Herdquitter Blog

The PCC Discussion Group recently had a very interesting discussion that tied in very well with the “Woe is Me” article in last week’s PCC Update.   While most people know what they should do, very few actually follow through.   Why is that?   What prevents most people from making the changes they know they should make?  I will share a few high points from this discussion.

The discussion thread was started by Jim Gerrish, who is a world-renown grazing expert.   Jim discussed two clients he had worked with.   He helped one client double his carrying capacity and reduce hay feeding by 60% in just three years.   Since the infrastructure required to do this cost $36 per acre, this client essentially purchased another 8000-acre ranch for $36 per acre.   Rangeland in that area is currently selling for $1000 per acre.   That was a no-brainer.

Jim worked with another client who had a 30,000-acre ranch.   Jim said, “I am confident we can double the carrying capacity on this ranch similar to what we did on the other project.   Spread across the 30,000 acres, that is a stock water and fence infrastructure cost of less than $40 per acre.”   He went on to say, “That is the equivalent of buying another 30,000-acre ranch without closing costs, additional taxes, or all the other associated overheads for less than $40 per acre when the prevailing land cost in that area for similar rangeland is about $800 per acre.”   Although the client understood the possibilities, he decided not to go forward with the project.

Doug Ferguson, who lives in Nebraska and is a very active and outside-the-box contributor to the PCC Discussion Group, responded by saying, “Jim, I have spent several years studying the subconscious mind and paradigms – and how they affect our results.   I’ll try to condense what I have learned.”

Doug went on to say, “What you ran into with the second rancher is called the Terror Barrier.   He probably understood it, and gets it.   So, what is stopping him?   His old paradigm.   The old paradigm is what keeps us from doing what we know we should do.

“The second rancher has the knowledge and you gave him a simple plan to follow.   But then what I call the Monkey Mind kicks in.   The monkey represents the old paradigm – and that monkey talks a lot.   He’s going to put up one hell of a fight because he doesn’t want to be replaced by a different monkey.

“So, the monkey says things like: That’s a lot of money.   How are you going to pay that off?   What if there is a drought in a couple years and you have to destock?   What are you going to do then?   People will laugh at you because you spent all this money to increase stocking rate and you ended up destocking.   You’ll never be able to show your face in public again.

“The monkey may go a different route.   Fear of success: What if this works?   If your stocking rate doubles, where are you going to get the stock?   Can you afford to buy that many cows?   That’s a big risk putting all those dollars out there.”

Doug concluded this part of his discourse by saying, “The second producer was on board and fired up right until the monkey started talking.   Then he gets scared, hits the Terror Barrier and goes right back to his old paradigm – with results he is comfortable with.

“Paradigms are a multitude of habits.   Habits are hard to change.   That reminds me of a great quote that ties in with what Kit is always preaching, ‘In times of change, the learners inherit the earth, while the learned find themselves beautifully equipped to deal with a world that no longer exists’”

It is not easy to replace the old monkey.   It is a bit scary and a lot uncomfortable.   Nevertheless, monkeys must be replaced every now and then if we want to achieve true happiness and success.

Quote Worth Re-Quoting –

“Let us not be content to wait and see what will happen, but give us the determination to make the right things happen.”   ~ Horace Mann

I just heard that the state of Colorado is drought free for the first time in 20 years, which means there is no part of the state affected by drought.   I know we have experienced drought conditions many of the past 20 years here at PCC Headquarters.   I did not know, however, there was some drought within the state every week of every year for the past 20 years.

The drought seems to be shrinking everywhere in the US – with the possible exception of the northwest.   Unfortunately, our friends in most of Australia are not faring so well.    Cow liquidation continues to take place.   Many ranches and stations have been totally destocked.

The Price-Rollback Sale is officially underway.   There are 29 PCC Solar Bulls to choose from – 19 in Colorado, six in Texas and four in Missouri.   These bulls are priced from $4000 to $10,000.   Some of these bulls would have sold for more than $10,000 had they sold in our spring bull sales.   The prices on these bulls will be ROLLED BACK $500 every day until they are sold.

Open the links below for more information.   To see recent video clips of the bulls, go to the Quick Sort program and click on the lot number.   Click on the bull’s name in the Quick Sort program to see to see detailed pedigree and EPD information (registered bulls only).

