Innovations for the Future: Identifying and Leveraging Efficiency in Beef Cattle Production Systems

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1 Innovations for the Future: Identifying and Leveraging Efficiency in Beef Cattle Production Systems Evan Whitley Center for Advanced Agricultural Systems and Technology The Samuel Roberts Noble Foundation

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4 What is Efficiency?

5 Real World Examples Earned Run Average= # of EARNED runs allowed per nine innings Earned runs Innings pitched X ERA Who do you want on your team? 9.7 ERA

6 32.4 MPG Real World Examples Miles per Gallon= Distance traveled in a vehicle powered by one gallon of fuel Distance (miles) Consumed Fuel (gallons) What automobile to buy? 18.7 MPG

7 29.38% ROE Real World Examples Return on Equity = Efficiency (RoR) of a firm at generating profits from shareholder equity Net Income ($) Shareholder Equity ($) APPLE (AAPL) 37.89% ROE What company to invest in? MICROSOFT (MSFT)

8 What about the BEEF Industry? Which AUE is more EFFICIENT?

9 Why is it Important? Operational Industry Societal

10 Importance to Individual Operations Feed costs make up between 30%-50% of total costs for cow/calf operations (USDA ) and 75% of the total cost of beef production (Basarab et al., 2002)

11 Importance to the Beef Industry $ Per Cwt. 190 SLAUGHTER STEER PRICES Southern Plains, Weekly JAN APR JUL OCT Avg Data Source: USDA-AMS Livestock Marketing Information Center C-P-52 10/18/16

12 Importance to Society as a Whole

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14 What about the BEEF Industry? Which AUE is more EFFICIENT?

15 Measuring Efficiency Maintenance Efficiency Production Efficiency

16 Maintenance Efficiency Primary relevance is to the cow-herd Targets females that can subsist on lowinputs and wean an acceptable calf

17 Production Efficiency Primary relevance is to post-weaning growth (i.e. finishing phase) Targets animals that consume less feed and produce maximum output (i.e. beef)

18 Traditional Methods of Measurement Feed to Gain (F:G)- Simply the amount of feed consumed (%DM) to result in one pound of weight gain. Ex. 6:1 (Lower value is better) Gain to Feed (G:F)- Simply the amount of weight gain achieved per unit of feed consumed (% DM). Ex..17 (Higher value is better)

19 Competing for Market Share Beef 6:1 Pork 3.4:1 Chicken 2:1 Fish 1.2:1

20 Traditional Methods of Measuring Feed Intake Metabolism Crate

21 Traditional Methods of Measuring Feed Intake PinPointer System

22 Traditional Methods of Measuring Feed Intake Calan Gate System

23 Newer Methods of Measuring Feed Intake Smart Feed Intake System

24 Methods of Measuring Animal Weight Stationary/Portable Chutes

25 Methods of Measuring Animal Weight Platform Scales

26 Methods of Measuring Animal Weight Walk-Over Scales

27 Efficiency w/out Weight Residual Feed Intake (RFI): is the difference between an individual animals actual feed intake and its predicted (Nem & Neg req.) intake compared to contemporaries. 30 Actual intake (lb) Animal #1 Actual = 25.3 lbs. Predicted = 22.4 Difference = +2.9 Animal #2 Actual = 18.7 lbs. Predicted = 22.9 Difference = Predicted intake (lb)

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29 Efficiency w/out Intake Residual Average Daily Gain (R-ADG): is the difference between an individual animals actual weight gain and its predicted (Nem & Neg req., flesh) weight gain compared to contemporaries.

30 Summary Points Traditional metrics (F:G & G:F) are relatively easily and most commonly applied to pens or groups. Common methods to ascertain individual efficiency are: Very Labor intensive and expensive Lack socialization and normal behavior expression Requires training animals to utilize Newer methods are promising but still need more discussion RFI vs R-ADG or maybe both Index vs. actual value Counter intuitive (RFI) Selecting for GROWTH may not be the same as selecting for EFFICIENCY A 1% improvement in feed efficiency has the same economic impact as a 3% increase in rate of gain (Weaber, 2012).

31 Lloyd Noble

32 The land must continue to provide for our food, clothing and shelter, long after the oil is gone - Lloyd Noble

33 Agriculture Plant Biology Forage Improvement

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35 GrowSafe Platform

36 1 load cell = 88,473,600 samples each day Midland = 98 load cells Unprocessed data GrowSafe Processor Code Compresses to 86,400 samples each day Logged data GrowSafe Data Acquisition Software Processes to ~500 data points/day User raw data GrowSafe Server Software Analyses collected data Distills to recommendation Replace part Look at animal #035

37 What makes the System GO!

38 GrowSafe Types/Units Pen Phase GrowSafe Intake GrowSafe Beef

39 Diagnostic Management Tool Marketing

40 Research Tool water intake vs. heat index

41 Research Tool feed intake vs. heat index

42 Research Tool Chute BW vs. GSB BW

43 GrowSafe Types/Units Pasture Phase

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45 Daily BW on Pasture Early Phase 1 - Oswalt Late Phase 2 - RR Phase 3 Oswalt Phase 4 - Decatur /17/ /17/2012 1/16/2013 2/15/2013 3/17/2013 4/16/2013 5/16/2013 6/15/2013 Weight (kg) 7/15/2013 8/14/2013 9/13/ /13/2013? Date

46 Daily BW on Pasture Potential Early Phase 1 - Oswalt Late Phase 2 - RR Phase 3 Oswalt Phase 4 - Decatur /17/ /17/2012 1/16/2013 2/15/2013 3/17/2013 4/16/2013 5/16/2013 6/15/2013 7/15/2013 8/14/2013 9/13/ /13/2013 Weight (kg) Low RFI Avg RFI Date

47 Forage Mass & Quality

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49 GrowSafe Types/Units Portable Mineral

50 NF Oswalt Ranch 541 acres 61 head 763 acres 86 head

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52 Attendance at GrowSafe Mineral Units ( ) (40 days) # Head Total Turn Out= 147 hd. Total Attendance= 137 hd. (93.2%) 67.3% (99 hd.) ~ every 7 days 18.4% (27 hd.) ~ every 3 days Observations (# Wts. Taken)

53 Mineral Intake Summary Pasture Number 5 Pasture 6 of Animal Visits Mineral Consumed per Day Pasture 5 Pasture 6 35 Individual EIDs Seen /16/2015 5/18/2015 5/20/2015 5/22/2015 5/24/2015 5/26/2015 5/28/2015 5/30/2015 6/1/2015 6/3/2015 6/5/2015 6/7/2015 6/9/2015 6/11/2015 6/13/2015 6/15/2015 6/17/2015 6/19/2015 6/21/2015 6/23/2015 6/25/2015 6/27/2015 6/29/2015 Mineral Consumed (g)

54 Next Steps/Interests Continue to pursue Weight Response by Forage Management Strategy Individual weight response to supplement on summer perennial pasture (BG) Market Optimization algorithms development Predictive Break-evens Preconditioning Stocker operators Heat watch estrus as compared to GSB behavior data RFI s impact on production efficiency (concentrate vs forage) Creep feeding strategies that work

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57 As I look around at the strides that have been made in our research laboratories, as I look at the things undreamed of a few years ago the only degree to which we have reached the end of the road of opportunity is the degree to which we have exhausted the imaginative capacity of the human mind. - Lloyd Noble Jan. 22, 1948

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