production management that delivers results

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PIC Symposium 2011 | Nashville, T Production management that delivers results Rafael Kummer, Phd. Master Company - Brazil

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Production management that delivers results. Rafael Kummer, Phd . Master Company - Brazil. Brazilian Top 10 players. Master Agropecuária – Overview. Founded : April , 29 th 1994 ( Family Company ) Business: production of pigs for reproduction and slaughter in partnership - PowerPoint PPT Presentation

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Page 1: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Production management that delivers results

Rafael Kummer, Phd.Master Company - Brazil

Page 2: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Brazilian Top 10 players

RANK COMPANY # SOWS1 BRASIL FOODS 450.0002 AURORA (COOP) 150.0003 MARFRIG/SEARA 115.0004 DOUX FRANGOSUL 33.0005 PAMPLONA 25.0006 MASTER AGROPECUARIA 21.0007 COOP CASTROLANDA 15.0008 COSUEL 12.0009 COOPERCAMPOS 12.00010 COPAGRIL 10.000

Page 3: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Master Agropecuária – Overview

• Founded: April, 29th 1994 (Family Company)

• Business: production of pigs for reproduction and slaughter in partnership

• Company structure- 21.000 sows (6 farms)- 2 boar studs (150 boars)- 2 feed mills- 190 partners- 270 employees

• Target for 2011: 600.000 wean pigs (28,4 P/S/Y)

Page 4: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Business point of view - BTW

Site I21%

Síte II17%Síte III

62%

Page 5: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Throughput

CostProductivity

Managing BTW

Page 6: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Throughput

CostProductivity

Managing BTW – looking at sow lifetime

Page 7: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Throughput

CostProductivity

Managing BTW – looking at sow lifetime

Page 8: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Cost of production    2010 2011 VAR % % PART Wean Pig (1 U$ = 1,7 R$) U$        25,93          27,53  6,2% 100,0%Feed U$        12,99          14,08  8,4% 51,1%Depreciation (facilities + animals) U$           3,90             3,48  -10,9% 12,6%Med + Vaccin U$           1,89             3,15  66,3% 11,4%Labor U$           3,12             2,91  -6,6% 10,6%General Production Cost U$           1,81             1,70  -6,5% 6,2%Environmental cost U$           0,65             0,67  3,9% 2,4%Semen U$           0,56             0,63  13,0% 2,3%Received cost U$           0,68             0,59  -12,9% 2,2%Feed + semen transportation U$           0,32             0,31  -0,7% 1,1%         

 Sow feed / wean pig (kg) KG             7,2               6,8  -5,3%  Number of pigs weaned CAB   133.188     146.644  10,1%  Average wean weight KG             5,8               6,0  4,3%  Kg weaned     772.290     887.191  14,9% 

Page 9: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Cost of production    2010 2011 VAR % % PART Wean Pig (1 U$ = 1,7 R$) U$        25,93          27,53  6,2% 100,0%Feed U$        12,99          14,08  8,4% 51,1%Depreciation (facilities + animals) U$           3,90             3,48  -10,9% 12,6%Med + Vaccin U$           1,89             3,15  66,3% 11,4%Labor U$           3,12             2,91  -6,6% 10,6%General Production Cost U$           1,81             1,70  -6,5% 6,2%Environmental cost U$           0,65             0,67  3,9% 2,4%Semen U$           0,56             0,63  13,0% 2,3%Received cost U$           0,68             0,59  -12,9% 2,2%Feed + semen transportation U$           0,32             0,31  -0,7% 1,1%         

 Sow feed / wean pig (kg) KG             7,2               6,8  -5,3%  Number of pigs weaned CAB   133.188     146.644  10,1%  Average wean weight KG             5,8               6,0  4,3%  Kg weaned     772.290     887.191  14,9% 

Page 10: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Sow depreciation

((Value per gilt bred – Value per sow culled) + added cost) / Wean pigs per sow culled

Average sow parity at culling                3,6 Wean pigs per farrow             11,2 Wean pigs per sow culled 40,9

Value to depreciate - U$/sow $72,65Gilt cost $238,00Sow value $209,44Value to be depreciated per sow culled $15,57Value to be added per death sow $24,00Value to be added per gilt not bred $4,52

