Does technology pay for itself? Henk Hogeveen, Wilma Steeneveld, Mariska vd Voort and Claudia Kamphuis

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1 Does technology pay for itself? Henk Hogeveen, Wilma Steeneveld, Mariska vd Voort and Claudia Kamphuis

2 What can you expect from me A little history and overview Success factors for precision technology Adoption of sensor systems Effects of mastitis detection systems Effects of estrus detection systems Wrap up

3 Initiated by cow identification systems in 1970s Recording of individual milk yield Allocating feed/concentrates to individual cows

4 Boosted by development of automatic milking systems in 1980s

5 Automatic milking systems are marketed since main brands

6 Boosted by development of automatic milking systems in 1990s 1992 first commercial farm in NL (Bottema, 1992) >10,000 farms globally (Rodenburg, 2013) 3,615 (19.5%) Dutch farms (Stichting KOM, 2015)

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10 Sensor development was boosted by Automatic milking Replacement of human senses

11 And further pushed by other factors Government Mom, where does the milk come from? Increasing herd seize From the factory, honey Society

12 There are A LOT of sensor technologies 12

13 Electrical Conductivity Cheap technology Low in maintenance costs Udder or quarter level In-line handheld Most used to detect abnormal milk or mastitis Limited performance for mastitis detection (Rutten et al., 2013)

14 Other (more sophisticated and expensive) sensor technologies were introduced to monitor cow health and productivity Udder Health - Electrical Conductivity - Milk yield - Somatic Cell Count - (Milk) Temperature - Colour

15 Other (more sophisticated and expensive) sensor technologies were introduced to monitor cow health and productivity Udder Health - Electrical Conductivity - Milk yield - Somatic Cell Count - (Milk) Temperature - Colour Milk Composition - Milk yield - Fat and protein content - Lactose content - Somatic cell count

16 Other (more sophisticated and expensive) sensor technologies were introduced to monitor cow health and productivity Fertility - Progesterone - Activity - Rumination Milk Composition - Milk yield - Fat and protein content - Lactose content - Somatic cell count

17 Other (more sophisticated and expensive) sensor technologies were introduced to monitor cow health and productivity Fertility - Progesterone - Activity - Rumination Cow Composition - Weight - Body Condition Score

18 Other (more sophisticated and expensive) sensor technologies were introduced to monitor cow health and productivity Metabolic disorders - Activity - Rumination - Milk yield - SCC - ph Cow Composition - Weight - Body Condition Score

19 Other (more sophisticated and expensive) sensor technologies were introduced to monitor cow health and productivity Metabolic disorders - Activity - Rumination - Milk yield - SCC - ph Cow Mobility - Weight - Activity - Rumination - Milk yield

20 There is A LOT of potential Improved health, welfare Increase productivity Increased efficiency Improved product quality Objective monitoring Improved social lifestyle..

21 What can you expect from me A little history and overview Success factors for precision technology Adoption of sensor systems Effects of mastitis detection systems Effects of estrus detection systems Wrap up

22 Success factors System specifications Cost efficiency Non-economic factors

23 System specification Description of (prototype) technology Algorithms that transform data to information Is this information useful? Integration with other data sources This can improve performance Problems: Integration of various systems, co-operation between companies. Decision support With or without interference of the farmer This is the ultimate of precision dairy farming

24 Cost efficiency Benefits > costs Sounds easy but... Costs are clear Benefits often indirect Belief of effect... There are a few economic analyses (scientifically) published Portfolio problem: other fields of investment in comparison to precision dairy

25 Non-monetary factors Risk Availability of labor/capital Farmers goals/preferences

26 What can you expect from me A little history and overview Success factors for precision technology Adoption of sensor systems Effects of mastitis detection systems Effects of estrus detection systems Wrap up

27 Use of sensor systems in the Netherlands Questionnaire study: 1,672 Dutch dairy farmers (Accon- AVM) 512 (31%) responded 212 had sensor systems (41 %) Permission to use MPR data: 414 (37 % with sensors) Available accountancy data: 217 farms Steeneveld et al., 2015, J. Dairy Sci. Steeneveld & Hogeveen, 2015, J. Dairy Sci Steeneveld et al., 2015, COMPAG

28 Farmers (n) When did CMS farmers invest in sensors (n = 81) 40 Mastitis Rumination Estrus Year

29 Farmers (n) When did AMS farmers invest in sensors (n = 121) (Steeneveld and Hogeveen, 2015) 35 Mastitis Rumination Estrus Year

