OrganicValley726x88
Loading...
You are here:  Home  >  Livestock  >  Beef Cattle  >  Current Article

Measuring Performance Per Animal vs Per Acre

By   /  August 3, 2015  /  3 Comments

    Print       Email

For the last 50+ years, nearly all of the so-called “experts” in the beef industry have been focused on one thing – increasing individual animal performance – weaning weight, for the most part. This is why all of today’s status quo beef producers adhere to what I am going to call the “Increase Individual Animal Performance” paradigm. They have been led to believe that success in this business is dependent on measuring and increasing individual animal performance.

Cow 4055-2 Crop

Colorado rancher Kit Pharo maximizes his profits by minimizing his inputs. Another key to his success have efficient cows in his heard. On his ranch, the optimum cow is a 2 to 4 frame cow that weights 1000 to 1,250 pounds and produces calves that work well in the feedlot system. Shown here is one of Kit’s 10 year old, 3 frame cows.

By definition, the “Increase Individual Animal Performance” paradigm assumes bigger is always better. For example, it assumes a calf with a 500-pound weaning weight is superior to a calf with a 450-pound weaning weight – and a calf with a 600-pound weaning weight is superior to a calf with a 500-pound weaning weight – and so on and so on.   The bigger the weaning weight, the better. I know of a seedstock producer who brags about weaning weights in the 900 to 1000 pound range. The fact that they sell lots of bulls for lots of money tells me that there are lots of producers who are trapped in the “Increase Individual Animal Performance” paradigm.

What does it take to produce calves that weigh 900 to 1000 pounds at weaning? Among other things, it requires cows that weigh a ton and an artificial environment that includes a hot feedlot ration. Never mind the cost, bigger is always better – or is it?

Those who are more concerned about profitability than they are about bragging rights will quickly tell you that bigger is NOT always better. They adhere to what I am going to call the “Increase Profit Per Acre” paradigm. They know that it does not matter how big your cattle are or how fast they can grow if they are not profitable. Their program is geared toward increasing pounds and profit per acre – NOT per individual animal. They know that the optimum (most profitable) level for any trait is NEVER the maximum level.

Whether you have 100 acres or 100,000 acres, you can run substantially more low-maintenance cows than high-maintenance cows. The smaller, more efficient cows will always wean a higher percent of their own weight with fewer inputs. Consequently, we have NEVER found an environment where our low-maintenance cows could not produce MORE TOTAL POUNDS that are worth MORE PER POUND than the bigger, high-maintenance cattle that most cow-calf producers have. No matter how you do the math, MORE POUNDS that are worth MORE PER POUND with LESS INPUTS will always, always, always translate into MORE PROFIT.

Cow 5041-2 Crop

Here’s one of our 10-year-old, low-maintenance, 3-frame cows.

The reason we consider understanding this concept to be of utmost importance is because we have reason to believe most ranchers can double their profit per acre once they stop focusing on the wrong things. That’s HUGE!   As discussed in our Winter 2015 Newsletter, this will require producers to make a shift from the “Increase Individual Animal Performance” paradigm to the “Increase Profit Per Acre” paradigm. It will require producers to work with nature – instead of against nature. It will require producers to implement proper grazing management – and it will require producers to have the right size and type of cattle.

Here’s how this concept works in response to questions I’ve received:

Question: My cows average around 1400 pounds.   We wean off 600-650 pound steer calves.   I believe if you can raise a 650 pound calf with the same inputs as raising a 450 pound calf, you are going to have more money in your pocket.”

Answer: You are missing the point – but I’m sure you are not alone. If your farm can support 100 1400-pound cows, it should be able to support 130 low-maintenance, 1100-pound cows. That is 30% more cows producing 30% more calves on the exact same inputs. Since smaller cows can wean a higher percent of their own weight, I can guarantee the 130 smaller cows will produce substantially more total pounds than the 100 larger cows – on the exact same inputs.

As I said last week, the “Increase Individual Animal Performance” paradigm assumes bigger is always better. For example, it assumes a calf with a 650-pound weaning weight is superior to a calf with a 450-pound weaning weight. That is an incorrect assumption. The only time bigger is always better is when we are talking about profit.

