SUGARCANE GROWERS ASSOCIATION OF MALAWI...

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Strategic Plan (2015-2020 FY)

SUGARCANE GROWERS ASSOCIATION OF MALAWI

(SUGAM)

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PREFACE This Strategic Plan (2015-2020) would not be possible without the rich contributions from SUGAM’s key stakeholders comprising out-grower associations, Government, Concern Universal, EU, Solididad, Illovo and others too many to list here. Through their contributions and discussions, the content of Strategic Plan was greatly enriched with experiences and valuable insights that informed the strategic direction of SUGAM for the next five years. Efforts have been made to align the Strategic Plan to the national and global development agenda as enshrined in the MGDS, MDGs and other development instruments, while at the same time bringing it into line with SUGAM’s constitutional mandate, international best practice and instruments in industry.

The Strategic Plan has therefore been designed to provide the future strategic direction of SUGAM through robust resource mobilization, policies, systems and policies, corporate governance and management, ICT and knowledge management, stakeholder engagement, networking and representation, and better management cross-cutting issues regarding HIV and AIDS at the workplace, gender and equity, health and safety, and good environment management practices .

Malawi Institute of Management (MIM) would therefore like to acknowledge the role of the team of consultants from the Institute in the development of this Strategic Plan. The team comprised the lead consultant Mr. Joseph Friday Chalamba and Project Manager Dr. Peter Ngoma.

Special thanks should also go to participants to the consultative workshops from Lakeshore Sugarcane Growers Associations and Southern Cane Growers Association, SUGAM President Mr. Frighton Njolomole and the Board of Trustees. And finally, we commend Concern Universal’s Technical Team which comprised Messer Humphrey Nxumalo, Girward Zimba, Tenthema Nyondo, Wanagwa Msowoya, James Muhowa, James Nangoma, Steven Kachira and Mrs. Misozi Magaleta for their immense contributions and support.

Prepared By

Malawi Institute of Management P.O Box 30801

Lilongwe Malawi

Fax: +265 01 710 609 Tel: + 265 01 710 866

Email: [email protected]

With Support from:

Government of Malawi

The European Union

And

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TABLE OF CONTENTS

PREFACE ................................................................................................................................................................. i

LIST OF ACRONYMS ............................................................................................................................................... iv

THE CHAIRMAN’S REMARKS ................................................................................................................................. v

EXECUTIVE SUMMARY .......................................................................................................................................... vi

SECTION ONE: INTRODUCTION ............................................................................................................................. 1

1.1 BACKGROUND ....................................................................................................................................... 1

1.2 OBJECTIVES AND MEMBERSHIP OF SUGAM ......................................................................................... 1

1.3 STRUCTURE OF THE STRATEGIC PLAN .................................................................................................. 2

SECTION TWO: PROCESS, APPROACH AND METHODOLOGY ............................................................................... 3

2.1 PROCESS ................................................................................................................................................ 3

2.2 CONCEPTUAL FRAMEWORK ................................................................................................................. 4

2.3 METHODOLOGY .................................................................................................................................... 4

SECTION THREE: SITUATION ANALYSIS ................................................................................................................. 6

3.1 CONTEXT ............................................................................................................................................... 6

3.2 OVERALL PERFORMANCE ...................................................................................................................... 7

3.2 SWOT ANALYSIS .................................................................................................................................... 8

3.2.1 STRENGHTS ................................................................................................................................... 8

3.2.2 WEAKNESSES ................................................................................................................................. 9

3.2.3 OPPORTUNITIES ............................................................................................................................ 9

3.2.4 THREATS ........................................................................................................................................ 9

SECTION FOUR: STAKEHOLDER ANALYSIS .......................................................................................................... 11

4.1 STAKEHOLDER ENGAGEMENT AND MANAGEMENT .......................................................................... 11

SECTION FIVE: VISION, MISSION, CORE VALUES, KEY PERFORMANCE AREAS (KPAs) ........................................ 12

5.1 SUGAMS’S VISION ............................................................................................................................... 12

5.2 SUGAM’S MISSION .............................................................................................................................. 12

5.3 SUGAM’S CORE VALUES ...................................................................................................................... 12

5.4 SUGAM’S KEY PERFORMANCE AREAS (KPAs) ..................................................................................... 13

SECTION SIX: SUGAM’S STRATEGIC RESPONSE: THEMES, OBJECTIVES, ACTIVITIES ........................................... 14

6.1 STRATEGIC THEME 1: POLICIES, PROCEDURES AND COMPLIANCE .................................................... 14

6.2 STRATEGIC THEME 2: STRENGTHENED GOVERNANCE AND MANAGEMENT ..................................... 14

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6.3 STRATEGIC THEME 3: CORPORATE BRANDING AND VISIBILITY ......................................................... 15

6.4 STRATEGIC THEME 4: STAKEHOLDERS NETWORKING AND COLLABORATION ................................... 16

6.5 STRATEGIC THEME 5: STRENGTHENED ICT AND KNOWLEDGE MANAGEMENT ................................ 16

6.6 STRATEGIC THEME 5: STRENGTHENED FINANCIAL SUSTAINABILITY FOR SUGAM ............................ 17

6.7 BETTER MANAGEMENT OF CROSS-CUTTING ISSUES .......................................................................... 17

SECTION SEVEN: IMPLEMENTATION ARRANGEMENTS ...................................................................................... 19

6.1 BOARD AND MANAGEMENT ............................................................................................................... 19

6.2 RESOURCES ......................................................................................................................................... 19

6.3 IMPROVEMENTS IN EFFICIENCY ......................................................................................................... 20

6.4 RISK MANAGEMENT OF STRATEGY IMPLEMENTATION ..................................................................... 20

6.5 MONITORING AND EVALUATION........................................................................................................ 20

6.5.1 GOAL ........................................................................................................................................... 21

6.5.2 MONITORING AND EVALUATION FRAMEWORK ......................................................................... 21

6.5.3 RESPONSIBILITIES ........................................................................................................................ 21

6.1.1 REPORTING ................................................................................................................................. 21

6.1.2 EVALUATION ............................................................................................................................... 22

6.1.3 FINANCING .................................................................................................................................. 22

6.1.4 MANAGEMENT OF THE STRATEGY ............................................................................................. 22

ANNEX 1: SUGAM’S GOVERNANCE AND STRUCTURE ........................................................................................ 23

ANNEX 2: IMPLEMENTATION MATRIX .................................................................................................................. ii

STRATEGIC THEME 1: POLICIES. PROCEDURES AND COMPLIANCE .................................................................. ii

STRATEGIC THEME 2: STRENGTHENED GOVERNANCE AND MANAGEMENT ................................................... v

STRATEGIC THEME 3: CORPORATE BRANDING AND VISIBILITY .................................................................... viii

STATEGIC THEME 4: STAKEHOLDERS NETWORKING AND COLLABORATION ................................................. xi

STRATEGIC THEME 5: STRENGTHENED ICT AND KNOWLEDGE MANAGEMENT............................................ xiv

STRATEGIC THEME 6: STRENGTHENED FINANCIAL SUSTAINABILITY FOR SUGAM ...................................... xvii

STRATEGIC THEME 7: BETTER MANAGEMENT OF CROSS-CUTTING ISSUES ................................................... xx

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LIST OF ACRONYMS

AGM Annual General Meeting

AIDS Acquired Immunodeficiency Syndrome

CSA Cane Supply Agreement

EU European Union

HIV Human Immune Virus

HR Human Resource

ICT Information, Communication, Technology

M & E Monitoring and Evaluation

MGDS Malawi Growth Development Strategy

MIM Malawi Institute of Management

MIS Management Information System

NAS National Adaptation Strategy

NAO National Authorizing Office

SUGAM Sugarcane Growers Association of Malawi

SWOT Strengths, Weaknesses, Opportunities, Threats

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THE CHAIRMAN’S REMARKS

It is my great pleasure that Sugar Cane Growers Association of Malawi (SUGAM) with the help of Concern Universal through Capacity Building Project Phase II with funding from Solidaridad and European Union have developed this Strategic Plan. This Strategic Plan is about re-shaping the future of SUGAM as a Centre of Excellence that is critical in championing and enhancing the livelihoods of sugarcane growers in Malawi. This document will not just build upon the excellent services and care already in existence within the Apex body but will also see us rise to greater heights to the new policy, economic and societal circumstances that we sugarcane farmers will face over the coming years. I am confident that this Strategic plan will assist SUGAM as it get established and developed into an organization in order to achieve its strategic goal and objectives for the benefit of sugarcane farmers in Malawi.

I would like to conclude by paying tribute to all regional members, who together with the Board of Trustees, affiliates and Concern Universal who had joined hands to take up the task whole heartedly. Without their dedication, enthusiasm, flexibility and willingness needful goals and objectives within the Strategic Plan would have been extremely difficult to achieve. Finally, I would like to acknowledge European Union and Solidaridad through Concern Universal and the Government of Malawi for the splendid support they have rendered SUGAM. It is really an invaluable gift to Malawian sugarcane farmers. And to the team of MIM consultant, I recommend you for your professionalism. Thank you, God bless SUGAM FRIGHTON NJOLOMOLE CHAIRMAN

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EXECUTIVE SUMMARY

The Sugarcane Growers Association of Malawi (SUGAM) is a regional and national apex body

registered under the Trustees Act whose mandate is to represent all growers at national level,

including the National Sugar Steering Committee. SUGAM is a result of a two-year Capacity Building

Project of Sugar Out-growers in Nkhotakota and Chikwawa (Phase II) with financial support from

European Union (EU) through NAO and Solidaridad. The project is implemented through Concern

Universal.

