Masterclass LINK Methodology
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The document outlines the Link methodology designed to facilitate inclusive business relationships between rural producers and modern markets, focusing on three key actors: farmers, buyers, and the enabling environment. It introduces essential tools like value chain mapping and the business model canvas to analyze and strengthen connections among these actors. Additionally, the document emphasizes the importance of collaboration and transparency in creating effective market linkages and outlines principles for assessing inclusiveness in business relationships.
Masterclass LINK Methodology
- 2. A producer can be included in businesses as provider or seller, as employee or buyer. LINK methodology focuses on the producer being included as a seller. Introduction Who does LINK help?Three types of actors: three perspectives As previously mentioned, this guide is aimed at potential facilitators who will apply LINK methodology. These facilitators could be: representatives of an NGO that works with producers, representatives of a group of producers, or buyers. “I’m looking for new customers for my products.” “I want to expand my supply chain to include small- holder farmers.” “My mission is to support small-holder farmers, through service provision and the coordination of sales with buyers” 2
- 3. Introduction LINK’s conceptual frameworkThree essential dimensions for success These actors ,for whom LINK will be useful, belong in turn to three dimensions which intersect and are essential for the success of an inclusive business model: (1) Farmers with the ability, capacity and organisation necessary to maintain the consistent supply required by a formal market; (2) Buyers who are willing to adapt their policies to favour small-scale producers; and (3) an enabling Environment with favourable public policy and donors, where these types of business relationships can flourish. 3
- 4. A toolkit to build inclusive commercial relationships which link rural producers with modern markets. Introduction What is LINK?The Toolkit 4
- 5. Key tool #1 The Value Chain Map 5
- 6. Key tool #1 The Value Chain Map 6
- 7. 7 Key tool #2 The business model canvas 7
- 8. From value chain to business model Value chain mapping is a way of looking at a system from a global perspective. Zooming in on one link of the chain unveils the actors distinct business models. The business model canvas allows us to zoom in on a specific link in the chain, using a 360⁰ perspective. Key tool #2 The Business Model Canvas 8
- 9. Adapted from: Osterwalder, A., Pigneur, Y., 2010, Business Model Generation The business model canvas Key tool #2 The Business Model Canvas 9
- 10. Adapted from: Osterwalder, A., Pigneur, Y., 2010, Business Model Generation The business model canvas Key tool #2 The Business Model Canvas 10
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- 12. Connecting business models Buyer or seller? A question of perspective In a value chain, each actor is both seller and buyer to their neighbouring links. A solid value chain needs strongly connected links in order to face internal and external stress factors. Understanding how to strengthen these links is crucial to the quality of the business relationships. How does each business model adapt to the needs of its neighbouring links? Key tool #2 The Business Model Canvas 12
- 13. Key tool #3 The New Business Model (NBM) principles 13
- 14. What are NBM principles and how do they work? To what extent is your business relationship inclusive? Key tool #3 The New Business Model principles 14
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- 17. 17 Example: Perception of inclusion between AGROAGUADAS & Alpina 0 2 4 6 8 10 Principio 1: Colaboración Entre Actores Principio 2: Vinculación Effectiva Al Mercado Principio 3: Gobernanza Transparente y Consistente Principio 4: Acceso Equitativo a Servicios Principio 5: Inovación Inclusiva Principio 6: Medición de Resultados OP: Agroaguadas AC: Alpina Principle 1: Collaboration between actors Principle 1: Collaboration between actors Principle 2: Effective market linkages Principle 2: Effective market linkages Principle 3: Transparent governance Principle 4: Equitable access to services Principle 5: Inclusive innovation Principle 6: Measurement of results PO: CP:
- 18. Colombia: Perceived levels of inclusion in successful PPPs
- 19. Key tool #4 The Prototype Cycle 19
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- 21. Monitor and evaluate the prototype cycle (Check) Key tool #4 The Prototype Cycle 21
- 22. 22 LINK in use: Some examples
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- 26. Public Private Partnerships: Only for the well-off? Evidence from the Productive Alliances Program in Colombia
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