Testimonials
"Computers scared me!" Eva Schaefer admits with a laugh, "and I did not want to get involved with using them." Having learned of AgManager® through the Farm Bureau, Eva knew that it could be the answer to their need: handling the production and financial data of their farm operation, which is made up of five entities including grain, livestock and trucking. With a total of 50,000 hogs and a "small" farm, this family-run operation involves husband, wife, son and 7 employees.
But Working at a Computer is NOT "Real Work," is it????
Part of her aversion to computers was the fear of using them, but another aspect was grounded in the work ethic which had been ingrained in her as she grew up. That work ethic was based on physical activity, being outdoors and actively involved in the day-to-day chores of the farm. Sitting at a desk, managing from an office, was NOT Eva's idea of "real work."
Despite her objections, Eva's husband made the decision to use AgManager®. Part of his rationale in this choice was the need for current reports to meet requests from financial institutions. They had been using the Farm Business/Farm Management accounting which was done once a year, but those annual reports were not current enough to satisfy bankers.
Maybe He was Right...
Since they began using AgManager®, Eva has learned to focus on knowledge-based management more than task-based. She now hires others to do some of those hands-on tasks, so that she can spend more time in the office. As she studies current information generated by AgManager®, her business decisions are wise ones based on current information. Sound decisions made in the office positively affect the whole operation.
Eva has also discovered other benefits of using AgManager® through AgriSolutions®. Tax preparation by someone familiar with AgManager® helps make filing taxes much easier. When special needs arise within their operation, Eva can depend upon AgriSolutions® to recommend outside contacts to provide special services.
She also reports, "Because our operation is actually five entities, we have inter-company activity that can now be separated out by entity. We have been able to track when one entity owes another, etc. Because of our use of this program, we got rid of the farrowing part of our operation and now buy feeder pigs (strictly a wean-to-finish operation)." These kinds of day-to-day sound business decisions are made possible because of the data provided through AgManager®.
Tailored to Our Needs
What happens when you face a problem with using AgManager®? "The help you get from AgriSolutions® is outstanding. They are always there for you! When you run into a problem, you call and get help. The people at AgriSolutions® have a good agricultural knowledge." That is vital to their being able to help farmers. Another "big plus" Eva points out is the service you get with regular updates and also seminars for training.
In talking with others about their operations and accounting systems, she has learned that many have acquired their software from one source and receive support help from another. Then, when a problem arises, each blames the other and help is not forthcoming. However, she explains, "with AgriSolutions®, we get both from the same source and they are there to provide service, just a phone call away."
"The support they offer keeps me there! When I have a problem, I call them on the phone and they can help me. They can use Web-Ex to look at our books over the internet and fix problems. So they can be at their office in Brighton and help me with problems in my books way down here!"
Eva realizes that they have a unique operation, and that AgriSolutions' services are tailored to meet their needs. She encourages others to use AgManager®, saying, "They can tailor their services to about any operation."
The Real Test: After the Flood
Eva and her family have been able to work through any questions and problems in using AgManager® with support help from AgriSolutions®, but the real test came following the big flood of ‘93. "It was total chaos, living in a trailer and trying to re-finance and re-build. The folks from AgriSolutions® actually came and sat down with us and worked with us to make a plan. If they had not been there, we would not still be here (in business)!"
When Bob Wieland asked to borrow a significant amount of money from a bank to cover needs during an extended period of "inverse market," he was not surprised when the banker responded that Bob's expectations for future farm earnings were "too high!" Not easily discouraged, Bob invited the banker to come to his office and inspect his records for himself. Bob had confidence as he arranged that inspection because of the current, specific data provided by AgManager, the computer program he uses for his farm operation. As Bob explains, "It shows the numbers which are important for them to see." When the banker had studied Bob's meticulous records with exact data on every field, the banker was so impressed that he not only gave Bob the loan but also invited him to join the bank board! Bob remains a member of that bank board to this day.
