NPR - The Main Thing Is To Keep The Main Thing: The Main Thing – Optimal Productivity (p211-218)
Profit margins have declined substantially over the past 10 years. In order to combat the deterioration of profit margins, farmers have to adopt new technologies to improve the productivity of the direct productive assets (land & livestock) on the farm. Mega Merinos managed to double most of the more important factors contributing to increased productivity. These factors include (1) the development of the productivity of the workforce by means of delegation, (2) improved pasture management and changing to more productive grazing systems, (3) flock feed conversion – increase kilogram meat produced per kilogram fodder used, (4) increased wool production per SSU as well as the lowering of the microns of the wool, (5) change from commodities to branded wool and meat and (6) increased reproduction (lambing and weaning percentages as well as changing from a 12 month production system to an eight month production system). The successful farmer will therefore have to focus on increased productivity to obtain sustainable success.
Key words: Profit, productivity, Merinos, reproduction, branded wool, branded meat