B.A.M. Young Ag Leader Program David Marrison Assistant Professor & Extension Educator Ashtabula County, Ohio B.A.M

Why, Buckeye Ag Manager? Age of the Ashtabula County (and Ohio) farm operators is steadily increasing. Need was identified by local farm visits and committee meetings. The senior generation states, “I know I need to turn over more control but I am really unsure if the junior generation is ready for it. I am afraid they will crash and burn.” The gripes of the younger generation. B.A.M

My 37 Year Old Farm Problem

Why, Buckeye Ag Manager? Ohio had the very successful Management Excel Courses through the late 90’s BAM is patterned after Excel with an emphasis on the planning & controlling functions.

Goals of B.A.M. Prepare the junior generation to lead & manage the farm or agribusiness. Help the junior generation understand their personality/strengths/weaknesses better. Help the junior generation analyze their operation’s financial position to make sure enough profit exists for future decades. Teach how to constructively analyze a farm operation. (all facets) Provide the tools with which participants can begin a transition plan.

Workshop Outline Session #1: Assessing the Next Generation Personality Assessment –Personal skill inventories –Personality testing Functions of Management Primer –5 functions of management –Developing a mission statement –Developing goals

Workshop Outline Session #2- Financial Management Basics Financial Statements –Balance Sheets, Cash Flow Financial Ratios (Farm Financial Scorecard) Schedule F Basics Developing Budgets Calculating Cost of Production Farm Accounting Systems –Farm Account Books – (TABS) –Quicken –Finpack

Workshop Outline Session #3- Assessing the Operation Controlling the Future -benchmarking their operation -conducting SWOT analysis Intergenerational/Family Communication Making Two-Generation Farm Families Work Planning for the future –Developing a Business Plan –Transition Planning –Retirement Planning

Details about workshop Three all day sessions with 18 hours of instructional time in winter of 2006 (over three months). Designed for students per workshop. Mix of lecture, computer exercises, small and large group discussion, and homework. Lunch provided (biggest unplanned benefit). Goal is to offer class on bi-annual basis.

Personality Tests Myers-Briggs –Introvert vs Extrovert –Sensor vs Intuitive –Feeling or Thinker –Judger or Perceiver Colors Assessment –Gold –Blue –Orange –Green

Family Stress & Communications “The underlying success of a business agreement depends on healthy family relationships. Probably more two-generation family business arrangements fail because of poor family relations than any other reason.”

Workshop Impacts Members of the BAM class have met 4 times for follow-up group discussions. Offering Annie’s Project in % of the senior generation of the class members attend the Transition Planning Workshop in % completed mission statements for their operations. 100% indicated they would encourage their parents to begin to have family business meetings.

Workshop Impacts 100% of the attendees indicated they better understood: –their personality style, –the functions of management, –balance sheets, –how to develop a transition plan, –and feel more confident in managing problems on their farm and have more confidence in their management abilities.

Workshop Impacts 86% of the attendees indicated they: –feel more prepared to take over the farm, –feel more confident in managing problems, and –feel more confident in calculating their costs of productions.

Workshop Impacts Participants rated their top business management needs as: - developing goals and tactics (4.0) - managing job related stress (4.0) - completing self assessments (3.9) - delegating responsibilities (3.9) - effective communication skills (3.9) - estate planning basics (3.9)

Course Revamped for Future Session 1- Personal Evaluation & Functions of Management Session 2- Financial Analysis Session 3- Assessing Your Operation Session 4- Transition & Estate Planning Session 5- Retirement & Investment Planning Session 6- Family Communication B.A.M.

Questions?

For More Information David Marrison OSU Extension-Ashtabula County 39 Wall Street Jefferson, Ohio B.A.M.