VII International Conference Large Farm Management was held on September 22, 2016, in Kyiv. It was organized by the Association “Ukrainian Agribusiness Club” (UCAB) and Agency AgriEvent in cooperation with the Leibniz Institute of Agricultural Development in Transition (IAMO). The main purpose of the event was to discuss key aspects of strategic decisions and management agribusiness problems in a wide range of representatives of the sector. 300 representatives of the leading agricultural companies in Ukraine, CIS and European countries, international organizations and academic institutions attended the conference.

Business Day on September 22 consisted of four plenary sessions. Taras Vysotskyi, Director General of the Association «Ukrainian agribusiness club», told about special aspects of this year conference: «Nowadays the most important task for Ukrainian agribusiness is to lead the process of rapid reform and strengthening the Ukrainian agribusiness brand. Seventhly industry leaders are gathering this time in order to evaluate the success of the previous year, and to identify goals and priorities for the future. Our key goal is to improve the efficiency of large agricultural companies. Each year we gather world experts who are recognized professionals in this sphere and provide a platform for discussion between representatives of global agribusiness. Over the years, the discussion carried out around 5 key factors that influence the choice of strategy for agribusiness management: state policy, finance, technology, management and society. All of them are equally important, so we create this year's event program around these elements».

The first session called «Agribusiness management strategy: from the company to the state» covered the topics of innovative management solutions in the agricultural business. Gustavo Junqueira, president of the Brazilian Agricultural Society talked about Brazil experience in becoming successful agrarian country. Since 1950 Brazil has turned from the largest importer into the largest food exporter in the world, has become a global exporter of protein (beef, poultry and pork) and become energy self-sufficient. Over the past 21 years, the total agricultural production of the country increased by 162%, and cereals - 234%. «Brazil gives large and small agribusiness opportunity to produce the large number of products for domestic consumption and export. In order to succeed in agriculture, we had to clarify the system of relations between the state and private companies. We have established a clear framework and rules for financing, improved infrastructure and cooperation with international markets. Ukraine has good potential because it has advantageous natural features and geographical location. Ukraine can succeed in agricultural sector in consequence of well-organized working process and developed strategy», - said Gustavo Junqueira.

During the second session, “Financial efficiency and its preconditions”, the financial instruments and sources of financing agribusiness were discussed. Oleksandr Artiushyn, vice president of Swiss Re Corporate Solutions told how to manage risks in the agricultural products supply chain: «Agricultural producers constantly face with risks. Crop failure or serious decline in quality of agricultural products affects the entire supply chain of agricultural products. There are many ways to manage risks effectively and turn them into opportunities. For example, regular usage of hedging price and currency risks can be useful. New banking products for farmers that include lowering the interest rate in case of crop failure may be very promising. Using risks for stimulating business development is one of the possible approaches to solve problems».

During the third session, «Leadership and Management» participants learned how companies remain successful during the crisis. Nataliia Khvostova, Chief Human Resources Officer at Kernel, told about tools of implementation the strategy through effective management system. «The transition from micro to strategic management system stimulates progress and development. Therefore, in order to implement it, we introduced Performance management system based on the principles of continuous improvement. The goals and objectives of the system involve the transfer of the strategy at the operational level, the consistency of the objectives of the company at all levels, the transition from reactive management to proactive, development of domestic entrepreneurship, involvement of staff in the implementation of strategies and processes of internal efficiency, increasing of effectiveness, professionalism and the formation of the correct staff behavior, formation and promotion of large-minded people, progressive managers at all levels who are interested in development. In addition, it is essential for creating a strategic management system to form operational personnel reserve, as well as identify employees HiPo (high potential employees), their development and promotion».

The fourth session, «Managing land bank and land market»,  was about building good managing of land bank without land market and about the best management practices of large land bank. Artem Bielienkov, director of Smart Farming, told about the examples of integrating land bank management systems in JSC «Myronivskiy Hliboproduct». He said that nowadays in Ukraine a unique and complex system of land relations has developed, in which the proper management of land will determine the success of any agricultural holding. «If we talk about ensuring long-term sustainable growth of company, land bank management system should be based on the lowest level in the "architecture" of management. It must be its foundation. After analyzing the statistics of all our projects, we reached the following conclusions: 5% of the land bank lost annually due to inefficient management system; 5% - the average overstatement of real area of fields and land in accounting; 10% of actual payment of rent is used for other agendas; 25% of land assets are at risk of loss»,- said Artem Bielienkov.
During the last "land" session there was the poll of the audience on the regulation and functioning of land market and there was a panel discussion, which was attended by farmers, foreign agricultural economists, lawyers, representatives of resource companies, members of Parliament and representatives of the Ministry of Agrarian Policy and Food of Ukraine.

Association
Ukrainian Agribusiness Club
st. Zhylianska, 146, fl. 3
01032 Kyiv, Ukraine
Tel / Fax: +380 44 236 20 97 79
[email protected]
www.ucab.ua
Zoryana Goshovska  

The Ukrainian Agribusiness Club Association (UCAB) was founded in 2007 to defend the economic and professional interests of agribusiness players in Ukraine. The UCAB is a unique Ukrainian platform for leaders of agribusiness to establish business contacts and improve their cooperation and the dialogue with the government. The UCAB actively supports Ukrainian producers in establishing and maintaining international business relations. The Association consists of the largest producers and processors of agricultural products in Ukraine.