AGRICULTURAL DEVELOPMENT CORPORATION

“Sustainable Agricultural Resource Development”

STRATEGIC PLAN

2019/2020 -2023/2024

December, 2019

ii

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

LIST OF TABLES -------------------------------------------------------------------------------------- v

LIST OF FIGURES ------------------------------------------------------------------------------------- v

ABBREVIATIONS AND ACRONYMS ----------------------------------------------------------- vi

FOREWORD --------------------------------------------------------------------------------------------- vii

PREFACE ------------------------------------------------------------------------------------------------ viii

EXECUTIVE SUMMARY ---------------------------------------------------------------------------- ix

CHAPTER ONE: INTRODUCTION ------------------------------------------------------------- 1

1.1 Background and Mandate ----------------------------------------------------------------- 1

1.2 ADC’s Role in Kenya’s Agricultural Development ----------------------------------- 1

1.3 Methodology of the Strategic Plan Preparation ---------------------------------------- 2

CHAPTER TWO: THE AGRICULTURAL SECTOR IN KENYA ----------------------- 5

2.1 Background and Performance of the Sector -------------------------------------------- 5

2.2 Key Trends in Agriculture ------------------------------------------------------------------ 6

2.3 National Priority Areas in Agriculture and Livestock ------------------------------- 8

2.4 Role of ADC in the Food Security and Nutrition Programme and Other

National Initiatives --------------------------------------------------------------------------- 11

CHAPTER THREE: AUDIT OF THE PAST STRATEGIC PLAN PERFORMANCE -- 13

3.1. Achievements ---------------------------------------------------------------------------------- 13

3.2. Challenges --------------------------------------------------------------------------------------- 14

3.3. Lessons Learnt --------------------------------------------------------------------------------- 14

CHAPTER FOUR: ENVIRONMENTAL OUTLOOK --------------------------------------- 17

4.1. Political Factors -------------------------------------------------------------------------------- 17

TABLE OF CONTENTS

iii

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

4.2. Economic Factors ----------------------------------------------------------------------------- 17

4.3. Social Factors ----------------------------------------------------------------------------------- 17

4.4. Technological Factors ------------------------------------------------------------------------ 17

4.5. Environmental Factors ----------------------------------------------------------------------- 17

4.6. Legal Factors ----------------------------------------------------------------------------------- 18

CHAPTER FIVE: STRATEGIC ANALYSIS ------------------------------------------------ 20

5.1. SWOT Analysis -------------------------------------------------------------------------------- 20

5.2. Stakeholder Analysis ------------------------------------------------------------------------ 22

5.3. Competitor Analysis ------------------------------------------------------------------------- 26

CHAPTER SIX: STRATEGIC DIRECTION ----------------------------------------------- 31

6.1. Mandate ----------------------------------------------------------------------------------------- 31

6.2. Vision -------------------------------------------------------------------------------------------- 31

6.3. Mission ------------------------------------------------------------------------------------------ 31

6.4. Core Values ------------------------------------------------------------------------------------ 31

CHAPTER SEVEN: STRATEGIC THEMES AND OBJECTIVES ----------------------- 34

7.1. Themes ------------------------------------------------------------------------------------------ 34

7.2. Objectives --------------------------------------------------------------------------------------- 34

7.3. Sustainability Balanced Scorecard (sBSC) ---------------------------------------------- 34

7.4. The Proposed Strategic Themes and Objectives --------------------------------------- 34

CHAPTER EIGHT: THE CORPORATE STRATEGY -------------------------------------- 41

CHAPTER NINE: IMPLEMENTATION PLAN ---------------------------------------------- 45

9.1. Implementation Matrix ---------------------------------------------------------------------- 45

9.2. Annual Work Planning ---------------------------------------------------------------------- 45

iv

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

9.3. Budgeting --------------------------------------------------------------------------------------- 45

9.4. Communication of the plan ----------------------------------------------------------------- 45

9.5. Financing the plan ---------------------------------------------------------------------------- 46

9.6. Corporation Structure ------------------------------------------------------------------------ 46

9.7. Risk Analysis and Critical Assumptions ------------------------------------------------- 46

9.8. Monitoring and Evaluation Plan ---------------------------------------------------------- 46

9.9. Cascading Framework ----------------------------------------------------------------------- 48

CHAPTER TEN: CONCLUSION ----------------------------------------------------------------- 50

APPENDICES ------------------------------------------------------------------------------------------- 51

APPENDIX I: Implementation Plan Matrix -------------------------------------------------------- 51

APPENDIX II: Projected Outcomes as per ADC Schedule --------------------------- ------------- 69

APPENDIX III: Projected Performance and Funding Sources ----------------------------------- 71

APPENDIX IV: ADC Organization Structure ----------------------------------------------------- 86

APPENDIX V: Strategic Planning Team ---------------------------------------------------------- 87

v

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

LIST OF TABLES

Table 5.2.1: Stakeholder Analysis ------------------------------------------------------------------ 23

Table 5.3.1: Competitor Analysis ------------------------------------------------------------------ 26

Table 7.4.: Strategic Themes and Objectives ---------------------------------------------------- 35

2.2.1 Population Trend --------------------------------------------------------------------------------- 6

2.2.2 Population against Production Trend ------------------------------------------------------- 7

LIST OF FIGURES

vi

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

ADC - Agricultural Development CorporationAFC - Agricultural Finance CorporationAWP - Annual Work PlansCOMESA - Common Market for Eastern and Southern AfricaCS - Company SecretaryCSR - Corporate Social Responsibility DVS - Directorate of Veterinary ServicesEAC - East Africa CommunityERP - Enterprise Resource PlanningFC - Financial ControllerFY - Financial YearGoK - Government of KenyaHBDD - Head of Business Development DepartmentHR - Human ResourcesHTD - Head of Technical DepartmentICT - Information, Communication and TechnologyILRI - International Livestock Research InstituteKAGRIC - Kenya Animal Genetic Resource CentreKALRO - Kenya Agricultural & Livestock Research OrganisationKCB - Kenya Commercial BankKEBS - Kenya Bureau of StandardsKEPHIS - Kenya Plant Health Inspectorate ServiceM&E - Monitoring & EvaluationMD - Managing DirectorNBK - National Bank of KenyaNCPB - National Cereals and Produce BoardNEMA - National Environmental Management AuthorityODK - Object-oriented Database KitPC - Performance ContractPESTEL - Political, Economic, Social, Technological, Ecological and LegalPR - Public RelationsR&D - Research & DevelopmentRFID - RadioFrequencyIdentificationSACCO - Savings and Credit Corporative sBSC - Sustainability Balanced ScorecardVAT - Value Added TaxWIBA - Work,InjuryandBenefitsAct

ABBREVIATIONS AND ACRONYMS

vii

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

The Agricultural Development Corporation is one of the leading agricultural organisations in Kenya that plays a critical role in the development of agriculture

in the country. It ensures that Kenyan farmers have access to quality seed maize as the main grower in the country and the continued existence of livestock breeds and supply of quality livestock to the Kenyan farmers at affordable prices. The Corporation has continued to discharge its mandate as provided for under the Act of Parliament, Cap 444, which defines the roleof Agricultural Development Corporation (ADC) as promotion of agricultural development in Kenya.

The environment in which the Corporation operates has become increasingly dynamic. The Economic and Legal Environment have changed and brought new challenges, which have to be addressed. The global climate change has greatly affected food production in the country and hence ADC shall continuously respond to the dynamic environment to stay relevant and successful. It will have to embrace technology in its operations, retain theskilled staff, and play a leading role in delivery of the Government’s “Big Four Agenda”.

Asnoted, the Government has identified food andnutrition security as one of the “Big Four” initiatives and plans to undertake various new and innovative initiatives that will drive food and nutrition security between 2018 and 2022. This will be achieved through supporting enhanced large-scale production, small holder productivity and agro-processing and reduction in food prices.Key targets include increasing major food production by the year 2022.Increased production will be achieved through expansion of production areas, enhanced access to quality inputs (seed and fertilizer), irrigation, mechanization and post-harvest management. ADC being one of the mainGovernment-implementing agencies in the agriculture and livestock sectorin this country is expected to play a leading role

FOREWORD

in this endeavour. In view of this huge responsibility, ADC prepared a Corporate Strategic Plan at this time when the previous one ended in the second year of the MTP III of Kenya’s Vision 2030. The preparation of this Plan has been through a consultative process with many of its stakeholders whose input has been included in this plan.

This Corporate Plan outlines the Corporation’s Vision andMissionthusdirectingusindefiningwhereweareandwherewewouldliketobeinthenextfiveyearsthrough implementation of various strategies. The Corporation will now embark on an ambitious journey whereitexpectstobuildasustainablefinancialresourcebase by undertaking various initiatives, tremendously improve its stakeholder engagement, increase productivity, attain optimal resource utilization, build its internal capacity, increase innovation and improve its governance in line with existing frameworks such as Mwongozo. The corporation shall also enhance and undertake its business in a manner that preserves and conserves environment.

The ADC Board of Directors has pledged its commitment to the realisation of the goals and objectives set out in this plan. I look forward to diligent work by all in the Corporation and maximum support from our stakeholders so that we can work together towards ensuring that we realise our vision of “Being a global leader in Sustainable Agricultural Resource Development”.

H.E. Benjamin Cheboi, EBSChairman, Board of Directors

viii

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

PREFACE

The mandate of ADC as set out in the Agricultural Development Corporation Act, Cap 444, is to be the agricultural resource development in Kenya. This Strategic Plan is

being developed at a time when the government has identified food and nutrition security asone of the “Big Four” initiativeswhichfirst andforemost targets to enhance large scale production through large-scale commercial irrigated farming. The second major initiative involves driving small holder productivity through provision of incentives and targeted 1000 SMEs and creation of 500,000 to 1,500,000 jobs. The last major initiative will involve reduction of the cost of food through price stabilization and redesigning subsidy model to boost farmer production. This plan is aligned with the specific plans for food and nutritionsecurity under the economic pillar in the Third Medium Term Plan (MTPIII) of Kenya’s Vision 2030. The plan is also aligned with the Agricultural Sector initiatives.

This Strategic Plan reflects the aspirations ofthe Agricultural Development Corporation in delivering its mandate. It draws together the Vision, Mission and Values that drive the work of the Corporation and sets out the strategic themes, objectives, strategies and priority activities for the period 2019/2020-2023/2024. The Plan sets out the strategic direction for the Corporation during the entire period. It will guide management of the Corporation to ensure resources are utilized efficientlyandeffectively.

As the Corporation continues to carry out its work, it faces many challenges. Although it boasts of being a key player in agricultural

resource development, it has experienced declines in the natural resources coupled with financialconstraintsover theyears.Thenumberof public and private players in agricultural and livestock Sector has also increased over the years. Whereas ADC’s mandate is broad, its mandate of promoting the production of Kenya’s essential agricultural inputs, development of agricultural production in specific fields of production andparticipation in commercially viable activities of agricultural production has been realized in a limited manner over its lifetime.

It is against this background that the Corporation has developed this strategic plan. The Plan will guide the Corporation in addressing existing and emerging challenges and charting its way to grow Kenya’s agricultural and livestockSector. The Plan will also help the Corporation develop its capacity to work and improve performance.

Bythisplan,theADCreaffirmsitscommitmenttoits mission of promotion of commercially oriented agricultural resource development, enhancement of food and nutrition security and expansion of agricultural undertakings through production and supply of quality seed, livestock, biodiversity management, technological transfers and incubation of enterprises in a sustainable manner.

Mr. Mohamed M. Bulle Ag. Managing Director

ix

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

The Agricultural Development Corporation (ADC) is a Government Corporation whose function is to support Agricultural Sector in Kenya. ADC derives its mandate from the Agricultural Development Corporation Act, Cap 444. The Agriculture and Livestock Sector contributes on average 27 per cent to GDP, accounting for the largest share in GDP (Kenya Economic Survey 2017). The Sector provides critical supportive linkages to other sectors. It contributes approximately 75 per cent of industrial raw materials, 65 per cent of export earnings and 60 per cent of the total employment. Given its importance, the Sector is expected to play a significant role of ensuring food and nutritionsecurity as well as driving the Manufacturing Sector through the provision of raw materials. The main products in the Sector includes maize, rice and wheat production, which are a critical determinant of our food security, tea, coffee, cut-flowers,vegetables,fruits,nuts,herbsandspiceswhich are the main foreign exchange earners. In livestock, milk and beef production have remained our main products.

TheGovernmenthasidentifiedfoodandnutritionsecurity as one of the “Big Four” initiatives and targets to implement various initiatives geared towards realisation of food and nutrition security. First and foremost, it targets to enhance large scale production through large-scale commercial irrigated farming. The second major initiative involves driving small holder productivity through provision of incentives and targeted 1000 SMEs and creation of 500,000 to 1,500,000 jobs. The third and last major initiative involves reduction of the cost of food through price stabilization and redesigning subsidy model to

EXECUTIVE SUMMARY

boost farmer production. The Corporation has an important role to play in helping the realisation of aspirationsofKenyansasidentifiedintheVision2030, the Medium-Term Plan III (2018 – 2022), the Constitution of Kenya, 2010 and the SDGs.

In order to realise this aspiration, the Corporation will need to address various critical issues that have affected the agriculture and livestockSector in the recent past. With this in mind, the Corporation developed this strategic plan (2019/20-2023/2024). It builds upon the success of the previous strategic plan. The strategic plan charts the way forward for ADC over the next fiveyears.ThishasbeendonebyarticulatingtheVision, Mission, Core Values, StrategicThemes, Objectives and Strategies for the Corporation

Vision: To be a global leader in Sustainable Agricultural Resource Development

Mission: To promote commercially oriented agricultural resource development, enhance food and nutrition security and expand agricultural undertakings in a sustainable manner.

Core Values:

• Integrity and Professionalism

• Innovativeness

• Partnership with other Stakeholders

• Delivery of Quality Service

•Corporate Social Responsibility

•Team work

x

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

The Corporation has identified and prioritizedsix(6) strategicthemes for the strategic period; these include economic perspective, customer focus,internal business process perspective, capacity building and innovation, corporate governance and environmental sustainability. Based on the identified strategic themes,ninestrategic objectiveswere identified. Variousstrategies for realising each of the strategic objectives and respective implementation initiativeswerealsoidentified.

The first strategic objective involves buildinga sustainable financial resource base. Thiswill be achieved through implementation of various strategies which include engagement of government for funding, engagement of the private sector for partnerships, devolved financialmanagementtounitsandenhanceddebtmanagement. The Corporation will undertake various initiatives such as establishment and operationalisation of a standing committee to continuously engage with the Parent Ministry, theNational Treasury and private sector partners, negotiate and re-structure debts with key stakeholders, seek government support towards payment of old debts, develop and effective debt management policy among others.

The second strategic objective will involvecontinuous improvement of customer satisfaction within the next five years. Thestrategies for realising this objective will include provision of quality goods and services, continuously interact with customers, corporate image enhancement, increasing outlets for our goods and services, partnerships with other stakeholders and undertaking corporate social responsibility activities. These strategies will be realised through refresher courses for staff, continuous improvement of the quality of

products and services, improved storage and handling of products, increased channels for customer engagement as well as leveraging on technology in stakeholder engagement.

The third strategic objective will involve increasing productivity in all our enterprises through increasing yield per unit area, increasing milk yield per cow, increasing dairy and beef herd sizes, increased finished life weight andenhanced breeding in beef production. Key initiatives will include precision farming, timeliness in operations/supply of critical inputs, conservation tillage in all crop operations, irrigation, mechanization of operations not mechanized. Other major initiatives will involve ensuring good quality forage and concentrates, improvement of breeding stock, use of breeding technology and acquisition of more superior genetic animals, restocking, feed lotting, yearly beef herd inspections, as well as use of superior stud bulls and embryo technology.

The Corporation, in its fourth strategic objective seeks to attain optimum utilization of resource throughenhancedutilization of land and seed processingplant. Key initiatives will involve introduce cash crops in isolations areas, land reclamation and making hay in ranch land. The fifth strategic objective for the Corporationwill involve re-engineering business processes through enhanced use of ICT leading to automation of most of its processes. In order to realise the strategic objectives, key initiatives will involveenhanced use of ICT, developing ICT infrastructure, acquisition of computers and accessories, acquisition of an ERP system, ensure full electricity connectivity in the units and upgrade and maintenance of website,increasing the supply of raw materials and modernizing the seed processing plant.

xi

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

The sixth strategic objective for the Corporation will involve strengthening institutional capacity to be able to achieve its mandate. The key strategies for this objective will include development of human resource capacity, staff retention, organisational restructuring, improvement of work environment, development of monitoring, evaluation, review and controls tools as well as review of performance management systems. Key strategic initiatives will thus involve continuous professional development, skills development programmes, skills audits, reward, recognition and sanctions, salary reviews and promotions as wellasenhancementofnon-financial incentives.Other key initiatives for realisation of these strategic objectives will involve workload analysis, review of HR policies and procedures, reviewing the organizational structure, provision of working tools, protective clothing, and recreational facilities, operationalization of monitoring, evaluation, review and control systems, implementation of performance based reward, recognition and sanctions and performance contracts. The seventh objective will involve enhancement of research and development to achieve competitive advantage. This will be achieved through positioning of R&D functions by review of the organisation structure. The objective will also be realised through development of new products and services by improvement in the yield, quality and nutrition.

Institutionalisation of corporate governance mechanisms and culture will be the eighth strategic objective for the Corporation. This will be realised through corporate culture change management, staff reorganisation, enhanced compliance with Mwongozo, corporate communication, review of the corporation’s act and strengthening internal controls. Key strategic initiatives in this area will involve prudential financial management,

staff audit, review of the corporate organogram, review of employee remuneration, retention and succession plan. Board related initiatives will involve review of the board charter, undertaking annual board evaluation, carrying out board induction and training, review of audit and risk management framework. Other initiatives will involve formulation of corporate communication policies, and development of a communication flowchart.Inrealisingthisstrategicobjective,theCorporationalso seeks to draft amendmentsto the ADC Act subject it to initial public participation and present it to Parliament. The Corporation will also strengthen the capacity of the internal audit function.

Lastly, ADC will seek to conduct its business in a manner that preserves and conserves environment. Strategies for realising this strategic objective will involve seeking to achieve 1% forest cover in all its farms by practising agroforestry, protection of riparian areas, and adoptionofappropriatesolidandeffluentwastemanagement practices and establishment of mechanisms for green energy. Some of the key initiatives that will lead to realisation of these strategic objectives will involve, agro forestation, budget allocation for seeds and implements, establishment of environmental sustainability committees in every farm, recruitment of nursery attendants, enforcement of the 30m distance from the river banks, implementation of corporate environmental policy, construction of gabions, planting bamboos, desilting of dams and water pans among others.

xii

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

H.E. The President Hon. Uhuru Kenyatta presents a Trophy to Mr. Mohammed Bulle Ag. Managing Director ADC, for Exemplary Performance in Livestock Breeding contest during the Nairobi International Trade Fair At Jamhuri Grounds Nairobi.

H.E. The President Hon. Uhuru Kenyatta presents a Trophy to Mr. Mohammed Bulle Ag. Managing Director ADC, for Exemplary Performance in Livestock Breeding contest during the Nairobi International Trade Fair At Jamhuri Grounds Nairobi.

1

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

1. Background and Mandate

The Agricultural Development Corporation (ADC) origin can be traced to the pre-colonial period when the Government came up with the Swynnerton Plan. The Swynnerton Plan was a colonial agricultural policy that appeared as a government report in 1954 in Kenya, aiming to intensify the development of agricultural practise in the Kenya Colony.The plan was geared to expanding indigenous Kenyan’s cash-crop production through improved markets and infrastructure, the distribution of appropriate inputs, and the gradual consolidation and enclosure of land holdings.The Swynnerton Plan categorized all the land owned by the then Agricultural Settlement Trust which was allocated a number of farms which it could sell or lease to prospective buyers or tenants.The Settlement Fund Trustees was responsible to the Treasury for farms earmarked for settlement of landless people either for a fee or at a concessionary rate.Lands Limited was formed to be responsible for all farms which had been purchased by European Settlers after 1957. It was also given the responsibility of holding all land titles leased either to European or African farmers. The Agricultural Settlement Trust was later disbanded altogether and its functions taken over by the Agricultural Development Corporation through Lands Limited while the Settlement Funds Trustees was left to function under the then Ministry of Lands and Settlement.

