Fuel consumption with continuously variable transmission (CVT)
By Yasser Alabi Oiole, Leonardo Leonidas Kmiecik and others
Agribusiness is captivating and dynamic for many reasons. But some of them are certainly the number of paradoxes and paradigm shifts that motivate and challenge us all the time. The cyclical nature of moments of growth and adjustment, the cutting-edge technology contrasted with the humility of not controlling the climate, the nobility of feeding the world despite the harshness of the countless economic factors that challenge the sustainability of the activity. All of this makes the sector intense and, in my opinion, exciting.
For the agricultural inputs industry, the paradox that I have been reflecting on a lot recently and that has been the subject of many conversations and debates is that of differentiation and value creation. On the one hand, there is no agriculture without technology and innovation (even more so in a tropical and high-intensity environment like ours), but at the same time, it is clear that differentiation through product alone is no longer enough.
I am increasingly convinced that differentiation and value creation for the customer (and consequently, for the chain) are intrinsically linked to genuinely understanding their business as much as they do. Thinking, organizing and acting more and more like the customer. Co-creating and developing solutions that solve real pain points or help in an increasingly horizontal way in their business.
In the research and development industry, this is a major challenge for organizations. We need intentionality, a certain boldness and resilience to make a change like this. It is much easier said than done. We need to move some of the complexity that farmers face and manage from the farm gate to “inside our home”. We need to shift from product focus to customer focus, from offering to solution, from category and segment to production system. Changing focus, in practice, means: changing logic, decisions, priorities, processes, skills and, most importantly, the way of thinking and acting.
I see that it will be increasingly necessary to cooperate, integrate chains, verticalize and combine knowledge, technologies and business models. To achieve this, partnerships and relationships that are increasingly deeper and more transparent will be essential. Making conscious and longer-lasting choices completes the picture.
It is crucial that companies in this industry understand that innovation is not just about new products and technologies, but also about creating experiences that add value and strengthen the farmer’s legacy. Differentiation depends, more than ever, on the ability to listen, understand and meet their needs in a coherent and profitable way for the entire chain. Thus, innovation and personalization are intertwined, ensuring that, even in times of adversity, there is room for growth and mutual success.
* By Marcelo Batistela, vice president of BASF Agricultural Solutions in Brazil
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