A Guide for Trainers and Facilitators

142
Enhanced Climate Smart Farmer Business School for the Highlands A Guide for Trainers and Facilitators

Transcript of A Guide for Trainers and Facilitators

Enhanced Climate Smart Farmer Business School for the HighlandsA Guide for Trainers and Facilitators

Enhanced Climate Smart Farmer Business School for the Highlands:A Guide for Trainers and Facilitators

No part of this book may be reproduced in any form or by any electronic or mechanical means including information storage and retrieval systems, without permission in writing from the author or publisher. The only exception is by a reviewer, who may quote short excerpts in a review.

ISBN: 000-000-0000-00-0

Copyright 2019. All rights reserved

Enhanced Climate Smart Farmer Business School for the Highlands

A Guide for Trainers and Facilitators

The effects of climate change is already here. Therefore, there is a need to integrate key concepts of climate change as well as adaptation and mitigation practices in the various training programs conducted in the field. This is for the agriculture sector to abate the impact of climate change especially for our farmers in the highlands.

Moreover, for the farmers to adapt and mitigate the effects of climate change and eventually become climate resilient, they have to change their paradigms and treat farming as a business and make it a profitable enterprise, emphasizing not only on the production aspect but also on the marketing and on the other actors of the value chain.

This trainer’s or facilitators manual on Enhanced Climate Smart Farmer Business School (ECSFBS) for the Highlands will serve as a reference for trainers and facilitators when they conduct trainings related to ECSFBS. This consists of seven modules covering topics on the basics of climate change up to business planning and accessing business support services. Also included are the recommended steps in conducting the prelimary activities as well as launching and post Farm Business School (FBS) support.

The modules were identified through a workshop conducted among facilitators, extension workers and trainers from the local government units (LGUs), the Department of Agriculture in the Cordillera Admnistrative Region and the Agricultural Training Institute. The group decided that the contents of the modules in this manual would come from the existing FBS Facilitator’s Manual that they are using. This reference manual was developed by the DA through the 2nd Cordillera Highland Agricultural Resources Management Project (CHARMP2) funded by the International Fund for Agricultural Development (IFAD) Philippines and the Internal Potato Center, Food Security Through Asian Roots and Tuber Project (CIP-FoodSTART).

Likewise, the climate change component of this Manual was lifted from the e-Learning course, “Climate Change 101: Understanding Climate Change in Agri-Fisheries.” This course was developed and is currently administered by the Agricultural Training Institute.

Hence, coming up with this compilation on the ECSFBS for the Highlands: A Manual for Trainers and Facilitators. This is one of the outputs of the project, “Supporting Smallholder Farmers in Asia and Pacific through Strengthened Agricultural Advisory Services (SAAS),” funded by the IFAD through the Southeast Asia Regional Center for Graduate Study and Research in Agriculture (SEARCA) in collaboration with the Global Forum on Rural Advisory Services (GFRAS), Asia-Pacific Rural Advisory Services (APIRAS) and ATI as its partner in the Philippines.

Introduction

i ECSFBS

Using the manualThis manual for facilitators and trainers are intended for extension workers and service providers in the field who plans or will conduct an ECSFBS for farmers. Symbols are used to guide you as you go through the manual. Likewise, a space is provided for you to take your notes if you prefer to.

The following are the symbols used in this manual:

Objectives

Session

Duration

Topics

Key Learning Points

Suggested Exercise

Note to Facilitator

Preliminary ActivitiesDuration: 2 days

1. Orientation of the Climate Smart Farm Business School (CSFBS) through General Assembly

A. Invitation

• Invite potential participants to attend the general assembly for them to be briefed on the CSFBS.

ECSFBS ii

2. Area profiling or Participatory Rural Appraisal (PRA)

Using the following tools: Resource Mapping or Transect Walk/Sketch Map, Trends, Problem Tree, Venn Diagram, SWOT Analysis, Prioritization of Problem and Seasonal Calendar

3. Group Formation and Strengthening

If there are existing groups or associations in the area, the emphasis will be on strengthening. - Individual and Group Capacity Assessment - Learning and Working Together - Identification and selection of participants organization (Selection of Officers, CBL, Registration and accreditation)

4. Planning Workshop

- Design/conceptualization of the Participatory Techno-Demo (PTD) - Establishment of the PTD

• It is important to involve the local government units, other organizations or associations in the community in the implementation of the CSFBS. Define their roles and responsibilities.

• Reminders:

• Let the barangay/community leaders invite their constituents/members through various means. It is advised to prepare posters announcing the orientation of the CSFBS during the general assembly.

> Agree on the venue, date and time of the assembly, and tasks of collaborating agencies or organizations

> Remember that the success of the CSFBS is dependent on the participants, hence, it is important that the invitation of the target participants is well-coordinated, and as a facilitator you should know your audience.

B. Orientation

• During the orientation you should introduce the CSFBS, its importance , and advantages of participating in the training program.

• The curriculum will be introduced including the modules, sessions and expected outputs. Likewise the methodologies that will be used.

iii ECSFBS

SESSION NO. OF HOURS/ DAYS

Preliminary Activities 1. Orientation of the CSFBS through General Assembly

2. Area profiling/PRA: using the ff. tools; Resource Mapping or Transect Walk/Sketch Map, Trends, Problem Tree, Venn Diagram, SWOT Analysis, Prioritization of Problem and Seasonal Calendar

3. Group Formation and Strengthening- Individual and Group Capacity Assessment- Learning and Working Together - Identification and selection of participants organization (Selection of Officers, CBL, Registration and accreditation)

4. Planning Workshop- Design/conceptualization of the Participatory Techno-Demo (PTD)- Establishment of the PTD

*existing organizations-for strengthening

1 day

1 day

Module 1: Basics of Climate Change

Session 1: Understanding climate and weather Session 2: Climate change: it’s causes and effects

Session 3: Impacts of Climate Change on Agri-Fishery Session 4: Resource Stewardship (AVP)

Session 5: Identification of applicable ad-aptation measures. (Experiences from SPICACC, CHARMP, CRA, AMIA Project and Indigenous Practices)

Outline

ECSFBS iv

SESSION NO. OF HOURS/ DAYS

Module 2: Climate-Resilient/ Adaptation Production Practices

Sessions will vary according to the results of the PRA

Session 1: CropSession 2: LivestockSession 3: Off farm products

*should include sharing of observations/experiences on CC, Sustainable Indigenous Practices, Mitigation/adaptation measures, Orientation on GAP, OAP, GAHP, SALT

Module 3: Climate-Resilient and Adaptation on Harvesting and processing / marketing

Session 1: CropSession 2: LivestockSession 3: Off farm products

Module 4: Introduction of Marketing and Business Concepts

Session 1: Market and value chain perspective (case analysis, role play (2 HR)

Session 2: Livelihood and Business Visioning

Session 3: Entrepreneurship for small-scale producers (success stories/testimony, field visits, games (2HR)

6 hours

Module 5: Identifying and Prioritizing Market Opportunities

Session 1: Planning for the Value Chain assessment (4HR)

Session 2: Conducting the Value Chain Assessment (4HR)

Session 3: Analysis and Discussion of Assessment Results (4HR) SWOT, PESTLE, etc.

Session 4: Sharing and Validating the results of the Assessment (4HR) Presentation of output

*Training methods: Group workshops, field visits to successful entrepreneurs to Agro-Fair/TienDA/BAPTC etc

2 days

v ECSFBS

SESSION NO. OF HOURS/ DAYS

Module 6: Targeting and Testing Potential Innovations

Session 1: Identifying and Prioritizing Innovations to Address Market Opportunities (2HR)

Session 2: Designing and Organizing the Testing of Innovations (2HR)-Group exercise, Partial Budgeting

Session 3: Conducting and Monitoring/Testing of Innovations (4HR)

Session 4: Special Topics to Support Innovations (e.g. Packaging, GMP)

Session 5: Analyzing Results and Preparing for Sharing Innovations (specialist’s input)

Session 6: Presenting and Sharing Innovations with Chain Actors

Module 7: Business Planning and Accessing Business Support Services

Session 1: Introduction to Business Planning

Session 2: Writing the Business Plan - Output: Business Plan

Session 3: Financial, Research and Exten-sion and legal support services

Session 4: Critiquing and Improving Busi-ness Plan (4HR)- Presentation of BP to the Stakeholders (Barangay/Municipal-LGU and other funding agencies)

*Reinforcing BP through Policies in Business i.e. crafting policies that are environmentally conscious in support to the business (waste management, once a week purchase of gas, multi cropping if OA, add resilient strategies

Special activity: 1. Launching of New Businesses2. Post FBS-Support

ECSFBS vi

This module aims to introduce the key concepts on climate change within the context of agriculture and fisheries. It consists of four sessions: (1) understanding climate and weather; (2) climate change, its causes and effects; (3) impacts of climate change on agriculture and fisheries; (4) resource stweardship; and (5) identification of applicable adaptation measures.

The participants are also encouraged to try and enrol in the online course “Climate Change 101: Understanding Climate Change in Agri-Fisheries,” at www.e-extension.gov.ph/elearning. The course is developed and administered by the Agricultural Training Institute. Most of the contents of this module was lifted from the online course.

Basics of Climate Change

M O D U L E

ECSFBS 1

Session 1Understanding climate and weather

OBJECTIVES

DURATION

TOPICS

At the end of the session, the participants will be able to:

1. differentiate weather and climate;

2. identify the various types of weather disturbances;

3. describe the types of climate in the Philippines; and

4. differentiate climate variability and climate change.

2 hours

TOPIC METHOD

What is weather? - Basic weather parameters- Types of weather disturbances

Lecture, games or use of emoticons in identifying types of weather distru-bances

What is climate?- Types of climate in the Philippines- Factors affecting climate- The climate system

Lecture, Illustration/draw-ing on types of climate in the PhilippinesPresentation of the cli-mate system through an illustration

Climate variability vs climate change

Lecture

2 ECSFBS

KEY LEARNING POINTS

A. What is Weather?

Weather refers to the condition of the atmosphere at a given time and place. It is the combination of events that happen each day in the atmosphere, including: temperature, air pressure, humidity, precipitation (rain, drizzle, snow, hail), sunshine, cloud, and wind. It changes constantly, from hour-to-hour or from day-to-day. Weather is uneven in all places. It can be cloudy, raining, or snowing in your area; but in other places, the weather can be hot, dry, or sunny.

A.1 Basic Water Parameters

a.1.1 Air Temperature Air temperature is a measure of the amount of energy held in the air. Warm air has more internal energy than cool air; as such, it has a higher temperature. Temperature is measured using a thermometer and can be expressed in Fahrenheit or Celsius scale.

ECSFBS 3

a.1.2 Air Pressure Changes in atmospheric pressure indicates what the weather will be like. An increase in pressure indicates an approaching high-pressure system, which is associated with clear and dry conditions. While a decrease in pressure indicates an approaching low-pressure system, which is associated with cloudy and wetter conditions.

a.1.4 Precipitation Precipitation is the water deposited on the Earth’s surface from the atmosphere. It has a significant factor in the hydrological cycle as it supplies water for plants to grow, soaks the soil, and feeds rivers and lakes that drains to the ocean. Water from plants, soil, and the oceans evaporates to the Earth’s surface as precipitation.

a.1.3 Humidity Humidity is a measure of the water vapor in the surrounding air. As humidity increases, the chances of rain also increase. There are several measures of the amount of water vapor in the air. Relative humidity is the measure often used by meteorologists and TV reporters. Relative humidity is the ratio of water vapor in the air to the saturated water vapor content of the air.

4 ECSFBS

a.1.5 Clouds Clouds are made of tiny water droplets or ice crystals that condensed into tiny pieces of sea salt, dust, smoke, or other particles in the air. It has two major effects on weather and climate. Clouds trap heat close to the Earth’s surface, keeping temperatures warmer; and it reflects sunlight, which then keeps surface temperature cool.

a.1.6 Wind Wind is the movement of air between regions of high pressure to regions of low pressure. The larger the difference between high and low pressure regions, the faster the wind. Wind speed and direction is also influenced by other factors such as the Coriolis force and surface friction. The Coriolis force that is caused by the Earth’s rotation contribute changes on the direction of the wind.

In the northern hemisphere, the Coriolis force deflects the wind to the right. Thus, the winds circulate in a clockwise direction around high-pressure regions and counterclockwise around low-pressure regions.

ECSFBS 5

A.2 Types of Weather Disturbances

a.2.1 Tropical Cyclones A tropical cyclone is a rapidly-rotating storm system characterized by a low pressure center, strong winds, and a spiral arrangement of thunderstorms that produce heavy rains. It rotates counterclockwise in the Northern Hemisphere. The most dangerous and destructive part of a tropical cyclone is the eyewall. It is where the winds are strongest, rainfall is heaviest, and deep convective clouds rise near the Earth’s surface up to a height of 15,000 meters.

a.2.1.1 Tropical Depression Once a group of thunderstorms has come together long enough, under the right atmospheric conditions, they develop into a tropical depression. The usual wind speed of a tropical depression is less than 63 kilometers per hour (kph).

a.2.1.2 Tropical Storm A tropical storm is an organized system of strong thunderstorms with a defined surface circulation and maximum sustained winds between 63 to 118 kph. At this point, the distinctive cyclonic shape starts to develop, though an eye is usually not present.

a.2.1.3 Typhoons

A Typhoon is the term used in east Asia for hurricane. It is a type of cyclone occurring in the western regions of the Pacific Ocean. It has more than 118 kph wind speed. A typhoon is similar to a hurricane in levels of destructiveness. The word typhoon comes from the Chinese term tai-fung meaning great wind.

a.2.2 Intertropical Convergence Zone The Intertropical Convergence Zone (ITCZ) is the area encircling the Earth, near the equator, where

6 ECSFBS

a.2.3 Monsoons

Traditionally, monsoon is defined as a seasonal reversing wind accompanied by corresponding changes in precipitation. However, it is now described as the seasonal changes in atmospheric circulation and precipitation associated with the asymmetric heating of land and sea. Usually, the term monsoon is used to refer to the rainy phase of a seasonally-changing pattern; although technically, it also has a dry phase.

a.2.3.1 Northeast Monsoon or Hanging Habagat Northeast monsoon is sometimes called the northern or winter monsoon. It originates from the intense Asiatic winter anti-cyclone and affects the Philippines late in October. It attains its maximum intensity in January up to early March. The Northern monsoon is responsible for the rainfall along the eastern coast of the country and relatively cold weather spell during Christmas season.

a.2.3.2 Southwest Monsoon or Hanging Amihan

Southwest monsoon is sometimes called south-westerlies or summer monsoon. It originates from the Indian Ocean and is anti-cyclone. It reaches the Philippines as a southwesterly air stream. It is warm and humid, and affects the country sometime in May. The south-westerlies attain their maximum intensity in July up to late September or early October. They bring heavy rainfall along the western section of the country, including Central Luzon, during its maximum period.

trade winds from the northern and southern hemispheres converge. It appears as a band of clouds which usually brings thunderstorms with humid air and frequent heavy rainfall. It is where the series of low pressure areas which oscillates from North to South of the Philippines are produced.

ECSFBS 7

B. What is Climate?

Climate is the pattern of weather in a particular period, in a particular region or area. It stays the same for over a long period, often 30 years. It is defined not only by average temperature and precipitation but also by the type, frequency, duration, and intensity of weather events such as heat waves, cold spells, storms, floods and droughts.

B.1 Types of Climate in the Philippines

b.1.1 Type I

Type I has two pronounced season; dry from November to April, and wet during the rest of the year. Its maximum rain period is from June to September.

Most of the Western Philippines, north of Negros, facing the South China Sea, including areas west of the Cordillera mountain ranges have a distinct summer monsoonal rainfall regime. It is classified as climate Type 1 with an almost completely dry season from December to May and a pronounced wet season from June to November. During the wet season, monthly rainfall typically ranges between 300 and 500 millimeters.

b.1.2 Type II Type II has no dry season but has a very pronounced maximum rain period from December to February. There is not a single dry month. Minimum monthly rainfall occurs from December to February or from March to May.

Eastern Philippines facing the Philippine Sea, including the East of Sierra Madre Mountains contrast the temporal rainfall distribution. It has no real dry season with a seasonal peak of rainfall in December-January.

8 ECSFBS

b.1.3 Type III

Type III has no very pronounced maximum rain period, with a dry season lasting only from one to three months, either from December to February or from March to May. This type resembles Type 1 since it has a short dry season.

