Hello, Northeast Ohio! A few years ago, I heard a great speech by Zippy Duvall, American Farm Bureau President, at an event here in Ohio. One of his points which resonated with me was the need for farmers to get outside of their fence rows to stretch their management skills and to advocate.
This past month, I had the opportunity to take Zippy’s advice and attend the 24th Congress of the International Farm Management Association held in the province of Saskatchewan, Canada. This conference brought farmers, farm management consultants and university professionals together from across the globe to sharpen their farm management skills.
The theme of the congress was “Resiliency through Innovation.” The Merriam-Webster dictionary defines “resiliency” as an ability to recover from or adjust easily to adversity or change and “innovation” as the introduction of something new.
The conference planning committee did a wonderful job in designing this conference to showcase how farm businesses, families, institutions and ecosystems in Canada are adapting to today’s world through innovation.
During the conference, two days were spent listening to presentations at the University of Saskatchewan and two days out on farm tours throughout Saskatchewan. There were attendees from 20 countries stretching from New Zealand to Wales to Israel and beyond.
On the first tour day, I learned more about advancements in Canada’s barley production and craft brewery industry with stops at the University of Saskatchewan’s barley research plots, Maker’s Crafted Malts, IntelliYeast and 9 Mile Legacy Brewery.
On the second tour day, I was able to visit the heart of the Saskatchewan dairy industry with visits to the Raynor Dairy Farm at the University of Saskatchewan, Twin Peaks Creamery, Hyljon Holsteins and Prairie West Dairies.
Each of these operations showcased a variety of management approaches which used scale, efficiency, innovation and value-added opportunities to create viable business models. With my dairy background, I really enjoyed learning more about the Canadian milk quota system which is completely different from our milk pricing system.
As I reflected on the conference, I tried to define the attributes which make these farmers more resilient, innovative and profitable than their counterparts. Following are a few common themes among them:
Strategic planning
If you fail to plan, plan to fail. Each farmer and presenter stressed the need to make strategic planning a normal part of business management. Emphasis was placed on not being afraid to pivot away from what has always been done. The key is knowing when to change and when to stay the course.
Holistic management
Farmers are on a treadmill which is hyper-focused on increasing output through the increasing use of commercial inputs. Many cited the need to look at our production systems more holistically. Our global counterparts are very in tune with the Paris Climate Accords and seem to be more aggressive in reducing their carbon footprint.
Some of the questions and statements posed in this area included: Why are we planting the below average ground? Would this land be better positioned to capture carbon or be used to increase biodiversity? Have higher crop profits hurt sustainability efforts? Many stressed the need to shepherd the use of fertilizer and treat it as precious and powerful. The paradigm must shift to farm the best land and farm it better.
Financial management
Small gains matter and farmers can go broke even if they work hard. Each farm we visited had strong accounting practices and cited the adage that you can’t manage what you don’t measure. Take time to review your financial ratios and benchmark yourself against others. The key is to have standardized and accurate data.
Relationships matter
Iron sharpens iron. Who are your closest advisors? Each of the farms we visited have utilized mentors, consultants and advisory boards to sharpen their management skills and to help them stay resilient. Who is on your team and how are they helping to sharpen your management skills?
Nuggets of wisdom
There were so many great nuggets of wisdom shared at this conference. Here are just a few that resonated with me:
• “Is your legacy driven by profit or by heritage?”
• “I would worry a lot less, if I thought you were worrying enough.”
• “Maybe farmers need to just stew in their predicament.”
• “Don’t bounce back, bounce forward.”
• “No is a complete sentence.”
• “Resentment is a cancer on a family farm.”
• “If you are not around the table — you are probably on the menu.”
I encourage each of you to get out of your fence row to grow, survive and thrive in the face of today’s obstacles.
And remember a quote from Mark Nepo who stated, “We are stronger, gentler, more resilient and more beautiful than any of us imagine.”
Have a good and safe day!