Detailed Records for Sound Management Decisions
How did Bob arrive at this point in his life as a farmer, where his detailed production and financial records are so exact and easily deciphered that he can impress even the most cynical banker? From the time he was 24 years old and supporting his extended family on just 240 acres, Bob quickly learned the importance of meticulous accounting, especially when seeking bank loans. Bob kept those detailed records by hand until the early 1980's, always on the lookout for a computerized accounting program that would work well for his farming business.
Even though he considers himself to be "not a masters degree person," Bob realized early on that he has "common sense to work through problems." What he needed was an accounting system that would sort through all the production and financial data, then break down and process that data to provide the information needed for making sound management decisions (corn v. soybeans in any particular field, for example). This information would have to be readily available, always current, very specific (exact data on every field) and in an easily deciphered format.
The Data You Need...at Your Fingertips
Bob began using AgManager® twenty-plus years ago and has never looked back. AgManager® provides production andfinancial records combined with GPS maps, giving Bob "more and more information and data to make management decisions." Over the years, his farming operation has grown in size considerably, producing corn, soybeans and pumpkins. Bob has found the program not only helps him in providing the information bankers need to see, but also in providing information needed for government programs, and, of most importance, in making sound management decisions. The program breaks down data to allow him to determine exactly how much to pay for cash rent, to see the exact progress of the farm, and even to print out records for landlords.
Support "Second to None"
In many years of using AgManager®, Bob has learned that support for the AgManager® program is readily available and of top quality, "second to none." Support staff at AgriSolutions® and at John Deere are both very willing to get involved, Bob says, "at your level, to help with any problems you may have. They work my computer via the internet (from their office) when I need help." Any request for help is answered immediately. Not only do they provide a great program, "the perfect marriage of John Deere and AgriSolutions®," but they also continually improve and enhance the program. "They are like family to me; they want my operation to succeed and I can feel that. They are there for me, and, just as important, I can count on them to be there next year and the years after that, as well."
Something had to be done. Change was imperative. Andy Young knew he needed to "effectively drill down and manage business operations" for his growing dairy operation, Red Knob Farms. But what tool was available to help Andy and his management team revolutionize their management processes and provide the necessary detailed data analysis? The answer, recommended by trade journals but to date adopted by few dairy farms, was clear: a transition to managerial accounting and reporting.
The Operation
Red Knob Farms is a third-generation dairy operation, a family business with 20-25 workers. Red Knob's five-person management team is young; their average age is just 25 while the industry-wide average is 55. Levels of responsibility vary within the business, as older members now find more time for leisure activities such as fishing, hunting and traveling.
With 900 milk cows and 900 heifers plus harvesting 1000 acres of forage from no-till, intensive double-cropped farmland, Red Knob Farms is a thriving operation. Having recognized the need to move into managerial accounting, the management team carefully examined all options before selecting AgriSolutions®. As Andy explains, "AgriSolutions®, the best we can tell, offered the best opportunity to move to managerial reporting." After initial talks in late 2004, Red Knob Farms acted quickly, signing on at the start of 2005 to become one of the first dairy operations to join AgriSolutions®.
The Transition to Managerial Accounting
True activity-based managerial accounting is new to the dairy industry. Red Knob Farms is proud to be one of the first farms in the country to "go down that road." Previously, this operation had used the accounting software provided by the Pennsylvania Farm Bureau's Financial Services.
The transition has been somewhat difficult, mainly due to the need for the operation's management to re-think the way it looks at accounting. Another challenge has been that, as pioneers in managerial accounting for dairy operations, Red Knob Farms did not have models to follow and learn from.
While they have been learning, with the help of AgriSolutions®, the specifics of managerial accounting and its application to their dairy operation, AgriSolutions® has been busy learning more about application of its processes to the dairy industry. The transition was carried out successfully, a "work in progress." With some additional ideas provide by Penn State Dairy Alliance and the recently formed Northeast Dairy Financial Standards Counsel, Red Knob Farms and AgriSolutions® are blazing the trail so that the transition will be much easier for those dairy operations which follow.
The AgriSolutions® Package
AgriSolutions® is not just selling a software program. Instead, AgriSolutions® is offering a package that includes people like Allen Lash and Daryl Pohlman, men with a strong background in finances and agriculture. Andy credits Allen and AgriSolutions® with "leading the charge on the managerial side of financial standards for the agriculture industry."