The Agricultural Development Corporation is now a government Corporation whose function is to support Agricultural sector in Kenya. It was started in 1965 through an Act of Parliament Cap 346, to facilitate the land transfer programme from European settlers to locals following attainment

of the country’s independence. After the land transfermission,ADCfunctionwasredefinedtoinclude promotion of agricultural development in the country through initiation, assistance and expansion of agricultural projects and enterprises.

Presently, the Corporation derives its mandate from the ADC Act, Cap 444 which is to:

i. Promote the production of Kenya’s essential agricultural inputs as the Corporation may decide from time to time, such as seeds and pedigree livestock including hybrid seed maize, other cereal seeds, potato seed, pasture seed, vegetable seed, pedigree cattle, sheep, goats, pigs, poultry and bees.

ii. Undertake such activities as the Corporation may decide from time to time so as to develop agricultural production in specific fields ofproduction.

iii. Participate in activities of agricultural production which are commercially available.

iv. Participate in agricultural production which are related to primary and secondary functions of the Corporation and which in the view of the Corporation are commercially viable.

2. ADC’s Role in Kenya’s Agricultural Development

The Corporation plays a critical role in development of agriculture in the country. It ensures that Kenyan farmers have access to quality seed maize as the main maize grower in the country. Seed maize is grown in Trans-Nzoia farms and is passed to Kenya Seed Company among other companies for processing and packaging. Since 2013, ADC processes and packages its own brand

CHAPTER ONE: INTRODUCTION

2

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

of seed maizegiving farmers increased choice of the seed maize. Through multiplication of quality seed maize, ADC is contributing to national food security and poverty reduction in the country.

The corporation ensures the continued existence of livestock breeds and supply of quality livestock to the Kenyan farmers at affordable prices. Additionally, ADC provides linkages between the research institutions and the farmers by way of providing a testing ground for technologies and research and later transfer of the same to the farmers. Further, ADC is a key provider of skills and knowledge to the farmers through trainings conducted during field days and agriculturalshows. Through this role the corporation contributes to beef and dairy development in the country.

ADC is a major provider of quality potato seeds in the country. Seed multiplication is carried out in Molo. Potatoes are the second staple food in the country and hence the corporation is playing a critical role of enhancing national food security.

In addition to the above critical roles, the corporation plays a major role of supporting industries processing agricultural products such as seed maize merchants, milk processors, and millers by providing them with raw agricultural materials. Consequently, the corporation is contributing to promotion of the industrial sector in the country.

The Corporation is therefore a strategic service organisation in Kenya promoting agriculture to enhance national food security and contribute to poverty reduction. The Corporation is able to provide sustainable services to the farmers as it is able to fund its operations with internally generated income.

3. Methodology of the Strategic Plan Preparation

The strategic plan was developed through a highly participatory process involving literature review, one-on-one interviews with internal and external ADC stakeholders, questionnaires, and stakeholder consultative sessions for large groups of staff as well as a strategy workshop. Literature review included assessment of various documents such as the previous strategic plans, strategic plan implementation reports, the Vision 2030, MTP III, the framework for implementation of food security and nutrition, the Agricultural Sector Transformation and Growth Strategy by the Ministry of Agriculture, Livestock and Fisheries as well as variousagricultural sector reports.

Consultative meetings were held with management and staff on various occasions on the approach and methodology for undertaking the assignmentandkeystakeholderswereidentified.The consultant engaged various groups of staff in consultative meetings for their inputs and contributions. The consultative sessions were alsoused to administer a specificquestionnaire,which had been developed to capture the views of management and staff. One-on-one meetings were held with senior management staff in which aseniormanagementspecificquestionnairewasadministered.

Severalmeetings were held with key stakeholders who had been identifiedthrough consultationbetween ADCStaff and Management. A specific tool was used to capture the views ofvarious stakeholders during the interviews and where possible the stakeholders took time to complete the questionnaires provided to them. The stakeholders who were engaged included suppliers,sectorfinanciers,partners,privatesectorplayers and research institutions. Presentations

3

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

for the strategy workshop were prepared ahead of the workshop. These included presentations on ADC’s mandate and past performance, the state of the agricultural sector, food security and nutrition in Kenya as well as a summary report on the view of both internal and external stakeholders.

A strategy workshop was held with participants mainly drawn from ADC’s board and senior managementunder the guidance of consultants.The workshop participants comprehensively deliberated on the issues and challenges facing the Corporation as well as the way forward. The workshop involved use of syndicate as well as plenary sessions. The strategy workshop presentations were informed by various preparatory activities including stakeholder engagement sessions with internal and external stakeholders, the mandate of the corporation and its operating environment, review of the past performance, challenges and lessons learnt, the agricultural sector in Kenya and the Big 4 Agenda on food security and nutrition. Each step in the strategic planning process was discussed in depth at syndicate level and consensus built at plenary.

4

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

ADC Certified Seed Maize

5

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

CHAPTER TWO: THE AGRICULTURAL SECTOR IN KENYA

Background and Performance of the Sector

According to the Third Medium Term Plan (MTP III) 2018-2022 which is the implementation plan for Kenya’s long-term development blue print, the Vision 2030, the Agriculture and Livestock Sector contributes on average 27 per cent to GDP of Kenya, accounting for the largest share in GDP (Kenya Economic Survey 2017). The Sector provides critical supportive linkages to other sectors. It contributes approximately 75 per cent of industrial raw materials, 65 per cent of export earnings and 60 per cent of the total employment. Given its importance, the Sector is expected to play a significant roleof ensuring foodandnutritionsecurity as well as driving the Manufacturing Sector through the provision of raw materials.

As contained in the Third Medium Term Plan (MTP III) 2018-2022 which is the implementation plan for thecountry’s long-term development blue print, the Vision 2030, Agriculture and Livestock Sector, recorded an average growth rate of 4.2% between 2013 and 2017.However, annual growth rates varied primarily due to variable weather. Growth in agriculture Gross Value Added improved from 5.4 per cent in 2013 to 5.5 per cent in 2015 before declining to 4.0 per cent in 2016, and further declined to 1.6 per cent in 2017 due to insufficientrainsthataffectedproductionofkeycrops and animal rearing.Maize production, a key aspect of food security increased from 40.7 Million bags in 2013 to 42.5 Million bags in 2015 but declined to 35.4 Million bags in 2017. Production of rice decreased from 125,256 tonnes in 2013 to 81,200 in 2017. This was due to the prolonged dry spell in 2017 which reduced water availability in irrigation schemes. Wheat production increased from 194,500 tonnes in 2013 to 214,700 tonnes in

2016 and declined to 165,200 tonnes in 2017.

Among exports, tea remained a major foreign exchange earner at Ksh.124.5 Billion in 2016, from Ksh. 104.6 Billion in 2013, representing19 per cent increase. Tea production increased by 9.4 per cent from 432,400 tonnes in 2013 to 473,000 tonnes in 2016 before slightlydeclining to 439,800 tonnes in 2017. Coffee production increased by 15.8 per cent from 39,800 tonnes in 2013 to 46,100 tonnes in2016, earning the country Ksh. 21.3 Billion, up from Ksh. 16.3 Billion in 2013. In 2017, coffee production declined to 40,800 tonnes.

The horticulture sub-sector comprising of cut-flowers, vegetables, fruits, nuts, herbs andspices remained pivotal to Kenya’s export drive.The volume of exported horticultural products increased by 42.2 per cent from 213,900 tonnes in 2013 to 304,100 tonnes in 2017. Thevalue of horticultural exports increased by 37.8 per cent to Ksh.115.3 Billion in 2017 compared to Ksh. 83.7 Billion in 2013.

Milk production increased from 5.23 Billion litres in 2013 to 6.48 Billion litres in 2016 and declined to 5.35 Billion litres in 2017. Theannual intake by processors rose from 523 Million litres in 2013 to over 648.2 Million in 2016 but dropped to 535.7 Million litres in2017 representing a 17.4 per cent decline. The increase is attributed to increased farmer prices from an average of Ksh. 26 per litrein 2013 to Ksh. 35 per litre in 2015, enhanced milk promotion and sectoral reforms. Total beef production increased from 296,765Metric tonnes (MT) in 2013 to 520,000 MT in 2016 while consumption increased from 414,093 MT in 2013 to 452,000 MT in 2016.

6

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Overall,thefoodsupplysituationasmonitoredthroughtheFoodBalanceSheet,reflectedintheenergysupply, improved from 2,202kilo calories in 2014 to 2,288 kilo calories in 2015 before declining to 2,123 kilocaloriesin2017.ThefoodSelfSufficiencyRatio(SSR)improvedfrom74.4percentin2014to75.2percent in 2015 and declined to 60 per cent in 2017.

Key Trends in Agriculture

One of the most important trends that this strategy takes cognizance of is the increasing trend population compared to reducing food production. This trend is outlined in Figures 2.2.1 and 2.2.2

2.2.1 Population Trend (Source KNBS,2018)

As illustrated in Figure 2.2.1, the country has sustained high population growth, a six fold increase since 1963.On the other hand, theFood growth index of staple cereals from 1963 to 2017 was 2.2 andannual food demand growing rapidly. For instance, the demand for maize was maize to approximately 57 Million bags by 2030, almost double the production in 2018.As illustrated in Figure 2.2.2, the country had food supply (production) at 10% above the requirements. This increased to 20% over demand in 1970. By 2017 the food production was 72-84% of the demand. With reduced production and increased demand as well as and other factors such as climate change coming to play the trend can only get worse.

7

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

2.2.2 Population against Production Trend (Source: State Department for Agriculture & KNBS, 2018)

The undernourished population is increasing. Since 2012, gains made due to earlier interventions between 2002 and 2012 are being underdone. The number of undernourished increased from 9.3 Million in 2014 to 11.7 Million in 2017. This is illustrated in Figure 2.2.3. Going forward national agencies such as ADC must work with county governments to ensure that agricultural production is income oriented. This will attract more investments and create employment especially for the young population. The national and county governments must also work together to stabilize food and supply and prices through enhanced food storage mechanisms. The national and county governments must focus on fostering income driven trade systems such that various actors focus only on what they are very well position to handle.

Number of undernourished people in Kenya (millions) 1999-2017 (Source: State Department for Agriculture, 2017).

8

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

2.2.3 Food Security GapAs a result of the above trends, the projected food balance sheet for the country does not look promising.Theprojecteddeficit inkeycropsbyyear 2022 are; Maize, 27 Million bags (60%), Rice, 430,000 MT (21%) and Potato 275,000 MT (83%).

2.3 National Priority Areas in Agriculture and Livestock

In light of the above context the National Government has identified priority areas inKenya’s MTP III 2018-2022. Priority areas include:

1. Fertilizer subsidy

The sector will continue its focus on agricultural productivity by improving access, affordability and suitability of fertilizers. It will subsidize 200,000MT of assorted fertilizer annually; coordinatesoilanalysisinbeneficiaryregions;andmonitor and evaluate the impact of the subsidy programme on crop production and productivity.

2. Agricultural Mechanization

This programme will involve strengthening adoption of agricultural mechanization bysupporting counties to provide affordable agricultural mechanization services to small scale farmers. The Sector will collaborate andpartner with countries of origin and the end-users of the technologies in the counties. It will also entail identification, testing andup-scaling ofappropriate technologies. Under the programme 600 tractors and 3,000 walking tractors will be sourced and sold atsubsidized rates to SMEs. It will also entail identification, testing and up-scalingof appropriate technologies. Further, it will also entaildevelopment of Agricultural Development Corporation (ADC) farms including increasing land for crop production in ADC by 28,000

acres;distribution of tractor implements and other machinery; increasing rice production from 124,080 MT in 2018 to 270,991 MT by 2022;and fall army worm management. In addition, it will include enhancing potato seed production in ADC farms from 2,875 MT in 2018 to5,500 MT by 2022; increasing production of certified seed maizein ADC farms from 13 Million 90kg bags to 17 Million 90 kg bags by 2022; increasing production of commercial maize from 250,000 bags in 2018 to 325,000 bags by 2022; increasing production ofseed potatoes in ADC farms from 4,500 MT in 2018 to 6,000 MT by 2022; and rehabilitation of 8 cotton ginneries.

3. Food and Nutrition Security

The Sector will focus on new and innovative initiatives that will drive food and nutrition security over thenext five years by supportingenhanced large scale production, small holder productivity and agro-processing and reduction in foodprices. Key targets include increasing major food production by the year 2022. Specifically, annual production ofmaizewill beincreasedfrom current average of 40 Million (90kg bags) to 67.4 Million (90 Kg bag); additional 70,000 MT of rice will be produced annually toreach an annual production of 406,486 MT; while annual production of Irish potato is targeted to increase to 2.52 Million MT by 2022.Increased production will be achieved through expansion of production areas, enhanced access to quality inputs (seed and fertilizer),irrigation, mechanization and post-harvest management. The Sector will also develop nutrition sensitive indicators for use in agriculture.

4. Livestock Production

The programme aims at promoting food and nutrition security, and generation of income

9

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

by focusingon milk, beef, egg and honey production. This will be achieved by: developing four (4) livestock breading research farms; establishmentof a National Rabbit Centre in Ngong; establishment of nine (9) sheep and goat breading farms; production of breeding stock at KenyaAgricultural and Livestock Research Organization (KALRO) breeding and research farms in Naivasha and Marsabit; establishment ofanArtificialInsemination(AI)stationfordairygoats in Kirinyaga; enhancement of capacity for semen production; establishment ofcommercial feedlots; supporting commercial pig and poultry enterprises; and establishment of a Strategic Livestock Feed Reserve.

5. Value Chain Support

This will involve improvement of dairy value chain infrastructure; equipping a Tea Research Factoryin Kericho; and standardization of hides and skins.

6. Youth and Women Empowerment in Modern Agriculture

The programme aims at creating sustainable and gainfulself-employment for the youth and women through their participatory engagement in agriculture. The Government will offer incentivesfor integration of youth and women into agribusiness value chains. These incentives will include market guarantees, incubation trainingand scholarships for 340 youth in agribusiness to produce high value horticultural crops. The programme will train 25,000 pupils in 100primary schools and 1,500 youth out of school in agricultural skills and engaging them in modern agriculture.

7. Agricultural Insurance

The Government will support farmers to access

agriculture insurance to manage risks and lossesamongst smallholder farmers, increase crop productivity and livestock production through improved access to credit and higher yieldingtechnology, and support transition from subsistence to commercially-oriented farming.

8. Research and Capacity Building

To enhance the capacity of training institutions, the Sector will expand the capacity ofthe existing Agriculture and Livestock Training Institutions (ALTI) and engage other institutions to provide evidence-based policy training.This will increase access to pre-service and in-service courses for agricultural personnel and other groups. Research institutions will be supported to focus on new innovative technologies that are pest and herbicide resistant, tolerant and can withstand drought/water-stressfor enhanced food security and productivity.

9. Cropdiversification

The Sector will diversify the food production base through development and adoption of new cropvarieties and distribution of assorted seeds to farmers. A total of 2,090 MT of assorted seeds will be distributed over the plan period. Itwill revitalize industrial crops including: cotton, coffee, pyrethrum, tea, sugar and oil and nuts.

10. Coastal Disease Free Zone

The Sector will complete construction of Bachuma Export Zone and start construction worksat Miritini and Kurawa Export Quarantine Stations. Further the Sector will upscale annual vaccines production from 40 Million doses to100 Million doses, and establish Border Inspection Posts (BIPs) to prevent entry of trans-boundary diseases and pests into the country.

10

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

11. Strategic Food Reserve

This will involve contracting farmers for Strategic Food Reserve, redesigning subsidy model to maximizeimpactbyfocusingonspecificfarmers,securing investment through PPP in post-harvest handling and market distribution as well aselimination of multiple levies across counties.

12. Other national initiativesinclude

• Largescaleproduction

• SmallHolderProductivityand

Agro-processing

• AgriculturalTechnologyDevelopment

• ClimateSmartAgriculture

• MarketAccessandProductDevelopment

• MiraaFarmersLivelihoodImprovement

• PastoralResilienceBuilding

• TraditionalHighValueCrops

• Comprehensive African AgriculturalDevelopment Program (CAADP)

• PromotionofInvestmentandCooperationinAgriculture

• Various policy, legal and institutionalreforms

Based on this national prioritized initiative, the Ministry of Agriculture, Livestock and Fisheries has developed “The Agricultural Sector Transformation Strategy”, a ten-year (2019-2029) geared towards transformation and food security in Kenya. The various initiatives by the Ministry are summarized in Figure 2.3.1.

Figure 2.3.1.

11

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

2.3.1 Agricultural Transformation Strategy Implementation Road Map(Source: State Department for Agriculture, 2019) Role of ADC in the Food Security andNutrition Programme and Other NationalInitiatives

The Corporation shall play a leading role in national initiatives including the food and nutrition security (the Big 4 Agenda).

i. Optimisation of available land through introduction of cash crops in isolation areas, land reclamation and making hay in ranch land.

ii. Increasing agricultural yield per acre through precision farming, increased efficiency is supply of critical inputs,conservation tillage in all crop operations, irrigation and mechanisation.

iii. Increasing productivity in livestock farming and products through:

a) Good quality forage and concentrates which increase milk production.

b) Improved breeding stock and adoption of modern technologies and superior genetic a n i m a l s leading to increased dairy herd size and finishingweight.

c) Restocking and feed lotting which will lead to increased beef herd size.

d) Implementation of yearly herd inspection and use of superior stud bulls as well as embryo technology.

iv. Enhancing the production of certifiedseeds especially for maize and potatoes in ADC farms. ADC will also work towards addressing seed distribution chain

bottlenecks.v. ADC will also partner with public and

private actors especially the counties to strengthen their capacity and to redesign the subsidy models especially for critical inputs such as fertilizer and seeds.

12

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Embryo Transfer Technology

13

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

In the previous strategic plan (2014/15-2018/19),fourstrategicthemeswereidentifiedfor action: These were:

1. Institutional strengthening

2. Increased production and productivity in all sectors

3. Improvedoperationalefficiency

4. Diversification of other businesslines

These four strategic themes have served the Corporation over the last five years,strengthening it in key areas of its operations by enabling it to register several achievements. Despite the achievements, however, there were various challenges encountered while implementing the strategic plan. Some of the notable achievements, the challenges encountered and the key lesson learnt over the last strategic plan (2014/15-2018/19) period have been presented in this chapter.

3.1. AchievementsSeveral objectives and strategies were identifiedthatweretobecarriedouttoaddresseach of the strategic themes. Although some ofthesewerenotmet,thereweresignificantmilestones which came from either partial or full achievement on the activities and programmes during the planned period. Notable achievements during the period 2013/14-2017/18 included the following:

1. 1.255 Million kilograms of seed was produced, this represented 89.7 % of the target.

CHAPTER THREE: AUDIT OF THE PAST STRATEGIC PLAN PERFORMANCE

2. Attained a milk production yield of 10.08 litres per cow per day representing 74.7% of the target

3. Achieved seed maize yield of 2567kg/Ha representing 68% of the target.

4. Achieved and exceeded the 405 days calving interval target.

5. Attained a 75.5 % calving rate6. Achieved 125% of age at first

calving target of 29.25 months7. Grew its herd size by 8.7% 8. Achieved 84.4 % of the breeding

herd sales9. Produced 206 (50 kg/ha) of potato

seed representing 78% of the target.10. Achieved a production rate of

1067kg/Ha of coffee representing 131.4% of the target.