Over Northern Luzon, areas with Type III climate are located on the central plains of Cagayan Valley.

b.1.4 Type IV

Rainfall is more or less evenly distributed throughout the year. This type resembles Type II since it has no dry season. Climate Type IV areas are mostly located in the southern part of the Philippines.

B.2 Factors Affecting Climate

The climate of any particular place is influenced by various interacting factors. These include latitude, elevation, nearby water, ocean currents, topography, vegetation, and prevailing winds. The global climate system and any changes that occur within it also influence local climate.

b.2.1 Latitude

Latitude is the measure, in degrees, of the distance of a location from the equator. As latitude increases, the average annual temperature decreases.

The distance from the equator affects the climate of a place. At the end poles, energy from the sun reaches the Earth’s surface at lower angles and passes through a thicker layer of atmosphere at the equator. This means the climate is cooler further from the Equator. The poles also experience the greatest difference between summer and winter day lengths. In summer, there is a period when the sun does not set at the poles. There are times, however, when the poles experience a period of total darkness during winter. In contrast, day length varies little at the equator.

ECSFBS 9

As the Earth circles the sun, the tilt of its axis causes changes in the angle which the sun’s rays touches the earth. This changes the daylight hours at different latitudes.

Latitude likewise indicates the amount of solar radiation that reaches the different areas in the planet. The general rule for latitude is that the farther away from the equator, the less energy reaches the ground at any time.

b.2.2 Winds and Ocean Currents

Warm and cold winds blowing around the world also influence climate. The temperature of the wind depends on where it is from. Winds blowing from the Tropics to higher latitudes are warm because they drag currents of warm tropical water with them. While winds blowing from the Poles are very cold because they are chilled by the cold ocean currents beneath them.

Ocean currents can increase or reduce temperatures. Throughout the world’s oceans, there are three dimensional underwater rivers that circulate water all over the globe. The water in these currents differs from their surroundings due to differences in their temperatures and chemical composition. Currents can move vast amounts of water. These currents heat the air above the water causing a milder, wetter climate even at higher latitudes. Cold currents lead to cold dry climates since cold air cannot evaporate as much water as warm currents. Warmer ocean currents result in cooler climate.

b.2.3 Elevation

Elevation is the distance above sea level. This is measured in meters or feet. As elevation increases, the average annual temperature decreases. It decreases at the environmental lapse rate of 6.4 degree Celsius per 1,000 meter. Solar radiation only turns into heat when it is absorbed by a body of matter; hence, in lower atmospheres, the air is denser and contains more water vapor, air molecules, and dust. Therefore, more energy can be absorbed and turned into heat (longwave radiation) at lower elevations.

10 ECSFBS

b.2.4 Distance from the Sea

The sea affects the climate of a place. Coastal areas are cooler and wetter than inland areas. Clouds form when warm air from inland areas meet cool air from the sea. Water bodies provide a source of moisture for the land masses of the world. Water bodies also have a moderating effect on the climate of land masses near them. Water can heat up to some level because of the penetration of light and circulation within the water bodies. Because of this, land can heat up or cool down much quicker than water. Thus, water has a moderating effect on the land around it.

b.2.5 Topography

Topography is the study of the earth’s surface features and shape. It also includes the description of how Earth’s surface features are illustrated in maps. Topography examines the vegetative and man-made features of local areas, particularly their terrain.

The effects of topography on the climate of any given region are powerful. Mountains receive more rainfall than low lying areas. This is because as air is forced over the higher ground, it cools, causing moist air to condense and fall as rain. The higher the place is above sea level, the colder it will be. This happens because as altitude increases, air becomes thinner and is less able to absorb and retain heat.

b.3 The Climate System

The Earth’s climate system is created by complex interactions among the sun, atmosphere, oceans, land, ice, and biosphere. It is in turn, affected by an area’s latitude, elevation, terrain, and distance from coasts, mountains, and lakes.

Heat from the surface of the earth moves up through longwave radiation and convection currents (called sensible heat flux).

ECSFBS 11

C. Climate Variability versus Climate Change

Climate Variability are the changes in local or regional climate that may persist across weeks, months, years, or even a couple of decades. However, it does not exceed the 30-year period which climate is normally measured. These short- to medium-term deviations from the normal climate results from normal oscillations such as El Niño, La Niña.

El Niño and La Niña are opposite phases of what is known as the El Niño Southern Oscillation (ENSO) cycle. The ENSO cycle is a scientific term that describes the fluctuations in temperature between the ocean and atmosphere in the east-central Equatorial Pacific (approximately between the International Date Line and 20 degrees West).

La Niña is sometimes referred to as the cold phase of ENSO and El Niño is as the warm phase of ENSO. These deviations from normal surface temperatures can have large-scale impacts not only on the ocean processes, but also on global weather and climate.

El Niño and La Niña episodes typically last nine to 12 months, but some prolonged events may last for years. They often begin to form between June to August, reach peak strength between December to April, and then weaken between May to July of the following year. While their periodicity can be quite irregular, their events occur approximately every three to five years.

Climate Change is change of climate attributed directly or indirectly to human activity that alters the composition of

12 ECSFBS

the global atmosphere and that is in addition to natural climate variability observed over comparable time periods (UNFCCC, 2011). In other words, it is the effects of human activities that alter the usual climate cycle. Meanwhile, climate change is also defined as any change in climate over time, whether due to natural variability or as a result of human activity (IPCC, 2011).

Session 2Climate change: it’s causes and effects

OBJECTIVES

At the end of the session, the participants will be able to:

1. explain the concept of greenhouse effect;

2. describe the importance of greenhouse gases (GHGs); and

3. identify the natural and anthropogenic causes of climate change.

DURATION2 hours

TOPICS

TOPIC METHOD

Understanding the concept of greenhouse effect- How does greenhouse effect work-Importance of greenhouse gases (GHGs)

Lecture and presentation of illustration on green-house effect and how does greenhouse effect work

ECSFBS 13

TOPIC METHOD

Natural causes of climate change

Lecture and exercises on various causes of climate change both natural and anthropogenic

Climate change caused by anthropogenic (human) activities- Global GHG emissions- Key GHGs emitted by human activities

KEY LEARNING POINTS

To understand how climate change affects our planet, it is first necessary to become familiar the concept of greenhouse effect and how does it work.

Understanding the Concept of Greenhouse Effect

Greenhouse effect refers to the warming of Earth’s surface caused by the heat trapped by the gases in the atmosphere. These gases re-radiate and re-emit the sun’s heat downward to the earth’s surface. Because of how they warm our world, these gases are referred to as greenhouse gases.

14 ECSFBS

How does Greenhouse Effect Work?

Most greenhouses look like a small glass house that is usually used to grow plants, especially in the winter. Greenhouses work by trapping heat from the sun. The glass panels of the greenhouse let in light but keep heat from escaping. This causes the greenhouse to heat up and keeps the plants warm enough to live during cool seasons.

Importance of Greenhouse Gases (GHGs)

GHGs are produced by natural process such as water cycle, growth and death of plant and animals, decaying of wood and other biodegradable materials, and volcanic activities. It includes water vapor, carbon dioxide (O2), Methane (CH4), and other trace gases like Nitrous Oxide (N2O) and Ozone (O3). These naturally-occurring gases keeps the Earth comfortably warm enough for plants and animals to live at an average temperature of 15°C. They act as natural blanket around the earth, trapping heat much like a glass roof of a greenhouse.

ECSFBS 15

A. Natural Causes of Climate Change

A.1 Continental Drift / Movement of Earth’s Plates

As tectonic plates move over geological timescales, landmasses are carried along to different positions and latitudes. These changes affect global circulation patterns of air and ocean water and the climate of the continents.

A.2 Volcanoes

Volcanic eruptions discharge carbon dioxide, as well as aerosols like volcanic ash or dust, and sulfur dioxide. Aerosols are liquids and solids that float around in the air. They scatter incoming solar radiation, causing a slight cooling effect. Volcanic aerosols can block a percentage of sunlight and cause a cooling that may last for one to two years.

A.3 The Earth’s Tilt

The Milankovitch Theory explains the 3 cyclical changes in Earth’s orbit and tilt that cause climate fluctuations that occur over tens of thousands to hundreds of thousands of years. The interplay of the three orbital cycles affects the amount of solar radiation received at different latitudes over the year. The amount of solar radiation reaching the Northern Hemisphere at 65°N seems to control the advance and retreat of glaciers and ice sheets.

• Orbital Eccentricity (every 100,000 to 413,000 years)

• Wobble on the Axis (every 19,000 to 23,000 years)

• Tilt of Axis (every 41,000 years)

16 ECSFBS

A.4 Changes of Solar Energy

Approximately every 11 years, the number of sunspots changes from a maximum number to a minimum number. While more sunspots may contribute to warmer global climate, less sunspots are associated with a cooler global climate. About 300 years ago, there was a period of reduced solar activity that was called the Little Ice Age.

A.5 El Niño-Southern Oscillation (ENSO)

ENSO is an oscillation of the ocean and atmosphere system in the tropical area of the Pacific Ocean that affects global weather. It’s warm-water phase, commonly known as El Niño, changes global weather patterns such that South America experiences wetter than average weather while North America experiences mild but stormier winter weather. Sometimes, after an El Niño phase subsides, a colder-than-normal water phase, known as La Niña, occurs.

B. Climate Change Caused by Anthropogenic (Human) Activities

B1. Global Greenhouse Gas Emissions

Humans are affecting atmospheric gas concentrations by introducing new sources of GHGs. Basically, global greenhouse gas emissions are categorized into four main economic activities that lead to their production. These activities increase the concentration of GHGs in the atmosphere and dispose a stronger greenhouse effect called enhanced greenhouse effect.

ECSFBS 17

b.1.1 Energy Generation (Electricity and Heat Production)

This is the largest single source of global greenhouse gas emissions. 25% of 2010’s recorded global GHGs emissions came from the burning of coal, natural gas, and oil for electricity and heat energy generation.

b.1.2 Industry

GHG emissions from industry primarily involve fossil fuels burned at energy-generating facilities. This sector also produces emission from chemical, metallurgical, and mineral transformation processes. About 21% of 2010 total global GHG emissions came from this economic sector.

b.1.3 Agriculture, Forestry, and Other Land Use

This is the second largest contributor of carbon emission in the atmosphere. Greenhouse gas emissions from this sector mostly come from the intensive use chemical fertilizers and pesticides in crops cultivation, livestock production, and deforestation. It contributed 24% of 2010 total global GHG emissions.

b.1.4 Transportation

GHG emissions from this sector primarily involve fossil fuels burned for road, air, railways, and marine transportation. Almost all (95%) of the world’s transportation energy come from petroleum-based fuels such as gasoline and diesel.

18 ECSFBS

B.2 Key Greenhouse Gases emitted by Human Activities

b.2.1 Carbon Dioxide (CO2)

Burning of fossil fuels such as coal, oil, and gas for power generation, manufacturing, industrial processes, and transportation are the primary source of CO2. It can be also emitted from direct human-induced impacts on forestry and other land use, such as through deforestation, land clearing for agriculture, and degradation of soils.

b.2.2 Methane (CH4)

CH4 emissions are primarily derived from agricultural activities such as decomposition process of flooded rice fields, waste management of wastes from dairy production and rotting garbage in landfills, energy use and leak from coal mining, and biomass burning for natural gas production.

b.2.3 Nitrous Oxide (N2O) N2O is responsible for 20% of the enhanced greenhouse effect produced from agricultural activities. Soil cultivation, use of nitrogen fertilizer and pesticides, biomass burning are the primary source of N2O emissions. Likewise, fossil fuel combustion process in vehicles and acid production process also generates N2O.

b.2.4 Fluorinated gases (F-gases) Industrial processes, refrigeration, and the use of a variety of consumer products contribute to emissions of F-gases. These include hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), and sulfur hexafluoride (SF6). HFCs and PFCs are long-lived and potent. They are used as refrigerants, coolants, foam-blowing agents and solvents. SF6 are also long-lived and are used in electric insulators, heat conductors and freezing agents.

ECSFBS 19

Session 3Impacts of Climate Change on Agri-Fishery

OBJECTIVES

At the end of the session, the participants will be able to identify the impacts of climate change on crops, livestock and fisheries.

DURATION1 hour

TOPICS

TOPIC METHOD

Climate change impacts on crops

Lecture with exercises on the various impacts of climate change in agriculture

Climate change impacts on livestock

Climate change impacts on fisheries

KEY LEARNING POINTS

In the Philippines, climate change impact is most often associated with extreme weather disturbances such as typhoons and floods, which in turn affect many economic sectors such as the agriculture and fisheries. The gross production value of Philippine agriculture decreases by 19% when there is a 1°C increase in temperature (International Journal of Science and Research).

It has been acknowledged that agriculture and fisheries sectors are highly reliant on climate. Increases in temperature and carbon dioxide (CO2) can increase some crop yields in some places. However, soil moisture, nutrient levels, water availability, and other conditions

20 ECSFBS

must also be met to realize these benefits. Changes in the frequency and severity of droughts and floods could pose challenges for farmers and fisherfolk.

Meanwhile, warmer water temperatures are likely to cause the habitat ranges of many fish and shellfish species to move, which could disrupt ecosystems. Generally, climate change could make it more difficult to grow crops, raise animals, and catch fish in the same ways and same places as we have done in the past.

A. Climate Change Impacts on Crops

Changes in temperature, atmospheric carbon dioxide (CO2), and the frequency and intensity of extreme weather could have significant impacts on crop yields. If the temperature exceeds a crop’s optimum temperature, yields will decline.

More extreme temperature and precipitation can prevent crops from growing. Extreme events, especially floods and droughts, can harm crops and also reduce yields.

Many weeds, pests, and fungi thrive under warmer temperatures, wetter climates and increased CO2 levels. The ranges and distribution of weeds and pests are likely to increase with climate change.

ECSFBS 21

B. Climate Change Impacts on Livestock

Heat waves, which are projected to increase under climate change, could directly threaten livestock. Animals are affected directly and indirectly by heat stress. Over time, heat stress can increase their vulnerability to diseases, reduce fertility, and reduce milk production.

Drought threatens pasture of feed supplies. It reduces the amount of quality forage available to grazing livestock. For animals that rely on grain, changes in crop production due to drought could also become a problem.

Climate change may also increase the occurrence of parasites and diseases that affect livestock. With increased rainfall, moisture-reliant pathogens could thrive.

22 ECSFBS

C. Climate Change Impacts on Fisheries

Many fisheries already face numerous stresses, including overfishing and water pollution. Aside from that, climate changes worsen these stresses. In particular, temperature changes could lead to significant impacts.

Some marine disease outbreaks have been linked with changing climate. Warmer temperatures caused disease outbreaks in coral, eelgrass, and among others.

Changes in temperature and seasons can affect the timing of reproduction and migration of fisheries.

In addition to warming, the world’s oceans are gradually becoming more acidic due to increases in atmospheric carbon dioxide. Increasing acidity could harm shellfish. Acidification also threatens the structures of sensitive ecosystems upon which some fish and shellfish rely.

ECSFBS 23

Session 4Resource Stewardship (AVP)

OBJECTIVES

At the end of the session, the participants will be able to describe the importance of resource stewardship towards climate change adaptation and mitigation.

DURATION2 hours

TOPICS

TOPIC METHOD

Understanding and appreciating creation

Reflection on Biblical verses emphasizing on the story of creation

Resource stewardship Video presentation

Reflection and group workshop on the value of stewardship based on the video presented

NOTE TO FACILITATOR

As facilitators, the participants will be asked to reflect on the story of creation based on the book of Genesis in the Bible. Likewise, video presentation, e.g. “Masdan mo ang Kapaligiran” and other video documentaries on environmental awareness will be shown. Each group then is asked to reflect on the videos presented and determine what should be done towards resource stewardship.

24 ECSFBS

KEY LEARNING POINTS

• The story of God’s creation in the first chapter of Genesis. • It was empahsized that seven times the phrase “Gods saw that it was good,” was repeated in Genesis, which means that he was pleased with his work.

• Hence, men just like Adam should be stewards of God’s resources.

• As stewards of God’s resources, men and women has the primary responsibility of taking care of all of God’s creation, the planet, the environment and everything on it, not only for today but for the future generations.