Texas Catalog Pages

Missouri Catalog Pages 

Colorado Catalog Pages

Quick Sort

Prices for the bulls are posted on the catalog pages, as well as in the Quick Sort program.   The prices on all of bulls that do not sell today (Wednesday, June 5^th) will be rolled back $500 tomorrow.   For example, if the base price is $6000 and if the bull does not sell today, his price will be rolled back to $5500 tomorrow.   We will continue to roll back prices another $500 every day on the unsold bulls until all of the bulls have been sold.

Here are a few things to keep in mind if you plan to participate in our unique Price Rollback Sale.

• Bulls will be sold on a first-come basis.   Some may be sold within the first 30 minutes.   If you want to purchase a bull, call 800-311-0995 (anytime) and leave a detailed message, or send an email to Bulls@PharoCattle.com.
•  You might consider a second or third choice – in case your first choice has already been sold.
• Bulls will be sold FOB where they are located. We will not provide delivery. However, we will do our best to find transportation and/or to coordinate transportation. If bulls are headed in the same direction, we will let the buyers know.
• Prices on unsold bulls will rollback $500 every day at 12:00 am (Mountain Time) until all of the bulls have been sold.
• There will be a 5% Discount on purchases of five bulls or more.
• We will do our best to update the Price-Rollback links – so you will know which bulls have been sold.

The following quote has been attributed to Thomas Edison.   I think it speaks volumes about the status quo’s herd-mentality way of thinking – or lack thereof.

“Five percent of the people think; ten percent of the people think they think; and the other eighty-five percent would rather die than think.”

In my opinion… it’s not that 85% of the people would rather die than think; it’s that they are too lazy and/or too afraid to think for themselves.   It is easier to go along with the herd-mentality way of thinking.   You will find evidence of this everywhere you look.

Our definition of a Herd Quitter is someone who has enough courage to break away from the status quo, herd-mentality way of thinking.   It is more about thinking for yourself than anything else.

Following the crowd is seldom the best way to manage your business.   In fact, it’s probably the absolute worst way to manage your business.   If you’re thinking and doing the same things everyone else is thinking and doing, you will never be above average and you will never have a competitive advantage.   Average in the cow-calf business is breakeven at best – and trying to compete without a competitive advantage is a waste of time.

Here’s to the Herd Quitters…   The crazy ones.   The rebels.   The troublemakers.   The square pegs in a world full of round holes.   They see things differently.   They have little respect for the status quo.   They make things happen.   If it weren’t for the Herd Quitters, the earth would still be flat.   While some call them crazy, we see genius.   Those who are crazy enough to think they can change the world are the ones who do.

Our first-ever Australian Bull Sale is behind us – and we are extremely excited.   Most cow-calf producers in Australia are experiencing the worst drought in their lifetime.   Many (perhaps most) are destocked to less than half their normal carrying capacity.   Some are totally destocked.   More than once I thought, this is the absolute worst time to have our first-ever Australian bull sale – and then I thought, maybe not.   There is nothing like tough times to make cow-calf producers realize they need ultra-low-input genetics to survive in this business.

Tyson and I were surprised when 40 people showed up for our pre-sale get-together.   It was good to hear them discuss their past and where they want to be in the future.   The producers at that meeting are anxious to take control of their future.   That inspires and excites me!   We were also a little surprised when over 80 people showed up for the bull sale.   Several drove from as far as 1700 kilometers to attend.   That is almost unheard of.   Everyone was impressed by how good our grass-developed bulls looked, considering the drought.

We sold 64 bulls for an average price of $4632 – with a range of $2500 to $10,000.   I’m sure members of the status quo herd will be totally shocked by these results.   With the current drought it is not uncommon for other bull breeders to no-sale 50 to 60 percent of their bulls.   We only had four no-sale bulls – and they were sold within two hours after the sale.   Volume buyers Cathy and Graham Finlayson, Bokhara Diversified, Brewarrina, purchased 11 bulls with their agent (center) Greg Seiler of Landmark Walsh Hughes, Bourke.