This Strategic Plan (2015-2020) comes on the heels of this development and at an opportune time

the drive for regulation, representation and capacity building of the member associations is of

utmost importance.

The process of coming up with this Strategic Plan (2015-2020) covered facilitation and development

of the Strategic Plan (2015-2020 FY) for SUGAM in line with its constitutional mandate and

international best practices. To ensure a consultative and participatory approach, MIM team of

consultants facilitated diagnostic and validation workshops to draw a roadmap of issues that would

be addressed in the development of this Strategic Plan. In order to draw collective action, the MIM

team of consultants presented the planning process where they elucidated: 1) where SUGAM is

today; 2) where SUGAM would want to be; and 3) and how SUGAM would realize its vision,

mandate ( see Figure 1) in line with its core values and direction in the next five year.

The methodology of developing the Strategic Plan (2015-2020) was two-fold: namely, initial desk

review of relevant literature, and diagnostic and validation workshops with internal and external

stakeholders. The team of MIM consultants consulted SUGAM’s Draft Constitution to bring into line

the strategic plan with its mandate. The review also looked at the Malawi Growth and Development

Strategy (MGDS) and the Millennium Development Goals (MDGs) to align the Strategic Plan with the

national and global development agenda. The desk review continued throughout the assignment

where the consultants reviewed other strategic plans and constitutions from Tanzania and South

Africa, among others, in order to inform best practice.

In order to collect primary data, MIM team of consultants used focus group discussions, individual

and group exercises and plenary to undertake a situation appraisal (Kepner-Tregoe) and SWOT

(strengths, weaknesses, opportunities, threats) analysis that informed performance concerns,

issues, problems, successes and challenges facing SUGAM. Through the diagnostic and

brainstorming sessions, performance review looked at all aspects of SUGAM’s functions, systems,

structure, and processes, supporting technologies, resources and skills in line with Tamattey’s

Diamond Framework (Figure 2). The framework ensured that shared values, structures, systems and

procedures, supporting technologies and resources (human and others) were in line with and

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supports the strategic direction of SUGAM. Content analysis was used to analyze the data from the

workshops, culminating into a workshop reports.

Internal and external analysis of SUGAM’s operating environment shows SUGAM, although in

infancy, has registered some positive development in the areas regarding registration and

institution of the Board and its committees, goodwill and support from donors, implementing

partners, Government and the community. SUGAM has represented farmers on different

international fora, and it has showed commitment to network with various stakeholders in the

Sugar industry locally and internationally. Since its establishment, SUGAM has secured an office

space in Lilongwe and plans are underway to build their own office infrustructure in the near future.

The Board has qualified and experienced members with a broad range of competencies of help to

SUGAM. The out grower sugarcane associations under SUGAM have since received training and

attended conferences abroad which have exposed them to new skills and best practice.

While there are successes registered so far, the internal and external environmental analyses reveal

the following challenges, among others:

The agenda to limit sugar export on the EU market and other international markets may likely

affect demand for the product hence this may affect growers in the long run.

Insufficient resources have spawned a donor dependency strategy that may threaten its

sustainability.

High market competition at local and international level (high competitive environment) means

SUGAM has to capacitate its member associations to develop exceptional competitive

advantages to stay ahead and survive.

Capacity building is a challenge. While efforts have been made by implementing partners such as

CU, daunting challenges abound regarding capacity development of the Board and staff as the

Association envisages establishing its secretariat.

There is observable weak approach to gender mainstreaming in its programming as evidenced

from imbalance in the leadership strata of the Association.

SUGAM has not yet put in place a governance and management structure (organogram) to

inform the upcoming Secretariat’s hierarchy of command, intra-communication lines and job

grades and descriptions.

There is weak governance framework that requires separation of powers between non-

executive members from executive ones.

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In order to address these challenges, SUGAM will focus on the following key performance areas

(KAPS):

Resource mobilization and financial sustainability;

Robust Policies, Systems, Procedures and Processes;

Strong regulatory and monitoring framework;

Compliance monitoring and enforcement of member associations;

Good Corporate Governance and Leadership;

Corporate Branding and Visibility

Sound Stakeholder Networking and Representation;

ICT and Knowledge Management;

Mainstreaming and Better Management of Cross-cutting Issues.

SUGAM’s vision, mission, core values and strategic themes are presented in Figure (a) below:

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Figure (a): SUGAM’s vision, mission, core values and strategic themes

SUGAM'S Vision

An empowered sugarcane farmer

SUGAM's Mission

To protect, promote and represent the interest of sugarcane farmers, and create a sustainable operating environment in order

to improve the economic status and well-being of sugarcane farmers.

SUGAM's Core Values:

Transparency and Accountability

Coordination and Networking

Democratic Culture

Gender and Equity

Team Spirit

Safety Healthy and Environmental Conscious

Empowerment

SUGAM's Strategic Themes

Policies, Procedures and Compliance

Strengthened Governance and Management


Stakeholder Networking and Collaboration

Strengthened ICT and Knowledge Management

Strengthened Financial Sustainabilty

Better Management of Cross-Cutting Issues

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SECTION ONE: INTRODUCTION

1.1 BACKGROUND

The Sugarcane Growers Association of Malawi (SUGAM) is a regional and national apex body

registered under the Trustees Act whose mandate is to represent all growers at national level,

including the National Sugar Steering Committee. SUGAM is a result of a two-year Capacity Building

Project of Sugar Out-growers in Nkhotakota and Chikwawa (Phase II) with financial support from

European Union (EU) through NAO and Solidaridad. The project is implemented through Concern

Universal.

The formation of the apex body falls under result area number four of the project. This, therefore,

is the first step towards creation of a national regulatory framework which will bring together all

industry stakeholders. In Phase I, Lakeshore Cane Growers Association (LCGA) was formed.

The main objective of the project is to reduce poverty through increased income. Specifically, phase

II aims at building the capacity of smallholder growers through increased productivity,

comprehensive training and development and to increase industry efficiency and competitiveness

by improving the environmental, social and economic stability of the sugar industry.

This Strategic Plan (2015-2020) comes on the heels of this development and at an opportune time

the drive for regulation, representation and capacity building of the member associations is of

utmost importance.

1.2 OBJECTIVES AND MEMBERSHIP OF SUGAM

The objective of SUGAM is ten-fold as follows:

1. To protect and defend the interests and rights of sugarcane growers in Malawi.

2. To represent sugarcane growers at both national and international fora.

3. To negotiate the cane supply agreement with millers and any matters incidental to it.

4. To dialogue with and engage government and other relevant stakeholders on matters affecting

sugarcane growers in Malawi.

5. To link sugarcane growers’ associations in Malawi with other business associations with mutual

interests locally and internationally.

6. To promote corporate governance among its member associations through the development

and enforcement of governance standards.

7. To strengthen collaboration and networking and enhance social and economic wellbeing among

smallholder sugar growers in Malawi.

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8. To strengthen and enhance trade with all sugarcane industry stakeholders.

9. To facilitate capacity building initiatives for sugarcane growers’ associations in Malawi.

10. To carry out any activities which are necessary and incidental to achieving its objectives.

Membership to the Association is open to sugarcane growers’ regional associations in line with the

Membership Policy, which is agreed by the Board from time to time. Members pay an annual

subscription fee while new members pay application fees as determined by the Board and approved

by the AGM from time to time in line with the Policy on Membership of SUGAM. Sugarcane

management companies, cane growers trusts are accepted as affiliate members who will not have

voting powers at any meeting of the association.

1.3 STRUCTURE OF THE STRATEGIC PLAN

The remainder of the document is structured as follows:

Section 2: presents the process, approach and methodology used in developing this Strategic Plan.

Section 3: provides a roadmap of issues informing the strategic focus and rationale for SUGAM in

the next 5 years (situation analysis).

Section 4: stakeholder mapping and analysis for SUGAM.

Section 5: unveils SUGAM’s vision, mission and core values.

Section 6: SUGAM’s strategic response and presents the strategic themes, strategic objectives and

activities for the Strategic Plan.

Section 7: discusses implementation arrangements and monitoring and evaluation framework for

the Strategic Plan.

Annex 1: SUGAM’s institutional structure and governance.

Annex 2: implementation plan (matrix) for the Strategic Plan covering the period 2015-2020 (FY).

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SECTION TWO: PROCESS, APPROACH AND METHODOLOGY

2.1 PROCESS

The process covered facilitation and development of the Strategic Plan (2015-2020 FY) for SUGAM in

line with its constitutional mandate and international best practices. To ensure a consultative and

participatory approach, MIM team of consultants facilitated diagnostic and validation workshops to

draw a roadmap of issues that would be addressed in the development of this Strategic Plan. In

order to draw collective action, the MIM team of consultants presented the planning process where

they elucidated: 1) where SUGAM is today; 2) where SUGAM would want to be; and 3) and how

SUGAM would realize its vision, mandate ( see Figure 1) in line with its core values and direction in

the next five year.

