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Article
Publication date: 11 May 2010

Assessing the potential value for an automated dairy cattle body condition scoring system through stochastic simulation

J.M. Bewley, Boehlje, A.W. Gray, H. Hogeveen, S.J. Kenyon, S.D. Eicher and M.M. Schutz

Automated body condition scoring (BCS) through extraction of information from digital images has been demonstrated to be feasible; and commercial technologies are being…

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Abstract

Purpose

Automated body condition scoring (BCS) through extraction of information from digital images has been demonstrated to be feasible; and commercial technologies are being developed. The primary objective of this research was to identify the factors that influence the potential profitability of investing in an automated BCS system.

Design/methodology/approach

An expert opinion survey was conducted to provide estimates for potential improvements associated with technology adoption. A stochastic simulation model of a dairy system, designed to assist dairy producers with investment decisions for precision dairy farming technologies was utilized to perform a net present value (NPV) analysis. Benefits of technology adoption were estimated through assessment of the impact of BCS on the incidence of ketosis, milk fever, and metritis, conception rate at first service, and energy efficiency.

Findings

Improvements in reproductive performance had the largest influence on revenues followed by energy efficiency and then by disease reduction. The impact of disease reduction was less than anticipated because the ideal BCS indicated by experts resulted in a simulated increase in the proportion of cows with BCS at calving 3.50. The estimates for disease risks and conception rates, obtained from literature, however, suggested that this increase would result in increased disease incidence. Stochastic variables that had the most influence on NPV were: variable cost increases after technology adoption; the odds ratios for ketosis and milk fever incidence and conception rates at first service associated with varying BCS ranges; uncertainty of the impact of ketosis, milk fever, and metritis on days open, unrealized milk, veterinary costs, labor, and discarded milk; and the change in the percentage of cows with BCS at calving 3.25 before and after technology adoption. The deterministic inputs impacting NPV were herd size, management level, and level of milk production. Investment in this technology may be profitable but results were very herd‐specific. A simulation modeling a deterministic 25 percent decrease in the percentage of cows with BCS at calving ≤3.25 demonstrated a positive NPV in 86.6 percent of 1,000 iterations.

Originality/value

This investment decision can be analyzed with input of herd‐specific values using this model.

Details

Agricultural Finance Review, vol. 70 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/00021461011042675
ISSN: 0002-1466

Keywords

  • Body condition scoring
  • Investment analysis
  • Investment appraisal
  • Net present value
  • Stochastic modelling

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Article
Publication date: 31 December 2002

Optimal investment in an automatic milking system: an application of real options

Jeffrey Hyde, Jeffrey R. Stokes and Phoebe D. Engel

Automatic milking systems (AMSs) are a relatively new technology characterized by uncertainty and irreversibility. The choice to invest in such a system is analyzed in a…

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Abstract

Automatic milking systems (AMSs) are a relatively new technology characterized by uncertainty and irreversibility. The choice to invest in such a system is analyzed in a real options framework. Alternative financing arrangements, depreciation methods, and other factors are investigated to determine their influence on the optimal investment decision. The results suggest that farm capital structure, loan term, and depreciation method have little impact on the investment decision. The primary determinant in the AMS technology adoption decision appears to be whether the AMS will last longer than the existing parlor.

Details

Agricultural Finance Review, vol. 63 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/00215010380001142
ISSN: 0002-1466

Keywords

  • Automatic milking system
  • Investment
  • Real option
  • Robotic milker

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Article
Publication date: 11 May 2010

Stochastic simulation using @Risk for dairy business investment decisions

J.M. Bewley, Boehlje, A.W. Gray, H. Hogeveen, S.J. Kenyon, S.D. Eicher and M.M. Schutz

The purpose of this paper is to develop a dynamic, stochastic, mechanistic simulation model of a dairy business to evaluate the cost and benefit streams coinciding with…

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Abstract

Purpose

The purpose of this paper is to develop a dynamic, stochastic, mechanistic simulation model of a dairy business to evaluate the cost and benefit streams coinciding with technology investments. The model was constructed to embody the biological and economical complexities of a dairy farm system within a partial budgeting framework. A primary objective was to establish a flexible, user‐friendly, farm‐specific, decision‐making tool for dairy producers or their advisers and technology manufacturers.

Design/methodology/approach

The basic deterministic model was created in Microsoft Excel (Microsoft, Seattle, Washington). The @Risk add‐in (Palisade Corporation, Ithaca, New York) for Excel was employed to account for the stochastic nature of key variables within a Monte Carlo simulation. Net present value was the primary metric used to assess the economic profitability of investments. The model was composed of a series of modules, which synergistically provide the necessary inputs for profitability analysis. Estimates of biological relationships within the model were obtained from the literature in an attempt to represent an average or typical US dairy. Technology benefits were appraised from the resulting impact on disease incidence, disease impact, and reproductive performance. In this paper, the model structure and methodology were described in detail.