I have reason to believe many who are reading this are sitting on the fence.   They know they need to make the transition from high-input, break-even ranching to low-input, high-profit ranching – but they are reluctant to get off the fence and make it happen.   Some of you have been sitting on this fence for years.

What is it going to take to get you off the fence?   What is keeping you from moving forward?   The sooner you make this transition, the sooner you will be able to improve your lifestyle and your profitability.   You have much to gain and nothing to lose.

I suggest you attend our Colorado Bull Sale on Monday, April 15th and spend time talking with PCC customers and producers.   Most are happy and excited to share their experiences.   Most have spent time on the same fence you are sitting on.   Give them the opportunity to share their story.   If you do, I can pretty much guarantee they will provide the push you need.   You can choose to stay home if you want – but you will never learn anything about profitable, enjoyable and sustainable ranching from your status quo neighbors.

I know several people who spent a considerable amount of time and/or money to do exactly what I am suggesting you do.   Some drove or flew over 1200 miles.   I have never heard from anyone who regretted the trip.   Most made the transition shortly after making the trip.   They would never consider going back – because they are two to five times more profitable than their neighbors.   In addition to being more profitable, their life is much more enjoyable.

The most gratifying part of my job is hearing from people who made the transition from high-input, break-even ranching to low-input, high-profit ranching.   I receive emails on a weekly basis from those who are so glad they made the transition when they did.   Most wonder why it took so long to see the light.   I can remember having the same thoughts over 30 years ago.   Making a paradigm shift of this magnitude is not easy.

I visited with many PCC customers at the Texas and Missouri bull sales.   Most long-term customers have operations that are much more profitable, enjoyable and sustainable than they ever thought possible prior to making the transition.   I also visited with people who were very enthusiastic about taking the first steps in making the transition.   They saw the light, and they are extremely excited about the future of their family and their business.

One new customer admitted he was a little nervous about making the transition.   It required going against what his neighbors and family believed to be right.   He had finally seen the light – but he was reluctant to enter what we call the New Frontier in beef production.   I reminded him that the New Frontier is not totally uncharted territory.   Well over 2000 PCC customers and others are already there.   Those who are part of the New Frontier are two to five times more profitable than their status quo neighbors.   Their lifestyle is also substantially better than their neighbors.

Status quo ranching may have made sense 40 to 50 years ago – but it is making less and less sense every year.   As cattle prices continue to go up and down, up and down, the cost of land and inputs continues to increase – sometimes at unprecedented rates.   Most status quo producers are slowly but surely going broke.   Some status quo producers see the futility in what they are doing – but it seems as though they would rather fail conventionally than succeed unconventionally.   That’s just the way human nature is.

The fact that most status quo producers will not change until they are forced to change gives the rest of us HUGE opportunities.   Throughout history, the first to enter new territories and new frontiers have always had HUGE advantages over the late-comers.   I continue to believe the next ten years will be remembered as the best of times for some – and the worst of times for others.

No one else in the beef industry has even thought about selecting cattle for genetic fly resistance.   Pharo Cattle Company has been doing it for over 12 years.   While other seedstock producers continue to treat the symptoms with toxic chemical insecticides, we are helping you solve the problem.

All of the fall-born bulls in our Texas and Missouri bull sales have been evaluated and scored for genetic fly resistance.   Since the heritability of fly resistance is very high, this is something you can improve dramatically in a short period of time – if you choose to do so.   You can use our unique Quick Sort program to sort for bulls with 4 and 5-star fly resistance.

People hate change!   Nowhere is this more prevalent than in agriculture.   It seems to take years for people in agriculture to make simple changes – even though they know the change will be for their own good.   I must confess that I too am reluctant to change.   I may not hate change as much as most people, but it still makes me uncomfortable.

I read a neat little Seth Godin book entitled Tribes.   In this book, Seth spends a considerable amount of time discussing the status quo and its fear of change.   He believes change is inevitable.   I don’t think anyone can argue with that.   Change is a normal and necessary part of life – and the sooner we embrace it, the better off we will be.

Seth says, “Change almost never fails because it was too early.   It almost always fails because it was too late.   By the time you realize your corner of the world is ready for change, it’s almost certainly too late.   It’s definitely not too early.”   Mr. Godin goes on to say, “There may be a small price to pay for being too early, but there will be a huge penalty for being too late.”

