Seven Management Techniques That Move Producers Toward Productivity

摘要

Profitability is denned as net return to owner's equity; retained earnings (or profits) increase owner's equity. If profit is defined as a net return, several methods can be used to reach such a goal: (1) increase revenues, while maintaining the sameexpense level; (2) decrease expenses, while maintaining the same revenue stream; (3) do both, maximizing revenues and decreasing expenses. But most cow-calf producers don't generate a positive return to equity for the efforts they put forth. The cow-calfsector of the cattle industry is among the most heavily subsidized in agriculture — it is subsidized by "off-the-farm" income. This sector has limited sources of "on the ranch" revenue: selling of weaned offspring and the selling of culled animals (bulls, cows and replacement heifers). However, adopting management techniques for better reproductive efficiency, increasing production and reducing production costs can significantly improve a producer's profit margin.