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Challenges in computer systems for farmers

Research Archive

Challenges in computer systems for farmers

Nuthall, Peter L.
Type: Discussion Paper
Permalink: https://hdl.handle.net/10182/818
Originally published: 1988-05 as Discussion paper (Lincoln College (University of Canterbury). Agribusiness and Economics Research Unit) ; 120 by Lincoln College. Agribusiness and Economics Research Unit.
Keywords: farm management; farm computing; computer use; agricultural software

Abstract:

Almost since computers first became generally available for research purposes, farm management professionals have been using their power to help farmers make improved decisions. In 1966 university computers were used for optimal farming systems research and not long after this cash recording and analysis systems based on mail communication were instituted on a trial basis. This latter experiment followed work in the United States (Michigan State University) based in part on calculator like devices which, when attached to the mouthpiece of a telephone, could be used to send data to a remotely based computer. The printed results were then mailed back. The Michigan experiment proved to be successful partly because U.S. farmers rely less on accountants than New Zealand producers for tax returns and, consequently, were receptive to a machine that solved the problem of many late and confusing nights. In the end most of this work relied on mailing the data to a central computer rather than the telephone device as this proved unreliable. The technology available today has, however, markedly changed this situation. Despite the early computer work using sophisticated operations research techniques, the management aids that have prospered are the simple budgeting and accounting systems. Some success was, however, achieved in Indiana with using linear programming by bringing farmers to the University in workshop groups. The campus computer, with the help of experts, was then used to produce machinery and cropping programmes for each farmer. The experts were an important ingredient of the process as setting up and interpretation required experience. After several years of workshops the experts lost their enthusiasm so the Top Farmer Programme, as it was called, waned. Perhaps the advent of powerful personal computers and improved interface systems might eventually enable linear programming to be reinstated without the need for expert assistance. Even given the early successes with recording systems, it was really not until the end of the 70's and early 80's when microcomputers started to become available that computer based management aids started to become a truly significant factor in farm management. While many people believed central computers could be useful through mail-in operations, the facts were that the form filling, transcription errors and mail delays prevented any real growth. With the chance of removing these frustrations the situation changed overnight. This paper contains a discussion on the developments that have subsequently occurred worldwide in computer based management aids as well as thoughts on the future developments required and the form these might take. A conclusion on the steps necessary to achieve the needed improvements is also provided. Growth in on farm computers has occurred because most producers find the process and results useful. A recent survey indicated some 54% of computer users believed the benefits covered the costs (cash costs were believed to average $582/annum) whereas 18% were of the reverse opinion and the remainder didn't know. It is interesting to note objective economic assessments of the value of a computer do not exist. While many estimates have been made these lack real validity, except for the cost calculations, and will remain estimates until it is possible to carry out before and after surveys following several years' computer use. The cost of holding a typical business computer is around $2500 depending on the interest and depreciation rates assumed. If labour is also a charge this becomes approximately $4000 so it is clear a profit increase of around $5000 is necessary for the investment to be worthwhile. In some respects cost benefit studies will be superfluous as the consumer society will tend to force computers on all families in much the same way as cars and television sets, to give two examples, have become necessities. For better or worse, the computer will increasingly become an integral part of society. Similarly, many other electronic based technologies will be introduced. Chip controlled fuel injection and computer controlled cultivation equipment depth are two examples. Massive development funding is going into evolving devices for all areas of agricultural activity so farm managers will increasingly be faced with using electronic based equipment. This will certainly change the nature of on farm repairs.

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