We use the term Herd Quitter to refer to people who have enough courage to break away from the status quo, herd-mentality way of thinking.   It is more about thinking for yourself than anything else.   Following the crowd (herd) and doing what everyone else is doing is never the best way to manage a business.   Dare to be a Herd Quitter.   Dare to enter the New Frontier in beef production.   Dare to make the necessary changes in your operation while you still have a choice in the matter.   The sooner, the better!

Quote Worth Re-Quoting –

“Change before you have to.” ~ Jack Welch

According to the USDA Research Center in Clay Center, Nebraska, the average Angus, Red Angus and Hereford cow in America weighs over 1,400 pounds.   WOW!   The status quo seedstock industry has successfully out-Simmentalled the Simmentals.   Unfortunately, as cow size has increased, profitability has decreased.   It doesn’t matter how big your cattle are if they’re not profitable.

Why are cows as big as they are?

For the past 50 years… the status quo beef industry has focused almost single-mindedly on increasing production per cow (weaning weight).   Although this has provided some bragging rights, it has been very detrimental to ranch profits.   As individual weaning weights increase, pounds and profit per acre decrease.   Average cow-calf producers of today are much less profitable than they were 50 years ago – and it continues to get worse.

Since big cows need to eat substantially more than smaller cows just to meet their maintenance requirements, producers have been forced to reduce stocking rates and/or to increase supplemental feeding.   With the cost of land and feed as high as they are, it is quickly becoming less and less profitable to own those big, high-maintenance cows.   Ask your banker if he thinks you should focus on bragging rights or on profit.

Since smaller cows need to eat less to meet their maintenance requirements and since they are able to wean a higher percentage of their own body weight, they will always produce more total pounds and more total profit than big cows – on the exact same acres.   To add insult to injury, there is growing evidence that smaller cows will actually wean bigger calves than big cows in a real-world, unpampered environment (see table below).

Notice… as cow size increases, weaning weights decrease.   This is the exact opposite of what most people would expect to happen.   After all, the reason everyone has big cows is to increase individual weaning weights.

So, what happened?  How can this be?

The big cows do NOT fit their environment!  Your ranch can only support so much growth, frame and milk.   Once you go beyond that point, you will have to provide expensive supplementation to meet the needs of your big, high-maintenance cows.   Without expensive supplementation, your weaning weights and your conception rates will suffer.   Maintenance requirements must be met before any weight gain or reproduction can take place.

It shouldn’t surprise you that most of the bulls being sold today were produced by high-maintenance, 5 to 7-frame cows that weigh 1400 to 1800 pounds.   These cows must be pampered to stay in production.   What size and type of replacement females will these bulls produce?   Like begets like!   If you are concerned about long-term profit, then thick, easy-fleshing, low-maintenance, 3 to 4-frame cows that weigh 1100 to 1250 pounds are plenty big enough (pictured below).

These 10-year-old Solar Cows are very feminine in appearance.   They are wedge-shaped – and they carry a tremendous amount of thickness and condition.   Even during a severe drought, with calves at side, they met their maintenance requirements and were able to store up energy in the form of fat.   They were ready to re-breed 30 days prior to our breeding season.

When you purchase something, you always hope you will get your money’s worth.   That, however, is often easier said than done, isn’t it?   When purchasing bulls, cost is always a factor – but it should not be the only factor.   First and foremost, you should consider the program behind the bulls.   Bulls that were produced in a program that aligns with your long-term goals are worth a whole lot more than bulls coming out of a program that does not align with your long-term goals.

It’s unfortunate, but most bull programs do not align with any commercial cow-calf operations.   Most bull programs are high-input operations with big, inefficient cows that require substantial pampering just to stay in production.   I just heard of an extremely high-input outfit that sold over 400 highly-overfed Diesel Bulls for an average price of $15,700.   Unbelieva-BULL!   Why would anyone pay so much for a bull that is guaranteed to fall apart?

Another very important factor in getting your money’s worth is the number of calves a bull will sire before he must be replaced.   It doesn’t take a genius to figure out that a bull that sires twice as many calves as the average bull is worth twice as much as the average bull.   After all, the reason you purchase bulls is to sire calves.