Figure 1: Model Depicting SUGAM’s Transition from the Current to the Future

Through this process, the participants comprising the Board, representatives of sugarcane

growers associations and key external stakeholders of SUGAM shared an understanding of their

roles and purpose of the process leading to joint ownership and championship of the process by

SUGAM.

Where are we?

(The current Situation)

How will we reach there ?

(Goals, Strategies, Implementation)

SUGAM's STRATEGIC

PLAN

(2015-2020)

Where, what do we want to

be?

(Vision, Mission Core Values)

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2.2 CONCEPTUAL FRAMEWORK

The guiding conceptual framework for the strategic planning process was derived from David F.R

(2004) Strategic Planning Model which has three parts: strategy evaluation, strategy formulation

and strategy implementation. Using the model, MIM team of consultants evaluated performance of

SUGAM (situation appraisal) in line with its strategy (Strategy Evaluation) and formulated the vision,

mission and core objectives for SUGAM based on findings from internal and external environmental

scanning (Strategy formulation). While implementation of the Strategic Plan (Strategy

implementation) rests in the jurisdiction of the Board, the implementation arrangements, and

monitoring and evaluation frameworks have been highlighted in this document.

2.3 METHODOLOGY

The methodology was two-fold: namely, initial desk review of relevant literature, and diagnostic and validation workshops with internal and external stakeholders. The team of MIM consultants consulted SUGAM’s Draft Constitution to bring into line the strategic plan with its mandate, and the National Adaptation Strategy (2006-2010). The review also looked at the Malawi Growth and Development Strategy (MGDS) and the Millennium Development Goals (MDGs) to align the Strategic Plan with the national and global development agenda. The desk review continued throughout the assignment where the consultants reviewed other strategic plans and constitutions from Tanzania and South Africa, among others, in order to inform best practice.

In order to collect primary data, MIM team of consultants used focus group discussions, individual

and group exercises and plenary to undertake a situation appraisal (Kepner-Tregoe) and SWOT

(strengths, weaknesses, opportunities, threats) analysis that informed performance concerns,

issues, problems, successes and challenges facing SUGAM. Through the diagnostic and

brainstorming sessions, performance review looked at all aspects of SUGAM’s functions, systems,

structure, and processes, supporting technologies, resources and skills in line with Tamattey’s

Diamond Framework (Figure 2). The framework ensured that shared values, structures, systems and

procedures, supporting technologies and resources (human and others) were in line with and

supports the strategic direction of SUGAM.

Content analysis was used to analyze the data from the workshops, culminating into a workshop

reports.

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Skills

Processes

Resources

SHARED VALUES

SUGAM Organization Structure

SUGAM Strategic Plan (2015-2020 FY)

Systems and Procedures Technology

Skills

Processes

Resources

Shared Values

Figure 2: The Diamond Framework (Adapted from Tamattey 2001)

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SECTION THREE: SITUATION ANALYSIS

This section presents a situation and SWOT analysis of SUGAM in light of its strategic intent. In

particular, it presents a roadmap of issues and rationale for SUGAM’s new strategic focus. The

analysis therefore aims to identify bottlenecks in the systems and procedures, structure, supporting

technology, resources and skills (financial, human and other), processes and shared values in

SUGAM encumbrance to the successful implementation of the Strategic Plan. As a means to map

out the future in the next 5 years, an understanding of the issues facing SUGAM presents an up-

front insight into the present situation.

3.1 CONTEXT

Literature on the socio-economic context of sugarcane farmers in Malawi is scanty if not

documented and disseminated at all. However, a communiqué on The Sugarcane Growers

Association of Malawi’s (SUGAM) International Sugar Conference held from 4 to 5 August 2015 at

the Sunbird Capital Hotel in Lilongwe presented a contextual reality of the sugarcane farmers in

Malawi. Under the theme "Transformation of the Sugar Sector through Out-grower Participation"

the following issues were raised by presenters:

The EU has supported the development of Malawi sugar industry since 2006 through financing

reforms (e.g. the sugar industry regulatory framework) smallholder sugarcane schemes

expansions, capacity building and related infrastructure development.

The Government of Malawi is implementing the nation export strategy which has designated

sugarcane products sector development as a priority. As part of this the draft regulatory

framework, extension and advisory services strategy, and investment facilitation strategy have

been developed.

Press Corporation through its two subsidiaries is embarking on a Project RAMA (Raw Material)

which is aiming at increasing ethanol production for its two distilleries in Chikwawa and

Nkhotakota districts. This project will be implemented in partnership with out-growers and will

cover at least 4000 hectares.

Since 2010 capacity building for farmers in Malawi has been provided which targeted

communities in alleviating poverty, promoting sustainable sugarcane production as well as

institutional development of the smallholder farmers. This has improved the lives of the

targeted communities.

Sugarcane production under irrigation is more profitable than rain fed.

Haulage is the single biggest expense in sugarcane production.

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Sugarcane farmers in Malawi have benefited from fair-trade and have improved the livelihood of

their communities through a number of community development projects. These projects cover

the education, health, transport and rural water supply sectors.

Markets are becoming increasingly challenging especially with the EU market reforms and the

volatility of the world price.

In line with challenges the markets are offering, there is therefore need to: 1) address the

challenges by improving yields through implementing good husbandry practices, reducing costs

and complying with international standards; 2) need to strengthen regional cooperation to

promote intra-regional trade; and 3) need for regional governments to strengthen their

legislations to curb illegal imports and smuggling; whilst at the same time promoting cross

border flows of wholly-originating sugar.

It was noted that the last bullet was important hence the need to move very fast on this front.

Otherwise opportunities for African sugar would be lost forever. Given this context, the challenge

for SUGAM is therefore to become the voice of out growers, advocating and lobbying government

and other stakeholders.

3.2 OVERALL PERFORMANCE

Although in infancy, SUGAM has registered some milestones. The Association is now a registered

entity under the trustees Act with full legal mandate to pursue its business ethos. SUGAM has a

functional board with key sub-committees in place to help in its functions with a soaring number of

member associations in place. It has since secured own office space in Lilongwe at Town Hall. There

is growing recognition of the Association by local and international stakeholders including Illovo

with whom they have negotiated a Cane Supply Agreement (CSA).

Stakeholders have since shown their goodwill through financial support e.g. Concern Universal

through the Capacity Building Project of Sugar Out-growers in Nkhotakota and Chikwawa (Phase II)

in collaboration with the EU and Solidaridad. Stakeholder goodwill has helped SUGAM to mobilise

funds and other resources.

A key note platform afforded by stakeholder networking has seen SUGAM represent Malawi at

international workshops in Kenya. SUGAM’s corporate branding efforts have led to development of

a logo and efforts are being fueled to enhance corporate branding and visibility through the

strategies presented in this Strategic Plan. These developments are the most important stepping-

stones to the growth of the Association.

However, a number of challenges need to be addressed if SUGAM is to realize its strategic intent as

follows:

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The agenda to limit sugar export on the EU market and other international markets may likely

affect demand for the product hence this may affect growers in the long run.

Insufficient resources have spawned a donor dependency strategy that may threaten its

sustainability.

High market competition at local and international level (high competitive environment) means

SUGAM has to capacitate its member associations to develop exceptional competitive

advantages to stay ahead and survive.

Capacity building is a challenge. While efforts have been made by implementing partners such as

CU, daunting challenges abound regarding capacity development of the Board and staff as the

Association envisages establishing its secretariat.

There is observable weak approach to gender mainstreaming in its programming as evidenced

from imbalance in the leadership strata of the Association.

SUGAM has not yet put in place a governance and management structure (organogram) to

inform the upcoming Secretariat’s hierarchy of command, intra-communication lines and job

grades and descriptions.

There is weak governance framework that requires separation of powers between non-

executive members from executive ones.

There are weak policies, systems and procedures in most functional areas that need to be

reviewed e.g. procurement, audit, accounting and HR, inter alias.

3.2 SWOT ANALYSIS

Internal strengths and weaknesses (internal audit), coupled with external opportunities/threats and

a clear statement of mission provides the basis for establishing objectives and strategies for SUGAM

in this document. Objectives and strategies are established with the intention of capitalizing upon

internal strengths and overcoming weaknesses. External audit reveals key opportunities and threats

for SUGAM that has enabled it formulate strategies to take advantage of the opportunities and

avoid or reduce the impact of the threats (David F.R 2004). The findings of SUGAM’s internal and

external audits are presented as follows:

3.2.1 STRENGHTS

So far SUGAM has a board in place with a clearly stated mandate in its constitution as registered

entity. SUGAM has received goodwill and support from doors including the capacity building

initiative by CU. Good working relations with farmers and communities give assurance of a

sustainable drive to achieving its mandate. The Board comprises technical experts in a number of

areas that can be tapped where needed. SUGAM is distinct in that it has specialised commodity in

sugarcane hence getting better at what it does. SUGAM has its office space to undertake its

functions and has capital assets in terms of land for cultivation and available water for irrigation in

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its catchment areas. Finally, SUGAM enjoys good leadership from its founding members at the

Board.

3.2.2 WEAKNESSES

The weaknesses are as follows:

Weak corporate governance as evidenced from lack of separation of powers between non-

executive leadership from executive.

Non-functional secretariat and lack of governance structure.

Weak financial resource hence relies on donors and levies it charges its member associations. As

CU folds up assistance in 2015, SUGAM’s sustainability is therefore threatened as it cannot

finance its operations on levies alone.