11. Implemented a legal case management system and automated 60% of the cases.

12. Job evaluation was undertaken with the help of a Consultant in 2014 and in 2015 with support from ADC.

13. Undertook staff rationalisation and reduced staff establishment from 1700 to 1500.

14

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

3.2. ChallengesAs ADC continues doing business, it has faced various challenges. These have to be addressed to assure continued success. Among the notable challenges that the Corporation faced during the strategic period include:

1. Financial constraints and high cost of credit accessible to ADC

2. Poor infrastructure3. Disease outbreaks and incidences of pest

damage4. Low capacity for sales and marketing

products5. Unfavorable weather conditions6. High dependence on rain fedfor crops and

animal farming methods.7. Weak internal control environment

leading to pilferage of farm produce8. Weak project management arrangements9. Low capacity in animal husbandry10. Low yielding seed maize were planted

leading to sub-optimal production11. Poor quality hay and silage12. Insufficientforagesandpasture13. High cost of inputs14. Unnecessary /avoidable court cases

leading to increased legal costs15. Low uptake of modern technologies in

view of rapidly changes in technology needs and insufficient ICT skills withinADC

3.3. Lessons LearntSeveral lessons have been drawn from the lapsed Strategic Plan (2014/15-2018/19) that will greatly inform the successful

implementation of the current Strategic plan (2019/20-2023/24). Among the key lesson learntthatwereidentifiedare;

1. Financial challenges affecting ADC will require strong consideration for in the next strategic planning period.

2. The internal control environment at ADC needs to be strengthened to address challenges such as pilferage.

3. ADC will need to review its policies and procedures in order to strengthen and streamline all its processes in order to succeed in the near future.

4. There is need to implement the Strategic Plan fully and extract the measurement parameters for assessing the performance out of it. This includes the Performance Contract (PC) with the National Government, The Institutional Annual Work Plans (AWP).

5. There is need for regular periodic reviews of the Implementation plans within the Strategic Plan and developing of a strong and robust Monitoring and Evaluation Plan to support this activity.

6. There is need to increase synergy between legal department and other departments and provide awareness to staff and management in order to avoid unnecessary legal actions.

7. The ADC Act needs to be reviewed, so as to align ADC better with the Constitution of Kenya 2010

15

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

8. Need to align human resources with the new strategy through process automation review of the organizational structure, improving employee performance, productivity, retention, streamlining rewards and compensation as well as improving staff engagement. Strategic themes, objectives and activities need to be SMART and even go beyond that while ensuring that Strategic Plan ownership is achieved within the Corporation.

9. Need to enhance the Corporation’s branding and marketing.

Understanding the external environment is important in managing organizations. It is this environment that shapes the opportunities and challenges facing any organization. It forms the context in which organizations operate. The Corporation must continuously take note of these environmental changes and respond accordingly.

16

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Friesian Cow

17

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

CHAPTER FOUR: ENVIRONMENTAL OUTLOOK

An environmental analysis (PESTEL) was done and it revealed issues, trends (concerns) that managers will watch and respond to over the plan period. The environmental outlook is an attempt to identify trends in the external environment. These trends provide the planning premises (assumptions) underlying the strategic plan. The outcome of PESTEL is an understanding of the overall picture surrounding the Corporation.

4.1. Political FactorsThe political factors that are likely to determine the business of the Corporation will include:

1. Increasing terrorism2. Political instability linked with general

elections.3. Increasing politically motivated

encroachment on ADC land4. EAC integration has affected regional

demand and supply5. Trade agreement with emerging big

consumer countries (China)

4.2. Economic FactorsADCwill operate in an environment driven by the following economic factors:

1. Unpredictable subsidy on key agricultural commodities

2. High cost of credit3. Taxes on agricultural inputs (16% VAT on

inputs)4. Preferential trade agreements e.g.

COMESA which affects pricing of commodities

5. Increased demand for quality fodder

4.3. Social FactorsThe social factors that may affect the operations of the Corporation include:

1. High population growth and increasing per capital income

2. Shift in consumer preferences3. Better educated farmers. Increasing

demand for high yielding and commercially viable dairy breeding stock

4.4. Technological FactorsThe technological factors that are likely to determine the operations of the ADCinclude:

1. Increased technological development (machines, livestock breeding technologies (embryo transfer and sexed semen technology)

2. New seed multiplication technologies3. Efficientmanagementtools(ERP),tracking

tools such as RFID for livestock and crops and ODK data collection technologies.

4.5. Environmental FactorsThe environmental factors that are likely to affect the business of the Corporation include:

1. Climate change (loss of crops and livestock duetodrought,diseasesandfloods)

2. Intensive river irrigation upstream3. Land degradation4. Green energy5. Food safety and origin

18

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

4.6. LegalFactorsThe following legal factor may affect the operations of the Corporation:

1. Changes and review of international laws in the constitution on management of food security and agricultural activities

2. Constitutional review activities which may include review of Agricultural functions in national and county governments.

19

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

ADC Ayrshire Herd

20

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

1. Unsecured farms boundaries 2. Irregular land leases3. Un-motivated workforce from poor

remuneration4. Inadequate competent staff due to lack of

continuous professional development and weak capacity development

5. Inefficient work force overlapping roles,no realization of optimum labour force

6. Poor staff remuneration arrangements mainlyduetofinancialconstraints

7. Weak governance structure in terms of leadership mainly due to lack of clarity on leadership roles, limits of authority which creates gaps

8. Weak organisational structure that is not goods and product oriented but rather functional.This leads to challenges in allocation of resources on profitablebusiness ventures.

9. High cost of production mainly resulting from weak internal controls

10. Lack of effective performance management systems

11. Low productivity12. Manual processes which are very slow

andinefficient13. Inadequate equipment within the farms14. Inadequate physical infrastructure15. Overdiversification16. Inadequatefinancialresources17. Lack of business autonomy for the units18. Lack of a proper communication strategy 19. Poor corporate image and brand visibility

Strategic analysis involves analysing both internal and external environment in which an organization operates. Internal and external analysis is critical in understanding the conditions within which organizations operate. In this strategic plan, it was discourse on how ADC will leverage its internal capabilities to optimize the opportunities in markets where it has chosen to do business.

It provides an appreciation of the capabilities of an organization and the external factors that affect it. This analysis results in the identification of strengths, weaknesses,opportunities and threats (SWOT). These provide a good indication of what the future strategies will be. The results of the analysis are outlined below as the SWOT analysis:

5.1. SWOT Analysis5.1.1. Strengths

The strengths of the Corporation include:

1. Strong asset base mainly backed by large size of land owned by the Corporation

2. Qualified technical staff with in-depthexperience in agriculture and livestock

3. High quality products and an established name in seed multiplication

4. Strong ADC brand5. Existing partnerships and good

relationships with key players in the agricultural sector

6. ADC has nation-wide presence

5.1.2. WeaknessesThe weaknesses of the Corporation include:

CHAPTER FIVE: STRATEGIC ANALYSIS

21

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

20. Bloated staff in some farms resulting in a huge wage bill

21. Lack of synchronized budgets and performance targets

22. Weak enforcement of human resource policies and procedures

23. Unclear reporting structure in security department

24. Lack of quality assurance mechanisms within ADC

25. Huge post-harvest losses occasioned by poor storage facilities

26. Weak information security and data classificationpoliciesandprocedures

5.1.3. OpportunitiesThe opportunities available to the Corporation include:

1. Unsatisfied demand for products andservices i.e. seed maize, seed potatoes, dairy animals/products, beef animals/products, honey

2. New products such as agroforestry seedlings (bamboo seedlings) demand is growing within and without our borders, fruit seedlings (avocado), tissue culturebananas,flowers,andpoultryetc.agroforestrywillbenefittheorganizationwith carbon credits.

3. Increased demand for organic products especially beef products in ADC ranches.

4. New services such as technology transfers i.e. silage making, hay production etc. training and mentorship.

5. Value addition and on dairy, commercial maize and fruits such as oranges

6. Conservancy and Eco tourism7. Dryland farming irrigation for suitable

crops.8. Demand for indigenous grass seeds for

new markets such as Djibouti9. Disease free zones especially due to

increased demand for disease free beef in the world at premium prices similar to the Botswana approach.

10. Diversificationtorealestateinareaswherethe land is in urban areas.

11. Water bottling in areas where there is sufficientdemandandsupply

12. Optimisation of the utilisation of permanent rivers on ADC land

13. Conversion of waste from maize to briquettes

14. Green energy initiatives such as solar production on idle land

15. Student attachments16. ADC brand is widely respected in the

agricultural sector17. Feed lotting structures which will

tremendously develop Kenya’s beef industry

18. Green energy through investment in biogas for generation of energy

19. Partnerships with the stakeholders i.e. National government (Big 4 Agenda, security); County governments (Agents for products like our AI services, promotion of products such as seeds, farmers training centres and infrastructure development.);Government Agencies for negotiations of better tariffs e.g. Kenya power.

20. Adoption of modern technologies in order tooptimiseefficiencyofoperations.

22

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

5.1.4. ThreatsThe threats to the Corporation include:

1. Security threats which include squatters and theft.

2. Political interference in the operations and running of units, unfavourable mergers etc.

3. Climate change leading to changing weather patterns

4. Unplanned subsidies to farmers by the national government which closes the market for ADC products which distorts market prices

5. Porous borders which increase threats of illegal grazing, encroachment and diseases

6. Urbanisation in areas where ADC has land leading to changes in land use.

7. Emerging diseases associated with climate change which hasincreased severity and frequency.

8. High cost of inputs against completion (neighbouring countries)

9. Non performing Leases and partnerships which lead to increased risk of litigation, loss of business and negative publicity

10. Dilution in the industry positioning. ADC seems to have lost its voice in key matters of utilization of its assets case in point: Galana Kulalu project and Potato projects.

11. Ambitious private sector which would like to use ADC land.

5.2. Stakeholder AnalysisCorporations such as the ADC operate within a political context which comprises various stakeholders. It is important to

understand these stakeholders and their stake (expectations). To be successful in implementing the Strategic Plan, ADC will require the goodwill, support and cooperation from all stakeholders and particular strategic partners. Additionally, ADC shall continue to actively beengaged in building mutually beneficial partnerships with like-mindedorganizations.

Stakeholders can support or impede efforts of a company to implement its strategic plan. To be successful in implementing the Strategic Plan ADC will require the goodwill, support and cooperation from all stakeholders and particular strategic partners. During the strategic plan period, the Corporation identifiedseveralkeystakeholders.Theyhavevarious interests (stakes) in the Corporation as outlined in Table 5-2.

23

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Tabl

e 5.

2.1:

Sta

keho

lder

Ana

lysi

s S

take

hold

er

Com

petit

or S

take

hold

ers

Exp

ecta

tions

A

DC

Exp

ecta

tions

1.

Reg

ulat

ors

i. K

EPH

IS

ii.

DV

S

iii.

Dai

ry B

oard

iv.

KE

BS

v.

NE

MA

i. Q

ualit

y pr

oduc

ts a

nd se

rvic

es

ii.

Com

plia

nce

with

the

regu

latio

ns

iii.

Stan

dard

izat

ion

iv.

Pay

fees

/lev

ies

v.

Prom

pt p

aym

ent

i. Fa

irnes

s in

thei

r ope

ratio

ns

ii.

Eff

ectiv

e co

mm

unic

atio

n &

tim

ely

notifi

catio

n

iii.

Gui

danc

e

iv.

Tim

elin

ess

v.

Cer

tifica

tion

vi.

Fair

rate

s

2.

Inpu

t Sup

-pl

iers

i. A

gro-

chem

ical

supp

liers

ii.

NC

PB

iii.

Cat

tle B

reed

ers

iv.

Fuel

supp

liers

i. Ti

mel

y de

liver

y of

serv

ices

ii.

Com

plia

nce

with

spec

ifica

tions

iii.

Prom

pt p

aym

ents

for s

ervi

ces a

nd

prod

ucts

supp

lied

iv.

Mai

ntai

n pr

oper

rapp

ort i

n

com

mun

icat

ion

v.

Feed

back

from

supp

liers

i. Q

ualit

y pr

oduc

ts

ii.

Fair

pric

ing

iii.

Qua

ntity

del

iver

ed a

s per

our

requ

isitio

n

iv.

Con

veni

ent p

acka

ging

v.

Com

plia

nce

with

cre

dit f

acili

ty

vi.

Flex

ible

and

favo

urab

le te

rms a

nd c

ondi

tions

of

paym

ents

vii.

Tim

ely

deliv

ery

of p

rodu

cts

3.

Part

ners

i. K

enya

See

d co

mpa

ny

ii.

Wes

tern

See

d co

mpa

ny

iii.

Wes

t Sug

ar C

ompa

ny

iv.

Con

serv

anci

es

v.

Bree

d or

gani

zatio

ns

vi.

Won

dern

uts

vii.

KA

LRO

viii.

U

nive

rsity

of

Nai

robi

i. St

rict a

dher

ence

to c

ontra

cts

ii.

Com

plia

nce

with

the

term

s and

co

nditi

ons

iii.

Kee

p go

od re

cord

s

i. St

rict a

dher

ence

to c

ontra

cts

ii.

Fair

repr

esen

tatio

n –

staf

fing

iii.

Tran

spar

ency

in sh

arin

g of

pro

ceed

s

iv.

Qua

lity

serv

ice

24

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Sta

keho

lder

C

ompe

titor

Sta

keho

lder

s E

xpec

tatio

ns

AD

C E

xpec

tatio

ns

4. C

onsu

mer

s/

Beneficiaries

i. N

ew K

CC,

Bro

okes

ide,

Arm

ed fo

rces

, NC

PB, t

he

pu

blic

etc

i.

Qua

lity

prod

ucts

and

serv

ices

ii.

Fair

pric

esiii

. A

dequ

ate

and

prom

pt su

pply

of

pro

duct

s and

serv

ices

iv.

Con

sum

er C

ARE

v.

Bran

d ou

r pro

duct

s to

ensu

re

visi

bilit

y

i. Fe

edba

ck o

n ou

r pro

duct

s

ii.

Prom

pt p

aym

ent

iii.

Con

sum

er a

gree

men

ts a

nd te

st

5. St

aff

i. A

DC

Sta

ffi.

Fair

rem

uner

atio

n

ii.

Fair

treat

men

t

iii.

Rew

ard

and

reco

gniti

on

iv.

Con

duci

ve w

ork

envi

ronm

ent

v.

Trai

ning

opp

ortu

nitie

s

vi.

Cle

ar c

aree

r pro

gres

sion

vii.

Staf

f w

elfa

re –

CA

RE

viii.

V

ision

ary

lead

ersh

ip

ix.

Eff

ectiv

e co

mm

unic

atio

n

x.

Act

iona

ble

polic

ies a

nd p

roce

-du

res

xi.

Adh

eren

ce a

nd ti

mel

y pa

ymen

t of

stat

utor

y ob

ligat

ions

i. Pr

oduc

tivity

/ ac

hiev

emen

t of

perf

orm

ance

ta

rget

s

ii.

Team

wor

k

iii.

Com

mitm

ents

iv.

Inte

grity

, tra

nspa

renc

y an

d ac

coun

tabi

lity

v.

Tim

ely

repo

rts

vi.

Punc

tual

ity

vii.

Adh

eren

ce to

the

staf

f re

gula

tions

6.

Res

earc

h In

stitu

-tio

ns

i. K

ALR

O

ii.

Uni

vers

ities

iii.

ILRI

i. C

onsu

me

rese

arch

find

ings

ii.

Paym

ent o

f ro

yalti

es

iii.

Impr

ove

on o

ur b

reed

s

iv.

Com

mun

icat

e re

sear

ch g

aps

v.

Con

tinuo

us re

sear

ch o

n re

leva

nt

field

s

vi.

Com

plia

nce

i. Fe

edba

ck o

n ex

pert

ise o

n va

rious

fiel

ds

25

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Sta

keho

lder

C

ompe

titor

Sta

keho

lder

s E

xpec

tatio

ns

AD

C E

xpec

tatio

ns

7.

Fina

ncia

l In

stitu

-tio

ns

i. K

CB

ii.

NBK

iii.

Con

solid

ated

Ban

k

iv.

AFC

v.

SAC

CO

i. Pr

ompt

serv

icin

g of

loan

s

ii.

Adh

eren

ce to

the

term

s and

con

-di

tions

i. Fi

nanc

ial r

esou

rces

ii.

Fair

inte

rest

rate

s

iii.

Favo

rabl

e te

rms o

f cr

edit

faci

litie

s

8.

Med

iai.

Med

ia h

ouse

si.

Prom

pt p

aym

ents

for t

heir

ser-

vice

s

ii.

New

s con

tent

/ A

dver

tisem

ent

mat

eria

ls

i. Fa

ir an

d ba

lanc

e re

port

ing

ii.

Airi

ng c

over

age

9.

Gov

ern-

men

ti.

Nat

iona

l Tre

asur

y

ii.

Min

istry

of

Agr

icul

ture

, Li

vest

ock

and

Fish

erie

s

iii.

Min

istry

of

land

s

iv.

Nat

iona

l lan

d co

mm

issio

n

v.

Stat

e C

orpo

ratio

ns

Adv

isory

Com

mitt

ee

and

Insp

ecto

rate

of

stat

e co

rpor

atio

ns

i. A

dher

e to

Pol

icy

and

guid

elin

es

ii.

Prud

ence

util

izat

ion

of re

sour

ces

iii.

Ade

quat

e pr

oduc

tion

of q

ualit

y se

eds a

nd a

nim

al b

reed

s

iv.

Con

tinuo

us im

prov

emen

t on

our

prod

uctio

n

v.

Be a

self-

sust

aini

ng in

stitu

tion

vi.

Gen

erat

e re

venu

e to

supp

ort e

x-ch

eque

r

i. Re

leas

e of

tim

ely

regu

latio

ns, p

olic

y an

d gu

id-

ance

ii.

Supp

ort t

he o

pera

tions

iii.

Con

duci

ve e

nviro

nmen

t for

inve

stm

ent

iv.

Hel

p re

solv

e la

nd c

onfli

cts

v.

Tim

ely

prov

ision

of

title

dee

ds.

vi.

Impr

ove

on ro

ad n

etw

orks

vii.

Hel

p A

DC

est

ablis

h irr

igat

ion

infr

astr

uctu

re

viii.

Ass

ist in

est

ablis

hmen

t of

wat

er c

onse

rvat

ions

thro

ugh

digg

ing

bore

hole

s, da

ms a

nd w

ater

pa

ns

26

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

5.3.

C

ompe

titor

Ana

lysi

sA

DC

ope

rate

s in

an e

nvir

onm

ent f

ull o

f diff

eren

t typ

es o

f com

petit

ors f

or it

s diff

eren

t typ

es o

f pro

duct

s. T

he co

mpe

titor

s in

clud

e se

men

pro

duce

rs, s

eed

prod

ucer

s, p

otat

o se

ed fa

rms,

see

d di

stri

bute

rs, a

nd p

riva

te c

onse

rvan

cies

, som

e of

the

rese

arch

inst

itutio

ns. M

ost o

f the

com

petit

ors a

re lo

cate

d w

ithin

Nai

robi

and

its e

nvir

onm

ents

and

com

pete

dir

ectly

with

th

e A

DC

. The

com

petit

ion

dyna

mic

s ar

e fu

rthe

r out

lined

in th

e Ta

ble

5.3.

1:

Tabl

e 5.

3.1:

Com

petit

or A

naly

sis

#C

ompe

titor

Prod

uct

How

they

Com

pete

w

ithA

DC

Com

petit

ive

Ana

lysi

s (W

hat i

s A

DC

’s C

ompe

titiv

e ed

ge)

1.

Ken

ya A

nim

al G

enet

ic R

esou

rce

Cen

tre (K

AG

RC)

Sem

en•

Prod

uctio

n

•V

isibi

lity

•C

apac

ity

•G

oK g

oodw

ill

•Te

chno

logy

•O

wn

hom

egro

wn

bulls

•C

ente

r gro

wn

feed

s

•Pr

oxim

ity to

cat

chm

ent a

rea

2.

Gic

heha

Far

m•

Cer

tified

seed

m

aize

pro

-du

ctio

n

•Li

vest

ock

•Te

chno

logy

•Ir

rigat

ion

•E

ffici

ency

•M

arke

t sha

re

•M

ore

land

•Fa

vour

able

clim

ate

•G

over

nmen

t’s g

oodw

ill

•Pr

oxim

ity to

cat

chm

ent a

rea

•Pr

oxim

ity to

the

seed

pro

cess

or

•G

ood

gene

tics

•Va

st ra

nche

s

27

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#C

ompe

titor

Prod

uct

How

they

Com

pete

w

ithA

DC

Com

petit

ive

Ana

lysi

s (W

hat i

s A

DC

’s C

ompe

titiv

e ed

ge)

3.

i K

isim

a Fa

rmii.

