Manažerské podmínky dosahování produkce ...

MANAGEMENT CONDITIONS OF QUALITY PRODUCTION IN THE CATTLE-INDUSTRY

Manažerské podmínky dosahování produkce vysoké kvality v chovu skotu

János Felföldi

Adresa autora:

Debrecen Agricultural University, Department of Management and Work Organisation

4032 Debrecen, Böszörményi út 138. Hungary

tel: 36-52/347-888/8325, fax: 36-52/347-888/8329, E-mail: felfoldi@fs.2.date.hu

Summary:

Production of quality products is about a process that ends commodities that are suitable to satisfy certain demands. Knowing these demands producers have to adjust their management conditions in order to enable their farms to satisfy these demands. In our papers we are discussing the present management conditions of the Hungarian farmers and what to change to be able to keep up with the new challenge that is generated by the coming EU joining.

Anotace:

Kvalitní produkce znamená uspokojení určitých požadavků spotřebitele. Znalost takových požadavků nutí producenty přizpůsobit jim své chovatelské podmínky. Náš příspěvek analyzuje současné chovatelské podmínky v Maďarsku a jakých změn je potřeba v souvislosti s nadcházejícím vstupem do EU.

Key words:

Beef production, management conditions, management abilities and skills

Klíčová slova:

produkce skotu, chovatelské podmínky, schopnosti a dovednosti

Introduction

Hungary has cattle livestock made up of three types of cattle: dairy (74-75 %), dual purpose (19-20 %) and beef (5-6 %). It is not only market demands but also Hungarys opportunities that give reasons for quality beef production. Szabó - Szűcs - Tőzsér (1997) draw the attention to unutilised grasslands and buildings, by products, the unemployed, and the good livestock (but needs to be increased in number) Hungary has. They suggest that development should be done on the basis of ecological areas. This approach is supported by Domokos et. al. (1997) saying that one of the fundamental conditions of successful suckler beef production is to comply reasonably with the fundamentals of the area. The Hungarian specialists have great experience on animal husbandry but management is expected to be more efficient by the changing economy. Taylor (1994) highlights integrity, industry, imagination, initiative, intelligence and communication, additionally preparation oriented, performance oriented and profit oriented as personal characteristics of the manager. He mentions self-management, time management, information management and resource management as managers' challenge stressing upon human resource management.

Drucker (1991) stated that a manager could be successful only if utilising personal characteristics and management skills of his own and of all the co-workers. People differ in abilities and the level of them (Roóz, 1995). Central issue of the beginning of this decade was liquidation or keeping operation, at present farms have been focusing on quality development to abide and to develop. In the last decade fast changing economy compelled managers to make a lot of strategic decisions. To make such decisions, included decisions on quality, it is also determinant what personal characteristics and management skills managers have and how experienced they are (Zoltayné Paprika, 1997).

Method

The aim of the survey was to reveal opinions of agricultural enterprises in the region about management conditions, additionally how they judged management abilities and skills.

It was the managers who filled in the questionnaires on management conditions, giving from 1 to 5 points or yes-no answers to describe external and internal circumstances of the enterprise.

Management skills were estimated by using a scale of five grades developed by Roóz (1995), whereon “one” represented strong and “five” represented weak. The labour of farms involved filled in the questionnaires on farm managers skills. The data were appraised by methods of statistics and have been summarised in tables.

Survey results

Pattern of responses to management conditions of percentage of total respondents is shown in table 1 and table 2. The respondents consider the social environment (A1) not at all or hardly suitable for working in it. It is social appreciation of agricultural labour lost in condition in the last decade that also accounts for this. Market environment (A2) is considered similar to social one because 24 % accounts it not adequate at all, and the rest of the respondents also criticise it. Economy has been featured by marketing problems, and changes in market demand and in selling prices that can not be projected. Absence of adequate regulations, defection of financial institutions from agriculture and defectiveness of state subsidies cherish this opinion. Changes in environment (A3) are featured by doubtfulness, and if can not be foreshown such as an embargo. This might be one of the reasons why they do not use prognostic (A4) to develop corporate strategy. In spite of these the farms abide by their goals set in advance (A5).

Altogether these goals are not strategic changes compared to those of former years, therefore they can accomplish them without difficulties. The respondents are divided on controlling of information within the organisation.

Table 1.