Weak supporting technologies in terms of IT, vehicles and office equipment and furniture.

Lack of own land to build office block.

Weak policies, systems and procedures in its operations.

Weak regulatory framework for monitoring member associations’ compliance and behaviour.

3.2.3 OPPORTUNITIES

The opportunities SUGAM will explore in this Strategic Plan are as follows:

Acceptance by stakeholders i.e. affiliated members.

Availability of regional bodies to network with for learning and growth.

Community goodwill for execution of its projects and programme support.

Goodwill of donors e.g. CU for resource mobilization and support.

Formation of Sugarcane Act will support SUGAM’s business mission.

Presence of readily available and committed of buyers e.g. Illovo, Ethanol.

Government goodwill and support through the national development agenda and the

Sugarcane Act.

Growing number interested in sugarcane growing hence more people coming into the industry:

guaranteeing growing membership.

Availability of Malawi farmers union to provide forum representing SUGAM at national level.

3.2.4 THREATS

The following are the threats facing SUGAM:

Lack of competition on the market for sugarcane buyers hence low bargaining power of the

Association in pricing of sugarcane and limited switching opportunities available for the farmers.

High interest rates from lending institutions making investments unaffordable to most farmers

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Land Act issues not followed and reinforced.

Instability of sugar market due to the limit of sugar export on the EU market and other

international market. This is likely affect demand for the product hence this may affect growers

in the long run.

Entry of new competing farmers not under SUGAM may affect sugar prices e.g. farmers from

Salima as they will be scrambling for the same market.

Climate change affecting rainfall patterns with associated risks of filtration and land degradation

due to wanton cutting down of trees along river banks. These may affect water flow in rivers for

irrigation.

Donor dependency will threaten SUGAM’s sustainability in the event of donor fatigue.

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SECTION FOUR: STAKEHOLDER ANALYSIS

4.1 STAKEHOLDER ENGAGEMENT AND MANAGEMENT

SUGAM will endeavor to manage its key stakeholders in order to build long lasting and mutual

relationships. In pursuing this course, SUGAM will engage, manage closely, keep informed and keep

satisfied all its key stakeholders. Table 1 presents an analysis of SUGAM’s key stakeholders in terms

of their interests, power and influence.

Table 1: Stakeholder Matrix Indicating SUGAM’s Key Stakeholders.

Stakeholder Interest Power Influence

Government National development

Political stability

Constitutional mandate and policy making

National development priorities and focus

Development partners Macroeconomic and political stability at global and national levels

Regulates global and national policies and development agenda

Global and national development priorities and focus

Member associations

Service delivery, profitability / Financial viability and sustainability

Protection from exploitation

Power to lobby for deregulation of SUGAM

Decide nature of relationship with SUGAM

Mobilizes support/opposition and resources for regulation and compliance of member associations

Millers and Ethanol Financial viability and sustainability

Demand for quality service delivery

Power to influence direction of the Cane Supply Agreement

Influences pricing on the market

Community Leadership (traditional and community leaders)

Protection from exploitation

Socio-economic development

Power to stop SUGAM’s projects in communities

Mobilizes or demobilize support and local resources for project implementation

Prioritises development agenda in their communities

Parliament Legislative assemblage Constitutional supporting powers and protection of SUGAM’s interest

Constitution amendments and protection of SUGAM’s interest

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SECTION FIVE: VISION, MISSION, CORE VALUES, KEY PERFORMANCE AREAS (KPAs)

This section presents the vision, mission, core values and key performance areas for SUGAM.

5.1 SUGAMS’S VISION

An empowered sugarcane farmer

5.2 SUGAM’S MISSION

To protect, promote and represent the interest of sugarcane farmers, and create a sustainable

operating environment in order to improve the economic status and well-being of sugarcane

farmers.

5.3 SUGAM’S CORE VALUES

In pursuit of its mission and vision, SUGAM shall be guided by the following shared core values:

Transparency and Accountability: we safeguard good corporate governance practice at all times and we shall be an open book to account for deeds to our stakeholders.

Coordination and Networking: SUGAM shall thrive on strategic relationships it cultivates with its

networks and partners for learning and growth of the Association.

Democratic Culture: SUGAM shall endeavour to address its business in line with democratic

principles of rule of law, human dignity, human rights and expression of freedoms, popular voice

and opinion, and participation of its members.

Gender and Equity: SUGAM shall uphold principles of gender in line with the national gender

policy and thrive to promote women in leadership.

Team Spirit: the whole is better than the sum parts of it” shall be the ethos in yielding team

spirit at SUGAM. Efforts will be made to ensure that effective teams are built and that team

spirit remains a lasting impression on its members and functions at all times.

Excellence in Service: high quality service delivery shall be the ultimate goal of SUGAM through

efficient and effective implementation of its programmes and functions.

Safety, Health and Environmental Conscious: SUGAM shall ensure that the safety and health of

its members and the environment are safeguarded through mainstreaming national policies in

safety and health and environment into its core and peripheral functions at all times.

Respect and Humility: SUGAM shall ensure respect and dignity of its members and stakeholders

foremost. Humility shall remain a feature in all its interactions with stakeholders.

Empowerment: SUGAM shall work to empower its members and communities in its catchment

areas.

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5.4 SUGAM’S KEY PERFORMANCE AREAS (KPAs)

The key performance areas for SUGAM are as follows:

Robust Policies, Systems, Procedures and Processes;

Strong regulatory and monitoring framework;

Compliance monitoring and enforcement of member associations;

Good Corporate Governance and Leadership;


Sound Stakeholder Networking and Representation;

ICT and Knowledge Management;

Mainstreaming and Better Management of Cross-cutting Issues.

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SECTION SIX: SUGAM’S STRATEGIC RESPONSE: THEMES, OBJECTIVES, ACTIVITIES

This section presents SUGAM’s strategic response. We present our strategic themes, goals,

objectives and activities for the Strategic Plan as follows:

6.1 STRATEGIC THEME 1: POLICIES, PROCEDURES AND COMPLIANCE

GOAL: To have a compliant SUGAM.

STRATEGIC OBJECTIVE 1. To enhance compliance of policies and procedures across all functions at

SUGAM and out grower associations at all times.

ACTIVITIES:

1. Develop and implement compliance monitoring and regulatory framework for all Sugar Out-

growers member associations.

2. Develop and implement Finance and Audit policies and procedures for the Secretariat.

3. Adapt, develop and implement Labor Policy for Sugar out-growers associations.

4. Develop and implement conditions of service for the Secretariat.

5. Develop and implement HR policy.

6. Adapt and implement Procurement Policy for Secretariat.

7. Develop and implement Risk Management Framework for Secretariat

8. Develop and implement Communication policy (internally and externally).

9. Develop and implement Fraud Policy for Secretariat

10. Develop and implement Monitoring and Evaluation procedure for secretariat

11. Develop and implement recruitment policy for secretariat

6.2 STRATEGIC THEME 2: STRENGTHENED GOVERNANCE AND MANAGEMENT

GOAL: To establish an effective and efficient governance and leadership system at SUGAM

STRATEGIC OBJECTIVE 1: To strengthen organisational governance and leadership at all times.

ACTIVITIES:

1. Develop and implement governance structure.

2. Develop and implement the secretariat structure and management.

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3. Undertake functional review to inform job and salary grading within Secretariat.

4. Implement the Strategic Plan (2015-2020)

5. Assess Board capacity to inform implementation of capacity action plans for the members of the

Board.

6. Conduct Board orientation sessions.

7. Develop and implement board performance charter.

8. Review and implement management performance charter.

9. Develop and implement a succession plans.

10. Launch and disseminate SUGAM’s constitution.

11. Develop Terms of Reference for Sub-committees of the Board.

12. Undertake periodic Board evaluations to inform capacity needs.

STRATEGIC OBJECTIVE 2: To strengthen transparency and accountability within SUGAM at all times.

ACTIVITIES:

1. Orient members on core values and aspirations of SUGAM.

2. Conduct periodic audit for staff for the Secretariat assets and resources.

3. Develop and orient all staff on code of conduct.

4. Develop and implement open door policy.

6.3 STRATEGIC THEME 3: CORPORATE BRANDING AND VISIBILITY

GOAL: To position SUGAM’s brand and visibility in the eyes of stakeholders.

STRATEGIC OBJECTIVE 1: To increase awareness of SUGAM to all stakeholders by 50% by 2016.

ACTIVITIES:

1. Implement SUGAM and the Strategic Plan (2015-2020)

2. Launch awareness and publicity campaigns (e.g. through radio programs) of SUGAM

3. Design and develop promotional materials bearing SUGAM’s brand and logo e.g. calendars,

brochures, banners, golf shirts/t-shirts, caps and zitenje.

4. Hold stakeholder symposiums and orientation sessions with key stakeholders

5. Develop and implement Information, Education and Communication Strategy for SUGAM.

6. Participate in trade forums.

7. Develop and implement a Branding and Visibility Strategy.

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8. Establish own communication infrastructure including website and email, telephone number,

Post Office Box Number

9. Design, develop and disseminate SUGAM Newsletter ( e-newsletter and hard copy).

6.4 STRATEGIC THEME 4: STAKEHOLDERS NETWORKING AND COLLABORATION

GOAL: To have a robust network of stakeholders for representation, communication and

networking.

