National Association of Farm Business Analysis Specialists National Farm & Ranch Business Management Education Association North Central Farm Management Extension Committee First Joint Conference June , 2007 Rochester, Minnesota “Building a Winning Team” – Marketing and Management for Farm Couples Bret Oelke – Regional Extension Educator

“Building a Winning Team” – Marketing and Management for Farm Couples – Executive Summary Managing a farm business and marketing crops and livestock in this highly volatile agricultural environment is both exciting and challenging. Developing and maintaining a high level of communication and understanding of management marketing goals between farming partners, including spouses, are key to successful business management. The “Building a Winning Team” Marketing and Management for Farm Couples workshop series was developed in response to requests by producers. It’s aim is to improve the communication and understanding of the basic principles of commodity marketing and farm management between couples. The program covers issues related to market plan development and implementation; utilizing farm records; and becoming a preferred provider to grain and livestock buyers as well as a preferred customer of suppliers in order to enhance farm profitability. The pilot program, co-sponsored by the University of Minnesota Extension and the Grant County Farm Bureau, included fourteen couples from West Central Minnesota who met five times for two and one-half hours.

Objectives Provide an overview of why the program was developed and how it was designed and delivered Share evaluation results Discuss the future of the program

Why was the program developed Marketing and management groups and Annie’s Project participants and alumni requested a couples program on marketing and farm management.

Program development and delivery Marketing and management group material and tools used as a base Annie’s Project format used as a guide Designed specifically for a couples audience Include communication segment

Sponsors Grant County Farm Bureau

Program Objectives Improve Business Communication  Internally  Externally Enhance Marketing Skills  Identify or develop marketing philosophy  Develop or implement a market planning Expand Management Expertise  Recognize skill areas  Explore areas for outsourcing or in-sourcing  Build a “Winning Team”

Session One Introductions Overview of Program Marketing and Management Resources Understanding Markets

Session Two Session One Review The Language of Marketing  Marketing Terms  Reading and Utilizing Marketing Resources

Session Three Session Two Review Building and Strengthening Supplier and Buyer Relationships Planning for Marketing

Session Four Session Three Review Keeping Track and Utilizing Your Records Developing, Improving and/or Maintaining Positive Relationships with Landlords  Defending your land base

Session Five Session Four Review Assembling your “Winning Team”  Internal and external members Group Directed Discussion Evaluation

Evaluation Summaries 1. What do you feel was the most useful part of the program? General knowledge increased for me – we’re busy and with everything else going on with family, my husband and I don’t always have time to talk about this. Spouses attending together. Finding all the different websites. Suggestions for the land rental contracts. Learning the terminology. Knowing where our partner stands in what they know and what they do. Landlord rental agreements. Resource – website addresses for “free” information for farm information. Learning how important it is to not only work the farm together (in the field) but (in the office) as well! Female participants

Evaluation Summaries 1. What do you feel was the most useful part of the program? The last meeting for rent agreements. Websites. Sharing the information with my spouse and friends as a group. Flexible cash rent information. It was all very good in every aspect. Education is important. Wife needs to help with overwhelming tasks. The last session. To develop a written marketing plan and stick to it. Showing us the resources that we can use to find information i.e. websites, etc Male participants

Evaluation Summaries 2. What topics (not covered) do you feel should be included in this program?  I could still benefit from more general/basic knowledge.  Expand on current topics.  For a basic starter program it was good.  Crop insurance.  More detail in marketing – examples of puts and calls and why to use them with or without cash contracts, etc. Female participants

Evaluation Summaries 2. What topics (not covered) do you feel should be included in this program?  More long term marketing options.  Basic farm law.  What do those of us do that have sold December 07 in the area other than scale up to get price average up.  Computer interaction.  More hands on things like actual do model is like the insurance model.  Farm transfer ideas – parents to kids that are farming and how to treat non-farming kids fairly. Male participants

