IDEAS home Printed from https://ideas.repec.org/a/eee/agisys/v189y2021ics0308521x20309057.html
   My bibliography  Save this article

A systematic review of the contribution of system dynamics to value chain analysis in agricultural development

Author

Listed:
  • Muflikh, Yanti Nuraeni
  • Smith, Carl
  • Aziz, Ammar Abdul

Abstract

Value chain analysis has been widely used as a diagnostic approach to identify and address complex issues across value chains in an agricultural development context. While comprehensive, the method is primarily qualitative and static in nature, it has limited capability in capturing the dynamic interactions between components from production to consumption and their linkages within a complex system. The application of system dynamics in value chain analysis has the potential to address the limitations. We conducted a systematic literature review to synthesise the underlying reasons behind the application of system dynamics in value chain analysis and understand how it has been operationalised. Results show that the primary reasons why system dynamics is used in value chain analysis were improved ability in capturing the feedbacks, dynamic behaviours and time delays, modelling the dynamics of governance and roles of support systems over time, incorporating multiple causal factors, and measuring performance and policy interventions over time. This can be broadly attributed to the need to improve the analytical rigour of value chain analysis. The applications of system dynamics in value chain analysis varied according to the agricultural commodities analysed, the modelling process followed, dynamic complexity modelled, and the scope of the value chain components analysed. We discuss the contributions, limitations, and opportunities for future improvements. A preliminary framework is proposed to improve the application of system dynamics in value chain analysis.

