Welcome to Why Analyse? In this module, you will be introduced to concepts and analysis strategies that you will use throughout the course. 

Using this information you will be able to:

- Identify which future actions and changes are possible after a farm business analysis has been conducted.

- Identify why each view (cash, tax, and business efficiency) is unique and important.

- Choose the right indicators for analysing a farm business, including those that use ratios.

The following terms will be used throughout this module. It's a good idea to be familiar with these before reading the module.

To access the module select the SCORM Package below and follow the prompts.

Before attending the workshop download and review the following farm results. 

The following case study is based on an example farm in the 2018/19 financial year. An abbreviated/shortened DairyBase comparison report is provided comparing this example farm to a combined/averaged 23 other Dairy Farm Monitor Farms from the region for the same year (2018/19) and the Top 25% of these same 23 farms based on Return on Total Assets (ROTA).

The example farm is a farm that has a strong focus on physical performance. This exercise is not provided to promote one system of farming over another, but for you to think about why this farms strong physical performance was not enough for it to be in the top 25% of farms in terms of profitability (e.g. Earnings Before Interest and Tax (EBIT), Return on Total Assets (ROTA), Return on Equity (ROE) and Change in Net Worth.

Please provide at least 3 possible explanations of why this business may not be converting the strong physical performance into strong financial performance.