Think Return per acre not Return per Cow

Mr Teichert is a cattle ranch consultant, so he thinks in terms of cows, but this thought can apply to most livestock and may even extend to orchards (think dwarf vs standard trees) and other horticulture schemes.  Here is another thought from a man whom I’ve yet to meet, who has words of wisdom and experience worth pondering taken from his column “Strategic Planning for the Ranch” in Beef magazine”

Think Return Per Acre Rather Than Return Per Cow

“We often get so caught up in “maximums” that we forget the distinct possibility that running more cows that are small and give less milk might provide a greater return per acre while producing less return per cow.  The calf-crop percentages might be greater, while cost per cow and cost per acre might both be significantly lower, which will greatly increase profit.  We want to improve the productivity and profitability of our entire ranch, not production or profit per cow.”

Burke Teichert, a consultant on strategic planning for ranches, retired in 2010 as vice president and general manager of AgReserves Inc.  He resides in Orem, Utah.  Contact him at burketei@comcast.com