Analyzing complexities in the Brazilian soybean supply chain: a systems thinking and modeling approach

Author(s)

Filassi, Monique ; Ramos de Oliveira, Andrea Leda ; Elias, Arun Abraham ; Marsola, Karina Braga

• Document type: Journal article
• Source: RAUSP Management Journal; v. 57, n. 3, p. 18-pg., 2022-01-01.

Abstract

Purpose - This study aims to analyze the complexities of the Brazilian soybean supply chain (SSC) and develop strategic interventions to improve the origin system's performance. Design/methodology/approach - This study used stakeholder interviews to identify the SSC bottlenecks and determine and assess drivers of competitiveness. A methodological framework based on the systems thinking approach for developing long-term structural changes was used. The problem was structured using behavior over time graph and causal loop modeling to propose three investment strategies to solve the logistics problem in SSC. Findings - This study highlights the gaps in coordination between stakeholders and the public sector regarding the public policy for infrastructure investment. Three strategic interventions were developed to address the agro-industrial logistical problem, namely, investment in storage, multimodal transport systems and improvements in existing transport infrastructure To overcome transport and storage logistics limitations, the authors suggest different forms of partnerships, including public-private partnerships. Research limitations/implications - This research is limited to evaluating an agricultural commodity (soybean) and does not include its by-products. The sample of stakeholders was limited and the boundary of analysis was Brazil. Nevertheless, the study showed how strategic interventions could be developed following a holistic analysis. Practical implications - The proposed integrated approach illustrates the development of three strategic initiatives. It can be implemented by stakeholders. including the public sector, which is the basis for providing assertive long-term investments in Brazilian logistics. Social implications - The SSC analysis could promote the implementation of systemically determined interventions and strategies. It could significantly improve the performance of agricultural systems and help the formulation of public policies aimed at rural development. Originality/value - The use of system dynamics to identify intervention points is an essential contribution to mitigating the SSC's hindrances. Moreover, the combining methodologies resulted in comprehensive intervention strategies. (AU)

• FAPESP's process: 18/19571-1 - An intelligent platform for forecasting agricultural freight rates using data mining techniques
• Grantee: Andréa Leda Ramos de Oliveira
• Support Opportunities: Regular Research Grants