Hereford Today

[HerefordSire]

Yeah, no stores in Texas either. Two outlets one in Ft Worth and one in Houston.

Pretty lame!

Our goal the first year could be to supply Wal-Mart. The second year could be to saturate Texas and California. Meetings with the largest Angus breeders in the country should be the first step with the intention to provide them incentives to raise Herefords. How many members are on the verge of having to pay estate taxes of 50%?

 

[Brandonm22]

Yeah, no stores in Texas either. Two outlets one in Ft Worth and one in Houston.

Pretty lame!

Our goal the first year could be to supply Wal-Mart. The second year could be to saturate Texas and California. Meetings with the largest Angus breeders in the country should be the first step with the intention to provide them incentives to raise Herefords. How many members are on the verge of having to pay estate taxes of 50%?

Where would you get supply? CHB won't allow Brafords, F1 tigers, Herf x Chars, Herf x any continentals, Herf x dairy, etc and most of those good black baldies end up in an Angus program. If you have a Heinz 57 herd you can breed them to an Angus bull and most of the calves should be potentially eligible for CAB. Not so with CHB. CHB last year claimed they were having supply problems. CHB was 15-20 years too late to do a lot of good.

 

[HerefordSire]

Yeah, no stores in Texas either. Two outlets one in Ft Worth and one in Houston.

Pretty lame!

Our goal the first year could be to supply Wal-Mart. The second year could be to saturate Texas and California. Meetings with the largest Angus breeders in the country should be the first step with the intention to provide them incentives to raise Herefords. How many members are on the verge of having to pay estate taxes of 50%?

Where would you get supply? CHB won't allow Brafords, F1 tigers, Herf x Chars, Herf x any continentals, Herf x dairy, etc and most of those good black baldies end up in an Angus program. If you have a Heinz 57 herd you can breed them to an Angus bull and most of the calves should be potentially eligible for CAB. Not so with CHB. CHB last year claimed they were having supply problems. CHB was 15-20 years too late to do a lot of good.

As I already mentioned, I would start with the 10 largest Angus breeders and offer them an incentive to raise strictly Herefords (in addition to Angus) to where existing Hereford members can liquidate their culls at a premium. I will show you were their incentive proceeds will come from once I work the numbers.

We have six people trying to market CHB with very little success. We need to triple or quadruple the staff, NOW! Again, I will show where the funding will come from to support the adidtional staff. One great salesperson can work the phone and sell more CHB than all the personnel listed combined (look at the CHB numbers in the annual report)!

http://www.herefordbeef.net/contact/boa ... rsandstaff

 

[HerefordSire]

Expenses:

General and administrative...........1,510,045
Board of Directors' expenses.............34,660
Building expenses .........................113,360
Market development and information.. 607,742
Junior activities ...........................219,452
Research and TPR activities .............208,871
CHB program expenses .................1,013,379
HPI advertising and subscriptions..... 1,293,073
--------------------------------------------------------
Total expenses........................... 5,000,582

Layoff half the staff to cut G & A to $900,000 max
Discontinue all board expenses.
Discontinue market developent and Information expenses.
Cut Junior activities in half
Discontinue Research and TPR activities.
Discontinue HPI advertising and subscriptions.
Place all expense differences in CHB program expenses.

 

[Brandonm22]

Junior activities are only ~4.4% of gross expenses and they generate $$$ in junior memberships, transfers, parents who buy memberships (and cattle) just so their kid can participate, and advertising revenue promoting little bobby's show victories. I don't pretend to understand ANYthing about Hereford politics; but I suspect that you don't really want to do anything to make the kids (and their parents and grandparents) mad.

 

[HerefordSire]

Junior activities are only ~4.3% of gross expenses and they generate $$$ in junior memberships, transfers, parents who buy memberships (and cattle) just so their kid can participate, and advertising revenue promoting little bobby's show victories. I don't pretend to understand ANYthing about Hereford politics; but I suspect that you don't really want to do anything to make the kids (and their parents and grandparents) mad.

