This is Part Three of a three-part series (see Part One and Part Two).
Editor’s note: this article is also available in French. Download the translated version here.
When getting a clear financial picture for your operation, basic record keeping often isn’t enough. That’s why it’s essential to know your cost of production.
While many aspects of the industry are uncertain, thankfully there is the opportunity to examine what can be, for the most part, controlled – your cost of production. As a producer, the ability to measure and manage those components of your operation that are within your control is a powerful tool. Why not take advantage of that tool by signing up to participate in an upcoming focus group?
The Canadian Cow-Calf Cost of Production Network (CDN COP Network) will develop benchmarks for specific production systems and ecoregions across the country. Scenarios will be developed for what future farms could look like utilizing the 5% Rule to identify where incremental improvements could be made around productivity, input costs, and output prices. Each production system will have its own set of limitations and opportunities where greater focus may be beneficial. Continue reading