Service Delivery Models are supply chain structures, which provide services such as training, access to inputs and finance to farmers. Efficient service delivery can improve farmers performance, and ultimately their profitability and livelihoods.
Through a better understanding of service delivery models (SDMs) value chain players in agri-commodities are beginning to see service delivery as part of their core business, rather than something requested by the buyer or simply a way to create farmer loyalty.
This results in value chain players establishing a relationship with the farmer as a client. If the farmer is seen as a client, the service provider tends to invest more in gaining a better understanding of what services are being delivered and to which farmers. They also want to better understand the impact the SDM has on their business. Meaning, gaining a clearer understanding of how to fund service delivery and exploring ways to make their model less dependent on external funding, i.e commercially viable.
To accelerate this process, IDH initiated a systematic, data-driven approach to understanding and improving SDMs. Together with NewForesight Consultancy, IDH has analyzed the SDMs of service providers in the cocoa, coffee and spice sector and are continuing to attract new partners. The insights gained from the analysis are helping to prototype efficiency improvements in service delivery.
For each Service Delivery Model we:
From the individual case studies, IDH compiled a report of key insights.
Report available for download here: Service Delivery Models: Insights for continuous improvement and farm impact
Some of the key findings from this report include:
As an outcome of the first phases of the SDM analysis, issues flagged by multiple companies as being of critical importance, have become topics for further research.
In our next phase of the project we will look into how to:
In addition to taking a deeper dive into the topics mentioned above, IDH will continue to analyze a broader range of SDMs. The learnings from the analysis and ‘deep dive research’ will be disseminated via webinars and knowledge sharing events, to accelerate the growth of market driven services for smallholders.
We are looking for additional partners both interested in gaining insight into their existing service delivery and in prototyping new approaches. If you or your organization are curious to learn more, contact Julia Bolton at Bolton@idhtrade.org .
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