Strategic Assessment Of The Broiler Poultry Industry In Sistan Region Using The SWOT Model

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1 International Research Journal of Applied and Basic Sciences Available online at ISSN -X / Vol, (): -7 Science Explorer Publications Strategic Assessment Of The Broiler Poultry Industry In Sistan Region Using The SWOT Model EbrahimShahraki Faculty Member, University of Zabol, Iran. Correspondence Author Eb.shahraki@gmail.com. ABSTRACT: This study aims to identify the strengths (S), weaknesses (W), opportunities (O), and threats (T) which the broiler poultry farms of Sistan face and it is aimed to develop suitable strategies for proper management.. According to the present state, using a questionnaire with three groups: authorities ( subjects), farmers ( subjects), and experts ( subjects) a number of strengths, weaknesses, 9 opportunities, and threats were identified and studied. Based on the subject s viewpoints and using SPSS software, the total, the relative, the prevalence, and rate was calculated for each of the strengths, weaknesses, opportunities, and threats. SWOT matrix was drawn for determination of competitive strategies (SO), review strategies (WO), variety strategies (ST), and defensive strategies (WT). The test was random. The results indicated that whole year production capability was the most important strength and lack of specialist managers was the most important weakness in the studied farms. In addition to that, the factor demand for meat among households was found to be the most important external opportunity while the factor high death rate was the most important external threat to the farms. Empirical analysis in the region shows that the broiler poultry farms vulnerability threshold is very high in Sistan and absolutely in need of review strategies and administration of suitable policies in order to alleviate existing shortcomings and to take advantage of the potentials. Keywords: SWOT, Strategy, Broiler poultry, Management, Sistan INTRODUCTION There has been different debates on the term management. But it can simply be stated that management is the art of getting the job done by others or the process of programming, organizing, leading, and supervision of other members of the organization and the ability to make use of all the available organization resources to achieve the goals (Austin, ). Strategy is the required techniques and their conduction in order to adjust and coordinate the assets for achieving the organization goals or in other words, strategy is the overall policies and programs for achieving certain goals in a way that it can explain the topics, the business, and the companies or organizations (Bandara, ). Thus, strategic management can be defined as the process of guaranteeing system success in achieving certain goals by practicing appropriate strategies (Chase et al., ). According to this, one of the main strategic models for poultry farms (rearing broiler poultry), in profitable and non-profit or state farms, is the Harvard model. In this model, two types of factors (internal and external) that affect the farms would be considered. Internal factors include Strengths (S) and Weaknesses (W) which consist of practical processes and management decisions which seem to be directly under the control of the farm s manager. Strength and weakness points are determined by comparing the performance over past and present or by comparing the present performance with average performance (Austin, ). External factors include opportunities (O) and Threats (T) that affect the farm from outside and the manager has not much control over them and cannot manipulate them. Up to now, there has not been enough reports on application of SWOT model in poultry farms but other countries have already made wide use of this model in poultry farms. E.g. some researchers (Bandara, ; Chase et al., ) have noted the strategies, problems, and objectives of small milk farms in south Asia. Staal et al (), studied the development policies of milk farms in south Asia and east Africa. Shahraki et al () studied the formulation of management strategies for milk farms in Sistan and Baluchestan region of Iran considering the SWOT model. The results show that if both traditional and modern farms aim to become stable and play a positive role in people lives, they need to have clear strategies, increase local co-ownership, strict regulations, stable marketing, and reality based programing. The strategic plan in Pakistan is called The White Revolution which has been applied in small farms

