprises themselves.

Smoothing seasonal resource supply in land-based industries: Economic and technical impacts of 'smoothing the flush' in New Zealand dairy milk production and processing

by Peter Mellalieu

Mellalieu, P. J. (2010). Smoothing seasonal resource supply in land-based industries: Economic and technical impacts of “smoothing the flush” in New Zealand dairy milk production and processing. Presented at the Unitec Learning, Teaching, and Research Symposium, Auckland, NZ: Unitec Institute of Technology. Retrieved from http://web.me.com/petermellalieu/Teacher/Examples/Entries/2010/9/28_Smoothing_the_flush_in_New_Zealand_dairy_milk_production_and_processing.html

Most industries face production patterns that vary to some extent with the seasons of the year - or even the hours of... more Most industries face production patterns that vary to some extent with the seasons of the year - or even the hours of the day. These seasonal variations result in the requirement to construct excess processing and/or logistics capacity for peak periods, and/or to hold final product inventory produced during off-peak periods. In general, these peak supply variations increase the cost per unit of output.

This study explores the tactical and strategic implications for raw material supply-side management in the New Zealand dairy industry as an illustrative case. We focus attention particularly on the costs and opportunities for managing supply ('smoothing the flush') in the New Zealand dairy industry.

The study presents data showing that the market value of product produced by a typical multi-facility, multi-process dairy company is lowest during the flush supply period. The market value increases markedly in off-peak months as the processing company possesses the flexibility to allocate its raw material to a the most profit-bearing products - an option not available at the capacity-constrained 'flush' point.

The study argues that the New Zealand dairy industry could increase net industry profitability through adopting a (fortnightly?) pricing system for milk received from dairy farmers that reflects the actual net value achievable from the processing of milk at different periods throughout the production season. The recommendation would likely lead to (a) higher average capacity utilisation of dairy processing facilities (b) adjustments to on-farm operations as sub-regional groups of farmers arranged their production to peak earlier or later than the regional industry norm.

For source data used in this presentation, see:
Mellalieu, P. J. (1982). A Decision Support System for Corporate Planning in the New Zealand Dairy Industry (Doctor of Philosophy in mathematics, statistics and operations research). Victoria University of Wellington. Retrieved from http://hdl.handle.net/10063/568

A Decision Support System for Corporate Planning in a New Zealand Dairy Company

by Peter Mellalieu

Mellalieu, P. J. (1983). A Decision Support System for Corporate Planning in a New Zealand Dairy Company. Presented at the 25th Annual Conference of the Operational Research Society, Warwick University.

The context for the need to construct an interactive model of a large New Zealand dairy company is described. The... more The context for the need to construct an interactive model of a large New Zealand dairy company is described. The practical aspects of developing the hardware and software necessary for the decision support task are discussed followed by application examples. Comments are made regarding the combination of human judgement skills and mathematical models. Finally, some future developments of the NETPLAN system are outlined.

See also:
Mellalieu, P. J. (1982). A Decision Support System for Corporate Planning in the New Zealand Dairy Industry (Doctor of Philosophy in mathematics, statistics and operations research). Victoria University of Wellington. Retrieved from http://hdl.handle.net/10063/568


Mellalieu, P. J., & Hall, K. R. (1983). An Interactive Planning Model for the New Zealand Dairy Industry. Journal of the Operational Research Society, 34, 521–532. doi:10.1057/jors.1983.119

Kearney, T. D., Hall, K. R., & Mellalieu, P. J. (1984). Recent Advances in Network Optimization Methods and Applications. Proceedings of the Annual Conference of the United Kingdom Operational Research Society. Presented at the Annual Conference of the United Kingdom Operational Research Society. Retrieved from http://unitec.academia.edu/PeterMellalieu/Papers/1569500/Recent_Advances_in_Network_Optimization_Methods_and_Applications

Development of a large transhipment and production model for the dairy industry

by Peter Mellalieu

Mellalieu, P. J., & Hall, K. R. (1981). Development of a large transhipment and production model for the dairy industry. Proceedings of the Operations Research Society of New Zealand (ORSNZ), 51–61.