Access to the experienced and capable AgriSolutions® team is as valuable to operations like Red Knob Farms as the software. Customer service is a very important part of the package; AgriSolutions® personnel have good understanding of both the software and accounting, and they are always available to share their expertise.
It is the "total package" that makes AgriSolutions® so valuable, much more than just another software program. Other companies sell software, then leave customers hanging after their purchase. AgriSolutions® customers get not only the software, but also updates, the wealth of knowledge and experience of the team, and reliable service through their annual subscription-based program.
The Payoff
The AgriSolutions® software is NOT a simple bare-bones accounting system like Quick Books. In any software system, the information you get out is only as good as the data you put in. Managerial accounting does require some additional data to use it to its full potential. As Andy explains, "You must put data in to get information out." Now, for the first time, they feel they have a strong grasp on what the data means.
Red Knob Farms has found that, with use, they are learning how to gain more and more valuable information from the program. Now the program is providing to their operation the detailed information they had been lacking, a need that prompted their transition to managerial accounting.
Andy and his management team have found that AgriSolutions®, provides distinct advantages in the management of their operation. Some specific examples include:
1) Detailed information readily available
1. Andy can now determine exact costs per cow milking. Every time a cow steps into the parlor, management knows what it costs to harvest the milk. The cost per cow milking may be up 2 cents over last month. That does not sound like much, but when the operation does 2,000 milkings per day, it is important information.
The Parlor Manager is responsible for schedules, procedures, inventory, etc. With information provided by AgManager®, he can look at that activity center as one little business, considering labor, supply, utility costs, number of cow milkings, etc. as he makes daily decisions.
2. For the first time, Red Knob Farms' managers know in substantial detail the true cost of growing replacement heifers compared with the cost of buying them.
3. Now cropping costs can be determined. Before, managers never knew the exact cost to the operation of growing corn silage or rye silage.
4. Now it is possible to know the exact cost to store, mix and deliver feed. It was always possible to determine the price paid for feed, but not the costs for storing, mixing and delivering it (with costs figured in for loaders, mixers, trucks, and labor costs). The manager responsible for feeding activities can now see the financial consequences of every decision he makes.
2) Activity center managers and big-picture financials
A goal of Red Knob Farms is for each front-line manager to be in touch with the big-picture financials. This is also a work in progress and required a shift in thinking for staff.
3) Separating financial info and allocating costs
Like all dairy operations, the Red Knob Farms operation is made up of many activity centers: milk harvesting, parlor costs, replacement growing, maintenance and others. AgManager® differs from other accounting tools in that it allows management to separate out financial information based on activity centers and to allocate costs from one activity center to another.
For example, for the Red Knob Farms maintenance center, costs can be allocated up through each cost center that uses maintenance. The number of hours spent by maintenance workers in each center can be allocated, just as would be done if maintenance were outsourced. As costs are allocated up through the system, a clearer financial picture is provided for each activity center.
4) Benchmarking
Red Knob Farms has been involved with the Northeast Large Herd benchmarking study. Because only a small portion of the dairy industry is using managerial accounting, benchmarking is difficult. However, over the past two years, the question is being heard: Can we (dairy operations) start to benchmark on a managerial basis? There appears to be movement within the industry in that direction and Andy believes it may soon become a reality with AgriSolutions® new AgIQTM database for operations with managerial accounting data. Red Knob Farms is ready; AgManager® provides the detailed reports needed for benchmarking.
The Future
For dairy operations, using managerial accounting is a whole new way of doing business. But they have not been left to make the transition without help. As Andy explains, "AgriSolutions® is walking that road with us. They did not just pat us on the back and send us on our way. Otherwise, we could be in WAY OVER OUR HEADS."
Andy sees great potential for managerial accounting as he guides his dairy operation into the future. It requires changes not only in our thinking and accounting methods, but we must also change the way information is collected (vendor invoicing, vendor information tracking, labor tracking, and more). And that is a good thing for us."
Collection of additional information allows their management team to have a strong grasp on specific data. Andy expresses his enthusiasm for AgriSolutions® and AgManager® when he states, "The ability of this software to incorporate that detailed information is powerful. I believe that this is the MOST POWERFUL tool for agricultural managerial accounting today."