Findings

Examples of the utility of examining the influence of stochastic input and output prices on the costs of culling, days open, and disease were examined. Each of these parameters was highly sensitive to stochastic prices and deterministic inputs.

Originality/value

Decision support tools, such as this one, that are designed to investigate dairy business decisions may benefit dairy producers.

Details

Agricultural Finance Review, vol. 70 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/00021461011042666
ISSN: 0002-1466

Keywords

  • Investment appraisal
  • Net present value
  • Agriculture
  • Stochastic processes
  • Modelling

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Article
Publication date: 1 January 2014

Private food standard certification: analysis of the BRC standard in Italian agri-food

Roberta Spadoni, Pamela Lombardi, Maurizio Canavari and Martin Hingley

The aim of this paper is to assess the applicability and impact of private food standards – specifically that of the BRC (British Retail Consortium) – in a European…

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Abstract

Purpose

The aim of this paper is to assess the applicability and impact of private food standards – specifically that of the BRC (British Retail Consortium) – in a European country context, and to classify food companies into groups on the basis of their different perceptions regarding the Global Standard for Food safety impacts.

Design/methodology/approach

The research is developed in two stages: a qualitative investigation based on in-depth interviews with quality managers (QMs); a quantitative investigation with a structured questionnaire: with response from 192 food processors in Italy, selected through a probabilistic random sampling method. Data were elaborated with descriptive statistical techniques and subsequently with multivariate analysis (factor and cluster analysis).

Findings

QMs agree with most of the assumptions with regard to the impact elements of the BRC food standard. Some characteristics, such as geographic location, size, and type of processing and adoption of ISO 9001, seem to elicit different perceptions between the companies. Through factor analysis, eight factors were extracted; and subsequently, through cluster analysis applied to the factors, five different groups of companies are identified.

Practical implications

The adoption of private food standards is both useful and comprehensible for food operators. However, BRC is a minimum standard and a base level for food suppliers; it cannot wholly substitute a specific retailer's dedicated second-party audit. Findings could be used by the subjects of the certification process to determine ideal marketing strategies.

Originality/value

This paper provides a statistically significant description of the impact of private food standards (via the important BRC standard) in one of the most important European markets.

Details

British Food Journal, vol. 116 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/BFJ-08-2012-0201
ISSN: 0007-070X

Keywords

  • Cluster analysis
  • Factor analysis
  • BRC food impacts
  • Certification
  • Private food standards

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Article
Publication date: 9 March 2015

Halal supply chain critical success factors: a literature review

Mohamed Syazwan Ab Talib, Abu Bakar Abdul Hamid and Mohd Hafiz Zulfakar

The aim of this study is to discover the critical success factors (CSFs) for the Halal supply chain management because this area is gaining recognition. Plus, the aim is…

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Abstract

Purpose

The aim of this study is to discover the critical success factors (CSFs) for the Halal supply chain management because this area is gaining recognition. Plus, the aim is to use the CSFs for future research.

Design/methodology/approach

The study is based on the application of CSFs on the Halal supply chain. A comprehensive literature review is undertaken to discover the CSFs of conventional supply chain and to apply it to the Halal supply chain.

Findings

Government support, transportation planning, information technology, human resource management, collaborative relationship, Halal certification and Halal traceability are the CSFs for the Halal supply chain.

Research limitations/implications

This study only discusses the CSFs related to the Halal supply chain and ignoring other forms of Halal businesses. This study only concerns on English literatures and omit other languages. The study lacks empirical evidence and future research should be done to test the CSFs relevancy.

Practical implications

This study addresses stakeholders of the Halal supply chain CSFs, which have not been fully understand and appreciated.

Originality/value

CSFs concept has never been attempted on the Halal supply chain. Therefore, this study appraises the concept of CSFs and adds value to the knowledge on the Halal supply chain.

Details

Journal of Islamic Marketing, vol. 6 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/JIMA-07-2013-0049
ISSN: 1759-0833

Keywords

  • Critical success factors
  • Literature review
  • Supply chain management
  • Halal logistics
  • Halal
  • Halal supply chain management

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Article
Publication date: 2 September 2014

Perspectives on food traceability: a systematic literature review

Henrik Ringsberg

This paper aims to increase our understanding of perspectives on food traceability in four supply chain risk management (SCRM) approaches to ensure food safety. The…

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Abstract

Purpose

This paper aims to increase our understanding of perspectives on food traceability in four supply chain risk management (SCRM) approaches to ensure food safety. The occurrence of food safety failures has led to increased attention on food traceability as a means of identifying the causes of deficiencies in supply chains.