Perceptions of management conditions in % of total respondents

Unfortunately over 80 % stated that managers and subordinates were afraid of changes (A7). It is alarming because 69 % stated that production technology (A8) was inefficient, since improving efficiency of it is one of the fundamental aims of a business. Furthermore information system and human resource management are criticised by over 70 % of the respondents. This is also justified by the rate of respondents unsatisfied with information stream. They are not satisfied with the farms, comparing them to the economic environment, although they are satisfied with them compared to the competitors. This inflexibility is caused by irrecognition the need for renewal and conserved by fear of new things. This is unacceptable even if other farms in the industry are considered similar.

Table 2.

Perceptions of management conditions in % of total respondents

Level of development of organisation structure is not in accord with the level of development of production (A13), information system (A14) and human resource management (A15) that appear as organisational issues of great importance. This also justifies the need for innovation in the agricultural sector in Hungary.

Analysing responses to questions on managerial skills (Table 3.) it can be seen that none of them is considered weak for any manager.

For setting goals they described a favourable picture of the managers. Having assessed and matched fundamentals and opportunities with economic and market needs, it is essential to realise the need for quality development. Then setting goals, putting them into forms that are measurable and the implementation of them require many abilities and skills. The first step of successful business management is to set right goals. It is important within an organisation to have goals that are clear and measurable for each staff member concerned.

Table 3.

Perception of abilities and skills in % of total respondents

They also considered problem solving and decision making favourable domain which is hopeful, thinking of the last few years that were full of problems. This domain is of great importance of those influencing business competitiveness. Thirty % perceived skills of diplomacy strong, while 48 % perceived it good. Good skills of diplomacy are needed to contact with people that might influence the operation whether they are outside or inside the business. This might be one of the means of prevention to handle conflicts most effectively. They have positive opinion about training and giving advice. During the interviews managers always highlighted defectiveness of labours knowledge of profession and responsibility. It is not only the labour that expects managers to train and give advice but also the environment, which does not allow them to neglect such defects. Any managers communication skills was considered strong , and only 33 % said that it was good. A manager must know its subordinates abilities and skills to be able to delegate tasks and to tell the labour them in the right form which allow him to control them. By doing this a manager can totally exploit labours abilities and skills too. It is very important for a manager that he is able to listen to its subordinates that is neglected very often. Time management is a poor area according to the respondents.

Keeping the labours routine tasks at managerial level can block efficient work, while the manager can not utilise the opportunities that are included in them to motivate labour.

Handling conflicts is also needed to be improved. Two-thirds said that it was medium and 7 % said that it was acceptable only. This also justifies the communication defects. Altogether it is a favourable picture of rewarding we have got, but almost one-fifth criticised it, so improvement of it can be expected.

Conclusions, recommendations

I have found that the respondents consider the social environment and market conditions unfavourable to work under them. The economy is featured by notable uncertainty. Managers and employees are afraid of new things and changes, which is unacceptable in an economy that has been changing very fast and expecting farmers to be more flexible. In addition to most respondents consider production technology inefficient. Furthermore, it is more than two-thirds of them who criticise information systems and human resource management.

Evaluating management skills it is favourable pictures of setting goals, problem solving and decision making, diplomatic skills and training and giving advice that are described by the respondents. At the same time they draw the attention to the communication, handling conflicts, rewarding and time management that need to be enhanced.

Recommendations:

1. To improve management conditions managers should do SWOT-analysis, then further analysis of weaknesses should be followed by setting measurable goals.

2. To eliminate defects of communication managers should take participation in training on communication.

3. To handle conflicts better they should match labours abilities and skills with their jobs.

4. To improve time management they should use “self-recording” for a few days to analyse time spent on each activity. If they draw more attention to work done by labour, they can enhance rewarding. This helps them handle conflicts. The more time they spend on above mentioned, the more opportunities they will have to improve communication using it in practise.

References

1. Roóz, J.: “Methodology of management” Perfekt Kiadó Rt., 1995, pp. 19-27

2. Drucker, P.F.: “The effective executive” Heinemann Professional Publishing Ltd, London, 1988 Hungarian edition, Budapest, Park Kiadó, 1991. 77 p.

3. Zoltayné Paprika, Z.: “The Hungarian managers competitiveness” Vezetéstudomány, 1997. Issue 10. 4-7 pp.

4. Szabó, F. - Szűcs, E. - Tőzsér, J.: “The situation of beef production and beef cattle breeding in Hungary, and their development towards improvement in quality” “AGRO-21” Füzetek 1997, Issue 17. 54-59 pp.

5. Taylor, R.E.: “Beef Production and Management” Decisions Macmillan Publishing Company, New York, 1994.

6. Domokos, Z. (szerk.): “Charolais, Cattle, Technology” Hungarian Charolais Breeders Society (MCTE) 1997. Issue 1.