Your Farm’s Underrated Investment

Transforming your team into a true competitive advantage

Ask any farm owner or agribusiness leader what aspects of running their operation keep finding new ways to give them grey hair and “people” or “people management” are likely on the shortlist.  Most folks don’t get into farming because they really want to manage people.  And most heads of agribusinesses – farms or otherwise – don’t get enough opportunities to be trained in leading a team themselves.  There’s not a lot of support helping them cultivate the “human side” of their business.  Yet, somewhere along the way, managing people quietly becomes one of the biggest determinants of how (and whether) a business continues to grow.

All leaders (or, the good ones at least) know how important their people are.  Most genuinely care about their teams and want to support them and their families.  The challenge is that this isn’t just a question of intent or whether or not a leader cares.  It is a question of how much time, energy and financial support they put toward sustaining strong, resilient teams.  It can be done and getting there will unlock a true competitive advantage over businesses that aren’t doing the same things.  But it will frequently be a test of a leader’s bandwidth. 

People can be a challenge.  Whether it’s employees, bosses, friends, family… it doesn’t matter, challenges in relationships happen.  And this inevitability, I believe, is a big part of what makes it easy to dismiss people problems as something you just have to live with. 

But why do we look at these challenges differently than so many of the others that come up?  Choosing a hybrid that didn’t work out this growing season or struggling with a disease that swept through your herd or flock doesn’t stop you from working with your agronomist or your vet to try and improve the situation next time round.  Struggling with productivity because you’re working with dated equipment or technology doesn’t stop you from investing in new options when the situation allows.  Why are people problems different?

Now, I’m not a psychologist.  But I’ve been around enough workplaces to know there is truth to the idea that we do treat “people problems” differently.  We’re more likely to be passive and hope it fixes itself than we are with other things.  Deciding on tillage management changes for next year seems a little more cut and dry than figuring out how to improve the communication and conflict resolution abilities of your staff.  And, in all honesty, it is.  But that doesn’t mean it’s hopeless.

It starts with shifting your perspective.  With seeing the human side of your business as something you can understand, influence and change for the better.  From there, it grows when you focus on and invest in the things that actually help that change become real. 

One of the first ways you can have a meaningful impact is by paying attention to how you hire and train new people.  Do you hire the first halfway decent candidate you meet because you need to fill a spot ASAP or do you hire someone that truly fits the team you’ve already built?  Someone who will develop alongside your business for the next 5, 10, 20 years.  When they come on board and their training starts, you can run them through the basics and hope they get it.  Or you can take the time to lay proper groundwork, expand their existing skillset and develop a team member who will eventually take things off your plate. 

You get to decide.  And if that sounds like HR mumbo jumbo, it’s because it is.  The truth is, if you own a business with employees, you’re already in HR.  But HR isn’t just a department at a big corporation or something you need to have to stay onside with labour regulations.  True human resources work is treating people like the valuable resource they are and finding ways to help them help you

Another crucial opportunity for strengthening your farm or agribusiness is through the development and support of your leaders and managers.  Whether that is you, somebody else, or multiple somebodies.  Leaders and managers need time to lead and manage.  You need people who understand what’s going on in the trenches AND aren’t so bogged down by their own to-do list that they can’t support everyone else.  

This only becomes more important the bigger your team gets.  When you or your managers don’t have bandwidth to support your team this way, things will start to splinter.  When you build that resiliency in, the connective tissue it provides will increase your business’ ability to head problems off at the pass – whether they are people-related or not. 

Many of the frustrations that come up in the workplace are caused by unclear expectations, inconsistent communication and/or minor issues that are left unresolved until they reach a tipping point.  When you focus on the areas above – hiring & training with purpose and supporting leaders so they can properly lead – you will start to see a shift.  Managers will be clearer and more consistent in what they ask of people and, in turn, your employees will get a better idea of what’s going on and become more engaged in what they’re doing. 

I know building in this kind of resiliency sounds like luxury – like a “nice to have”.  And there is truth to that.  Sometimes the situation unavoidably leads to being stretched thin.  But there is also truth in the old saying: “an ounce of prevention is worth a pound of cure”.  And, sometimes, an intentional shift in how you deploy your bandwidth and financial resources today can create huge dividends for tomorrow. 

Excellence in managing people and excellence in producing whatever it is you’re producing are not competing ideals, they are inextricably linked.  And there are a host of reasons to take this seriously: reduced employee turnover, fewer repeat mistakes that cost you money, less lost sleep from stressing over how to handle a difficult team member and, ultimately, a stronger business. People management isn’t just about creating a nicer place to work, it is an investment that pays proven, measurable dividends and unlocks your greatest competitive advantage. 

By the Numbers:

  • Replacing an employee costs, on average, about 20% of that employee’s annual salary

  • In low-turnover organizations (<40% annual turnover), businesses in the top quartile of employee engagement experience 51% lower turnover than their counterparts

  • Highly engaged teams experience 78% less absenteeism

  • Businesses in the top 25% of employee engagement have 23% higher profitability

Sources: Gallup (2024); Center for American Progress (2012)

Parting Questions:

  1. If one of your best employees resigned tomorrow, would you know why?

  2. What single investment in your team would have the greatest impact over the next 12 months?

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The Elusive Advantage