Design/methodology/approach

This paper presents a literature review and synthesizes the broader domain of food traceability by analyzing perspectives based on SCRM approaches. In all, 129 published papers were selected and evaluated using content analysis.

Findings

A framework of SCRM approaches on food traceability is presented. Eight perspectives on food traceability are identified and grouped according to four SCRM approaches: food supply chain complexity and unique identification of goods (logistics management); transparency and interoperability (information management); in-house production and outsourcing (production management); and food quality and safety requirements and the monitoring of food characteristics (quality management).

Research limitations/implications

The findings provide an in-depth understanding and research suggestions for the management of traceability to ensure food safety in food supply chains. Conclusions are drawn from secondary sources, thus excluding empirical evaluation.

Practical implications

The implementation of food traceability can result in changes to existing management systems. This paper addresses the perspectives and management challenges that can influence the implication of food traceability to ensure food safety.

Originality/value

Perspectives on food traceability according to SCRM approaches are presented. Food traceability is analyzed using the philosophy of scientific framework and suggestions for further research are offered.

Details

Supply Chain Management: An International Journal, vol. 19 no. 5/6
Type: Research Article
DOI: https://doi.org/10.1108/SCM-01-2014-0026
ISSN: 1359-8546

Keywords

  • Food
  • Supply chain risk management
  • Traceability
  • Tracking
  • Incommensurability

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Article
Publication date: 6 March 2017

Technical efficiency in dairy farms: Research framework, literature classification and research agenda

Taciana Mareth, Antônio Márcio Tavares Thomé, Luiz Felipe Scavarda and Fernando Luiz Cyrino Oliveira

This systematic literature review integrates the findings of existing studies regarding technical efficiency (TE) in dairy farms. The purpose of this paper is to offer a…

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Abstract

Purpose

This systematic literature review integrates the findings of existing studies regarding technical efficiency (TE) in dairy farms. The purpose of this paper is to offer a research framework that assembles TE descriptors, a classification of previous literature that provides the basis for the synthesis and research agenda.

Design/methodology/approach

This paper systematically reviews 86 survey research studies using rigorous and reproducible procedures. The review is applied to published survey research.

Findings

The framework relates context, inputs, outputs and metrics of TE. There is no agreement among the authors on the context and determinants of TE. The main determinants of TE are geographical location, farm size, investments in veterinary care, feeding and milking practice, TE model estimation techniques, public policy, and management-related variables. This paper offers ten propositions for future research on the controversial results on the determinants of TE. The authors also explore the reasons for the discrepant results based on the Debreu-Farrell’s definition of TE, the contingency theory and the resource-based view of the firm, elucidating the literature and serving as a basis for future investigation. Implications for dairy farmers and researchers close the review.

Originality/value

Meta-analysis and meta-regression studies were long at the forefront of reviews in the TE of dairy farms. This paper offers a novel qualitative research synthesis with frameworks and the classification of previous literature and a research agenda, which provides a new and different perspective for analysis, by innovating over the available quantitative procedures to combine statistical results.

Details

International Journal of Productivity and Performance Management, vol. 66 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/IJPPM-09-2015-0131
ISSN: 1741-0401

Keywords

  • Literature review
  • Measurement technique
  • Milk production

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Article
Publication date: 7 March 2016

Systematic review and meta-regression analysis of technical efficiency in dairy farms

Taciana Mareth, Antonio Marcio Tavares Thomé, Fernando Luiz Cyrino Oliveira and Luiz Felipe Scavarda

The purpose of this paper is to complement and extend previous literature reviews on Technical Efficiency (TE) in dairy farms, analysing the effects of different…

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Abstract

Purpose

The purpose of this paper is to complement and extend previous literature reviews on Technical Efficiency (TE) in dairy farms, analysing the effects of different methodologies and study-specific characteristics on Mean TE (MTE).

Design/methodology/approach

The researchers independently conducted a systematic review of more than 400 abstracts and 85 full-text papers. Original keywords were applied to seven key electronic databases. Results from a meta-regression analysis of 85 published papers totalling 443 TE distributions in dairy farms worldwide are discussed.

Findings

The variation in the MTE indexes reported in the literature can be explained by the methodology of estimations (method of estimation, functional form of frontier models, model dimensionality), the farms geographical location and farm size. Additionally, the results suggest that, given the state of technology prevailing in each country at the time that the studies on TE were conducted, dairy farmers in the sample could increase milk output by 20.9 per cent (level of inefficiency), on average, if they produce on their frontiers.

Originality/value

This study makes two important contributions: first, it updates and compares previous works on frontier estimation of TE in dairy farms; and second, it adds two dimensions of dairy farms, size (herd and land area) and economic development, to the known differentials of TE measurement.