Session 5Identification of applicable adaptation measures. (Experiences from SPICACC, CHARMP, CRA, AMIA Project and Indigenous Practices)

OBJECTIVES

At the end of the session, the participants will be able to:

• describe the climate change adaptation and mitigation approaches and measures;

• identify the climate change adaptation and mitigation practices applicable in the highlands from various projects such as CHARMP, AMIA, CRA, among others; and

• share the indigenous practices in the highlands related to climate change adaptation and mitigation.

ECSFBS 25

DURATION2 hours

TOPICS

TOPIC METHOD

Climate change adaptation and mitigation measures

Lecture and presentation of the framework on climate change adaptation and mitigation

Adpatation and mitigation practices in the highlands

Panel discussion: adaptation and mitigation practices in the highlands

Indigenous climate change adapatation and mitigation practices in the highlands

Workshop: sharing of indigenous climate change adaptation and mitigation practices in the highlands

Presentation of outputs

NOTE TO FACILITATOR

A lecture on climate change adaptation and mitigation will be conducted with emphasis on the difference of adaptation and mitigation based on the framework. After this will be a sharing of practices implemented in the highlands from agencies implementing projects such as CHARMP, Climate Resilient Agriculture (CRA), among others. The facilitator can invite panelists from these agencies. To determine the indigenous practices in the highlands relative to climate change adaptation and mitigation, the facilitator will conduct a workshop among the participants for them to identify these indigenous practices and present this during the plenary. It is possible that the adaptation and mitigation practices that will be shared in the panel presentation and those that will be identified during the workshop will cover those that will be discussed in Module 2 and 3 of this Training Manual.

26 ECSFBS

KEY LEARNING POINTS

Mitigation is to limit the cause of climate change through technologies and measures that can lessen and slow down the build up of greenhouse gases (GHGs) concentration. This is done through the reduction of current and future emissions. Likewise, increasing greenhouse gas sinks. “Mitigation is to reduce, minimize, avoid, or stop greenhouse gas emissions.”

Adaptation is the adjustment and modification in natural or human systems and activities in response to actual or expected climatic changes or their effects, which harms or impedes opportunities. “Adaptation is to increase the resilience and coping capacity and mechanisms of the sector with the current and expected changes.”

Framework

Mitigation and adaptation are the primary approaches or measures of the international climate convention aimed to minimize the negative impacts of climate change on humans and the environment. If mitigation measures are less effective in terms of reduction the anthropogenic greenhouse gas emissions and increasing greenhouse sinks, then the more adaptation measures is needed to avoid the negative impacts of climate change. Both aims to reduce the negative impacts but the two measures are different in specific objectives, scope, and level of collaboration. (Ref: https://www.researchgate.net/figure/Climate-change-mitigation-and-adaptation-as-distinct interventions-in-the-two-way_fig1_264126585)

ECSFBS 27

Mitigation Measures

Transport Sector – more fuel-efficient vehicles; cleaner diesel vehicles; promotion and use of biofuels and biofuel blending; efficient mass transport system; non-motorized transport (e-bikes; e-jeepneys); carbon dioxide standards for road transport; and imposition of taxes on vehicle purchase, registration, and use of motor fuels.

Energy Sector – improved supply and distribution efficiency; renewable energy sources; reduction of fossil fuel subsidies; taxes or carbon charges on fossil fuels; and feed in tariffs for renewable energy.

•Infrastructure/Buildings (Architecture and Engineering Design) – Efficient lighting and daylighting; energy-efficient electrical appliances; improved insulation; appliance standards and labelling; building codes and certification.

Industry – efficient end-use of electrical equipment; heat and power recovery; material recycling and substitution; performance standards; subsidies; tax credits; tradable permits; and voluntary agreements.

Agriculture – improved crop and grazing land management to increase soil carbon sinks; improved rice production; improved livestock management to reduce methane (CH4) emissions; financial incentives and regulations for improved land management; and efficient use of fertilizers and irrigation, maintaining soil carbon content.

28 ECSFBS

Forestry – reforestation and afforestation (using endemic species); forest management; reduced deforestation; use of forestry products for bioenergy to replace and reduce dependence on fossil fuel use; management of harvested wood product; financial incentives to increase forest area and discourage deforestation; and enforcement and effective implementation of land use regulation.

Afforestation - the act or process of establishing a forest especially on lands that are not previously forested. Ref. https://www.merriam-webster.com

Waste Sector - methane recovery of landfills; composting of organic wastes; wastewater treatment; waste recycling; waste management regulations and policies; financial incentives for waste management and renewable energy.

Adaptation Measures

Water Sector – rain water harvesting; water storage and conservation technologies; water desalination; and irrigation efficiency.

Agriculture – adjustment of planting dates; development of improved crop varieties; crop relocation; and improved land management (ex. erosion control and soil cover).

ECSFBS 29

Health Sector – Sanitary practices, preventive care (vaccines); information and awareness; and health monitoring and surveillance.

Disaster and Risk Reduction and Management – emergency preparedness; early warning systems; and evacuation plan.

Awareness and Information Dissemination as Adaptation Strategies to Climate – awareness campaign on climate change in the community; individual awareness on the latest information about climate change and disaster preparedness

30 ECSFBS

This module aims to identify climate resilient and adaptation practices relative to production of crops, livestock and off-farm products. It is categorized into three, namely crop production, livestock production and production of off-farm products. Likewise, this includes sharing of observations or experiences on climate change, sustainable indigenous practices, mitigation and adaptation measures, good agriculture practices (GAP), organic agriculture practices, Sloping Agriculture Land Technology (SALT) among others.

The topics in this module and its corresponding sessions will vary depending on the priority commodities that will be identified during the PRA in the Preliminary Activities.

M O D U L E

Climate-Resilient/Adaptation Production Practices

ECSFBS 31

Session 1Understanding climate and weather

OBJECTIVES

DURATION

TOPICS

At the end of the module, the participants will be able to identify climate resilient and/or adaptation practices for the production of crops, livestock and off-farm products.

2 hours

TOPIC METHOD

Session 1: Crop Production

Sharing of best practices

Testimonial of farmer cooperators of the Enhanced Climate Smart Farmer Field School (ECSFFS)

Video presentation on the documentation conducted for projects in CHARMP and CRA in the Cordillera Administrative Region (CAR)

Session 2: Livestock Production

Sharing of best practices

Video presentation from YouTube re: rice-duck integration from the World Economic Forum; Harnessing the Power of the Earth, among others

Session 3: Production of off-farm products

Sharing of best practices

32 ECSFBS

NOTE TO FACILITATOR

This module focuses on the various practices that are climate resilient or are good production practices toward climate change adaptation and mitigation. The facilitator should be able to get the best practices from the participants or videos will be shown as a means of starting the discussions. Videos produced by the Department of Agriculture in CAR with the partner agencies like the Good Production Practices in Agro-forestry, Good Production Practices in Garlic, Good Production Practices in Soil Management, among others are some of the videos that can be shown for the participants to get an idea on these good production practices toward climate change adaptation and mitigation. Lessons from the ECSFFS conducted by ATI and its partners will also be shared to the participants through a testimonial. Likewise, please refer to the key learning points for some examples of good production practices in agriculture as lifted in the online course on Climate Change 101 developed and administered by ATI.

KEY LEARNING POINTS

Climate-resilient agriculture technologies and practices offer opportunities in addressing climate change challenges and likewise, promoting economic growth and development. Technologies are considered climate-smart if they boost food security as well as cover or support one of the objectives such as adaptation and mitigation.

• Agroforestry systems (fruit and timber along with rice and vegetables) – is a practice that combines the production of trees (fruit and timber) with agricultural crops and animals in the same area. As a production system, it reduces use of inputs and diversifies sources of income. It also serves as climate change adaptation measure by improving soil fertility and water conservation. It also enhances biodiversity and reduces occurrence of pests and diseases. On the other hand, as a mitigation measure, it enhances carbon stock and organic matter content. For more information on various agroforesty technology, visit: http://www.pcaarrd.dost.gov.ph/home/momentum/afin/ index.php?option=com_content&view=category&id=87&Itemid=2

ECSFBS 33

• The use of water harvesting technologies:

> Small Water Impounding Project (SWIP) – It is a water harvesting and storage structure that consists an earth embankment spillway, outlet works, and canal facilities. SWIP is a water catchment for soil and water conservation. As a climate change adaptation measure, SWIP ensures water availability, thus, it increases resilience to drought. It also increases cropping intensity and yield. SWIP furthermore acts as a mitigation measure by maintaining or improving soil carbon stocks and organic matter content. For more information and technical assistance on SWIP, you may contact Bureau of Soil and Water Management (BSWM) Client Center through (02)332-9534 or BSWM Water Resources Management Division through (02)923-0454.

> Rain water harvesting – It is a water harvesting technology using a tank made of natural materials or concrete. This technology is recommended in sloping areas since gravity supply can reduce the operational cost of irrigation. For more information on different layout of rainwater harvesting, visit this website http://www.fao.org/3/a-bq747e.pdf

> Site Specific Nutrient Management (SSNM) and Integrated Pest Management (IPM)These practices, – if done properly, can promote productivity by reducing economic losses due to pest and diseases and increasing productivity and food availability. SSNM focused on nutrient management that guide farmers to adjust their fertilizer use and fill the needed lacking

34 ECSFBS

nutrient. IPM on the other hand, is a practice which employs cultural, genetic, mechanical, and biological methods including chemical application as the last option. As an adaptation measure, SSNM promotes adequate source, timing, amount, and placement of fertilizers that can reduce the negative effects of excessive fertilization. While IPM reduces pest and disease incidence. As climate change mitigation measure, both SSNM and IPM reduce emission of methane and other greenhouse gases related to rice production. For SSNM recommendation you may try the Rice Crop Manager (RCM) visit http://webapps.irri.org/ph/rcm/ for more information.

> Use of early-maturing and stress-tolerant varieties – The use of these varieties enables farmers respond to effect of severe climatic conditions such as drought and flooding. This practice increases land productivity. As climate change adaptation, it increases the efficient use of nutrient and water as well as the crop’s resilience to climate shocks. As mitigation measure, it contributes to reduced greenhouse gas emissions through reduction of energy and agrochemicals. For information on crop varietal characteristics, you may visit the National Seed Industry Council (NSIC) Seed Catalogue at http://www.nseedcouncil.bpinsicpvpo.com.ph/seed%20catalogue.php or for availability and characteristics of rice seeds, you may contact PhilRice Business Development Division at (044) 456-0277 or contact PhilRice Text Center at 09171117423.

ECSFBS 35

> Alternate Wetting and Drying (AWD) – It is a water saving technology that farmers can use to reduce the water consumption of their irrigation without decreasing their crop yield. Through this technology, water is applied few days after the disappearance of ponded water and it gets alternately flooded and non-flooded. AWD is implemented using a field water tube to monitor the water depth of the field. AWD can be started a few weeks (1−2 weeks) after transplanting. When many weeds are present, it should be postponed for 2−3 weeks to assist suppression of the weeds by the ponded water and improve the efficacy of herbicide. To know more about this technology, visit http://www.pinoyrice.com/download/alternate-wetting-and-drying/

> Improved water management by using drip irrigation system – This method aims to provide the water needed by the plants through a network of pipes. This system can be very efficient in terms of water usage. To know more about irrigation techniques for small scale farmers, visit this website http://www.fao.org/3/a-i3765e.pdf or http://www.fao.org/docrep/s8684e/s8684e07.htm

36 ECSFBS

> Alternative Feeds (forages) – fodder trees and shrubs are very promising and is a great potential source of protein for livestock, especially ruminants. The benefits of these alternative feed sources include improved performance of animals and reduced cost of feeding. It also acts as an adaptation measure for climate change since this agricultural practice increases food availability for fam animals during extreme weather conditions. On the other hand, it also serves as a mitigation measure as it increases carbon capture and reduces greenhouse gas emissions. To know more about type of fodder trees and shrubs for feeding ruminants, pls. visit http://www.fao.org/docrep/003/t0632e/t0632e07.htm

> Biogas and composting – biogas technology is the conversion of organic wastes from agriculture and others sources into energy and biofertilizer through an anaerobic process using biogas digester. Biogas and composting can increase productivity and income. These technologies also act as climate change adaptation measure since it can reduce electrical cost for cooking or lighting and it facilitates the containment and elimination of pathogens. It also acts as climate change mitigation measure since because it reduces the use of nitrogen fertilizer, methane, and other greenhouse gases. For technical assistance on biogas and composting technology, you may contact the Agricultural Training Institute – International Training Center on Pig Husbandry through (63) (043) 756-1987; 756-1996; 0918-9030121

Anaerobic - living, active, occurring, or existing in the absence of free oxygen. Ref. https://www.merriam-webster.com/dictionary

ECSFBS 37

> Vermicomposting through earthworms such as African Night Crawler (ANC) is a process used to convert organic materials into a vermicast, which will eventually be used as fertilizer. To know more about this technology, you may enroll in the online course on Vermicomposting: Turning Trash to Cash.

> Organic farming – is a holistic production management which promotes and enhances agro-ecosystems. This technology focuses on management practices and it maximizes the use of cultural, biological, and mechanical methods instead of the utilization of off-farm and synthetic input. Organic production systems reduce costs of inputs and increase income through high quality produce. As an adaptation measure, organic farming builds soil fertility by improving the physical and biochemical characteristics of soil. It also acts as mitigation measure by reducing greenhouse emissions and by enhancing soil carbon stocks. To learn about organic fertilizer production, you can also enroll in the online course on Organic Fertilizer for Sustainable Agriculture at www.e-extension.gov.ph/elearning or you may also check this http://www.bafs.da.gov.ph/accreditation/assets/documents/BAFS-PNS-OA-07-2016.pdf for more information on PNS for organic agriculture

38 ECSFBS

> Aquaculture

Organic aquaculture – is a strategic approach to develop and manage aquaculture farms in methods that conform to ecosystems approach. It is through the integration of aquaculture in promoting sustainability. Example of this is fish production based on sustainability approach.

Aqua silviculture – example of this technology is fish production in mangrove reforestation areas

Communal stocking and rehabilitation - through community-based fish stock enhancement

> Greenhouse Technology– It involves growing vegetables, flowers, ornamentals plants, and other high value crops inside a protective structure. This technology can protect the crops from too much heat, strong winds, heavy rains, and insects. To know more of this technology, you can enroll for free in the online course on Production of Production of High Value Crops in Greenhouses (GREENHOUSE1.4).

ECSFBS 39

• Decision Support Tools

> National Color-Coded Agricultural (NCCAg) Map – It is a project under the Adaptation and Mitigation Initiatives in Agriculture (AMIA). This tool is primarily aimed at helping farmers in deciding what to plant in their areas. It was developed through the integration of various scientific data on soil analysis, climate impact, geographical hazard, and weather predictions from PAGASA. It currently provides suitability recommendations for 20 types of prime agricultural commodity such as banana, cacao, coconut, and mango, among others. Apart from suitability, the tool also has information on farmers’ demographics, road networks, and poverty incidence. To try this application and check what crop suits your area, visit http://www.farmersguidemap.gov.ph/

> Cropping Calendar – Is an information tool developed as part of the Philippine Food Security Information System (PhilFSIS). PhilFSIS is a project funded by the Food and Agriculture Organization (FAO) in the Philippines and was executed by then Bureau of Agricultural Statistic. The tool provides information on planting and harvesting periods of selected crops in the country such as rice, corn, cassava, sweet potato, and banana. This cropping calendar supports farmers in their production and marketing decision-making. Likewise, it also serves as a reference material for planning and rehabilitating farming systems after disasters. To know more about PhilFSIS, visit http://philfsis.psa.gov.ph/index.php/id/24/prov/1401

40 ECSFBS

> DOST PAGASA Mobile App – It is a simple application to better understand the various information services offered by PAGASA. The application provides facts on weather changes and on climate. The application includes the following features: key city forecast, flood advisories, thunderstorm advisories, and rainfall warning, among others. You can download this app in your android devices from Google Playstore. (https://play.google.com/store/apps/details?id=dost.pagasa.gov.ph.gc.ccs&hl=en)

> Farm Weather Forecast and Advisories – This is another service from the state weather bureau which can be accessed from the website of PAGASA. It contains forecast areas and farm weather conditions with the following parameters: agri-weather, winds, temperature, relative humidity, leaf wetness, and soil condition moisture. Apart from that, it also provides advisories on daily farm activities for wet and moist areas as well as for dry areas. Fishing advisories and red tide alert are also contained in the advisories. For more information visit https://www1.pagasa.dost.gov.ph/index.php/agriculture/climate-information-for-agriculture/farm-weather-forecast or you may request to subscribe for their daily advisories sent thru email.