According to many university experts, you can only expect to get three years of use out of a high-maintenance, feedlot-developed Diesel Bull.   On average, I think that is too high.   Even with supplementation, most Diesel Bulls can service no more than 20 cows their first year and no more than 30 cows their second and third years – for a lifetime total of 80 calves.

It is not at all uncommon for low-maintenance PCC Solar Bulls that are developed without grain to provide at least six years of service.   In most cases, we are not afraid to turn our Solar Bulls out with 30+ females their first breeding season.   We expect our bulls to gain weight during their first breeding season – without being supplemented.   Our mature bulls can handle 50+ cows – for a lifetime total of at least 280 calves.

In this case… the PCC Solar Bull sired 200 more calves than the status quo Diesel Bull. If the Diesel Bull cost $6000, his cost per calf would be $75.   At $75 per calf, you could have paid as much as $21,000 for the PCC Solar Bull, and still be getting your money’s worth.   Since PCC Solar Bulls cost about the same as Diesel Bulls, you will always get MORE THAN YOUR MONEY’S WORTH with a PCC Solar Bull.

We have testimonies from many longtime PCC customers that can put the above comparison to shame.   I will share a few of them with you…

“Our first PCC bull was purchased in 2001.   We spent more than planned, but have never regretted it.   We used him until he was 13 years old.   On a per-calf basis, he was the cheapest bull we have ever purchased.” (Paul Landrigan — Nebraska)

“I just sold my first PCC bull at age 12.   He bred around 50 cows every year and always stayed in great shape.” (Dan Temaat — Kansas)

“The ability of your bulls to breed a large number of heifers in a short period of time has greatly improved my profitability.” (John Nino — California)

“I couldn’t agree with you more about PCC bulls being able to breed more cows for more years than other bulls.   I put my two PCC bulls out with 60 to 70 cows each — and they did great!” (Delvin LaDuke — North Dakota)

“We used our first PCC bull for ten years — and in that time he naturally sired over 1000 calves in spring and fall-calving herds.” (Garth Lloyd — Missouri)

“Your bulls have proved themselves so well that we have been able to reduce the total number of bulls we use by 17 bulls.” (Jim Espy — Wyoming)

I look in on a few internet discussion forums on a regular basis just to see what the status quo whiz kids are saying and thinking.   In late February, one forum started a discussion on “Fly Control.”   Really?   In February?   I can’t believe it! I usually don’t see much discussion on fly control until May and June – when it quickly becomes the hottest topic within the status quo beef industry.   Of course, several members of this forum shared their favorite “toxic chemical” solution to the problem.

Step 9 of the Ten Steps to Double Your Profits states: “Use genetics to fix problems – instead of spending money on chemical, technical and mechanical solutions that won’t last.   Parasite problems are a perfect example of this.”

Genetic parasite resistance is one of many areas in which Pharo Cattle Company has assumed the leadership position.   We have been evaluating and scoring the bulls we sell for fly resistance for 12 years.   The fall-born bulls in our upcoming Texas and Missouri bull sales were evaluated and scored for fly resistance last summer.   The spring-born bulls were not evaluated for fly resistance because there are no flies in January.

You can use our unique Quick Sort program to identify the bulls with the best genetic fly resistance.   In our Texas Bull Sale, for example, 45 out of 72 fall-born bulls have 4 and 5-star fly resistance.   That’s 63%! In our Missouri Bull Sale, 117 out of 151 fall-born bulls have 4 and 5-star fly resistance. That is an impressive 77%!

Most of our cowherds have gone two decades without any chemical treatments for parasites.   We have cooperative cowherds in a variety of environments from Minnesota to hot, humid, fescue country in Missouri and Mississippi and all the way to the high-plains desert.   We also have cooperative herds from the southern plains of Texas all the way to the northern plains of Montana and North Dakota.   NO ONE has as much bred-in parasite resistance as Pharo Cattle Company – because no one else has ever tried to select for genetic parasite resistance.

Throughout history, the most ambitious and adventurous of people have constantly yearned to leave old, overcrowded territories in search of new frontiers.   These are trailblazers, frontiersmen, pioneers and innovators.   They quickly tire of the status quo.   They are anxious to make things happen.