You are probably right. Also, the HPI generates revenue of $1.5M so we couldn't discontinue that. Things need to be shook up is the point I am trying to make. It appears they are losing cash on CHB according to the numbers. There is one outlet in Arkansas two hours from me. There are none in the town of Bentonville where Wal-Mart is located. I think I could land the Wal-Mart account if I knew I had the supply. Before I did this, I would want eveyone in there out and let me hire my old buddies to shatter all Angus records. It would take me about five years, but I know I could do it.

 

[alexfarms]

I have been holding something within myself for quite some time. I figure I can unload it now just to see if I am in the ballpark of being sane. I am just a little breeder. Since I have been on the industry mailing lists, I have formed the opinion of several inadequacies of the Hereford system (not that I could do any better). For example, I am not satisfied with actions, or lack of actions thereof, with the board of directors of the AHA. It seems to me that Angus Breeders are slaughtering us and the trend doesn't look like it is reversing. They (the board) spend too much time on resources on youth projects and other non-mission critical projects. Heck, this looks serious to me. That is all I see is stuff about shows and youth! Spend the money on adults first, then youth. They should be pumping the money into breeders in one form or another. I think we need to fire the entire board. Who should be on the board? Any nominations? We need someone to change the Angus momentum. Let's see some heads spin.

I could tell you things that would make your blood boil, HerefordSire. But lets be realistic. Herefords can come back. We have a good product. I have been criticized for calling the Angus promotion machine our enemy. I have been told they are not our enemy. We have to promote our product. We beat most everybody in disposition. We are hard to beat in efficiency in alot of ways. We have the heterosis card we can play,since we have been so creamed in the past and so many cowherds have become black angus based. Feed cost of the cow herd is THE most important expense in the cow/calf business and we are very competitive in that area. We just have to PROMOTE!! I think the AHA showed some real ambition to promote in the last year, but it seems to have fallen off of late. The current structure of the AHA allows large herds to have more votes and they are using it well. It is in the constitution and neither you nor I can change it, it has been tried. It has been sort of grumbled about that the AHA won't take on the promotion because they don't want to tick off the AAA promoters. It has been suggested, tongue in cheek,that is they won't take them on why don't we just turn the association over to the AAA, and eliminate current AHA staff positions and save ourselves the money and let us promote ourselves. It would probably be a pretty tough deal to work out with the AAA, but if the AHA is failing financially, I think it would be a better course than raising our fees. Just some thoughts, really, I don't have any answers.
John

 

[HerefordSire]

I have been holding something within myself for quite some time. I figure I can unload it now just to see if I am in the ballpark of being sane. I am just a little breeder. Since I have been on the industry mailing lists, I have formed the opinion of several inadequacies of the Hereford system (not that I could do any better). For example, I am not satisfied with actions, or lack of actions thereof, with the board of directors of the AHA. It seems to me that Angus Breeders are slaughtering us and the trend doesn't look like it is reversing. They (the board) spend too much time on resources on youth projects and other non-mission critical projects. Heck, this looks serious to me. That is all I see is stuff about shows and youth! Spend the money on adults first, then youth. They should be pumping the money into breeders in one form or another. I think we need to fire the entire board. Who should be on the board? Any nominations? We need someone to change the Angus momentum. Let's see some heads spin.

I could tell you things that would make your blood boil, HerefordSire. But lets be realistic. Herefords can come back. We have a good product. I have been criticized for calling the Angus promotion machine our enemy. I have been told they are not our enemy. We have to promote our product. We beat most everybody in disposition. We are hard to beat in efficiency in alot of ways. We have the heterosis card we can play,since we have been so creamed in the past and so many cowherds have become black angus based. Feed cost of the cow herd is THE most important expense in the cow/calf business and we are very competitive in that area. We just have to PROMOTE!! I think the AHA showed some real ambition to promote in the last year, but it seems to have fallen off of late. The current structure of the AHA allows large herds to have more votes and they are using it well. It is in the constitution and neither you nor I can change it, it has been tried. It has been sort of grumbled about that the AHA won't take on the promotion because they don't want to tick off the AAA promoters. It has been suggested, tongue in cheek,that is they won't take them on why don't we just turn the association over to the AAA, and eliminate current AHA staff positions and save ourselves the money and let us promote ourselves. It would probably be a pretty tough deal to work out with the AAA, but if the AHA is failing financially, I think it would be a better course than raising our fees. Just some thoughts, really, I don't have any answers.
John

Don't tell me you just wrote what I think you wrote. Are you telling me, in your opinion, that a few powerful Hereford vote controlling breeders are controlled by the AAA's CAB program?

