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Case study of Creating value creation for farmers
Learning outcomes
The case demonstrates the use of strategic management tools such as pros and cons analysis, SWOT analysis, strategy canvas, the four-action framework and the eliminate–reduce–raise–create grid to create a Blue Ocean.
Through a discussion of the case, students will be able to conduct pros and cons analysis to objectively understand a situation conduct SWOT analysis to understand the internal and external ecosystem understand non-customers and paths to reach them demonstrate the role of strategy canvas and the four-action framework in designing a new offering and explain how to create a Blue Ocean market space, by implementing the concept of value innovation.
This case describes a situation in which Dr Vishal Sardeshpande (Sardeshpande), a first-generation entrepreneur in the agro and food processing industry, started Sarvaay Solutions to provide technological solutions for the sector, especially for the small/medium-sized farmer. Such farmers did not have access to technology and the markets to create value addition on their farm produce, and hence were at the mercy of the middlemen or the large farmers.
After years of experimentation from 2006 till 2018, Sardeshpande made a resource-efficient jaggery manufacturing process (REJMP) in Pune to enable and empower the farmer to produce quality jaggery using their own sugarcane, which otherwise was sold to the middlemen. Sardeshpande knew the industry and was aware of the challenges faced by the farmers, traditional jaggery producers and cooperative farming bodies.
In June 2022, while sitting in his house, Sardeshpande was struck with an idea that the key to success of REJMP is to empower farmers or traditional jaggery producers or cooperative farming bodies to create value from agriculture produce and wondered the way forward. The purpose of this case is to provide an opportunity for the participants to use management tools such as strategy canvas, four-action framework, Pros and Cons analysis and SWOT analysis to understand noncustomers and paths to reach them and understand new industry creation. Participants need to take into consideration the data given in the case and make realistic assumptions to understand how new industries are created.
The case engages the participants in deciding a suitable course of action for Sardeshpande to decide the Blue Ocean strategy. It helps them to delineate the challenges faced by an entrepreneur to select a route for the new market space.The case is ideal for undergraduate, postgraduate or executive education students and can be used in the following courses of a business management, agri business management or entrepreneurship programs:▪ creating new industries;▪ Blue Ocean strategy; and▪ strategic management.
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Thermal performance evaluation of a four pan jaggery processing furnace for improvement in energy utilization
Jaggery processing is a small scale industry in many states of India. Jaggery is being used as a sweetener since ancient days. Sugarcane-based jaggery production is one of the oldest processing industries. Sugarcane cultivation is carried out in around 4 million hectares of land in India and its production has been between 230 and 300 million tones in past several years .
Jaggery (locally termed as Gur in India) and raw sugar (Khandsari in India) production from sugarcane juice are among the major agro processing industries. Present scenario of sugarcane-based industry indicates that about 70% of cane is utilized for sugar making, 20% for jaggery and khandsari and remaining is for sowing, feed and juice extraction for direct consumption .
Technically jaggery is a condensed form of a sugarcane juice, generally present in the solid state at ambient temperature. Jaggery is a traditional unrefined non-centrifugal sugar consumed in Asia, Africa, Latin America, and the Caribbean.
It is a concentrated product of cane juice, and can vary from golden brown to dark brown in color. It contains 65–85% sucrose, 10–15% reducing sugars, 3–10% moisture and the remaining (in traces) made up of other insoluble matter such as fat, proteins, minerals, iron and phosphorus. Hence, jaggery possesses nutritive properties of high order and is often called as medicinal sugar .
Jaggery production mainly involves juice extraction, evaporation of water from the juice, stirring of condensed juice, granular formation and molding to solid state. A jaggery processing plant mainly requires mechanical and thermal energy for processing. Mechanical energy is mainly used for cane crushing, for which bullock driven crushers were used in olden days. Since last fifty years, electric motor and direct drive diesel engine are used as the mechanical drive for crusher.
Jaggery making process
- Jaggery plants are generally constructed by local artisans. It mainly consists of an underground furnace, like an open pan cooking stove, (bigger version of a biomass based cooking stove) with a pan mounted on to it for evaporating the juice.
- The process flow diagram for jaggery plant is presented in There are two types of jaggery furnace, single pan furnace and multiple pan (three to four pans) furnace. In a single pan furnace all jaggery making processes like sensible heating.
Performance evaluation procedure for jaggery plant
- For performance evaluation of a jaggery furnace it is essential to establish mass and energy balance. The mass balance study in jaggery processing starts with the measurement of the crusher performance. A known quantity of cane (measured with weighing balance) is crushed separately.
- The amount of juice extracted and bagasse collected are measured. The moisture in the bagasse at the outlet of crusher is measured in a lab. The bagasse generated in crushing is spread in open for sun drying.
Performance evaluation of a sample jaggery plant
- The thermal performance study is conducted for a four pan jaggery plant, layout presented in The plant mainly consists of an unloading station, a cane crusher, a four pan furnace, a bagasse drying area and a jaggery storage area.
- The sugarcane is unloaded at the cane unloading station and crushed in the crusher driven by a diesel engine (DG) set using belt drive. The juice is transferred to the furnace by gravity through a 4 inch PVC (Poly Venial Chloride) pipe. The bagasse generated.
Proposed modifications in operation
- The amount of natural draft determines the quantity of air available for combustion. The measurement of oxygen in the flue gas indicates the excess air factor and combustion condition. The fuel feeding rate to the furnace is altered and made uniform.
- During this uniform firing oxygen percentage is monitored for every four minutes and fuel feeding rate is adjusted to keep the oxygen percentage in the range of 5–6% v/v (representing excess air requirement of 30–50% for solid fuel firing.
