Excel Hort Consult Agribusiness Incubator [EHCAI]

Business Models

BY EHCAI

Building on its vast experience and professional background, EHCAI developed its own models for business development and livelihood improvement to enhance service provision using Value Chain Development approach, Capacity building through mentoring and coaching, Information Sharing, Networking and Partnership as well as Research as key approaches and strategies to generate sustainable development.

In the following sections, some of the models developed and regularly used by EHCAI will be introduced briefly:

  • Value Chain Development for Agribusiness and Agro-Industry (VCD)
  • Farmer Institutional Development – (FID)
  • Access to Market Model (ATM)
  • Business to Business Network (B2B)

Value Chain Development (VCD)

This approach has been developed to facilitate and promote sectors that are based on national regional priorities and the company development partners. The model can be tailored to specific situations and used by both public and private sector enterprises. It provides a prospective system which is addressing not only value chain issues in the narrow sense but also takes into consideration the importance of framework conditions such as the relevance of the duration and cost of taxes and policy issues. Likewise the model addresses cross-cutting issues that can have an impact on development such as HIV/ AIDS, Gender and climate change mitigation. The approach focuses on action research whereby value chain mapping and research already contribute to the mobilization of stake holders. It provides many helpful details on how to organize stakeholder processes as well as in setting up appropriate monitoring and evaluation systems along the value chain and among different value chain actors. In its very simplistic form, the value chain model seeks to harness maximum benefits by different actors along the value chain. It also helps in understanding how value chain actors deal with power and who governs or influences the chain. In the end, the model is often about improving access to market and ensuring a more efficient product flow while ensuring that the actors in the chain benefit.

Farmer Institution Development (FID)

In its technical support to capacity building of small scale farmers, EHCAI follows a systematic approach by supporting activities that increase farmers’ capacity in governance, decision making, production and collective marketing. A combination of these subsequently results into an increase in farmers incomes. Over the years of active engagement with small holder farmers, EHCAI developed this model to provide a systematic approach that strengthens the farmers’ capacities through mentoring and coaching, extension services, information sharing, exchange of experiences as well as dissemination and documentation of appropriate technologies, best-bet practices, and lessons. These are aimed at enhancing farmers’ capacity and ownership.

Business to Business Network (B2B)

This model links to different business to each other in a win-win business approach. This is done following the key procedures i.e 2010 EHCAI, B2B Technical support, information sharing, identification of business opportunities, networking for increased sales and marketing, negotiation and contract bargaining as well as increased private sector support and lobbying.

Access To Market Model (ATM)

Excel Hort Consult Ltd has also developed a model for facilitating Access to Markets (ATM), market linkages and service provision along the Value chain. This model is currently used in Eastern, and Central African countries to support various farmer organizations as well as Private sector, NGO, CBO’s and Government(EHCAI ATM, 2010) Programmes in agribusiness trade and investment. The model helps in mapping value chain actors and service providers, identification of sub sectors, markets and business opportunities. The model helps to give indications on critical chain player’s networks, sustainable linkages, production and marketing strategies as well as product and service chaining methods.

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