 

[alexfarms]

It probably isn't as blatant as that. The AAA has a real promotion machine, they have alot of academics supporting them. They have a lot of political power within the NCBA and the general beef industry. I don't think the the AHA wants to be seen as standing in opposition to that political might. The AAA has built itself on marbling over the last 25 years. In the 70's and 80's we were taught that marbling was important because it was the best indicator we had of consumer acceptance. I think if it weren't for the political might of the AAA new technologies would be developing to replace marbling score as the best available indicator of consumer acceptance and no opposition really has the political will to stand up to the AAA promotion machine. That is the kind of political power the AHA is yeilding too, in my opinion. There are alot of people affiliated with the AHA who are beholden to the political might of the AAA.

 

[HerefordSire]

It probably isn't as blatant as that. The AAA has a real promotion machine, they have alot of academics supporting them. They have a lot of political power within the NCBA and the general beef industry. I don't think the the AHA wants to be seen as standing in opposition to that political might. The AAA has built itself on marbling over the last 25 years. In the 70's and 80's we were taught that marbling was important because it was the best indicator we had of consumer acceptance. I think if it weren't for the political might of the AAA new technologies would be developing to replace marbling score as the best available indicator of consumer acceptance and no opposition really has the political will to stand up to the AAA promotion machine. That is the kind of political power the AHA is yeilding too, in my opinion. There are alot of people affiliated with the AHA who are beholden to the political might of the AAA.

Is there a documented AHA constitution I can get my hands on?

 

[DOC HARRIS]

Far be it for me to tell you Hereford Businessmen how to run your business - I am certainly no expert. BUT - there are literally thousands of Private Enterprise Business Improvement Experts whose only justification for their existance is to tell others how to operate and improve one's BUSINESS - from beginning to end; Establishing Goals, Managing Resources, Acquiring Expert Entrepreneurs who can and will determine the problems involved in a business, and the manner of eliminating the waste and capitalizing on the real CORE of establishing a successful and profitable operation.

It is obvious to me from observing your current Business Plans for the Hereford Association that you have MAJOR troubles within the organization. It cannot be localized and pinpointed to one person - it is the entire Organization! The LACK of a sensible and workable Business Procedure with practical guiding principles incorporating a workable Course Outline and Plan of Action, with responsible people accepting responsible duties is necessary for any business to succeed. And you DON'T have that at the moment. No Financial institution will support a loosely-constructed business plan such as you have at the present time! Capital is Key to success, and there is plenty of money available for an operation that is organized on a solid foundation and one that makes sense. You need to get a group of strong advocates together and get your Association on a pragmatic basis.

The American Angus Association is not your worst enemy! YOU are your worst enemy!

Let experienced Cattlemen do the cattle - and let experienced Businessmen do the Bu$ine$$.

Only makes sense!

DOC HARRIS

 

[Red Bull Breeder]

That sounds like what we got in Washington Doc, and we can all see what they have got us into. Listening to the experts is ok but i wouldn't let them run my farm.

 

[smnherf]

If you are really serious about changing the AHA and providing direction for the breed, go to the AHA meeting. Even if it is the only event you attend, go to the state presidents and secretaries council meeting. This is the place where members can share their ideas and get their questions answered and not be inhibited by the AHA staff. Work with you state secretary or president and I will guarantee that if enough people attend and they can get to some sort of consistant message across, the AHA Board of Directors will listen.

Phillip Moon, is the chairman and he is looking for your concens and ideas from members that will be answered at this meeting. For those who get the Hereford World see page 135 of the September issue. He is a good man and he will listen to any ideas to improve this breed.

On another note. I beleive the success of CHB is vitall to the Hereford breed. Without it, the hereford industry will become no more than an idustry for producing show cattle. Much like what has happened to the shorthorn industry.

