I recently read a book on improvement by Leidy Klotz called Subtraction.
Invariably, when we consider how to improve our lives, work or society our mind automatically defaults to adding things. We want to add a new law, a new car, a new house, a new person…..and the list goes on. The problem is that we rarely look to subtract things from our life. Compared to changes that add things to our life, decisions that subtract things are much more difficult to think of. However, subtracting things can often have a much more profound effect on our situation that adding things.
When you are running a business, any business really, your success or failure comes down to 2nd grade math. Subtraction is a very simple equation. You start with a numerator, subtract the denominator and end up with the result. It is the same in business. You start with Revenue (income), subtract Expenses (cost) and are left with your result……profit or loss. When you think of your business this way, it really makes life simple. There are only two places you can make a difference on the result. You can add to the numerator (income) or subtract from the denominator (costs). It really is that simple.
Are you adding everything you can to your income? Are your cows healthy, well fed and comfortably housed? If you don’t know how to measure this, again the answer is very simple. Compare your farm to others in your industry. How does your topline milk production compare?
Better yet, and this is where it gets fun, what can you subtract from your costs? When is that last time you went through your expenses line by line and asked, “Do we really need this”? I have not yet challenged a dairy farm to do this exercise where they didn’t find significant savings. Things to look for: unnecessary vaccines, feed additives, labor per hundredweight, equipment, tools, etc.
Yes, it really is that simple. Just look at two things: what can you add and what can you subtract? Then start making a list.
DOC'S RUMINATIONS
Insights from Dr. Kevin Hoogendoorn, DVM, Creator and Owner of the ZISK dairy app.
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