{"id":1363,"date":"2021-08-20T16:36:08","date_gmt":"2021-08-20T21:36:08","guid":{"rendered":"https:\/\/www.premiercrop.com\/?p=1363"},"modified":"2022-09-22T09:43:56","modified_gmt":"2022-09-22T14:43:56","slug":"farm-analytics","status":"publish","type":"post","link":"https:\/\/www.premiercrop.com\/farm-analytics\/","title":{"rendered":"037: Farm Analytics Show Where You&#8217;re Leaving Money"},"content":{"rendered":"<p>Today we are talking about farm analytics and how avoiding data can leave money on the table for your operation. We are joined by Katie McWhirter, Manager of Training and Development at <a href=\"https:\/\/www.premiercrop.com\/\" target=\"_blank\" rel=\"ugc noopener noreferrer\">Premier Crop Systems<\/a>.<\/p>\n<p>If you are enjoying the show, tweet us using #PremierPodcast.<\/p>\n<p><iframe src=\"https:\/\/anchor.fm\/renee-hansen\/embed\/episodes\/037-Analytics-It-shows-where-you-are-leaving-money-on-the-table-w-Katie-McWhirter-e162e6d\" width=\"400px\" height=\"102px\" frameborder=\"0\" scrolling=\"no\"><\/iframe><\/p>\n<p><b>RENEE HANSEN:<\/b><span style=\"font-weight: 400;\"> Welcome to the Premier Podcast, Katie. Thanks for joining us today. We were talking about how Premier Crop can really impact growers&#8217; decisions through our analytics. Why don\u2019t you just tell us a little story, how you were talking to somebody about how they didn&#8217;t realize how much analytics that we did?<\/span><\/p>\n<p><b>KATIE MCWHIRTER:<\/b><span style=\"font-weight: 400;\"> Yeah, I was meeting with a grower who asked the question about: \u2018Is the direction of Premier Crop going from being a prescription company to an analytics company?\u2019 And I had to laugh, and I said: \u2018Premier Crop has always been about analytics.\u2019 And not only being a company known for their analytics, but then what to do with the information that is received in the data, in those analytics.<\/span><\/p>\n<p><b>RENEE HANSEN:<\/b><span style=\"font-weight: 400;\"> So you&#8217;re going to walk us through a report and how you talk about the analytics reports that we give growers. So can you just give us an example? You have a management zone report pulled up for us that we&#8217;re looking at, but it also isn&#8217;t only about agronomics. It&#8217;s also about economics. Can you walk us through how you would talk through these analytics, this specific report of management zones and the different pricing for our audience?<\/span><\/p>\n<p><b>KATIE MCWHIRTER:<\/b><span style=\"font-weight: 400;\"> Yeah, so it&#8217;s funny as we&#8217;re sitting here. I was talking about this report this morning and how we have a suite of reports. And Renee, you&#8217;re awesome at marketing because you put on there what all these are: program offerings and the suite of reports. And I&#8217;ve had different people say: \u2018What are these? Suite of reports?\u2019 And I&#8217;m like: \u2018Well, I could kill you with paperwork.\u2019 But, really, it&#8217;s about the reports and the insights that I can take to be able to help them make better decisions. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">The one report that I have up here is a <a href=\"https:\/\/info.premiercrop.com\/blog\/how-to-use-management-zones\">management zone<\/a> report with all the cost information in it. So, if I scroll to the bottom, it&#8217;s almost like a report card for the grower. So what we can see is the cost per acre in their different management zones. And we&#8217;re talking management zones. It&#8217;s not just about seeding rates. It&#8217;s about marrying up the nutrients that go along with increasing seeds. So, at the bottom of this report, we can see that we&#8217;ve invested more dollars per acre for nutrients and for seeds. Our chemical costs, our operations costs, management and land are going to be flat rates, or they&#8217;re equal across each of these zones. But when we get down to the bottom of this report, we can see that we&#8217;ve invested $30, $40, $47 more in our A zone, our best parts of the field, than in our C zone. $47 an acre is a lot more per acre. But when we look at that break-even cost per bushel, we notice that our break-even cost per bushel, or the amount it&#8217;s taking us to produce a bushel of corn, is about 90 cents less where we&#8217;ve spent more.