Suggested Citation

  • Muflikh, Yanti Nuraeni & Smith, Carl & Aziz, Ammar Abdul, 2021. "A systematic review of the contribution of system dynamics to value chain analysis in agricultural development," Agricultural Systems, Elsevier, vol. 189(C).
    • Handle: RePEc:eee:agisys:v:189:y:2021:i:c:s0308521x20309057
    DOI: 10.1016/j.agsy.2020.103044
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0308521X20309057
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.agsy.2020.103044?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Lie, Helene & Rich, Karl M., 2016. "Modeling Dynamic Processes in Smallholder Dairy Value Chains in Nicaragua: A System Dynamics Approach," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 7(4), pages 1-13, July.
    2. Ellen Mangnus & A.C.M. (Guus) Van Westen, 2018. "Roaming through the Maze of Maize in Northern Ghana. A Systems Approach to Explore the Long-Term Effects of a Food Security Intervention," Sustainability, MDPI, vol. 10(10), pages 1-19, October.
    3. Ponte, Stefano & Kelling, Ingrid & Jespersen, Karen Sau & Kruijssen, Froukje, 2014. "The Blue Revolution in Asia: Upgrading and Governance in Aquaculture Value Chains," World Development, Elsevier, vol. 64(C), pages 52-64.
    4. Thi Le Hoa Vo & Daniel Thiel, 2011. "Economic simulation of a poultry supply chain facing a sanitary crisis," Post-Print halshs-00657468, HAL.
    5. Krystyna Stave & Birgit Kopainsky, 2015. "A system dynamics approach for examining mechanisms and pathways of food supply vulnerability," Journal of Environmental Studies and Sciences, Springer;Association of Environmental Studies and Sciences, vol. 5(3), pages 321-336, September.
    6. A J Higgins & C J Miller & A A Archer & T Ton & C S Fletcher & R R J McAllister, 2010. "Challenges of operations research practice in agricultural value chains," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 61(6), pages 964-973, June.
    7. Hamza, Kanar H. & Rich, Karl M. & Baker, A. Derek & Hendrickx, Saskia, 2014. "Commercializing Smallholder Value Chains for Goats in Mozambique: A System Dynamics Approach," 2014 International European Forum, February 17-21, 2014, Innsbruck-Igls, Austria 199342, International European Forum on System Dynamics and Innovation in Food Networks.
    8. Natalia Brzezina & Birgit Kopainsky & Erik Mathijs, 2016. "Can Organic Farming Reduce Vulnerabilities and Enhance the Resilience of the European Food System? A Critical Assessment Using System Dynamics Structural Thinking Tools," Sustainability, MDPI, vol. 8(10), pages 1-32, September.
    9. Diego Naziri & Karl M. Rich & Ben Bennett, 2015. "Would a Commodity-based Trade Approach Improve Market Access for Africa? A Case Study of the Potential of Beef Exports from Communal Areas of Namibia," Development Policy Review, Overseas Development Institute, vol. 33(2), pages 195-219, March.
    10. Julian M. Alston & Philip G. Pardey, 2014. "Agriculture in the Global Economy," Journal of Economic Perspectives, American Economic Association, vol. 28(1), pages 121-146, Winter.
    11. Kaplinsky, Raphael & Terheggen, Anne & Tijaja, Julia, 2011. "China as a Final Market: The Gabon Timber and Thai Cassava Value Chains," World Development, Elsevier, vol. 39(7), pages 1177-1190, July.
    12. Purnomo, Herry & Okarda, Beni & Dermawan, Ahmad & Ilham, Qori Pebrial & Pacheco, Pablo & Nurfatriani, Fitri & Suhendang, Endang, 2020. "Reconciling oil palm economic development and environmental conservation in Indonesia: A value chain dynamic approach," Forest Policy and Economics, Elsevier, vol. 111(C).
    13. Dizyee, Kanar & Baker, Derek & Rich, Karl M., 2017. "A quantitative value chain analysis of policy options for the beef sector in Botswana," Agricultural Systems, Elsevier, vol. 156(C), pages 13-24.
    14. Simões, Andre Rozemberg Peixoto & Nicholson, Charles Frederick & Novakovic, Andrew M. & Protil, Roberto Max, 2020. "Dynamic impacts of farm-level technology adoption on the Brazilian dairy supply chain," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 23(1).
    15. Karl M Rich & Matthew J Denwood & Alistair W Stott & Dominic J Mellor & Stuart W J Reid & George J Gunn, 2013. "Systems Approaches to Animal Disease Surveillance and Resource Allocation: Methodological Frameworks for Behavioral Analysis," PLOS ONE, Public Library of Science, vol. 8(11), pages 1-1, November.
    16. Dizyee, Kanar & Baker, Derek & Rich, Karl M. & Fleming, Euan & Burrow, Heather, 2016. "Applying system dynamics to value chain analysis," 2016 Conference (60th), February 2-5, 2016, Canberra, Australia 235242, Australian Agricultural and Resource Economics Society.
    17. Catherine Dolan & John Humphrey, 2004. "Changing Governance Patterns in the Trade in Fresh Vegetables between Africa and the United Kingdom," Environment and Planning A, , vol. 36(3), pages 491-509, March.
    18. Trienekens, Jacques H., 2011. "Agricultural Value Chains in Developing Countries A Framework for Analysis," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 14(2), pages 1-32, May.