2 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, (FAO, ). Also, the Strategic General Plan for Milk Production has been reported in Baluchestan province of Pakistan, a neighbor of Iran s Sistan and Baluchestan province, by the local government (FAO, ; FAO, ). And there has been reports on strategic plans being applied in small farms in some countries e.g. North Korea (FAO, 7), India (FAO, 7), Mongolia (FAO, 7), Bangladesh ( FAO, 7Myanmar (Government of Balochistan, ), Nepal (Government of Balochistan, ), Philippines (Hegde, ), Thailand (Kensinger and Muller, ), Asia and The Pacific (Mirzaei et al., ). Some researchers have studied the effects of milk farm performance analysis groups (Oleggini et al., ), the region and herd size (Shahraki, ), and milk production model and efficiency of workers and promotion trainings (Singh and Pundir, ; Staal et al., ) on milk herds. In the present state, other than administering strategic general plans, because of the lack enough research in the country, the present research is important concerning some other aspects too. Regarding the fact that there exists a combination of state rules and management protocols, privatization, and cooperatives in control of poultry farms and this indicates a very special system in most parts of the country, including Sistan and Baluchestan province, thus, lack of a strategic general plan would most certainly result in loss of national funds, and inconsistent decisions. Therefore, in order to improve the efficiency index of poultry farms, it is needed to think of strategies for production management in abovementioned farms and aim for fundamental changes. Hence the overall objectives of this study include: Identification of Strengths, Weaknesses, Opportunities, and threats that affect the management of broiler poultry farms of Sistan province. Formulation of suitable strategies to improve the management of broiler poultry farms. MATERIALS AND METHODOLOGY Region under study Sistan is a vast region that expands over Iran, Afghanistan, and Pakistan with its majority in Iran and minority in Afghanistan. It reaches the Hindu Kush Mountains to the north and east and ends in low plains in the southwest and west with a height less than m (Zeya Tavana, 99). The part that is located in Iran, according to the Zabol Region General Plan in, has had a population of of which 79 (%) lived in 7 villages (Advisor engineers Sharmand, ). Sistan has a total number of 7 poultry farms of which are closed and open. Out of this active farms, 9 are located in Hamun county, are in Zabol itself, 7 are in Nimrooz county, and the remaining are located in Zahak county. The simultaneous active period of these farms include a total of // chickens, but in summer, because of the famous -windy days and the epidemic bronchitis diseases, most of these farms are closed down. Statistical Population This research is done aiming to identify strength points (S), weaknesses (W), opportunities (O), and threats (T) that face the broiler poultry farms of Sistan to be able to formulate suitable management strategies. According to the present state, using a questionnaire with three groups: authorities ( subjects), farmers ( subjects), and experts ( subjects) a number of strengths, weaknesses, 9 opportunities, and threats were randomly selected and studied. Field data was gathered using the questionnaire and check-lists and library sources were used to retrieve documented data. The questionnaire was written consulting the related officials, teachers, farmers, and herders beforehand and then it was given to them to be filled in. To maintain the validity and reliability of the questionnaire, the following techniques were used: observing the logical order of questions, standardizing the scores, determining the item discrimination index, determining item facility, item validity, method of using standard scale, determining the meaning difference index of questions, and measuring the criterion-related reliability. And SPSS software was used to calculate the total, the relative, the prevalence and the rate. Formulation of SWOT model The steps for formulation of the model include: identification of internal factors (strengths and weaknesses) and external factors (opportunities and threats), prioritization of internal and external factors, drawing the SWOT matrix, entering the selected factors considering their internal/external priority level altogether, and finally formulation of strategies (competitive/offensive strategies, review/adaptive strategies, variety/contingency strategies, and defensive strategies) according to the present state. Total, relative, prevalence, and rate were calculated for each of the strengths, weaknesses, opportunities, and threats based on viewpoints of all three groups (Farmers, Authorities, and Experts) in the following manner. To determine the degree of effectiveness and the importance for each of the strength points, weaknesses, opportunities, and 9