ECSFBS 41

> Weather Philippines App – It provides localized weather forecast in the Philippines through about 770 automated weather stations deployed across the country. The app was developed by Weather Philippines Foundation (under Aboitiz Group in partnership with Union Bank). It offers free, accurate, and localized weather information, typhoon track and affected areas, etc. You can download this app using your IOS or Android devices (https://itunes.apple.com/ph/app/weather-philippines/id1006516627?mt=8 or https://play.google.com/store/apps/details?id=com.raksoct.weatherphilippines&hl=en).

> Rice Crop Manager (RCM) – This tool was developed by the Department of Agriculture and the International Rice Research Institute. RCM provides rice farmers a customized nutrient management recommendation and guidelines aimed at increasing their net income. RCM is based on the principles of site specific nutrient management. The application is accessible through various devices such as personal computer, smartphones, and tablets. To know more about RCM and to access the web application, visit http://webapps.irri.org/ph/rcm/ or you can also visit the Farmers Information Technology Services (FITS) Center in your area.

42 ECSFBS

> Nutrient Expert for Maize Philippines – It is a decision support tool accessible through personal computer and android devices. The tool can enable farmers and local experts to quickly formulate fertilizer guidelines for maize/corn production. If used accordingly and properly, it helps increase yield and income. The software is consistent with 4R Nutrient Stewardship and principles of site-specific nutrient management. It was developed by International Plant Nutrition Institute (IPNI) with support and contributions from the University of the Philippines in Los Baños and the Bureau of Agricultural Research of the Department of Agriculture. To know more, visit http://software.ipni.net/ipniweb/region/software.nsf/0/D2635AD05ABCD30F85257F8800151E10/$FILE/NEMPH%20Manual.pdf. To download the application, visit this website http://software.ipni.net/package/1B1375C2C16D6A6E85257F8800224D09

4R Nutrient Stewardship

To achieve those goals, the 4R concept incorporates the:

- Right fertilizer source at the - Right rate, at the - Right time and in the - Right place

Ref: http://www.nutrientstewardship.com/4rs/

ECSFBS 43

This module aims to identify climate resilient and adaptation practices relative to harvesting and processing/marketing of crops, livestock and off-farm products. It is categorized into three, namely crop production, livestock production and production of off-farm products. Likewise, this includes sharing of observations or experiences on climate change, sustainable indigenous practices, mitigation and adaptation measures, good agriculture practices (GAP), among others.

The topics in this module and its corresponding sessions will vary depending on the priority commodities that will be identified during the PRA in the Preliminary Activities.

M O D U L E

Climate-Resilient and Adaptation on Harvesting and Processing/Marketing

44 ECSFBS

Session 1Understanding climate and weather

OBJECTIVES

DURATION

TOPICS

At the end of the module, the participants will be able to identify climate resilient and/or adaptation practices on harvesting and processing/marketing of crops, livestock and off-farm products.

2 hours

TOPIC METHOD

Session 1: Crops Sharing of best practices

Session 2: Livestock Sharing of best practices

Session 3: Off-farm products

Sharing of best practices

NOTE TO FACILITATOR

This module focuses on the various practices that are climate resilient or are good harvesting, processing/marketing practices toward climate change adaptation and mitigation. The facilitator should be able to get the best practices from the participants or videos will be shown as a means of starting the discussions.

ECSFBS 45

This module aims to introduce key marketing, business and entrepreneurship concepts within a market/value chain perspective. It consists of three sessions: (1) market and value chain perspective; (2) livelihood and business visioning; and (3) entrepreneurship for small-scale producers.

*Module lifted from the FBS Facilitator’s Manual of the DA-CHARMP

M O D U L E

Introduction to Marketing and Business Concepts*

46 ECSFBS

Session 1Market and value chain perspective

OBJECTIVES

DURATION

TOPICS

At the end of the session, the participants will be able to:

1. Discuss the concepts of markets, marketing, market/value chains, adding value; and

2. Identify the different actors, service providers and other stakeholders and their roles in the market chain.

2 hours

TOPIC METHOD

Definition of terms • Markets • Marketing • Market and value chain • Value addition

Lecture with case analysis

Characterization of actors, service providers, stakeholders and description of roles

Lecture

Flows – products, money and informationBenefit distribution and power relations, bargaining power

Lecture with case analysis

Commodity market chain, end markets and sustaining market links

Lecture

ECSFBS 47

KEY LEARNING POINTS

1. What does a chain have to do with marketing?

The word “chain” is used to describe the linkages between the different people or organizations involved in producing and marketing your agricultural produce and products.

2. Who is involved in marketing?

3. Why are we concerned about improving marketing?

• CHAIN ACTORS – people/organizations that produce, own, buy and sell the goods at all stages from the farm to the consumers.

• SERVICE PROVIDERS – people/organizations that provide different services that the chain actors need (e.g. inputs, transportation, credit, etc.)

• STAKEHOLDERS – other people and organizations that have an interest in the success of the business e.g. local government units, non-government organizations, etc.

• To improve incomes, livelihoods and food security.

• To adapt to a changing socio-economic situation like globalization and increased competition from imports; and the need to become more efficient and competitive in order to thrive.

TOPIC METHOD

Value of transparency, commitment, trustworthiness, understanding profitability, efficiency and competitiveness in relation to sustaining market links

Lecture, role playing, case analysis

Group marketing, types of organizations/groups as vehicle for thinking smallholder farmers to markets

Lecture, role playing, case analysis

48 ECSFBS

• To improve fairness through the marketing chain while adding value to the end product.

• To build capacity at the local level to innovate and adjust to changing situations e.g. climate change.

• To understand the needs of the market such as consumers and other chain actors; and to produce what we can sell, not try to sell what we cannot produce.

4. How do we do this?

By moving from a traditional market chain to a value chain. Some fo the concepts are:

• Market chain – a set of linkages between actors where there are no binding or sought-after formal or informal relationships except when goods, services and financial agreements are actually transacted.

> One-off transactions, buy and sell> No long term relationships with buyers, lack of trust> Farmers as price-takers – many producers, few traders> No incentives to improve innovate> No understanding of market trends

• Value chain – specific type of chain where the actors actively seek to support each other so they can increase their efficiency and competitiveness.

> Longer term relationship between buyer and selling, building trust> Exchange of market information, potential to innovate>Negotiation of prices, quality standards, supply continuity> Potential for collective agreements at the farm level.

• Value-added – attributes pf produce/products that result in higher prices compared to the prices of the basic produce, due to activities such as cleaning, sorting, packaging, and processing. The higher the price will cover the cost of the activity, plus a margin that can be distributed fairly among the chain

ECSFBS 49

actors. Value can be added at any point from farm to retail levels.

• Type of value addition

> Technology – e.g. new varieties, quality characteristics/standards, postharvest and processing, new or improved products and packaging

> Market – can be geographical or a new location; market segment for different consumer groups, and institutional e.g. schools

> Organizational/commercial – horizontal and vertical chain

5. Chain Actors

• Who are the chain actors?

> Crop and livestock farmers/producers> Traders> Intermediaries> Assembly agents> Wholesalers> Retailers> Supermarkets> Consumers> Restaurants> Institutional markets e.g. schools, exporters, processors, food and non-food industry users, etc.

• What they do?

> Physically handle produce/products> Take ownership of the goods> Directly involved in buying and selling transactions> May add value by producing, processing, sorting, packaging, storing, transporting, marketing, promoting> Generate, receive and pass on information associated with goods they handle

50 ECSFBS

6. Service Providers

Examples of service providers are input suppliers, extension agents, veterinarians, brokers/commission agents, transporters, marketing/promotional firms, and financial services.

Services may be provided formally or informally.Formal – banks or credit unionInformal – local money lender

Services can also be directly provided by chain actors called embedded services, e.g. when a trader or processing agribusiness organization provides inputs like seed or fertilizer, technical assistance, and/or credit.

7. Characterization of chain actors and service providers

• Scale of operation – micro, household, small, medium, large

• Type of entry – informal, cooperative, association, private limited company

• Assets and resources – land, buildings, equipment, financial capital

• Employment/labor – family, permanent, casual, seasonal

• Objectives – commercial, social, plans, strategies

8. Relationship among chain actors and service providers

• Transactional – concerned only with buying and selling; one-time

• Longer term, building trust and leading to greater information exchange over time

• Horizontal – among similar chain actors, e.g. farmers in a group for input supply and/or product marketing, emphasis on collective action.

• Vertical – coordination along the chain, e.g. between producers, traders and processors. May be informal or formal via contracts or agreements. If one entity owns or controls all the chain from production to market is known as vertical integration.

ECSFBS 51

9. What moves through the chain?

• Physical products – intermediary, processed and final; volumes traded, processes and their efficiency, e.g. conversion rates; quality changes such as fresh eating, nutritional, functional

• Money

> Costs> Prices - seasonality, changes over time> Margins> Profitability - sustainability of activity/ enterprise over time> Efficiency – input use, conversion rates, sensitivity analysis> Credit – interest rates, availability, costs> Terms of trade – cash or delayed payments, cash management

• Information – about markets; demands; prices; trends; quality and other standards; agricultural and process technologies – extension; financial, accounting and legal advice; and regulation and policies.

10. Gender issues in markets and value chains

Within the context of the group and the community (location, priority commodity, group members), brainstorm on the following questions.

On understanding value chains:

• Women and men have different roles and demands. If these are not addressed, they can undermine the effectiveness of value chain development.

• Social justice – equal distribution of advantages, assets and benefits between men and women.

• Business – gender inequity creates business opportunities, e.g. women have key roles in postharvest and processing linked with bulkiness and perishability of root and tuber products.

• Who are the chain actors? What are the important characteristics of a chain actor? What moves or flows between different chain actors?

52 ECSFBS

• Who are the service providers? What types of service providers do they provide to the group or individual?

• Who are the stakeholders?

On adding value:

• What are the different ways we can add value to a commodity or product?

• What is the role of innovation along the value chain?

Application of the marketing and business concepts

Now that the CFBS participants are familiar with the key concepts of marketing and business, these concepts must be applied to practical experiences. This can be done through a group exercise.

SUGGESTED GROUP EXERCISE

Objective

At the end of the exercise the participants will be able to discuss about markets and value-chain perspectives.

Materials

Print-out questionnaire

Duration

45 minutes Steps

1. Divide the participants into three (3) to five (5) groups. Each group will choose a facilitator and a reporter who will present the group’s output during the plenary session.

2. Distribute the questionnaire to each participant; each group is given a

ECSFBS 53

different set of questions out of the set of questions below. Each set of questions should have at least five (5) questions.

3. The facilitator should first ask the group members to individually answer the questionnaires.

4. Then, allow 10 minutes for them to discuss and share their answers to the questions within their groups.

5. Let the participants report back to the plenary or the bigger group.

6. Summarize the presentation of the groups and use this to start the discussion about markets and value-chain perspectives.

Questionnaire

Please indicate if you agree or disagree on the following statements. Explain your answer to the group.

Statement Agree Disagree

1. Farmer cooperatives are capable of being effective and efficient enterprises.

2. Working through farmer organizations (formal or informal) is the best way to achieve inclusive and sustainable development.

3. Participation of women in farm related businesses is very limited.

4. Farmers generally have good knowledge of markets for their produce/products.

5. Farmers perceive marketing issues as important but difficult to address.

6. The value chain approach is an inclusive methodology suitable for the poorest sectors of the rural population.

7. Farmer decision making trends to be made with a short- term perspective.

8. Farmers can obtain market information easily these days.

9. Traders exploit producers.

10. Farmer priorities are largely based on past experiences.

11. Smallholders lack confidence to engage with other market actors such as traders, processors, etc.

12. Organic certification for smallholder producers is not practical.

54 ECSFBS

Statement Agree Disagree

13. Small-scale processing is rarely a viable business activity.

14. Small farmers can supply up-market niche products for premium prices.

15. The majority of poor rural farmers do not have sufficient social, human and productive assets to integrate themselves into value chains.

16. Farmers generally understand how to negotiate with traders.

17. The private sector is keen to source supplies from smallholder producers.

18. The public sector should never deliver services directly in rural areas.

NOTE TO FACILITATOR

• The questionnaire should be simplified and translated in the local dialect during the conduct of the CFBS.

• If time permits, the facilitator can collect and collate the individual answer to be used in the plenary discussion.

Session 2Livelihood and business visioning

OBJECTIVES

At the end of the session, the participants will be able to:

1. Discuss key livelihood and business concepts;

2. Develop and share their livelihood and business concepts; and

3. Build a consensus on priority commodities and market chains as tentative learning focus.

ECSFBS 55

TOPICS

TOPIC METHOD

Understanding livelihoods in relation to farmers’ business

Lecture and discussion

Livelihood visioning for households

Draw and tell (before and after situation)

Business visioning for the farmer group

Draw and tell (before and after situation)

Strategies

Encourage your participants to also share their experiences during the discussion of the topic.

Materials

Multimedia materials (if electricity is available in the training venue), meta cards, boards, and markers

KEY LEARNING POINTS

You as the facilitator should start the session with a lecture on the definition and key concepts of livelihood, business and enterprise. You should also discuss on the livelihoods of rural people and communities by citing examples applicable in the local setting.

• Livelihood and income generation• Business and enterprise• Farm business and agri-business• Customer and consumer• Household and family• Livelihood strategies – on-farm, off-farm, non-farm• Livelihood assets – human, social, financial, physical, natural

DURATION

2 hours

56 ECSFBS

1. LivelihoodThis comprises the capabilities, assets (including both material and social resources) and activities required to make a means of living. A livelihood is sustainable when it can cope with and recover from stress and shocks and maintain or enhance its capabilities and assets both now and in the future, while not undermining the natural base. (Chabers and Conway, 1991)

2. BusinessIt is an organization engaged in the trade of good, services or both, to consumers. Business are mostly privately owned and administered to earn profit to increase the wealth of the owners. It may be not-for-profit or state-owned.

3.EnterpriseA business unit that can be categorized as micro, small and medium enterprises (MSMEs) is engaged in industry, agribusiness services, whether single proprietorship, cooperative, partnership, or corporation whose total assets, inclusive of those arising from loans but exclusive of the land on which the particular business entity’s office, plant and equipment are situated, must have value falling under the following:

Types of Enterprise

By Asset Size By Number of Employees

Micro Up to PhP3,000,000 1 – 9 employees

Small PhP 3,000,001 – 15,000,000

10 – 99 employees

Medium PhP 15,000,001 – 100,000,000

100 – 199 employees

Large PhP 100,000,001 and up

More than 200 employees

Small group workshop on livelihood portfolio of the group or community and individual members.

You will group the participants into groups to discuss the livelihood portfolio within the individual household and in the community. Each small group should have a facilitator, documenter and reporter. A summary of the group discussion must be presented by the reporter the plenary.

ECSFBS 57

SUGGESTED EXERCISE: “I Have a Dream”

The following questions may serve as guide for the participants during the small group discussions:

• What are the existing livelihoods of your farming households?• Which of these livelihoods are business-oriented?• In three (3) years, what changes in your livelihoods do you envision?• What businesses do you aim to start/expand to support these livelihood changes?• What future business interests do you share with other farming households?

Objective

After the exercise the participants will be able to present their vision about their business-oriented livelihood activities.

Duration

1 hour Steps

1. Group the participants into three (3) to four (4) to discuss the current livelihood portfolio within the individual household and in the community. Each small group should have a facilitator, documenter, and reporter.

2. Instruct them to share among their group mates their own livelihood activities. Let the documenter list down the answers. From the list, ask them to identify the common livelihoods that will surface. Further, ask them to specify their business-oriented livelihood/s.

3. Instruct them to illustrate on a piece of Manila paper the present situation of the identified business-oriented livelihood. They may use representations that define the situation.

4. Then let them draw or illustrate what they want for the identified business-oriented livelihood/s to become in the next three (3) to five (5) years. Encourage them to imagine that dream and expand their imagination.

5. Let each group present their output.

6. The presentations shall serve as basis for identifying the livelihood that the group may venture into.

58 ECSFBS

NOTE TO FACILITATOR

This exercise can also be used to do a business visioning of the group by drawing the before and after situations of the business identified by the group.

