Farm Data to Farm Strategy
In the journey to develop and adopt new agricultural technologies, it’s important for growers to keep in mind that these are all tools that should enable a clearly defined strategy. Farmer and consultant Dick Wittman helps farm businesses clarify this in part to make sure they know what data and technology might be a fit for their operation.
Wittman… “Farmers have historically tracked a lot of data, but you burned up all their energy, just trying to collect data and then they've not had any leftover to analyze it and turned into information and conclusions that would support changing their strategic approach. The paydirt is mining that data and coming up with those answers that we need to change strategies here. And then being able to take alternative strategies and simulate them with a financial system that says, if we change this way it will have this much effect on ROE. If we do that, that'll have a different effect on ROE. And actually go after those strategic changes that have the most impact on the business. And people are blown away by how sometimes a simple fix can have a huge impact on ROE. And when you do, and you see good things happening, you have the motivation to make the change. Whereas if you just, you think it will help, but you don't have any way of measuring the level of impact, there's not nearly the motivation to bite off some of these large strategic shifts.”
An important reminder to clarify the strategy first, then to find the tools that fit that plan.