Grain Operations Webinar Series

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1 Grain Operations Webinar Series

2 Webinar 2 Keys to a Successful Grain Handling Operation Presenter: Jim Voigt, President, JFV Solutions Inc.

3 Outline Webinar 2 1) Definition of success 2) Customer service 3) Employee development 4) Creating and retaining value 5) Asset management 6) Questions and discussion

4 Purpose of a grain handling facility To receive, process, store, and ship grains and oilseeds. Provide the first steps in the feed, food, and fuel supply chains acting as the facilitator between producers and feeder/processors. Provide storage and secure the worlds grain related food supplies (sustainability).

5 Sustainability = Value added supply chain

6 What is Success? The achievement of something desired, planned, or attempted. Standard Operating Goals Safe operation Profitable operation Sustainable operation

7 Safe Operation Safe work place Training Behavioral Safety / engaged employees Commitment of management and supervision

8 Profitable Operation Satisfactory return to investors Manage total facility cost Operating cost Labor Energy Maintenance Supplies, etc. Administrative cost Capital cost

9 Sustainable Operation Long term view Planning Customer service Employee Development Continuous Improvement Eliminate waste Eliminate variance Cash flow and profits

10 Customer Service Meet customer s s needs Needs vs. Wants Reliable Repeatable Responsive Two way communication Perception

11 Employee Development Trained / motivated employees Employee selection Employee training Workplace issues Consistent and fair treatment Employee recognition Career vs. a job

12 Creating and retaining value Sampling Grading Weighing Inventory management Quality Quantity Blending for profit maximization

13 Sampling, Grading, Weighing

14 Sampling elements of a good program Written and verified procedures Training Equipment Sampling Delivery Maintenance Follow up you can expect what you inspect!

15 Types of Samplers Belt Probes Spout Pelican Grab

16 Probing Patterns Flat Trailer X X X X X X X Hopper Trailer XX X X X

17 Grading elements of good program Written and verified procedures Training Equipment Maintenance Testing Follow-up

18 Sample Preparation

19 Grading Equipment Moisture Protein Oil Test weight Micotoxins

20 Grading Equipment

21 Grading Charts

22 Weighing elements of a good program Design and installation Training Testing Maintenance Procedures Security

23 Weighing Equipment Bulk weigher Platform Belt weigher

24 Typical design for a bulk weighing scale ( Garner)

25 Inventory Management elements of a good program Handling losses Moisture losses Drying Aeration Weights Grading Quality degradation Theft

26 Inventory Management Practices- Quality Coring and turning Cleaning Drying Aeration Fumigation Minimal elevations Management by walking around

27 Inventory Management - Quantity Physical loss Leaks and spills Moisture loss drying & aeration Quality Loss Grade degradation Mixed or mis-binned Insects Inventory procedures Security

28 Blending An opportunity to add value! Provides service to producer Provides service to end user Requires management attention

29 Blending Prohibited practices: to add or combine FM or dockage to grain once such material is removed Blend one kind of grain with another except to make mixed grain Addition of water

30 It s s not Magic Know specs or contract requirements Know what you have Plan Utilize appropriate blending method Pearson s s square Cu-sum Loading plan Automated blending program

31 Pearson s s Square PEARSON'S SQUARE Bin 1 moisture Desired 14.5 Bin 2 moisture Total 2.5 Convert all variances to positive numbers

32 Pearson s s Square Solution Pearson's Square Bin1 Mositure 16.1% / 2.5 =.36 x 100 = 36% Desired 14.50% Bin 2 moisture 13.6% / 2.5 =.64 x 100 = 64% 2.5 Blend woud be 36% of of Bin 1 and 64% out of bin 2

33 Automated blending and weighing systems

34 Asset Management Preventative Maintenance Inspection Testing Training Updating Certification Planning useful life

35 Why are we spending time on this topic?

36 Cost of not doing it right!! 500,000 bushel corn bin 500,000 bushel bean bin % shrink or loss $/bu. 0.25% 0.50% 1.00% $8.00 $ 10,000 $ 20,000 $ 40,000 $6.00 $ 7,500 $ 15,000 $ 30,000 $4.00 $ 5,000 $ 10,000 $ 2,000 $16.00 $ 20,000 $ 40,000 $ 80,000 $12.00 $ 15,000 $ 30,000 $ 60,000 $8.00 $ 10,000 $ 20,000 $ 40,000

37 Cost of not doing it right!! Missed Discount # of Bushels $ ,000 $ 1, ,000 $ 5, ,000 $ 5, ,000 $ 25, ,000,000 $ 10, ,000,000 $ 50, ,000,000 $ 50, ,000,000 $ 250, ,000 $ ,000 $ 50

38 Summary - Elements of Success People People People

39 Summary Elements of success Know your customers Know your capabilities Know your cost Plan Written procedures Training Active supervision and management

40 Information sources html Local inspections service State Universities State Feed and Grain Ass. GEAPS NGFA or other trade associations

41 Webinar 2 Questions? us at: jfvsolutions@hotmail.com

42 Disclaimer This lesson is intended for a global audience that works in a variety of different styles of facilities as well as economic and governmental conditions. The content of this lesson is for informational purposes and to be used as it applies to your specific situation. The content of this lesson is not to take precedent over your current plant and /or company policies and programs, nor any governmental regulations. The photos used in this lesson were for illustration of the topic and are not to be taken as a recommendation for any design or equipment depicted in them.

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