AG

RIC

O•

Seed

pot

ato

•A

pica

l cut

-tin

g

•M

echa

niza

tion

•Ir

rigat

ion

•Pr

ecisi

on te

chno

l-og

y

•V

isibi

lity

•H

uge

land

•G

reen

hou

ses

•St

ate

of th

e ar

t lab

s

•St

orag

e

•St

aff

•G

oK g

oodw

ill4.

i.

Ken

ya S

eed

ii. W

este

rn S

eed

Cer

tified

seed

m

aize

•M

oder

n

proc

essin

g fa

cilit

y

•V

ibra

nt m

arke

ting

stra

tegy

•Be

tter s

tora

ge

faci

lity

•Re

sear

ch &

deve

lopm

ent d

ept.

•Be

tter p

ay a

nd

staf

f de

velo

pmen

t

•M

any

seed

va

rietie

s

Hug

e tra

cks o

f la

nd

28

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#C

ompe

titor

Prod

uct

How

they

Com

pete

w

ithA

DC

Com

petit

ive

Ana

lysi

s (W

hat i

s A

DC

’s C

ompe

titiv

e ed

ge)

5.

Priv

ate

Con

serv

anci

es (e

.g. O

lpe-

jeta

)E

coto

urism

•Se

cure

d la

nd

•Av

aila

bilit

y of

w

ater

•Be

tter m

anag

e-m

ent &

pay

•Pr

ogre

ssiv

e in

vest

-m

ents

to im

prov

e sy

stem

•G

ood

infr

astr

uc-

ture

•La

rge

herd

size

•Br

andi

ng

•Re

sear

ch &

dev

el-

opm

ent

•Su

perio

r mar

ket-

ing

stra

tegy

•La

rge

track

of

land

•G

oK g

ood

will

6.

i. Sig

ma

Feed

sii.

U

nga

Feed

sA

nim

al fe

eds

•Br

andi

ng

•Be

tter m

arke

ting

stra

tegy

•E

ffici

ency

•M

otiv

ated

staf

f

Raw

mat

eria

ls

7.

Nat

iona

l Irr

igat

ion

Boar

d (N

IB)

Irrig

atio

n pr

ojec

ts•

Man

date

•Fu

ndin

g

•Re

sour

ce m

obili

-za

tion

•La

rge

track

s of

land

•M

anda

te

•St

aff

and

know

how

29

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#C

ompe

titor

Prod

uct

How

they

Com

pete

w

ithA

DC

Com

petit

ive

Ana

lysi

s (W

hat i

s A

DC

’s C

ompe

titiv

e ed

ge)

8.

Ege

rton

Uni

vers

ityBr

eedi

ng st

ock

Milk

and

oth

er

milk

pro

duct

s

•Be

tter c

apac

ity

espe

cial

ly in

the

use

of m

oder

n te

chno

logy

•Q

ualifi

ed st

aff

•Va

lue

addi

tion

•Re

sear

ch a

nd

deve

lopm

ent

•La

nd

•Be

tter g

enet

ics

•M

anda

te

30

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

ADC Seed PotatoADC Seed Potato

31

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

The Strategic Direction aims at providing structures, processes and outputs that facilitate an organization in fulfilling itsmandate and justifying its existence and thus continue to make contribution to economic and social development of the country as well as providing desired returns to its shareholders. ADC needed a clear Strategic Direction which required an articulation of its purpose, business and what it intended to accomplish. This was done by specifying its Vision, Mission and Values.

6.1. Mandate

The mandate and core functions of Agricultural Development Corporation are set out under the Act of Parliament, Cap 444 as follows:

1. Promote the production of Kenya’s essential agricultural inputs as the Corporation may decide from time to time, such as seeds and pedigree livestock including hybrid seed maize, other cereal seeds, potato seed, pasture seed, vegetable seed, pedigree cattle, sheep, goats, pigs, poultry and bees.

2. Undertake such activities as the Corporation may decide from time to time so as to develop agricultural production in specific fields ofproduction.

3. Participate in activities of agricultural production which are commercially available. Participate in agricultural production which are related to primary and secondary functions of the Corporation and which in the view

of the Corporation are commercially viable.

6.2. Vision

To be a global leader in Sustainable Agricultural Resource Development

6.3. Mission

To promote commercially oriented agricultural resource development, enhance food and nutrition security and expand agricultural undertakings in a sustainable manner.

6.4. Core Values

The corporation will strive to build an organizational culture driven by the following Core Values that will be exhibited in all areas of work by our Staff, Management and the Board of Directors:

1. Integrity and Professionalism

The Directors and other Employees undertake to always act morally and ethically as well as consistently demonstrate a high degree of probity in dealing with stakeholders.In addition, ADC adheres to impeccable professional and personal standards in the conduct of its affairs. It shall offer its services in a professional manner and with expertise to ensure it offers high quality products and services.

2. InnovativenessADC believes that the challenges facing the Corporation can be solved through

CHAPTER SIX: STRATEGIC DIRECTION

32

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

generation of creative and innovative ideas. The Directors and Employees will endeavour to be creative and innovative in seeking ways to better discharge their mandate.

3. Partnership with other key stakeholdersAt ADC we recognise the importance of partnering with others in the provision of quality products and services. We will, therefore, aspire to venture into more collaboration geared towards improving agricultural undertakings in the country.

4. Delivery of quality service

The success of the Corporation largely depends on effectiveness and efficiencyin delivery of quality products and services. To achieve this, the Corporation will ensure that every department and every employee shares the same vision by deliveringquality services in an efficientand effective manner.

5. Corporate Social Responsibility (CSR)

The Corporation embraces responsibility for the impact of their activities on the society; hence it will proactively promote the public interest by encouraging community growth and development.

6. Team work

In discharging the Corporation’s mandate, the directors and employees will embrace team work and will be committed to maintaining high standards of service delivery.

33

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

1st A

fric

an B

ovin

e tr

aini

ng h

eld

at A

DC

sem

en p

rodu

ctio

n ce

ntre

34

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

7.1. Themes

The Strategic Themes are the focal points of strategic planning process. They are derived out of the key opportunities and challenges that face an organization. These themes have to be addressed if the organization has to succeed. The themes address both the core and support business of an organization. If these Strategic Themes are not addressed the organization can be adversely affected. It is around the Strategic Themes that the objectives and corresponding strategies are set.

7.2. Objectives

Objectives indicate what an organization sets out to accomplish in its business. They are important in assessing the performance of that organization. If objective is not set it will be difficult to determine the progressthe organization is making. These objectives are set around the strategic themes of the organization. The balanced scorecard was used in setting corporate objectives for ADC. By achieving these objectives, the projected performance will be achieved.

7.3. Sustainability Balanced Scorecard (sBSC)

Balanced Scorecard was chosen as a methodology for building the strategic plan since one of its objectives is translation of the organization’s vision and mission and its issues into a consistent set of strategic objectives and definiteperformancemeasurementstandards.It is also able to combine the indicators and the results of past, present, and the indicators

CHAPTER SEVEN: STRATEGIC THEMES AND OBJECTIVES

that lead the future performance of ADC. The aim of the Balanced Scorecard is to achieve a balance between all the organizational goals.

7.4. The Proposed Strategic Themes and Objectives

After conducting a comprehensive strategic analysis for the Corporation, six (6) strategic themeswereidentifiedasfollows:

1. Economic Perspective2. Customer Focus3. Internal Business Processes4. Capacity Building and Innovation5. Corporate Governance6. Environmental Sustainability

Inaddition,specificobjectivesforeachofthethemes and their accompanying strategies wereidentified.

Thesixstrategic themes identifiedalongthesustainability Balanced Scorecard (sBSC) were marched with corresponding objectives and strategies. The key initiatives were also formulated along each of the specificstrategies. Table 7.4 -outlines the strategic themes, objectives and strategies that ADC has to address over this strategic plan period if it has to remain relevant and successful.

35

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Tabl

e 7.

4. S

trat

egic

The

mes

and

Obj

ectiv

es

Obj

ectiv

esSt

rate

gies

K

ey I

nitia

tives

The

me

1: E

cono

mic

Per

spec

tive

1.

To b

uild

a su

s-ta

inab

le fi

nanc

ial

reso

urce

bas

e

i. E

ngag

e th

e go

vern

men

t for

fund

ing

Est

ablis

h an

d op

erat

iona

lize

a st

andi

ng c

omm

ittee

to c

ontin

uous

ly

enga

ge w

ith

Pare

nt M

inist

ry a

nd T

reas

ury

ii. E

ngag

e th

e pr

ivat

e se

ctor

for p

artn

ersh

ips

Est

ablis

h an

d op

erat

iona

lize

a st

andi

ng c

omm

ittee

to c

ontin

uous

ly

enga

ge w

ith th

e

priv

ate

sect

or p

artn

ers

iii. D

evol

ve fi

nanc

ial m

anag

emen

t to

units

Stre

ngth

en in

tern

al c

ontro

ls

iv. M

anag

emen

t of

debt

si.

Neg

otia

te a

nd re

-str

uctu

re d

ebts

with

key

stak

ehol

ders

.

ii.

Seek

gov

ernm

ent s

uppo

rt to

war

ds p

aym

ent o

f ol

d de

bts

iii.

Dev

elop

an

effe

ctiv

e de

bt m

anag

emen

t pol

icy

v. A

sset

Man

agem

ent

i. A

cqui

re T

itle

Dee

ds

ii.

Gaz

ette

all

AD

C L

and

iii.

Secu

re A

DC

Lan

d by

fenc

ing

poro

us b

orde

rs

36

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Obj

ectiv

esSt

rate

gies

K

ey I

nitia

tives

The

me

2: C

usto

mer

Foc

us

2.

To c

ontin

uous

ly

impr

ove

cust

omer

sa

tisfa

ctio

n

i. Pr

ovisi

on o

f qu

ality

goo

ds a

nd se

rvic

esi.

Recr

uit q

ualifi

ed P

R st

aff

ii. O

ffer

refr

eshe

r cou

rses

for s

taff

iii. C

onfo

rm o

ur se

rvic

es to

serv

ice

char

ter

iv. T

imel

y re

port

ing

to O

mbu

dsm

anii.

Con

tinuo

usly

inte

ract

with

cus

tom

ers

i. E

xhib

ition

of

our p

rodu

cts i

n A

gric

ultu

ral s

how

sii.

Fi

eld

days

iii.

Fiel

d de

mos

iv.

Onl

ine

and

prin

t med

ia a

dver

tsv.

Ra

dio

adve

rts

vi.

Est

ablis

hmen

t of

cust

omer

car

e de

skvi

i. Te

am b

uild

ing

activ

ities

viii.

Wor

ksho

ps w

ith c

usto

mer

six

. Br

andi

ngiii

. Cor

pora

te im

age

enha

ncem

ent

i. C

usto

mer

satis

fact

ion

surv

eys

ii.

Rebr

and

iii.

Trai

n st

aff

on P

R sk

ills

iv.

Cor

pora

te u

nifo

rm to

be

enfo

rced

iv.In

crea

sed

outle

ts fo

r our

goo

ds a

nd se

rvic

esA

ppoi

ntm

ent o

f ag

ents

and

dist

ribut

ors a

cros

s the

cou

ntry

v. P

artn

ersh

ips w

ith o

ther

stak

ehol

ders

i. O

ffer

ing

inte

rnsh

ips a

nd a

ttach

men

t to

stud

ent i

nter

nsii.

O

ffer

ing

test

ing

grou

nds f

or n

ew in

nova

tions

and

tech

nolo

gyiii

. To

par

tner

with

cou

nty

Gov

ernm

ents

for i

nfra

stru

ctur

al

deve

lopm

ent,

train

ings

and

pro

visio

n of

out

lets

for o

ur p

rodu

cts

iv.

Recr

uit m

ore

sale

s age

nts

v.

Ope

ning

mor

e A

DC

shop

s vi

. St

akeh

olde

r ana

lysis

vi. C

orpo

rate

soci

al re

spon

sibili

ty a

ctiv

ities

i. Tr

ee p

lant

ing

ii.

Giv

ing

out s

eedl

ings

to c

omm

unity

and

scho

ols a

s CSR

iii.

Con

tribu

tion

tow

ards

cha

ritab

le o

rgan

izat

ions

37

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Obj

ectiv

esSt

rate

gies

K

ey I

nitia

tives

The

me

3: I

nter

nal B

usin

ess

Proc

esse

s

3.

Incr

ease

pro

duc-

tivity

in a

ll ou

r en

terp

rises

i. In

crea

se y

ield

per

uni

t are

ai.

Prec

ision

farm

ing

ii.

Tim

elin

ess i

n op

erat

ions

/sup

ply

of c

ritic

al in

puts

iii.

Con

serv

atio

n til

lage

in a

ll cr

op o

pera

tions

iv.

Irrig

atio

n

v.

Mec

hani

zatio

n of

ope

ratio

ns n

ot m

echa

nize

dii.

In

crea

se m

ilk y

ield

(lts

) per

cow

i. G

ood

qual

ity fo

rage

, pas

ture

s and

con

cent

rate

s

ii.

Impr

ove

anim

al m

anag

emen

t pra

ctic

esiii

. In

crea

se d

airy

her

d siz

ei.

Impr

ove

bree

ding

stoc

k

ii.

Use

bre

edin

g te

chno

logy

and

acq

uire

mor

e su

perio

r gen

etic

s

iii.

Qua

lity

bree

ding

pro

gram

siv

. In

crea

se b

eef

herd

size

Rest

ocki

ngv.

In

crea

se th

e fin

ished

life

wei

ght

Feed

lotti

ngvi

. E

nhan

ced

bree

ding

in b

eef

prod

uc-

tion

i. Ye

arly

bee

f he

rd in

spec

tion

ii.

Use

of

supe

rior s

tud

bulls

and

em

bryo

tech

nolo

gy4.

To

atta

in o

ptim

um

utili

zatio

n of

re

sour

ce

i. E

nhan

ce la

nd u

tiliz

atio

ni.

Intro

duce

cas

h cr

ops i

n iso

latio

ns a

rea

ii.

Land

Rec

lam

atio

n(dr

aina

ge)

iii.

Mak

e ha

y in

ranc

h la

ndii.

E

nhan

ce u

se o

f ou

r pro

cess

ing

plan

t (F

eed

mill

and

seed

uni

t)i.

Ens

ure

supp

ly o

f en

ough

raw

mat

eria

l

ii.

Mod

erni

zatio

n of

pro

cess

ing

plan

t5.

Re

-eng

inee

ring

inte

rnal

bus

ines

s pr

oces

s in

line

with

glo

bal b

ased

pr

actic

es

Aut

omat

ion

of p

roce

sses

i. E

nhan

ce u

se o

f IC

T

ii.

Dev

elop

ing

ICT

infr

astr

uctu

re

iii.

Acq

uisit

ion

of c

ompu

ters

and

acc

esso

ries

iv.

Acq

uisit

ion

of E

RP

v.

Ens

ure

full

elec

trici

ty c

onne

ctiv

ity in

the

units

vi.

Upg

rade

and

mai

nten

ance

of

web

site

38

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Obj

ectiv

esSt

rate

gies

K

ey I

nitia

tives

The

me

4: C

apac

ity B

uild

ing

and

Inno

vatio

n

6.

To st

reng

then

in

stitu

tiona

l ca-

paci

ty to

be

able

to

ach

ieve

our

m

anda

te

i. D

evel

op H

R ca

paci

tyi.

Con

tinuo

us p

rofe

ssio

nal d

evel

opm

ent

ii.

Skill

s dev

elop

men

t pro

gram

s

iii.

Skill

s aud

it

ii. S

taff

rete

ntio

ni.

Rew

ard,

reco

gniti

on a

nd sa

nctio

n

ii.

Sala

ry re

view

iii.

Non

-fina

ncia

l inc

entiv

es

iv.

Acq

uire

Bal

ance

Sco

reca

rd to

ol

v. O

rgan

izat

ion

rest

ruct

urin

gi.

Wor

kloa

d an

alys

is

ii.

Revi

ew o

f H

R po

licie

s and

pro

cedu

res

iii.

Revi

ewin

g th

e O

rgan

izat

iona

l Str

uctu

re

vi. I

mpr

ovem

ent o

f w

ork

envi

ronm

ent

i. Pr

ovisi

on o

f w

orki

ng to

ols,

prot

ectiv

e cl

othi

ng, r

ecre

atio

nal f

acili

-tie

s

ii.

Enh

ance

d W

ork,

Inju

ry a

nd B

enefi

ts A

ct (W

IBA

) ins

uran

cevi

i. E

nhan

ce M

onito

ring,

Eva

luat

ion,

Rev

iew

an

d

Con

trol t

ool

Ope

ratio

naliz

e M

onito

ring,

Eva

luat

ion,

Rev

iew

and

Con

trol S

yste

m

viii.

Rev

iew

per

form

ance

man

agem

ent s

yste

mi.

Impl

emen

tatio

n of

per

form

ance

-bas

ed re

war

d, re

cogn

ition

and

sa

nctio

ns.

ii.

Perf

orm

ance

con

tract

s7.

To

enh

ance

re-

sear

ch a

nd d

evel

-op

men

t to

achi

eve

com

petit

ive

adva

n-ta

ge

Cle

ar p

ositi

onin

g of

R&

D fu

nctio

nsRe

view

org

aniz

atio

nal s

truc

ture

Dev

elop

men

t of

new

pro

duct

s and

serv

ices

Impr

ovem

ent i

n yi

eld,

qua

lity

and

nutri

tion

39

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Obj

ectiv

esSt

rate

gies

K

ey I

nitia

tives

The

me

5: C

orpo

rate

Gov

erna

nce

8.

To in

stitu

tiona

lize

corp

orat

e go

ver-

nanc

e m

echa

nism

s an

d cu

lture

i. C

orpo

rate

cul

ture

cha

nge

man

age-

men

ti.

Secu

re c

orpo

ratio

n as

sets

ii.

Prud

ent fi

nanc

ial m

anag

emen

t.

ii.

Enh

ance

com

plia

nce

with

Mw

ongo

zo

guid

elin

esi.

Revi

ew o

f Bo

ard

Cha

rter

ii.

Und

erta

ke a

nnua

l Boa

rd p

erfo

rman

ce e

valu

atio

niii

. C

arry

out

Boa

rd in

duct

ion

train

ing.

iii.

Cor

pora

te c

omm

unic

atio

ni.

Form

ulat

e a

corp

orat

e co

mm

unic

atio

n po

licy

ii.

Dev

elop

men

t of

a co

mm

unic

atio

n flo

w c

hart

iii.

Dev

elop

men

t of

com

mun

icat

ion

infr

astr

uctu

re.

iv.

Info

rmat

ion

clas

sifica

tion

syst

em

iv.

Revi

ew o

f th

e co

rpor

atio

n’s a

cti.

Dev

elop

men

t of

a dr

aft a

men

dmen

t of

the

act

ii.

Invo

lvem

ent o

f st

akeh

olde

rs in

the

revi

ew o

f th

e ac

t Pub

lic p

ar-

ticip

atio

n

iii.

Pres

enta

tion

to P

arlia

men

t

v.

Stre

ngth

enin

g in

tern

al c

ontro

lsi.

Build

ing

capa

city

of

inte

rnal

aud

it fu

nctio

n

ii.

Polic

y fr

amew

ork

iii.

Revi

ew o

f A

udit

and

Risk

Man

agem

ent F

ram

ewor

k

40

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Obj

ectiv

esSt

rate

gies

K

ey I

nitia

tives

The

me

6: E

nviro

nmen

tal S

usta

inab

ility

9.

To c

ondu

ct o

ur

busin

ess i

n a

man

-ne

r tha

t pre

serv

es

and

cons

erve

s en

viro

nmen

tal

sust

aina

bilit

y

i. To

ach

ieve

1%

fore

st c

over

in a

ll ou

r fa

rms b

y pr

actic

ing

agro

fore

stry

i. A

gro

fore

stat

ion

ii.

Budg

et a

lloca

tion

for s

eeds

and

impl

emen

ts

iii.

Est

ablis

h en

viro

nmen

tal s

usta

inab

ility

com

mitt

ees i

n ev

ery

farm

iv.

Recr

uit t

ree

nurs

ery

atte

ndan

ts

ii.

To p

rote

ct ri

paria

n ar

eas

i. E

nfor

cing

30m

pol

icy

from

the

river

ban

ks

ii.

Impl

emen

t cor

pora

te e

nviro

nmen

tal s

usta

inab

ility

pol

icy,

regu

la-

tions

and

fram

e w

ork

iii.