3 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, threats based on the present state, four options were used (very important, important, less important, not important). Formulation of Strategy (SWOT Matrix) Table. SWOT Matrix and Formulation of Strategies SWOT Strengths (S) Weaknesses (W) Opportunities (O) Competitive Strategies (SO) Overview Strategies (WO) Threats (T) Variety Strategies (ST) Defensive Strategies (WT) Presentation of Strategies and Solutions for Farm Development SO Strategies The purpose of these strategies is to maximize the opportunities by making perfect use of strengths. For instance, making good use of system s capabilities and increasing the market share. WO Strategies The purpose of these strategies is to remedy the internal weaknesses by making use of present opportunities. ST Strategies The purpose of these strategies is to reduce or remedy the side effects of threats by making good use of strength points. WT Strategies The purpose of these strategies is to take care and reduce internal weaknesses and stay away from external threats. RESULTS Analysis of Strengths, Weaknesses, Opportunities, and Threats This research identifies and studies internal strengths against 9 internal weaknesses and external opportunities against external threats (Table ). Thus, a number of strengths and opportunities as advantages, and a number of 9 weaknesses and threats as disadvantages face the broiler poultry farms of Sistan. Therefore, a simple analysis indicates that the farms are very vulnerable and require a review in terms of the related policies in order to alleviate the weaknesses and threats using the strengths and opportunities. The results of this research in agreement with Shahraki et al (). Table. SWOT Matrix of the studied areas Internal External Strengths (S) Opportunities (O) S- whole year production capability O- demand for meat among households S- availability of cheap land to be developed into farms O- being close to the border S- participation of family members in production O- cheap labor S- main and byroads in the area O- state support for poultry farms S- tendency for rearing poultry O- whether people can afford poultry or not S- out of the farm incomes O- veterinarians in the area S7- mechanization of poultry farms O7- Zabol University and training specialists S- cultural backgrounds for poultry farms in the area O- insurance support for farmers Weaknesses (W) Threats (T) W- lack of specialist managers T- -windy days W- lack of skillful workers T- lack of adequate infrastructures W- high death rate T- viruses which come abroad and infect the farm W- high production costs T- fluctuations and increase of costs W- high feed conversion ratio T- fluctuations of poultry-meat price W- high number of respiratory deceases T- lack of skillful workers close at hand W7- not using skillful specialists T7- poultry-meat import from other provinces W- not having optimized energy plans T- unfamiliarity of farmers with modern management W9- farmers having multiple jobs T9- high death rate T- no training for farmers

4 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, Analysis of Strengths Based On Authorities Viewpoints SWOT analysis shows that based on authorities viewpoints, the factor whole year production capability is the most important internal strength point with a prevalence of.% and the factor regarding main and byroads in the area with a prevalence of 7% is the next important internal strength point.concerning the improvement and development of poultry farms in this region authorities believe that existence of cultural backgrounds is the least important strength point. Table. Strengths Based On Authorities Viewpoints Experts Strengths (S) S- whole year production capability 7.. S- availability of cheap land to be developed into farms.. S- participation of family members in production.. S- main and byroads in the area S- tendency for rearing poultry.7 7. S- out of the farm incomes. S7- mechanization of poultry farms. S- cultural backgrounds for poultry farms in the area.. 7 Authorities 7 Figure. Strengths Based on Authorities' Viewpoints Analysis of weaknesses based on Experts viewpoints SWOT analysis shows that based on authorities viewpoints, the factor of lack of skillful workers is the most important internal weakness point with a total of and a prevalence of 7.% while the factor of having multiple jobs with a prevalence of.% is the least important internal weakness point concerning the improvement and development of poultry farms in this region. Table. Weaknesses based on authorities viewpoints Experts Weaknesses (W) W- lack of specialist managers.7 7. W- lack of skillful workers.7 7. W- high death rate.. W- high production costs. W- high feed conversion ratio.7 7. W- high number of respiratory deceases.. W7- not using skillful specialists.. W- not having optimized energy plans W9- farmers having multiple jobs..

5 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, 7 Authorities Figure. Weaknesses Based on Authorities' Viewpoints Analysis of Opportunities Based On Authorities Viewpoints SWOT analysis shows that based on authorities viewpoints, the factor of cheap labor is the most important external opportunity with a prevalence of % while the factor of whether people can afford poultry or not is the least important external opportunity with a prevalence of % concerning the improvement and development of poultry farms in this region. Table. Opportunities based on Authorities viewpoints Experts Opportunities (O) O- demand for meat among households.. O- being close to the border.7 7. O- cheap labor.. O- state support for poultry farms.. O- whether people can afford poultry or not 7 O- veterinarians in the area.. O7- Zabol University and training specialists.. O- insurance support for farmers.. state support for poultry farms veterinarians in the area Authority Opportunities cheap labor Zabol University and training specialists demand for meat among households being close to the border Figure. Opportunities Based On Authorities' Viewpoints insurance support for farmers

