: An Integrated Curriculum
With Impact Across Four States
C. Bastian, L. Anderson, T. Daniels, G. Gordon
D. Griffith, S. Hadrick, V. Hayman, J. Hewlett,
B. Taylor, R. R. Weigel
2005 National Extension Risk Management
Education Conference
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Introduction
 Financial
stress creates family stress
 Survey conducted in Wyoming and
Colorado found risk management to be
an important topic for producers
 Human risk element and dealing with
family members ranked very high
relative to traditional ag econ topics
 How best to have educational impact?
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Past Research
 Little
published research on impact of
risk management educational programs
regarding producer behavior and
knowledge levels.
 Integrated educational programs
offered in short sessions coupled with
hands-on application between sessions
improves educational impact.
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Objectives
 Develop,
present and evaluate series of
educational programs to producers
focusing on an integrated approach to
risk management, business, personal
finance and human relations
 Introduce producers to computer
programs they use in class and at home
between sessions and beyond.
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Program Timeline &
Implementation

Early November Wyoming team conducts
train-the-trainer session
 Educators from WY, MT,
SD, and ND participate
 Educators from respective
states conduct programs during
winter/spring
 Follow-up evaluation mailed early June using
Dillman design
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Program Components
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RightRisk
Family Financial Management
Can I Survive in Ag?
Rural Family Business
2-3 hour in-class and hands
on sessions
Homework assignments between
sessions to keep producers engaged
Funded by 4-state grant (WY, MT, SD,
ND)
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Family Finances

Managing family finances; Power paying your
way out of debt; Basics of estate planning
 Educational objectives:
- Increase awareness of family financial risks
- Learn characteristics of financial literacy
- Assessment of financial stability
- Evaluation and planning to handle debt
- Understand basic concepts of estate planning
- Increase awareness of resource alternatives
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http://www.uwyo.edu/CES/FRM/
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Risks in the Family
Business

Family business risks; Family case activity;
Family business model; Family business
balance; Activity of family climate, family
business role, or written policies
 Educational Objectives:
- Increase awareness of family business risks
- Increase knowledge of risk mitigation
alternatives
- Assessing family business balance
- Increase awareness of available resources
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http://eRuralFamilies.org
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RightRisk

Computerized ranch/farm simulation allowing
hands on risk management decision making
(production & market risks)
 Educational objectives:
- Increased knowledge of sources of risk
- Increased knowledge of integrating risk
management into operation
- Increased awareness of potential risk
management alternatives
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http://RightRisk.org
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Surviving in Ag

Presentation and interactive spreadsheet of
case ranch and major financial statements
 Educational objectives:
- Gain understanding of the need for business
financial performance analysis
- Gain basic understanding of the interaction
of financial statements
- Gain understanding of interaction/impact the
family has on the business
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Participation &
Evaluation
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Registration fee
Increased chance to win savings bond for
each session attended
Certificates of completion
Pre & Post Program surveys; Pre & Post
surveys for each session; Three-month
follow-up survey
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Results

General Pre & Post Surveys:
- Producers view risk management to be more
important to their operation after going to
educational sessions
- Increased optimism about future
- Increased knowledge of production,
marketing, legal, and human risk and
mitigation alternatives
- Increased desire to re-evaluate their risk
management plans
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Results (cont.)

RightRisk Pre & Post:
- Production, market and financial areas
significant sources of risk
- Assessing levels of risk important in
developing risk management plan
 Family Finance Pre & Post:
- Importance of family involvement in decision
making
- Importance of goal setting and planning for
successful family financial management
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Results (cont.)

Surviving in Ag Pre & Post:
- Shift in answer regarding what constitutes
financial performance – from cash flow to
positive net income
- Increase in desire to prepare financial
statements and do financial analysis
 Family Business Risk Pre & Post:
- Increased knowledge of how four systems of
family work together to create successful
business
- Family business works best when individual,
family, business and community working in
balance
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Results (cont.)
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Follow-up Survey:
- 26 of 40 producers responded to follow-up
survey
- Had evaluated risks in operation and risk
management plan
- Investigating alternatives to reduce
production and market risk
- Evaluated family financial risk
- Evaluated ways to reduce family business
risks
- Top priorities include assessing family
balance and improving communication about
business risks
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Conclusions
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Results indicate producers were
implementing what they had learned.
Integration of traditional ag econ risk
management with family business issues
and relationships makes this program
somewhat unique
Educational format seems to have
worked relatively well
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http://agecon.uwyo.edu/RiskMgtForAgFamilies