STRATEGIC OBJECTIVE 1: To strengthen stakeholders networking at all times.

ACTIVITIES:

1. Create linkages and networks with similar international organizations locally and abroad.

2. Conduct a comprehensive stakeholder mapping and analysis.

3. Develop a comprehensive Public Relations Strategy.

4. Conduct Bi-annual stakeholder symposiums.

5. Build the capacity of the sugar out grower second grade associations in Leadership and Group

Dynamics and Networking Strategies.

6. Conduct stakeholder needs assessment on program/project areas.

7. Conduct quarterly learning visits for Networks

8. Conduct collaborative and consultative meetings with potential stakeholders.

9. Advocate and develop a common implementation strategy for collaboration with networks.

10. Review and share beneficiary information with other implementing partners in similar

interventions.

6.5 STRATEGIC THEME 5: STRENGTHENED ICT AND KNOWLEDGE MANAGEMENT

GOAL: To have a robust platform for cross-fertilization of information with stakeholders.

STRATEGIC OBJECTIVE 1: To create a platform for documentation and dissemination of information

for organization learning and growth.

ACTIVITIES:

1. Update and consolidate an integrated Out-grower Management and Information System (MIS)

Strategy.

2. Update, launch and manage an interactive SUGAM Website ( catalogues, emails for secretariat

staff)

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3. Undertake Research and Development (R&D).

4. Document and disseminate research findings, best practice and lessons learnt.

5. Develop and implement extension technology using SMS Alerts.

6. Develop and automate organizational processes.

7. Adopt, implement, and manage the Sustainable Management Tool (SMT) developed by

Solidalidad.

6.6 STRATEGIC THEME 5: STRENGTHENED FINANCIAL SUSTAINABILITY FOR SUGAM

GOAL: To strengthen financial position of SUGAM for sustainability.

STRATEGIC OBJECTIVE 1: To enhance resource base for the implementation of activities for SUGAM

at all times.

ACTIVITIES:

1. Develop Resource Mobilization Strategy for SUGAM.

2. Constitute a resource mobilization committee.

3. Draft and implement terms of reference for the resource mobilization committee.

4. Develop action plan for the resource mobilization.

5. Develop unsolicited proposals for funding.

6. Develop own infrastructure including office, hall and conference facilities

7. Adopt and replicate low cost production techniques, innovations and conservation agriculture

technologies for all first grade sugar out-grower associations’ famers.

8. Train first grade sugar out-grower associations business and financial management.

6.7 STRATEGIC THEME 7: BETTER MANAGEMENT OF CROSS-CUTTING ISSUES

GOAL: Cross-cutting issues managed better.

STRATEGIC OBJECTIVE 1: To strengthen health status of staff and member associations through

good management of HIV/AIDS and Wellness Programmes at SUGAM by

2018.

ACTIVITIES:

1. Develop, launch and implement HIV and AIDS workplace policy.

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2. Develop links and networks with implementing partners e.g. Malawi Business Coalition against

HIV and AIDS; AWiSa (GIZ); and NAC.

3. Establish an HIV and AIDS Workplace Committee.

4. Train and orient the HIV and AIDS Workplace Committee.

5. Launch HIV and AIDS workplace Policy and Programme

6. Procurement of HIV/AIDS and wellness materials.

7. Develop HIV/AIDS and Wellness structures at workplace.

8. Include HIV and AIDS column in SUGAM in-house newsletter.

STRATEGIC OBJECTIVE 2: Mainstream gender and equity in all policies and functions of SUGAM and

member associations by 2018.

ACTIVITIES:

1. Develop and implement a gender and equity mainstreaming policy.

2. Hold gender sensitization workshops with staff and member associations.

3. Include gender and equity column in in-house newsletter.

STRATEGIC OBJECTIVE 2: Mainstream health and safety issues in all policies and functions of

SUGAM and member associations by 2018.

ACTIVITIES:

1. Develop and implement health and safety mainstreaming policy.

2. Establish an health and safety committee

3. Draw terms of reference for the health and safety committee

4. Hold health and safety workshops with staff and member associations

5. Include health and safety issues column in in-house newsletter.

STRATEGIC OBJECTIVE 3: Mainstream environmental management issues in all policies and

functions of SUGAM and member associations by 2018.

ACTIVITIES:

1. Develop and implement an environmental management mainstreaming policy.

2. Establish an environmental management committee.

3. Draw terms of reference for the environmental management committee.

4. Hold gender sensitization workshops with staff and member associations on environmental

management mainstreaming policy.

5. Include environmental management issues column in in-house newsletter.

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SECTION SEVEN: IMPLEMENTATION ARRANGEMENTS

Successful implementation of this Strategic Plan rests on leadership and commitment from the

Board. In addition, the Strategic Plan will require full involvement of all sugar out-grower member

associations represented at Board and Association levels, key actors and stakeholders within the

sugar industry, Government and implementing partners. Involvement of key stakeholders is critical

to mobilizing goodwill, financial and human resources existing outside SUGAM. SUGAM has to

address the capacity gaps highlighted in this Plan and pursue the much needed resource

mobilization drive for proper implementation of the planned strategies. This section therefore

addresses challenges and critical concerns that are related to the implementation process of the

Strategic Plan.

6.1 BOARD AND MANAGEMENT

In the short to medium term (2015-2017 FY) of the implementation, it is expected that the Board

through its committees will exercise all its authority to put in place the Secretariat with functional

management that will eventually assume the ultimate responsibility of implementing this Strategic

Plan and take over the operations of SUGAM. In due course, SUGAM wants to see that

Management, heads of departments assumes full responsibility of implementing the Strategic Plan

and SUGAM’s operations. The Board will then have an oversight role over Management in

implementing the Strategic Plan. However, it is important to note that this separation of powers

between the non-executive and executive members may not be achieved within the shortest period

of time due to financial constraints. The Board will anticipate incremental changes in its governance

and management initiatives while at the same time ensure that a resource mobilization framework

is developed and implemented timely, and that the capacity gaps identified are addressed to enable

it implement the Strategic Plan.

6.2 RESOURCES

To implement this Strategic Plan, SUGAM will require mobilizing and investing resources. While

there are other existing funding mechanisms such as the levy collection and donor support from CU

and her partners, SUGAM will vigorously implement resource mobilization strategies highlighted in

this Strategic Plan. SUGAM will therefore strengthen good relationship with Government,

implementing partners and key stakeholders that would continue to support its course through

goodwill, financial and human resources. To reinforce this relationship, SUGAM will build the

necessary capacity and put emphasis on improving the absorption capacity of stakeholder support,

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networking and enhancing accountability and transparency in planning, implementation, monitoring

and accounting of resources provided.

6.3 IMPROVEMENTS IN EFFICIENCY

SUGAM will ensure measures are put in place to maximize the use of available resources. First, it will

pursue and emphasize improved costing of its activities to avoid wastage and inefficiency in the use

of resources. Second, SUGAM will ensure proper use and scheduled maintenance of facilities,

equipment and vehicles to reduce costs associated with idle capacity. Lastly, SUGAM will leverage

on IT to reduce cost through adoption of direct internal and external paperless communication and

below the line communication while at the same time adopting and cascading low-cost production

technologies across its member associations and sugarcane farmers.

6.4 RISK MANAGEMENT OF STRATEGY IMPLEMENTATION

SUGAM understands risks that may affect the successful implementation of the Strategic Plan. The

following table discusses the risks, gives a perception of the level for each identified risk and

proposes mitigation measures and strategies.

Table 2: Risk Analysis Matrix for MAB Strategic Plan

6.5 MONITORING AND EVALUATION

The successful implementation of this Strategic Plan depends in part on monitoring and evaluating

(M&E) of its activities. A well designed M&E framework will provide feedback critical for tracking

progress on implementation of this Strategic Plan, enabling board and management make fact-

based and informed decisions. SUGAM will monitor and evaluate this plan in its annual and

Risk Factor Perceived Risk Level Mitigating Strategies

Heightened expectation of SUGAM to influence stakeholders to support its functions.

High Proactive Public Relations and continuous information dissemination and communication

Customized training and orientation of key stakeholders

Increased accountability and transparency

Enhanced networking

Resistance by members to comply with Board approved standards.

High Orientation and training of change agents

Proactive Public Relations and continuous information dissemination and communication

Change in leadership and structure to influence changes in the Constitution.

Low Continuous strengthening of SUGAM whose existence and performance is independent of the personality of the head

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quarterly reporting on the Performance Contract to the Board, and this will be controlled and

normalized through reports during meetings.

6.5.1 GOAL

The overarching goal of M&E in the implementation of this Strategic Plan is to provide relevant performance information for well informed decision making.

6.5.2 MONITORING AND EVALUATION FRAMEWORK

Monitoring and Evaluation of this strategic plan will be based on the framework presented in the

following sections:

6.5.2.1 RESPONSIBILITIES

The Board has the ultimate responsibility for monitoring the implementation of this Strategic Plan.

The President through various committees will exercise individual oversight to monitor the

performance of this Plan in accordance to the activities indicated in the implementation matrix. A

Monitoring and Evaluation Committee for the Strategic Plan will be formed with the following key

responsibilities:

Develop a reporting template and M&E tool for the Strategic Plan.

Receive, analyze, summarize and consolidate reports and promptly forward them to the Board

and Management every quarter.