Evaluation Summaries 3. What would you change about the program?  Get more younger farmers involved. Staying with time.  To go over more marketing examples.  Maybe separate beginner, beginner to advanced people/couples. I don’t know if there were too many couples that were overly advanced to others in this particular group but it may happen in other groups! Female participants

Evaluation Summaries 3. What would you change about the program?  Different room.  Try not to cover so many subjects, get more in-depth on fewer.  Do them every week instead of two. Keeps the program and information more fresh.  Fin Pack analysis details should be explained.  Not much, less time on the terms.  Nothing.  Speed up terms of marketing.  I would keep what you have and maybe develop follow-up courses more in-depth, etc. Male participants

Evaluation Summaries 4. I was surprised by…………………  The wealth of resources out there – if you take the time to find them. Also made me feel that I was more an integral part of our business.  The land rent spreadsheets. It was interesting to see what it should be. I knew they were high but wow.  How much Farm Bureau does. Female participants

Evaluation Summaries 4. I was surprised by…………………  Nothing.  How well almost everyone behaved.  The openness of all questions of everybody, not the tight lipped used to seeing.  How many resources are available for getting information. Male participants

Evaluation Summaries 5. I changed my mind about………………..  Okay, so I get why we spend so much time on number crunching, etc. now. I still wish it took less time, ha! But I do get it.  Having a marketing plan.  Record keeping on the Internet using the computer to get better organize. Female participants

Evaluation Summaries 5. I changed my mind about………………..  The teacher/preacher.  How important very good bookkeeping is. Get you that extra, maybe needed land, rent if need more land to farm. Male participants

Evaluation Summaries 6. I now understand………………..  There are so much more complexities than I realized, and I grew up on a farm.  I need more education and understanding of marketing.  The concept of a marketing plan with incremental sales. Taking some of the emotion out of it.  That working as a team is better and more useful than work just as one.  Helping.  SWAG-Bret and GIGO-Margot.  How important it is to keep good farm records and practice management skills always. Female participants

Evaluation Summaries 6. I now understand………………..  More than I did.  How to use the special computer programs more. Male participants

Evaluation Summaries 7. I plan to……………………………  Stay more involved with the farming operation.  Be more supportive of the marketing plan. Try to create and put together better analysis data.  Ask more questions on what is going on in the farm. Help my partner follow his plan.  Continue to be educated in marketing grain to not just cover cost of production but make enough money to be able to keep up with updating equipment cost (trades, etc.) and also be able to take a decent family living “wage.”  Continue using the marketing plans we have put together. Hopefully have the time to become more involved in our area farm programs. Female participants

Evaluation Summaries 7. I plan to……………………………  Keep going to the meetings - marketing and others.  Learn more yet.  Bring spouse into more planning and execution of plan.  Use models in determining land rent.  To be more aggressive in forward selling. Male participants

Evaluation Summaries 8. Other comments:  Thank you. I appreciate it.  You did a nice job. I would be interested in another program to follow-up with more marketing, detail, more in-depth. Thanks!  Be able to see the overhead better. Was hard to see.  A better lit area.  Thank you to Farm Bureau for being a sponsor. Thanks Bret for organizing this group and to get more of the area producers together to discuss what’s going on not only locally in the farm but worldly as well. Thanks also to Margot for her reinforcement of keeping good farm records.  100% of Female respondents would recommend this type of program to others Female participants

Evaluation Summaries 8. Other comments:  Need to advance the promptness.  I would attend another set of meetings again.  Open bar.  The land rent discussion was good.  I agree that more minds are better than one.  Need to discuss more “basic” marketing for less experienced people.  100% of Male respondents would recommend this type of program to others Male participants

Where do we go from here or what is the future of this program? Tentatively planning on delivering this at three locations in Minnesota with Farm Bureau Young Farmers and Ranchers in cooperation with Minnesota Corn Producers. Available to other organizations across the country

Thank You! Bret Oelke – Regional Extension Educator