Fenc

ing

of th

e ar

eas

iv.

Con

stru

ctio

n of

gab

ions

v.

Est

ablis

hmen

t of

terr

aces

vi.

Plan

ting

of b

ambo

o tre

es

vii.

Des

iltin

g of

dam

s and

wat

er p

ans

iii.

To a

dopt

app

ropr

iate

solid

and

affl

u-en

t man

agem

ent p

ract

ices

i. C

ontin

uous

mai

nten

ance

of

disp

osal

pit

ii.

Liai

se w

ith N

EM

A fo

r col

lect

ion

of c

hem

ical

con

tain

ers

iii.

Liai

se w

ith a

ppro

pria

te a

genc

ies w

ith in

cine

ratio

n fa

cilit

ies e

.g.

Moi

Tea

chin

g a

nd R

efer

ral H

ospi

tal

iv.

To e

stab

lish

mec

hani

sms f

or G

reen

en

ergy

i. E

stab

lish

win

d m

ills i

n ou

r far

ms

ii.

Est

ablis

h bi

ogas

pla

nts

iii.

Inst

alla

tion

of so

lar p

ower

syst

ems i

n ou

r far

ms

41

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

The ADC’s corporate strategy is an articulation of how the Corporation will go about doing its business. It is set in broad terms and covers the entire corporation.The various specific strategies detailed in theImplementation Matrix are derived from this overall corporate strategy.

The core business of the corporation will be promotion of commercially oriented agricultural resource development, enhancement of food and nutrition security and expansion of agricultural undertakings through production and supply of quality seed, livestock, biodiversity management, technological transfers in a sustainable manner. This will be achieved through realisation of various strategic initiatives.

Firstly, the Corporation seeks to build a sustainable financial resource base. Thiswill be achieved through implementation of various strategies which include engagement of government for funding, engagement of the private sector for partnerships, devolvement financial management tounits and enhanced debt management. The Corporation will undertake various initiatives such as establishment and operationalisation of a standing committee to continuously engage with the Parent Ministry, the National Treasury and private sector partners, negotiate and re-structure debts with key stakeholders, seek government support towards payment of old debts, develop and effective debt management policy among others.

Secondly, ADC seeks to ensure continuous improvement of customer satisfaction within

CHAPTER EIGHT: THE CORPORATE STRATEGY

thenextfiveyears.Thestrategiesforrealisingthis objective will include provision of quality goods and services, continuously interact with customers, corporate image enhancement, increasing outlets for our goods and services, partnerships with other stakeholders and undertaking corporate social responsibility activities. These strategies will be realised through refresher courses for staff, continuous improvement of the quality of products and services, improved storage and handling of products, increased channels for customer engagement as well as leveraging on technology in stakeholder engagement.

Thirdly, ADC will increase productivity in all its enterprises through increasing yield per unit area, increasing milk yield per cow, increasing dairy and beef herd sizes, increased finished life weight and enhanced breedingin beef production. The Key Initiatives will include precision farming, timeliness in operations/supply of critical inputs, conservation tillage in all crop operations, irrigation, mechanization of operations not mechanized. Other major initiatives will involve ensuring good quality forage and concentrates, improvement of breeding stock, use breeding technology and acquisition of more superior genetic animals, restocking, feed lotting, yearly beef herd inspections, as well as the use of superior stud bulls and embryo technology.

The Corporation, in its fourth strategic objective seeks to attain optimum utilization of resource through enhanced land utilization and use processing plant. The KeyInitiatives will involve introducing cash

42

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

crops in isolation areas, land reclamation and making hay in ranch land. Other initiatives will involve increasing the supply of raw materials and modernizing the process plant. The Corporation also seeks to re-engineer its business processes through enhanced use of ICT through leading to automation of most ofitsprocesses.Thiswillbethefifthstrategicobjective for the Corporation.

The sixth strategic objective for the Corporation will involve strengthen institutional capacity to be able to achieve its mandate. The key strategies for this objective will include development of human resource capacity, staff retention, organisational restructuring, improvement of work environment, development of monitoring, evaluation, review and controls tools as well as review of performance management systems. Key strategic initiatives will thus involve continuous professional development, skills development programmes, skills audits, reward, recognition and sanctions, salary reviews and introduction and enhancement of non-financialincentives.Otherkeyinitiativesfor realisation of these strategic objectives will involve workload analysis, review of HR policies and procedures, reviewing the organizational structure, provision of working tools, protective clothing, and recreational facilities, operationalization of monitoring, evaluation, review and control systems, implementation of performance-based reward, recognition and sanctions and performance contracts. The seventh objective will involve enhancement of research and development to achieve competitive advantage. This will be achieved through positioning of R &D functions by review of the organisation structure. The objective will

also be realised through development of new products and services by improvement in the yield, quality and nutrition.

Institutionalisation of corporate governance mechanisms and culture will be the eighth strategic objective for the Corporation. This will be realised through corporate culture change management, staff reorganisation, enhanced compliance with Mwongozo, corporate communication, review of the corporation’s act and strengthening internal controls. Key strategic initiatives in this area will involve prudential financialmanagement, staff audit, review of the corporate organogram, review of employee remuneration, retention and succession plan. Board related initiatives will involve review of the board charter, undertaking annual board evaluation, carrying out board induction and training, review of audit and risk management framework. Other initiatives will involve formulation of corporate communication policies, and development of acommunicationflowchart.Inrealisingthisstrategic objective, the Corporation also seeks to draft amendments to the ADC Act subject it to initial public participation and present it to Parliament. The Corporation will also strengthen the capacity of the internal audit function.

Lastly, ADC will seek to conduct its business in a manner that preserves and conserves environmental sustainability. Strategies for realising this strategic objective will involve seeking to achieve 1% forest cover in all its farms by practising agroforestry, protection of riparian areas, and adoption of appropriate solid and affluent waste managementpractices and establishment of mechanisms

43

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

for green energy. Some of the key initiatives that will lead to realisation of these strategic objectives will involve, agro forestation, budget allocation for seeds and implements, establishment of environmental sustainability committees in every farm, recruitment of nursery attendants, enforcement of the 30m distance from the river banks, implementation of corporate environmental policy, construction of gabions, planting bamboos, desilting of dams and water pans among others.

44

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

ADC Certified Seed MaizeADC Certified Seed Maize

45

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

This strategic plan will deliver expected results if it is successfully implemented and therefore it will require that the Corporation carry out several related activities. The Corporation shall implement this strategic plan by undertaking various activities. The key activities are reviewed below.

9.1. Implementation Matrix

The Corporation’s implementation matrix indicates the actions to be undertaken, by whom, when and with what expected results. It represents a commitment to implement the strategic plan. The Corporation’s implementation matrix is presented in Appendix 1.

Successful implementation of the strategic plan will however require that there exists a congruence between the various internal dimensions of an organization. Key among these dimensions are the 7S elements as proposed by McKinsey namely the strategy, structure, systems, styles, skills, staff and shared values. These elements must be well aligned to create a “fit” so as to supportthe Corporation’s strategic plan being implemented.

9.2. Annual Work Planning

The Corporation’s annual work plan (AWP) provides specific details aboutwhatwill bedoneduringagivenyear.It ismorespecificand more detailed than the implementation matrix. In implementingthefive-yearactionplan, the Corporation will have to develop five (5) annual work plans. The AWPs areprepared every year on the basis of intended

outcomes, strategies and budget in line Governmentguidelinesandtheymustreflectachievements and lessons learned in previous years.Theannualworkplanforthefirstyearof operation (FY 2019/2020) will be developed and then subsequent ones will follow being developed in the same manner.

9.3. Budgeting

The Corporation will develop an annual budget which will be linked to the strategic plan and the annual work plan. The annual work plan should ideally be completed before the budget for the year is drawn up. It is important in budgeting to ensure that there is an alignment between corporate budget and the corporate AWP in the first year ofthe strategic plan. In subsequent years then the annual work plans should be developed ahead of the budgeting cycle so that the annual budgets are driven by the priorities in the strategy. This means that the budget will be reviewed to fund the prioritized strategic activities.

9.4. Communication of the plan

This strategic plan shall be communicated to all the Board Members, Management and the Corporation’s Staff. Through such communication, the Board, Senior Management and the staff of the Corporation will understand what is expected of them. It is important that sensitization of all staff members is done on the key highlights of the strategic plan being implemented and clearly, they are informed of what is expected of them.

CHAPTER NINE: IMPLEMENTATION PLAN

46

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

9.5. Financing the plan

The Corporation plans to finance the planfrom Internal Resources; Debt Finance; Grants from Partners and National Government. The detailed breakdown of the funding sources is presented in Appendix II. Given that there are several assumptions in the financing of theplan, theCorporation is encouraged to findinnovative ways of generating new revenue while containing costs. These will include resource mobilization from other sources to fundspecificstrategicinitiatives.

9.6. Corporation Structure

The Corporation has been in the process of undertaking various human resource reforms. Part of the outputs for the reforms includes a new organisational structure that is aligned to the needs of the strategic needs of the organisation. The current organisation structure, which is under review, is presented in Appendix III.

It remains critical that ADC reviews her organizational structure and aligns it to the strategic plan for increased implementation success. There is need to audit the current organization structure with a view of identifying issues with structural implications.

9.7. Risk Analysis and Critical Assumptions

The successful implementation of this strategic plan is premised on certain prevailing conditions and assumptions; hence lack of the same could derail the organization from the charted course. Central to the effective implementation of the strategy is management’s discipline to execute

chosen strategies and remaining focused on the mission. Risks (identified duringplan formulation) that would hinder plan implementation or reduction of the positive effect of a plan are important to identify to enable mitigation. The potential risk factors and events which, if they occurred, would threaten attainment of ADC’s planned strategic objectives were identified throughenvironmental scanning to enable preparation of mitigation plans.

The Corporation must upscale its appetite for risk management, which is generally a continuous process and must be carried out throughout the life of the plan. Strategies to handlespecificriskeventsmustbedevelopedby management along the strategic plan objectives.

9.8. Monitoring and Evaluation Plan

Monitoringcanbedefinedas theprocessofcontinually tracking the implementation of planned programmes or activities to access their progress and performance. It entails supervising activities in progress to ensure they are on course and on schedule in meeting the objectives and performance targets. Whereas evaluation is the determination of to what extent set objectives have been successfully met. Monitoring and evaluation (M&E) provide regular and timely information in support of evidence-baseddecision-making serving as a key driver towards the realization of an organization’s goals. Hence, the information prepared includes progress made;challengesencounteredandidentifiedemerging issues. Theinformation collected can be used to promote a culture of learning and application of lessons learned.

47

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

This Strategic plan 2019/20-2023/24 shall employ best practice principles that call for use of indicator identification, frequencyof data collection; responsibility of data collection; data analysis and use; reporting and dissemination to guide the monitoring process; assessment of progress towards achieving plan outcomes; evaluation focused on why results are being achieved, or not; clear logical pathways where results from one level flow towards the next level and so onleading to the achievement of the overall goal.

The monitoring and evaluation (M&E) shall be managed by the Corporate PlanningDivision. The M& E of the plan shall be integrated with performance contracting process to eliminate duplication of effort and to make the process more effective. The integrated framework shall contain the following key elements;

i. All Divisions of ADC shall be expected to set performance targets as part of their annual work plans at the start of each year, derived from this plan and their cascaded Division plans.

ii. On regular basis, all Divisions shall monitor their performance to establish if performance targets are being met; to act as early warning system for detecting potential difficulties; toassist in addressing any difficultiesduring the plan implementation and to provide feedback for the next implementation phase.

iii. All Divisions shall monitor the implementation of their annual work plans through regular meetings.

iv. The evaluation of the Division plans shall be carried out quarterly and annually both at the Division and Corporate level.

Details of the M&E process shall be developed and outlined in the Monitoring and Evaluation Plan 2019/20-2022/23 including templates for quarterly and annual performance evaluations. Monitoringcanbedefinedas theprocessofcontinually tracking the implementation of planned programmes or activities to access their progress and performance. It entails supervising activities in progress to ensure they are on course and on schedule in meeting the objectives and performance targets. Whereas evaluation is the determination of to what extent set objectives have been successfully met. Monitoring and evaluation (M&E) provide regular and timely information in support of evidence-based decision making serving as a key driver towards the realization of an organization’s goals. Hence, the information prepared includes progress made;challengesencounteredandidentifiedemerging issues. Theinformation collected can be used to promote a culture of learning and application of lessons learned.

This Strategic plan 2019/20-2023/24 shall employ best practice principles that call for use of indicator identification, frequencyof data collection; responsibility of data collection; data analysis and use; reporting and dissemination to guide the monitoring process; assessment of progress towards achieving plan outcomes; evaluation focused on why results are being achieved, or not; clear logical pathways where results from one level flow towards the next level and so onleading to the achievement of the overall goal.

48

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

9.9. Cascading Framework

The performance of ADC will be because of the performance of all employees as everyone has a role to play. The desired corporate outcomes will be realised only if they are translated to key results of Divisions within ADC and those of teams and individual staff members. There must be a focus across all levels of ADC that is consistently aligned to the corporate Strategy.

ADC will embrace a cascading frame work that extends from the corporate work plan that defines thetop-levelstrategy, with theimplementation matrix forming the basis for the corporate score card. At the lower tiers (Divisions, Units and Departments) their extended annual work plans will be derived from the corporate plan, with additional and relevant implementation details and activities incorporated that are aligned to the corporate strategy.

Employee performance appraisal instruments embodied in the employees’ personal objectives and defined by their descriptionsand work assignments shall be clearly aligned both individually and collectively to the employees’ Division/Departmental plans. As employees meet their personal objectives and perform their duties, their Division/Departmental performance targets and objectives shall equally be met. This shall ensure that the overall corporate objectives and outcomes are realised.

49

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Dorper SheepDorper Sheep

50

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

This strategic plan 2019/2020 – 2023/2024 will serve as a blueprint for the transformation of the ADC. It will require the alignment of ADC’s human and physical resources to meet the goals identifiedinit.Assuch,ADCwillhavetobeadaptableandresilientinthefaceofachangingexternal environment while at the same time, it is important that the Corporation be able to strike a balance between the aspects that it must adapt and evolve, and the aspects that make it truly distinctive. Finding the balance and making the right measure of adaptation and gauging the “market” impact will take time, learning and re-calibration. Therefore, this strategy plan should be treated as a living document, subject to course corrections along the way.

In order to ensure successful implementation of this strategic plan, the collective effort of all Board Members, Senior Management and Staff of the Corporation will be required. The Chairman of the Board and the Managing Director of the Corporation will play a leading role in the implementation efforts. The success of this strategic plan is equally dependent on all working together and supporting each other and therefore the Board and Senior Management will have to rally everybody in moving the Corporation forward. They will need to effectively manage the interface between the Corporation and its key stakeholders.

The Corporation’s strategic plan will be monitored, reviewed and revised from time to time. This will ensure the plan remains relevant given the dynamism of the environment within which the Corporation is operational while maintaining the Corporation’s dedication to the promotion of commercially oriented agricultural resource development, enhancement of food and nutrition security and expansion of agricultural undertakings through production and supply of quality seed, livestock, biodiversity management, technological transfers and incubation of enterprises in a sustainable manner.

CHAPTER TEN: CONCLUSION

51

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

APP

END

ICES

APP

END

IX I:

Impl

emen

tatio

n Pl

an M

atri

x

Stra

tegi

c Th

eme

One

(1):

Econ

omic

Per

spec

tive

Obj

ectiv

e O

ne (1

): To

bui

ld a

Sus

tain

able

Fin

anci

al R

esou

rce

Base

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

Ind

i-ca

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

C

ham

pion

s

Eng

age

the

gove

rnm

ent

for f

undi

ng

Est

ablis

h an

d op

erat

iona

lizea

st

andi

ng c

omm

ittee

to c

ontin

u-ou

sly e

ngag

e w

ith P

aren

t Min

istry

an

d Tr

easu

ry

Incr

ease

d fu

ndin

gA

mou

nt o

f fu

nds r

e-ce

ived

2019

-202

3Bo

ard/

MD

/FC

/HTD

•In

crea

sed

Reve

nue

•In

crea

sed

retu

rn o

n

inve

stm

ent

Incr

ease

d ca

pita

tion

% In

crea

se in

pro

duct

ion

Eng

age

the

priv

ate

sect

or

for p

artn

er-

ship

s

Est

ablis

h an

d op

erat

iona

lize

a st

andi

ng c

omm

ittee

to c

ontin

-uo

usly

eng

age

with

the

priv

ate

sect

or p

artn

ers

Impr

oved

cas

h flo

wA

mou

nt re

ceiv

ed fr

om

part

ners

2019

-202

3Bo

ard/

MD

/FC

/CS/

HBD

D/U

nit M

anag

ers

% in

crea

se in

reve

nue

rece

ived

from

ope

ratio

ns

unde

r par

tner

ship

s

2019

-202

3

Dev

olve

fin

anci

al

man

agem

ent

to U

nits

Stre

ngth

en in

tern

al c

ontro

ls In

crea

sed

profi

tabi

lity

Num

ber o

f fin

anci

ally

de

volv

ed U

nits

20

19 -2

023

MD

/FC

/HIA

D/R

M/

Uni

t Man

ager

s%

incr

ease

in re

venu

e20

19 -2

023

% d

ecre

ase

in

oper

atio

nal c

osts

Man

agem

ent

of d

ebts

Neg

otia

te a

nd re

-str

uctu

re d

ebts

w

ith k

ey st

akeh

olde

rs.

Impr

oved

cas

h-flo

w%

dec

reas

e in

deb

ts a

nd

its re

late

d co

sts

2019

-202

3M

D/F

C/C

S

Seek

gov

ernm

ent s

uppo

rt to

war

ds

paym

ent o

f ol

d de

bts

Incr

ease

d fu

ndin

g20

19 -2

023

Boar

d/M

D/F

C

Dev

elop

an

effe

ctiv

e de

bt m

an-

agem

ent p

olic

yTi

mel

y pa

ymen

t of

debt

s20

19-2

020

FC/H

TD/S

PO

52

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

Ind

i-ca

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

C

ham

pion

s

Ass

et

Man

agem

ent

Acq

uisit

ion

of la

nd ti

tles

Secu

red

AD

C la

ndN

umbe

r of

title

s ac-

quire

d 20

20-2

023

MD

/CS/

FC a

nd U

nit

Man

ager

sG

azet

tem

ent o

f al

l AD

C la

ndSi

ze o

f G

azet

ted

AD

C

land

in H

aVa

luat

ion

of A

DC

land

Valu

atio

n Re

port

Fenc

ing

of u

nfen

ced

AD

C la

ndLe

ngth

of

Fenc

ing

(Km

s)

53

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegi

c Th

eme

Two

(2):

Cus

tom

er F

ocus

Obj

ectiv

e O

ne (1

): T

o co

ntin

uous

ly im

prov

e cu

stom

er s

atis

fact

ion

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

ut-

com

e(s)

K

ey P

erfo

rman

ce I

ndi-

cato

r(s)

(KPI

s)T

ime

Fram

eIm

plem

entin

g C

ham

pion

s

Prov

ision

of

qu

ality

go

ods

and

serv

ices

•Re

crui

t qua

lified

PR

staf

f

•O

ffer

refr

eshe

r cou

rses

for

staf

f

•C

onfo

rm o

ur se

rvic

es to

se

rvic

e ch

arte

r

•Ti

mel

y re

port

ing

to O

m-

buds

man

•Q

ualit

y se

rvic

es to

ou

r cus

tom

ers

•Im

prov

ed q

ualit

y pr

oduc

ts a

nd

serv

ices

•E

ffici

ent s

ervi

ces

•C

onfo

rmity

to

Com

miss

ion

on

Adm

inist

rativ

e Ju

stic

e

•In

crea

sed

cust

omer

ba

se a

fter d

oing

a

cust

omer

bas

e su

rvey

.

