Supply chain lamb NZ

The readings for this week cover supply chain in different industries. Read the case study on the New Zealand sheep meat supply chain and consider the level of supply chain integration and the problems associated with it.
The New Zealand sheep meat industry is an important export for the country which has a market that can strongly influence the product that is being purchased. The level of supply chain integration is less than what could be considered desirable by the retailers and distributors which is a result of a range of issues with the structure of the industry.
The main structure of the supply chain in the provided case is simple with farmers providing livestock, processing plants slaughtering a processing sheep controlled by the Food & Safety Authority, and butcheries further processing then selling the meat. The customers; both local and international have a strong influence in the product deliverable (variations based on local preference, cultural factors etc.) which needs to be catered to. This means there is an emphasis on the supply chain to deliver value to customers through are actively involved in the product specification and can therefore be considered conforming to the pull supply chain model. The supply chain in the industry however only partially reflects this as there appears to be a lack of flow of information between several key parties.
On the start of the supply chain is the actual farms and the farmers. The information that the farmers provide to stock agents is minimal and therefore traceability of the products at the end of the supply chain is essentially impossible. Improving this information transfer at this stage could be done with the correct technology; however there is a distinct lack of technological integration at this stage in the supply chain. Stock agents may not trade downstream without the correct completion of forms and therefore the supply chain integration at their part of the supply chain is greater.
On the next level of the supply chain is the processing plant. The processing plant is responsible for turning livestock into a food product and therefore faces strict regulations. As a result, the level of supply chain integration here is higher; there is a strong flow of information between the Food & Safety Authority and the processing plant as is required and they facilitate information transfer however the down flow of information to parties in the supply chain beyond this is lacking.
The final member of the supply chain as provided in this case is the distributor or retailer (in this case, butchers). The flow of information to and from the butchers is exchanged via phone as that is the method that is easiest and most useful for them. While this allows for the downstream of information to be satisfactory, any upstream information may not be properly transferred.
As previously mentioned, there is a loss of traceability starting right from the start of the supply chain. This results in only a small amount feedback that can be made, which in a pull type of supply chain, limits the efficiency. The horizontal alliance between the farmers in the industry is another issue with the supply chain in the NZ sheep meat industry. It means there is reduced communications between parties in the supply chain and unlike other industries where there is vertical partnership and parties assist one another in their business interactions, the NZ sheep farmers have a horizontal alliance which reduces the communication between parties and there is less information flow
As can be seen from the above analysis, the information flow within the New Zealand sheep meat industry is at a level where there is a lack of traceability (downstream information flow), even though that may be what is needed with the model of supply chain it uses. While in many industries, the integration of the supply chain is high, this one is not which causes issues and is difficult to improve with the current state of the industry.
References
McNeil, K. (n.d.). Push vs Pull Supply Chain Models. Retrieved from Advantage International: http://www.advantageinternational.com/www/content/default.aspx?cid=921&fid=726
Shroeder, A., & Hope, B. (n.d.). A New Zealand sheep meat supply chain.

References: McNeil, K. (n.d.). Push vs Pull Supply Chain Models. Retrieved from Advantage International: http://www.advantageinternational.com/www/content/default.aspx?cid=921&fid=726 Shroeder, A., & Hope, B. (n.d.). A New Zealand sheep meat supply chain.