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Development of a benchmarking system for Irish beef farms using data envelopment analysis
Finneran, Eoghan Crosson, Paul
Finneran, Eoghan
Crosson, Paul
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2013
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Finneran E, Crosson P. Development of a benchmarking system for Irish Beef farms using Data Envelopment Analysis. 19th International Farm Management Congress, SGGW, Warsaw, Poland
Abstract
Agricultural extension trends have involved greater use of collaborative “discussion group”
dissemination approaches. These discussion groups involve regular participatory meetings between
a consistent cohort of farmers and extension practitioners with occasional input from industry and
research stakeholders. In Ireland, policy change, small farm scale and low incomes are some of
the factors incentivising beef farmers and industry to seek increased whole-farm income efficiency.
Whole-farm comparative analysis may provide a means of identifying and explaining efficiency
drivers at farm level. This article describes the development of BEEFMARK, a benchmarking
model with potential to act as a tool to facilitate farmer-farmer and farmer-adviser group learning
within discussion groups. BEEFMARK utilised Data Envelopment Analysis (DEA) to measure beef
farm income and scale efficiency and to identify and characterise efficient peer farms which act
as benchmarks for similarly structured, but lower efficiency farms. Market derived gross output
(€) per livestock unit was positively associated with farm efficiency while greater overhead and
concentrate feed expenditure was negatively associated with income and scale efficiency.