28
The value proposition defines value for the customer, whereas the profit formula
establishes value for the organization and its shareholders/stakeholders
(Johnson 2010).
1.10.1.3 Key Resources
Key resources are competencies such as human talent, technology, facilities, equipment, channels, reputation, freedom to operate, and brand. They deliver in an effective way the value proposition to end-users. Key elements create value for the user
and the organization. An organization needs to understand how those elements
interact with each other. Generic elements found in every organization and which do
not create competitive differentiation are not considered key resources (Johnson
et al. 2008). For retailers such as Amazon, a key resource is its Information
Technology infrastructure. Within the agricultural domain, examples of key
resources can include the scientific expertise, market understanding, and proprietary
knowledge at companies such as Bayer, Benson Hill, Calyxt, Cargill, Corteva,
Enko, HZPC, Inari, Indigo, John Deere, KWS, Mosaic, Pairwise, Provivi and
Syngenta among others, as their competitors may lack such resources. By leveraging such key resources, these companies increase the value and benefits their users
get from the goods and services they offer.
1.10.1.4 Key Processes
Key processes may include training, budgeting, manufacturing, planning, sales, and
services. Such processes enable companies to deliver value propositions to users on
a recurrent basis which is then able to be scaled up (Johnson 2010). In the case of
Hortifrut, a key process is its ability to supply high-quality, fresh berries to customer
throughout the whole year because it sources from production fields in different
environments, including Chile, Peru, Spain, and Mexico. Building on previous
expertise and local partners, it is also producing and commercializing berries in
China. In the case of Tuskys, one of the leading supermarket chains in Kenya, which
commercializes bread and pastries enriched with vitamin A, a key process is the
method of incorporating the puree of vitamin A-enriched sweetpotato into their proprietary bakery operations.
1.11 Closing Remarks
This chapter lays the foundation for successful innovation. These concepts can be
applied to any economic sector – to profit-seeking and nonprofit organizations, and
to both private and public endeavors. If there is one economic sector with an unparalleled application potential, however, it is agriculture and agrifood systems in both
H. Campos
The value proposition defines value for the customer, whereas the profit formula
establishes value for the organization and its shareholders/stakeholders
(Johnson 2010).
1.10.1.3 Key Resources
Key resources are competencies such as human talent, technology, facilities, equipment, channels, reputation, freedom to operate, and brand. They deliver in an effective way the value proposition to end-users. Key elements create value for the user
and the organization. An organization needs to understand how those elements
interact with each other. Generic elements found in every organization and which do
not create competitive differentiation are not considered key resources (Johnson
et al. 2008). For retailers such as Amazon, a key resource is its Information
Technology infrastructure. Within the agricultural domain, examples of key
resources can include the scientific expertise, market understanding, and proprietary
knowledge at companies such as Bayer, Benson Hill, Calyxt, Cargill, Corteva,
Enko, HZPC, Inari, Indigo, John Deere, KWS, Mosaic, Pairwise, Provivi and
Syngenta among others, as their competitors may lack such resources. By leveraging such key resources, these companies increase the value and benefits their users
get from the goods and services they offer.
1.10.1.4 Key Processes
Key processes may include training, budgeting, manufacturing, planning, sales, and
services. Such processes enable companies to deliver value propositions to users on
a recurrent basis which is then able to be scaled up (Johnson 2010). In the case of
Hortifrut, a key process is its ability to supply high-quality, fresh berries to customer
throughout the whole year because it sources from production fields in different
environments, including Chile, Peru, Spain, and Mexico. Building on previous
expertise and local partners, it is also producing and commercializing berries in
China. In the case of Tuskys, one of the leading supermarket chains in Kenya, which
commercializes bread and pastries enriched with vitamin A, a key process is the
method of incorporating the puree of vitamin A-enriched sweetpotato into their proprietary bakery operations.
1.11 Closing Remarks
This chapter lays the foundation for successful innovation. These concepts can be
applied to any economic sector – to profit-seeking and nonprofit organizations, and
to both private and public endeavors. If there is one economic sector with an unparalleled application potential, however, it is agriculture and agrifood systems in both
H. Campos