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Understanding farmers' decision making processes and improving managerial assistance

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  • Bo ÖhlméYr
  • Kent Olson
  • Berndt Brehmer

Abstract

Few studies have been made of how farmers make decisions. Most research and teaching has focused on the decision event, not the whole process. Current knowledge of the decision making process is reviewed and described as a set of eight functions or elements: values and goals, problem detection, problem definition, observation, analysis, development of intention, implementation, and responsibility bearing. The relevancy of this view of farmers' decision making behavior is tested through a series of case studies. Based on these observations, the conceptual model of the decision process is revised to include four phases and four subprocesses. The four phases are problem detection, problem definition, analysis and choice, and implementation. The four subprocesses are searching and paying attention, planning, evaluating and choosing, and checking the choice. In addition, we note that farmers prefer the ability to continually update their evaluation and plans, a qualitative vs. quantitative analysis, a “quick and simple” vs. detailed and elaborate analysis, small tests and incremental implementation, and feed forward and compensation vs. post‐implementation evaluation. Implications of this fuller view of the decision making process for management assistance are discussed.

Suggested Citation

  • Bo ÖhlméYr & Kent Olson & Berndt Brehmer, 1998. "Understanding farmers' decision making processes and improving managerial assistance," Agricultural Economics, International Association of Agricultural Economists, vol. 18(3), pages 273-290, May.
  • Handle: RePEc:bla:agecon:v:18:y:1998:i:3:p:273-290
    DOI: 10.1111/j.1574-0862.1998.tb00505.x
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    1. Silvia Macchia, 2022. "Unbundling the information needs of new-generation agricultural companies," MANAGEMENT CONTROL, FrancoAngeli Editore, vol. 2022(2 Suppl.), pages 117-141.
    2. Patil, Vikram & Ghosh, Ranjan & Kathuria, Vinish & Farrell, Katharine N., 2020. "Money, Land or self-employment? Understanding preference heterogeneity in landowners’ choices for compensation under land acquisition in India," Land Use Policy, Elsevier, vol. 97(C).
    3. Feola, Giuseppe & Binder, Claudia R., 2010. "Towards an improved understanding of farmers' behaviour: The integrative agent-centred (IAC) framework," Ecological Economics, Elsevier, vol. 69(12), pages 2323-2333, October.
    4. Williams, John & Malcolm, Bill, 2012. "Farmer decisions about selling wheat and managing wheat price risk in Australia," Australasian Agribusiness Review, University of Melbourne, Department of Agriculture and Food Systems, vol. 20, pages 1-10.
    5. Walder, Peter & Kantelhardt, Jochen, 2018. "The Environmental Behaviour of Farmers – Capturing the Diversity of Perspectives with a Q Methodological Approach," Ecological Economics, Elsevier, vol. 143(C), pages 55-63.
    6. Marie Asma Ben-Othmen & Mariia Ostapchuk, 2023. "How diverse are farmers’ preferences for large-scale grassland ecological restoration? Evidence from a discrete choice experiment," Review of Agricultural, Food and Environmental Studies, Springer, vol. 104(3), pages 341-375, December.
    7. Nkamleu, Guy Blaise, 2007. "Religious faith and agricultural growth: exploring some correlations in Africa," MPRA Paper 11131, University Library of Munich, Germany, revised 2007.
    8. Katarina Remenova & Nadezda Jankelova, 2019. "Decision-making style of agribusiness managers," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 65(7), pages 322-330.
    9. Akhmadiyeva, Zarema & Herzfeld, Thomas, 2021. "How does practice matches land laws in Central Asia?," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 109.
    10. L. Tsourgiannis & M. Warren & A. Karasavvoglou & J. Eddison, 2012. "Marketing Strategies for the Primary Sector: An Empirical Study," European Research Studies Journal, European Research Studies Journal, vol. 0(2), pages 147-178.
    11. O'Leary, Niall & Tranter, Richard & Bennett, Richard, 2017. "Farmer attitudes predictive of profitability," 91st Annual Conference, April 24-26, 2017, Royal Dublin Society, Dublin, Ireland 258638, Agricultural Economics Society.
    12. Vandermersch, Mieke & Mathijs, Erik, 2002. "Do Management Profiles Matter? An Analysis of Belgian Dairy Farmers," 2002 International Congress, August 28-31, 2002, Zaragoza, Spain 24832, European Association of Agricultural Economists.
    13. Nuthall, Peter L., 1999. "Managerial Ability (The Forgotten Resource) Its Assessment And Modification," 1999 Conference (43th), January 20-22, 1999, Christchurch, New Zealand 124495, Australian Agricultural and Resource Economics Society.
    14. Kotevska, Ana & Martinovska-Stojcheska, Aleksandra & Öhlmér, Bo & Dimitrievski, Dragi, 2014. "Expectations motivating the Macedonian farmers in attaining EU standards," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182831, European Association of Agricultural Economists.
    15. Pereira, Mariana A. & Fairweather, John R. & Woodford, Keith B. & Nuthall, Peter L., 2016. "Assessing the diversity of values and goals amongst Brazilian commercial-scale progressive beef farmers using Q-methodology," Agricultural Systems, Elsevier, vol. 144(C), pages 1-8.
    16. Maruster, Laura & Faber, Niels R. & Jorna, René J. & van Haren, Rob, 2008. "Analysing agricultural users' patterns of behaviour: The case of OPTIRas(TM), a decision support system for starch crop selection," Agricultural Systems, Elsevier, vol. 98(3), pages 159-166, October.
    17. Baoling Zou & Biliang Luo, 2018. "Why the Uncertain Term Occurs in the Farmland Lease Market: Evidence from Rural China," Sustainability, MDPI, vol. 10(8), pages 1-15, August.
    18. Nuthall, Peter L., 2012. "The intuitive world of farmers – The case of grazing management systems and experts," Agricultural Systems, Elsevier, vol. 107(C), pages 65-73.
    19. Nuthall, P. L., 2001. "Managerial ability -- a review of its basis and potential improvement using psychological concepts," Agricultural Economics, Blackwell, vol. 24(3), pages 247-262, March.
    20. Maczkowiack, R.I. & Smith, C.S. & Slaughter, G.J. & Mulligan, D.R. & Cameron, D.C., 2012. "Grazing as a post-mining land use: A conceptual model of the risk factors," Agricultural Systems, Elsevier, vol. 109(C), pages 76-89.
    21. François J Dessart & Jesús Barreiro-Hurlé & René van Bavel, 2019. "Behavioural factors affecting the adoption of sustainable farming practices: a policy-oriented review," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 46(3), pages 417-471.

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