Business health check for WA beef producers

30 May, 2012 02:00 AM

WEST Australian beef producers are invited to take part in the Red Sky Beef Business Analysis project, supported by the WA Beef Council and the Department of Agriculture and Food.

Red Sky is aimed at helping participants get an in depth understanding of current farm performance, identify where to focus management to lift production and profit, and how to minimise the financial impact of climate and market price fluctuations

Department development officer Victoria Surridge said the Red Sky project had been well received by 48 beef producers at a series of workshops in WA last year.

The Red Sky program utilises a software tool which is specifically designed for agricultural enterprises. Users input both financial and physical measurements and receive a full farm performance analysis. This analysis produces a number of key performance indicators which are split between the primary measures of profitability - efficiency, risk, solvency and liquidity.

“The program helps producers to gain a thorough understanding of the key drivers behind their beef business and compare industry averages and top performers,” Ms Surridge said.

“Participants in the business health check will receive a confidential detailed business analysis report on their beef enterprise, incorporating production measures such as pasture utilisation; kilogram of beef per hectare and financial measures including return on capital; operating profit margin and core per cow costs.”

The business health check focuses on maximising the outcomes producers gain through delivery of pre and post-analysis workshops by a local agribusiness consultant. The emphasis is on enhancing business knowledge and skills in combination with the Red Sky business health check report and strategic enterprise planning to ensure participants can ‘future proof’ their beef enterprise and focus on improving production, profit and resilience.

The department is coordinating the package. The cost is $100 for the first 50 beef producers with more than 200 head of cattle who register. Additional participants pay $250. This includes access to the introductory and review workshops, on farm support for data collection and the full financial and physical business report.

The workshops are planned for late June in Badgingarra, Esperance, Mt Barker and Nannup.

Contact the department’s Albany office on 9892 8444 by Friday, 15 June to register or email


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