<\/span><\/p>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"alignnone wp-image-1365\" src=\"https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-300x168.png\" alt=\"analytics - management zones\" width=\"443\" height=\"248\" srcset=\"https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-300x168.png 300w, https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-1024x572.png 1024w, https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-768x429.png 768w, https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-1536x858.png 1536w, https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-200x112.png 200w, https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-400x223.png 400w, https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-600x335.png 600w, https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-800x447.png 800w, https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM-1200x670.png 1200w, https:\/\/www.premiercrop.com\/wp-content\/uploads\/2021\/08\/Screen-Shot-2020-09-02-at-1.38.58-PM.png 1862w\" sizes=\"(max-width: 443px) 100vw, 443px\" \/><\/p>\n<p><span style=\"font-weight: 400;\">And so that&#8217;s amazing, to actually pull out and say, \u2018No, variable-rate does pay,\u2019 and to show that grower and prove to them that it does pay. I was telling this story this morning because I sent this report \u2014 it happens to be my dad&#8217;s \u2014 to my brother. And he goes: \u2018But what do you do with it?\u2019 And that&#8217;s the important part. We can produce reports and pretty graphs, but I&#8217;ve always laughed. What professional business person takes a pretty report, looks at it, goes, \u2018Wow, that&#8217;s really neat,\u2019 and sticks it in a three-ring white notebook in their office? So that&#8217;s where the advisor comes in, taking that data and saying: \u2018What can I do with it?\u2019 So the top of this report shows what the soil test attributes happened to be. But, then, right below it is the applied nutrients in each of these zones. So, very quickly, as an advisor, I can look and see: what was my average nitrogen that I put on in these zones? Or my average phosphate? Actual phosphate? Or actual K2O? And very quickly, I can see what&#8217;s been removed off and what I&#8217;ve put on in these areas. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">As we&#8217;re going into the fall with these fertilizer inputs \u2014 and, actually, all inputs \u2014 being what they are, even though prices are good, people are going to be concerned. Growers are going to be concerned when they start to hear what these prices are. Can we take this information to make a better recommendation or a better prescription for next year&#8217;s crop? I&#8217;ve been telling people, for the last month, my worry is that when farmers get shown these prices, they could make some emotional decisions. And in fact, those emotional decisions of cutting across every acre could be cutting profitability in the areas where they could be returning the most.<\/span><\/p>\n<p><b>RENEE HANSEN:<\/b><span style=\"font-weight: 400;\"> Yeah, we were just talking about this on a call, how there&#8217;s a high risk, high reward right now, just because commodity prices are high, but also fertilizer rates are really high. Input rates are high. And Dan made a comment, how if you&#8217;re a gambling man or woman, you were sitting at the $10 table. You were sitting at the $10 table, playing blackjack, whatever. And now, you just moved to the $50 table, where the risk is high. The reward is high. So these decisions that you&#8217;re talking about, you&#8217;re looking at removal rates. And I think that&#8217;s something different, that a lot of companies don&#8217;t go to the depth of looking at an actual removal rate. This is coming from the yield monitor, and it&#8217;s telling you how much was removed of that specific nutrient and calculating that. So go deeper into that because I know that&#8217;s where you were looking at: some of these removal rates.<\/span><\/p>\n<p><b>KATIE MCWHIRTER:<\/b><span style=\"font-weight: 400;\"> Well, I just think, as I say, we have to figure out what we actually have control over. There&#8217;s so much in the data world that there are certain things we don&#8217;t have control over. So let&#8217;s look at the things that we can help growers with. I&#8217;m not saying to starve out any area, but reallocate. What does the grower&#8217;s pocket book look like for a given field? I chuckle when growers tell me that their yield goals are the same across every field. Or if we treat every field the same, you can&#8217;t tell me that yield goals or, on the flip side, removals, as you&#8217;re talking about, are the same on every field. And we&#8217;re talking about removals spatially, with that yield file. That&#8217;s a huge variance. I mean, growers know. When they&#8217;re in a combine, and they&#8217;re watching that monitor, they see those high areas of the field. Well, those high areas of the field are removing a lot more nutrients than when that monitor hits those, we&#8217;ll say, the red areas on the map in their combine. I mean, there&#8217;s a big difference. So that means if there&#8217;s a big difference in yield, there&#8217;s a big difference in removals. