McCormick+Schmitz Handbook for value chain research on - PACA

[The following example is hypothetical. We would welcome real data here. DM/HS]
Box 13.1: An exercise in observation: Distributing work to homeworkers
What is going on?
I am riding in the front seat of an old van driven by Mr. M, the intermediary who delivers outwork to
Maria and a dozen or so other homeworkers in the same area. This intermediary deals with firms in
Chain 2 (US market). Today we are delivering large packages of pre-cut pieces of boys’ shirts to each
of the homeworkers, and collecting the work finished in the past week.
What is the setting/environment like?
We turn off the main road and go about two kilometres into the interior on a rough dirt road towards
Maria’s home. The road is dry now, but Mr. M. tells me that the last kilometre is sometimes impassable
in the rainy season. Maria knows that at such times she must double-wrap the finished goods in plastic
and send them with her teenaged sons to a certain point where they will wait <strong>for</strong> Mr. M.
When we reach Maria’s house, we knock at the door. I note that Maria’s four-year-old daughter is
playing outside. When we go inside, I see the two-year-old sleeping on the sofa in the sitting room. The
sewing machine (an old electric Singer) is in the sitting room, next to a large table that appears to
double as the family dining table. Finished work is packed into large plastic sacks. Some pre-cut pieces
- probably those remaining from the last batch - are in piles on the table. The sacks of finished work are
under the table. Although it is mid afternoon, the overhead lights are on because a large tree outside
shades the only window.
Who is participating?
There are two participants:
Maria:
age - late thirties; gender - female; position - homeworker; status - low;
Mr. M: age - 40ish; gender - male; position - intermediary; status - ?
How often does this happen? How long does it take? Is it typical?
Mr. M. visits Maria every 7 to 10 days. Today, he will set the date of the next visit. Mr. M. first checks
and counts the finished pieces (16 minutes) He records the tally (297 accepted, 3 rejected) in his ledger
book under Maria’s name. Then he repacks the goods, with accepted items going into the large sacks
and rejects into a separate bag (4 minutes). He pays Maria <strong>for</strong> the accepted items and she signs the
book next to her name (3 minutes). After dealing with the finished goods, he gives Maria the new work.
Again, he records the work under Maria’s name. He tells her when he will come back, and we leave (5
minutes). Today’s visit took a total of 28 minutes. According to Mr. M., this is typical. Visits take
between 20 and 35 minutes, except in the rainy season, when the counting and checking must take place
in the cramped quarters of the van, and the new work must be carefully repacked to ensure that it does
not get wet or muddy.
How does it compare with what I have seen elsewhere?
Last week I travelled with a different intermediary to visit homeworkers of Chain 3. I note two main
differences between Maria’s situation and theirs. Maria’s sewing machine is old and very basic
compared to those I saw last week. I also note that the number of rejects (3 out of 300) is lower than the
average I computed <strong>for</strong> Chain 3 (2.6 out of 100).
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