Module 2 Session 1
System Structure and Function
A good map can show how a
value chain system…
…is structured - alignments
between functions
and players, past
and current
…functions -

enterprise
numbers, gender
participation, title,
margins (with data)

Mapping is a good starting point.
Need more in depth analysis to
learn:
• Why it works the way it does
• Key drivers of change

Global Rules
Global Retail

National / Local Rules
National
Retail
Sector-specific
commercial
systems

Cross-cutting
commercial
systems

Export
Wholesale

Buyer/Processing

Production
Cross-cutting noncommercial
systems
Input Supply
Mapping: The Rice Value Chain
Products




Imported:
 Long grain, white/polished, aromatic
Domestic:


Short grain, brown/unpolished, multiple varieties,

Markets




Urban middle class and upper class
 45 kgs/year average consumed; growing
Urban poor
 30 kgs/year average consumed; growing
Value Chain Performance Factors
Customer rating of rice characteristics
Imported

Characteristic
Cooking quality
Breakage
Taste
Color
Grain size

5*
5
5
5

5

*Scale of 1 to 5 where 1 is poor and 5 is excellent

Domestic

3
3
3
2
2
Value Chain Performance Factors
Customer rating of rice characteristics
Imported

Characteristic
Price
Availability
Packaging
Cleanliness
Brand

3*
5
5
5

5

*Scale of 1 to 5 where 1 is poor and 5 is excellent

Domestic

4
2
3
3
2
Mapping:
R Value Chain & Interconnected Systems
ice
FUNCTIONS

RETAIL
WHOLESALE/
IMPORT

MILLING
AGGREGATION
/ TRADING

THRESHING
PADDY
PRODUCTION
INPUT
SUPPLY

QUALITY-CONSCIOUS
UR
BAN MAR T
KE

PR -CONSCIOUS
ICE
UR
BAN MAR T
KE

INTE R
CONNE D
CTE
SYSTE
MS
Mapping Exercise: Individuals
Task:






You each have a card with the name of a
market actor in the rice value chain system.
Consider where your actor should be placed
on the map
You will be asked what function your player
performs and where to place on the map.
R Value Chain & Interconnected Systems
ice
FUNCTIONS

QUALITY-CONSCIOUS
UR
BAN MAR T
KE
Retail Grocery Outlets of Rice Products

PR -CONSCIOUS
ICE
UR
BAN MAR T
KE
Open Air Food Markets

RETAIL

WHOLESALE/
IMPORT

INTE R
CONNE D
CTE
SYSTE
MS
Ag Extension
Officer

Importers of
Long-grain Rice

Local White Rice Traders

Spray Service

MILLING

Rural Bank
Manager

Large-Scale Rice Millers
Local Paddy
Traders

AGGREGATION
/ TRADING

Ministry of Ag
Official

THRESHING
Small-scale
Emerging
Commercial
Paddy Farmer

PADDY
PRODUCTION
INPUT
SUPPLY

Large Input
Supply Firms

Small agroinput dealer

Small Scale
Paddy Farmers

Tractor Service

Credit Officer Large
Bank

USAID Module 2: System Structure and Function Presentation

  • 1.
    Module 2 Session1 System Structure and Function A good map can show how a value chain system… …is structured - alignments between functions and players, past and current …functions - enterprise numbers, gender participation, title, margins (with data) Mapping is a good starting point. Need more in depth analysis to learn: • Why it works the way it does • Key drivers of change Global Rules Global Retail National / Local Rules National Retail Sector-specific commercial systems Cross-cutting commercial systems Export Wholesale Buyer/Processing Production Cross-cutting noncommercial systems Input Supply
  • 2.
    Mapping: The RiceValue Chain Products   Imported:  Long grain, white/polished, aromatic Domestic:  Short grain, brown/unpolished, multiple varieties, Markets   Urban middle class and upper class  45 kgs/year average consumed; growing Urban poor  30 kgs/year average consumed; growing
  • 3.
    Value Chain PerformanceFactors Customer rating of rice characteristics Imported Characteristic Cooking quality Breakage Taste Color Grain size 5* 5 5 5 5 *Scale of 1 to 5 where 1 is poor and 5 is excellent Domestic 3 3 3 2 2
  • 4.
    Value Chain PerformanceFactors Customer rating of rice characteristics Imported Characteristic Price Availability Packaging Cleanliness Brand 3* 5 5 5 5 *Scale of 1 to 5 where 1 is poor and 5 is excellent Domestic 4 2 3 3 2
  • 5.
    Mapping: R Value Chain& Interconnected Systems ice FUNCTIONS RETAIL WHOLESALE/ IMPORT MILLING AGGREGATION / TRADING THRESHING PADDY PRODUCTION INPUT SUPPLY QUALITY-CONSCIOUS UR BAN MAR T KE PR -CONSCIOUS ICE UR BAN MAR T KE INTE R CONNE D CTE SYSTE MS
  • 6.
    Mapping Exercise: Individuals Task:    Youeach have a card with the name of a market actor in the rice value chain system. Consider where your actor should be placed on the map You will be asked what function your player performs and where to place on the map.
  • 7.
    R Value Chain& Interconnected Systems ice FUNCTIONS QUALITY-CONSCIOUS UR BAN MAR T KE Retail Grocery Outlets of Rice Products PR -CONSCIOUS ICE UR BAN MAR T KE Open Air Food Markets RETAIL WHOLESALE/ IMPORT INTE R CONNE D CTE SYSTE MS Ag Extension Officer Importers of Long-grain Rice Local White Rice Traders Spray Service MILLING Rural Bank Manager Large-Scale Rice Millers Local Paddy Traders AGGREGATION / TRADING Ministry of Ag Official THRESHING Small-scale Emerging Commercial Paddy Farmer PADDY PRODUCTION INPUT SUPPLY Large Input Supply Firms Small agroinput dealer Small Scale Paddy Farmers Tractor Service Credit Officer Large Bank