Zeytin 2017 Projected Engineering Module

Olive (Oil) Value Chain

Taner Bilgiç

Olive and olive oil production poses challenging production and supply chain problems.

The objectives of this part are:

1.     Understanding the olive value chain as a system from a competition and cooperation perspective
2.     Understanding olive yield and its effects on olive oil production
3.     Understanding olive and olive oil market demand and prices
4.     Understanding quality and costs
5.     Mapping to other production problems (vaccines, semiconductors etc)
6.     Developing and playing a game where players give investment, production and pricing decisions under random yield and random demand

The program is envisioned as two sessions of about 60-75 minutes. The first session will be dedicated to discussions on the first five objectives. The second session will be dedicated to playing the game and discussing the results.

The game requires 2-4 teams competing in a single market by producing high quality olive oil. It is important that the teams discuss their decisions. The learning effect will be significant if the groups are formed with individuals of diverse backgrounds. 

Resources: flip board, pen and paper, post-it pads for submitting decisions, dice


Materials: basic factual information about olive and olive oil production, production, consumption and price data from Turkey, EU and the world.

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