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">So, yeah, using that removal file as part of their nutrient plan or recommendation is going to be really, really big this coming year, in addition to establishing: what is the goal for that field moving forward for this following year? Is it setting spatial yield goals? Is it setting spatial fertility goals? What kind of a goal are we going to have based on input prices, with the potential for these input prices being what they are? I sent an email to one of my growers last week, and I said: \u2018We really need to talk in the next 10 days. If prices are going to remain as they are, what are you thinking for fall fertilizer?\u2019 Because we&#8217;re going to need to put some on, what does it look like if prices stay this way? Then, how do we pivot as we move into harvest season and that sort of thing in order to prevent those emotional decisions? And growers with a plan don&#8217;t make emotional decisions. They&#8217;re a lot more confident and a lot calmer in fall and harvest time.<\/span><\/p>\n<p><b>RENEE HANSEN:<\/b><span style=\"font-weight: 400;\"> Yeah, and you have all these reports that come out year over year because it&#8217;s not just a \u2018one year, set it and forget it.\u2019 There are so many factors that go into this and all of the farm analytics that you&#8217;re looking at because every year is different, of course, depending on weather too. I mean, so you&#8217;re layering that as a factor on top also.<\/span><\/p>\n<p><b>KATIE MCWHIRTER:<\/b><span style=\"font-weight: 400;\"> Right. Exactly. It&#8217;s not just one piece of information. We focused a lot here in our conversation on fertility. But, we were talking \u2018seeding rates\u2019 this morning and making sure that&#8217;s the right rate on the field. I mean, that&#8217;s just so important, to be able to use that information. And we&#8217;ve always said that we knew variable-rate seeding paid, and now we can prove it. And those are real dollars. That&#8217;s a lot of money on the table and at stake. Like you said, you&#8217;re at the $50 table. And I told somebody a couple weeks ago, I said: \u2018We really should, like agriculture, call 1-800-BETSOFF.\u2019<\/span><\/p>\n<p><b>RENEE HANSEN:<\/b><span style=\"font-weight: 400;\"> It is a total gambling game, isn&#8217;t it? I mean, they always say that. Let&#8217;s do some quick math, though, on this report, Katie. So, in the A zone you&#8217;re showing that there, it was 200.2 bushels per acre. The C zone is 150.9 bushels per acre. And if you scroll down to the bottom of this report that we&#8217;re looking at, it shows us what you had said: the break-even cost per bushel, what it costs to raise that bushel of corn.<\/span><\/p>\n<p><b>KATIE MCWHIRTER:<\/b><span style=\"font-weight: 400;\"> If we want to do the math on this report, Renee, if it&#8217;s 200 bushels in the A zone, I&#8217;m just going to use $4.50 for corn. That would bring us to $900 for revenue per acre. And if we take out, as this report shows, I&#8217;m just going to round up at $718 per acre. That&#8217;s going to be $181 profit in that A zone versus our C zone yielding 150 at $4.50 corn. That&#8217;s $675. We\u2019ll round up the cost per acre in the C zone just to $670. It\u2019s $5. So it&#8217;s breaking even in the C zone. I mean that, then \u2014 and I know math\u2019s not your strong suit \u2014 but, I mean, that&#8217;s $176. $175. $176 per acre.<\/span><\/p>\n<p><b>RENEE HANSEN:<\/b><span style=\"font-weight: 400;\"> Per acre in your A zone. And the things that you changed, and it shows what you variable-rated on. It looks like it was your nutrient, your seed and some chemicals.<\/span><\/p>\n<p><b>KATIE MCWHIRTER:<\/b><span style=\"font-weight: 400;\"> Yeah, so there were some spatial chemical costs in there. Yep.<\/span><\/p>\n<p><b>RENEE HANSEN:<\/b><span style=\"font-weight: 400;\"> So variable-rate clearly pays. So what if you were to flat-rate this whole field? What would this look like? I mean, you would clearly be losing your money in the C zone, more than if you&#8217;re over-applying your nutrients.