risk management education for wisconsin's women farmers
TRANSCRIPT
Joy Kirkpatrick, Center for Dairy ProfitabilityAnne Pfeiffer, Agricultural Innovation CenterJenny Vanderlin, Center for Dairy Profitability
Risk Management Education for Wisconsin Women Farmers
For the next 75 minutes…
History, mission, development, & impacts of Heart of the Farm and original Annie’s Projects (Joy)
Financial management spin-off programs (Jenny)
Annie’s Project for beginning farmers/value added enterprises (Anne)
Questions, discussion
Wisconsin Farm Women
38,263 female farm operators* (16% increase from 2002 Ag Census)
9,176 identified as the principal operator* (25% increase)
*US Ag Census, 2007
Women in Agriculture Trends*
Women's Involvement Selected Farm Tasks
0 20 40 60 80 100
Chem Apps
Spread Manure
Other Field Work
Rock Picking
Haying
Breeding Cows
Feeding Cows
Clean Stalls/Barn
Calf Care
Cleaning Equip
Milking Cows
Repair Machinery
Gardening
Errands
Bookkeeping
Ta
sk
Percentage
Regularly Sometimes
Most farm women are responsible for farm bookkeeping and bill paying
Farm errands and vegetable gardening are common tasks
Women are more likely to work with livestock than do field work
Women’s age influences the tasks that women do; in particular, almost two-thirds of the women interviewed (63%) contributed 40 or more hours of on-farm work per week.
* The Roles of Women on Wisconsin Dairy Farms at the Turn of the 21st Century. PATS Research Report No. 10. Nov, 2001.
Women in Agriculture
Heart of the FarmOverall Mission
Farm Management and Production Education for Women Improving Farm Business Decision-Making
Long-Term Goal“…address the needs of farm women by providing
education on pertinent topics, connecting them with agricultural resources, and creating support networks.”
Funding SourceNorth Central Regional Risk Management Education
CenterRisk Management Agency (2008 – 2011)and the Center for Dairy Profitability, Wisconsin Milk Marketing Board, Farm Service Agency,
various local sponsors
Heart of the Farm Programs2002-2010
2002 2 Pilot
20066 Conferences
2003 4 Conferences
20074 Conferences
20046 Conferences
20085 full day conferences; 2 half day
20052 Conferences
20095 full day conferences; 1 hybrid
20107 Conferences
Annie’s Project
Meet 4-6 times3 – 4 hrs/sessionRisk managementSmaller class sizeGoal: more depth
to topics
Opened the “gate” to the farm
Farm successionLeadership positions in local organizationsConnect with resourcesWork with farms that didn’t use Extension
beforeFinancial evaluation and recordkeepingFarm management team (Team Profit)Production and housing questions
Changes to your operation
“I’ve learned better ways to look at my operation positively and to be more patient when things get tough. I think I’ve learned better communication skills and planning skills to manage market ups and downs.”
“…..improved relationships with husband and family members; expanded farm operations, land, livestock, etc.; planning for more and feeling in control and better equipped.”
“Able to ask more informed questions…” “Changed to computer record keeping system, decided
to designate “time off” work for just taking care of myself, explored hiring an accountant/investment advisor, set up a more efficient bill paying system at home, revised my/our will(s) & updated insurance policy beneficiaries, started running and checking credit report annually”
Heart of the FarmSpinoffs
Health CarePlanning for the Unexpected TomorrowFinancial Management
Record-keeping Basics Accounting SoftwareFinancial Management 101Bookkeepers Boot Camp (new 2010)
Funding Source USDA – North Central Regional Risk Management
Education Center (NCRMEC), Risk Management Agency, Center for Dairy Profitability, FSA and UW-Extension County Offices.
Heart of the Farm – SpinoffsStructure
1-hour session (Record-Keeping Basics)
1-day conference Software: AAIMS, QuickbooksBookkeepers Boot Camp
3-hour session (Financial Management 101)
Heart of the Farm -- SpinoffsFinancial Management
PurposeTo extend financial management into the
everyday fabric of farm life for Wisconsin’s Heart of the Farm Women.