If you are paying attention, you will find old territories everywhere you look.   For example, when an industry stops being innovative, it reaches a point of stagnation and becomes an old, overcrowded territory.   Everyone in that industry is essentially doing the same thing – and has been doing the same thing for many years.   The productivity of that industry has peaked and is declining.   There is no room for advancement and no chance to get ahead.

Today’s status quo beef industry is a perfect example of an old, stagnant and overcrowded territory.   The status quo beef industry is a result of a time when land was unbelievably cheap – at least by today’s standards.   It is also a result of cheap feed and cheap fuel.   Labor was cheap – and equipment was cheap.   The status quo way of doing things made sense 50 years ago.   Unfortunately, that era is over – and it isn’t coming back.

For many reasons… it is becoming more and more difficult to make a decent living in the status quo beef industry.   Most cow-calf producers do good just to break even.   There are no chances for advancement.   Consequently, many family farms and ranches will not be passed on to the next generation.   That’s a tragedy – but that’s the way it has always been.   The only beef producers who will advance and prosper will be those who are not afraid to venture into new frontiers.

Entering the New Frontier in Beef Production is not as scary or as risky as most producers think it is.   Yes, it will be different and yes, it will require some change – but it is not totally uncharted territory.   Many PCC customers are already there.   They are two to four times more profitable than the average status quo producer.   They have substantially improved their lifestyle.   Consequently, they have an operation the next generation is excited to become involved in.

I came across an internet article late last week entitled, “Selecting Bulls to Meet Your Goals,” or something like that.   It wasn’t worth the time it took to open the link – but it did get me to thinking.   I suspect most cow-calf producers have no goals.   They are just doing what everyone else is doing and/or what they have always done.   If you don’t have goals, you have no direction in your life or business.

Do you have business goals?   I’m not talking about ideas or dreams you think about every now and then.   I’m talking about real goals.   If you have real goals, you are probably one in a thousand.   If you have real goals, you have a HUGE competitive advantage over everyone else in your business.   If you have real goals, you are creating your own future.   If you have real goals, you are also creating a future for the next generation.

A real goal must be Specific, Measurable, Attainable and Time-Sensitive.

1. Specific: Goals are no place to waffle.   This is no place to be vague.   Vague goals produce vague results.
2. Measurable: Always set goals that are measurable.   If they are not measurable, you will never know for sure when they have been achieved.   For example, don’t set a goal to “make more money.”
3. Attainable: Goals must be realistic and attainable.   Most people don’t set goals – so when they do, they tend to set goals that are too big to be easily attained.   This creates discouraging results.
4. Time-Sensitive: Every goal should have a timeframe attached to it.   A goal must have a deadline – a time in which you want to accomplish it.

I have achieved the best results when I break my big goals down into several (or many) smaller goals that can be easily attained in a relatively short period of time.   I liken my really big goals to an elephant that must be eaten.   There is no way I can eat an elephant in one sitting.   However, I will eventually eat the entire elephant – one bite at a time.

If you do not have any business goals, I encourage you to set some.   Start out by just setting one simple goal that should be easy to attain.   Do it today!   Someday is not a day of the week.   I cannot think of anything that will even come close to giving you a greater return on the time invested.   You will literally amaze yourself!

Let’s go back to the subject of bull selection…
Since the bulls you purchase are responsible for at least 90% of your herd improvement (or deterioration), it makes sense that bull selection can play an extremely important part in helping you meet your goals.   Are you purchasing bulls that will help you achieve your business goals?   Are you purchasing bulls that will increase your future success and happiness?   Are you purchasing bulls with the next generation in mind?

