Cost Reduction & Productivity

Many agro-industrial enterprises need to reduce production costs in order to meet targets or simply survive. The use of modern technologies and high-quality equipment is already widespread, but it always carries unreasonably high costs and / or low productivity due to the lack of knowledge or the implementation of knowledge.

The differences between accepted and optimal “norms” are often overlooked. It is in fact very easy to reduce fuel consumption, repair costs and capital investment by 10 -20%. This is achievable in every operation we have visited. We charge no more than a dealer for mechanical service, but we achieve immeasurably more.

Improving quality of product is also achievable, with only mental expenditure but increases profit exponentially. Effects are achieved without additional Cap Expenditure which should only come when existing assets are properly utilised.

We offer operational support that will step by step, according to your requirements –

A) Demonstrate and report in 3 days how to reduce the annual fuel consumption by at least 5%, and often by 30% for individual operations. Look at your fuel costs over the past year and see how much 5% is. R.O.I. on this work is typically 500 – 1000%.

B) Review readiness for seasonal operations and operations in progress to improve productivity and prevent budgets being broken due to unforeseen major repairs, additional feeds, new machines etc. With our experience much is predictable and can be prevented. 15 -30% improvements in cost / productivity is usual .

C ) Improve Milk and Beef yields simply by ensuring Forages are Harvested on Time, Stored and Fed – Correctly. Reduced need for purchased feeds, improved cow health and pregnancy rates are “knock-on” effects from efficient operations that many Livestock Managers and Consultants overlook but frequently increase Milk Profitability by 100%

D) Identify strengths and weakness of your business and teams. We suggest how to utilise strengths and minimise effect of weaknesses by adapting the business to available physical, financial and human resources.

E) Examines reality of budgets and physical performance. Losses can be reversed and risks reduced by re-budgeting according to local conditions and abilities of team. Once creditors, investors see justified budgets are achieved business can start to re build to achieve original / modified aims.

F) Re structuring of business to consolidate on strengths and reduce liabilities often results in much improved performance especially of multiple site / crop businesses e.g. Milk or Vegetable companies.

Further Info: michael@lakvades.com , +7915 160 0098 , WhatsApp +3725642060