Improve basic accounting and record-keepingBecause they asked for it
ObjectivesTo motivate farm women to accept
responsibility of keeping good financial recordsTo empower women to make reasonable
judgments about finances and business.
Heart of the Farm – SpinoffsDemographics
Most Attendees Were From Dairy FarmsFollowed by beef, then grain, no hog
farmers
42% Worked Off The FarmAveraged 30 hours per week
Wide Distribution of AgesLargest participation age 45-54,
followed by 35-44
Average Size of Farm is 600 Acres
Record-Keeping Basics
Why Record-Keep? Record-Keeping
SystemsHand-KeptComputerized
Types of Accounting Systems
Cash vs. Accrual Review of Computer
ProgramsDecision-Making Tools
BenchmarkingPartial Budget
Accounting Software AAIMS & Quickbooks
Structure Objectives One day workshop -- 6 hours
(includes lunch) Computer lab with QB/AAIMS
installed Small groups – 25 Maximum Exercises:
Create Company file, Create & modify Chart of Accounts, Record basic revenue & expense transactions
Lecture(s): Importance, double-entry
accounting, cash vs. accrual accounting
Evaluate:Financial Performance of Farm
Improve:Financial SkillsProblem Solving Skills
Identify:Critical IssuesPlan for Farm Future
Develop: Accrual Financial StatementsBetter Decisions Based on
Accrual Accounting Practices
Fabric of Farm Life
Financial Management
Structure Objective/Theme
3-hour session Introduction and GoalsAcademic Lecture: content
and contextParticipation: construct
financial statementsConversation: how does this
fit into every day life? Participation: solution to
financial statements, analysis of financial position/performance
FinancialCORE
-Information-Analysis
-Management
Bookkeepers’ Boot Camp
5-6 Hours (lunch)IntroductionsHow and Why of
Managing RecordsFSA Bookkeeping
RequirementsWhat Recordkeeping
can do for Your Bottom Line
Recordkeeping Options
How & Whys of RecordkeepingOrganizingRequirementsPosition &
PerformanceDecision-Making
Structure Objective/Theme
Audience for Financial Management Spin-Offs
Annie’s Project DairyAdded Value/Direct
Marketing
Hmong Community
Assessing the Need of Beginning and Value – Added Women Farmers
Unique risk management and networking needs
Often don’t grow up “just knowing”May not be aware of existing resources May need different resources than currently
existLack business readiness skills
FSA loan officers find women to be consistently less prepared than men to apply for a loan in terms of business planning, financial projections, crop insurance, etc.
Why a Targeted Program?
Rapidly growing population of women farmers9,176 Wisconsin farms identified a woman as
the principal operator, an increase of 25% over 2002 and 58% over 1997 data
1/3 of these women are “new” farmersAverage farm size is about ½ of state
averageHigh reliance on alternative markets
including value-added products and market diversification techniques including fresh market and direct sales
Participant Focused Development
Curriculum adaptation and development based on previous Annie’s Project sessions offered to WI Dairy Farmers
Review panel of 6 new and experienced women farmers
Overwhelming interest in pilot session
Who are the Participants?
Acres OwnedNon
e
1 to
10
11 to
20
21 to
30
31 to
40
41 to
50
51 to
100
Ove
r 100
01234567
Who are the Participants?
Land Owned vs. Land Managed
Manage/Operate less than ownedManage/Operate same as ownedManage/Operate more than owned
Who are the Participants?
Farming Experience
more than 25 years10 to 24 years2 to 9 years1 yearhas never farmed
Who are the Participants?
Annual Farm –related Income (Gross)
Under $10,000
$10,001-$25,000
$25,001-$50,000
Over $300,000
Abstain
Curriculum Overview
Personality traits and skillsAssessing business feasibilityConducting and analyzing market researchFinancial ManagementFood Safety RegulationsAdditional resources for land access,
financing, grants, and bushiness planning
Colors of Personality
“My communication with prospective employees/pastor/customers has greatly improved. (esp. listening) Identifying different styles of communication & respecting other’s styles”
“It gave me particular insights into how my husband & I work & how that affects our farm business”
Assessing Business Feasibility
“This presentation, and especially the homework, allowed us to discuss openly that we are not at the same place.”