Oftentimes, mission and vision statements are posted in the organization’s office, website or publications. It is expected even for an individual to have a vision of the future, a direction that he or she wants to follow, or simply, a goal to be achieved, or a place where he or she wants to be in. When there is a vision, each activity initiated is aligned and contributory to achieve the individual or organizational goal. You will discuss the importance of having a vision for oneself and for their group or organization. You may give some examples of the vision statement of different organizations.

At the end of the lecture and discussion, a take home exercise on formulating an individual vision will be assigned. Also, the participants shall also formulate how they envision their business in the future with the consideration of existing crops or commodities that they are growing. The answers to the assignment shall be recited at the start for the next CFBS meeting.

Formulating A Group and Individual Vision

Session 3Entrepreneurship for small-scale producers (success stories/testimonials, field visits, games

OBJECTIVES

DURATION

At the end of the session, the participants will be able to:

1. Discuss the concept of farmers as entrepreneurs; and

2. Identify and compare different types of organizations involved in marketing; and the pros and cons of business.

2 hours

ECSFBS 59

TOPICS

TOPIC METHOD

Farmers as producer vs entrepreneur

Games, testimonials, panel discussion with successful farmer-entre-preneur, videos of success stories

Income and profit orientation, reducing costs, obtaining high prices, efficiency, competitiveness

Case study, testimonials

Types of business organizations, options for organizing farmer groups – pros and cons of cooperatives, associations, others

Lecture with case study

Business cycle, risks and rewards

Presentations, games, role playing

This session emphasizes the changing mindsets of the farmers from being production-oriented to market-oriented.

KEY LEARNING POINTS

1. What is an entrepreneur?

• Innovator – starts something new; takers the initiative; and identifies and realizes opportunities.

• Organizer/manager – leads and runs the business

• Has access to capital, assets, resources

• Takes risks; within reason; and with a sound understanding of the prospects of success and failure.

• Knows own strengths and limitations. Seeks support from service providers as required.

60 ECSFBS

2. Small-scale producers

• Limited land, productive assets and resources

• May be remote from markets, with little knowledge and few external contacts

• However, may have positive attributes including:

Discussion Topic:

• Are we individually or as a group interested in becoming involved in a more market-oriented and entrepreneurial approach to agriculture and livelihoods?

• Are we prepared to take some risks in this process? What is an acceptable level of risk?

• What can we contribute to this effort? List down assets and attributes and resources that the community can contribute. These may include:

> Traditional knowledge that can be developed into marketable produce/products> Kinship networks into urban markets via outward migration> Social capital in community - favoring horizontal cooperation)> Support from LGUs, NGOs, and relevant agencies and programs providing support in range of areas – including finance – that may otherwise be difficult to access locally.

> Time of people (women and men)> Knowledge – including traditional knowledge and results of past capacity building programs> Resources, including land, equipment,facilities> Financial assets – what can be contributed by the community> Relevant social networks, including existing links to markets via traders, etc.

• What do we lack in order to proceed?

ECSFBS 61

3. Types of business registration in the Philippines

Establishing businesses in the Philippines requires registration with different offices depending on the type of business, its coverage and ownership. The following are the types of business ownership;

Likewise, the following are the Philippine government agencies where businesses are registered:

• Single or sole proprietorship – the person is engaged in the business as an individual

• Partnership – two or more persons agreed to operate a business

• Corporation – with at least five (5) parties or a group of people with legal personality authorized to act as single entity

• Cooperative – an organization owned and operated by its members who share the profits and benefits generated by the business.

• Department of Trade and Industry (DTI) – responsible for realizing the country’s goal of globally competitive and innovative industry and services sector that contribute to inclusive growth and employment generation. Single or sole proprietorship businesses should be registered with the DTI. For the business name registration, the sole proprietor gains the exclusive right to establish and use the business name and also offers protection from those who could take advantage of the name.

• Securities and Exchange Commission (SEC) – its mission is to strengthen the corporate and capital market infrastructure of the Philippines, and to maintain a regulatory system based on international best standards and practices that promote the interests of investors in a free, fair and competitive business environment. SEC has the jurisdiction and supervision over all corporations, partnerships or associations who are the grantees of primary franchises and/or license and permit issued by the government.

62 ECSFBS

• Cooperative Development Authority (CDA) – mandated to promote the viability and growth of cooperatives as instruments of equity, social justice and economic development.

For small group discussion, be guided by the following:

A. The farmer as an entrepreneur – profit orientation:

Group Discussion Among the Participants

1. What are the experiences shifting from on-farm production or sale of surplus to local market to a more commercially oriented production system?

2. Concepts on the following should be emphasized:

• Commodities and products

• Advantages and disadvantages – risks vs rewards

• Commercial orientation on household food security – home use vs. market oriented

B. The types of producer organizations

1. What are the different types of formal and informal producer organizations?

2. What are pros and cons of each type?

3. When is it worthwhile to register and formalize an informal group? With whom?

ECSFBS 63

This module aims to analyze and prioritize market opportunities by using appropriate tools, and to increase business profitability of farmer groups and their individual members in the context of sustainable production systems. It consists of four sessions namely planning for value chain assessment; conducting the value chain assessment; discussion and assessment of results; and sharing and validating the results of assessment.

Training methodsGroup workshops, field visits to successful entrepreneurs to Agro-Fair/TienDA/BAPTC etc.)

M O D U L E

Identifying and Prioritizing Market Opportunities

64 ECSFBS

Session 1Planning for the value chain assessment

OBJECTIVES

DURATION

TOPICS

At the end of the session, the participants will be able to:

1. Describe the importance and purpose of value chain assessment; and

2. Plan and organize value chain assessment.

4 hours

TOPIC METHOD

Target commodity/value chain/product for assess-ment including: chain actors, service providers and stakeholders to visit and interview

Group discussion

Key information to be collected, methodology to use, and questions for each actor/service provider

Group exercise, role-play-ing

Tasks and roles of assessment team members

Group discussion

Preparing logistics and schedule for fieldwork

Group discussion

The session outlines the steps and scope in doing the value chain assessment. Different tools and approaches as well as the sample outputs will be discussed with the participants. In all of the programs or projects, the planning stage is very crucial because it will dictate and guide the project in achieving its goals and objectives.

ECSFBS 65

KEY LEARNING POINTS

Planning a Value Chain Assessment

At this point, the group should have identified the main commodity they intend to develop through the FBS process and should have some idea of the market chains and marketable products that can be derived from the commodity. If this is not yet the case, the group will need to discuss and decide on options based on criteria that are important to them, such as:

• Agro-ecological potential of the area

• Objectives of project/program and/or communities

> Existing crops/commodities> Potential crops/commodities not yet produced, but which fit the production conditions (and which may have market potential)

> Reduce poverty, increase income, improve food o security

> Environmental issues (sustainable systems, resilience)“givens” or “entry points” – specific area or commodity

• Opportunities in the wider socio-economic environment

> Market demand opportunities> Industry interest> Potential for technological, commercial and institutional interventions

The first task is to define carefully the scope of the assessment:

• Which agricultural commodity?

• Which specific end products from this commodity are currently or potentially (in the future) relevant to the assessment? This may include fresh produce, processed products produced locally and/or food industry products where the commodity is a raw material.

66 ECSFBS

One helpful way to carry out this exercise is to draw up a map of the chain from production to consumer, indicating the different actors involved, as well as service providers and stakeholders. This helps to provide an overview of the value chain under study, to help guide the more detailed assessment that follows. Using their own knowledge, the group should attempt to draw a chain map with as much detail as possible indicating the following:

• Who are the different chain actors and service providers (gender issues)?

• Who are other stakeholders (institutions and agencies etc.)?

• What are their linkages and relationships?

• What are flows of product, money and information?

• What are the ideas on key constraints and options?

Examples Commodity: Sweet potato roots produced in Benguet End products: Fresh roots, dried chips, animal feed. Chain actors: Traders, wholesalers, retailers, restaurant owners/ managers, processors (local and Baguio-based), livestock producersService providers and stakeholders: LGU and NGOs, finance providers, DA etc.

• Which chain actors are involved in marketing, processing (etc.) of this commodity, and linking production with end users/ consumers?

• Where are they located? Which other service providers and stakeholders can be identified?

ECSFBS 67

Additional information on the current situation can be included (e.g., volumes and prices). This will help to identify the gaps in knowledge and information where research is required. Also bear in mind that perceptions will differ among chain actors too – traders may have different options to address problems than farmers, for example. The group should remember to consider potential products, and which actors could be involved, as well the current value chain.

The second task is to define the list of topics or questions to ask during the assessment.

The recommendation here is not to use a formal questionnaire, but to have a list of topics that can be covered during an informal interview with each actor. This can be in the form of a checklist specific to each chain actor. See the examples provided. However, note that (a) questions will need to be customized for each assessment and (b) that the topics for discussion should be limited to the main items. The group should develop a list of priorities for each actor.

It is important that the topics include problems and opportunities from the perspectives of the different chain actors, etc. The tendency is to focus on problems. However, opportunities are especially important to identify in this assessment process, as they can indicate where innovations and interventions can be focused on in subsequent FBS modules. In other words, the assessment should be future-oriented and not just consider the existing market situation of the commodity. The chain

68 ECSFBS

actors close to the market will have a good knowledge of consumer trends, demands and preferences (e.g., quality and variety) that go well beyond the information that usually reaches the farm level.

Sample Producer Checklist:

• Production of RTCs

• Utilization profile

• Processing on-farm

• Marketing of produce/products

• General

> Varieties, area, yield, production volumes, trends, planting materials and input supply issues, production constraints, seasonality

> Consumption on farm, livestock feed etc.

> Process, equipment, labor, efficiency

> Buyer details, terms of transactions, nature of relationship, prices/trends, constraints/opportunities

> Support services used – quality, accessibility, cost, etc.> Constraints/opportunities> Future goals/vision

The assessment can be carried out using:

• focus group discussions, e.g., among farmers and also with consumers

• key in formant interviews with people who have specific knowledge or expertise such as:

> Chain actors: farmers, traders, wholesalers, retailers, processors, exporters

> Service providers: extension services, input suppliers, transporters, brokers/commission agents, credit providers Stakeholders: local government and public sector agencies, NGOs, community organizations, industry associations, research organizations

ECSFBS 69

• direct observation (e.g. in wholesale markets and processing facilities)

The third task is to plan the logistics of the assessment and assign roles to each member of the group. This will usually involve travel to urban markets (wholesale and retail), processors currently or potentially using the commodity, offices of service providers/stakeholders, as well as local actors (traders, input suppliers). The facilitator (and project/ institution) will usually support the conduct of this exercise by making appropriate out-of-area transport arrangements. Overnight stays may be required. A team of 2-3 people should visit each actor (dividing responsibilities for asking questions, taking notes, observations/ photography, etc.). Depending on the number of interviews, more than one team may be required for certain actors, service providers and stakeholders included in the assessment.

Tip: Ask questions relating to money (especially income and profit) at the end of the interview so that some confidence/relationship can be established first before this more sensitive topic is raised.

Tips:

> Traders and wholesalers may prove difficult to arrange a meeting with because they can be very busy. Usually, they would have more time at the start and end of the working day, but the exact time for the meeting will depend on each marketplace (i.e., very early morning is possible for fresh produce). It may be necessary to make two visits, with the first one used to set up an appointment for a later meeting.

> Many service providers and stakeholders will require appointments to be made in advance.

> Be flexible – new potential chain actors may be identified during the interviews, who may also be visited by the group.

The end results of this session will be: • A basic chain map (for actual and potential value chains) indicating the main actors, service providers and stakeholders to be interviewed, and identifying key information gaps

70 ECSFBS

• A plan for conducting the assessment, covering logistical aspects and defining roles and responsibilities of the FBS group members involved

• A number of checklists to generate the information required, customized for each chain actor.

Session 2Conducting the value chain assessment

OBJECTIVES

DURATION

At the end of the session, the participants will be able to:

1. apply methods and tools in market chain assessment;

2. collect relevant information for assessing the target market chains; and

3. determine methodological and operational challenges in conducting the assessment.

4 hours (plus travel time)

TOPICS

TOPIC METHOD

Chain actor characterization, including gender roles

Field visit, interviews, PRA

Basic chain description (volumes, prices, margins), including issues of efficiency, equity and sustainability

Field visit, interviews, PRA

Problems and opportunities, potential interventions/innovations

Field visit, interviews, PRA

ECSFBS 71

Recap on the tools and approaches in market chain assessment

Before the groups disperse to their chosen location, the facilitator may conduct a briefing and a recap on the different tools that they will be using in the field. Remind the group to keep in mind the information that they need to get and to ask politely.

The questions below will help the participants assess their readiness to conduct the market chain assessment.

Discussion Questions:

• What topics and questions will your group include in the checklist? - customize for each crop/product/region - be prepared to follow up on novel responses - leave most sensitive questions (income) until last

• When is the best time to conduct the market chain assessment in your area/commodity?

KEY LEARNING POINTS

At the end of this session (which may last 1-2 days depending on the location of the markets and other factors), the group should have a documented series of interviews (mainly with key informants, but potentially including focus groups at the farm and consumers level, if needed) and observations covering the following types of information.

a) Market and consumer demand, understanding recent changes and trends in commodity/product supply and demand over time (volumes, prices) and consumer preferences (quality, appearance, freshness, unit sizes, varieties). There may also be information on the competition, including other commodity producer regions, and the types of purchase agreements made between chain actors, input suppliers, etc.

b) Standards/regulations and enforcement/compliance, the “power relations” among chain actors, and the barriers to entry for new opportunities. Power relations refers to whether there is one actor (e.g., a processor or supermarket) that has sufficient market share and

72 ECSFBS

resources to exert control, or influence, over other chain actors. This can affect the distribution of economic benefits (from any value added) among the chain actors, reducing the equity along the chain.

c) Nature of the relationships among chain actors both formal and informal, and level of trust or social capital that exists or does not exist.

d) Economic analysis – based on information obtained from the different chain actors, obtain an idea of the costs and margins along the chain as much as possible, in order to understand who benefits from their participation in the chain, and whether the benefit distribution is fair or not. Note that there will need to be some “triangulation” to assess whether respondents have provided correct information, e.g., compare selling price given by one actor with buying price mentioned by the actor down the chain, if possible.

e) Options for chain innovation (technological, commercial, institutional)

By talking to key informants in support institutions (universities, etc.) with service providers (e.g., input suppliers) and other chain actors, the team can gain ideas on opportunities for introducing/improving/ upgrading innovations:

In addition, there may be opportunities to link to other investments being made, e.g., in infrastructure (e.g., roads, utilities) requiring inputs from government programs/departments.

For each potential innovation, the team needs to know what skills, resources or assets they will need (or lack) and what are the required quality standards, rules and regulations for market entry.

> Technologies (new varieties, processing equipment, products, storage systems, crop production practices)

> Markets (geographical, demographic or other market segments)

> Organizational arrangements (e.g., farmer groups, contracts among chain actors)

ECSFBS 73

f) Value chain improvement is dependent on deployment of resources, and on partnerships among the chain actors, service providers and other stakeholders. It is therefore useful to assess what resources are available (who owns them, including from external sources).

Moving towards action and interventions being tested will involve collaboration among different chain actors, stakeholders, etc. The assessment can therefore help to identify potential new collaborators and partners, and service providers, who can work with the FBS group in these trials, which should lead to new business opportunities for all concerned.

The output of this session (i.e., the assessment) is an organized set of interview notes, observations etc., around the above topics, which combine to give a picture of the current state of the chain, as well as indicate potential opportunities for action to improve the chain, that directly involves the farmer group and the commodity under investigation.

Session 3Analysis and discussion of assessment results (4HR) SWOT, PESTLE, etc.

OBJECTIVES

DURATION

At the end of the session, the participants will be able to:

1. consolidate, process and analyze data from the assessment; and

2. discuss and summarize key results, conclusions, and recommendations for action.

4 hours

74 ECSFBS

TOPICS

TOPIC METHOD

Data consolidation and processing

Group exercise

Analyzing assessment results using quantitative and qualitative/visual tools

Analytical methods and tools, including chain mapping and SWOT, PES-TLE

Preparing the assessment report

Group exercise

Assessment and consolidation of results on the market chain assessment exercise

After the field exercise, each group has its own set of information gathered from the market exposure. It is now time to discuss the findings with other members and if necessary, use the needed quantitative and qualitative tools.

Discussion Questions:

• Who are the key actors involved in the chain? What are their specific roles in the chain?

• What types of services exist within the chain?

