Extracted from the Farm Tender weekly Newsletter - Sign up and get the email every Wednesday morning before 6 am. www.farmtender.com.au
By Dwain Duxson.
I am of the belief that Farmers are relying on 3rd party service providers more than ever before.
Farmers simply can't DIY everything on the Farm. The workloads and responsibilities are too great these days. Farmers are turning on outside help as it's impossible to keep up with everything.
Livestock Agents, Agronomists, Accountants, the local store, recruiters, Grain traders, consultants, nutritionists, succession planners, coaches, and board members are becoming increasingly important within each Farming business.
In the past, some had the attitude that having these people on the books was too much expense. And the thinking was that they could do some of these roles themselves to save a few dollars.
Now, many are looking at it in the opposite sense that these people and/or organisations are adding more value to my business. Well outstripping the costs. And that's the way it should be.
As long as five years ago, I was of the belief that Farmers would head more down the DIY path with these things. I got that wrong as that's pretty much dead now.
I even remember talking to a few Livestock Agents about how they thought they might be superseded with technology one day.
Why the change in attitude? Because Farmers are busier than ever, and the current complexities of Farming mean that it's hard to know everything.
In times gone past, Farming was much simpler, and as Farmers, we could be across almost everything. These days if you are doing everything, you are probably going backwards.
A clear head is essential for running a multi-million dollar Farm business.
Some Farmers are very picky about who they have on their support team and put great effort into finding the best available.
How will it look going forward? As Farms get bigger and other new pressures come into Farming, I think the reliance on third-party support will only increase. Farmers might surround themselves with even more people.
The corporate and investment world spends a lot of money on outsourcing. They wouldn't do it if they didn't get a result.
Keep your options open.
End of message