Strategic Planning for Rural Farmers Association: A Case Study on Hsien Hsi Farmers Association in Changhua County
Date Issued
2011
Date
2011
Author(s)
Yang, Ling-Ju
Abstract
Abstract
Being exposed to the pressure to liberalize international trade upon joining the WTO on 2002, the Taiwanese government relaxed the regulations on import controls and opened the domestic market. The relaxation brought unprecedented challenges and competitions to the operation of both the agricultural sector and the farmers association. Especially the farmers association in the rural area faced with inconvenient location, depopulation, and less agricultural know-how, along with fewer resources provided. Thus, under the rapidly changing environment, it is crucial for the farmers association in the rural area to carry out a strategic planning, consolidate the available resources, enhance its competitiveness, and finally bring the advantages into full play.
Given the fact that the author serves as a general manager of the rural farmers association, whose responsibility is to carry forward the continual development, the thesis discusses and analyzes the strategic planning of rural farmers association through case study. Hopefully, the conclusion of the thesis could be applied on other farmers association with similar characteristics.
The methodology for this thesis combines the CAMELS model, SWOT analysis, and the observation from the daily business operations performed with both qualitative and quantitative data. Broadly speaking, the operations of the farmers association could be classified into six categories, namely:
(1) The credit business: local banks that create surplus, accumulate capital, structure new financial products and services to increase revenue, provide multi-faceted services, and interact with the locals.
(2) The supply and marketing business: provide innovative, quality products and services, integrate channels, and create strategic alliances with competitors.
(3) The insurance business: establish strategic alliance with insurance agents to market insurance products under the regulation and at the same time keep an eye on the future development of the agricultural insurance policy.
(4) The agricultural extension business: not only assist farmers to comply with the government policies, but also work side by side with the supply and marketing business in promoting agricultural products and further establish a brand.
(5) The general affair business: recruit talented, skilled professionals with high integrity, build the employee skill base through training and development initiatives, and establish association cohesion by providing excellent service.
(6) The accounting business: enable management function, build applicable information system, and comply with the regulations.
According to the conclusions reached from the case study of the rural farmers association, the recommendations to other similar rural farmers associations and further research development are:
(1) Accelerate the establishment of the national information center and build a rating model based on CAMELS for the supervisory business units such as the Agricultural Bank of Taiwan.
(2) Relax the regulation to incorporate more business opportunities from the credit business and clearly define relevant laws so that nonprofit organization may apply for tax exempt status.
(3) Expand further research focus from the preparation for strategic planning to the execution and auditing aspect.
Subjects
Rural-based farmers associations
business strategy
SWOT analysis
CAMELS rating system
Type
thesis
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