Having dedicated their lives to working with farmers, the folks at AgriSolutions® provide vital services which promote success, longevity and profitability for farming operations. But help and expertise offered by AgriSolutions® personnel is not limited to accounting and data analysis; they actively promote the legacy of family farms by encouraging young people to stay on the farm and join their parents in the operation. Stan and Karmen Mehmen learned just how far the services and commitment of AgriSolutions® extend when they faced a family dilemma.
Family has always been an important focus of the Mehmen farming operation, which includes commercial corn and soybean production along with three business entities: a trucking company, a seed business, and a pig building construction business. Both Stan and Karmen's parents and grandparents had been farmers since their arrival in this country from Europe. With that rich farming heritage, Stan and Karmen were eager to have their son Kyle and his wife Kerri join them on the family farm and continue the Mehmen farming legacy.
However, after completion of his university degree, Kyle had been working for five years as a chemical sales representative. And, although the Mehmens strongly desired to bring Kyle and Kerri home to join them as part of their farming operation, they were uncertain of the financial and interpersonal implications of that decision. They knew that they needed an "outsider," a third party to whom all family members could openly express their desires and concerns. In addition, they needed a consultant who could carefully analyze the financial aspects of their operation and the impact of bringing Kyle and Kerri into the business.
The Mehmens realized that just such a person actually existed, someone who knew them and their operation well and who had the best interests of their operation and family at heart. Karmen explains how their AgriSolutions® consultant, Daryl, was vital in bringing Kyle and Kerri back to the farm: "Our consultant helped us prepare for the transition by conducting personality tests, analyzing our fears and desires, and delineating responsibilities. He helped with the budget process and feasibility study, and will help us analyze our status at the end of this year. Having a third party involved, someone that all family members could consult with confidence, was crucial in this important step for our operation."
With Daryl's help, Stan and Karmen were able to bring Kyle and Kerri home to join them in the Mehmen family farming operation, with Kyle being the third-generation Mehmen to work on this farm. Now, all four Mehmens work together, with one additional full-time employee and three seasonal workers, to keep the business running smoothly, each bringing to the operation specialized abilities and strengths. As Stan and Karmen learned, the expertise of AgriSolutions® personnel, combined with the AgManager® software, data collection, analysis and benchmarking tools, help with strategic decision-making in all aspects of farming operations.
Once a Year is not Enough
Even though David Gillen had used the Farm Business Management accounting program for his farm operation since 1984, the yearly data generated by that program was not meeting his needs for on-going current information. Farming 3200 acres of grain and running a pheasant hunting business (with just one full-time employee in addition to himself and his wife) he needed readily-available, current data with constant updates.
How do I Stack Up?
David also wanted a comparison of his operation with operations in other parts of the country, not just with the 100 others provided through the accounting program he was using. Based on his desire for current data and more widespread comparison of his operation, David chose to begin using the AgManager® accounting program in 2004.
Staying Current
Right away, in his first year of using AgManager®, David was impressed with the always-current, readily-available information and the comparison of his operation to all farms in the Midwest. He also found that he could control "manageable numbers" such as machine costs and develop a business plan with asset turnover ratio. (David attended AgriSolutions® two day business planning class where he and wife, Carol wrote their initial business plan.) Controlling those numbers became possible because of the cost comparison of machinery, allocated per crop, per acre and other specific data provided through AgManager®. With that data, David could make sound business decisions, implementing changes as needed in his operation.
Staying current is important to David. He praises AgManager® for providing up-to-date detailed data of his operation and AgriSolutions for program updates each year which allow the program to adapt quickly to new technology as it is developed.
"Very, Very User-Friendly"
David points out that, at first look, the AgManager® program may seem overwhelming, with a lot of new things to learn. However, he encourages potential users to take the plunge and to stick with it, as the program soon becomes familiar and easy to use. After using AgManager for one year, David describes it as "very, very user-friendly." He has been helped along the way by AgriSolutions' support team which is "only a phone call away." David has called several times and has always received prompt tech support, with consultants explaining or walking him through the process in question. David describes AgriSolutions' tech support as "second to none."
