Page 21 - Case Study Annual 2018
P. 21

LAA Platinum Award
















































                    From seed to salad







                 Creating a real competitive advantage in the international avocado market.




          ZZ2 AIMS to be the benchmark of success in          conditions. There can be no supply chain
          agriculture and to create sustainable value for     certainty without production. (Getting the
          all its stakeholders as a living, open system.      trees, getting them to grow, getting them to
                                                              bear.)
          The challenges                                     •  Unusual timescales of decision-making –
          Challenges in the avocado supply chain              it takes fi ve years from seed to orchard
          include:                                            to break even. It is not a simple factory
          •  Perishable products and a distant market         production set-up that can be refi tted.
           – it takes approximately 40 days to travel         Cultivar and orchard development decisions
           15,000km and the complexity of the                 need to be cost-eff ective for 15-25 years.
           cold chain and various links in the chain         •  The large number of partners in the
           complicate matters.                                supply chain, including seed suppliers,
          •  Seasonality of availability – the company        nurserymen, growers, accreditation bodies,
           aims to be ready when the supply is low            packers, transporters, exporters, shipping
           and demand is high, otherwise it is not cost-      lines, international authorities, ripeners,
           eff ective. The challenge of hitting the ‘sweet    distributors and retailers. The company
           spot’ of climate, altitude and cultivar.           relies on a number of other stakeholders
          •  Production constraints and the risks of          to do their jobs well before it gets its ‘pay
           a product that is exposed to climatic              day’.


          The Logistics News Case Study Annual 2018                                                           19
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