Undertake mid-term and end-term evaluation of the Strategic Plan.

Report the Performance Contract.

Membership of the committee will be drawn from membership of the Board of Trustees and ex-

officios from the various professions based on key proficiencies that members can bring into the

working of committee such as sugarcane production, project management data analysis and

research, human resource management, marketing, ICT, information and knowledge management,

financial management, quality assurance etc. The Committee will be chaired by the Chairperson of

the Board. Responsibility for collecting, analyzing and reporting performance data for each indicator

will be assigned based on the technical area. The responsibility for maintaining this data base will be

assigned to an appointed member of the committee. The indicators, baselines and the targets will

be derived from the outcomes of the strategic objectives in section 6.0 and the outputs for the

activities in the implementation matrix.

6.5.2.2 REPORTING

Board committees will submit reports to the Board through the M&E Committee on a quarterly and

annual basis. The report will be on a structured format providing information on the performance of

their departments, and it should explain any variation from expected performance, discuss

challenges and constraints faced, highlight lessons learnt and draw the necessary recommendations

on any facilitation required to improve on performance. The M&E Committee will analyze,

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summarize and consolidate the reports for submission to the Board. The Chairperson shall present

annual reports at an Annual General Meeting (AGM).

6.5.2.3 EVALUATION

An external evaluator will conduct Midterm and End term evaluations on the implementation of this

Strategic Plan. If for any reason, there is a significant unexplained variation in performance in a very

critical indicator in the Plan, an Ad hoc evaluation may be conducted to inform decisions on possible

interventions in such an area.

6.5.2.4 FINANCING

Monitoring and evaluation activities, and in particular annual surveys and evaluations will be

financed through budgeted provisions of SUGAM.

6.5.3 MANAGEMENT OF THE STRATEGY

SUGAM will use the extrapolations drawn from the monitoring and evaluation exercises to make

informed decisions regarding the delivery of the Strategic Plan function, resource allocation, policy

and issues of accountability. For successful management of the Strategic Plan, the following are

critical.

6.5.3.1 Mechanisms

Mechanisms for data collection and storage will be created. In addition, annual surveys on critical

indicators like stakeholder satisfaction and awareness surveys, work environment and employee

satisfaction surveys will be conducted. The following tools will be used to implement this Strategic

Plan.

The Annual Performance Contract targets for Board, Management and SUGAM members of staff

will be derived from this Strategic Plan.

Annual work plans will be derived from the implementation matrix in this Strategic Plan and the

status of implementation of preceding year’s targets.

Annual budgets for SUGAM will be based on annual work plans.

The Performance Appraisal System will be used to cascade performance contracts to

Management and individual members of staff in SUGAM.

The Strategy may be reviewed at any time based on changing realities.

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ANNEX 1: SUGAM’S GOVERNANCE AND STRUCTURE

According to its Constitution, governance of SUGAM consists of the Board of Trustees of the

Association which shall consist of 10 members. The Board of Trustees shall be elected at the AGM.

Election will be through nomination by the Regional Association. Each regional association shall

nominate an equal number of people to serve in the Board. The trustees shall elect from among

their number a Chairperson who shall preside over all meetings of the association. The trustees shall

receive honoraria for their services but shall be entitled to be reimbursed all expenses reasonably

incurred by them in the exercise of their duties. In terms of qualifications the following applies:

No person shall serve in the Board whilst holding another position at their Regional Association

or Local Association. Any person nominated to serve in the Board shall automatically relinquish

any leadership position at the regional and local association if any.

No person shall be eligible to be elected to serve in the Board if they have any leadership

position in political party or serve in a public office as a Member of Parliament or councillor.

The minimum qualification for a trustee is Malawi School Certificate of Education.

The Board of Trustees shall work through sub-committees. The following are the sub-committees:

Audit and Finance

Appointments and Disciplinary,

Technical and Extension services,

Special committees

To ensure good corporate governance practice of transparency and accountability and to reduce

conflict of interest of the governance head, the Chairperson of the Board shall not be a member of

any of the sub-committees referred to above. The specific modalities to enhance good corporate

governance at SUGAM are as follows:

The sub-committees shall be chaired by any member of the Board other than the Chairperson.

Each sub-committee shall co-opt two members from the Regional Associations. Members will

not have to relinquish their positions upon being co-opted into the sub-committee. Non-

members of the SUGAM can be co-opted into the sub committees based on their expertise.

Each sub-committee shall have five members.

The Board will at its discretion determine the terms of reference for each sub-committee and

may amend them from time to time.

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In order to separate non-executive powers from executive one, SUGAM will ensure that a

Secretariat is established with a comprehensive organization structure. The Board will therefore

devolve the role of implementation to management as the implementation arm of SUGAM while

the Board reverts to its legitimate oversight role.

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BOARD

Sub-Committees

CEO

Finance & Admin Manager Technical & Ext. Services

Manager

Accountant

HR & Administrative Ass.

Office Assistant Driver

Compliance

Officer

Regulation

Officer

Secretary

Figure A1.1: SUGAM Tentative

Organogram

Ext. Services

Officer

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ANNEX 2: IMPLEMENTATION MATRIX

STRATEGIC THEME 1: POLICIES. PROCEDURES AND COMPLIANCE GOAL: To have a compliant SUGAM.

STRATEGIC OBJECTIVE 1: To enhance compliance of policies and procedures across all functions at SUGAM at all times.

Activities Resources/Tools Cost (MK000)

Start End Output(s) Assumptions Responsible

1. Develop and implement compliance monitoring and regulatory framework for all Sugar Out-growers member associations

Consultant

Orientation sessions

10,000,000 Sept 2015

Mar 2017

Regulatory framework for all Sugar Out-growers member associations developed and implemented

Availability of funds

Board commitment

Chairperson

2. Develop and implement Finance and Audit policies and procedures for the Secretariat

Consultant


8,000,000 Sept 2015

Dec 2015

Finance and Audit policies and procedures developed and implemented


Board commitment

Commitment of associations

Chairperson/Board

3. Adapt, develop and implement Labor Policy for Sugar Out-growers association

Labour Act


Consultant

10,000,000 Sept 2015

Dec 2015

Labor Policy for Sugar Out-growers association developed and implemented


Board commitment

Chairperson/Board

4. Develop and Labour Act 10,000,000 Sept Mar Conditions of Availability of Chairperson/Board

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implement conditions of service for the Secretariat

Bench marking


Consultant

2015 2016 service for the Secretariat developed and implemented

funds

Board commitment

5. Adapt and implement Procurement Policy for Secretariat

Funds

Consultant

Bench marking


5,000,000 Oct 2015

Dec 2015

Procurement Policy for Secretariat developed and implemented


Board commitment

Chairperson/Board

6. Develop and implement Risk Management Framework for Secretariat

Funds

Bench marking


Consultant

10,000,000 Oct 2015

Feb 2016

Risk Management Framework for Secretariat developed and implemented


Board commitment

Chairperson/CEO

7. Develop and implement Communication policy (internally and externally)

Funds

Bench marking


10,000,000 Oct 2015

Mar 2016

Communication policy (internally and externally developed and implemented


Board commitment

Chairperson/Board

8. Develop and implement Fraud Policy for Secretariat

Funds

Bench marking


10,000,000 Jan 2016

Mar 2016

Fraud Policy for Secretariat developed and implemented


Board commitment

Board/Chairperson

9. Develop and Implement Monitoring and Evaluation procedure

Consultant 5,000,000 Jan 2016

Mar 2016

Monitoring and Evaluation procedure for secretariat


Board commitment

Chairperson/Board

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for secretariat developed and implemented

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STRATEGIC THEME 2: STRENGTHENED GOVERNANCE AND MANAGEMENT

GOAL: To establish an effective and efficient governance and leadership system at SUGAM.

STRATEGIC OBJECTIVE 1: To strengthen organisational governance and leadership at all times.

Activities Resources/Tools

Cost (MK000)

Start End Output (s) Assumptions Responsible

1. Develop and Implement governance structure

Consultant


15,000,000 Nov 2015 Dec 2015 Governance structure developed and implemented


Board commitment

Chairperson/Board

2. Develop and Implement the secretariat structure and management

Consultant


To be done alongside 1

Nov 2015 Dec 2015

Secretariat structure and management developed and implemented


Board commitment

Chairperson /Board

3. Undertake functional review to inform job and salary grading within Secretariat

Consultant


To be done alongside 1

Jan 2016 Mar 2016 Job and salary grading within Secretariat developed and implemented


Board commitment

Chairperson /Board

4. Implement the Strategic Plan (2015-2020)

Funds

Board

Annual Total Budget

Ongoing Ongoing Strategic Plan (2015-2020) implemented


Board commitment

Chairperson/Board

5. Assess Board capacity to inform implementation of capacity action plans for the members of

Funds

Consultant

12,000,000 July 2016 July 2016 Capacity action plans for the members of the Board assessed and implemented


Management commitment

Chairperson/ Board

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the Board.