• What types of relationship exist among the actors of the chain? In terms of products? In terms of information flow?

KEY LEARNING POINTS

1. Results analysis

The results of the assessment should be organized by the team for presentation and discussion with the wider FBS group. There is little to be gained from attempting a very formal and detailed analysis – it is better to develop a number of clear and relatively simple aids to understanding the current situation, and future potentials of the chain.

ECSFBS 75

This may include:

• Chain maps, more detailed than in the initial scoping exercise, with information gaps now filled.

• Tables of prices and margins at different stages of the chain, for different actors

• Details of volumes traded in specific markets over time, if possible

• Lists of preferred consumer product attributes/varieties

• Lists of actual and potential customers for the group’s produce/products, with volume and quality requirements and price expectations

• Indications of new opportunities for adding value, including products, markets and organizational arrangements (contracts, etc.)

• Names of potential new service providers and support agencies, with details of the type of service/assistance to be provided

• Actual and potential sources of finance/funding

76 ECSFBS

2. Prioritizing problems and opportunities

The assessment team together with the FBS group members should convene to discuss these results, and identify, from their perspective, the main issues, problems and opportunities, with special emphasis on the opportunities as this leads to the action/innovations. The group should attempt to identify a number of options for more detailed discussion and prioritization in the next session.

Note that the emphasis here is on problems and opportunities derived from the assessment, not (yet) on the specific interventions or innovations to be introduced. It is important to separate these two steps because problems and opportunity can have several potential areas of intervention. First the problem/opportunity should be prioritized, and then the most appropriate intervention should be agreed on. For example, if a problem of “high post-harvest losses” in fresh produce is prioritized (or an opportunity to reduce losses), then potential innovations could include those at the production level (e.g., change crop variety or harvesting time), the marketing process (different packaging/ storage conditions, or better coordination to reduce time taken) or end users (finding a use for low quality rejects) or even infrastructure investments (improve farm-market roads to reduce damage during transport).

The output from this session is a presentation of the main results of the assessment, including in graphic (chain map) and tabular form, and with a number of identified problems/opportunities that can lead to action/interventions in the next module.

ECSFBS 77

Session 4Sharing and validating the results of the Assessment (4HR) Presentation of output

OBJECTIVES

At the end of the session, the participants will be able to:

1. share and validate assessment results with other chain actors and stakeholders; and

2. jointly identify and prioritize market opportunities, including potential collaboration with chain actors.

DURATION4 hours

TOPICS

TOPIC METHOD

Presentation of assessment results

Presentation, display of products and posters

Discussion with other actors and stakeholders to solicit their views and suggestions

Panel discussion, group exercises

Building chain-wide consensus on priority needs and opportunities, and next steps

Panel discussion, group exercise

Validation meeting with chain actors and stakeholders

This activity provides the opportunity to report and correct (if any) the information gathered from the market chain assessment. Make sure that relevant stakeholders and chain actors are invited.

78 ECSFBS

Discussion Questions:

• Are the information acquired from the assessment accurate? If not, where can the farmers/participants get the right information?

• Are there significant information lacking within the market chain?

KEY LEARNING POINTS

A meeting or forum should be convened, at which the results of the assessment are presented to the main chain actors, service providers and stakeholders involved in the assessment. This is both to share the results of the assessment with them, and to receive their inputs on the priorities for development in Module 6.

The format for the meeting should follow:

1. Introduction and explanation of the FBS process, aims and objectives; introduction of participants

2. Presentation of the assessment results, including problems and opportunities

3. Open discussion among participants, with attention to:

a) Reconciling any different perceptions that actors/others may have about the results, problems, etc. b) Reaching consensus on priority problems/opportunities for future development.

4. Discussion and prioritization of potential interventions to resolve problems/realize opportunities

5. Initial suggestions for partnerships and collaboration among actors etc., to move towards action on the main priority/ priorities

ECSFBS 79

Careful facilitation is needed for this meeting, as different actors may have different priorities, so these need to be well discussed and reconciled, as much as possible.

Achieving consensus is important as implementing these actions will usually require collaboration among chain actors.

The output for this activity is the consensus on main problems and opportunities, and potential priority intervention(s), with the VC assessment results validated.

80 ECSFBS

This module aims to introduce technological, commercial and institutional innovations in collaboration with other chain actors and stakeholders to respond to market opportunities. It consists of six sessions:

1. Action planning for innovations to address market opportunities;2. Designing and organizing the testing of innovations;3. Conducting and monitoring the testing of innovations;4. Special topics to support innovations;5. Analyzing results and preparing for sharing innovations, and 6. Presenting and sharing innovations with market chain actors and other farmers.

M O D U L E

Targeting and Testing Potential Innovations

ECSFBS 81

Session 1Identifying and prioritizing innovations to address market opportunities

OBJECTIVES

DURATION

At the end of the session, the participants will be able to:

1. identify and prioritize innovations corresponding to market opportunities; and

2. develop an action plan for testing and introducing innovations.

2 hours

TOPICS

TOPIC METHODIdentifying technological, commercial and institutional innovations

Presentation, group discussion

Prioritizing potential innovations for testing and introduction in market chain

Group discussion, group exercise

It is expected that each farmer participant has existing commodity or crop planted. To take advantage of this session, the facilitator should explain clearly what innovations are. Practical examples could help the participants identify the limitations or further innovations needed by their crops, commodity or product.

To be able to expound on the subject, the following questions could be used by the facilitators to start the discussion.

Discussion Questions:

• What are the key innovations or improvements needed for/by farmers to address the identified market

82 ECSFBS

opportunity, or address constraints?

• What are the basis for the prioritization and selection of identified potential innovations?

• What are the priority innovations, and key actions needed to develop innovations?

KEY LEARNING POINTS

1. Market opportunities

These are the possible openings or entry points to participate in a market or supply chain. An opportunity could be:

2. Steps in identifying and prioritizing innovations that match market opportunities

• A need that is not served, which may be a product or service

• A gap – the demand is not fully served because of low supply, unstable or seasonal supply. This gap between demand and supply, and understanding its nature, is an opening for new suppliers or old-time suppliers who could still expand their production.

• List and characterize the options

• Design the prioritization/selection process

• Define selection criteria

• Evaluate the options (narrow down to feasible ones) based on criteria

• Final portfolio or mix of options

SUGGESTED EXERCISE1. Video presentation on “Binalot,” a food business popular in the Philippines.

2. The video demonstrates the linking of potential innovation to market opportunity. Participants will have to give their impressions and identify existing market opportunities and how the owner responded by introducing innovation/s.

ECSFBS 83

Session 2Designing and organizing the Testing of Innovations

OBJECTIVES

DURATION

At the end of the session, the participants will be able to:

1. translate innovation concepts into preliminary designs; and

2. organize and prepare for testing innovations, including roles/task assignments and guidelines/tools.

2 hours

TOPICS

TOPIC METHODMoving from innovation concept to design

Group exercise

Organizing and preparing for activities to test innovations

Group discussion

Tasks and roles for group members

Group exercise

Preparing guidelines and tools for testing prototype innovations: commercial, technical and social/cultural feasibility

Group exercise

Group Discussion to Identify Specific Actions and Roles

Session 2 proceeds from Session 1, where key actions were identified to develop and test the priority innovation(s). Participants will be given an exercise to design and organize the identified market opportunities. They have to discuss the key actions (refer to Session 1 outputs) needed to introduce the potential innovations to the market. Further, they have to enumerate additional learning based on the identified business ideas/ opportunities.

84 ECSFBS

Utmost care should be taken in Session 1 since moving from the idea to the design of innovation needs some specialist inputs. The selection of the specialist or resource person requires a fit to the identified innovation in Session 1. There may be more than one specialist needed. Thus, the FBS facilitator should review the requirements of the identified innovation(s) and consult relevant experts.

The following matrix is a helpful tool and used as sample so that the FBS participants can discuss the results of the previous session.

Market Opportunity

Innovations Need for further action learning

How/When/

Where/By whom?

Supplying fresh potato to modern supermarket

1. Marketing agreement with supermarket

Establishing contact and negotiating agreements with supermarket representative

2. Sorting and grading of potato tubers

Learning about quality grades and improving production practices to meet market requirements

3. Farm-to-market transport

Explore and compare various alternative modes of transport, bypassing middlemen

KEY LEARNING POINTS

1. Innovation

The process by which an idea or invention is translated into a good or service for which people will pay or something that results from this process. It involves deliberate application of information, imagination, creativity, and initiative in deriving greater or different value from resources and encompasses all processes by which new ideas are generated and converted into useful products

- Technological innovation: production, post-harvest/ processing technologies

- Institutional innovation: organizations, norms and relationships

ECSFBS 85

- Commercial innovation: arrangements for supplying products to markets/users, product positioning/ promotion, market/consumer segmentation

2. Testing of innovation

The process of experimentation of the innovation at the intended level or area, and getting feedback from the users for refinement or improvement.

SUGGESTED EXERCISESEXERCISE 1. Brainstorming and SWOT (strengths, weaknesses, opportunities, threats) or SWOC (SWO, challenges) Analysis to short list innovations

EXERCISE 2. Business Hooray

ObjectiveThe participants should be able to shortlist ideas or innovations for business planning based on experiences from Modules 3 and 4.

Duration1 hour and 30 minutes

Duration 1 hour and 30 minutes

Materials • Big sheets of paper (Manila paper) • Marker pens • Paper tape

Steps1. Divide participants into groups (at most 3 groups)

2. Provide each group with markers and big sheets of paper (Manila paper)

3. Allow 10 minutes for the participants to brainstorm and write their ideas on the possible business options to undertake based on experiences from Modules 3 and 4.

4. Let the participants brainstorm further and rank their ideas using the following criteria. The criteria can be modified by the participants

86 ECSFBS

Rate ideas with the following rating: 1-low, 2- moderate, 3-high Rank ideas based on total scores

5. After ranking, let the participants brainstorm further and write a business slogan or catchwords/phrases to publicize the business

Examples: It’s the real thing (Coca Cola) MagSANKO, HuwagMagsako (SANKO) We got it all for you (SM) Take the bus and leave the driving to us (Victory liner)

6. Let a representative of each group present the group output. After the presentation, let the other members of the group come in front and present their business slogan

7. After all the groups have presented their outputs, synthesize the results

- There are no right or wrong answers. Discuss all ideas written down.

- Encourage exchange of ideas among participants

- If needed, write down more points that came up during the discussion

- List down highlights of group discussion and come up with a consensus on what business to undertake and the business slogan to go with it

- If there is a need to brainstorm further, conduct SWOT Analysis using the SWOT analysis matrix.

Criteria Idea 1 Idea 2 Idea 3 Idea 4 Idea 5Potentially Benefit-profitabilityCustomer impact-market demandTime requirement- investment turnoverDegree of organizational riskInvestment requirementDegree of technical riskEnvironmental soundnessCultural and social acceptabilityTotal Score

ECSFBS 87

8. If there is a need to brainstorm further, conduct SWOT Analysis using the SWOT analysis matrix.

This could be done in a plenary session. Using the SWOT analysis matrix, analyze with the group the strengths, weaknesses, opportunities and threats of the prioritized business idea/s in the just concluded exercise using the form below:

Potential innovations(potential

businesses

Internal (to the enterprise)

External (to the enterprise)

Strengths Weaknesses Opportunities Threats

Session 3Conducting and Monitoring/Testing of Innovations

OBJECTIVESAt the end of the session, the participants will be able to:

1. develop prototypes/drafts of target innovations;

2. undertake testing and refinement of innovations; and

3. monitor the process and results of innovation testing.

DURATION4 hours

88 ECSFBS

TOPICS

TOPIC METHODFrom designing to producing prototypes/draft of target innovations

Group exercise, actual/hands-on production of prototypes/drafts (may be with assistance of resource person)

Implementing activities for testing the prototypes/drafts

Experiments/trials, consumer/market research, focus group discussions

Collecting and organizing information during testing/feedback

Recordkeeping and other documentation methods

Refining of prototypes based on consumer and user feedback

Group exercise; hands-on prototype refinements

Facilitating access to support service providers to refine prototype

Group exercise, consultations with specialists

NOTE TO FACILITATOR

The activities after the initial session may be carried out in several weeks in the field or sessions, as agreed upon by the participants, depending on the innovations and testing design. Suggested sessions under learning content and methods: sub-topic 1 first session; sub-topics 2 and 3, session 2 followed by days or weeks of implementing activities, data collection and giving/collection of feedback; sub-topics 4 and 5, the next session followed by activities to access BDS required. The whole Topic 3 may be undertaken in 4-8 weeks depending on the nature and extent of the innovations and target markets/users.

Discussion of the results of tested innovationsThis session needs inputs from all of the group members. Different farmers may have different opinions and interpretation so it is important to consider the voices of all the group members. After the discussion, the facilitator should allot a time to reiterate the outcomes and agreements that were made.

ECSFBS 89

Discussion Questions:

• What are the product prototypes that have to be developed based on market needs/ requirements?• How will these be done or produced?

• What are the improvements that need to be done in the tested prototypes?

• Is the innovation being introduced doable in the area?

• What support services are needed for the development of the prototypes? Improvements that need to be made? How can these services be accessed?

KEY LEARNING POINTS

1. Methodological considerations

- Participatory: involve chain actors in surveys, market research, etc. (capability building and commitment to the process are needed for/by actors, cost and time considerations). Participatory process helps to obtain local ownership of process and end results.

- Data/information collection and analysis: These build up the outputs from Module 3.

- Joint decision-making on priorities and plans for implementation

- Co-funding of innovations and facilitating the access to needed external funds and services.

The chances of success of an innovation is enhanced when it is owned (i.e. considered as their own; or they are party to the initiative) by the parties involved in its planning and implementation. The process of testing the innovation leads to the identification of gaps, flaws or fit to users/consumers preference, process or model at the outset, leading to an early opportunity for corrective action, arresting a possible widespread of harm or damage that may be associated with gaps, flaws or misfit of untested innovation.

2. Steps in development and testing of product/service prototypes

90 ECSFBS

- Develop the selected innovation/options into appropriate product or service prototype

- Prepare the design of product prototype or service, including identifying the support providers to improve the design and develop the prototype

- Develop the prototype, and the related process system

- Test the product with the intended users/consumers

- Refine the prototype (an iterative process)

- Market test the refined product; get feedback

- Further refine the product

3. Business development service (BDS)

BDS is the required service or product to support the development, improvement/refi nement of an innovati on. This includes relevant research outputs, financial/capital, facilitation for resource/service access, market linkage, product promotions, packaging, inputs sourcing, product distribution, consumer research among many others.

SUGGESTED EXERCISE

The outputs in Module 3 should have identified the product prototype that needs to be developed or improved. For the session, each group shall translate their ideas on innovations into a design and agree with other groups to comment on each other’s design. This should also include the development of a workplan to develop and test the innovation using Sessions 1 & 2 outputs.

ECSFBS 91

Session 4Special Topics to Support Innovations (e.g. Packaging, Good Manufacturing Practices

OBJECTIVES

DURATION

At the end of the session, the participants will be able to apply practical knowledge and skills (i.e. from any or a mix of the identified needed special topics listed in the matrix below) in introducing innovations to the market chain.

16 hours (including Session 3) or four to six weeks

TOPICS

TOPIC METHODBusiness laws and regulations

Lecture and relevant sample with related procedure

Business instruments and related record keeping

Product standards and certificationSupply chain development/managementBusiness ethicsNegotiation and collective marketing Case and role play with

lecturette; Sample with relevant procedure

Accessing and using market informationLegal services

Food safety; GMP& HACCP

Lecturette; visit to GMP-compliant micro-enterprise

NOTE TO FACILITATOR

A special topic may require an activity after the session. The implementation of this activity should be agreed upon and planned by the group, with tasking and defined output

92 ECSFBS

of the activity. Feedback and reporting of outputs should be done in the next session. If there is more than one FBS, a special topic(s) may be common. Specialist may be shared, especially if there is difficulty in engaging the services of one for each group. Each special topic must have key learning points. The facilitator must be able to identify these learning points, and synthesize simply after the specialist’s talk, or after a related field activity.

Identifying special topics to be covered

Each organization or group is bound to have different challenges – it could be financial management, business ethics, or recruitment of members, among other possibilities. In the FBS curriculum, aside from exploring market opportunities, facilitators also focus on the evident repeated issues or chronic problems faced by the organization. To identify the special topics in the FBS, the group will be given time to discuss the issues and to finalize the topic to be addressed.

