Methods for managing the food value chain

Abstract

The paper aims to develop the methods for managing the food value chain at the level of a region and business entities. Methodologically, the study rests on the concept of value chains that takes into account the interests of governing bodies and is focused on creating maximum product value for consumers. The research methods are the following: in terms of management purposes at regional level – administrative, economic, dynamic and statistical methods; at the level of business entities – a process approach, integration-based, system-analytical and integrated methods. The authors propose a model of a system for food value chain management that covers the meso- and micro-levels of management united by a common goal, i.e. the creation of maximum value added. The article substantiates the elements of the methods for managing the food value chain, taking into account the ranking of widespread management tools developed by the global management consultancy Bain & Company. The authors identify the effective methods and tools for managing commodities, as well as production and distribution units of the value chain. We suggest a mechanism for forming а governing body, i.e. a subject of food value chain management using the case study of Orenburg oblast. The research results can be useful for federal and regional authorities, as well as companies’ top management engaged in all the units of the food value chain with different industry affiliations.

Keywords

• value chain
• methods
• management system
• food industry
• orenburg oblast