6. Conduct Board orientation sessions.

Consultant

Funds

8,000,000 Oct 2016

After first term

Board orientation session conducted



CEO

7. Develop and implement board performance charter.

Consultant

Funds

5,000,000 March 2016

April 2016

Board performance charter developed and implemented



CEO

8. Review and implement management performance charter.

Consultant

Funds

5,000,000 March 2016

April 2016

Management performance charter developed and implemented



Board commitment

Board

9. Develop and implement a succession plan.

Funds

Bench marking


1,500,000 April 2017

May 2017

Succession plan developed and implemented



Board commitment

Chairperson/Board

10. Launch and disseminate SUGAM’s constitution.

Funds

Orientation session

3,000,000 Aug 2015

Dec 2015

SUGAM’s constitution launched and implemented.


Board commitment

Chairperson /Board

11. Develop Terms of Reference for Sub-committees of the board

Funds

Consultant

2,500,000 Feb 2016 April 2016

Terms of Reference for Sub-committees of the board developed and implemented


Board commitment

Chairperson/board

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12. Undertake periodic Board evaluations to inform capacity needs

Funds

Consultant

20,000,000 Ongoing Ongoing 5 Board evaluations to inform capacity needs conducted



Chairperson

STRATEGIC OBJECTIVE 2: To strengthen transparency and accountability within SUGAM at all times.

Activities Resources/ Tools

Cost (MK000) Start End Output(s) Assumptions Responsible

5. Orient members on core values and aspirations of SUGAM.

Time

Will be done alongside other meetings

Ongoing Ongoing Orientation of members on core values and aspirations of SUGAM conducted

Having the secretariat

Funds availability

Commitment of the Board/management

CEO

6. Conduct periodic audit for staff for the Secretariat assets and resources.

External auditor

Funds

20,000,000 Ongoing Ongoing 5 periodic audits for staff for the Secretariat assets and resources conducted and reported

Having the secretariat

Funds availability


Board commitment

CEO

7. Develop and implement open door policy.

Funds 500,000 Jan 2016 March 2016

Open door policy developed and developed

Funds availability


Chairperson/CEO

8. Develop and orient all staff on code of conduct.

Time To be done alongside other meetings and activities

Ongoing Ongoing Orientation of all staff on code of conduct conducted

Funds availability


CEO

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STRATEGIC THEME 3: CORPORATE BRANDING AND VISIBILITY

GOAL: To position SUGAM’s brand and visibility in the eyes of stakeholders

STRATEGIC OBJECTIVE 1: To increase awareness of SUGAM to all stakeholders by 50% by 2017.

Activities Resources/Tools Cost

(MK000)


1. Implement SUGAM and the Strategic Plan (2015-2020)

Orientation of staff and members

Strategic Plan document

Annual

Total

Budget

Aug 2015

Aug 2015 SUGAM and the Strategic Plan (2015-2020) implemented

Board commitment


Chairperson/Board

2. Launch awareness and publicity campaigns (e.g. through radio and TV programs) of SUGAM-

Meetings with stakeholders

Campaign awareness through radio and newspapers

40,000,000 Periodic Periodic Awareness and

publicity campaigns

conducted


Board

commitment

Chairperson/Board

3. Design and develop promotional materials bearing SUGAM’s brand and logo e.g. calendars, brochures, banners, golf shirts/t-shirts,

Banners

Publishing

Consultant

20,000,000 Periodic Period Promotional materials bearing SUGAM’s brand and logo designed and disseminated



CEO

4. Hold stakeholder Meetings with 40,000,000 Periodic Periodic 4 stakeholder Availability of Chairperson/CEO

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symposiums and orientation sessions with key stakeholders

stakeholders

Communication and writing materials.

symposiums and orientation sessions with key stakeholders conducted and reported

funds


5. Develop and

implement

Information,

Education and

Communication

Strategy for SUGAM.

Consultant

Funds

6,000,000 Jan 2016

Mar 2016

Information, Education and Communication Strategy for SUGAM developed and implemented

Funds availability


Chairperson/CEO

6. Participate in trade

forums

Pavilions

Logistics

50,000,000 Periodic Periodic No. of trade for a participated

Funds availability


CEO

7. Develop and

implement a

Branding and

Visibility Strategy.

Consultant

Funds

10,000,000 Jul 2016

Sept 2016

Branding and Visibility Strategy Developed and implemented

Funds availability


CEO

8. Establish own

communication

infrastructure

including website

and email,

telephone

number, Post Office

Box Number

Consultant

Funds

20,000,000 Jan 2016

June 2016

Communication infrastructure established and functional

Funds availability


Chairperson/ Board

9. Design, develop and Consultant 60,000,000 July Quarterly 20 issues (hard Funds Chairperson/CEO

x | P a g e

disseminate SUGAM

Newsletter (e-

newsletter and hard

copy).

Funds

Logistics

2016 every year

copy and e-copy) of SUGAM Newsletter developed and disseminated

availability


xi | P a g e

STATEGIC THEME 4: STAKEHOLDERS NETWORKING AND COLLABORATION

GOAL: To have a robust network of stakeholders for representation, communication and networking

STRATEGIC OBJECTIVE 1: To strengthen stakeholders networking at all times

Activities Resources/Tools Cost Start End Output(s) Assumptions Responsible

1. Create linkages and networks with similar international organizations locally and abroad

Logistics

Contacts

Funds

10,000,000 Aug 2015

Cont. 50% increase in new networks with similar international organizations locally and abroad established and signed


Board commitment


Chairperson/ Board

2. Conduct a comprehensive stakeholder mapping and analysis

Funds

Secretariat

To be done alongside other duties

Aug 2015

Oct 2015

Stakeholder mapping and analysis conducted


Board commitment


Chairperson/CEO

3. Conduct Bi-annual stakeholder symposiums

Identification of speakers and participants

Logistics

Funds

To be done alongside other fora

Periodic

Periodic

Bi-annual stakeholder symposiums conducted



Chairperson/CEO

4. Build the capacity of second grade sugar out-grower

Consultant

Funds

10,000,000 Jul 2016

July 2016

First grade sugar out-grower associations trained in



Chairperson/CEO

xii | P a g e

associations in Leadership and Group Dynamics and Networking strategies

Leadership and Group Dynamics and Networking strategies

Commitment of member associations

5. Conduct stakeholder needs assessment on program/project areas

Consultant

Funds

12,000,000 Jun 2016

Jul 2016

Stakeholder needs assessment on program/project areas profiled and reported


Commitment member associations

CEO

6. Conduct quarterly learning visits for Networks

Logistics

Funds

80,000,000 Periodic

Periodic

16 learning visits conducted and reported



CEO

7. Conduct collaborative and consultative meetings with potential stakeholders

Logistics

Funds

To be done alongside other meetings and activities

Peri

odic

Periodic

No. of meetings held

Minutes of meetings

No. of collaborations signed

Availability of

funds

Stakeholder

commitment

Management

commitment

CEO

8. Advocate and develop a common implementation strategy for collaboration

Logistics

Funds


Peri

odic

Periodic

Collaboration strategies participated in and developed

Availability of

funds

Stakeholder

commitment

Management

commitment

CEO

9. Review and share beneficiary

Logistics

To be done alongside

Peri Periodic

beneficiary information with

Availability of

funds

CEO

xiii | P a g e

information with other implementing partners in similar interventions

other meetings and activities

odic other implementing partners in similar interventions documented and shared

Stakeholder

commitment

Management

commitment

xiv | P a g e

STRATEGIC THEME 5: STRENGTHENED ICT AND KNOWLEDGE MANAGEMENT GOAL: To have a robust platform for cross-fertilization of information with stakeholders.

STRATEGIC OBJECTIVE 1: To create a platform for documentation and dissemination of information for organization learning and

growth.

Activities Resources/Tools Cost

(MK000)


1. Update and consolidate an integrated Out-grower Management and Information System (MIS) Strategy.

Consultant

Funds

Orientation

sessions

10,000,000 Jan 2017

Mar 2017

Integrated

Management and

Information System

(MIS) Strategy

developed and

implemented

Availability of

funds

Board

commitment

Chairperson/CEO

2. Update, launch and manage an interactive SUGAM Website (catalogues, emails for secretariat staff)

Consultant

Funds

Orientation

sessions

To be done alongside communication platform

Feb

2016

Feb

2016

Interactive SUGAM

Website developed

and implemented

Availability of

funds

Board

commitment

Chairperson/Board

3. Undertake Research and Development (R&D)

Extension staff

Funds

consultant

20,000,000 Ong

oing

Ongoi

ng

No. of research papers presented

Research reports documented

Availability of

funds

Board

commitment

CEO

xv | P a g e

4. Document and disseminate research findings, best practice and lessons learnt

Personnel

Workshops/

field days

Stationery

To be done alongside symposium, newsletters, websites and other meetings

Ong

oing

Ongoi

ng

Research findings,

best practice and

lessons learnt

documented and

disseminated

Malawi Sugar

Commission

conduct the

research

Availability of

funds for

research

Good

corporation

from the

industry

Availability of

funds

Management

commitment

CEO

5. Develop and implement extension technology ( using SMS Alerts)

Funds

Accessories (cell phones

6,000,000 On

goin

g

On

going

Extension

technology

developed and

implemented

Farmers have

cellular

phones

Good

cooperation

from farmers

Availability of

Secretariat

Availability of

funds

Management

commitment

CEO

xvi | P a g e

6. Develop and automate organization processes

Funds

Consultant

20,000,000 Jan 2018

On-going

Organization

processes

automated

Funds

availability

Management

commitment

CEO

7. Adopt, implement and manage the Sustainable Management Tool (SMT) developed by Solidalidad )

Trained personnel


5,000,000 Sept 2015

Ongoing

Functional

Sustainable

Management Tool

(SMT)

SMT

development

successfully

completed

Support from

Solidaridad

to this

approach

Funds

availability

Management

commitment

CEO

xvii | P a g e

STRATEGIC THEME 6: STRENGTHENED FINANCIAL SUSTAINABILITY FOR SUGAM

GOAL: To strengthen financial position of SUGAM for sustainability

STRATEGIC OBJECTIVE 1: To enhance resource base for the implementation of activities for SUGAM at all times.

