DairyPRAT

The purpose of the new Dairy Profitability Risk Assessment Tool (DairyPRAT) is to look at the whole farm operation to:

• help identify priorities for change
• begin a process to eliminate the most costly bottlenecks in a dairy operation
• demonstrate ways to increase profitability

The tool can “show you the money,” including where the areas of greatest loss and opportunity are for improving a dairy’s bottom line. By using benchmark information, the tool can pinpoint risk areas that are negatively impacting profitability. It can give advisers and producers a whole-farm view, rather than just a pieces-and-parts view, of the dairy operation for better identification of key weaknesses.

DairyPRAT received high marks from a producer who used it:

• “The tool was able to specifically identify a problem that we thought was there, but could not necessarily identify ourselves.”
  
• “The information was useful for working with our advisory team … because of the volume of information, the tool provided a much more comprehensive picture of the strengths and weaknesses of the operation than could be caught in a monthly advisory team meeting.”
  
• “[DairyPRAT is] a good starting point to help a beginning or new partner suggest management changes that may conflict with the management style of the established partner.”

— Tim Forry, Partner, Oregon Dairy Farm LLC, Lititz, Pennsylvania