We all have to ask ourselves as hereford breeders are we really producing the product that the commercial cattle industry is looking for and needs or are we simply just following the quick buck and breeding to the most popular bulls of the time trying to win the next show or are we seriously trying to eliminate the problems that have dogged the Hereford breed for the past 30 years.

Brian

 

[HerefordSire]

You need to get a group of strong advocates together and get your Association on a pragmatic basis.


Doc...please define what you specifically mean by "strong advocates".

 

[HerefordSire]

If you are really serious about changing the AHA and providing direction for the breed, go to the AHA meeting. Even if it is the only event you attend, go to the state presidents and secretaries council meeting. This is the place where members can share their ideas and get their questions answered and not be inhibited by the AHA staff. Work with you state secretary or president and I will guarantee that if enough people attend and they can get to some sort of consistant message across, the AHA Board of Directors will listen.

Phillip Moon, is the chairman and he is looking for your concens and ideas from members that will be answered at this meeting. For those who get the Hereford World see page 135 of the September issue. He is a good man and he will listen to any ideas to improve this breed.

On another note. I beleive the success of CHB is vitall to the Hereford breed. Without it, the hereford industry will become no more than an idustry for producing show cattle. Much like what has happened to the shorthorn industry.

We all have to ask ourselves as hereford breeders are we really producing the product that the commercial cattle industry is looking for and needs or are we simply just following the quick buck and breeding to the most popular bulls of the time trying to win the next show or are we seriously trying to eliminate the problems that have dogged the Hereford breed for the past 30 years.

Brian

I played college football with Phillip and the Razors. It appears the "success" bottleneck is CHB supply.

 

[alexfarms]

It probably isn't as blatant as that. The AAA has a real promotion machine, they have alot of academics supporting them. They have a lot of political power within the NCBA and the general beef industry. I don't think the the AHA wants to be seen as standing in opposition to that political might. The AAA has built itself on marbling over the last 25 years. In the 70's and 80's we were taught that marbling was important because it was the best indicator we had of consumer acceptance. I think if it weren't for the political might of the AAA new technologies would be developing to replace marbling score as the best available indicator of consumer acceptance and no opposition really has the political will to stand up to the AAA promotion machine. That is the kind of political power the AHA is yeilding too, in my opinion. There are alot of people affiliated with the AHA who are beholden to the political might of the AAA.

Is there a documented AHA constitution I can get my hands on?

Contact the AHA directly they will get it to you. There is also a business plan, I believe it is published once a year in the HW. You ought to go to the meeting, like another poster said. If you go you probably should get aquainted with Mr Moon, as the poster mentioned. In my opinion, it is a tough crowd to crack into. They respect their power and they aren't going to just let someone come in and try to change things. Jim Lents used to talk about how people like to "protect the status quo", that is a pretty good description for how the AHA is run. Most of the people in posititions of authority are doing well and they don't want to change much. I went to the meeting once, to receive the 50 year breeder award for my family. Some things sound like they have changed since then. I sat through the Breeders Forum(at that time only elected delegates could go to most of the private meetings) and I raised my hand to ask a question of one of the staff preseneters and he mumbled something about I guess it is ok to take a question from someone who wasn't an elected delegate. It was interesting. I really don't have the answers, so I can't get to pushy. I think we just aren't promoting the breed. I think we have been out promoted by the AAA. I remember back in the early 80's the angus breed was pretty well flat on its back. No one wanted to raise "those little fat things". The angus breeders started haveing black hided feeder calf sales and they started advertising about the angus breeds obvious marbling advantage and they worked at it and built what they have today. Which in my opinion is a breed built on fat. They have established themselves as the premier breed by containing the most intersticial fat. This is the 21st century, I think we can do better than that. The consumer doesn't want fat. The consumer needs less fat. We have new technologies that can be developed to produce a product that is accepted by consumers and contains less fat. In fact, I will go so far as to say this: WE HAD BETTER DEVELOP A TASTY BEEF PRODUCT WITH MINIMAL FAT OR THE BEEF INDUSTRY IS HEADED FOR DISASTER. Was it Lincoln who said: you can fool some of the people some of the time, but you can't fool all of the people all of the time. I believe the AAA and the Angus promotion machine is holding back the beef industry.

