Managing Farm/Ranch Managing Farm/Ranch LaborLabor

Dr. Cole R. GustafsonDr. Cole R. GustafsonDept. of AgribusinessDept. of Agribusiness

North Dakota State UniversityNorth Dakota State University

Feb. 19, 2008Feb. 19, 2008Providence, RIProvidence, RI

cole.gustafson@ndsu.edu

Farm/Ranch LaborFarm/Ranch Labor

Hired LaborHired Labor

Family and FriendsFamily and Friends

How Well Do You Delegate?How Well Do You Delegate?

1.1. UnsatisfactoryUnsatisfactory

2.2. WeakWeak

3.3. OkOk

4.4. GoodGood

5.5. GreatGreat

How Well Do You Define How Well Do You Define Specific Duties?Specific Duties?

1.1. UnsatisfactoryUnsatisfactory

2.2. WeakWeak

3.3. OkOk

4.4. GoodGood

5.5. GreatGreat

How Well Do You Compensate?How Well Do You Compensate?

1.1. UnsatisfactoryUnsatisfactory

2.2. WeakWeak

3.3. OkOk

4.4. GoodGood

5.5. GreatGreat

How Can You Handle This?How Can You Handle This?

List 3 approachesList 3 approaches

Discuss in GroupDiscuss in Group

Mr. Bud Light

Strategies to HandleStrategies to Handle1) Avoidance1) Avoidance

2) Specific Warning2) Specific Warning

3) Humor3) Humor

4) Penalize4) Penalize

5) Authority5) Authority

6) Vague Threat6) Vague Threat

7) Problem Solving7) Problem Solving

8) Explanation8) Explanation

9) Appeal to Values9) Appeal to Values

Dealing with TardinessDealing with Tardiness

1.1. AvoidanceAvoidance2.2. Specific WarningSpecific Warning3.3. HumorHumor4.4. PenalizePenalize5.5. AuthorityAuthority6.6. Vague ThreatVague Threat7.7. Problem SolvingProblem Solving8.8. ExplanationExplanation9.9. Appeal to ValuesAppeal to Values

How Can You Handle This?How Can You Handle This?

Mr. I. M. Family

Approaches to HiringApproaches to Hiring

Casual Formal

Choose Employee Who:

Chance Emotional Clinical Systematic

Walks in Feels Right SeemsSuited

MeetsCriteria

Steps in the Hiring ProcessSteps in the Hiring Process

Describe the jobDescribe the jobRecruitRecruit

– AdvertiseAdvertise– Solicit referralsSolicit referrals– Conduct informal interviewsConduct informal interviews

Screen applicants and inform those not consideredScreen applicants and inform those not consideredInterview/test candidatesInterview/test candidatesCheck referencesCheck referencesExtend offerExtend offerTrainTrainReviewReview

Sample Job DescriptionSample Job Description

(From aghelpwanted.org, p82)

Sample InterviewSample Interview

(From aghelpwanted.org, p96)

Sample Job QuestionsSample Job Questions

(From aghelpwanted.org, p98)

Where to Find Employees?Where to Find Employees?

Fastest growing segment in U.S.?Fastest growing segment in U.S.?

1)1)Teenagers 13-19 years oldTeenagers 13-19 years old

2)2)Hispanics 20-29 years oldHispanics 20-29 years old

3)3)Suburbanites 30-39 years oldSuburbanites 30-39 years old

4)4)Senior citizens 65-75 years oldSenior citizens 65-75 years old

CompensationCompensation

1)How much to pay?

2)Benefits?

3)Perks?

What is Family Living in NDWhat is Family Living in ND

1.1. $10,000$10,000

2.2. $15,000$15,000

3.3. $20,000$20,000

4.4. $25,000$25,000

5.5. $30,000$30,000

6.6. $35,000$35,000

7.7. $40,000$40,000

30000

32000

34000

36000

38000

40000

42000

44000

46000

48000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Do

llar

s

Family Living Expense, ND Farm Bus. Mgmt

Actual Yearly Average

Trend = $1,820 Annual Increase

Working with Family/FriendsWorking with Family/Friends

How Does Your Farm/Ranch How Does Your Farm/Ranch Differ?Differ?

Differ in physical attributes?Differ in physical attributes?

Differ in organization, communication?Differ in organization, communication?

How Does Your Farm/Ranch How Does Your Farm/Ranch Differ?Differ?

Differ in physical attributes?Differ in physical attributes?

Differ in organization, communication?Differ in organization, communication?

These observable differences reflect These observable differences reflect unique goals/strategiesunique goals/strategies

They are neither right, nor wrongThey are neither right, nor wrong

Only you can determine if selected Only you can determine if selected strategy is meeting your goalstrategy is meeting your goal

Are the Headaches of a Large Farm Worth Are the Headaches of a Large Farm Worth it?it?

Average net income of large farmsAverage net income of large farms (>1,600 acres) - $51,374(>1,600 acres) - $51,374

Income of upper small farms Income of upper small farms (<1,600 acres) - $49,834(<1,600 acres) - $49,834

(North Dakota Farm Business Management Education Records, 2002)(North Dakota Farm Business Management Education Records, 2002)

Why Plan StrategicallyWhy Plan StrategicallyWith Family?With Family?

Happiness, feel contentHappiness, feel content

Smooth interactions with othersSmooth interactions with others

EconomicEconomic

Dealing with unexpected eventsDealing with unexpected events

The Planning ProcessThe Planning Process

http://www.ndsu.nodak.edu/instruct/swandal/frm&agbusmgt/ref_topics/SPSummary.htm

What is What is MYMY Plan? Plan?

My Goals Spouse Goals

Farm Goals

Exercise #1Exercise #1

List 2-3 of your most precious moments in List 2-3 of your most precious moments in life so farlife so far

Exercise #2Exercise #2

List 2-3 of your most precious moments in List 2-3 of your most precious moments in life so farlife so far

List something else about that day??List something else about that day??

What is What is MYMY Plan? Plan?

My Goals-Requires deep thought-Dynamic planning

Exercise #3Exercise #3

List 2-3 things you really want to do yetList 2-3 things you really want to do yet

Money vs. HappinessMoney vs. Happiness

After basic needs are met (food, shelter, After basic needs are met (food, shelter, etc.), people with more income are not etc.), people with more income are not happierhappier

Buying time:Buying time:– Keep your commute shortKeep your commute short– Choose time over moneyChoose time over money– Think carefully what you spend onThink carefully what you spend on– Use leisure time wiselyUse leisure time wisely

What is What is MYMY Plan? Plan?

Spouse Goals-Requires spouse to plan-Goals don’t have to be

identical-Communication

What is What is MYMY Plan? Plan?

Farm Goals

-Many entities-Dedicated time/process

How to talk to family?How to talk to family?

Too often is not enoughToo often is not enough

Set aside regular timeSet aside regular time

Everyone has equal inputEveryone has equal input

ReferencesReferences

Arthur, Diane, Managing Human Resources in Small and Mid-sized Companies, Arthur, Diane, Managing Human Resources in Small and Mid-sized Companies, American Management Association, New York, 1995American Management Association, New York, 1995

Billikopf, Gregory Encina, Labor Management in Ag: Cultivating Personal Productivity, Billikopf, Gregory Encina, Labor Management in Ag: Cultivating Personal Productivity, University of California, 1998University of California, 1998

Thomas, Kenneth, H. and Bernard L. Erven, Farm Personnel Management, North Thomas, Kenneth, H. and Bernard L. Erven, Farm Personnel Management, North Central Regional Extension Publication 329, 1989Central Regional Extension Publication 329, 1989

www.aghelpwanted.org