What can ranch/farm families
do to improve their chances
of continuing as a family
business for generations?
Lorne Owen
Ministry of Agriculture & Food
British Columbia, Canada
Key Concepts to UNDERSTANDING…
Understanding goal setting in the CONTEXT
of the ranch/farm family business
Understanding the VALUES that guide goalsetting in the ranch/farm family business
Understanding the RESOURCES that enable
goal-setting in the ranch/farm family business
Understanding DECISION-MAKING that leads
to successful goal-setting in the ranch/farm
family business
“The absence of communication
is NOT an option”.
Communication is the KEY to all
successful family ranch/farm
activity!
The family business requires a
team approach and if you are
serious about keeping the
operation going, making it a
family affair, making
improvements and having plans
to deal with important issues,
you must develop and maintain
effective, respectful team
interaction.
Family decision making process
Understand
The
Context
Clarify
Values/Goals
ACT
Communicate
Decide
How
To
Decide
Identify and
Manage
Resources
Sean Brotherson, NDSU Extension Family Science Specialist
Ranch/Farm Family
System
Economic
Family
Social
Personal
VALUES
Values form the base upon
which the family farm/ranch
is built. Values are the guideposts expressed by team
members that direct their
activities as a unit and with
each other as a team.
Techniques For Generating a
Family History
* Storytelling
* Family Business Time-Line
* Use of Genograms
Management Values of
Farmers & Ranchers
•Dedicated Producer
•Flexible Strategist
•Resource Steward
“What do each of us value in
terms of”:
* Teamwork
* Power
* Recognition
* Family
* Money
* Size of Operation
* Amount of Work
* Recreation
Personal Goals
The personal goals of family
members may be the single
most important factor
influencing the direction that
the business takes.
Family decision making process
Understand
The
Context
Clarify
Values/Goals
ACT
Communicate
Decide
How
To
Decide
Identify and
Manage
Resources
Ranch/Farm Operational
Resources
* Basic
* Human
* Financial
* Livestock
* Wildlife
Family Resources
Successful businesses are
built by strong teams,
comprised of members with
complimentary skills.
Personal Resources
Personality
Creativity
Stress Management
Communication
Cooperation
Negotiation
Four Types of Decision-making
* Autocratic
* Majority
* Unanimous
* Consensus
Family decision making process
Understand
The
Context
Clarify
Values/Goals
ACT
Communicate
Decide
How
To
Decide
Identify and
Manage
Resources
A Will to Succeed:
A powerful desire to overcome obstacles is
the impetus to survive and prosper in family
farming/ ranching. Many farm or ranch
difficulties can be linked to a lack of will.
Without an internal conviction to make a
best effort, any business venture takes a
progressive decline. With a will comes no
guarantee of success. But an absence of
commitment is a near 100% indicator of
eventual failure.
Peter Reese, Successful Farming, June, 2002