<\/span><\/p>\n<p><b>KATIE MCWHIRTER:<\/b><span style=\"font-weight: 400;\"> I once had an advisor tell me, he&#8217;s like: \u2018Think about, in your C zones, if you&#8217;re even at break-even or losing money, and you could bring those areas up \u2014 not lose as much money just in those C zones \u2014 what that could equate over 1000, 2000, 5000 acres in an operation.\u2019 Those are real dollars, Renee.<\/span><\/p>\n<p><b>RENEE HANSEN:<\/b><span style=\"font-weight: 400;\"> Those are real dollars. That&#8217;s the economics of it. There&#8217;s so much agronomics that you guys go into when you start breaking it out into some of your fertilizer costs, as well. But we&#8217;ll get into that another time. Maybe we can talk about an ELB report on the next one. Hopefully, we didn&#8217;t confuse everybody too much with the math here. But there&#8217;s a clear reason that these reports show that the profitability of variable-rate pays. Using something like Premier Crop, looking at the farm analytics, is highly beneficial.<\/span><\/p>\n<p><b>KATIE MCWHIRTER:<\/b><span style=\"font-weight: 400;\"> If you just use yield, you really don&#8217;t know how much money there is out there.\u00a0<\/span><\/p>\n<p><b>RENEE HANSEN:<\/b><span style=\"font-weight: 400;\"> Thanks for joining us today, Katie.\u00a0<\/span><\/p>\n<p><b>KATIE MCWHIRTER:<\/b><span style=\"font-weight: 400;\"> You&#8217;re welcome, Renee.<\/span><\/p>\n<p><b>RENEE HANSEN: <\/b><span style=\"font-weight: 400;\">Thanks for listening to the Premier Podcast, where everything agronomic is economic. Please subscribe, rate and review this podcast so we can continue to provide the best precision ag and analytic results for you. And to learn more about Premier Crop, visit our blog at premiercrop.com.<\/span><\/p>\n<p>___________________________________________________________________________________________<\/p>\n<div class=\"DK2WGA7X3rKos2v1AABBD _20x9t-BL2SDh7lOGEew66E\" data-block=\"true\" data-editor=\"c41qs\" data-offset-key=\"ausjr-0-0\">\n<div class=\"public-DraftStyleDefault-block public-DraftStyleDefault-ltr\" data-offset-key=\"ausjr-0-0\"><span data-offset-key=\"ausjr-0-0\">Free Resources:<\/span><\/div>\n<\/div>\n<div class=\"DK2WGA7X3rKos2v1AABBD _20x9t-BL2SDh7lOGEew66E\" data-block=\"true\" data-editor=\"c41qs\" data-offset-key=\"fnv91-0-0\">\n<ul>\n<li class=\"public-DraftStyleDefault-block public-DraftStyleDefault-ltr\" data-offset-key=\"fnv91-0-0\"><span data-offset-key=\"fnv91-0-0\">For more helpful tips and insight on all things data and agriculture, visit our blog at\u00a0<\/span><span data-offset-key=\"fnv91-1-0\"><a href=\"http:\/\/info.premiercrop.com\/blog\">http:\/\/info.premiercrop.com\/blog<\/a><\/span><\/li>\n<li class=\"public-DraftStyleDefault-block public-DraftStyleDefault-ltr\" data-offset-key=\"fnv91-0-0\">Curious about precision ag? Download our 5 Steps to Getting Started Guide:\u00a0<span data-offset-key=\"rpt2-1-0\"><a href=\"http:\/\/info.premiercrop.com\/5-steps-guide\">http:\/\/info.premiercrop.com\/5-steps-guide<\/a><\/span><\/li>\n<li class=\"public-DraftStyleDefault-block public-DraftStyleDefault-ltr\" data-offset-key=\"fnv91-0-0\">Ready to cut through the bull? Download our No Bull Guide to Precision Ag:\u00a0<span data-offset-key=\"4jgi3-1-0\"><a href=\"http:\/\/info.premiercrop.com\/field-profitability-guide\">http:\/\/info.premiercrop.com\/field-profitability-guide<\/a><\/span><\/li>\n<li class=\"public-DraftStyleDefault-block public-DraftStyleDefault-ltr\" data-offset-key=\"fnv91-0-0\">Podcast provided by Premier Crop Systems. Learn more about us at\u00a0<a href=\"https:\/\/www.premiercrop.com\/\">https:\/\/www.premiercrop.com<\/a><\/li>\n<\/ul>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Today we are talking about farm analytics and how avoiding data can leave money on the table for your operation. We are joined by Katie McWhirter, Manager of Training and Development at Premier Crop Systems. If you are enjoying the show, tweet us using #PremierPodcast. RENEE HANSEN: Welcome to the Premier Podcast, Katie. Thanks for [&hellip;]<\/p>\n","protected":false},"author":8,"featured_media":1369,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","inline_featured_image":false,"footnotes":""},"categories":[19],"tags":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>037: Farm Analytics Show Where You&#039;re Leaving Money - Premier Crop Systems<\/title>\n<meta name=\"description\" content=\"Today we are talking about farm analytics and how avoiding data can leave money on the table for your operation.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.premiercrop.com\/farm-analytics\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"037: Farm Analytics Show Where You&#039;re Leaving Money - 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