Details

International Journal of Productivity and Performance Management, vol. 65 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/IJPPM-02-2015-0027
ISSN: 1741-0401

Keywords

  • Dairy farms
  • Frontier models
  • Meta-regression
  • Technical efficiency

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Article
Publication date: 2 October 2017

The impacts and visions of the green fertilizer technologies (GFT): Adoption behaviour among Malaysian paddy farmers

Nadia Adnan, Shahrina Md Nordin, Imran Rahman and Amir Noor

With the increased stress on sustainability and food security, in addition, the need towards halting environmental deprivation has focused attention on green fertilizer…

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Abstract

Purpose

With the increased stress on sustainability and food security, in addition, the need towards halting environmental deprivation has focused attention on green fertilizer technology (GFT), which is the means of improving the situation causing the rising environmental concern. It also gives efficient use of farm resources which can help to protect crops. Moreover, the adoption of GFT is one aspect to answer the problem in regards to the sustainable environment. In the year 1980, an initiative took place to simplify the adoption decision in the developing countries. Regardless of the low adoption rate elsewhere, comparable exertions in the current year have originated in developing countries. Accepting those primary factors that influence the adoption of GFT is very important. The paper aims to discuss these issues.

Design/methodology/approach

This study re-examines these factors and draws policy implications from that review for future actions. This research study re-examines them, based on other studies examining the inadequate adoption of GFT in developing countries, by generalising their conclusions to clarify why farmers have or have not made the decision to adopt GFT. The ability to address that awareness enables the theory of planned behaviour (TPB) model to predict the farmer’s intention of acceptability of the GFT. By following a socio-psychological approach, by using TPB, the researchers have found out the paddy farmers’ adoption decision towards GFT. The researchers later discuss the implications for promoting the adoption of GFT, which delivers suggestions for the upcoming research study.

Findings

The idea of this research study is to seek farmers’ understanding about environmental attitudes in connection with conservation behaviour. The overall aim of this paper is to conceptualise the framework created by amending the environmental concern amongst paddy farmers towards GFT.

Originality/value

This research study will allow more academic consideration and may direct future research on the empirical findings on the environmental concern through the proposed conceptual framework amongst paddy farmers in Malaysia.

Details

World Journal of Science, Technology and Sustainable Development, vol. 14 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/WJSTSD-08-2016-0053
ISSN: 2042-5945

Keywords

  • Adoption
  • Consumer behaviour
  • Intention
  • Environmental concern
  • TPB
  • GFT
  • Personal norm

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Article
Publication date: 1 September 2020

Successor selection in family business using theory of planned behaviour and cognitive dimension of social capital theory: evidence from Ghana

Mengyun Wu, Martha Coleman, Abdul Rashid Abdul Rahaman and Bless Kofi Edziah

Succession of family enterprises has been an issue of concern to a number of researchers, and extensive studies have been conducted on this. Transfer of family business…

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Abstract

Purpose

Succession of family enterprises has been an issue of concern to a number of researchers, and extensive studies have been conducted on this. Transfer of family business from one generation to next has resulted in collapse of most family business in both developed and developing economies. This study looked at succession in family enterprise in Ghana using theory of planned behaviour (Ajzen, 1991) and cognitive dimension of social capital theory to know the intention of founder/incumbent to hand over the family business to an internal successor.

Design/methodology/approach

Our target population for this study is family businesses run in Ghana, Western region. Ghana is not having statistical database on family businesses; therefore, the study relied on the database of registered SMEs which was gotten from Registrar General's Department, Ghana. This is the government department that is in charge of registering business in Ghana. A sample of 596 was used and received a response rate of 60%. The study used structural equation model to find out how the variables correlate to discover the intention of the founder/successor on internal succession.

Findings

It was discovered that intention of founder/incumbent to hand over to an internal successor is predominantly determined by attitude, subjective norm, perceived behavioural control and cognitive dimension of the social capital. Trust does not influence the intention of founder/incumbent but attitude; this rejects the findings of most researchers.

Research limitations/implications

Most family enterprises were not registered, which made it difficult to reach out to all family businesses. This limited the authors approach to only the registered family enterprises.

Practical implications

Family firms are the backbone of any economy, which comprise mostly of SMEs. Therefore, the understanding of succession by incumbents/founders as well as policymakers enhances firms' value and continuity.

Originality/value

The study was conducted in Africa, Ghana in particular, owing to the limited studies in this region.

Details

Journal of Small Business and Enterprise Development, vol. 27 no. 6
Type: Research Article
DOI: https://doi.org/10.1108/JSBED-05-2019-0152
ISSN: 1462-6004

Keywords

  • Intention
  • Cognitive dimension
  • Family business
  • Succession
  • Theory of planned behaviour
  • Trust

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