NGO
Social Enterprise
– an international development organisation
iDE develops enterprises and market systems that
deliver sustainable social and economic benefits,
enabling the rural poor to increase their income
and improve their quality of life
A value chain approach to economic
development
• Farmers are CLIENTS (not ‘beneficiaries’)
• Key goods and services are supplied by
private sector – not projects, NGOs etc
Lors Thmey is an agricultural
service company
that creates extraordinary value
for our smallholder clients
through high quality advice,
products, and service.
Lors Thmey
Transforming Farmers
Through Service and Technology
Farming is a Business…
Two thirds of all vegetables consumed in Cambodia
are imported from neighboring countries
Average
Rice Yield is 2.8
Photo: Nestlé – Sam Faulkner
t/ha
Market gap
•
•
•
•
•
•
Lack of good quality inputs
Lack of agricultural know-how
Poor water control
Poor access to credit
Poor access to market information
Current input sellers are ‘passive’,
immobile, sell multiple product types,
low specific knowledge
Farm Business Advisors
Bundle technical advice with good quality
agricultural inputs to create a profitable enterprise
Farm Business
Advisor
Farm Business
Advisor
Farm Business
Advisor
Organize and support the FBAs as
franchisees linked to a central franchisor
7
Farm Business Advisors
Bundle technical advice with good quality
agricultural inputs to create a profitable enterprise
Farm Business
Advisor
Agricultural Input
Suppliers
Credit
Sources
Farm Business
Advisor
Farm Business
Advisor
Information
Sources
Organize and support the FBAs as
franchisees linked to a central franchisor
8
FBA Training
• 40 days in first year
(weekly)
• Agronomy and
Sales techniques
• 50% of costs
• Internal and
through companies
• Introduce and
demonstrate new
technologies
• Lower the risk for
farmers to try
Improved
Profit
Lors Thmey
Technology
Farmer
Practice
• Increased profit
• Improved environmental
and personal safety
Information Brokering
Where do we work ?
50 FBAs
7 Commercial
Agronomists
100 FBAs (250 in 2014)
20 Commercial Agronomists
(15 interns)
Finance and Number of Clients
2009
2013
Who funds ?
Effect of the Farm Business Advisor Program
on iDE-Cambodia
• Transition :
iDE (NGO)
Lors Thmey (business)
Effect of the Farm Business Advisor Program
on iDE-Cambodia
• Changed recruitment criteria – favour private
sector
• Introduced Sales Teams and incentives program
• Strict Performance Management
• Client focus – FBAs and farmers
Who are we reaching?
Half of all FBA clients come from the
poorest third of the population
35% of vegetable growing activities are
done by women
79% of vegetable marketing is done by
women
Farmer Income +$268/year
(+ 30%)
FBA Income +$650/year (+ crops)
19
How can social enterprise be scaled up and replicated
to meet the needs of 100,000 farmers? What is
needed, what are the challenges and what are the
opportunities?
Download

International Development Enterprise by Dr. Philip Charlesworth