Every business, as it grows and develops, needs an accounting program that can be customized to fit its changing needs. John Fiscalini, dairy farmer and award-winning cheese producer in California, has found AgManager® and the entire AgriSolutions® package, to be both powerful and adaptable.
John represents the 3rd generation of his family to farm at their present location and the 4th generation in California. The family-owned and run Fiscalini dairy operation includes 1500 Holstein dairy cows and 1300 replacement animals as well as a thriving cheese-making enterprise. In addition, 530 acres are farmed with crops to feed the cows. Previously their crops included walnuts and grapes, but state regulations have forced the Fiscalinis to simplify.
The Fiscalini dairy operation is exceptional in two important ways:
1) Award-winning management and high production: Theirs is the first dairy in the U.S. to be certified by Validus for excellent management practices, including animal welfare and environmental compliance.
2) Award-winning farmstead cheese: Instead of producing only the commodity (milk), the Fiscalini operation produces cheese as a "value-added." Their cheese is world-renowned, having won extraordinary awards for its exceptional quality. In London recently, their cheddar was ranked the best, the first time that award has ever been given to any dairy outside Britain. The Fiscalinis' cheese has also been named Best Farmhouse Cheese in America four out of the last five years.
AgManager® Power
The Fiscalini dairy has been with AgriSolutions® since the early 90's. John first became acquainted with AgriSolutions® through his work as a member of the Board of the National Dairy Herd Improvement Assoc. The association was trying to collect milk and reproduction records of dairy cows across the U.S. to be combined with financial data in an effort to help managers improve milk efficiency. Looking at potential vendors of programs to track financial information, John found AgriSolutions®.
For three years John traveled frequently between California and Illinois, working with Allen Lash and the AgriSolutions® team in an effort to develop a prototype software combining AgriSolutions® and DHIA programs. In those three years, John recognized the power of the AgriSolutions® program and saw its potential for his operation. He decided to make the change from California Frontier Accounting, the bookkeeping program he used at that time, to AgriSolutions® and AgManager® .
"It Was a Good Move"
In 1997, the Fiscalini dairy began to use AgManager®. Transition from one software program to something new is always difficult. Un-learning the old and learning the new requires effort, but John is quick to assure us that "it was a good move and I am glad I did it. We love the program now."
Customer service is an important part of the AgriSolutions® package. The Fiscalinis use support often. When they make mistakes, they call for help and have found support to be "really good." Although it would be handy to have customer service open 24/7 (especially to cover the time zone difference), John has found AgriSolutions® customer service available and eager to help, even "after hours." At her invitation, John has called service rep Carolyn at her home in emergency situations, such as when facing a problem with payroll late on a Friday afternoon. John reports that "AgriSolutions® support is excellent and they get us up and running in no time."
Reporting is now easy. Unlike the accounting program they used previously, AgManager® generates reports that bankers will accept. For the Fiscalinis, an important feature of the AgManager® program is its ability to produce customized reports. The Fiscalini family is in the process of building a new cheese facility and also a methane digester. In approaching banks for loans, John doesn't want to spend a lot of time and money hiring an accountant to report on the operation's current financial situation. Bankers require up-to-date information and AgManager® can easily generate an accurate report for any specified date range.
While the program they used previously did have the capability of tracking repair costs of each individual piece of equipment, that program did not break down costs of goods and expenses by categories. AgManager® does that and so much more.
Unlimited Potential
John admits that there is still a lot about the program for him to learn. He recognizes there are many kinds of information needed by dairy farmers which the program can provide: replacement cow costs, parlor costs, weight gain, breeding size, herd growth, benchmarking, and more. John plans to use the program more extensively in the future to gather more of this vital information.
To be honest, the AgManager® program is generating more data than John has time to analyze. Because he is so busy with managing their dairy and cheese operations, John has turned over the bookkeeping role, including data input, to his daughter. Both look forward to the day when John's son, now a senior at Cal Poly San Luis Obispo, will have completed his MBA and will be ready to join the dairy.
