By adding efficiencies, you add more certainty to your operations
Inefficiencies in your operations are like pests that infiltrate your crops and yields, robbing you of time, resources, and, ultimately, profits.
Let’s look at five ways, some less expected than others, where you can identify and eliminate these profit robbers and increase your efficiencies and successes no matter what crop you’re growing.
Reviewing Your Time Allocation
There is no doubt that modern farmers are the real Jack and Jills of all trades—and few people work harder.
You’re expected to be a scientist, mechanic, accountant, business manager, and more. The trick here is identifying where to spend your limited and precious time.
For example, if fixing a piece of machinery might take you five hours but will only take a specialist an hour, are you saving money doing it yourself? If you’re spending far too much time on labor, where is the break-even point for hiring help?
Hiring The Right People
Speaking of help, the people you hire are the heart of your operation. One farmer put it best when she said, “My season’s usually as good as the people working with me.”
Farming is a unique venture and requires different sets of skills and commitments than most jobs.
So how can you find the right people when it comes to hiring?
Start like an HR director and find out what you can about your future employee. Even if that person is a migrant worker, there are ways to learn more about their track record.
And when you do find good help, it’s essential to keep them coming back. For more on that, visit our friends at Farm Progress for three ways to hire and motivate your employees:
https://www.farmprogress.com/blogs-3-tips-successfully-hire-farm-workers-11272
Purchasing Early
Speaking of time, being fully funded before the crowd gives you a distinct advantage. Some of the benefits include:
Locking in lower fuel and seed prices
The ability to negotiate cash discounts
Avoiding bidding wars on prime leased land
Increased confidence in you from vendors
Your proven record of success is another asset in negotiations. Use it to your advantage. Your experience is valuable, and the trust it creates in your business partners can go a long way in helping you get the resources you need at the fairest prices possible.
Finding Technology That Fits
Like the majority of life, technology is redefining agriculture. If you have a need, there’s a software or hardware solution offering a fix.
But just because the technology is out there doesn’t mean it fits your operations.
You’ll find more efficiencies by finding the tech solutions that best match your operations. There are several ways to ensure your tech fits your needs, including working with an IT specialist who focuses on agriculture or trying software and equipment on a free trial basis. Another way is to work with lenders who provide financing and specialize in matching you with the right tech and other efficiencies.
When you find the solutions that fit seamlessly into your workday, you’ll wonder how you ever worked without them.
Saving Water, Fuel, and Other Resources
Resource use and allocation are where the right technology performs.
Software and hardware solutions can help you do everything from cutting your water usage to reducing the turning and wheel slippage that wastes fuel in your machinery. You’re probably using these tools already, but be on the lookout for updates and new tech.
As you know, farmers tend to be some of the most open and honest people you’ll meet–we all want each other to succeed. Ask around. Find out what’s working and what isn’t for other farmers and what isn’t.
And if there’s anything we at FarmOp can do to help you, regardless of if you use our lending solutions or not, feel free to reach out to us anytime.
Until next time, here’s to bumper crops and profitable markets.