6 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, Analysis of Threats Based on Authorities Viewpoints SWOT analysis shows that based on authorities viewpoints, the factor of high death rate is the most important external threat point for poultry farms in this region with a total of and a prevalence of %. Table. Threats based on Experts viewpoints Experts Threats (T) T- -windy days. T- lack of adequate infrastructure.7 7. T- viruses which come abroad and infect the farm.. T- fluctuations and increase of costs.. 7 T- fluctuations of poultry-meat price.. T- lack of skillful workers close at hand.. 9 T7- poultry-meat import from other provinces.7 7. T- unfamiliarity of farmers with modern management. T9- high death rate.. T- no training for farmers.. Authority Threats Figure. Threats Based on Authorities' Viewpoints Analysis of Strengths Based On Farmers Viewpoints SWOT analysis shows that based on farmers viewpoints, the factor tendency for rearing poultry is the most important internal strength point with a of and a prevalence of % while the factor regarding out of farm income with of is the least important internal strength point concerning the improvement and development of poultry farms in this region. Table 7. Strengths Based On Farmers Viewpoints Farmers Strengths (S) S- whole year production capability.. S- availability of cheap land to be developed into farms.. S- participation of family members in production.. S- main and byroads in the area.. S- tendency for rearing poultry.. S- out of the farm incomes.. S7- mechanization of poultry farms.7 7. S- cultural backgrounds for poultry farms in the area..

7 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, Farmer Strengths Figure. Strengths Based on Farmers' Viewpoints Analysis of weaknesses based on farmers viewpoints SWOT analysis shows that based on poultry farmers viewpoints, the factor of high respiration deceases in poultry farms is the most important internal weakness point with a of 9 and a prevalence of 7. while the factor of having multiple jobs with a prevalence of. is the least important internal weakness point concerning the improvement and development of poultry farms in this region. Table. Weaknesses based on Farmers viewpoints Farmers Weaknesses (W) W- lack of specialist managers.7 7. W- lack of skillful workers.. W- high death rate.. W- high production costs.. W- high feed conversion ratio.. W- high number of respiratory deceases W7- not using skillful specialists.. W- not having optimized energy plans. W9- farmers having multiple jobs.. 9 Farmer Weaknesses Figure. Weaknesses Based on Farmers' Viewpoints Analysis of Opportunities Based On Farmers Viewpoints SWOT analysis shows that based on farmers viewpoints, the factor of being close to the border is the most important external opportunity point with a of and a prevalence of while the factor of Zabol

8 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, University and training specialists is the least important external point concerning the improvement and development of poultry farms in this region. Table 9. Opportunities based on Farmers viewpoints Farmers Opportunities (O) O- demand for meat among households. O- being close to the border.. O- cheap labor.. O- state support for poultry farms.. O- whether people can afford poultry or not.7 7. O- veterinarians in the area O7- Zabol University and training specialists.. O- insurance support for farmers.. Farmer Opportunities 7 Figure7. Opportunities Based on Farmers' Viewpoints Analysis of Threats Based on Farmers Viewpoints SWOT analysis shows that based on farmers viewpoints, the factor of unfamiliarity of farmers with modern management is the most important external threat point for poultry farms with a prevalence of 7.7% while the factor of high death rate with a percentage of % is the least important external threat concerning the improvement and development of poultry farms in this region. Table. Threats based on Farmers viewpoints Farmers Threats (T) T- -windy days 9.. T- lack of adequate infrastructure.7 7. T- viruses that infect the farm.. T- fluctuations and increase of costs.. T- fluctuations of poultry-meat price. T- lack of skillful workers.. T7- poultry-meat import from other provinces.. T- unfamiliarity of farmers with modern management.7 7. T9- high death rate 7 T- no training for farmers..