Discussion Questions:

• What issues/topics could be of interest to the group?

• Are there any emerging issues specific to the group/product/area/location?

KEY LEARNING POINTS

1. Ethics: a set of values/principles of right conduct; issues related to ethics include gender, age, experience, cultural background.

2. Significant elements of business ethics include trust, equity, responsibility, commitment.

SUGGESTED EXERCISE

For each special topic, and within their respective groups per session, present various cases to the participants where there is an arising conflict and solicit their answers/response to the emerging conflict.

Sample case:• You grow various types of root and tuber crops. For convenience, you sell the products to a dealer who regularly visits your farm.

ECSFBS 93

• The price seems fair. Then you found that his weighing scale always shows less weight than your own scale. You doubt that the dealer has been cheating by intentionally using a faulty scale.

• What actions will you take

Session 5Analyzing Results and Preparing for Sharing Innovations (specialist’s input)

OBJECTIVES

DURATION4 hours (additional preparation time is needed for session on presenting and sharing innovations with market chain actors and other farmers)

At the end of the session, the participants will be able to:

1. analyze and use results in further refining innovations; and

2. prepare to share the innovations with other stakeholders.

TOPICS

TOPIC METHODSummarizing experiences, results, and using them for refinements

Presentation, group discussion

Reviewing innovations based on previously agreed indicators of success

Group exercise; specialist input may be needed

Developing a shortlist of field-tested innovations

Group discussion

Preparing for the sharing event

Group exercise

94 ECSFBS

Finalizing the results for the session on sharing of results

With the innovation already introduced and tested, it is now time to share the results to key stakeholders. These stakeholders validate the findings that the participants will present to them. Please be generous in sharing with the key stakeholders your experiences, learning points, and knowledge acquired during the exercise.

Discussion Questions:

• Is the innovation being introduced feasible (i.e. social, technical, economic and market, environmental, political)?

• Who are the experts/ specialists that can be tapped in relation to the innovation being introduced?

KEY LEARNING POINTS

1. Significance of sharing innovations to market actors

- Confirm and validate the innovation(s) in terms of the fit to users and market, correctness of the information generated and process of analysis, soundness of observation and assumptions

- Get further feedback and suggestions for improved feasibility

- Increase awareness of market and supply chain actors, and fuel interest for possible collaboration

2. The value of innovation is most observable after it has been packaged and the results delivered; and not while it is still a concept. Thus, value is not yet the subject of initial testing. But costs must already be accounted for. These are basic in the initial feasibility analysis.

SUGGESTED EXERCISE

Participants may be asked by the facilitator on:1. How the innovation will be made feasible and sustainable. They can enumerate the needed steps/methods that they will use; and2. What are the benefits of the innovation to the market/users; and how can these be delivered?

ECSFBS 95

Session 6Presenting and Sharing Innovations with Chain Actors

OBJECTIVES

DURATION4 hours

At the end of the session, the participants will be able to:

1. share field-tested innovations with existing and potential chain actors and stakeholders; and

2. generate feedback and suggestions to further improve the innovations

TOPICS

TOPIC METHODPresentation of field-tested innovations

Presentation, testimonials, promotional activities, display of sample products and posters, media coverage

Discussion with other actors and stakeholders to solicit feedback and suggestions

Panel discussion, group exercises, feedback forms

Building chain-wide consensus on priority innovations as basis for business development

Group discussion, group exercises, setting up meeting kiosks/corners (participation of potential users/markets, input suppliers, service providers for feedback)

Post-event assessment and planning for post-FBS support

Group discussion

NOTE TO FACILITATOR

This is a crucial evaluative process, and should expose the group to some participatory self-assessment exercise that should be enriched by the experiences and outputs

96 ECSFBS

of the sharing event. The output of this exercise is a post-FBS action plan, which should include a sustainability provision.

Conduct of Stakeholders’ Consultation Meeting

Prior to this activity, make sure that the group that is presenting is prepared to answer and at the same time, prepared with the data and information needed during the discussions. Also, make a strategic choice of who and what organizations to invite during this event. This event is an opportunity for the farmers to establish collaboration with potential partner/s.

Discussion Questions:

• How ready/willing are the other chain actors in adapting the newly introduced innovation/s?

• How can the chain reach consensus on priority innovations?

•How can the shared innovation be used for further improvement and be sustained?

KEY LEARNING POINTS

Evaluation is the process of determining the usefulness or the value of an activity, exercise, or of the product. As a tool, it helps in assessing whether targets are met, resources used as planned, and why; and in providing feedback, ideally from different sources, to enhance next stage planning and improve implementation.

An evaluation of an activity immediately after its conduct enhances the learning process as the activities and results are still fresh in participant’s memories, thus adding to the richness of discussions.

Using the result of evaluation to guide planning and implementation of similar activities in the future enhances chances of success by avoiding the don’ts and replicating the dos.

ECSFBS 97

SUGGESTED EXERCISE

The sharing event is called the “Stakeholder’s Validation Workshop” where the FBS group presents the results of the testing of innovations. This can be a product prototype, or the experience of a service/trading business such as collective marketing scheme. The purpose of the sharing event is to present the prototype and elicit feedback in order to further improve the enterprise innovation(s).

Chain actors such as farmers, input suppliers, target markets/ consumers, logistics providers are invited. Aside from the main chain actors, stakeholders such as existing and potential business support service providers, agency and LGU partners will be joining this workshop. Results will be processed after the activity. This should enable the FBS group to learn how to continuously improve and innovate; and further improve the initial prototype in preparation for the business launch.

In case of more than one FBS group, the stakeholders’ workshop is best organized as a common activity to optimize the presence and contribution of stakeholders, as well to enable the FBS groups to learn from each other.

98 ECSFBS

This module aims to develop business plans to make use of new market opportunities by building on innovations and developing strategies for enhancing farmers’ access to and use of business development support (BDS) services.

M O D U L E

Business Planning and Accessing Business Support Services

ECSFBS 99

Session 1Introduction to Business Planning

OBJECTIVES

DURATION4 hours

TOPICS

TOPIC METHODDefinitions and concepts in business planning

Lecturette, group discussion

At the end of the session, the participants will be able to:

1. describe the concepts and business planning process; and

2. identify the steps in enterprise planning.

Presentation of Business Planning

The facilitator will describe and give examples of a business plan.

Discussion Questions:

• What is a business plan?

• How useful is a business plan for smallenterprises?

• How can a business plan be made flexibleto changes in the market situation?

KEY LEARNING POINTS

1. Planning in plain, simple language is thinking ahead. In business, it is thinking ahead of objectives, strategies, financing, marketing, profit prospects and growth possibilities. However, business planning should be realistic. This means planning is based on available resources and is responsive to the needs of markets

100 ECSFBS

and consumers. Otherwise, planning is no different from dreaming.

2. Why Plan? Business without planning is risky if not downright wasteful. Business planning involves the attainment of goals and the ways to accomplish such goals. A time frame is needed in attaining goals.

3. Business planning is a continuous process until consumer satisfaction is maximized and sustained. Consumer’s satisfaction requires planning. This should be properly planned because consumers’ satisfaction leads to business stability and growth. In financial language, consumer satisfaction is profit.

4. Putting up a business is not a game of chance. It is not a win or loss activity. However, there are always risks in business. Some of these can be avoided. Others cannot be avoided like natural calamities, but their effects can be minimized.

5. Benefits from writing a business plan

- Eliminates business risk because it carefully studies the competence, interest and resources of the entrepreneur against the needs of consumers, together with the presence of the competitor.

- Minimizes costs of production. Resources are properly used and scheduled according to plan. Planning also eliminates the risk of losing money on a poor business idea.

- Detects the weakness of the business operations.

- Programs activities in advance, and determines financial requirements.

- Evaluates actual performance; sets targets, especially in terms of sales, cost and profits; and provides a basis for approaching a financial institution for loans, which is a common pre-requisite for such.

Refer to the business plan format. Recount briefly the different parts of a business plan then refer to which module information may be taken to input to the different parts of the business plan.

The following exercise is for the Marketing Plan. After the exercise, the facilitator explains that the other parts can be

ECSFBS 101

accomplished with the help of a resource person or business service provider. Below is suggested exercise just to give the participants a feel of the process of planning, i.e., the marketing plan.

SUGGESTED EXERCISE: “Potato went to town”

Objective

At the end of the exercise the participants should be able to prepare a marketing plan.

Materials

• Colored papers• Marker pens• Paper tape

Duration

1.5 to 2 hours Steps

1. Divide the participants into five groups to represent the following: farmer and the potatoes; trader/consolidator; trader-retailer, the consumer; and a representative of other market characters.

2. Let the farmer-potatoes group brainstorm on how to sell the potatoes; the trader/consolidator on how to acquire and sell the potatoes; trader-retailer, on how to acquire and sell the potatoes, the consumer group, on how to buy the potatoes at the best bargain; and the other market characters on how to act in the market.

3. Allow 20 minutes for the groups to brainstorm on how each group of chain actors will act and play their parts. Let them use the colored papers, markers and other materials to innovate.

4. Allow for 15 minutes presentation

5. Process the presentations by relating them to marketing concepts and strategies

6. The exercise may end at this point, or the facilitator may continue by having the groups prepare a marketing plan of the group business agreed in 5.1.

102 ECSFBS

7. Allow the group 30 minutes to brainstorm and write their marketing plan

8. Let a representative of the group present the group output. Allow 10 minutes each per group presentation

9. Synthesize presentations by integrating group outputs to come up with a marketing plan. The marketing plan could be summarized as:

To sell…… This will be accomplished by ……. The target market will be…. Marketing tools to be utilized will be a combination of….. The niche to be occupied is …. The group identity will be commitment to customer satisfaction, reliability…. ----- percent of sales will be allocated to marketing.

Session 2Writing the Business Plan (ESP and practitioners)Output: Business Plan (Original module prepared by JovySim of Benguet State University.)

OBJECTIVES

DURATION4 hours(followed by activities for the field and/or writeshop that were agreed upon)

TOPICS

TOPIC METHODWriting of a business plan Brainstorming, writing

At the end of the session, the participants will be able to:

1. appreciate the importance of a business plan; and

2. undertake the different steps or activities in preparing the business plan.

ECSFBS 103

NOTE TO FACILITATOR

The writing of the business plan itself maybe commissioned, or done by the facilitator with local partners using the outputs of the modules: 1-4 with the addition of relevant data or information

Actual writing of the business plan

Discussion Questions:

• What are the parts of the business plan? Kindly present examples.

• Where does one get the information/data needed for each part?

• How is business planning done?

• How does it relate to the first modules in the FBS?

• How can business planning be facilitated among small entrepreneurs?

KEY LEARNING POINTS

Steps in Business Planning

1. Idea generation and opportunity identification It is important to point out that you should open your mind to all the opportunities that you see so that you will be able to explore all possibilities, processed used in this is brainstorming.

2. Informal screeningFrom the list of ideas and possible opportunities to be pursued, select about 10 project ideas and continue the screening process until you are down to three- the best three.

3. Analysis of the situationIn analyzing a situation, there are two major considerations; the resource analysis and environmental analysis.

104 ECSFBS

a. Resource analysisThese resources are known as the 7 “Ms”; money, materials, manpower, machines, methods, management, moment (time). These resources determine strengths and weaknesses of the business/organization. Strengths are an internal factor that positively affects/help the enterprise. Weaknesses are internal factors that negatively affect the enterprise.

b. Environmental analysisThere are many factors / conditions in the environment which can affect the enterprise or business that you are planning to setup. Factors which have positive effects to your business may be considered as opportunities. Factors that will affect your business negatively are known as threats. Things in the environment which may either be opportune or threatening to prospective business:

- Economic situation - Socio-cultural environment - Technological environment - Political environment - Peace and order situation - Physical climate - Availability of infrastructure facilities - Population trends - Other environmental factors

Recognizing the OPPORTUNITIES and THREATS will facilitate the preparation of action plans and enable one to take advantage of the opportunities and minimize the threats.

c. Value analysisDoing this requires the would-be entrepreneur to examine his aspirations or vision and mission about the business. It also represents the kind of satisfaction the firm wishes to provide its customers. Resource analysis will tell us what the business is capable of doing at the start of the business; it indicates what a company CAN DO; environmental analysis will tell us what the company MAY DO and value analysis will tell us what the company WANTS TO DO.

ECSFBS 105

106 ECSFBS

Parts of the Business Plan

1. Executive SummaryThis section is the summary of the business plan. It includes the capital requirement/ total project cost, and expected output, profits and losses.

2. Market PlanIn preparing the market plan, study the existing situation in the market. Is there a good demand for your product or service? How many competitors are there in the market? What are the competitors doing in terms of product or service lines, their promotional activities, the middlemen who are handling their products and pricing? Who are your customers? Are they interested in the existing product or service?

After knowing what the competitors are doing, the next step is to estimate the supply and demand, literally counting the volume produced by the different suppliers as against the volume needed by the buyers. If the volume produced by all known suppliers is more than the volume required by buyers, then do not enter this type of business. On the other hand, if the volume supplied is less than what is needed by the buyers, then the business offers good market opportunity.

If the prospective entrepreneur sees good opportunities to go into the business he/she has in mind, then he/she should now prepare a detailed marketing plan. The marketing plan will show the target market or the specific group of customers the business wishes to serve.

Components of Market Plan

- Product: product description and packaging that will be used

PRODUCT DESCRIPTION PACKAGINGMaterial Size

- Promotional Activities: means of advertisement to be employed

ACTIVITY COST/ UNIT TOTAL COST

ECSFBS 107

Place/Channel of Distribution: where will the product be distributed or where will it be displayed

Price: from farm gate or factory price

Projection (Sales): given the price and marketing strategy, you can now make projections on sales.

After the marketing plan has been prepared, you are now ready to prepare the production plan.

3. Production PlanProduction plan is derived from the marketing plan. Your projection on volume to be sold is your basis in estimating requirements on raw materials, equipment needed, labour requirement and utilities.

Components of Production Plan

- Production specification: identify the ingredients that are required to make the product, the quantity and the way products are packed and sizes per pack.

- Production process: describe the different steps to make the product. The production process is presented with the use of the process flow chart.

PRODUCT MONTHSJ F M A M J J A S O N D

108 ECSFBS

- Product machinery and equipment: the equipment needed to produce the estimated volume will be presented in this section. It is suggested that this will be presented in a table.

Total cost of equipment will be needed in estimating total project cost and depreciation in financial analysis. Depreciation represents the decrease in the value of assets/durable properties as a result of normal wear and tear, obsolescence, etc.

To compute for the depreciation cost you can use the straight line method which is the simplest method and is applicable to assets that constantly used.

Annual Depreciation = Cost – Salvage value Useful life/life span

Cost: acquisition cost of equipment

Useful life: expected number of years the equipment will be used

Salvage value: equipment’s value at the end of its useful life

ExampleThe depreciation of an equipment that costs P30,000.and estimated to last for 10 years with salvage value of P2,000 is:

Annual depreciation (AD) = P30,000- P2,000 10 = Php2,800

- Supplies and materials: discuss the supply situation of these materials, like where and when are they available. Some materials are seasonal and some are not, thus, the production schedule should coincide with the seasonality of supply.

EQUIPMENT DESCRIPTION QTY UNIT PRICE

TOTAL COST

DEPRECIATION

ECSFBS 109

Total cost of equipment will be needed in estimating total project cost and depreciation in financial analysis. Depreciation represents the decrease in the value of assets/durable properties as a result of normal wear and tear, obsolescence, etc.

To compute for the depreciation cost you can use the straight line method which is the simplest method and is applicable to assets that constantly used.

Annual Depreciation = Cost – Salvage value Useful life/life span

Cost: acquisition cost of equipment

Useful life: expected number of years the equipment will be used

Salvage value: equipment’s value at the end of its useful life

ExampleThe depreciation of an equipment that costs P30,000.and estimated to last for 10 years with salvage value of P2,000 is:

Annual depreciation (AD) = P30,000- P2,000 10 = Php2,800

- Supplies and materials: discuss the supply situation of these materials, like where and when are they available. Some materials are seasonal and some are not, thus, the production schedule should coincide with the seasonality of supply.

ITEMS QTY COST/UNIT TOTALCOST

BALANCE

- Production schedule. The production schedule is based on the production process flow chart. Production schedule could be prepared for a day, a week or month depending on the kind of enterprise.

