Inclusive rice seed business: Performance and sustainability

Abstract

Abstract A collective action approach to rice seed production is an inclusive method involving the community’s active participation at all stages of its execution. This all-inclusive strategy, however, has yet to be thoroughly investigated and published. This study explored how and to what degree an inclusive rice seed business of Gapoktan, based on a collective action approach, might be deployed in a sustainable rice seed company run by community groups. The research comprised the following stages: (1) establishment of a seed production business institution, (2) production of rice seeds, and (3) self-assessment of the performance of the seed production business institution. Institutional data were acquired through a questionnaire that references the European Foundation for Quality Management’s (EFQM) methodology. Three dimensions used were direction (purpose, vision, and strategy; organizational culture and leadership); execution (engaging stakeholders; coasting sustainable value; driving performance transformation); and result (stakeholder perceptions; strategic and operational performance). The study suggests essential findings: The organizational structure of rice seed producers formed is complete regarding its operational functions. The rice seeds produced by Gapoktan have met both the volume and quality standards. From a financial perspective, this rice seed production unit is feasible for further development. However, their social orientation is still relatively high and needs to be more profit-oriented. Uniquely, not all members buy and use Gapoktan seeds. As a result, additional efforts are necessary to provide exceptional service to Gapoktan members.