9 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, Farmer Threats 9 Figure. Threats Based on Farmers' Viewpoints Analysis of Strengths Based On Specialists Viewpoints SWOT analysis shows that based on farmers viewpoints, the factor whole year production capability is the most important internal strength point with a prevalence of % while the factor regarding main and byroads in the area with a prevalence of.% is the least important internal strength point concerning the improvement and development of poultry farms in this region. Table. Strengths Based On Specialists Viewpoints Specialists Strengths (S) S- whole year production capability.. S- availability of cheap land to be developed into farms.. S- participation of family members in production.. S- main and byroads in the area.. S- tendency for rearing poultry.7 7. S- out of the farm incomes.. S7- mechanization of poultry farms.. S- cultural backgrounds for poultry farms in the area.. Specialist Strengths Figure9. Strengths Based on Specialists' Viewpoints

10 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, Analysis of weaknesses based on Specialists viewpoints SWOT analysis shows that based on specialists viewpoints, the factor of lack of specialist managers is the most important internal weakness point with a prevalence of % while the factor of having multiple jobs with a prevalence of.% is the least important internal weakness point concerning the improvement and development of poultry farms in this region. Table. Weaknesses based on Specialists viewpoints Specialists Weaknesses (W) W- lack of specialist managers.. W- lack of skillful workers.. W- high death rate.. W- high production costs.. W- high feed conversion ratio.. W- high number of respiratory deceases.. W7- not using skillful specialists.. W- not having optimized energy plans.7 7. W9- farmers having multiple jobs.. Specialist Weaknesses Figure. Weaknesses Based on Specialists' Viewpoints Analysis of Opportunities Based On Specialists Viewpoints SWOT analysis shows that based on Specialists viewpoints, the factor of demand for meat among households is the most important external opportunity with a prevalence of % while the factor of being close to the border is the least important external opportunity with a prevalence of.% concerning the improvement and development of poultry farms in this region. Table. Opportunities based on Specialists viewpoints Specialists Opportunities (O) O- demand for meat among households.. O- being close to the border.. O- cheap labor.. O- state support for poultry farms.. O- whether people can afford poultry or not 9.. O- veterinarians in the area.. O7- Zabol University and training specialists.. O- insurance support for farmers

11 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, Specialist Opportunities 9 Fgure. Opportunities Based on Specialists' Viewpoints Analysis of Threats Based on Specialists Viewpoints SWOT analysis shows that based on specialists viewpoints, the factor of unfamiliarity of farmers with modern management is the most important external threat point for poultry farms in this region with a prevalence of 7.7%. Table. Threats based on Specialists viewpoints Specialists Threats (T) T- -windy days 9.. T- lack of adequate infrastructure.. T- viruses which come abroad and infect the farm.. T- fluctuations and increase of costs.. T- fluctuations of poultry-meat price.7 7. T- lack of skillful workers close at hand.. T7- poultry-meat import from other provinces.. T- unfamiliarity of farmers with modern management.7 7. T9- high death rate.. T- no training for farmers.7 7.

12 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, Specialist Threats 9 Figure. Threats Based on Specialists' Viewpoints DISCUSSION AND CONCLUSION Field research has been done based on theoretical frameworks in order to suggest strategies for improvement and development of broiler poultry farm. Using the SWOT technique, potentials and limitations of the region have been identified and practical strategies have been proposed for the development of broiler poultry industry in the region. Regarding this, the results could be presented in two aspects concerning quality or quantity: Results achieved from the quality aspect of both internal and external factors indicate that: Concerning the development of broiler poultry farms, the farms are very vulnerable and exposed to risk. Distribution and reallocation of resources in the studied area, regarding the opportunities and high amount of weaknesses, is essential. Studying the quantity aspect, regarding the strengths, weaknesses, opportunities, and threats, indicates that: Environmental factors, e.g. production in all seasons, are the most important strength point and advantage of these regions regarding the development of the farms which must be emphasized if any improvement is to take place. Also, based on the results, lack of specialist manager is found to be the most important weakness which can be alleviated by participation of the people and state and private institutions. Furthermore, the factor demand for meat among the households is considered to be the most important external opportunity. According to the suggested strategies, these opportunities could be used to develop the farms. Unfamiliarity of the managers with modern management is found to be the most important external threat to the farms and some strategies have been proposed to remedy this too. According to what has been presented, on the whole it can be said that if broiler poultry farms are to become reliable and play a positive role in the people s lives, they need to determine and develop certain strategies, increase local participation, strict rules and regulations, consistent marketing, and reality based programs. In the meantime, factors like passivity of managers, lack of a united management, lack of an assessment and supervision system, being influenced by other factors are some vulnerabilities that threaten the development of broiler poultry farms and need to be remedied. REFERENCS Austin JEA.. The White Revolution: Strategic Plan for the Pakistan DairyIndustry. PISDAC-USAID Pakistan. 9