John learned a lot in AS 101, a financial analysis class offered by AgriSolutions®. His dream is to return for an entire week of training, attending a number of classes and learning as much as possible. That dream is not only for himself; he wants both his son and daughter to join him in the training. John expounds, "The amount of information available through AgriSolutions® and all their classes is huge and it would certainly make a lot of sense for us to become educated.
In the Meantime...
John has access to the vital information available through AgManager® even while waiting for further training and for his son to join him in managing the operation. Roger Booth, the Fiscalinis' consultant at AgriSolutions®, steps in to fill that need, downloading their program information 4 times each year, "massaging" it and sending it back to John in the form of management reports. John finds this kind of customer service very helpful. While he wishes that his daughter had the time and ability to produce those reports, John rejoices that the AgriSolutions® personnel have the expertise to do it for them. As John explains, "It is worth paying them to do what we cannot at this time. Those reports are valuable information and worth the cost."
An Expanding Operation
When the Fiscalinis expanded into cheese production, they did not foresee its rapid popularity and the great demand for their products. At present, they produce English-style cheddar, San Joaquin Gold (their own unique cheese which must be aged 16 months before being sold) and Lionza (named for the town in Switzerland where John's grandfather lived and where this type of cheese has been produced for many years). The Fiscalinis plan to add other types of cheese after a new facility is built. Construction of that new cheese facility is slated to start in July of ‘07 and should be operational by the end of the year.
At present, the Fiscalini operation produces 300,000 lbs. of cheese per year, using only 8% of their milk. They expect that production will double immediately, possibly even triple when the new facility is ready for use. John is planning now with his family for the new growth phase of their cheese-making enterprise. Growth is certain; because of the high quality of their cheese and the many awards it has received, the Fiscalinis cannot produce enough cheese to meet the demand today.
Cheese production has greatly changed the bookkeeping needs of the Fiscalini dairy operation. John has found that AgManager® can easily be customized to meet their needs, to handle purchasing, billing, reporting and all aspects of this added enterprise. As they look to the future, planning growth and expansion, they do so with confidence that AgriSolutions® and AgManager® will continue to meet their needs with power to spare.
Mark Erdman is a busy man. With 450 cows to milk, 800 acres of corn, hay and soybeans, and 10,000 pigs to run through his finishing operation each year, there is no time to waste on bookkeeping. Tasks such as statistical analysis and preparation of financial statements, while vital to sound management, can become overwhelming. How can today's farmer, running full-tilt to manage and grow his operation, efficiently handle necessary bookkeeping and data management?
The Erdman operation began simply enough, in 1940, when Mark's dad was just 12 years old and had only one cow. From that meager beginning, the Erdmans have grown their operation, adding little by little over these 67 years. Dad remains actively involved and Mom, now 81, still serves as bookkeeper. Desire for efficiency and sound management along with steady growth and diversification prompted the Erdman family to take advantage of vital services offered through AgriSolutions®.
Satisfied customers of AgriSolutions® for 30 years now, the Erdmans praise their account manager, Mr. Val Maeker, for his consistent "good help" to their operation. No matter how busy Val may be, he is always available and ready to offer valuable consultant help.
Until the Erdmans acquired their first computer just five years ago, books for this growing operation were done by hand. Mark describes himself at that time as "totally illiterate with computers" and a real challenge to the support staff at AgriSolutions® "I didn't even know how to turn the computer on!" Mark admits. But the competent and patient personnel at AgriSolutions® made all the difference to the Erdmans' successful transition into the computer age. "I couldn't do it without their support team," Mark explains. "They are magicians. They are always there for me and they know the program well. They can walk me through any problem."
Use of AgManager® has revolutionized the Erdmans' management of their operation by providing them with always-up-to-date information, allowing them to know from day to day exactly where they are, tracking assets and liabilities "to the penny."
Having needed information available "right at your fingertips," is important to busy farmers, and Mark praises AgManager® for doing just that, helping him to manage the operation more efficiently. The program allows him to separate data according to activity centers (profit and cost centers) that make up the operation, providing him with the detailed information about each activity center which he needs to make sound business decisions.