Related publications:
Mellalieu, P. J. (1982). A Decision Support System for Corporate Planning in the New Zealand Dairy Industry (Doctor of Philosophy in mathematics, statistics and operations research). Victoria University of Wellington. Retrieved from http://hdl.handle.net/10063/568

Mellalieu, P. J., & Houlistan, M. (1982). Towards decision support systems in New Zealand. Proceedings of the Operations Research Society of New Zealand (ORSNZ), 99–106. Retrieved from http://unitec.academia.edu/PeterMellalieu/Papers/1571355/Towards_decision_support_systems_in_New_Zealand

Kearney, T. D., Hall, K. R., & Mellalieu, P. J. (1984). Recent Advances in Network Optimization Methods and Applications. Proceedings of the Annual Conference of the United Kingdom Operational Research Society. Presented at the Annual Conference of the United Kingdom Operational Research Society. Retrieved from http://unitec.academia.edu/PeterMellalieu/Papers/1569500/Recent_Advances_in_Network_Optimization_Methods_and_Applications

Mellalieu, P. J., & Hall, K. R. (1983). An Interactive Planning Model for the New Zealand Dairy Industry. Journal of the Operational Research Society, 34, 521–532. doi:10.1057/jors.1983.119

Sankaran, J. K., & Luxton, P. (2003). Logistics in relation to strategy in dairying: The case of New Zealand dairy. International Journal of Operations & Production Management, 23(5), 522–545. doi:10.1108/01443570310471848

A long-range planning model for a large New Zealand dairy company is described. Aspects of the model’s systems design... more A long-range planning model for a large New Zealand dairy company is described. Aspects of the model’s systems design are discussed in relation to the development of an interactive user-oriented system. The system, known as NETPLAN is based on a network flow formulation that maximizes net variable revenues.

Towards decision support systems in New Zealand

by Peter Mellalieu

Mellalieu, P. J., & Houlistan, M. (1982). Towards decision support systems in New Zealand. Proceedings of the Operations Research Society of New Zealand (ORSNZ), 99–106. Retrieved from http://unitec.academia.edu/PeterMellalieu/Papers/1571355/Towards_decision_support_systems_in_New_Zealand

Related papers:
Mellalieu, P. J. (1982). A Decision Support System for Corporate Planning in the New Zealand Dairy Industry (Doctor of Philosophy in mathematics, statistics and operations research). Victoria University of Wellington. Retrieved from http://hdl.handle.net/10063/568

Mellalieu, P. J., & Hall, K. R. (1983). An Interactive Planning Model for the New Zealand Dairy Industry. Journal of the Operational Research Society, 34, 521–532. doi:10.1057/jors.1983.119

Kearney, T. D., Hall, K. R., & Mellalieu, P. J. (1984). Recent Advances in Network Optimization Methods and Applications. Proceedings of the Annual Conference of the United Kingdom Operational Research Society. Presented at the Annual Conference of the United Kingdom Operational Research Society. Retrieved from http://unitec.academia.edu/PeterMellalieu/Papers/1569500/Recent_Advances_in_Network_Optimization_Methods_and_Applications

The trend of operations research/management science activity towards the construction of models that will be used... more The trend of operations research/management science activity towards the construction of models that will be used recurrently for decision making leads naturally towards the concept of Decision Support Systems (DSS). Factors influencing this trend are identified, and the movement towards DSS construction in New Zealand is reviewed through examination of several successful NZ applications.

To meet the demand for more formal approaches to strategic planning the idea of a Decision Support Group is introduced. A brief examination beyond DSS is made in which it is suggested that more automated methods for implementing management decisions will complete the ‘management control’ cycle.

Management aids in the biological industries

by Peter Mellalieu

Mellalieu, P. J. (1977). Management aids in the biological industries. Productivity & Technology, NZ Department of Trade & Industry, 77(3), 13–14.

Reviews highlights of the conference 'Management of dynamic systems in agriculture' at the Department of Scientific... more Reviews highlights of the conference 'Management of dynamic systems in agriculture' at the Department of Scientific and Industrial Research (DSIR) Physics and Engineering Laboratory (PEL). My attendance at this conference led to my recruitment to PEL to undertake my doctoral studies.

