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Research article2007Peer reviewed

The links between management's critical success factors and farm level economic performance on dairy farms in Sweden

Hansson, H


Management's critical success factors (MCSFs) are used to indicate how farm profits develop, but their usefulness as profitability predictors has previously not been analysed statistically. This paper explores the usefulness of some commonly used MCSFs in Swedish dairy farms, by investigating whether the MCSFs are significant predictors of economic efficiency. Further, the paper takes a comprehensive view of evaluating farm level efficiency, in that all major input and output efficiency scores are estimated. Previous literature has focused on only one score, or on only one perspective. Our results show that cost efficiency is the more problematic part of the profitability process. Especially the allocative part needs to be improved. Moreover, the results show that the MCSFs milk quality, herd fertility and involuntary culls ratio may not work as indicators of economic performance, whereas milk yield per cow and the mastitis ratio are significant indicators

Published in

Acta Agriculturæ Scandinavica, Section C - Food Economics
2007, Volume: 4, number: 2, pages: 77-88
Publisher: Taylor & Francis

    UKÄ Subject classification

    Agricultural Science
    Economics and Business
    Social Sciences

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