Financial officers require current, accurate information and Mark's banker is no exception. "He has told me he is amazed at how close I am on everything." With AgManager®, Mark is able to quickly access and present the precise information needed in a well-organized report. Busy farmers love to save time wherever they can, so it is with pride that Mark explains, "The financial statement takes me about 5 seconds to print out."
Mark's advice to others about AgManager®? "Get it!" He has found this managerial accounting program to be a great tool in managing the operation and in dealing with bankers, especially when requesting a loan. AgManager® provides the information Mark needs and the reports bankers want, generating statements quickly and easily.
Mark also cites Monsanto's Posilac as an important help in managing his operation efficiently. The Erdmans' cows were one of the charter herds to test Posilac before its release for general use, and they are happy with it, having found it to be "a good product." For the Erdman operation, Posilac increases production by 10 lbs. of milk per cow per day.
Stan and Karmen Mehmen truly make farming a family business. Their farming operation, which includes their son Kyle and daughter-in-law Kerri as the third generation of Mehmens to farm in this location, is a commercial grain operation producing corn and soybeans. The operation also includes several business entities: a trucking company, a seed business, and a pig building construction business.
The Mehmens had used the Farm Bureau accounting program AgMaster® for 17 years, until 2001 when AgriSolutions® bought out that program and introduced them to AgManager®. That changeover was a turning point for the Mehmens, providing the tools needed to improve their bookkeeping and data analysis.
Even more importantly, the Mehmens now are able to use the data and financial reports provided by AgManager® in making vital business decisions. Through training offered by AgriSolutions® personnel, Karmen learned how to arrange the data in its most useful form and what to look for in the reports. Karmen is quick to explain that "the education provided with the program is one of the most beneficial services provided by AgriSolutions®." Stan and Karmen have also completed two AgriSolutions® classes to expand their knowledge of Asset Management and Debt Management.
Believing that the strategic handling of financial data is vital to competent management of their operation, the Mehmens were part of a pilot group to test the Corn and Soybean Financial Standards in 2001. They promoted the business management concept to agricultural leaders, and they also lobbied in Washington, D.C. for agricultural risk management concerns.
Karmen has kept financial records for the Mehmens' farming operation for 30 years and reports a leap in her ability since their switch to AgManager®. As she says, "Even though I knew in certain years that things were not as good as they could be, I did not know how to analyze the books and find where to target efforts to improve. We were eager to make changes and correct problems, but we did not know where to begin. Now, using the data and reports produced by AgManager®, we can discover our strengths and weaknesses, capitalizing on strengths and correcting our weaknesses. Benchmarking reports in 16 areas help us to see how we are doing compared with other similar operations, and we can identify specific problems. We always look forward to seeing how we compare with our peers, defining our weaknesses and competitive advantages."
Karmen has many years of experience in agricultural bookkeeping and accounting, and has learned much over the years. As she explains, their knowledge of accounting for farming operations has advanced significantly. "In the 1970's, when I started farming, we learned tax accounting. In the 80's, we learned cash flows and balance sheets. In the 90's, we learned financial accounting with 16 areas of financial standards. In the 2000's, we learned managerial accounting. The AgriSolutions® accounting system, AgManager®, will do ALL these things." And she exhorts those who are stuck in the 70's, "For those people who are still doing tax accounting, it is imperative that they know that that type of accounting is NOT enough."
Personal help from AgriSolutions® staff is one of the most important aspects of the AgManager® system. With easy access to help via telephone using the toll-free number, clients like Karmen can find help as frequently as they need it. Karmen explains, "I am not shy about using the help because I want to enter the data correctly and gain the most informative and useful reports that I can. When I have questions or when I need advice for a major business decision, I have access to help from AgriSolutions® staff and even from the CEO himself. And our AgriSolutions® consultant visits our operation on a quarterly basis."
Karmen strongly encourages those keeping books for farming operations to use AgManager®. She says, "Even those people with limited experience and training in accounting can use this tool successfully. Personnel at AgriSolutions® will push you to do more than you think you can, encouraging you to not be satisfied with the status quo or with being less than your best. They give you confidence and encouragement, frequently reminding you, ‘Don't underestimate your skills.'" With their help, anyone can successfully use this incredible management tool.