Low-Cost Production Typical of High-Profit Ranches - More Ranch Managers Who Get That Needed

 

According to Dr. Clay Mathis, who has served as the director of the King Ranch Institute for Ranch Management since 2010, the complexity of conducting business in any arena, especially a thin-margined industry like ranching, continues to increase every day. Although many of the challenges are the same as those the industry has faced for years, the problem of finding competent, qualified managers to effectively deal with everyday decisions is still there. He spoke with Radio Oklahoma Ag Network Farm Director Ron Hays recently about the importance of properly training managers that can oversee ranching operations and keep them sustainable.

 

“We’ve got to have managers that can deal with and make great decisions in the face of these complexities whether it’s regulations, trying to figure out how to hire and maintain a great workforce - strategic decision making,” he said. “There’s without a doubt a need to have excellent skills in business management among the ranch managers in this country.”

 

Mathis defines a ranch’s success by how challenges on the operation are worked through. He says more than ever today, the need for strategic relationships is very important. As is a manager’s understanding of risk management and the impact of fixed costs on their business structure and profitability. Combined, he maintains that these principles will help those in charge of an operation to make sound decisions for the future. One way in which to measure that, is to evaluate a ranch’s internal economy. Mathis insists that low-cost production is characteristic of the most profitable ranches.

Video: Swine Industry Advances: Biodigesters Lower Emissions and Increase Profits

Analysis of greenhouse gas (GHG emissions) in the Canadian swine sector found that CH4 emissions from manure were the largest contributor to the overall emissions, followed by emissions from energy use and crop production.

This innovative project, "Improving Swine Manure-Digestate Management Practices Towards Carbon Neutrality With Net Zero Emission Concepts," from Dr. Rajinikanth Rajagopal, under Swine Cluster 4, seeks to develop strategies to mitigate greenhouse gas emissions.

While the management of manure can be very demanding and expensive for swine operations, it can also be viewed as an opportunity for GHG mitigation, as manure storage is an emission source built and managed by swine producers. Moreover, the majority of CH4 emissions from manure occur during a short period of time in the summer, which can potentially be mitigated with targeted intervention.

In tandem with understanding baseline emissions, Dr. Rajagopal's work focuses on evaluating emission mitigation options. Manure additives have the potential of reducing manure methane emissions. Additives can be deployed relatively quickly, enabling near-term emission reductions while biodigesters are being built. Furthermore, additives can be a long-term solution at farms where biogas is not feasible (e.g., when it’s too far from a central digester). Similarly, after biodigestion, additives can also be used to further reduce emissions from storage to minimize the carbon intensity of the bioenergy.