The calves produced by the smaller cows in the example above may have smaller individual weaning weights than the calves produced by the larger cows – but there are more of them. To add insult to injury the smaller calves are worth more per pound than the bigger calves.   MORE POUNDS that are worth MORE PER POUND always equals MORE PROFIT.

Question: “I understand how small cows produce more pounds and profit per acre than large cows.   I’m wondering if there is a limit to how small cows can be.”

Cow P411-3 CropAnswer: Excellent question. A herd of 4-frame cows will produce more pounds and profit per acre than a herd of 6-frame cows. Likewise, a herd of 2-frame cows will produce more pounds and profit per acre than a herd of 4-frame cows – and a herd of Lowline (miniature Angus) cows will produce more pounds per acre than a herd of 2-frame cows. I’m confident a flock of ewes will produce more pounds per acre than a herd of Lowline cows.

If you are direct marketing all of your animals in the beef, it probably doesn’t matter how small your cows are. However, most cow-calf producers market most of their animals on the hoof. If your animals are too small to fit the box at the packing plant, they will be discounted. We have found that 2 to 4-frame cows work the best. They produce more pounds and profit per acre than the larger cows most producers have – without being too small for the feedlot and the packing plant. Our low-maintenance 2 to 4-frame cows weigh 1050 to 1250 pounds.

Want More?

Sign up for the Pharo Cattle Company newsletters here. You can also check out past issues of the newsletter.

    Print       Email

About the author

is an industry leader in developing bulls on forage, and is internationally known as a successful rancher and businessman. In the mid 80s, Kit started out by leasing grassland and buying cows. In the beginning, he strived to build a herd that would wean bigger calves, but quickly learned that increasing weaning weights did not increase profit. Kit then changed his management approach to be profit-driven instead of production-driven, and carried-out management practices to reduce and eliminate expenses. At the same time Kit implemented ways to increase beef production per acre – compared to beef production per calf. Over the last 25 years, Kit has grown his ranch into a very profitable family corporation. From the first production sale of 7 bulls in 1990, Pharo Cattle Company now produces and markets over 800 forage-developed bulls every year. Kit Pharo advocates several no-nonsense ways to put profitability back into ranching and publishes a quarterly newsletter that is sent out to over 20,000 people.

3 Comments

  1. Kit Pharo says:

    Grant, there is absolutely nothing in what I wrote to give you the impression that the heavier cow weaned 46% of her own weight, while the lighter cow weaned 41% of her own weight. With very few (if any) exceptions, smaller cows will wean a higher percent of their own weight than big cows. That is one of the reasons smaller cows are more profitable. No matter how much land you have, you can run substantially more smaller cows than big cows. The smaller cows will always produce more total pounds that are worth more per pound. That always equals MORE PROFIT!. There is ample evidence that says big cows cannot produce calves that are as big as those produced by smaller cows. Check this out… http://www.pharocattle.com/extrastuff/PCC_Program/BIG_Cows.pdf. The reason the big cows produced small calves is that they do not fit their environment. They are struggling to meet their maintenance requirements.

  2. Grant Goss says:

    I understand that the numbers that you used are probably just random numbers that you picked for example’s sake, but since I am very new to stock work, I was trying to make them come out as you’d stated they would. I could very well be missing something, like an obvious assumption that someone who is not new would pick up on, but when I worked out the example’s weaning weight percentages the heavier cow weaned at 46% of her weight, and the lighter cow weaned at 41%. This seems to contradict what you were trying to get across, and I would really like to understand what you were saying…did I miss something?

    Thank you for your time.

    • Dan Nosal says:

      Grant,
      I think you may have misunderstood the example Kit was using. I don’t think he was comparing 1400# cows that wean 650# calves to 1100# cows that wean 450# calves. The cows and the calves were two separate examples.

Print

You might also like...

connors-picture

Transitioning from Confinement to Pastured Dairy – One Farm’s Process

Read More →