Integrating Innovation Systems Perspective and Value Chain Analysis into Agricultural R4D: Issues and Challenges Ponniah Anandajayasekeram Berhanu Gebremedhin CaSt and IPMS, ILRI www.ipms-ethiopia.org

Systems Thinking and Its Application in Agriculture

Part II: Value Chains and Value Chain Analysis

Production Post-harvest handling Processing Retailing Consumption Trading Trading Market information and intelligence Financial services Transportation Communications Govt. policy regulation Tech. & business training & assistance Production input supply & Business Support Services Research The Value Chain Transport Input Supply

Agricultural Innovation System Source: (Birner & Spielman, 2007) Linkages to other economic sectors Linkages to general science & technology Linkages to international actors Linkages to political system Agricultural value chain actors & organizations Input suppliers Agricultural producers * Different categories Trade processing, wholesale, retail, Consumers Agricultural research system * Public sector * Private sector * Third sector Agricultural education system * Primary / secondary * Post-secondary * Vocational training Agricultural advisory services * Public sector * Private sector * Third sector Bridging institutions Agricultural research and education systems Informal institutions, practices and attitudes Examples: Learning orientation; trust; communications; practices; routines Integration in value chains Political channels Stakeholder platforms Agricultural policies and investments General agricultural policies and specific agricultural innovation policies

Integration of Value chain and Innovation system perspective in Research for Development Target Group Identification Broad understanding of the Livelihood of the Target Groups (Unit of analysis is the HH) Prioritizing enterprises within the Target Group Identifying and describing the Value chain of priority enterprises National Innovation System- Generic (dealing with science and technology at National Level) Intervention Based Innovation System (Based on the priority problem) Agricultural Innovation System-Generic (dealing with Agricultural S & T) Commodity based Innovation System (dealing with the entire value chain of an enterprise) Prioritizing the key component of the Value chain-1 st level priority setting Prioritizing problems within the priority key component identified Analysis of the priority problems identified Identifying potential Intervention Identifying feasible Intervention Planning, Implementation and Evaluation Screening (Ex-ante assessment) Dissemination, Utilization by end users, and scaling out

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