strategic planning for value-added agriculture businesses

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Lesson 6

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Strategic Planning for Value-Added Agriculture Businesses. Lesson 6. Objectives. Explain the fundamental relationship between seller and buyer of a product; - PowerPoint PPT Presentation

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Lesson 6

1. Explain the fundamental relationship between seller and buyer of a product;

2. Differentiate between the importance of individual customer trust in a seller’s product and the institution-alized trust of food grades and standards;

3. Identify methods can use to develop a personal brand of trust with their customers;

4. Describe successful strategies aimed at improving a customer’s trust of a food product and the food supplier.

5. List and provide examples of the four-step customer service process. 

How would you prepare for a soccer game? What things do you need to do to win? What do you need to know? What materials and equipment do you need? What challenges do you need to plan for? Where might you encounter discouragement? What kinds of things are you able to control? What kinds of things are you unable to

control?

The most important management function. Agricultural businesses can use strategic

plans to contend with their environment. Plans provide direction of purposes and

policies that define the business. Plans are important in laying out a future

course of action for the business. Planning is a continuous process

Where is the business now? Where is the business going? Where should the business be going? How is the business going to get where it

is supposed to be going?

 Cooperative committees agree to the strategic planning process.

They explore the need to plan. Using resource persons from outside can

provide insight and observations. The committee (directors) must accept

responsibility for decisions

They decide who will be involved and the persons responsible.

Using resource persons from outside can provide insight and observations.

The committee (directors) must accept responsibility for decisions

A. Create a mission statement. Define the philosophy and values of the

cooperative and how it deals with its environment. The mission statement should focus on activities

the cooperative conducts. States the needs. Communicates why the cooperative exists.

The mission statement answers four questions. What does the cooperative do? Who are the clients? Who are its members? How does the cooperative conduct its self?

 

Don’t confuse a mission statement with a vision statement. Vision statements tell where cooperatives are

going. Mission statements tell how the cooperative will

get there.

B. Identify and evaluate the strategic options for the business. Each option should be described briefly. Policy questions should be addressed relative to

the option. Determine the consequences of not addressing

the option

A. Choose a Strategic Option1. Several choices may be apparent and

planning committees may have to choose.2. Easy choice may not be best choice.3. The choice may require a vote of members.4. Any new direction must have support of the

majority of the membership.5. Sometimes to complete a business strategy,

simply move ahead.6. Other times strategy will require new

location, new services, new products

B. An objective is a short-term practical target related to a goal. Objectives are specific, measurable, and time-

bound. Several objectives may be needed to meet a

goal.

C. Action plans are specific tasks to be performed to achieve objectives.

D.  Implement the plan(s).

Continual evaluation to determine how plans measure up

Set the tone and pace for planning. Analyze the cooperative position. Proposing objectives. Provide ideas for possible strategies. Setting time periods. Maintaining control of strategic planning

procedures. Developing resources.  Propose needed changes. Evaluate strategic plans.