•In

crea

sed

dem

and

for o

ur g

oods

and

se

rvic

es

•Ti

mel

y ad

dres

sing

of

cust

omer

com

plai

nts

•Av

ail a

fter s

ales

ser-

vice

s

•Po

sitiv

e fe

edba

cks

from

our

cus

tom

ers

•Re

duce

d nu

mbe

r of

litig

atio

ns

•In

crea

sed

leve

ls of

cu

stom

er sa

tisfa

ctio

n by

20%

•O

mbu

dsm

an c

ertifi

-ca

tion

by 1

0%

2019

-202

3BO

D/T

op M

anag

emen

t/H

eads

of

Dep

art-

men

ts/U

nit M

anag

ers

54

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

ut-

com

e(s)

K

ey P

erfo

rman

ce I

ndi-

cato

r(s)

(KPI

s)T

ime

Fram

eIm

plem

entin

g C

ham

pion

s

Con

tinu-

ously

in

tera

ct

with

cu

s-to

mer

s

•E

xhib

ition

of

our p

rodu

cts

in A

gric

ultu

ral s

how

s

•Fi

eld

days

•Fi

eld

dem

os

•O

nlin

e an

d pr

int m

edia

ad

vert

s

•Ra

dio

adve

rts

•E

stab

lishm

ent o

f cu

stom

er

care

des

k

•Te

am b

uild

ing

activ

ities

•W

orks

hops

with

cus

tom

ers

•Br

andi

ng

•In

crea

sed

cust

om-

er lo

yalty

•C

usto

mer

con

fi-de

nce

•In

crea

sed

publ

icity

•C

usto

mer

con

fi-de

nce

•In

crea

sed

publ

ic

awar

enes

s thr

ough

nu

mbe

r of

view

s on

Tw

itter

, Fac

e-bo

ok a

nd o

n th

e w

ebsit

e, nu

mbe

r of

peo

ple

who

vi

sit o

ur e

vent

s

•In

crea

sed

signa

ge

•In

crea

sed

dem

and

for

our

pro

duct

s

•In

crea

sed

sale

s of

our

good

s and

serv

ices

•In

crea

sed

publ

icity

2019

-202

3M

arke

ting/

Publ

ic R

elat

ions

D

epar

tmen

t

55

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

ut-

com

e(s)

K

ey P

erfo

rman

ce I

ndi-

cato

r(s)

(KPI

s)T

ime

Fram

eIm

plem

entin

g C

ham

pion

s

Cor

pora

te

imag

e en

-ha

nce-

men

t

•C

usto

mer

satis

fact

ion

sur-

veys

•Re

bran

d

•Tr

ain

staf

f on

PR

skill

s

•C

orpo

rate

uni

form

to b

e en

forc

ed

•C

usto

mer

feed

-ba

ck w

ill e

nabl

e in

m

akin

g in

form

ed

deci

sions

•Im

prov

ed st

aff

mor

ale

•C

usto

mer

con

fi-de

nce

enha

nced

•N

umbe

r of

view

s on

Twitt

er,

Face

book

and

on

web

site,

num

ber

of p

eopl

e w

ho

visit

our

eve

nts

•Im

prov

ed v

isibi

lity

and

corp

orat

e im

age

•Im

prov

ed p

rodu

ctio

n an

d se

rvic

e pr

ovisi

on

•E

nhan

ced

awar

enes

s

2019

-202

3BO

D/

MD

/ H

R/PR

/Hea

ds

of D

ivisi

on a

nd D

epar

t-m

ents

Incr

ease

d ou

tlets

fo

r our

go

ods

and

serv

ices

App

oint

men

t of

agen

ts a

nd

dist

ribut

ors a

cros

s the

cou

ntry

•In

crea

sed

mar

-ke

t sha

re fo

r our

go

ods a

nd se

rvic

es

afte

r sur

vey

to

dete

rmin

e cu

rren

t m

arke

t sha

re

•In

crea

sed

sale

s

•In

crea

sed

reve

nues

•In

crea

sed

dem

and

for o

ur g

oods

and

se

rvic

es

•M

arke

t res

earc

h

•In

crea

sed

dist

ribut

ion

agen

ts

2019

-202

3M

D/

Mar

ketin

g D

ivisi

on/

PR/R

espo

nsib

le U

nit M

an-

ager

s

56

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

ut-

com

e(s)

K

ey P

erfo

rman

ce I

ndi-

cato

r(s)

(KPI

s)T

ime

Fram

eIm

plem

entin

g C

ham

pion

s

Part

ner-

ship

s w

ith

othe

r st

ake-

hold

ers

•O

ffer

ing

inte

rnsh

ips a

nd

atta

chm

ent t

o st

uden

t in

tern

s

•O

ffer

ing

test

ing

grou

nds

for n

ew in

nova

tions

and

te

chno

logy

•To

par

tner

with

cou

nty

Gov

ernm

ents

for i

nfra

-st

ruct

ural

dev

elop

men

t, tra

inin

gs a

nd p

rovi

sion

of

outle

ts fo

r our

pro

duct

s

•Re

crui

t mor

e sa

les a

gent

s

•O

peni

ng m

ore

AD

C sh

ops

•St

akeh

olde

r ana

lysis

•Im

prov

ed in

fra-

stru

ctur

e

•Im

prov

ed re

la-

tions

-hip

s

•Im

prov

ed c

orpo

-ra

te p

ublic

ity

•Fa

ster

mov

emen

t of

good

s due

to b

ette

r ro

ads t

hrou

gh in

-cr

ease

in n

umbe

r of

Km

s to

grad

ed a

nd

tarm

acke

d

•In

crea

sed

appl

icat

ion

for i

nter

nshi

ps

2019

-202

3M

D/M

arke

ting

Div

ision

/PR

/Res

pons

ible

Uni

t Man

-ag

ers

Cor

pora

te

Soci

al

Re-

spon

-sib

ility

ac

tivi-

ties

•Tr

ee p

lant

ing

•G

ivin

g ou

t see

dlin

gs to

co

mm

unity

and

scho

ols a

s C

SR

•C

ontri

butio

n to

war

ds c

hari-

tabl

e or

gani

zatio

ns

•E

nhan

ced

envi

ron-

men

tal c

onse

rva-

tion

•G

ood

Cor

pora

te

imag

e an

d liv

ing

harm

onio

usly

with

ou

r nei

ghbo

rs

•E

nhan

ced

CSR

•In

crea

sed

tree

cove

r by

2%

•A

DC

bra

nd a

war

enes

s su

rvey

2019

-202

3A

ll

57

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegi

c Th

eme

Thre

e (3

): In

tern

al B

usin

ess

Proc

esse

s

Obj

ectiv

e O

ne (1

): In

crea

se p

rodu

ctiv

ity in

all

our e

nter

pris

es

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

Ind

i-

cato

r(s)

(KPI

s)

Tim

e

Fram

e

Impl

emen

ting

Cha

mpi

ons

Incr

ease

yie

ld

per u

nit a

rea

Prec

ision

farm

ing

Acc

urac

y in

use

of

inpu

ts.

Targ

eted

rate

s ach

ieve

d 20

19-2

023

TO(E

)/TO

(C)/

Uni

t

Man

ager

Tim

elin

ess i

n op

erat

ions

/

supp

ly o

f cr

itica

l inp

uts

Adh

eren

ce to

ope

ratio

ns

timel

ines

Ope

ratio

nal t

imel

ine

achi

eved

2019

-202

3M

D/H

TD,

Con

serv

atio

n til

lage

in a

ll

crop

ope

ratio

ns

Impr

oved

soil

phys

ical

,

chem

ical

and

fert

ility

Ann

ual s

oil t

est a

naly

sis

repo

rt

2019

-202

3TO

(C)/

TO(E

)/U

nit

Man

ger

Irrig

atio

n C

ontin

uous

cro

ppin

gIr

rigat

ion

syst

em in

pla

ce

and

oper

atio

nal.

2019

-202

3A

gric

ultu

re C

hair/

HTD

/

MD

,M

echa

niza

tion

of o

pera

-

tions

not

mec

hani

zed

Mec

hani

zed

oper

atio

nsN

umbe

r of

mec

hani

zed

oper

atio

ns

2019

-202

3H

TD/T

O(E

)/TO

(C)

Incr

ease

milk

yiel

d (lt

s) p

er

cow

•G

ood

qual

ity fo

rage

,

past

ures

and

con

cen-

trate

s

•Im

prov

e an

imal

man

-

agem

ent p

ract

ices

Goo

d he

rd h

ealth

•M

ilk p

rodu

ctio

n

•G

row

th ra

te

•Lo

w m

orta

lity

•C

alvi

ng in

terv

al

•G

row

th in

her

d siz

e

•A

ge a

t firs

t cal

ving

2019

-202

3RM

/TO

(E)/

Uni

t man

-

ager

Incr

ease

dai

ry

herd

size

Impr

ove

bree

ding

stoc

kIn

crea

sed

high

yie

ldin

g

herd

size

The

num

bers

of

high

yiel

d he

rd si

ze

2019

-202

3RM

/VO

/Uni

t Man

ager

•U

se b

reed

ing

tech

nol-

ogy

and

acqu

ire m

ore

supe

rior g

enet

ics

•Q

ualit

y br

eedi

ng p

ro-

gram

s

•In

crea

sed

herd

size

•Q

ualit

y liv

esto

ck g

e-

netic

s

Num

ber o

f br

eedi

ng

anim

als f

or sa

le

2019

-202

3RM

/VO

/Uni

t Man

ager

58

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

Ind

i-

cato

r(s)

(KPI

s)

Tim

e

Fram

e

Impl

emen

ting

Cha

mpi

ons

Incr

ease

bee

f

herd

size

Rest

ocki

ng

Incr

ease

d in

num

bers

The

num

ber o

f an

imal

s

purc

hase

d

2019

-202

3H

TD/F

C/U

nit M

anag

er

Incr

ease

the

finish

ed li

fe

wei

ght

Feed

lotti

ng

Redu

ced

finish

ing

time.

Tim

e an

d w

eigh

t 20

19-2

023

Uni

t Man

ager

Enh

ance

d

bree

ding

in

beef

pro

duc-

tion

Year

ly b

eef

herd

insp

ectio

nC

onfo

rmity

to b

eef

stan

dard

to th

e pa

rtic

ular

bree

ds.

Num

ber o

f re

gist

ered

anim

als

2019

-202

3V

O/U

nit M

anag

er

Use

of

supe

rior s

tud

bulls

and

embr

yo te

chno

logy

Impr

oved

mor

e su

perio

r

anim

als

The

num

ber o

f an

imal

s20

19-2

023

Uni

t Man

ager

59

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Obj

ectiv

e Tw

o (2

): To

atta

in o

ptim

um u

tiliz

atio

n of

reso

urce

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

Ind

i-ca

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

Cha

mpi

ons

Enh

ance

la

nd u

tiliz

a-tio

n

Intro

duce

cas

h cr

ops i

n iso

latio

n ar

eaIn

crea

sed

land

use

The

am

ount

of

area

ut

ilize

d 20

19-2

023

Uni

t man

ager

s

Land

Rec

lam

atio

n(dr

aina

ge)

Mor

e ar

able

land

A

rea

recl

aim

ed.

2021

-202

2H

TD/T

O(E

)/ U

nit

man

ager

Mak

e ha

y in

ranc

h la

ndH

ay m

akin

gN

umbe

r of

bale

s fro

m

the

area

s20

19-2

023

Uni

t Man

ager

Enh

ance

us

e of

our

pr

oces

sing

plan

t (Fe

ed

mill

and

seed

un

it)

Ens

ure

supp

ly o

f en

ough

raw

m

ater

ial

Impr

oved

pro

duct

ion

•Q

uant

ity o

f an

imal

’s fe

eds a

nd se

ed•

Prop

er h

andl

ing

and

stor

age

of g

oods

•C

ontin

uous

pro

duct

ion

of q

ualit

y se

ed

2019

-202

3H

TD/R

M/S

PO/

Uni

t Man

ager

Mod

erni

zatio

n of

pro

cess

ing

plan

tIm

prov

e ca

paci

ty u

tiliz

atio

n of

the

plan

tTo

nnag

e pe

r uni

t hou

r20

21-2

22M

D/H

TD/T

O/

Uni

t Man

ager

60

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Obj

ectiv

e Th

ree

(3):

Re-

engi

neer

ing

inte

rnal

bus

ines

s pr

oces

s in

line

with

glo

bal b

ased

pra

ctic

es

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

Ind

i-ca

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

Cha

mpi

ons

Aut

oma-

tion

of

proc

esse

s

•E

nhan

ce u

se o

f IC

T

•D

evel

opin

g IC

T in

fras

truc

ture

•A

cqui

sitio

n of

com

pute

rs a

nd

acce

ssor

ies

•A

cqui

sitio

n of

ERP

•E

nsur

e fu

ll el

ectri

city

con

nect

iv-

ity in

the

units

•U

pgra

de a

nd m

aint

enan

ce o

f w

ebsit

e

•O

pera

tiona

l IC

T in

pla

ce•

Effi

cien

cy in

ope

ratio

nsT

he n

umbe

r of

oper

atin

g sy

stem

s 20

19-2

023

ICT

Man

ager

, FC,

H

TD, H

R, S

PO.

61

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegi

c Th

eme

Four

(4):

Cap

acity

Bui

ldin

g an

d In

nova

tion

Obj

ectiv

e O

ne (1

): T

o st

reng

then

inst

itutio

nal c

apac

ity to

be

able

to a

chie

ve o

ur m

anda

te

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

In

dica

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

Cha

mpi

ons

Dev

elop

H

R ca

pac-

ity

Con

tinuo

us p

rofe

ssio

nal d

evel

op-

men

tIn

crea

sed

com

pete

nce

Num

ber o

f st

aff

train

ed20

19-2

023

HRM

Skill

s dev

elop

men

t pro

gram

sIm

prov

ed p

erfo

rman

ce

Skill

s aud

itId

entifi

ed S

kills

gap

sSk

ills a

udit

repo

rt20

19-2

021

Staf

f re

tent

ion

•Re

war

d, re

cogn

ition

and

sanc

-tio

n

•Sa

lary

revi

ew

•N

on-fi

nanc

ial i

ncen

tives

•A

cqui

re B

alan

ce S

core

card

tool

Mot

ivat

ed S

taff

•Re

duce

d St

aff

turn

over

– le

ss

than

10%

•Re

view

ed sa

lary

2019

-202

3H

RM

Impl

emen

tatio

n of

sche

me

of

serv

ice

Car

eer p

rogr

essio

nN

umbe

r of

staf

f

prom

oted

Org

ani-

zatio

n re

stru

ctur

-in

g

Wor

kloa

d an

alys

isO

ptim

al st

aff

leve

lsRe

port

s20

19-2

023

MD

/HC

PA/H

RM

Revi

ew o

f H

R po

licie

s and

pro

ce-

dure

sIm

prov

ed H

R pr

oces

ses

and

prac

tices

Revi

ewed

HR

polic

ies

and

proc

edur

e20

19-2

020

Revi

ewin

g th

e O

rgan

izat

iona

l St

ruct

ure

Cle

arly

defi

ned

role

sRe

vise

d or

gani

zatio

nal

stru

ctur

e20

19-2

020

Impr

ove-

men

t of

wor

k en

vi-

ronm

ent

•Pr

ovisi

on o

f w

orki

ng to

ols,

prot

ectiv

e cl

othi

ng, r

ecre

atio

nal

faci

litie

s

•E

nhan

ced

Wor

k, In

jury

and

Be

nefit

s Act

(WIB

A) i

nsur

ance

•C

ondu

cive

wor

k

envi

ronm

ent

•Re

duce

d oc

cupa

tiona

l ha

zard

s/in

cide

nces

Safe

ty m

easu

res i

n pl

ace

(sig

nage

s, sa

fety

aud

its, O

SH

prog

ram

s)

2019

-202

3H

RM

62

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

In

dica

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

Cha

mpi

ons

Enh

ance

M

onito

r-in

g, E

val-

uatio

n,

Revi

ew

and

Con

-tro

l too

l

Ope

ratio

naliz

e M

onito

ring,

Eva

l-ua

tion,

Rev

iew

and

Con

trol

Syst

em

•Im

prov

ed y

ield

s

•Im

prov

ed c

ash

flow

•Im

prov

ed e

nviro

n-m

enta

l sus

tain

abili

ty

Perf

orm

ance

repo

rts

2019

-202

1H

RM/I

CT

Revi

ew

perf

or-

man

ce

man

-ag

emen

t sy

stem

•Im

plem

enta

tion

of p

erfo

r-m

ance

-bas

ed re

war

d, re

cogn

i-tio

n an

d sa

nctio

ns.

•Pe

rfor

man

ce c

ontra

cts

Impr

oved

pro

duct

ivity

•N

o. o

f em

ploy

-ee

s rew

arde

d an

d sa

nctio

ned.

•N

o. o

f st

aff

eval

u-at

ed

2019

-202

3H

RM

63

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Obj

ectiv

e Tw

o (2

): T

o en

hanc

e re

sear

ch a

nd d

evel

opm

ent t

o ac

hiev

e co

mpe

titiv

e ad

vant

age

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

In

dica

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

Cha

mpi

ons

Cle

ar p

o-sit

ioni

ng

of R

&D

fu

nctio

ns

Revi

ew o

rgan

izat

iona

l str

uctu

reC

lear

ly d

efine

d ro

les

Revi

sed

orga

niza

tiona

l st

ruct

ure

2019

-202

0H

R

Dev

elop

-m

ent o

f ne

w p

rod-

ucts

and

se

rvic

es

Impr

ovem

ent i

n yi

eld,

qua

lity

and

nutri

tion

Sust

ain

food

pro

duct

ion

valu

e ch

ain

Num

ber o

f pr

oduc

ts

and

serv

ices

2019

-202

3H

TD/R

&D

64

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegi

c Th

eme

Five

(5):

Cor

pora

te G

over

nanc

e

Obj

ectiv

e O

ne (1

): T

o in

stitu

tiona

lize

corp

orat

e go

vern

ance

mec

hani

sms

and

cultu

re

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

In

dica

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

C

ham

pion

s

Cor

pora

te

cultu

re c

hang

e m

anag

emen

t

Secu

re c

orpo

ratio

n as

sets

Gro

wth

of

corp

orat

ion

asse

t bas

eIn

crea

sed

asse

t val

ue20

19 -

2023

MD

Prud

ent fi

nanc

ial m

anag

e-m

ent.

Incr

ease

of

the

sh

areh

olde

rs’ w

orth

Inte

rnal

aud

it po

licy

fram

ewor

kE

nhan

ce c

om-

plia

nce

with

M

won

gozo

gu

idel

ines

Revi

ew o

f Bo

ard

Cha

rter

Impr

oved

Boa

rd p

erfo

r-m

ance

Qua

lity

polic

y fo

rmu-

latio

n20

19 -

2023

CS

•U

nder

take

ann

ual B

oard

pe

rfor

man

ce e

valu

atio

n•

Car

ry o

ut B

oard

indu

ctio

n

train

ing.

Impr

oved

cor

pora

te v

alue

.Bo

ard

Eva

luat

ion

repo

rt

Cor

pora

te

com

mun

icat

ion

Form

ulat

e a

corp

orat

e co

mm

unic

atio

n po

licy

Effi

cien

t and

eff

ectiv

e ve

rtic

al a

nd h

oriz

onta

l co

mm

unic

atio

n ch

anne

ls.

Enh

ance

d te

amw

ork

Eff

ectiv

e di

sput

e re

so-

lutio

n

2019

-202

3M

D/C

S/H

R/PR

M

Dev

elop

men

t of

a co

m-

mun

icat

ion

flow

cha

rtIm

prov

ed in

form

atio

n m

anag

emen

t.Le

vel o

f im

plem

en-

tatio

n of

pol

icie

s and

di

rect

ives

Dev

elop

men

t of

com

mu-

nica

tion

infr

astr

uctu

re.

