Friday, September 30, 2022

Understanding the pillars of good farm management

Productivity is considered important for many sectors, including livestock. However, the lack of information and knowledge about management by the livestock farmers can compromise the good management of the farm and, consequently, the positive numbers in the production.

In a first moment, the owner of the property can use smart management software or expert advice, but, without a good knowledge of the resources and diagnosis of the farm, they risk losing time and money.

“A consultant can identify the problem, but they won’t in the property daily, like the livestock farmer is. Similarly, softwares optimize production, but can’t go much beyond that without correct information to feed the programming”, explains the MBA professor in Agribusiness USP/Esalq, Thiago Bernardino.

According to him, there are important points to learn, from breeding to marketing, that can ensure good farm management without many resources being wasted.

Production and marketing

Livestock requires an accurate view from the producer, which should have control of production starting from aspects of pasture. “Animal enclosure, genetics used, quality of medications, technology and nutrition done in the correct way dictate the final weight I will have in my cattle”, explains Bernardino.

All these points, adds the professor, end up influencing the quality of what is sold. Without good farm management, livestock farmers may not understand where their financial investments are going, and which spendings are necessary during the development of the herd.

“The owner needs to understand the metrics used within their activities and how all controls are done, after all, a good diagnosis will be fundamental to exercise the activities. This is important for anyone who is part of or will enter the branch”, he highlights.

Financial Control

Beef cattle has always been known to be an extensive extractive production. In addition, Bernardino explains that the meat market has great liquidity and can generate good gains to the livestock farmer. Without good financial control, however, the scenario can change.

“Few livestock farmers use softwares for farm management. Most use Excel spreadsheet or have control through bank statements”, says the professor.

This panorama, according to the professor, only reflects the low professionalization of the sector, which still deals with traditional customs for daily issues, such as buying and selling animals, or lack of adherence to technological resources.

Human resources and professionalization

Above good farm management is human work. Therefore, Bernardino considers livestock farmers as producers and people managers, because this ensures the maximum productivity of the farm and employees.

“How do you treat your employees? Are they partners or just employees? These questions show the difference between workers that are there just fulfilling the role of receiving their salary or are helping you develop and get to know your herd better”, he says.

Finally, improved efficiency of property is directly linked to updating the knowledge of livestock farmers, who should seek professionalization to deviate from the difficulties provided by the long production cycle.

“Depending on the system, I will only have profit after four or five years, counting from the beginning of the herd”, comments the professor. In order to not “lose your touch”, he advises dedication at the time of observing the investment of cash flow and not going along with the liquidity of the product, which facilitates your sale, but does not guarantee long-term profits.

Whether as consultants or producers, understanding the good farm management is in the list of success within livestock and Agribusiness.

Learn also what is the overview of the post-covid livestock market 19.

Author

Ana Rízia Caldeira
Ana Rízia Caldeira
A good listener, I truly enjoy moments in which I can see the world and get to know things by the words from other people. Not surprisingly, I got into journalism. And besides bringing contents to Next, I use my abilities of ascertainment and listening to flirt with a mini career in hosting for the MBA USP/Esalq stories, in the segment Você no Camarim. When I’m not making myself busy by being the text and Instagram girl, I like to use my free time to read books, watch a good movie, decorate my house with crochet rugs, draw flowers and exploit my cooking skills. Quando não estou me ocupando em ser a garota dos textos e do Instagram, gosto de usar meu tempo para devorar livros, acompanhar algum bom filme, enfeitar minha casa com tapetes de crochê, desenhar flores e abusar dos meus dotes na cozinha.