Key drivers of producer trust for sources and methods of accessing management information

Abstract

Accessing new management information is crucial for the effective management of an operation in any industry. Beef producers are no exception to this as producers are exposed to numerous risks. The use and implementation of new management information by producers can assist in managing the operation to limit a producer’s risk exposure. The beef industry in the United States today is comprised of a large number of small producers, and operations can be categorized into three segments - cow-calf, stocker/backgrounder and feedlot. Identifying and understanding the characteristics of beef producers assists in the effective design, development, and delivery of educational materials and new information. In 2008, a National Stocker Survey was conducted to collect data from producers nationwide on operation characteristics and production practices as they related to the stocking and backgrounding of calves. The survey was comprised of 10 areas which focused on all aspects of production during the stocker phase. Included in the survey was a section on communication and education, where producers were asked to indicate their level of trust for the 14 sources and 11 methods where by management information might be accessed. The primary objective of this thesis is to identify specific producer and operation characteristics that are key drivers of producer trust for a number of sources and methods where producers may access management information. The factor analysis procedure was utilized to determine the underlying common factors which represented the sources and methods that are used to access management information. Multivariate tobit regression analysis was used to determine the influence producer, operation, and management characteristics had on trust for the underlying factors which represent the sources and methods of information. Summary statistics from this research provide relevant information and show the average level of trust survey respondents have in the sources and methods included. While the models were unable to identify key producer, operation, and management characteristics that are significant drivers of trust, the results of these models do provide insights that may be useful in guiding future research. Producer trust for a number of the sources and methods will likely continue to shift as new technology continues to be integrated into the beef operations and new information is discovered.