Impr

oved

tran

smiss

ion

of

info

rmat

ion

Info

rmat

ion

accu

racy

Com

mun

icat

ion

tool

s an

d m

edia

Info

rmat

ion

clas

sifica

tion

syst

emIm

prov

ed in

form

atio

n m

anag

emen

tC

omm

unic

atio

n to

ols

and

med

ia

65

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

In

dica

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

C

ham

pion

s

Revi

ew o

f th

e co

rpor

atio

n’s

act

•D

evel

opm

ent o

f a

draf

t am

endm

ent o

f th

e ac

t

•In

volv

emen

t of

stak

e-ho

lder

s in

the

revi

ew

of th

e ac

t

•Pr

esen

tatio

n to

par

lia-

men

t

Revi

ewed

Act

Re

view

ed A

ct20

19 -2

023

CS

Stre

ngth

enin

g in

tern

al c

on-

trols

•Bu

ildin

g ca

paci

ty o

f

in

tern

al a

udit

func

tion

•Po

licy

fram

ewor

k•

Revi

ew o

f A

udit

and

Risk

M

anag

emen

t Fra

mew

ork

•Im

prov

e in

tern

al a

udit

p

roce

ss•

Gui

de in

tern

al a

udit

o

pera

tions

•Im

prov

ed R

isk

Man

agem

ent

Inte

rnal

aud

it Po

licy

Fram

ewor

k

66

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegi

c Th

eme

Six

(6):

Envi

ronm

enta

l Sus

tain

abili

ty

Obj

ectiv

e O

ne (1

): To

Con

duct

our

Bus

ines

s in

a M

anne

r tha

t Pre

serv

es a

nd C

onse

rves

Env

iron

men

tal S

usta

inab

ility

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

Ind

ica-

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

Cha

mpi

ons

To a

chie

ve

1% fo

rest

co

ver i

n al

l ou

r far

ms

by p

ract

icin

g ag

ro fo

rest

ry

Agr

o fo

rest

atio

nIn

crea

sed

num

ber o

f tre

es• N

o. o

f pl

ante

d tre

es

• Are

a of

land

cov

ered

2019

-202

3FC

/HBD

/MPI

M/

Regi

onal

Man

ager

/Uni

t M

anag

ers

Budg

et a

lloca

tion

for

seed

s and

impl

emen

ts• I

ncre

ased

are

a un

der t

rees

• Enh

ance

d ef

ficie

ncy

in

se

edlin

g pr

oduc

tion

Am

ount

of

fund

s spe

nt

Est

ablis

h en

viro

nmen

-ta

l sus

tain

abili

ty c

om-

mitt

ees i

n ev

ery

farm

Fast

and

relia

ble

envi

ronm

enta

l su

stai

nabi

lity

deci

sion

mak

ing

• Com

mitt

ee m

eetin

gs h

eld

• No

of re

port

s sub

mitt

ed

Recr

uit t

ree

nurs

ery

atte

ndan

tsIn

crea

sed

surv

ival

of

seed

ling

trans

plan

ted

and

trees

No.

of

tree

nurs

ery

atte

n-da

nts

67

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

Ind

ica-

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

Cha

mpi

ons

To p

rote

ct

ripar

ian

area

s

Enf

orci

ng 3

0m p

olic

y fr

om th

e riv

er

bank

s

• Red

uced

soil

eros

ion

• Red

uced

wat

er p

ollu

tion

• Min

imum

enc

roac

hmen

t

• Reg

ener

atio

n of

vege

tatio

n al

ong

wat

er

bodi

es• C

ompl

ianc

e ce

rtifi

cate

from

NE

MA

2019

/20

20TM

E/H

TD/F

C/H

BD/

MPI

M/R

M/U

nit M

an-

ager

s

Impl

emen

t cor

pora

te

envi

ronm

enta

l su

stai

nabi

lity

polic

y, re

gula

tions

an

d fr

ame

wor

k

Polic

y do

cum

ent d

evel

oped

Polic

y do

cum

ent a

vaile

d an

d ci

rcul

ated

Fenc

ing

of th

e ar

eas

Enh

ance

d se

curit

yA

mou

nt o

f fu

nds s

pent

on

fenc

ing

Con

stru

ctio

n of

ga

bion

s Re

duce

d so

il er

osio

nN

o. o

f ga

bion

s con

stru

cted

Est

ablis

hmen

t of

terr

aces

Redu

ced

surf

ace

wat

er ru

n-of

fN

o. o

f te

rrac

es c

onst

ruct

ed

Plan

ting

of b

ambo

o tre

esW

ater

pur

ifica

tion,

and

redu

ced

wat

er b

orne

dise

ases

No.

of

bam

boo

trees

pl

ante

d an

d vo

lum

e of

cl

ean

wat

er fl

owin

gD

e-sil

ting

of d

ams

and

wat

er p

ans

Incr

ease

d w

ater

vol

ume

and

redu

ctio

n of

floo

ding

No.

of

dam

s and

wat

er

pans

est

ablis

hed

Repo

rts s

ubm

itted

68

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Stra

tegy

K

ey I

nitia

tives

Exp

ecte

d O

utco

me(

s)

Key

Per

form

ance

Ind

ica-

tor(

s) (K

PIs)

Tim

e Fr

ame

Impl

emen

ting

Cha

mpi

ons

To a

dopt

ap

prop

riate

so

lid a

nd

afflu

ent

man

agem

ent

prac

tices

Con

tinuo

us m

aint

e-na

nce

of d

ispos

al

pit

Cle

an a

nd c

ondu

cive

env

iron-

men

tN

o. o

f di

spos

al p

its in

our

fa

rms

2019

-202

0H

BD/H

IAD

/HTD

/U

nit M

anag

ers/

BOD

/C

EO

/HTD

/FC

/HBC

/M

PIM

/RM

/Uni

t Man

-ag

ers

Liai

se w

ith N

EM

A

for c

olle

ctio

n of

ch

emic

al c

onta

in-

ers

Dec

onge

stio

n of

stor

age

faci

l-iti

esN

o. o

f us

ed a

nd in

jure

d ch

emic

al c

onta

iner

s del

iv-

ered

to N

EM

A

Ann

ually

Liai

se w

ith a

ppro

-pr

iate

age

ncie

s w

ith in

cine

ratio

n fa

cilit

ies e

.g. M

oi

Teac

hing

and

Re-

ferr

al H

ospi

tal

Redu

ced

cost

on

purc

hase

of

tarp

aulin

s•

Repo

rt a

nd c

ertifi

cate

• N

o. o

f fe

rtili

zer b

ags

us

ed to

mak

e ta

rpau

lins

To e

stab

lish

mec

hani

sms

for G

reen

en

ergy

Est

ablis

h w

ind

mill

s in

our

farm

sRe

duce

d of

ele

ctric

ity b

ills

No

of w

ind

mill

s20

19-2

023

Est

ablis

h bi

ogas

pl

ants

Redu

ced

cost

s on

fuel

and

gas

N

o of

bio

gas p

lant

s20

20-2

021

Inst

alla

tion

of so

lar

pow

er sy

stem

s in

our f

arm

s

Redu

ce u

se o

f fir

ewoo

dN

o. o

f so

lar p

anel

s20

22-2

023

69

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

APP

END

IX II

: Pro

ject

ed O

utco

mes

as

per A

DC

Sch

edul

eA

: Cro

ps

Ent

erpr

ise

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

Are

a (h

a)Y

ield

/H

aA

rea

(ha)

Yie

ld /

Ha

Are

a (h

a)Y

ield

/H

aA

rea

(ha)

Yie

ld /

Ha

Are

a (h

a)Y

ield

/H

a

Seed

Mai

ze3,

345

3,50

02,

750

3,80

03,

000

4,00

03,

000

4,10

03,

000

4,30

0

Mal

e Ro

ws

1,11

520

916

201,

000

251,

000

251,

000

30A

dc S

eed

215

3,50

030

53,

800

355

4,00

040

54,

100

455

4,30

0C

omm

erci

al

Mai

ze12

850

400

6040

062

400

6240

065

Citr

us13

712

142

1514

715

152

1715

719

Cof

fee

371,

200

601,

000

651,

400

701,

200

751,

600

Suga

rcan

e66

185

760

9586

010

096

011

01,

060

120

Hay

613

250

613

280

613

280

613

300

613

300

Seed

Pot

ato

220

220

230

220

240

240

250

240

260

280

Whe

at52

030

550

3260

035

650

37.5

700

37.5

70

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

B: D

airy

Liv

esto

ck

KPI

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4Av

erag

e m

ilk p

rodu

ctiv

ity (k

gs/c

ow/d

ay)

Hig

h yi

elde

rs (H

Y)

1214

1617

18

Aver

age

milk

pro

duct

ivity

(kgs

/cow

/day

)Av

erag

e yi

elde

rs (A

Y)

1112

1313

13

Cal

ving

%70

7275

8080

Mor

talit

y %

4.5

44

44

Aver

age

Age

at 1

stca

lvin

g (M

onth

s)36

3432

2827

Av. C

alvi

ng in

terv

al (D

ays)

450

420

400

400

400

Bree

ding

her

d av

aila

ble

to fa

rmer

s%2

34

55

Gro

wth

rate

%10

1010

1010

C: B

eef L

ives

tock

KPI

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

Cal

ving

%75

8085

8585

Mor

talit

y %

4.5

4.2

44

4Be

ef p

rodu

ctio

n (n

umbe

r of

anim

als-

trade

st

eers

)1,

500

1,50

02,

000

2,50

03,

000

Off

-take

%20

2525

2525

Bree

ding

her

d to

farm

ers%

55

55

5

Gro

wth

rate

%10

1010

1010

71

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

D: O

ther

Liv

esto

ck

KPI

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4Se

men

pro

duct

ion

(Stra

ws)

360,

000

600,

000

960,

000

1,20

0,00

01,

200,

000

Num

ber o

f bu

lls (i

n pr

oduc

tion)

3050

8010

010

0Fe

ed m

ill (t

onne

s/ye

ar)

4,00

04,

000

5,00

09,

000

9,00

0

APP

END

IX II

I: Pr

ojec

ted

Perf

orm

ance

and

Fun

ding

Sou

rces

PRO

JEC

TE

D F

INA

NC

IAL

PLA

NB

ALA

NC

E S

HE

ET

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4K

shs.

000

Ksh

s.000

Ksh

s. 00

0K

shs.

000

Ksh

s. 00

0G

over

nmen

t gra

nts

3,81

4,78

63,

964,

786

4,17

3,78

64,

342,

786

4,84

2,78

6C

apita

l res

erve

s12

,775

12,7

7512

,775

12,7

7512

,775

Rese

rves

447,

701

447,

701

447,

701

447,

701

447,

701

Acc

umul

ated

pro

fit/(

loss

)(4

57,6

27)

(351

,826

)(2

08,4

06)

15,4

0831

2,44

8Sh

areh

olde

rs’w

orth

3,81

7,63

54,

073,

436

4,42

5,85

64,

818,

670

5,61

5,71

0

INC

OM

E S

TAT

EM

EN

T20

19/2

020

2020

/202

120

21/2

022

2022

/202

320

23/2

024

Ksh

s.000

Ksh

s.000

Ksh

s.000

Ksh

s.000

Ksh

s.000

Reve

nue

2,32

1,96

81,

961,

773

2,07

9,47

92,

204,

248

2,33

6,50

3D

irect

exp

ense

s1,

288,

248

958,

697

987,

458

1,01

7,08

21,

047,

594

Con

tribu

tion

1,03

3,72

01,

003,

076

1,09

2,02

11,

187,

166

1,28

8,90

9In

dire

ct e

xpen

ses

769,

733

768,

291

775,

974

783,

734

791,

571

Dep

reci

atio

n91

,338

128,

984

172,

628

179,

618

200,

298

Net

pro

fit17

2,64

910

5,80

114

3,42

022

3,81

529

7,04

0G

ross

pro

fit a

s a %

age

of sa

les

4551

5354

55N

et e

arni

ngs a

s a %

age

of sa

les

75

710

13

72

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Fina

ncia

l Im

plic

atio

ns o

f Key

Str

ateg

ic In

itiat

ives

Econ

omic

Per

spec

tive

(1)

#K

ey I

nitia

tives

Sour

ce

of

Fund

-in

g

Ass

umpt

ions

Res

pons

ibili

ty

Bud

get (

Ksh

. M)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

1.

Est

ablis

h a

stan

d-in

g co

mm

ittee

to

enga

ge

with

th

e pu

blic

and

priv

ate

sect

or p

artn

ers

AIA

Go

od

wil

l fr

om

stak

e-ho

lder

s

BO

D/

MD

/FC

/CS

1.0

1.2

1.4

1.6

1.8

2.

Stre

ngth

en I

nter

-na

l C

ontro

ls in

th

e U

nits

AIA

Go

od

wil

l fr

om

Uni

t M

anag

ers

MD

/F

C/

RMs/

Man

-ag

ers

0.8

0.7

0.6

0.5

0.4

3.

Neg

otia

te

and

re-s

truc

ture

bo

th

paya

bles

an

d re

-ce

ivab

les

with

key

st

akeh

olde

rs

AIA

Go

od

wil

l fr

om

stak

e-ho

lder

s

MD

/FC

/Man

-ag

ers

0.8

0.7

0.6

0.5

0.4

4.

Dev

elop

po

licie

s on

m

anag

emen

t of

ass

ets

and

lia-

bilit

ies

AIA

Imp

lem

en-

tatio

n of

the

po

licie

s

MD

/FC

/Man

-ag

ers

0.10

0.12

0.14

0.17

0.20

5.

Acq

uisit

ion

of t

i-tle

s A

IA a

nd

Partn

ers

Avai

labi

lity

of

fund

sM

D/F

C/C

S an

d U

nit

Man

ager

s0

016

.716

.716

.76.

G

azet

tem

ent

of

all A

DC

land

AIA

and

Pa

rtne

rsAv

aila

bilit

y of

fu

nds

MD

/FC

/CS

and

Uni

t M

anag

ers

00

0.2

00

7.

Valu

atio

n of

all

AD

C la

ndA

IA a

nd

Partn

ers

Avai

labi

lity

of

fund

sM

D/

FC

/C

S an

d U

nit

Man

ager

s

025

2525

25

8.

Fenc

ing

of

po-

rous

boa

rder

sA

IA a

nd

Partn

ers

Avai

labi

lity

of

fund

sM

D/F

C/C

S an

d U

nit

Man

ager

s

037

.537

.537

.537

.5

73

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Cus

tom

er F

ocus

(2)

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsib

ility

Bud

get (

Ksh

. M)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

1.

Exh

ibiti

on o

f ou

r pr

oduc

ts in

Agr

icul

tura

l sh

ows

A-in

-AG

ood

will

from

m

anag

ers &

unit

man

ager

s

2.65

4.91

65.

26

6.5

2.

Fiel

d da

ysFi

eld

dem

osA

-in-A

Avai

labi

lity

of

fund

sM

arke

ting/

Publ

ic R

elat

ions

D

epar

tmen

t

55.

56

6.1

6.3

3.

Onl

ine

and

prin

t med

ia

adve

rts

A-in

-AM

D/M

arke

ting

Div

ision

/PR,

Re

spon

sible

U

nit

55.

55.

85.

96.

1

4.

Est

ablis

hmen

t of

cust

omer

car

e de

skA

-in-A

00

10

0

5.

Team

bui

ldin

g ac

tiviti

esA

-in-A

55.

25.

45.

65.

8

6.

Bran

ding

of

build

ing,

vehi

cles

uni

ts a

nd

signa

ge

A-in

-AAv

aila

bilit

y of

fu

nds

010

33.

13.

2

7.

Regu

lar w

ebsit

e up

date

sA

-in-A

00

00

0

8.

Eng

age

in so

cial

med

ia

plat

form

sA

-in-A

0.5

0.6

0.61

0.62

0.65

9.

Prin

ting

and

publ

ishin

g of

jour

nals

A-in

-AM

anag

emen

t G

ood

will

2.5

2.55

2.6

2.65

2.7

10.

Cus

tom

er S

atisf

actio

n Su

rvey

s Reb

rand

A-in

-AG

ood

will

from

m

anag

emen

t1.

31.

41.

51.

61.

7

11.

Trai

n st

aff

on P

R sk

ills

A-in

-AM

anag

ers

00

00

0

12.

Cor

pora

te u

nifo

rm to

be

enf

orce

dA

-in-A

Avai

labi

lity

of

fund

s0.

50.

50.

50.

50.

5

13.

App

oint

men

t of

agen

ts

and

dist

ribut

ors a

cros

s th

e co

untr

y

A-in

-A1

0.5

0.5

0.5

0.5

74

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsib

ility

Bud

get (

Ksh

. M)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

14.

Off

erin

g in

tern

ship

s an

d at

tach

men

t to

stu-

dent

inte

rns

A-in

-AM

D/M

arke

ting

Div

ision

/PR/

Resp

onsib

ility

U

nit M

anag

ers

0.2

0.2

0.2

0.2

0.2

15.

Off

erin

g te

stin

g gr

ound

s for

new

inno

-va

tions

and

tech

nolo

gy

A-in

-A0

00

00

16.

To p

artn

er w

ith c

oun-

ty G

over

nmen

ts fo

r in

fras

truc

tura

l dev

el-

opm

ent,

train

ings

and

pr

ovisi

on o

f ou

tlets

for

our p

rodu

cts

A-in

-A2.

53

2.5

33

17.

Tree

pla

ntin

gA

-in-A

0.2

0.2

0.2

0.2

0.2

18.

Giv

ing

out s

eedl

ings

to

com

mun

ity a

nd sc

hool

s as

CSR

A-in

-AG

ood

will

from

un

it m

anag

ers

0.2

0.2

0.2

0.2

0.2

19.

Con

tribu

tion

tow

ards

ch

arita

ble

orga

niza

tions

A-in

-AAv

aila

bilit

y of

re

sour

ces

0.6

0.6

0.7

0.75

0.75

75

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Inte

rnal

Bus

ines

s Pr

oces

ses

(3)

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsi-

bilit

yB

udge

t (K

sh. M

)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

1.

Prec

ision

farm

ing

Cap

ital b

udge

t•

Mob

ile w

orks

hop

GO

KA

-in-A

GO

K F

undi

ng

mec

hani

zatio

n pr

ogra

m is

co

mpl

eted

TO(E

)/TO

(C)/

Uni

t M

anag

er

150

00

0

2.

Prec

ision

farm

ing

Cap

ital b

udge

t•

Mac

hine

ry

re

plac

emen

t

GO

KA

-in-A

GO

K F

undi

ng

mec

hani

zatio

n pr

ogra

m is

co

mpl

eted

TO(E

)/TO

(C)/

Uni

t M

anag

er

00

016

.310

3.5

3.

Tim

elin

ess i

n op

era-

tions

/sup

ply

of c

ritic

al

inpu

ts

A-in

-AM

D/H

TD74

6.9

725.

480

2.7

922.

394

6

4.

Con

serv

atio

n til

lage

in

all c

rop

oper

atio

nsA

-in-A

No

chan

ge o

f po

licy

TO (C

, /TO

(E)/

Uni

t M

ange

r

--

--

-

5.

Irrig

atio

n (c

apita

l bu

dget

)•

Enc

hili

Farm

•Su

am O

rcha

rds

•Si

rikw

a

•La

net

•Sa

bwan

i

GO

KA

-in-A

Gov

ernm

ent’s

di

rect

ive

on

star

ting

new

pr

ojec

ts is

lifte

d

Avai

labi

lity

of

fund

s.

Agr

icul

ture

C

hair/

HTD

/M

D

1515

00

0

1515

00

0

100

00

0

00

80

17

6.

Mec

hani

zatio

n of

op

erat

ions

not

mec

h-an

ized

GO

Kav

aila

bilit

yH

TD/

TO(E

)/TO

(C)

200

7045

850

76

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsi-

bilit

yB

udge

t (K

sh. M

)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

7.

Goo

d qu

ality

fora

ge,

past

ures

and

con

cen-

trate

s

GO

KPu

rcha

se o

f 2

-2 ro

w fo

rage

ha

rves

ter a

nd 1

se

lf-pr

opel

led

shre

d ag

e m

achi

ne a

nd

com

pact

erIn

itiat

e TM

R at

Fe

edm

illPu

rcha

se o

f 4

mix

ers

HTD

/RM

/TO

(E)/

Uni

t M

anag

er

455

50

0

8.

Impr

ove

bree

ding

da

iryLi

vest

ock

revo

lvin

g fu

nd

Purc

hase

of

10

Frie

sians

ann

u-al

lyC

on

tin

uo

us

regi

stra

tion

of

bree

ding

stoc

kU

se

of

sexe

d se

men

in

50%

of

hei

fers

(50

0 do

ses)

ann

ually

Use

of

wor

ld’s

top

gene

tics

in

40%

of

he

rd

(800

dos

es)

annu

ally

HTD

/RM

/V

O/U

nit

man

ager

22

22

2

0.7

00

00

77

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsi-

bilit

yB

udge

t (K

sh. M

)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

9.