    19. Lie, Helene & Rich, Karl M. & van der Hoek, Rein & Dizyee, Kanar, 2018. "An empirical evaluation of policy options for inclusive dairy value chain development in Nicaragua: A system dynamics approach," Agricultural Systems, Elsevier, vol. 164(C), pages 193-222.
    20. Rich, Karl M. & Perry, Brian D. & Kaitibie, Simeon, 2009. "Commodity-based Trade and Market Access for Developing Country Livestock Products: The Case of Beef Exports from Ethiopia," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 12(3), pages 1-22, September.
    21. Andrew Jones & Don Seville & Donella Meadows, 2002. "Resource sustainability in commodity systems: the sawmill industry in the Northern Forest," System Dynamics Review, System Dynamics Society, vol. 18(2), pages 171-204, June.
    22. Lowitt, Kristen & Hickey, Gordon M. & Ganpat, Wayne & Phillip, Leroy, 2015. "Linking Communities of Practice with Value Chain Development in Smallholder Farming Systems," World Development, Elsevier, vol. 74(C), pages 363-373.
    23. von Geibler, Justus & Kristof, Kora & Bienge, Katrin, 2010. "Sustainability assessment of entire forest value chains: Integrating stakeholder perspectives and indicators in decision support tools," Ecological Modelling, Elsevier, vol. 221(18), pages 2206-2214.
    24. Derek Baker & Kanar Dizyee & Warren Parker & Frank Scrimgeour & Garry Griffith, 2017. "Primary Industry Chains and Networks: Analysis for Public and Private Interests," Systems Research and Behavioral Science, Wiley Blackwell, vol. 34(6), pages 699-709, November.
    25. Rich, Karl M. & Rich, Magda & Dizyee, Kanar, 2018. "Participatory systems approaches for urban and peri-urban agriculture planning: The role of system dynamics and spatial group model building," Agricultural Systems, Elsevier, vol. 160(C), pages 110-123.
    26. Rich, Karl M. & Ross, R. Brent & Baker, A. Derek & Negassa, Asfaw, 2011. "Quantifying value chain analysis in the context of livestock systems in developing countries," Food Policy, Elsevier, vol. 36(2), pages 214-222, April.
    27. Henry Jordaan & Bennie Grové & Gerhard R. Backeberg, 2014. "Conceptual framework for value chain analysis for poverty alleviation among smallholder farmers," Agrekon, Taylor & Francis Journals, vol. 53(1), pages 1-25, March.
    28. Bonhee Chung, 2018. "System Dynamics Modelling and Simulation of the Malaysian Rice Value Chain: Effects of the Removal of Price Controls and an Import Monopoly on Rice Prices and Self†sufficiency Levels in Malaysia," Systems Research and Behavioral Science, Wiley Blackwell, vol. 35(3), pages 248-264, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kansilembo Aliamutu & Msizi Mkhize, 2024. "The Impact of Value Chain Financing on Profitability for South Africa's Edible Oil Manufacturing Companies: Raw Materials and Working Capital Approaches," Journal of Economics and Behavioral Studies, AMH International, vol. 16(1), pages 31-40.
    2. Muflikh, Y.N. & Smith, C. & Brown, C. & Aziz, A.A., 2021. "Analysing price volatility in agricultural value chains using systems thinking: A case study of the Indonesian chilli value chain," Agricultural Systems, Elsevier, vol. 192(C).
    3. Kiloes, Adhitya Marendra & Puspitasari, & Sulistyaningrum, Anna & Khaririyatun, Nur & Mulyono, Djoko & Prabawati, Sulusi & Anwarudin Syah, Mohammad Jawal & Devy, Nirmala Friyanti & Hardiyanto,, 2024. "Unravelling the provisioning system of a strategic food commodity to minimise import dependency: A study of garlic in Indonesia," Food Policy, Elsevier, vol. 123(C).
    4. Hongyu Wang & Xiaolei Wang & Apurbo Sarkar & Lu Qian, 2021. "Evaluating the Impacts of Smallholder Farmer’s Participation in Modern Agricultural Value Chain Tactics for Facilitating Poverty Alleviation—A Case Study of Kiwifruit Industry in Shaanxi, China," Agriculture, MDPI, vol. 11(5), pages 1-19, May.
    5. Courtney Blair & Erica Gralla & Finley Wetmore & Jarrod Goentzel & Megan Peters, 2021. "A Systems Framework for International Development: The Data‐Layered Causal Loop Diagram," Production and Operations Management, Production and Operations Management Society, vol. 30(12), pages 4374-4395, December.
    6. Ali, Muhammad Fadzli & Sulong, Siti Hawa & Julius, Kotir & Smith, Carl & Aziz, Ammar Abdul, 2022. "Using a participatory system dynamics modelling approach to inform the management of Malaysian rubber production," Agricultural Systems, Elsevier, vol. 202(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Berends, Jared & Rich, Karl M. & Kaitibie, Simeon & Lyne, Michael C., 2021. "Ex-ante evaluation of interventions to upgrade pork value chains in Southern Myanmar," Agricultural Systems, Elsevier, vol. 194(C).
    2. Lie, Helene & Rich, Karl M. & van der Hoek, Rein & Dizyee, Kanar, 2018. "An empirical evaluation of policy options for inclusive dairy value chain development in Nicaragua: A system dynamics approach," Agricultural Systems, Elsevier, vol. 164(C), pages 193-222.
    3. Cooper, Gregory S. & Rich, Karl M. & Shankar, Bhavani & Rana, Vinay & Ratna, Nazmun N. & Kadiyala, Suneetha & Alam, Mohammad J. & Nadagouda, Sharan B., 2021. "Identifying ‘win-win-win’ futures from inequitable value chain trade-offs: A system dynamics approach," Agricultural Systems, Elsevier, vol. 190(C).