See subsequent:
Mellalieu, P. J. (1982). A Decision Support System for Corporate Planning in the New Zealand Dairy Industry (Doctor of Philosophy in mathematics, statistics and operations research). Victoria University of Wellington. Retrieved from http://hdl.handle.net/10063/568

Mellalieu, P. J., & Hall, K. R. (1983). An Interactive Planning Model for the New Zealand Dairy Industry. Journal of the Operational Research Society, 34, 521–532. doi:10.1057/jors.1983.119

Kearney, T. D., Hall, K. R., & Mellalieu, P. J. (1984). Recent Advances in Network Optimization Methods and Applications. Proceedings of the Annual Conference of the United Kingdom Operational Research Society. Presented at the Annual Conference of the United Kingdom Operational Research Society. Retrieved from http://unitec.academia.edu/PeterMellalieu/Papers/1569500/Recent_Advances_in_Network_Optimization_Methods_and_Applications

A strategic research and development plan for the New Zealand pipfruit industry

by Peter Mellalieu

Hill, R., Jones, G., Hewitt, E., Banks, N., Scott, D., Mellalieu, P. J., Ferguson, I., et al. (1996). A strategic research and development plan for the New Zealand pipfruit industry (Strategic plan) (p. 48). Hastings, New Zealand: Pipfruit R&D Strategic Planning Group.

This related paper describes the process used to develop the strategy documented in the paper:

Mellalieu, P. J. (1997). Research-based innovation strategy and the New Zealand pipfruit industry. New Zealand strategic management, 3(2 (Spring)), 12. Retrieved from http://tinyurl.com/pjm-pipfruit

The future success and economic viability of the New Zealand pipfruit industry depends on innovation: the introduction... more The future success and economic viability of the New Zealand pipfruit industry depends on innovation: the introduction of new or improved products, processes and services to meet the needs of both existing and new customers. The strategic plan described focuses on opportunities for Research and Development (R&D) to help achieve premium returns from New Zealand's fresh pipfruit exports. The plan provides strategic direction to research users, funders, and providers. The plan excludes consideration of processed pipfruit products.

The project team asked the question "What are the critical issues affecting R&D-based innovation in the New Zealand pipfruit industry?" In response to the question nine critical issues were identified. The issues impact on the industry's R&D investments and research management infrastructure. In considering the nine issues four strategic R&D goal areas were identified: (1) Improving the timeliness and cost-effectiveness of new product and process development; (2) Advancing the adoption of environmentally-sustainable production, handling, and delivery practices in relation to market access requirements; (3) Optimizing market returns through improved prediction and control of product quality; (4) Adopting investment-informed approaches to R&D management, technology transfer, and intellectual property management. The plan identifies specific goals and measures of success for each of the goal areas identified.

New Technologies and their Potential Uses in the NZ Wheat Industry

by Peter Mellalieu

Bellis, S. E., Trangmar, B. B., & Mellalieu, P. J. (1985). New Technologies and their Potential Uses in the NZ Wheat Industry. NZ Wheat Review (Special Edition), 15A, 73–81.

Data obtained by remote sensing systems, including multispectral scanners carried on satellites or aircraft, can be... more Data obtained by remote sensing systems, including multispectral scanners carried on satellites or aircraft, can be used for crop and biomass inventory, monitoring, and forecasting. Pilot projects have demonstrated the potential application of these technologies in New Zealand. If the planned acquisition of a receiving station for digital satellite imagery commences in 1985, this should allow New Zealand agricultural researchers and planners to take advantage of the new technology by 1988.

Recent advances in information technology have enabled the application of simulation models for the prediction of crop responses to a wide range of environmental and management effects. Development of such models may help to minimize risky, costly, and time consuming trial-and-error evaluation of agronomic innovations in the wheat industry.

A prototype computer-based ‘expert system’ has been developed that can assist the identification and treatment of wheat diseases. This technology offers improved quality and timeliness of advice which would help reduce crop losses and wastage of fungicides. Further research on this system could add more disease, symptom, and other information to assist at earlier decision-making stages in crop management.

