MGT1AGM Agribusiness Management - Essay Help

The term agriculture indicates that agricultural field flows, seeds, crops are harvested, cows are milked or livestock is fed. Before recently this was a pretty accurate description but today's farming is radically different; it has developed into an agri-business system that stretches far beyond the field to include everyone involved in the process. Agriculture is not limited to those who cultivate the soil, but also to all the players in the entire process, including distributors, carriers, and producers of the goods. When new industries evolved and traditional farms expanded, the agribusiness underwent rapid process transformation. Agri-business defines the network of food, fiber and marketing that comprises thousands of businesses from small farms to big multinationals. Raising agriculture productivity can also foster broad-based entrepreneurial practices such as new product diversification, rural business production, agro-processing industry creation and new market development (Diao et al., 2007). Who constitutes agribusiness management work is a constant discussion, given the development and interest in the farming industry (Barry, Sonka, and Lajili, 1992; Harling, 1995; Robbins, 1988). Knowing what is or is not research into agri-business management relies on its concept. Meanwhile Davis and Goldberg's (1957) Agriculture has, subsequently, been defined as seminal definitions of agribusiness in a number of ways, like agribusiness (Boehlje 1999; Cook and Chaddad 2000), value, (Lazzarini, Chaddad, and Cook, 2001). Both concepts share a common perspective on the inter-dependence of the various sectors of the food supply chain, moving towards consumer products and services development, manufacturing, delivery and sales (Boehlje, 1999; Cook and Chaddad, 2000). All elements of a farm-to-fork system for the specific food item are part of a food supply chain, which includes different stages relating to the procurement, development, post-harvesting, storage, refining, delivery and linkages of component parts. The basic principles thereby mimic the supply chains of industry. Agri-business as a key source of food supplies plays an important part in the world economy. Agricultural products have three different features that make it more difficult to manage the risk of agribusiness supply chains (ASCs) than to manage traditional manufacturing supply chains. Such attributes are seasonality, demand fluctuations (often called "vulnerability") and perishability. To deal with seasonality, planning is required since growth is seasonal and consumption is consumed year-round. However, most farm products have long lead times of delivery which cannot be adjusted towards design quickly. Recovery and post-harvest activities, including packaging, processing, storage, and transport, can be very demanding due to increases in supply. In fact, time pressure on post-harvest operations is often significant, as most agricultural items can be burned. According to perishability, special care, processing, and inventory control are also required. If properly managed, there can be significant loss in brand value as a result of lag in transport (Behzadi et al., 2018). For this study we will analyse the agribusiness of Moxey Farms which is one of the Australia's largest dairies with more than 200 full-time employees. The journey began in 1919 with 24 hectares of cattle by the Moxey family in Richmond. In 1992, a farm was enlarged by the family to Gooloogong, close to Cowra in Central West NSW.  Dairy farming is also one of the leading rural Australian sectors for upstream production in terms of added value. The business adds value to manufacture fresh items, including butter, cheese and yogurt, by dairy production.

Different types of risk can be further defined in addition to both categories. There are five standard forms of risk: (1) provision; (2) process; (3) demand; (4) intellectual property. In a different vein the risks are characterised as internal threats to the company, including process and management risks; external risks to the business, but internal to the supply chain: demand and distribution risk; and eventually external environmental risks. Quantitative model applications in farming issues date from the 1950s and are widely covered in the literature [Glen, 1987; Lowe and Preckel, 2004). Modeling approaches were primarily used for transport, distribution, harvesting, location and agricultural planning problems in the agribusiness sector (Tatsiopoulos and Tolis, 2003; Dooley, Parket and Blair, 2005; Lucas and Chhajed, 2004; Gupta, Harboe and Tabucanon, 2000), with a particular focus on the problems of agricultural planning. Key management of dairy farming in agribusiness issues is (i.e. yield, harvesting time, demand, etc.) depend on different sources of uncertainty, traceability, including weather, animal disease, and price variability. Tracking is the potential to monitor an item downstream in the supply chain and monitoring includes the ability to establish the origin and characteristics of a specific product by linking to upstream supply chain information (Bechini et al., 2008). In addition to this, threats on the demand side that result in supply risk, particularly if supply risk is linked to security issues that can significantly affect public perception and associated demand lately. In the 2014 botulism scare of Fonterra, fear for the safety of milk powder led to massive warning of the brand and shadowed the credibility of the whole of the NZ dairy industry (Industries, 2013). A hidden risk can also be taken into consideration in agriculture by the mass use of industrial agriculture (i.e. large, highly specialized farms with a large input of fossil fuels, pesticides, and other oil-derived chemicals).