EID Parry case study: Best response
BT receives scores of responses to its case studies. Below isthe best one on EID Parry (March 3, 2013)
Sanjay Gupta [px11sanjayg@iimidr.ac.in]:
Your case study on EID Parry shows how the company has created shared opportunities for all stakeholders - farmers, intermediaries, society at large as well as the company itself. EID Parry looked at opportunities through the lens of 'shared value' which led it to take strategic initiatives, resulting in innovative approaches such as cashless farming. By redefining productivity in the industry value chain, EID Parry could garner a smooth supply of cane, and reap a high return on investment. Not only did EID Parry profit, it also laid the foundations of a new sustainable business model. The existing scenario also played a significant role in creating EID Parry's business model. Government regulations relating to 'command area' have had a major impact on industry dynamics. They created fear in the minds of farmers of being exploited by sugar manufacturers and discouraged them from growing sugarcane. They also restricted the operations of the sugar manufacturers. Within the contours of the regulations, EID Parry's model has created a perfect ecosystem, built on interdependence of farmers and the company.
In the future, I foresee two possible developments. The farmer-sugar manufacturer interdependence may get diluted. There may even be disruption in industry dynamics leading to a reconfiguration of the elements making up the value chain. This could well happen if sugar manufacturers shift their priority from farm development to efficient procurement.
Sanjay Gupta wins a Harvard Business School Press pocket mentor
Your case study on EID Parry shows how the company has created shared opportunities for all stakeholders - farmers, intermediaries, society at large as well as the company itself. EID Parry looked at opportunities through the lens of 'shared value' which led it to take strategic initiatives, resulting in innovative approaches such as cashless farming. By redefining productivity in the industry value chain, EID Parry could garner a smooth supply of cane, and reap a high return on investment. Not only did EID Parry profit, it also laid the foundations of a new sustainable business model. The existing scenario also played a significant role in creating EID Parry's business model. Government regulations relating to 'command area' have had a major impact on industry dynamics. They created fear in the minds of farmers of being exploited by sugar manufacturers and discouraged them from growing sugarcane. They also restricted the operations of the sugar manufacturers. Within the contours of the regulations, EID Parry's model has created a perfect ecosystem, built on interdependence of farmers and the company.
In the future, I foresee two possible developments. The farmer-sugar manufacturer interdependence may get diluted. There may even be disruption in industry dynamics leading to a reconfiguration of the elements making up the value chain. This could well happen if sugar manufacturers shift their priority from farm development to efficient procurement.
Sanjay Gupta wins a Harvard Business School Press pocket mentor
