Samahang Magbubukid ng Sampaloc 1 in Sariaya, Quezon: Case Study

Date

5-2018

Degree

Bachelor of Science in Agribusiness Management

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Nohreen Ethel P. Manipol

Committee Member

Nimfa Beatris D. Montes, Nanette A. Aquino, Loida E. Mojica, Normito R. Zapata, Jr.

Abstract

This study focuses on the Samahang Magbubukid ng Sampaloc 1 (SMBS1) which is a farmers’ organization that is located in Sariaya, Quezon. The organization is led by Mr. Crispin Rosales who is responsible for overseeing the other 22 members of the group who are mainly engaged in vegetable farming. Despite the members’ inclination to vegetable farming, the major service offerings and income sources of the group are limited only to the tramline and thresher services which are provided to members and non-members alike; the group also earns from its members availing of loans. Mr. Rosales aims to expand the organization in order to lessen their dependency in the government’s provisions of farming equipment. In this context the research was conducted.

Interviews with the SMBS1’s members were conducted to obtain the essential primary information and referral to the organization’s records, government files, and online searches were done to acquire the needed secondary data.

Initially, the political, economic, socio-demographic, technological, legal, and ecological (PESTLE) analysis was used to study the external environment focusing mostly on the vegetable industry in the Sariaya, Quezon. Secondly, the International Fund for Agricultural Development’s (IFAD) Small Institution and Organizations framework was used in order to examine the organization’s four business functions—human resource, marketing, production and operations, and finance—and to determine their performance gaps. The strengths and limitations of the entrepreneurial skills of SMBS1’s members were also determined using the Personal Entrepreneurial Competencies Assessment. Then, the current ratio, debt ratio, and total asset turnover ratio were computed, and a balance sheet together with an income statement were made to assess the organization’s financial performance. Basic statistical analyses were performed to examine other quantitative data such as the members’ demographics.

Results showed that the external environment is favorable in general because, not considering the unavoidable threats such as weather and typhoon risks, there is existing government support in the form of legislation and ordinances, there are continuous researches regarding organic farming that are being conducted, and a prevailing ageing demographics of farmers searching for possible methods of increasing income and farming knowledge are potential new organization members.

Furthermore, the results also showed that the organization has good government recognition, a relatively strong internal relationship among members but is lacking resources for more viable sources of income and has a problem with the members, particularly the officers in neglecting their duties. The SWOT analysis together with the fish-bone diagram, were used to analyze the key strengths, weaknesses, opportunities, and threats of SMBS1 wherein the analyses showed that the key strategic issue of the group is their inefficient performance as a farmers’ organization which was evident in its four business functions. If left unresolved, this could lead to an unsustainable farmers’ organization in the long-run.

A SWOT matrix was used to help develop an alternative for SMBS1 and it showed that, initially, it would be best for the group to transition from being a farmers’ organization to a cooperative. Transitioning into being a cooperative would encourage the farmer-members to collaborate with each other to reach not only personal development, but also organizational and communal progress. Once the necessary transition is done, the cooperative could then merge or partner with another farmer group in order to gain benefits from the exchange and sharing of knowledge and resources between the two parties. Lastly, venturing into a new business endeavor would be the group’s long-term goals.

A monitoring and evaluation scheme for the formulated alternative was also prepared. A monthly constructive self-criticism assessment, annual financial audit, and continuous quality checks will be executed for the evaluation and improvement of the members’ performance, financial performance, and overall organizational operations, respectively.

Language

English

LC Subject

Rice farmers, Farmers--Economic conditions, Organization--Case studies

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993 2018 M17 C33

Notes

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Document Type

Thesis

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