    4. Muflikh, Y.N. & Smith, C. & Brown, C. & Aziz, A.A., 2021. "Analysing price volatility in agricultural value chains using systems thinking: A case study of the Indonesian chilli value chain," Agricultural Systems, Elsevier, vol. 192(C).
    5. Dizyee, Kanar & Baker, Derek & Rich, Karl M., 2017. "A quantitative value chain analysis of policy options for the beef sector in Botswana," Agricultural Systems, Elsevier, vol. 156(C), pages 13-24.
    6. McGarraghy, Seán & Olafsdottir, Gudrun & Kazakov, Rossen & Huber, Élise & Loveluck, William & Gudbrandsdottir, Ingunn Y. & Čechura, Lukáš & Esposito, Gianandrea & Samoggia, Antonella & Aubert, Pierre-, 2022. "Conceptual system dynamics and agent-based modelling simulation of interorganisational fairness in food value chains: Research agenda and case studies," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 12(2).
    7. Kiloes, Adhitya Marendra & Puspitasari, & Sulistyaningrum, Anna & Khaririyatun, Nur & Mulyono, Djoko & Prabawati, Sulusi & Anwarudin Syah, Mohammad Jawal & Devy, Nirmala Friyanti & Hardiyanto,, 2024. "Unravelling the provisioning system of a strategic food commodity to minimise import dependency: A study of garlic in Indonesia," Food Policy, Elsevier, vol. 123(C).
    8. Seán McGarraghy & Gudrun Olafsdottir & Rossen Kazakov & Élise Huber & William Loveluck & Ingunn Y. Gudbrandsdottir & Lukáš Čechura & Gianandrea Esposito & Antonella Samoggia & Pierre-Marie Aubert & Da, 2022. "Conceptual System Dynamics and Agent-Based Modelling Simulation of Interorganisational Fairness in Food Value Chains: Research Agenda and Case Studies," Agriculture, MDPI, vol. 12(2), pages 1-30, February.
    9. Cooper, G.S. & Shankar, B. & Rich, K.M. & Ratna, N.N. & Alam, M.J. & Singh, N. & Kadiyala, S., 2021. "Can fruit and vegetable aggregation systems better balance improved producer livelihoods with more equitable distribution?," World Development, Elsevier, vol. 148(C).
    10. Kanthaswamy, Harishankar & Das, Abhishek & Venkatachalam, Saravankumar & Radha, Ashok Krishna & Kumar, Shalander, 2024. "Evaluating the value chain of fodder-milk dynamics in Indian dairy industry: A system dynamics approach," IAAE 2024 Conference, August 2-7, 2024, New Delhi, India 344290, International Association of Agricultural Economists (IAAE).
    11. Hongyu Wang & Xiaolei Wang & Apurbo Sarkar & Lu Qian, 2021. "Evaluating the Impacts of Smallholder Farmer’s Participation in Modern Agricultural Value Chain Tactics for Facilitating Poverty Alleviation—A Case Study of Kiwifruit Industry in Shaanxi, China," Agriculture, MDPI, vol. 11(5), pages 1-19, May.
    12. Matias, Denise Margaret S. & Tambo, Justice A. & Stellmacher, Till & Borgemeister, Christian & von Wehrden, Henrik, 2018. "Commercializing traditional non-timber forest products: An integrated value chain analysis of honey from giant honey bees in Palawan, Philippines," Forest Policy and Economics, Elsevier, vol. 97(C), pages 223-231.
    13. Thorpe, Jodie, 2018. "Procedural Justice in Value Chains Through Public–private Partnerships," World Development, Elsevier, vol. 103(C), pages 162-175.
    14. Ndlovu, P.N. & Thamaga-Chitja, J.M. & Ojo, T.O., 2021. "Factors influencing the level of vegetable value chain participation and implications on smallholder farmers in Swayimane KwaZulu-Natal," Land Use Policy, Elsevier, vol. 109(C).
    15. Francesca Galli & Alessio Cavicchi & Gianluca Brunori, 2019. "Food waste reduction and food poverty alleviation: a system dynamics conceptual model," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 36(2), pages 289-300, June.
    16. Leeza De Silva & Nihal Jayamaha & Elena Garnevska, 2023. "Sustainable Farmer Development for Agri-Food Supply Chains in Developing Countries," Sustainability, MDPI, vol. 15(20), pages 1-20, October.
    17. Dizyee, Kanar & Baker, Derek & Herrero, Mario & Burrow, Heather & McMillan, Larelle & Sila, Daniel Ndaka & Rich, Karl M., 2020. "The promotion of amaranth value chains for livelihood enhancement in East Africa: A systems modelling approach," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 15(2), June.
    18. Giovanni Pasquali & Matthew Alford, 2022. "Global value chains, private governance and multiple end-markets: insights from Kenyan leather," Journal of Economic Geography, Oxford University Press, vol. 22(1), pages 129-157.
    19. Alarcon, Pablo & Fèvre, Eric M. & Murungi, Maurice K. & Muinde, Patrick & Akoko, James & Dominguez-Salas, Paula & Kiambi, Stella & Ahmed, Sohel & Häsler, Barbara & Rushton, Jonathan, 2017. "Mapping of beef, sheep and goat food systems in Nairobi — A framework for policy making and the identification of structural vulnerabilities and deficiencies," Agricultural Systems, Elsevier, vol. 152(C), pages 1-17.
    20. Rasmus Lema & Roberta Rabellotti & Padmashree Gehl Sampath, 2018. "Innovation Trajectories in Developing Countries: Co-evolution of Global Value Chains and Innovation Systems," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 30(3), pages 345-363, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:agisys:v:189:y:2021:i:c:s0308521x20309057. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/agsy .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.