 

[KMacGinley]

Do you guys still have those ridiculously high certificate prices?

 

[HerefordSire]

Contact the AHA directly they will get it to you. There is also a business plan, I believe it is published once a year in the HW. You ought to go to the meeting, like another poster said. If you go you probably should get aquainted with Mr Moon, as the poster mentioned. In my opinion, it is a tough crowd to crack into. They respect their power and they aren't going to just let someone come in and try to change things.

In my view, if we don't do anything, it appears we will continue to lose ground to Angus, although Hereford animal registrations are stabilizing over the last 4-5 years. We can just do nothing and hope a miracle occurs or we can take action in a couple of ways. I am a little unclear about the limited liability entity "CHB" and their related financials. Are these documents public? The reason I ask is, it would give a good indication of the power behind CHB. From what I can see of the AHA public documents up to this point, is that they have a $5M budget generating $200K in excess, which is relatively small. I am thinking they have to have more financial resources somewhere.

Jim Lents used to talk about how people like to "protect the status quo", that is a pretty good description for how the AHA is run. Most of the people in posititions of authority are doing well and they don't want to change much.

That is what I figured. Let's see how well they do if we don't do anything.

I went to the meeting once, to receive the 50 year breeder award for my family. Some things sound like they have changed since then. I sat through the Breeders Forum(at that time only elected delegates could go to most of the private meetings) and I raised my hand to ask a question of one of the staff preseneters and he mumbled something about I guess it is ok to take a question from someone who wasn't an elected delegate. It was interesting. I really don't have the answers, so I can't get to pushy.

Did you have any cologn on? :mrgreen:

I think we just aren't promoting the breed. I think we have been out promoted by the AAA. I remember back in the early 80's the angus breed was pretty well flat on its back. No one wanted to raise "those little fat things". The angus breeders started haveing black hided feeder calf sales and they started advertising about the angus breeds obvious marbling advantage and they worked at it and built what they have today. Which in my opinion is a breed built on fat. They have established themselves as the premier breed by containing the most intersticial fat. This is the 21st century, I think we can do better than that. The consumer doesn't want fat. The consumer needs less fat. We have new technologies that can be developed to produce a product that is accepted by consumers and contains less fat. In fact, I will go so far as to say this: WE HAD BETTER DEVELOP A TASTY BEEF PRODUCT WITH MINIMAL FAT OR THE BEEF INDUSTRY IS HEADED FOR DISASTER. Was it Lincoln who said: you can fool some of the people some of the time, but you can't fool all of the people all of the time. I believe the AAA and the Angus promotion machine is holding back the beef industry.

It would be an asset to have someone like yourself on a innovative team to turn everything upside down.

 

[novatech]

AAA has flat out marketed every breed there is. There is no getting around it. There may be some good opinions on here as to what to do. But every successful company has marketing skills. I view the people on the board as people that may be capable as to what their job is but they are not in the marketing business. To me it seems as though they should hire a professional company that can do more than trial and error or guess work. It will take a company that can give some sort of prediction of the outcome of marketing programs.
Marketing company are skilled at convincing people to buy certain products. Hire them and let them do their job. It will take time and ,more importantly, lots of money.

 

[HerefordSire]

AAA has flat out marketed every breed there is. There is no getting around it. There may be some good opinions on here as to what to do. But every successful company has marketing skills. I view the people on the board as people that may be capable as to what their job is but they are not in the marketing business. To me it seems as though they should hire a professional company that can do more than trial and error or guess work. It will take a company that can give some sort of prediction of the outcome of marketing programs.
Marketing company are skilled at convincing people to buy certain products. Hire them and let them do their job. It will take time and ,more importantly, lots of money.

We could probably list 1,000 reasons why Herefords are getting obliterated by Angus. In my view, these are excuses. We need someone to form a telented team and clean house. Shareholders can elect a CEO to clean house, hire better talent, turn a company around by drastically increasing revenue, cut the budgets, etc. However, I am not clear how an association could clean house.