Depreciation per wean pig $1,78

Page 11: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Throughput

CostProductivity

Managing BTW – looking at sow lifetime

Page 12: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Productivity – PSY (system monthly average)

mai-10 jun-10 jul-10 ago-10 set-10 out-10 nov-10 dez-10 jan-11 fev-1124.0

25.0

26.0

27.0

28.0

29.0

30.0

Page 13: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

1 2 3 4 5 6 711.2

11.4

11.6

11.8

12.0

12.2

12.4

11.93 11.96

12.19

12.3012.21

11.79

11.60

Born alive vs. parity (49.305 farrows)

Page 14: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Today distribution per parity

1 2 3 4 5 6 711.2

11.4

11.6

11.8

12.0

12.2

12.4

11.93 11.96

12.19

12.3012.21

11.79

11.60

38% 42% 20%

Page 15: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Objective (improve 0,3 to 0,4 PSY)

1 2 3 4 5 6 711.2

11.4

11.6

11.8

12.0

12.2

12.4

11.93 11.96

12.19

12.3012.21

11.79

11.60

38% >50% <10%

Page 16: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Throughput

CostProductivity

Managing BTW – looking at sow lifetime

Page 17: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Throughput    2010 2011 VAR %         

 Number of pigs weaned CAB   133.188     146.644  10,1% Average wean pig weight KG             5,8               6,0  4,3% Kg weaned     772.290     887.191  14,9%

1 4 7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52 55 58 61 64 678000

9000

10000

11000

12000

13000

Number of pigs weaned per week

Page 18: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Throughput

Page 19: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

OP 1 OP 5

Adotados de OP 5Biológicos de OP 1

Biológicos de OP 5

Adotados de OP 1

8 - 24 h

1,2 - 1,6 kg

Performance according to parity

Bierhals et al. Non published data

Page 20: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Performance according parity

Parity Piglets Fostering 7 d 14 d 18 d

1 Adopted 1434,5 a 2528,6 a 4072,0 a 5051,7 a

1 N adopted 1423,7 a 2558,6 a 4078,6 a 5061,9 a

5 Adopted 1443,3 a 2845,5 b 4803,4 b 5900,9 b

5 N adopted 1450,8 a 2819,6 b 4782,2 b 6047,0 b

Bierhals et al. Non published data

Page 21: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Throughput

Source: C. Moore, 2005 – London Swine Conference

Page 22: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Parity retention importance

• Decrease cost of production

• Increase productivity

• Increase throughput

• Improve pig quality at weaning

Page 23: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

What do we want as a system

1. > 50% of sows from P3 to P5.

2. Reduce replacement rate to 43-47%.

3. We need to improve voluntary culling vs. involuntary.

Page 24: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

How do we manage

1. Looking at retention per parity.– Select to breed > 90%– Breed to P1 > 95%– P1 to P2 > 90%– P2 to P3 > 90%

2. Looking at voluntary vs. involuntary culling.Voluntary: productivity or ageInvoluntary: all other reasons

Page 25: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

What are big challenges

Birth – Selection – Breed – P1 – Breed – P2 – Breed – P3

>70%

Page 26: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

What are the key points we believe

• Have the right boars on boar stud;

• Have the right number of gilts available to select;

• Have a specialist doing selection;

• Do a good job on puberty stimulation;

• Breed gilts by weight;

• Feed based on body condition score - avoid fat animals;

• Watch for food and water during first lactation;

• Have 1 person responsible for culling;

• Make groups in gestation of problem animals every 2 weeks;

Page 27: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Project: improving performance selecting the right pure line animals.

• Farm Master VII:– 5.500 animals.– 2.500 L02 females.– Internal nursery and grower – no animals entering

the unit from outside.– Genetic improvement through boars

Page 28: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Project: improving performance selecting the right pure line animals.

• When we should start selecting the replacement gilt?

• Should we not tag low birth weight animals?

• Does parity of the mother sow impact subsequent performance?

• Can we manipulate diet during growth to improve sow longevity?

Page 29: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Project: improving performance selecting the right pure line animals.

• Project A:– Start: December, 2009.

– Identified 1525 L02 gilts at birth – EBV, boar/sow, sow parity, litter information.

– Individual weight at birth, weaning, end of nursery and selection 155 d.

– Record information off test – culling/death.

– Objective: to follow these animals up to parity 3.