Impr

ove

bree

ding

Be

efLi

vest

ock-

revo

lvin

g fu

nd

• Purc

hase

of

50 st

ud h

eife

rs

and

3 st

ud b

ulls

annu

ally

•A

rtifi

-ci

al in

sem

ina-

tion

on b

reed

-in

g nu

cleu

s•

Pur-

chas

e of

bul

ls an

d ra

ms

HTD

/RM

/V

O/U

nit

Man

ager

10.7

10.8

1111

.211

.4

10.

Use

bre

edin

g te

ch-

nolo

gy a

nd a

cqui

re

mor

e su

perio

r gen

etic

an

imal

s

A-in

-AE

mbr

yo tr

ans-

fer t

echn

olog

y ch

urni

ng 2

00

succ

essf

ul

trans

fers

ann

u-al

ly

HTD

/RM

/V

O1.

41.

61.

61.

61.

6

11.

Rest

ocki

ngLi

vest

ock

offta

ke

revo

lvin

g fu

nd

Purc

hase

of

1,00

0 tra

de

stee

rs a

nnua

lly

in G

alan

a ra

nch

HTD

/FC

/U

nit M

an-

ager

2828

2828

28

12.

Feed

lotti

ngA

-in-A

Reno

vate

Fee

d-lo

t at S

abw

ani

and

Lane

t fin-

ished

400

stee

rs

annu

ally

TO/E

RM

s/V

Os/

Uni

t M

anag

ers

5.3

22

22

13.

Year

ly b

eef

herd

in-

spec

tion

A-in

-AA

nnua

l reg

-ist

ratio

n an

d in

spec

tion

in

stud

bee

f un

its

(Nai

robi

&

Mut

ara)

VO

/Uni

t M

anag

er

0.5

0.5

0.7

0.8

0.9

78

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsi-

bilit

yB

udge

t (K

sh. M

)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

14.

Land

Rec

lam

atio

n (d

rain

age)

A-in

-AAv

aila

bilit

y of

fu

nds

HTD

/TO

(E)/

Uni

t m

anag

er

00

012

0

15.

Mak

e ha

y in

ranc

h la

nd

Gal

ana

and

Mut

ara

A-in

-APu

rcha

se 2

sets

of

hay

mak

ing

equi

pmen

t Bu

sh C

lear

4,

900,

5,90

0,

6,90

0,

7,90

0,8,

900

acre

s in

year

1t

o 5

resp

ec-

tivel

y

Uni

t Man

-ag

er16

.218

.717

.219

.722

.2

16.

Ens

ure

supp

ly o

f en

ough

raw

mat

eria

lA

-in-A

To p

rocu

re ra

w

mat

eria

ls to

pr

oduc

e 40

00,

5000

,700

0,80

00

and

9000

tons

re

spec

tivel

y

HTD

/RM

/SP

O/

Uni

t M

anag

er

1115

2022

25

17.

Mod

erni

zatio

n m

ilkin

g sy

stem

sG

OK

Proc

ure

milk

ing

syst

ems f

or

Lane

t, O

lnga

-to

ngo,

Cho

rlim

an

d Su

am

MD

/HTD

/TO

/ U

nit

Man

ager

212

40

0

79

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsi-

bilit

yB

udge

t (K

sh. M

)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

18.

Enh

ance

use

of

ICT

A-in

-A•

Proc

ure

and

mai

ntai

n liv

esto

ck

man

agem

ent

softw

are

•D

evel

op

ICT

infr

a-st

ruct

ure

•A

cqui

sitio

n of

com

-pu

ters

and

ac

cess

orie

s •

Acq

uisit

ion

of E

RP•

Full

elec

tric-

ity c

onne

c-tiv

ity in

the

units

•U

pgra

de a

nd

mai

ntai

n th

e C

orpo

ratio

n w

ebsit

e

ICT

Man

-ag

er/F

C/

HTD

/HR/

SPO

1032

.85

2015

15

19.

Incr

easin

g sh

elf

life

of

milk

to a

void

was

tage

A

-in-A

Inve

st in

ch

iller

sN

aman

dala

30

00 li

tres,

Kat

uke

3,00

0 lit

res,

Oln

gan-

tong

o 3,

000l

i-tre

s, La

net

2,00

0litr

esK

iswan

i 1,0

00

MD

/HTD

/SP

O5

15

3.5

1.5

80

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Cap

acity

Bui

ldin

g an

d In

nova

tion

(4)

#K

ey I

nitia

tives

Sour

ce

of

Fund

ing

Ass

umpt

ions

Res

pons

ibili

tyB

udge

t (K

sh. M

)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

1.

Con

tinuo

us p

rofe

ssio

nal

deve

lopm

ent/

s Ski

lls

deve

lopm

ent p

rogr

ams

A-in

-AG

oodw

ill fr

om

stak

ehol

ders

HRM

9.7

1015

1515

2.

Skill

s aud

itA

-in-A

Goo

dwill

from

stak

ehol

ders

HRM

0.1

00

00.

2

3.

Rew

ard,

reco

gniti

on a

nd

sanc

tion

Sala

ry re

view

(as p

er

SRC

), an

nual

incr

emen

ts

A-in

-AG

oodw

ill fo

rm

Boar

d &

Man

-

agem

ent

HRM

8.35

1010

1015

4.

Non

-fina

ncia

l inc

en-

tives

(per

ks)

A-in

-AG

oodw

ill fr

om

stak

ehol

ders

HRM

5.6

66

66

5.

Impl

emen

tatio

n of

sche

me

of se

rvic

e

A-in

-AG

oodw

ill fr

om

stak

ehol

ders

HRM

22

22

2

6.

Wor

kloa

d an

alys

isG

OK

Con

sulta

ncy.

MD

/HC

PA/

HRM

180

00

0

7.

Labo

ur ra

tiona

lisat

ion

GO

KG

oodw

ill fr

om

stak

ehol

ders

HRM

/FC

/

HTD

2525

3035

0

8.

Revi

ew o

f H

R po

licie

s

and

proc

edur

es

A-in

-ARe

view

of

polic

ies

MD

/HC

PA/

HRM

0.1

00.

10

0.1

9.

Revi

ewin

g th

e O

rgan

iza-

tiona

l Str

uctu

re

A-in

-AG

oodw

ill fr

om

stak

ehol

ders

MD

/HC

PA/

HRM

1.5

00

01

81

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#K

ey I

nitia

tives

Sour

ce

of

Fund

ing

Ass

umpt

ions

Res

pons

ibili

tyB

udge

t (K

sh. M

)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

10.

Prov

ision

of

wor

king

tool

s, pr

otec

tive

clot

hing

,

recr

eatio

nal f

acili

ties

A-in

-AG

oodw

ill fr

om

stak

ehol

ders

HRM

/FC

/

Man

ager

s

55

55

5

11.

Enh

ance

d W

ork,

Inju

ry

and

Bene

fits A

ct (W

IBA

)

insu

ranc

e

A-in

-AG

oodw

ill fr

om

stak

ehol

ders

HRM

/FC

/CS

2021

2325

25

12.

Impr

ovem

ent i

n yi

eld,

qual

ity a

nd

nutri

tion

A-in

-AFa

vour

able

envi

ronm

enta

l

cond

ition

s

HTD

/SRO

/

RO/R

&D

00.

50.

50.

50.

5

13.

Supp

ort b

reed

ing

pro-

gram

s in

the

corp

orat

ion

A-in

-AFa

vour

able

envi

ronm

enta

l

cond

ition

s

HTD

/SRO

/

RO

0.1

0.1

0.1

0.1

0.1

14.

Adv

ance

tria

ls in

the

field

(NPT

& D

US)

A-in

-AFa

vour

able

envi

ronm

enta

l

cond

ition

s

HTD

/SRO

/

RO

0.1

0.1

0.1

0.1

0

15.

Car

ry o

ut re

sear

ch fo

r

appr

opria

te a

gron

omic

tech

nolo

gies

in fe

rtili

zer,

agro

chem

ical

s and

seed

rate

use

A-in

-AFa

vour

able

envi

ronm

enta

l

cond

ition

s

HTD

/SRO

/

RO

00.

20.

20.

20

16.

Dev

elop

mec

hani

sms f

or

resp

ondi

ng to

em

ergi

ng

wee

ds, p

est a

nd d

iseas

e

A-in

-AFa

vour

able

envi

ronm

enta

l

cond

ition

s

HTD

/SRO

/

RO

0.3

0.3

0.3

0.3

0

82

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Cor

pora

te G

over

nanc

e (5

)

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsib

ility

Bud

get (

Ksh

. M)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

1.

Secu

re c

orpo

ratio

n as

sets

GO

KM

D70

7070

7070

2.

Prud

ent fi

nanc

ial

man

agem

ent

A-in

-AM

D0

00

00

3.

Revi

ew o

f th

e

corp

orat

e or

gano

gram

A-in

-AM

D/H

R0

00

00

4.

Revi

ew o

f em

ploy

ee

rem

uner

atio

n,

rete

ntio

n an

d su

cces

sion

plan

.

A-in

-A

MD

/HR

00

00

0

5.

Revi

ew o

f Bo

ard

char

ter

A-I

n-A

Nee

d fo

r rev

iew

CS

11.

50

00

6.

Und

erta

ke a

nnua

l Bo

ard

perf

orm

ance

ev

alua

tion

Car

ry o

ut B

oard

in

duct

ion

train

ing.

A-I

n-A

Trai

ning

CS

77

77

0

7.

Revi

ew o

f au

dit a

nd

Risk

man

agem

ent

fram

ewor

k

A-I

n-A

Tha

t var

ious

D

epar

tmen

tal

head

s to

iden

tify

risks

and

cla

ssify

th

em a

s hig

h,

Med

ium

or l

ow.

HIA

00.

50.

50.

50.

5

8.

Form

ulat

e a

corp

orat

e co

mm

unic

atio

n po

licy

A-I

n-A

Hire

a c

onsu

ltant

MD

/CS/

HR/

PRM

31.

50

00

9.

Dev

elop

men

t of

a co

mm

unic

atio

n flo

w

char

t

A-in

-AM

D/C

S/H

R/PR

M0

00

00

10.

Dev

elop

men

t of

com

mun

icat

ion

infr

astr

uctu

re.

A-in

-AM

D/C

S/H

R/PR

M0

30

00

83

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsib

ility

Bud

get (

Ksh

. M)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

11.

Info

rmat

ion

clas

sifica

tion

syst

emA

-in-A

MD

/CS/

HR/

PRM

00

00

0

12.

Dev

elop

men

t of

a dr

aft a

men

dmen

t of

the

act

Invo

lvem

ent o

f st

akeh

olde

rs in

the

revi

ew o

f th

e ac

t Pu

blic

par

ticip

atio

nPr

esen

tatio

n to

pa

rliam

ent

A-I

n-A

need

for a

new

A

ct a

ligne

d to

de

volu

tion

and

big

4 ag

enda

CS

55

55

0

13.

Build

ing

capa

city

of

inte

rnal

aud

it fu

nctio

nPo

licy

fram

ewor

k

A-I

n-A

Hire

a c

onsu

ltant

. N

eed

for r

evie

w

of p

olic

ies.

CS

30

30

3

84

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

Envi

ronm

enta

l Sus

tain

abili

ty (6

)

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsib

ility

Bud

get (

Ksh

. M)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

1.

Agr

o-fo

rest

atio

nA

-in-A

Eac

h fa

rm w

ill p

lant

1%

tree

cov

er fr

om tr

ee

nurs

ery

FC/H

BD/

MPI

M1.

21.

21.

21.

21.

2

2.

Budg

et a

lloct

ion

for s

eeds

and

im

plem

ents

A-in

-ASe

eds t

o be

pla

nted

w

ill d

epen

d w

ith th

e

ag

rolo

gica

l zon

e

Regi

onal

Man

-ag

er2

22

22

3.

Est

ablis

h

envi

ronm

enta

l su

stai

nabi

lity

\co

mm

ittee

s in

ever

y fa

rm

NA

Eac

h fa

rm w

ill e

stab

lish

thei

r ow

n co

mm

ittee

Uni

t

Man

ager

s-

--

--

4.

Recr

uit t

ree

nurs

ery

atte

ndan

tsA

-in-A

At l

east

2 p

er fa

rmRe

gion

al &

U

nit M

anag

er0.

20.

240.

280.

30.

4

5.

Enf

orci

ng 3

0m

polic

y fr

om th

e riv

er b

anks

NA

Onl

y in

farm

with

wat

er

sour

ces

TME

/HTD

/FC

/HBD

/M

PIM

/RM

/Uni

t

Man

ager

s

--

--

-

6.

Impl

emen

t cor

po-

rate

env

ironm

en-

tal s

usta

inab

ility

po

licy,

regu

latio

ns

and

fram

e w

ork

A-in

-A-

--

---

7.

Fenc

ing

of th

e ar

eas

A-in

-ATo

bee

n do

ne a

fter

ever

y 2y

ears

0.5

00

0.5

0

8.

Con

stru

ctio

n of

ga

bion

sA

-in-A

To b

een

done

afte

r ev

ery

2yea

rs1

00

0.5

0

9.

Est

ablis

hmen

t of

terr

aces

A-in

-AW

ill b

e es

tabl

ished

onc

e in

eve

ry fa

rm u

sing

avai

labl

e re

sour

ces

0.75

00

00

10.

Plan

ting

of b

am-

boo

trees

A-in

-AA

ll fa

rms w

ill p

lant

ba

mbo

os e

ach

year

0.2

0.2

0.2

0.2

0.2

11.

Des

iltin

g of

dam

s an

d w

ater

pan

sA

-in-A

To b

e do

ne a

nnua

lly in

fa

rms w

ith d

ams

0.5

0.5

0.5

0.5

0.5

85

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

#K

ey I

nitia

tives

Sour

ce o

f Fu

ndin

gA

ssum

ptio

nsR

espo

nsib

ility

Bud

get (

Ksh

. M)

2019

/202

020

20/2

021

2021

/202

220

22/2

023

2023

/202

4

12.

Con

tinuo

us

mai

nten

ance

of

disp

osal

pit

NA

Don

e at

farm

leve

lH

BD/H

IAD

/H

TD/U

nit

Man

ager

s/BO

D/C

EO

/H

TD/F

C/

HBC

/MPI

MRM

/Uni

t Man

-ag

ers

0.05

00

00

13.

Liai

se w

ith

NE

MA

for c

olle

c-tio

n of

che

mic

al

cont

aine

rs

A-in

-ATo

be

done

afte

r eve

ry

2yea

rs0

0.3

00.

30

14.

Liai

se w

ith a

ppro

-pr

iate

age

ncie

s w

ith in

cine

ratio

n fa

cilit

ies e

.g. M

oi

Teac

hing

and

Re-

ferr

al H

ospi

tal

A-in

-AW

ill b

e do

ne o

nce

each

ye

ar0.

0025

0.00

250.

0025

0.00

250.

0025

15.

Est

ablis

h w

ind

mill

s in

our f

arm

sA

-in-A

2pro

ject

s will

be

done

an

nual

ly1

11

11

16.

Est

ablis

h bi

ogas

pl

ants

A-in

-A5

proj

ects

will

be

done

an

nual

ly a

t 75$

per

m3

for 2

0m3

0.75

0.75

0.75

0.75

0.75

17.

Inst

alla

tion

of so

-la

r pow

er sy

stem

s in

our

farm

s

A-in

-A5

proj

ects

will

be

done

an

nual

ly0.

50.

50.

50.

50.

5

86

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

APP

END

IX IV

: AD

C O

rgan

izat

ion

Stru

ctur

e

87

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

APPENDIX V: Strategic Planning Team

ADC Board Members

1. Hon. Benjamin Chesire Cheboi, EBS Board Chairman2. Hon. John K’Obado (Eng.) Member3. Hon Martin Ogindo Member4. Hon. Paul Kibet Chebor Member5. Hon. Roba Sharu Duba Member6. Hon. Peter Chemuigut Member7. Dr. Gladys Kasiva Ngao Member8. Mr. Lawrence Okudo Member9. Mrs. Jean Njiru Member10. Mrs. Tabitha Mbungu Maugi Member11. Mrs. Elizabeth Shungula Member12. Mr. Cleophas Okore Member13. Mr. Kello Harsama Member

ADC Management

1. Mr Mohammud M. Bulle Head Office Ag. Managing Director2. Eng. Paul Njuguna Head Office Technical Manager Engineering3. Mr. Samuel Bundotich Head Office Ag. Head of Technical Division 4. Mr. Jonathan Keitany Head Office Ag. Financial Controller 5. Dr. Winnie Macharia Head Office Head of Corporate Planning & Admin6. Mr. Morrison Andwati Head Office Ag. Head of Internal Audit Division7. Ms. Jane Mugaruro Head Office Human Resources Manager8. Mr. Jackson C. Kiptum Head Office ICT Manager9. Mr. Shadrack Jirma Hidi Head Office Ag. Head of Business Dev. Division10. Ms. Jacqueline Kibe Head Office Public Relations Manager11. Mrs. Betty Wendot Head Office Deputy Human Resources Manager12. Ms. Wambui Kibue Head Office Procurement Officer13. Mr. Samuel Birgen Head Office Legal Assistant/Transport Officer14. Mr. John O. Omondi Head Office Planning Officer/ Statistician15. Ms. Christine Gakure Head Office Planning Officer 116. Ms. Lilian Kosgey Head Office Ag. Corporation Secretary17. Dr. Jackson M. Kathoka A. I Centre Senior Veterinary Officer18. Ms. Gertrude Mutiso Chorlim Senior Complex Manager19. Mr. Issa Ahmed Mohamed Engineering Services Ag. Complex Manager20. Mr. Stephen Thuo Menyi Feedmill Senior Complex Manager21. Mr. William Kemei Japata Assistant Complex Manager

88

ADC

STR

ATEG

IC P

LAN

201

9 -

2024

22. Mr. Edward Ojode Katuke Technical Officer23. Dr. Maurice Cherogony Kitale Office Acting Regional Manager24. Mr. Gichina Gerald Kitale Office Regional Accountant, Kitale25. Mr. Allan Ewambari Kitale Office Technical Officer (Crops)26. Ms. Judith Sembelle Kitale Office Systems Application Analyst27. Dr. Benard Oroni Kitale Office Veterinary Officer II28. Mr. Nimrod Kipchumba Kitale Office Research Officer IV 29. Mr. Dominic M. Maingi Nairobi Complex Manager30. Ms. Veronica Waichinga Namandala Senior Complex Manager31. Mr. Peter Kipkech Olngantongo Complex Manager32. Mr. Aggrey Rogo Sabwani Senior Technical Officer33. Mr. Mohamud Sheikh Ahmed

Seed Unit Technical Officer

34. Dr. Muchemi Kariuki Semen Production Centre

Manager-in-Charge

35. Mr. Davidson Chesaina Suam Complex Manager36. Mr. Gilbert Kosgei Kitale Office TO(E)37. Mr. Andrew Pchumba Kitale Office Regional Security Officer38. Mr. Dickson M Nchoe Asante Manager-in-Charge39. Mr. Dennis N. Gichana Enchili Ag. Manager -in-Charge40. Mr. Francis K. Bor Lanet Senior Technical Officer41. Ms. Judith Oggema Molo Ag. Regional Manager, Nakuru42. Mr. Tom Sang Mutara Ranch Senior Complex Manager43. Mr. Samson Sirengo Ndabibi Complex Manager44. Mr. Maurine Jebotibin Birir Sirikwa Assistant Complex Manager45. Dr. Francis Obwogi Lanet Senior Veterinary Officer 46. Mr. Michael Chelulei Molo Research Officer I47. Mr. Michael Kiambi Molo Research Officer II48. Mr. Levi Mulupi Galana Ag. Senior Complex Manager49. Ms. Christine Nyakundi Kiswani Complex Manager

UNES Consultancy 1. Prof. Evans Aosa Project Team Leader and Principal Strategic Planning Consultant2. Dr. Kennedy Ogollah Strategic Planning Lead Consultant3. Prof. Jesse Njoka Agricultural Specialist, Member4. Mr. George Ogari Financial Specialist, Member5. Mr. Raymond Muteti Management Consultant, Member6. Ms. Gertrude Surrumo Project Officer, Secretariat