Title: Contribution of the systems thinking approach to reduce production cost and improve the quality of Vietnamese coffee

Authors: Thich V. Nguyen; Nam C. Nguyen; Ockie J.H. Bosch

Addresses: Systems Design and Complexity Management, School of Marketing and Management, University of Adelaide Business School, SA 5005, Australia ' Systems Design and Complexity Management, School of Marketing and Management, University of Adelaide Business School, SA 5005, Australia ' Systems Design and Complexity Management, School of Marketing and Management, University of Adelaide Business School, SA 5005, Australia

Abstract: The current trend of increasing cost and declining quality in coffee production has prompted concern among producers because of its potential implication for reducing the competitiveness of their products. The aim of this study is to identify the factors that directly affect production cost and quality of coffee cherries. In this study, a systems thinking approach using causal loop diagrams has been applied to increase the quality and reduce the production cost of coffee in order to enhance the competitiveness of coffee production in the international market. A causal loop model of coffee production in Vietnam integrating cost, quality and coffee cultivation has been developed to identify key leverage points where systemic interventions will be most effective to reduce production cost as well as increase the quality of coffee cherries.

Keywords: coffee production; production cost; production quality; systems thinking; international markets; business systems; Vietnam; quality improvement; coffee quality; causal loop diagrams; coffee cultivation; coffee cherries.

DOI: 10.1504/IJMABS.2015.070272

International Journal of Markets and Business Systems, 2015 Vol.1 No.1, pp.53 - 69

Received: 08 Oct 2014
Accepted: 18 Dec 2014

Published online: 01 Jul 2015 *

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