Page 30: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Project: improving performance selecting the right pure line animals.

Page 31: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Project: improving performance selecting the right pure line animals.

Liter size at birth Birth weight, g

7-11 12-13 14-19 530-1200 1205-1600 1605-2535

Birth weight, g/d 1417 ± 7,9A 1400 ±

6,5AB

1393 ±

6,3B

1013 ± 8,3a 1411 ± 5,2b 1787 ± 7,0c

GR, g/d 184,9 ± 2,9 188,3 ± 2,5 187,6 ± 2,3 174,9 ±

3,2a

188,4 ±

1,9b

197,4 ± 2,5c

Nursery GR, g/d 420,8 ± 4,4 423,1 ± 3,7 418,4 ± 3,6 406,8 ±

4,9a

421,3 ±

2,9b

434,1 ± 3,8c

Finisher GR, g/d 876,0 ± 8,2 887,6 ± 6,5 883,8 ± 6,5 850,2 ±

9,0a

892,9 ±

5,1b

904,2 ±

6,7b

Age at select, d 158,5 ± 0,5 158,6 ± 0,4 157,6 ± 0,4 161,0 ±

0,6a

157,7 ±

0,3b

156,0 ± 0,4c

GR at select, g/d 627,4 ± 4,8 634,1 ± 3,9 632,0 ± 3,8 605,1 ±

5,3a

637,8 ±

3,0b

650,7 ± 4,0c

BF at select, mm 11,4 ± 0,16 11,4 ± 0,13 11,4 ± 0,13 11,5 ± 0,17 11,5 ± 0,10 11,3 ± 0,13

B.Exp-puberty, d 17,3 ± 0,8 16,7 ± 0,6 18,7 ± 0,7 15,8 ± 0,9a 17,9 ±

0,5ab

18,9 ± 0,7b

Page 32: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Peso ajustado 22 d, kg (n=1379)

Peso ajustado 75 d, kg (n=1198)

Peso ajustado 155 d, kg (n=940)

0

15

30

45

60

75

90

105

4,9±0,07a

26,5± 0,27a

94,9± 0,78a

5,6±0,04b

28 ± 0,16b

99,8 ± 0,44b

6,1±0,06c

29,3 ± 0,21c

101,8± 0,58c

530-1200  1205-1600  1605-2535 

Project: improving performance selecting the right pure line animals.

22 d weight (n=1379) 75 d weight (n=1198) 155 d weight (n=940)

1013 ± 8,3a 1411 ± 5,2b 1787 ± 7,0c

Page 33: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

530-1200  1205-1600  1605-2535 150

155

160

165

170

175

180

185

190

170 ± 0,8a

166,9± 0,4b165,1± 0,6c

185,8± 1,2 184,9± 0,6183,4± 0,9

Idade de estímulo com macho, d (n=569) Idade da puberdade, d (n=504)

Project: improving performance selecting the right pure line animals.

Age at boar exposure (n=569) Age at puberty (n=504)

Page 34: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Variável Litter size P value7≤x≤11 11<x≤13 x>13  

NV+NAT 1 10,02a 12,31b 15,42c <0,0001NV+NAT 2 11,32 11,68 11,44 NS

Project: improving performance selecting the right pure line animals.

Page 35: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Project 1 – preliminary results

• There is a lower chance that a low birth weight L02 will reach selection;

• No impact on selection rate;

• There is NO correlation between birth weight and puberty age and birth weight and anestrous rate;

• Evaluating subsequent performance and retention up to P3.

Page 36: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Conclusions

• Everything we do is to get closer to genetic potential!

Sow L02 – EBV Total Born # Farrows<31 10,0 743

31 a 40 11,5 67441 a 50 12,4 81151 a 60 12,8 62261 a 70 13,5 407>70 14,8 261

Average 12,1 3518

L02 total born according to Estimated Breeding Value at breeding – Master 7 (2010)

Page 37: Production  management  that delivers results

PIC Symposium 2011 | Nashville, TN

Take home messages

• There is no improvement without EBV management;

• Parity retention is key for cost, productivity and throughput;

• Sow replacement rate > 50% is not the future;

• Manage looking at retention by parity and voluntary vs. involuntary culling reason;

• Make the things easy in a routine base or will not get fully implemented.