The power of benchmarking for farmers
By Emily Zuver, Senior Assistant Accountant, Holbrook & Manter
Farming is more than just hard work — it’s about making smart decisions to ensure profitability and sustainability. One tool that has proven invaluable for farm owners and agricultural professionals alike is benchmarking. By comparing your farm’s performance with industry standards or similar operations, you can identify strengths, weaknesses, and opportunities for improvement.
Whether you’re managing a small family farm or a large-scale agribusiness, benchmarking can help you make data-driven decisions that lead to greater efficiency and higher yields.
What is benchmarking?
Benchmarking is the process of measuring your farm’s operations, productivity, or financials against established standards or industry averages. It helps you answer important questions like:
- How does my crop yield compare to similar farms in the region?
- Am I spending more than others on inputs like water, fertilizer, or labor?
- Are my profit margins aligned with industry best practices?
- Am I properly compensating employees?