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Exploring the integration of business and CSR perspectives in smallholder souring: Black soybean in Indonesia and tomato in India

August Raimy Sjauw-Koen-Fa (Management Studies Group, School of Social Sciences, Wageningen University, Wageningen, The Netherlands)
Vincent Blok (Management Studies Group, School of Social Sciences, Wageningen University, Wageningen, The Netherlands)
Onno S.W.F. Omta (Management Studies Group, School of Social Sciences, Wageningen University, Wageningen, The Netherlands)

Journal of Agribusiness in Developing and Emerging Economies

ISSN: 2044-0839

Article publication date: 5 November 2018

550

Abstract

Purpose

The purpose of this paper is to assess the impact of smallholder supply chains on sustainable sourcing to answer the question how food and agribusiness multinationals can best include smallholders in their sourcing strategies and take social responsibility for large-scale sustainable and more equitable supply. A sustainable smallholder sourcing model with a list of critical success factors (CSFs) has been applied on two best-practise cases. In this model, business and corporate social responsibility perspectives are integrated.

Design/methodology/approach

The primary data of the value chain analyses of the two smallholder supply chains of a food and agribusiness multinational have been applied. Both cases were of a join research program commissioned by the multinational and a non-governmental organization using the same methods and research tools. Similarities, differences and interference between the cases have been determined and assessed in order to confirm, fine tune or adjust the CSFs.

Findings

Both cases could be conceptualized through the smallholder sourcing model. Most CSFs could be found in both cases, but differences were also found, which led to fine tuning of some CSFs: building of a partnership and effective producers organization, providing farm financing and the use of cross-functional teams in smallholder supplier development programs. It was also concluded that the smallholder sourcing model is applicable in different geographical areas.

Research limitations/implications

The findings of this study are based on just two cases. More best-practise cases are recommended in order to confirm or to adjust the developed sourcing model and the CSFs.

Originality/value

This paper/research fills the need in sustainable supply chain management literature to study supply chains that comply with the triple bottom line concept, rather than supply chains that are just more “green.”

Keywords

Acknowledgements

The authors are very grateful to the Sunrise 2.0 project team – especially Justin Tait (Sunrise), Ximing Hu (Unilever) and Juni Sul (Oxfam) – that commissioned the value chain analyses of tomatoes in India and the black soybean supply chain in Indonesia. The authors also want to thank Michele Bruni and Hannah Schiff (from Enterprise Project Ventures Ltd) for their work on the tomato case of which selected data are used in this scientific paper.

Citation

Sjauw-Koen-Fa, A.R., Blok, V. and Omta, O.S.W.F. (2018), "Exploring the integration of business and CSR perspectives in smallholder souring: Black soybean in Indonesia and tomato in India", Journal of Agribusiness in Developing and Emerging Economies, Vol. 8 No. 4, pp. 656-677. https://doi.org/10.1108/JADEE-06-2017-0064

Publisher

:

Emerald Publishing Limited

Copyright © 2018, Emerald Publishing Limited

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