Methodology: function as a third party, without any

Topic: BusinessComparative Analysis
Sample donated:
Last updated: September 24, 2019

Methodology: After the green revolution in the late 1970s, soybeanssupply got the attention of consumer organization’s and environmentalists.

Since most of the soybeans were produced from animal feed, the importers had toface the risk of political claim that it reduced biodiversity. In the 1990s,the Genetic Modified Organisms(GMOs) were introduced. Supermarkets and foodretailers in Europe demanded importers for GMO-free products because of theprotest by NGOs and consumers against genetically modified products. Importersfound it difficult to trace the origin of the product. A Swiss association of consumers and NGOscalled gebana hired a consultancy BSD in 1997 to establish a commercialproduction chain of GMO-free soybean to supply the Swiss market. BSD definedthree goals for the soybean supply chain.

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1.     The first was to export toSwitzerland GMO-free soybeans including a guarantee of GMO absence.2.     The second goal was to develop anew soybean product that added environmental and social value3.     The third goal was to make asocial fund with the revenue generated from soybean sales which is then givento the producers for local development.

 The roleof BSD is to function as a third party, without any involvement in theproduction chain, but with technical knowledge of standard and with the soleinterest of establishing a good production chain. It has to also facilitate thecommunication between the partners. Results: With the globalisation of world economy, the speed atwhich information is processed and the concerns regarding human rights andenvironment related issues arise have become rapid. These have a very strongreflection in the consumer market also. There has been a lot of steps adoptedto improve the supply chain management wherein, information is traceable,transparent and is evident to be much more secure.

In order to achieve this the corporates have startedto ensure that they maintain a good “sustainable supply chain managementsystem”.·      Itdefines social and environmental standards·      Ensurethat the business practices are sustainable·      Involvementof strategic planning·      Monitoringand evaluation of processes. These arefurther explained with the references taken from the case study on “RiskManagement in Sustainable Supply Chain Management (SSCM): Lessons Learnt fromthe Case of GMO-Free Soybeans”.In 1990s there were massive protest againstgenetically modified food products from several NGOs and huge population ofconsumers. The Buyers, supermarkets and importers were in search and demand forthe GMO-free products. In order to identify and track their origin, control andensure proper production and commercialisation, the Swiss association called’Gebana’ came into action to support this process to supply the GMO-freesoybeans to the Swiss market.

The association had several Goals. ·      Toexport GMO-free soybeans to Swiss market·      Guaranteethe organic certification·      Haveefficient working control system to ensure quality production of GMO-freesoybean·      Tohave more social and environmental value added to the soybean production.·      Haveinformation passed on among the agro and food industries ·      Toensure that a social fund is created to revert the revenues earned from salesof soybeansback to the producers for their social upliftment and encourage moreproduction.·      Continuousevaluation of all social conditions prevailing and ensure the cooperation amongthe industries, producers and consumers.

     

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