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Comparative analysis of biomass supply logistics organization structure of transaction cost

Author: PanShengYi ZhangYong YuYiFeng From: www.yourpaper.net Posted: 2010-07-10 02:47:37 Read:

Abstract: for the current biomass supply logistics development status and trends, analysis and comparison of three kinds of transaction cost theory, the existing organizational structure application, combined with the specific investigation of biomass energy industry in China, put forward the "new supply logistics organization structure energy company and the third party logistics enterprise farmer", analysis of the organization structural advantages, finally put forward the construction strategy of the supply logistics organization structure.
Keywords thesis: biomass; supply logistics; organization structure; transaction cost theory
1 Introduction
Biomass resources include crop straw and agricultural processing residues, fuelwood and forestry processing residues, manure, industrial organic waste water and waste residue, city life garbage and energy plants, can be converted to a variety of terminal energy such as electricity, gas, solid fuel and liquid fuel.
A series of logistics process biomass production to biomass materials collection, transportation and storage, and the logistics cost usually accounts for the cost of production of biomass energy products, 50 - 70%.In reality, biomass feedstock supply quantity, supply time, quality and cost, logistics service, often due to natural conditions, human factors and fluctuates greatly, make energy enterprises are facing great uncertainty of raw material supply.The current our country many to sweet sorghum, cassava as raw materials such as biomass energy production enterprises are in the predicament of insufficient supply of raw materials, some projects even suspend production or give up halfway.
To address the effects of biomass supply difficulties currently existing and because of many uncertain factors, in addition to the government's policy support, the key is to innovate the biomass industry organization, especially to build effective biomass supply logistics system, the benefits and risks of supply chain coordination of energy companies and the supply of biomass resources farmers ask.
Many domestic scholars carried out the research of agricultural industry organization, research focused on the qualitative aspects, but the research has not reflected birth substances can operation character of supply chain.In terms of biomass supply chain coordination, Dr. Zhang Yong of the Southeast University has carried out some preliminary research, some foreign scholars carried out the investigation and research of biomass energy industry in the aspect of organization.VanLoo and Koppejan believe that organization to solve problems in the field of performance technology, through the organization of contract to design effective guarantee quality and improve the efficiency of biomass is not flexible production technology.KlrstiDautzenberg and JonHart0 discussed German biofuel industry organization, the opportunity and the challenge, and pointed out the energy companies are regional biomass energy industry chain founder or sponsor, in order to ensure the high investment and the biomass supply security, energy companies to introduce and design of supply chain management mechanism suitable, achieve the supply chain coordination.They believed that to achieve supply chain coordination, need to rely on contract or profit sharing mechanism, rather than relying on the mechanism of biomass spot transaction.
In general, the domestic and foreign research for biomass supply chain is not yet fully unfolded, and investigation, comparison and analysis for biomass supply logistics organization is also a lack of.In this paper, from the perspective of transaction cost, analysis of biomass supply logistics under different organizations, trying to construct a consistent with the effective organization form of the actual situation in our country, and provides suggestions on how to promote the organization of biomass supply logistics in china.

2 the transaction cost theory
The contradiction between flexible supply root biomass supply uncertainty from energy enterprise rigid demand and agricultural production of biomass raw materials in the remaining biomass and energy crops.As the market and organizational governance structure impact on each transaction, the transaction cost change, thus changing the biomass supply and demand balance.To select a different transaction costs under different governance structure, can save transaction cost.Provides a practical criterion of transaction costs theory of efficient market and organization.
Think of transaction cost economics, organization is the essence for saving transaction cost and the substitute of the market, the core economic organization is to save transaction, corresponding to different transaction cost.Transaction costs, including the establishment of trade relations, information search, is for a supply of sth. negotiations, direct cost of contract terms, including due to opportunistic behavior such as supervision and implementation conditions of contract cost and indirect cost contract fails to perform the output loss caused by.
3 the existing biomass supply logistics organization structure analysis of
3.1 existing forms of organization
Energy companies to solve the biomass resource supply generally by three ways: (1) the energy directly from the spot market procurement; (2) through the signing of economic man, make the purchasing agent; (3) through the establishment of supply contracts with the farmers, the energy company farmers mode.As shown in figure 1.

Considering the actual situation of our country, the commonly used are the "energy" company peasant household "and" energy company intermediary organization peasant household "model.
"Running characteristics of energy company farmer" organization structure is: through both ex-ante contract, producing biomass farmers, enterprises are responsible for the biomass acquisition, processing and sales, and to provide the corresponding service.
"Operation mode energy company intermediary organization peasant household" is responsible for the production of biomass of farmers, storage, processing, the company responsible for the biomass, the intermediary organization acts as intermediary, is mainly responsible for the biomass acquisition.Between enterprises and farmers contract is decomposed into enterprises and intermediary organizations, intermediary organizations and farmers contract and.
At present our country rural biomass fuel industry's "company farmers intermediary organization" form is not mature.Such as the Jiangsu Guoxin Rudong Biomass Power Generation Co., Ltd., the company and farmers, and between the intermediary organization in a simple way for profit, form little contract guarantee.These intermediary organizations and some biomass enterprises, such as the letter of the company, has been in Rudong county set up more than 50 straw purchase, this year in neighbouring Tongzhou, Rugao, Haian and other counties added 30 more points of acquisition, acquisition point corresponding to each set up a broker team.The so-called intermediary organization.Some intermediary organizations is entrusted by the biomass fuel business, simple acquisitions.
3.2 different forms of trading cost analysis of
(1) the energy company farmers "".This kind of organization is inherently unstable, the practice also proved this point, the survival time and will not continue.The cause of instability is mainly due to the vulnerability of the contract, effective coordination difficulties and high transaction costs.Think of transaction cost economics, contract and effective coordination needs to rely on arbitration institutions (such as the court) coordination of interests of a neutral third party to coordinate, but high cost or even impossible.If the household defaults, biomass production enterprises resort to arbitration institutions need to spend the cost of litigation, the benefits are just the single farmer income difficult limited compensation, costs; correspondingly, if corporate defaults, farmers compensation for breach of contract litigation costs than the firm had to swallow insult and humiliation silently, the loss outweighs the gain.Company and farmer are both weak binding, making the "company peasant household" this form of organization is extremely unstable.At the same time as the number of farmers, if enterprises separately with each farmer transactions, transaction frequency is too high, increased transaction costs, the total cost increases, for biomass production enterprises, the organization form of low efficiency, high cost.
(2) "energy company intermediary organization peasant household".On the surface, "company intermediary organization peasant household" signing a "enterprise farmer" is more complex, however, as an intermediary organization which can improve the stability of this kind of organization form.Number of enterprises and farmers when signing the contract directly is equal to the number of farmers, but also to supervise the implementation of each contract, supervision and wide and scattered, execution and supervision cost is higher, the intermediary organization as the farmer groups, reduces the number of signing the contract, but also simplifies the circuit, reduce the risk value, supervision cost will be reduced accordingly.
"Company intermediary organization peasant household" as biomass market organization form not only reduced the transaction cost, but also saves the signing, implementation and supervision of contract cost, stability is strengthened.But on the other hand, because of incomplete contract, breach of contract intermediary organization can not control the farmers, enterprises cannot fully control the intermediary organization after signing the opportunistic behavior, this organization still exists shortcomings in governance.
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