Reference no: EM131040416

Analytics Helps Farmers

Farmers have always had plenty of data but few tools to help them analyze the data. For example, they receive data from their feeding machines as well as reports on health status, reproductive status, and milk production from their veterinarians. Historically they had to sit down, collate the printed reports, and try to make sense of them. Today, farmers have another option: They can use Fameron (https://www.farmeron.com).

Founded by Matija Kopic, a Croatian, Fameron (launched in November 2011) is a Web-based service that farmers use to analyze the various types of information they receive concerning their animals: diet, health, reproduction, milk production, and medicine or drug dosages. Farmeron connects the data generated by the farm machinery directly to the Web. Farmeron provides analysis and dashboards (discussed later in this chapter) to its clients to help them achieve insights into how well their farms are performing. The company's services are extremely fast and appealing to use.

Where it once took days for a dairy farmer to input and analyze months of diet and medical data, Farmeron's service makes the conclusions available instantly. One Croatian dairy farmer with 400 cows claimed that Farmeron helped him to meet laws for animal tracking and sales and also to report animal deaths to the insurance companies. The farmer also uses Farmeron to manage daily feed rations and feed purchases, which is critical because feed can represent up to 70 percent of his farm's expenses. As of mid-2013, Farmeron focused largely on dairy and beef cows. It charged farmers who own up to 75 cows about 25 cents per head monthly; those with up to 600 cows pay about 45 cents per month.

Larger farms pay on a custom plan. Kopic is considering expanding his operation to include chickens and pigs. In one instance a frog farmer requested his service. Because Farmeron collects data across many farms, the company can make broad conclusions about what works concerning best practices. A best practice is a method or technique that has consistently shown superior results to those achieved with other means; for this reason it is used as a benchmark. Fameron can also provide recommendations for improving production. Kopic believes that Farmeron can be particularly useful in emerging markets where knowledge concerning best practices. Farmeron runs on the Web, so farmers can access its services on their tablet computers. Although some tablets are dropped in the "wrong" places on farms and get filthy, farmers appreciate having all of the relevant data with them.

That way, they do not have to go inside to search through a pile of hard-copy spreadsheets on their desk. More than 600 corporate farms use Farmeron services. Fortyfive percent of these farms are located in North America, with the largest having 4,000 animals. In May 2012, Farmeron signed a partnership with Neelsen Agrar, a large German equipment company with operations in more than 30 countries. Agrar is selling Farmeron to its clients. Farmeron does have competitors, including Farmlogs (https:// farmlogs.com), Farm Works (www.farmworks.com), and equipment manufacturer John Deere, which provides software and Web support for managing agricultural operations. Sources: Compiled from A. Chowdhry, "FarmLogs Is Going to Change the Way Farmers Manage Their Business," Forbes, February 14, 2013; "7 Craziest Things Connected to the Internet: Cows and Crops," CNN Money, September 2012; T. Geron, "Cows in the Cloud," Forbes, August 20, 2012; M. Butcher, "SaaS for Cows!," TechCrunch, May 10, 2012;

Questions

1. Why is having instantaneous data availability so important for farmers? Provide examples to support your answer.
2. What other agricultural applications might Kopic develop that would be useful to farmers? Provide examples to support your answer.