• Treat their cows tougher than you treat your cows?
• Refuse to make an excuse for a cow, or give a her a second chance?
• Develop bulls on forage — with nothing but starch-free supplements?
• Evaluate and score bulls for disposition?
• Evaluate and score bulls for fleshing ability, thickness, muscling, masculinity, overall rating, hair coat and fly resistance?
• Evaluate and score bulls for low maintenance, longevity and grass efficiency?
• Evaluate and score bulls for feet and leg conformation?
• Evaluate and score bulls for preputial prolapse problems?
• Provide an udder score for the bulls they sell?
• Provide a One-Year Guarantee on the bulls they sell?
• Guarantee bulls for calving ease?
• Guarantee bulls to be free from genetic defects?
• Control flies and other parasites with genetics — instead of chemicals?
• Invite customers to participate in bull evaluation days?
• Provide a Quick Sort program that takes the guesswork out of sorting bulls that meet your specific needs?
• Use an honest, low-pressure Cowboy Auction to sell bulls?
• Deliver bulls to over 60 delivery points across the nation?
• Make it possible for their customers to receive a $15/cwt premium on their calves?
• Provide an online discussion group with world-renowned industry experts for their customers?

If you want to produce the right kind of replacement females, you need to be using bulls that were produced by the right kind of momma cows.    Weights, ratios and EPDs serve a purpose, but they don’t tell the whole story.

Although most ranchers tell me they want to produce efficient 1100 to 1200-pound cows that can wean 50% of their own weight for many years without being pampered, they will usually confess to purchasing bulls from seedstock programs with high-maintenance cows that weigh 1400 to 2200 pounds.   These big cows must be pampered just to stay in production.   How is that gonna work?   It isn’t!

For the last 30+ years, Pharo Cattle Company has put a tremendous amount of pressure on their cows – requiring them to produce and reproduce with minimum inputs in many different environments.   This quickly forces the inefficient, the infertile and the unadapted cows out of our cowherds.   Our momma cows have proven their ability to increase pounds and profit per acre in every environment they have been placed in

Like Begets Like…   If you are serious about producing efficient, moderate-sized, easy-fleshing, low-maintenance replacement females, then I suggest you get serious about buying bulls that were produced by the right kind of momma cows.   Pharo Cattle Company has the genetics you will need to increase profitability – in good times and in not-so-good times.

While thumbing through a status quo beef publication, I came across an article about “average producers.”   The leadoff sentence said, “Being average in the cow-calf business means you are probably just breaking even.”   That got my attention, so I read on.

When you look at cow-calf producers across the nation, you will find producers with several thousand cows all the way down to producers with just 20 cows.   Nationwide, most cow-calf producers have small herds that are subsidized by off-farm income.   Their cow-calf programs were never designed to be profitable.   Therefore, most cow-calf producers never make a profit.

One might think you must be a big producer to be a profitable producer.   That’s not true! In a ten-year period, most of the biggest producers do good just to breakeven.   They will have some good years mixed in with some bad years.   For the most part, the good years have high calf prices, while the bad years have lower calf prices.   This is something the producer has no control over.

The two things that have the greatest effect on profitability are cost of production and stocking rate (pounds per acre).   Fortunately, these are also the two things the producer has the most control over.

Reducing cost of production is easier than most cow-calf producers think – but it will usually require a slight paradigm shift.   Most expenses are fossil fuel-based.   Real success in this business will take place when we transition from fossil fuel energy to free solar energy.   Winter feeding is usually the biggest expense.   With the right kind of cows and with proper grazing management, most winter feeding can be eliminated.   Working with nature will also lower cost of production.

Increasing stocking rate and pounds per acre will never take place until you stop focusing on increasing pounds per animal.   Status quo producers have been focused on the wrong thing for the past 50 years.   With the right size and type of cow, most cow-calf producers can increase stocking rate by at least 30 percent.   With proper grazing management, it is possible to increase stocking rate by another 50 to 200 percent.

Back to the article in the status quo magazine…

The article started taking a turn for the worse after the third paragraph.   One of the suggestions provided was to wean calves with above average weaning weights.   If the average weaning weight is 520 pounds, then the author suggested we strive to produce calves that weigh 550 pounds at weaning.   I wanted to SCREAM!   How can intelligent people get it so wrong?

What happens when you increase weaning weight?   Cow size and maintenance requirements increase.   Consequently, stocking rate decreases and the cost of production increases.   It does not matter how big your cattle are if they are not profitable!

The two things we have the most control over – cost of production and stocking rate – are also the two things that have the greatest effect on our profitability – or lack thereof.   I truly believe most ranchers can easily double their profits once they STOP focusing on the wrong things.