110 ECSFBS

- Manpower requirements. Determine your manpower requirements including the skills required.

- Production utilities. Describe the utilities such as water and light with corresponding cost.

- Location and production layout. The location and layout of business area are presented in drawings.

- Waste disposal method. Describe how the waste will be disposed. Where will the biodegradable and non-biodegradable be disposed?

ACTIVITY J F M A M J J A S O N D

POSITION NUMBER DUTIES BASICSALARY

ANNUALSALARY

PARTICULAR COST/UNIT/MONTH COST/ YEAR

Water

Electricity

4. Organizational PlanThe organization plan follows the marketing plan and the production plan. In writing the organization plan, the first thing to do is describe the form of ownership of the business (sole proprietor, partnership, cooperative and corporation). Next is preparing the organizational structure using an organizational chart, with the four functional areas reflected: marketing, production, finance and administration. The organizational chart is a useful tool to indicate the hierarchy or the level of authority, that is, who is responsible for whom and who reports to whom. At the same time the chart visually presents the different tasks, grouped or divided among the various personnel (UP ISSI and SERDEF, 1997).

ECSFBS 111

Describe the duties and responsibilities of all those involved in the business, including qualifications, task, corresponding salaries and benefits, and the number of personnel required. Present the pre-operating activities through a Gantt Chart, a listing of pre-operating activities with the corresponding timetable of accomplishment and cost.

4. Financial PlanThe financial plan translates into monetary terms the various plans you have for the business. From the market plan get data/information on sales and marketing expenses, from production and organizational plan you get information on expenses, and others. From these varied data you can compute whether your business can make money or not.

Components of the financial plan:

• Total project cost: made up of the following items: total fixed assets which include building, land and equipment used in the business, working capital which refers to the total amount of funds you need to pay for materials and supplies, labor and utilities needed in production and pre-operating expenses such as registration fees and other expenses incurred before business operation.

• Sources of financing: this section of the financial plan will simply indicate where the funds for the business will come from. This presupposes that the proponent has determined the total project cost. Sources may come from equity (from the proponent or from partners), or borrowed from friends, relatives, friends or from formal sources such as banks and these sources are referred to as creditors.

112 ECSFBS

• Financial statements such as the Income Statement (IS) or also referred to as Profit and Loss Statement (P&L), Balance Sheet, and Cash Flow Statement. Income Statement presents details regarding sales and expenses incurred or will be incurred by the business as of a given date. Balance sheet presents details of what the business owns (assets) and its value. It presents the equity contributions of owners and liabilities to creditors. Cash Flow Statement presents in detail the projected cash expenses and disbursements for a given period.

In financial planning, all the statements prepared are projections or expectations of what the enterprise intends to sell or spend, how much will be the asset worth, and how much will be put into the business in terms of owners’ equity and borrowed from creditors.

• Financial analysis: basically consists of computations of profitability, liquidity and marketability of the enterp rise based on the information from the income statement and balance sheet. In business planning, the financial analysis will determine if the project/business will be implemented or not.

• Break-even analysis: this is very important in determining the output or yield that should be obtained in order to recover variable cost incurred. Output and output price vary across time and location. Results from actual operation condition may not always be similar with those obtained from secondary data or experiments. Hence, the need to calculate the minimum output and output price that would enable the producer to recover at least the variable costs incurred.

Break-even yield or output refers to the yield/output required to recover the variable costs incurred in production at given input and output prices.

ECSFBS 113

How to compute break-even output or yield?

Example:

Given: RAVC = P70,000.00 TVC = P90,000.00 P = P100.00

Where: RAVC = return above variable costTVC = total variable costP = output price

To compute break -even yield or output (BY):P x BY = TVC +RAVC BY = TVC + RAVC P = P90,000.00 + P70,000.00 P100.00 = 1,600 kg

114 ECSFBS

ECSFBS 115

• Social-Cost Benefit Analysis– requires you to look at the benefits and the costs that will accrue to society in general if your prospective business is established. Examples of benefits include employment generated, and taxes to the government. Likewise, the costs of damage to the people and environment adversely affected by the business are also quantified.

Session 3Financial, Research and Extension, and Legal Support Services

OBJECTIVES

At the end of the session, the participants will be able to:

1. identify sources of financing to support the business plan;

2. prepare proposals for accessing financial resources;

3. apply practical knowledge and skills in financial management;

4. identify and access services for financial management support;

5. determine needs for research and extension support in implementing business plans; and

6. identify and contact service providers of relevant research and extension support

DURATION8 hours

116 ECSFBS

TOPICS

TOPIC METHOD

Financial requirements to implement business plans

Presentation, group discussion

Type and availability of sources for external financing

Presentation, group discussion

Procedure, guidelines and conditions in applying for external financial assistance

Group discussion, group exercise

TOPIC METHOD

Financial literacy Presentation, group exercise

Practical record/bookkeeping

Presentation, group exercise

Accounting and reporting Presentation, group exercise

Services and capacity building support

Presentation, group exercise

TOPIC METHOD

Research and extension support to farmer-group business: needs andopportunities

Presentation, panel discussion, group discussion

Introduction to service providers of research and extension support

Presentation, panel discussion, group discussion

This session can be divided into three sub-sessions:

Subsession A - 2 hours

Subsession B - 4 hours

Subsession C - 2 hours

ECSFBS 117

Panel discussion with potential BDS providers depending on the identified needs of the group

During this session, representatives from different agencies/offices who provide support services can be invited to talk about the area of cooperation between their office and the participants. These agencies will present their mandates and functions and the support services that they can offer to the farmer groups.

Session 4Critiquing and Improving Business Plan

OBJECTIVES

At the end of the session, the participants will be able to:

1. present draft business plans and generate suggestions forimprovement from chain actors and stakeholders; and

2. revise business plans based on suggestions received

DURATION4 hours

TOPICS

TOPIC METHOD

Presentation and discussion of draft business plans

Presentation, group discussion

Revision of business plans Group exercise

118 ECSFBS

Presentation and critiquing of business plans

The draft business plan shall be presented and discussed with the identified members of the panel. Participants shall be ready to defend tothe panel what has been written in the business plan. It is important that they are familiar about the details of the business plan in case the panelasks for some explanations.

Discussion questions:

• Is the business plan open to potential changes?• Who are the members and what aretheir qualifications as to be included in the critiquing panel?

SUGGESTED EXERCISE: Business Cafe

Desk review: Submit business plans to experts for technical inputs then validate with the group prior to finalization.

Panel review: Invite a panel of stakeholders and let the group present the business plan for review.

Objective

At the end of the exercise the participants should be able to evaluate and critique the business plans presented.

Materials

• Big sheets of Manila paper• Colored marker pens• Paper tape

Duration

2 hours Steps

1. Prior to the exercise, divide the group into 5 and assign to them the different components of the business plan (Introduction: business name, location, slogan, vision; Marketing plan; operations or production plan, organizational plan and financial plan. Let each group write on large sheets of paper a summary of the business plan component assigned to them.

ECSFBS 119

2. During the session, post on the walls of the session room the worksheets of the groups and assign the members to stand by their worksheets and present them to invited stakeholders/technical/business people for comments and improvements. The invited evaluators will make their rounds of the group worksheets, interact with the members of the group and provide feedback, as to the following:

3. Collate feedback and synthesize suggestions and present in a plenary session for validation and integration into the final business plan.

a. Visionshould be well communicated, clear and concise

b. Marketing planclearly defined market, clear market demand, defined product positioning in terms of its advantage over existing products as to price, quality, appearance, benefits, ease of purchase, etc.

c. Operationsworkable operations and strategy, with well-defined personnel capability/requirement

d. Financial Viability realistic financial projections, reasonable assumptions

Special ActivityLaunching of New Businesses

OBJECTIVES

At the end of the session, the participants will be able to:

1. showcase the businesses and innovations resulting from the FBS;

2. share experiences and outcomes of their FBS participation; and

3. establish and strengthen contacts with other market chain actors and stakeholders.

120 ECSFBS

DURATION8 hours

TOPICS

TOPIC METHOD

Presentation of FBS-derived businesses and innovations

Presentation, testimonials, promotional activities, display of sample products and posters, media coverage

Review and evaluation of FBS experiences and outcomes

Presentation, testimonial, panel discussion, use of evaluation/feedback sheets

Establishing and strengthening chain- wide contacts

Preparation and distribution of a directory of chain-wide actors and stakeholders

KEY LEARNING POINTS

What is a business launching?

The business launching is a one-day or half-day event that provides a venue for the FBS participants to showcase their products through different promotional activities. The event is an opportunity for market promotion because other market chain actors and investors are present and they are the ones who will buy in the businesses. It is the ideal venue for market encounter.

The FBS launching is a venue for product launching. A successful product results to an immediate route to innovation to market and market to recouping investment (cost of innovation). A product launch may also provide an early indication of the product’s performance in the market.

The objectives are as follows:

1. To present and share FBS outputs with value chain actors and stakeholders;

ECSFBS 121

2. To launch and promote new business/es and product/s from the FBS; and

3. To develop and agree on an action plan for further business development.

The outputs of the launching are:

• Business launching event conducted • Business enterprises introduced • Products/innovations promoted • Action plans (next steps) for business development

To provide an overview of the FBS launching, it can be comprised of several activities such as:

• Business pitch • Exhibits of posters and sample products • Product testing/demo • Product selling • Feedback forms • Promotional gimmicks • Goody bags (take-home)• Business directories and cards• Side meetings (discussions/negotiations)• Media

The target participants of the business launch are:

• Representatives of business/FBS groups• VC actors• Target customers and consumers• BDS providers• VC stakeholders• General public

Some considerations in planning an FBS business launch are: (1) Timing; (2) Venue; (3) Participants/audience; (4) Event materials; (5) Event promotion; (6) Roles/task assignments and (7) Budgets/resources. The business launch needs time for preparations to be made. The participants should plan well at least two months before the event to ensure that their products will be available.

122 ECSFBS

SUGGESTED EXERCISE 1: Business Pitch

Objective

To encourage participants to promote their product within a limited time through a stand-up oral presentation.

Duration

1 minute Steps

1. Each group prepares a short script about their product. This will include the following information:

a. What is the product and its key features?b. Why should consumers buy it, and for what benefits?c. Who produces the product?d. Where can the products be purchased?e. Where/from whom can consumers get more info about the product?

2. Each group will then present their pitch in a one-minute oral presentation to the plenary. The group must assign one representative to do the oral presentation.

3. The facilitator asks for comments for improvement from the other participants.

4. The facilitator also provides helpful ti ps on how to make an effective presentation.

ECSFBS 123

SUGGESTED EXERCISE 2: Dream Up

Objective

Allow participants to brainstorm how they plan to respond to Key Questions about their business.

Materials

• Pens and markers• Manila paper• Adhesive tapes

Duration

40 minutes Steps

1. Break participants into small groups. Allow groups to find quiet places to work where they are not disturbed by other meetings.

2. Remind participants of the ground rules for brainstorming sessions: be open to new ideas; be respectful; give each other time to talk; piggyback ideas; keep criticism constructive; agree to disagree.

3. Ask each group to spend 20 minutes going over the points on handout.

4. At least one person should be designated to record responses. Allow the participants to put their initial ideas on paper and make sure that every member of a business plan team gets involved.

5. Business plan team members should attempt to come to some agreement as to how they will present each point.

6. After business plan teams have met, the participants should return to the larger group.

7. Call on one member of each group to share the group responses with the rest of the participants.

8. Starting with the first group, ask for the responses to each question, which the participants can read from the sheet.

9. Pausing after about every three questions, the facilitator should ask the other members of the group to comment, offer suggestions, add information, etc.

124 ECSFBS

10. Once the team has finished receiving feedback, another team should take its turn. It is to allow each team to receive feedback from club members and the facilitator before moving forward.

NOTE TO FACILITATORAside from the activities presented earlier, participants may also explore the following approaches:

• Draw• Role play• Pantomime• Puppet show• Reporting

SUGGESTED EXERCISE 3: Product Display

Objective

Allow the participants to promote and market their products.

Materials

• Products • Tables/booth• Promotional materials of the product

Duration

1 day Steps

1. Plan for the time, date, strategic place for the product display and the people to be invited.

2. Set up the products in such a way that the consumers will be attracted and informed.

ECSFBS 125

3. Distribute promotional materials of the product and contact details to the consumers.

4. Explain the benefits of each product, what is unique about the product, etc. Make sure that all information about the product is complete and well packaged.

NOTE TO FACILITATOR

Suggested product display methods:

• Audio-visual presentation of the product• Free taste• Free wall for comments and suggestions

SUGGESTED EXERCISE 4: Market encounter

Objective

Allow the participants to promote and market their products.

Materials

• Products • Tables/booth• Promotional materials of the product

Duration

1 day Steps

1. Assign somebody to stay and assist in the booth.

2. Set up the products in such a way that the consumers will be attracted and informed.

3. Allow guests to roam around and allow them to ask questions or comment on the product.

126 ECSFBS

4. Distribute promotional materials of the product and contact details to the consumers.

5. Explain the benefits of each product, what is unique about the product, etc.

Special ActivityPost-FBS Support

OBJECTIVES

At the end of the session, the participants will be able to:

1. monitor business performance and manage continuing challenges and opportunities; and

2. prepare and implement longer-term business plans.

Follow-up learning activities are organized to provide continuous capacity building support to FBS participants.

DURATION8 hours

TOPICS

TOPIC METHOD

Monitoring of businesses, support services and external business environment

FBS alumni reunion Seminar series on special topicsMentoring/coachingBusiness promotions and

networking

ECSFBS 127

TOPIC METHOD

Managing business challenges and opportunities

FBS alumni reunion Seminar series on special topicsMentoring/coachingFacilitating

implementation of long-term business plans

KEY LEARNING POINTS

The topics may include:

1. Monitoring of businesses, support services and external business environment;

2. Managing business challenges and opportunities; and

3. Facilitating implementation of long-term business plans.

SUGGESTED EXERCISE 1: FBS Alumni Reunion

Objective

To monitor and update on the progress of the post- FBS implementation

Materials

• Venue • Food and accommodation arrangements

Duration

Half day or 1 day Description

The FBS alumni reunion aims to provide a venue for the FBS graduates/groups to share their experiences and exchange thoughts on the progress of their businesses. It could be organized formally by arranging FBS groups to report on their progress or through an informal sharing through poster presentations and product displays.

128 ECSFBS

SUGGESTED EXERCISE 2: Special Topic Seminar

SUGGESTED EXERCISE 3: Mentoring and Coaching

Objective

To provide continuing capacity building support to the post-FBS groups

Materials

• Venue • Food and accommodation arrangements

Duration

Depends on required inputs Description

This could be done at the FBS sites by inviting resource persons or this can be organized to cater to a number of FBS groups. The topics will depend on the request of the FBS groups.

Objective

To provide continuing capacity building support to the post-FBS groups on site. Description

Mentoring and coaching may be done during on-site visits of a resource person to provide requested capacity building support to the FBS group/business. This can include lectures and discussions on special topics.

ECSFBS 129

SUGGESTED EXERCISE 4: Post-test

Objective

To measure and compare FBS participants’ knowledge in marketing and business concepts before and after the FBS course.

Presentation of BP to the Stakeholders (Barangay/Municipal-LGU and other funding agencies)

*Reinforcing BP through Policies in Business i.e. crafting policies that are environmentally conscious in support to the business (waste management, once a week purchase of gas, multi cropping if OA, add resilient strategies – mixed cropping)

130 ECSFBS

ReferencesAgricultural Training Institute. Climate Change 101: Understanding Climate Change in Agri-Fisheries. an e-Learning course developed and administered by the Agricultural Training Institute. www.e-extension.gov.ph/elearning

Calasagsag, Joeven C.; Miral, Charissa N.; and Pauig, Yovina-Claire A., October 2018. Maximizing the e-Extension Program for Agriculture and Fisheries to Foster Climate Change Awareness and Understanding in the Philippines. Development Academy of the Philippines, 3/F DAP Building, San Miguel Avenue, Pasig City.

DA-CHARMP2 and CIP-FoodSTART. 2014. Farmer Business School: Facilitator’s Manual. Department of Agriculture – Second Cordillera Highland Agricultural Resource Management Project and International Potato Center – Food Security Through Asian Roots and Tubers Project. Manila, Philippines . 124 pages.

Enhanced Climate Smart Farmer Business School for the Highlands

A Guide for Trainers and Facilitators