Activities Resources/Tools Cost (MK000) Start End Output(s) Assumptions Responsible

1. Develop Resource Mobilization Strategy for SUGAM.

Consultant

Funds

Orientation

sessions

10,000,000 Jan

2016

Mar

2016

Resource

Mobilization

Strategy for

SUGAM

developed and

implemented

Availability of

funds

Board

commitment

Chairperson/

Board

2. Constitute a

resource

mobilization

committee.

Orientation

sessions

Stationary

5,000,000 Aug

2015

Dec 2015

Resource

mobilization

committee

constituted and

functional

Board

commitment

Chairperson/

Board

3. Draft and

implement

terms of

reference for

the resource

mobilization

committee.

Orientation

sessions

Stationary

3,000,000 Aug

2015

Dec

2015

Terms of

reference for

the resource

mobilization

committee

drafted and

implemented

Availability of

funds

Board

commitment

Chairperson/

Board

4. Develop

action plan

for resource

mobilization

Funds

Orientation

sessions

Stationary

Consultant

To be done in

line with (4)

above

Aug

2015

Dec

2015

Action plan for

the resource

mobilization

committee

developed and

Availability of

funds

Management

commitment

Resource

mobilization

committee

xviii | P a g e

implemented

5. Develop

unsolicited

proposals for

funding.

Funds

Stationary

15,000,000 Apr

2016

Ongoing No. of

proposals

submitted

vs. No. of

successful

proposals

Funds

availability

Management

commitment

CEO

6. Develop own infrastructure including office, hall and conference facilities

Land

Contractor

Architect

Building

materials

Fittings

120,000,000 Jan

2019

Dec

2020

Own offices

constructed

and

functional

Funds

availability

Management

commitment

Board

commitment

Chairperson/CEO

1. Adopt and

replicate low

cost

production

techniques,

innovations

and

conservation

agriculture

technologies

for all first

grade sugar

out-grower

associations’

Meetings and

orientation

sessions

Funds

Logistics

Trainers

Transport and

logistics

Learning

materials and

stationary

20,000,000 Jan

2017

Ongoing Low cost

production

techniques,

innovations

and

conservation

agriculture

technologies

adopted and

replicated

for all first

grade sugar

out-grower

associations’

Funds

availability

Management

commitment

Board

commitment

Commitment

of first grade

sugar out-

grower

associations

Chairperson/CEO

xix | P a g e

famers.

famers

8. Train first

grade sugar

out-grower

associations

business and

financial

management.

Trainer

Funds

Stationary

Venue

Meals and

accommodati

on

Transport and

logistics

12,000,000 Dec

2016

Dec

2016

No. of

farmers

trained

Training

reports

submitte

d

Funds

availability

Management

commitment

Board

commitment

Commitment

of first grade

sugar out-

grower

associations

Chairperson/CEO

xx | P a g e

STRATEGIC THEME 7: BETTER MANAGEMENT OF CROSS-CUTTING ISSUES

GOAL: Cross-cutting issues managed better

STRATEGIC OBJECTIVE 1: To strengthen health status of staff and member associations through good management of HIV/AIDS and

Wellness Programmes at SUGAM by 2018.

Activities Resources/ Tools

Cost Start End Output(s) Assumptions Responsible

1. Develop, launch and implement HIV and AIDS workplace policy

Facilitator

Workshops

Personnel

4,000,000 Jun

2016

Ongoing HIV and AIDS

workplace policy

developed,

launched and

implemented

Stakeholder

cooperation

Management and

Board commitment

Funds availability

Chairperson/

CEO

2. Develop links and networks with implementing partners e.g. Malawi Business Coalition against HIV and AIDS; AWiSa (GIZ); and NAC.

Institutions profile

Logistics

5,000, 000.00 Jul

2016

Ongoing No. of

Memorandum

s signed and

functional

Stakeholder

cooperation

Management and

Board commitment

Funds availability

Chairperson/

CEO

3. Establish an HIV and AIDS Workplace Committee.

Personnel

Meetings

To be done alongside other administrative activities

Jan 2016

Jan 2016 HIV and AIDS

Workplace

Committee

Established and

functional

Members willing

to partake in the

committee

Management and

Board

commitment

Chairperson/ CEO

4. Train and orient the HIV and AIDS Workplace

Trainer

Stationary

15,000,000 Aug

2016

Ongoing No. of

participants

Management and Board commitment

Chairperson/ CEO

xxi | P a g e

Committee Transport

and logistics

Venue

Learner

material

trained

Post-training

reports

submitted

Members

commitment

Fund availability

5. Procurement of HIV/AIDS and wellness materials

Funds 3,000,000 Apr 2016

May 2016

HIV/AIDS and

wellness materials

procured and

functional

Funds availability

Management

commitment

CEO

6. Develop HIV/AIDS

and Wellness

structures at

workplace.

Funds

Contractors

10,000,000 Jan 2017

Dec 2017

HIV/AIDS and Wellness structures at workplace developed and functional

Funds availability

Management

commitment

CEO

7. Include HIV and

AIDS column in

SUGAM in-house

newsletter

To be done alongside other communication initiatives

Nil July 2016

Quarterly HIV and AIDS column in SUGAM in-house newsletter included and disseminated

Funds availability

Management

commitment

CEO

STRATEGIC OBJECTIVE 2: Mainstream gender and equity in all policies and functions of SUGAM and member associations by 2018.


1. Develop and implement a gender and equity mainstreaming policy.

Funds

Consultant


6,000,000 Jan

2016

Feb 2016

Gender and equity

mainstreaming

policy developed

and implemented

Fund availability

Management

commitment

Chairperson/

CEO

xxii | P a g e

2. Hold gender sensitization workshops with staff and member associations.

Funds

Facilitator

Venue

Logistics

Stationary

Learner materials


June

2016

Ongoing No. of gender sensitization workshops with staff and member associations conducted

Workshop reports submitted

Fund availability

Management

commitment

Chairperson/

CEO

3. Include gender and equity column in in-house newsletter


Nil July 2016

Quarterly Gender and equity column in SUGAM in-house newsletter included and disseminated

Funds

availability

Management

commitment

CEO

STRATEGIC OBJECTIVE 3: Mainstream health and safety issues in all policies and functions of SUGAM and member associations by 2018


1. Develop and implement health and safety mainstreaming policy.

Funds

Consultant


6,000,000 Jan

2016

Feb 2016

Gender and equity

mainstreaming

policy developed

and implemented

Fund availability

Management

commitment

Chairperson/

CEO

2. Establish a health and safety committee

Personnel

Meetings

To be done alongside other administrative activities

Jan 2016

Jan 2016 Health and Safety

Committee

Established and

functional

Members

willing to

partake in the

committee

Management

and Board

commitment

Chairperson/ CEO

xxiii | P a g e

3. Draw terms of reference for the health and safety committee


Stationary

To be done

alongside

other

administrati

ve activities

Feb

2016

Feb 2016

Terms of reference

for the health and

safety committee

developed,

communicated and

implemented

Management and

Board commitment

Chairperson/ CEO

4. Hold health and safety training and workshops with staff and member associations

Trainer

Stationary

Transport and

logistics

Venue

Learner

material

15,000,000 Jul

2016

Ongoing No. of

participants

trained

Post-training

reports

submitted


Members

commitment

Fund

availability

Chairperson/ CEO

5. Include Health and Safety issues column in in-house newsletter.


Nil Jul 2016

Quarterly Health and Safety column in SUGAM in-house newsletter included and disseminated

Funds

availability

Management

commitment

CEO

STRATEGIC OBJECTIVE 4: Mainstream environmental management issues in all policies and functions of SUGAM and member associations

by 2018


1. Develop and implement an environmental management mainstreaming policy.

Funds

Consultant


6,000,000 Mar

2016

May

2016

Environmental

management

mainstreaming

policy developed

and

implemented

Fund availability

Management

commitment

Chairperson/

CEO

2. Draw terms of reference for the


To be done Feb Feb 2016

Terms of Management and Chairperson

xxiv | P a g e

environmental management committee

Stationary

alongside

other

administrativ

e activities

2016 reference for the

environmental

management

committee

developed,

communicated

and

implemented

Board commitment through the

Technical and

Extension

Services

Committee

3. Hold sensitization workshops with staff and member associations on environmental management mainstreaming policy.

Trainer

Stationary

Transport and

logistics

Venue

Learner

material

15,000,000 Jul

2016

Ongoing No. of

participants

trained

Post-training

reports

submitted


Members

commitment

Fund availability

Chairperson/ CEO

4. Include environmental management issues column in in-house newsletter.


Nil July 2016

Quarterly Environmental management column in SUGAM in-house newsletter included and disseminated

Funds availability

Management

commitment

CEO

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