Research-based innovation strategy and the New Zealand pipfruit industry

by Peter Mellalieu

Mellalieu, P. J. (1997). Research-based innovation strategy and the New Zealand pipfruit industry. New Zealand strategic management, 3(2 (Spring)), 12.

For the strategic plan described in this paper, see the related:
Hill, R., Jones, G., Hewitt, E., Banks, N., Scott, D., Mellalieu, P. J., Ferguson, I., et al. (1996). A strategic research and development plan for the New Zealand pipfruit industry (Strategic plan) (p. 48). Hastings, New Zealand: Pipfruit R&D Strategic Planning Group. Retrieved from http://unitec.academia.edu/PeterMellalieu/Papers/1569486/A_strategic_research_and_development_plan_for_the_New_Zealand_pipfruit_industry

The New Zealand pipfruit industry takes around twenty years to develop a new apple variety up to full commercial... more The New Zealand pipfruit industry takes around twenty years to develop a new apple variety up to full commercial production. The industry’s success is increasingly dependent on the introduction of new pipfruit products. How can the industry plan for effective research, science, and technology (RS&T) investments for supplying products into an international marketplace which is increasingly volatile?

A Decision Support System for Corporate Planning in the New Zealand Dairy Industry

by Peter Mellalieu

Mellalieu, P. J. (1982). A Decision Support System for Corporate Planning in the New Zealand Dairy Industry, Doctor of Philosophy in mathematics, statistics and operations research,. Victoria University of Wellington, Wellington, New Zealand.

A Decision Support System (DSS) is described, the prime objective of which is to aid in the location of new... more A Decision Support System (DSS) is described, the prime objective of which is to aid in the location of new investments in a multi-site, multi-product dairy processing company. A network program model is described which optimises the collection of milk from farm groups (netcells) and the allocation of the milk to a range of final products and byproducts through consideration of product prices, Process costs and transport costs. Constraints include process capacities, overtime capacities, and final product demands. Site dependant product yields are considered through use of an iteration procedure surrounding the network model. This procedure updates estimates of the mean company yield used to set upper and lower arc constraints in the product demand phase of the network model. Milk tanker collection distances are estimated by an expected travelling salesman distance method in conjunction with accurately measured netcell to factory 'bridging distances' and an inter-factory diversion network of road distances. To cope with daily fixed cost charges, a heuristic procedure employing cost relaxations and a number of pre-solution feasibility tests is used. Seasonally varying factors (milk supply, product yield and farms visited per tanker trip) are accommodated by solving the network model for the average day in each month for twelve months, then summing the results multiplied by the number of production days in each month. Implementation as a DSS was facilitated through use of an interactive computer system incorporating computer-generated graphic displays. Applications of the DSS to location planning, industry rationalization and other corporate planning activities are described. Recommendations on the use of the model to identify the feasible set of candidates for location studies are made, and methods for identifying the appropriate timing of investments are considered.
Keyword: Corporate planning; Network program system; Operations research; Corporate support; Dairy processing; Dairying planning; 230117 Operations Research; 230299 Statistics

Identification of performance indicators for poultry agribusiness operations

by Anesa Hosein

Influencia de la localización sobre la rentabilidad de los negocios de pequeños productores agrícolas usuarios del Programa PRODESAL

by Ignacio Moncayo

El PRODESAL es un programa de fomento productivo que permite, mediante un convenio entre INDAP y los municipios... more El PRODESAL es un programa de fomento productivo que permite, mediante un convenio entre INDAP y los municipios rurales, la entrega de asesoría técnica y capital de inversión para los pequeños productores agrícolas con menor grado de desarrollo productivo. El estudio evaluó la influencia de variables determinantes de la localización sobre la rentabilidad de los negocios de pequeños productores usuarios del PRODESAL durante una temporada agrícola. Se utilizó la información productiva proveniente de una encuesta realizada para la temporada 2007-2008 a usuarios de 243 comunas de Chile. Se consideró la información proveniente de los rubros frutales, cultivos anuales, hortalizas en invernadero y al aire libre. Se observó, de manera consistente con la teoría, que las variables relacionadas a la localización territorial de las explotaciones, tales como tamaño del mercado, población y nivel de desarrollo, tienen una influencia positiva sobre la rentabilidad de los rubros estudiados. De manera inversa, la distancia que separa a las explotaciones rurales de los centro de consumo, mostró una influencia negativa sobre el resultado de los negocios.

