Work offers discussion of the issues of value chain management and development in agribusiness. In particular, based on the study of business entities in Georgia it analyzes and assesses the process of value chain formation and role of the involved stakeholders that increase the product value for the consumers through organized cooperation. Value chain connects the raw material producers, middlemen, processing enterprises, sales markets, service providers and different parties, whose activities promote competitiveness of one another at marketplace and its maintenance through introduction of innovations in the processes of value chain. Value chain management is the instrument of strategic business analysis and planning that is used for coordination of the value chain components and resources. Effective management of value chain directly affects profitability of the involved stakeholders and satisfaction of consumers. The work demonstrates the main challenges hindering development and effectiveness of agribusiness management in Georgia, including land fragmentation, low availability of advanced technologies, lack of business management awareness and skills, poor organization of logistics and supply process, low opportunities of negotiating and performing agrarian marketing etc. Within the scopes of the research various cases of the agricultural cooperatives involved in the sector were studied and business cycles of priority sectors of Georgian agriculture were surveyed. Work was prepared on the basis of in-depth interviews with the industry experts, agribusiness managers and parties involved in the value chain. Secondary data (desk research) were collected through studying of the publications related to the issue and value chain reports. Seasonality of raw materials production and their insufficiency was found to be one of the main causes of instability of value chain and supply chain in agriculture sector. Participants of value chain do not perceive one another as partners and do not care properly about the quality stability thus reducing competitiveness of their businesses. In the process of research the emphasis was made on the problems of value chain management. In agribusiness, necessity of formation and setup of the full production chain allowing significant reduction of production costs was identified as one of the significant directions for production growth and development. Recommendations offered by the work would contribute to improvement of value chain management in agribusiness, in Georgia.
Abstract:Work provides overview of the situation and trends in agricultural sector of Georgia
Work deals with the issues of public sector reformation and development of the effective public administration system. Georgia has implemented numerous reforms in this area JEL Classification: J24, M1976 http://www.iises.net/proceedings/24th-international-academic-conference-barcelona/front-page IntroductionHuman resources management determines how the organization can achieve its goals relying on its human resources, management instruments and HR management integrated policy and practice methods. Human resources comprise the most unique and valuable capital of the organizations and effective HR management is significant instrument for achievement of the organizational goals. Effective HR management is directly linked with development of HR management strategies, implying the set of methods and actions used by the organization for attraction of effective human resources, their training, development and maintenance. Strategy allows the organizations to predetermine the suitable personnel needed and set the ways for their recruitment, maintaining and development. People have different knowledge, experience, intellectual capacities, style of thinking and behavior. These differences cause difficulty of HR management and at the same time, the special area of interest.And effectiveness of HR management depends on the degree of its suitability to the organization development level. Certainly, with growth and development of the organizations, the HR management programs, practices and procedures should be changed and developed as well. In this respect, there are serious problems in public sector of Georgia.
The article discusses the challenges in Georgia at the current stage of labor market formation. In particular, employment opportunities caused by low levels of economic development, sharp imbalances between supply and demand, low labor mobility, low labor costs, high percentage of people with higher education and youth in the unemployed market, high share of informal employment. The paper analyses the imbalance between labor demand and supply in the labor market as main causes of unemployment and as one of the main impediments to business development. There is an imbalance between labor skills with professional opportunities and the demand on labor market. The problems of compatibility between the education and employment systems in the country has been identified. It is established that a weak link between these two systems and the lack of an agreed policy contribute to the deterioration of education, the random distribution of labor in the labor market, which does not correspond to the professional qualifications of the individual and prevents the creation of innovative work directions. Study results show that the underdevelopment of labor market infrastructure in Georgia has hampered the economic development of the country and has created many socio-economic problems in the form of unemployment, poverty and illegal migration.
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