13 Intl. Res. J. Appl. Basic. Sci. Vol., (), -7, Bandara BH.. The current status of smallholder dairy systems in Sri Lanka. In: Rangnekar Smallholder dairy production and marketing Opportunities and constraints. Proceedings of a South workshop held at NDDB, Anand, India, March. Chase LE, Ely LO, Hutjens MF..Major Advances in Extension Education Programs in Dairy Production, J. Dairy Sci.9: 7-. ESCAP.. Economic and Social Survey of Asia and the Pacific. FAO.. Nepal: Project Document. Training for the Small-scale Dairy Sector in Support of the Community Livestock Development.project (TCP/NEP/). FAO.. Philippines: Project Document. Increasing Milk Availability through Capacity Building for.the Small-scale Dairy Sector.project (TCP/PHI/) FAO.. Project Completion Report. North Korea: Strengthening Small-scale Goat Milk Processing Capacity. Project (TCP/DRK/). FAO.. Thailand: Project Completion Report. Training Programme for the Small-scale dairy Sector. Project (TCP/BGD/9) FAO. 7. Agro-industries Characterisation and Appraisal: Dairy in India. Agricultural Management,Marketing and Finance Service. FAO. 7. Bangladesh: Project Completion Report. Training Programme for the Small-scale dairysector. Project (TCP/BGD/9). FAO. 7. Mongolia: Project Completion Report. Government of Mongolia-Japan-FAO Dairy FoodSecurity. Project (GCSP/MON//JPN). FAO. 7. Myanmar: Project Completion Report. Small-scale Dairy Technology Transfer and Training.Project (TCP/MYA/). Government of Balochistan. a. Concept Paper: Provision of Milk Chillers tofarmers for Collection, Preservation and Marketing Quality Milk. Department oflivestock and Dairy Development, Balochistan. Government of Balochistan. b. Establishment of Milk Collection, Preservation andmarketing Center for the Supply of Quality Milk to the Public in Quetta.Department oflivestock and Dairy Development, Balochistan. Hegde NG.. Livestock Development for Sustainable Livelihood of Small Farmers, Souvenir of the 9th Annual General Meeting and th National Symposium on.energisingrural India.A Challenge to Livestock Industry. Compound Livestock Feed Manufactures Association of India (CLFMA), Manesar, Haryana. Kensinger RS, Muller LD..Major Advances in Teaching Dairy Production.J. Dairy Sci.9: -. Mirzaei HR, Yavar B, Mirtaheri M.. Lessons lernt from disaster management in sistan drought along the world s pond, International disaster and risk conference. Oleggini GH, Ely LO, Smith JW.. Effect of Region and Herd Size on Dairy Herd Performance Parameters.J. Dairy Sci.: -. Shahraki E. Developing Management Strategies For Livestock Production Using SWOT Model In Sistan Region. Singh KT, Pundir RS.. Problems and prospects of smallholder dairy production andmarketingin South Asia: An overview. Staal SJ, Pratt AN, Jabbar Md.. Dairy Development for the Resource Poor: A ComparisonofDairy Policies and Developments in South Asia and East Africa.Project (FAO/ILRI). Weinard D, Conlin BJ.. Impacts of dairy diagnostic teams on herd performance. Journal of Dairy Sci. :9 7. Zoller C, Bruynis C. 7. Conducting a of Your Agricultural Business, Ohio State University Extension, Tuscarawas County, 9 Stonecreek Rd.,New Philadelphia, OH. 7

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