Are you ready for the unexpected? The case of Brunello crisis

by alessio cavicchi

CAVICCHI, A., SANTINI, C. and BECCACECE E. (2010) Are you ready for the unexpected? The case of Brunello crisis, in Faraoni, M., Santini, C. (eds) Managing the Wine Business: research issues and cases from USA and Italy, McGrawHill.

How (Ch)easy is developing a new product? A cheese-case

by alessio cavicchi

SANTINI, C. and CAVICCHI A., (2010). How (Ch)easy is developing a new product? A cheese-case, in Phillips, F.Y. (ed), Managing Innovation, Entrepreneurship and New Product Development, Meyer and Meyer, Maastricht School of Management Series, Maastricht.

Consumer evaluation of a typical Italian salami: an experimental auction approach

by alessio cavicchi

Influence of Brand Equity on Milk Choice: A Choice Experiment Survey

by alessio cavicchi

Chiara Taglioni, Alessio Cavicchi, Biancamaria Torquati, Riccardo Scarpa

In the context of sustainable consumption buying local produce could support environmentally friendly production from... more In the context of sustainable consumption buying local produce could support environmentally friendly production from the local economy. Our study estimates the preference weights that local consumers assign to some milk attributes including local origin and the influence on choice of a local brand of milk, which is traded by a local cooperative of producers in Umbria (Italy). Several preference segments are found amongst fresh and UHT milk buyers by employing a Latent Class model to analyze stated choice data. This specification allows us to verify whether consumers who have a better attitude towards local milk also prefer this brand to others, placing different values on the regional origin of milk.

Market Orientation. Transforming Food and Agribusiness around the Customer

by alessio cavicchi

Pig Pandemic: Industrial Hog Farming In Eastern Mexico

by Alexandra Ponette

Exclusivity of private governance structures in agro-food networks: Bayer and the food retailing and processing sector in India

by Anika Trebbin

Co-authored with Martin Franz.
Published in 'Environment and Planning A' 42(9), pp 2043-2057. 2010.

Since the 1980s power distribution in agrofood networks has changed in many countries in Africa, Latin-America, South... more Since the 1980s power distribution in agrofood networks has changed in many countries in Africa, Latin-America, South Asia, and the postsocialist countries in Europe and Asia. In the course of economic liberalization, retail and wholesale trade as well as the food processing and agroscience sector were opened up to foreign investment. Within the frame of such liberalization many states gradually refrained from directly governing this sector and reregulated the trade in a way that gave private companies the possibility to implement new power structures. We analyze the so-called ‘Food Chain Partnership’ (FCP) program implemented by the transnational company Bayer in India as an example for private governance in agrofood networks. Bayer is advancing and coordinating relations between the food processing and retailing industry and farmers. We explore whether such private activity can substitute for the activities of state institutions in governing agrofood networks. As the case study will show, the FCP model is highly selective in terms of farmers, who can participate (criteria include minimum farm size, irrigation facility, literacy, agricultural practices, and mobile phones), the crops that are covered, and the information passed on to the farmers. This limits the potential of market-driven instruments like the FCP to replace the traditional trade system as they concentrate only on those regions and products which are promising most profit to the companies. The global production network approach builds the analytical framework of this paper.

Relative efficiency of oilseed crops production in the selected farms in Europe and the world in 2005

by Robert Rusielik

Acta Scientiarum Polonorum, Oeconomia 6 (4) 2007,pages 57--62, Warszawa 2007. Co-authored with Jacek Prochorowicz.

The article contains an analysis of production efficiency of oilseed crops in selected farms associated in... more The article contains an analysis of production efficiency of oilseed crops in selected farms associated in International Farm Comparison Network (IFCN). Mt RE (Metric tonne Rapeseed Equivalent) is used for the purpose of comparison of oilseed crops production efficiency. Technical efficiency was computed by applying Data Envelopment Analysis (DEA). Analysis of efficiency shows that products of soya and sunflower can rival
products of rape.