“This created much discussion for my husband (business partner) and me. It forced us to realize and discuss how our vision of the future of the business is different and that we need to compromise (each of us) to have a similar vision for the future.”
Taxes and Business Entities
“This presentation brought to light that our informal business operation needs a legal definition.”
“This session was vital for me, and far too short! I realize that others might be more knowledgeable in this area, but I felt that it was too short – especially because we spent so much time on the earlier topics and didn’t get into the last part of his subject matter.”
Conducting Market Research
“I do this for a living, but didn’t realize how much I knew because was never officially “trained” in it. So this session gave me some good websites for my ag businesses and reinforced my confidence.”
“I am researching adding a value-added product using the beef I raise. I will do some research data provided thru sources I learned about in class to determine what would be a marketable product.”
Food Safety Rules and Regulations
“Presented ideas for me to incorporate in better land handling procedures.”
“Once I (we) have determined exactly what we intend to produce/grow, I will utilize all the resources provided that apply to our produce & operation.”
Financial Management 101
“I have to report to the FSA on a balance sheet yearly & this was helpful to refresh my memory. It would have been useful to get some resources for how to best collect the info needed for the balance sheet (Notebooks, quick books, charts/logs, etc…)”
“It will act as a starting point for me this year. I didn’t even know any of the terms, so this de-mystified it for me.”
Taxes…part II
“Keep better records, especially log book in transfer.”
“Understand depreciation much better.”“I will go home and make more files for
different categories of my farm business – so I’ll be able to track items better for tax purposes.”
Curriculum Evaluation
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Too much
Just right
Too little
6 Month Evaluation
Personality assessment/developing a management team
Business entity alternatives for your business
Financial management
Good Agricultural Practices
Farm Service Agency programs
Grant opportunities
0 2 4 6 8 10 12 14
Since participating in the Annie’s Project have you used information or resources from the classes in any of these categories (check all that apply):
What did you value most from Annie’s Project?
Professional, supportive approach and access to resource people
Business entities and taxesFeasibilityFinancialNetworking Market researchBusiness feasibility analysis and planningOn-going connections/resourcesPersonality assessment and management teamsRegulatory information
What additional topics would be valuable?
Field tripsFinancial managementGrants infoHealth insuranceMarketingNetworkingMore homeworkTaxes and legal entitiesWeights and measurement regulations
Participant Needs and Approaches
Very interactiveDedicate significant time to introductionsIncorporate networking timeUse small group discussion format
Frequent check-ins and feedbackVerbal and written evaluations through-out sessionsWeek-to-week email reminders
Interested in discussing ideas as well as action planning
Hungry for information and eager to learnInterested in longer classes, more sessions and
more homework
Further Needs
Second level of topics for the direct marketer or beginning farmer
Financial management and investing for farmers/farm families
Annie’s Projects that are offered through video/web conferencing
0 2 4 6 8 10 12 14 16
Would you participate in other work-shops structured as Annie’s Projects?
Thoughts on Women-focused Classes
23 out of 25 survey respondents said having a women-only class is important
“Although it would be somewhat beneficial to have my husband here to obtain the same information, I believe that there’s more open discussion and spontaneous interactions/conversations when women are primarily in the class.”
“It’s nice to have peers/role models of women in farming. Having their own businesses.”
“Dynamics in primarily female audiences are different than co-ed. In some situations, such as this course, those dynamics and the resulting communication are almost as valuable as the information.”
“Not enough women feel comfortable discussing these subjects with men, and there are still men who feel they know “better” than women how to do business.”
“Women not always aware of options and may need to overcome fear of going into business for themselves.”
Joy Kirkpatrick, Center for Dairy Profitability
Anne Pfeiffer, Agricultural Innovation Center
Jenny Vanderlin, Center for Dairy Profitability
Thank You