30 Milk sensors used (n = 512) AMS CMS

31 Estrus detection sensors used (n = 512) AMS CMS 20 0 Activity cows Activity young Temperature Progesterone

32 Oestrus detection sensors used (n = 512) AMS CMS 20 0 Rumination Weighing

33 Reasons to invest (CMS farms; %) Rumination (10) Activity (57) Temp (4) Reduce labor Improve health/reprod Insight in health Not a concious decision Improve profitability Other

34 Reasons to invest (AMS farms; %) Investment reason EC (n = 112) Rumination (n = 11) Activity (n = 50) Reduce labor Improve health/ reprod Insight in health Not a conscious decision Improve farm profitability

35 What can you expect from me A little history and overview Success factors for precision technology Adoption of sensor systems Effects of mastitis detection systems Effects of estrus detection systems Wrap up

36 Automated mastitis detection: effects Farms AMS farms CMS farms No sensors Before After Before After Number of cows % growth in size Milk production (kg / cow / year) 8,343 8,398 8,558 8,371 8,179

37 Somatic cell count (x1,000 cells/ml) Automated mastitis detection: Somatic cell count No sensor system AMS farms before investment AMS farms after investment CMS farms before investment CMS farms after investment

38 Estrus detection sensors Farms AMS farms CMS farms No sensors Before After Before After Number of cows % growth in size Milk production (kg/cow/year 8,342 8,473 8,632 8,245 8,177

39 Days to first service Effects on reproduction No sensor system AMS farms before investment AMS farms after investment CMS farms before investment CMS farms after investment

40 What can you expect from me A little history and overview Success factors for precision technology Adoption of sensor systems Effects of mastitis detection systems Effects of estrus detection systems Wrap up

41 Automated oestrus detection: model calculations

42 Cow Model Probabilities are adjusted for each simulated week Simulated cow Parity, production level Calving P(1 st ovulation) P(culling) SN 50% SP 100% SN 80% SP 95% 108/cow 3600/herd 10years Checking each alert visually P(early embryonic death) Ovulation Heat detection P(heat) P(heat detected) Insemination after voluntary waiting period P(pregnant) P(culling) P(culling) General culling Culling due to fertility issues - Max 6 inseminations - Not pregnant in wk 35 Cow pregnant Output cow place /year Next parity Replacement heifer Milk yield Number of inseminations Number of calves produced Feed intake Number of culled cows Number of false alerts from PLF x Milk price Labour costs Cost for AI Costs/revenues of calves Costs feed Costs for culling Costs of false alerts PLF (labour or AI) Costs of PLF technology: investment, maintenance, depreciation, replacement of faulty sensors At farm level

43 Results Cash flow: 3,202 $CA / year Cost-Benefit ratio: $CA 1.72 Discounted payback period: 8 years SN 80%;SP 95% 108/cow 3600/herd 10years Checking each alert visually Investment pays off (Rutten et al., 2014)

44 Economics of estrus detection: Practise ($CA/100 kg milk) No sensor AMS CMS Before After Before After Capital costs a b c c Labour costs a a c c Variable costs a a 25,59 c c Revenues ,50 a b c 66,05 c Profit a 1.83 b 7.15 c 8.62 c

45 What can you expect from me A little history and overview Success factors for precision technology Adoption of sensor systems Effects of mastitis detection systems Effects of estrus detection systems Wrap up

46 Difference between theory and practise The potential of sensors is not always reached Why??

47 Use of sensor information is limited (Hogeveen et al., 2013) 5% of generated mastitis alert lists are visually checked Reasons not to check alerts included: No flakes on filter (28%) No deviation in yield (19%) Repeatedly on list (10%) Malfunctioning (4%) Too busy (10%) No EC increase (5%)

48 Many mastitis cases are not detected (Hogeveen et al., 2013) 75% less clinical mastitis and higher SCC

49 Use of sensor information is limited 22% of farm owners indicated that expectations did not match performance reality 24% of farm owners indicated that learning support was not as expected (Eastwood et al., 2015)

50 Too much information without knowing what to do with it (Russell and Bewley, 2013) 50

51 Farmers attitude is important Being in control Letting-go Business optimisers Convenience seekers

52 Farmers attitude Eager to understand and learn the system Not having the time or skills Innovators/ambassadors

53 Sensors can pay for themselves.... and at the same time: Improve dairy cattle health and welfare Improve the efficiency in the dairy value chain All sensors? I am not sure about that

54 Thank you for your attention Thank you for your attention I wish you a great conference animal-health-management.blogspot.com

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