Dr. Ken Stalder - Pork Industry Productivity Analysis

IOWA STATE UNIVERSITY
Department of Animal Science
U.S. 2008 – 2013 Pork Industry
Productivity Analysis
J. Stock1, C. E. Abell1, C. Hostetler2, and K. J.
Stalder1
1Iowa State University, Ames, IA 50011-3150 and
National Pork Board, Des Moines, IA 50325
2014 Pork Academy
Des Moines, IA
June 4, 2014

Data Description
Production data obtained from a large U.S.
data record keeping organization
Agreement with the National Pork Board to share limited
information.
Uses:
1. Quantify the annual production levels and variation
associated for several key productivity indicators
2. Establish industry benchmarks for all swine production
phases
 Breeding herd
 Nursery
 Wean – to – finish
 Conventional finishing

Data Description
Production data obtained from a large U.S.
data record keeping organization
Agreement with the National Pork Board to share limited
information.
Uses:
3. Quantify seasonal affects associated with the key productivity
indicators
4. Identify research opportunities that would improve the U.S.
pork industry production efficiency

Data description
Statistical process
Industry Trends
Raw means and standard deviations were used
Seasonality evaluation
Linear model was used
 Fixed effects
 Company
 Month
 Year
 Covariates – for nursery, grow-finish, and wean-to-finish
 Start age
 Start days
 Days in facility
 Covariates – Sow farm
 Weaning age

Data description cont’
Data (records) reported monthly for each
production phase
Nursery and finishing data –
Monthly averages are based on animals exiting the facility that
month
Sow farm data –
Monthly averages are based on litters weaned in that month

Table 1. Number of companies and farms used in analysis for each facility type by year.a
Year Conventional
Finisher
Wean-to-
Finish
Nursery Sow
2008 Companies 46 23 41 39
Farms 1339 385 719 708
2009 Companies 49 20 41 40
Farms 1376 334 679 683
2010 Companies 43 19 36 33
Farms 1350 527 571 526
2011 Companies 44 21 35 33
Farms 1382 775 594 564
2012 Companies 50 28 45 40
Farms 1744 830 796 766
2013 Companies 44 26 41 45
Farms 1561 886 616 774
aMore than one farm can be managed by the same company. A farm represents a single production site.

Company / farm summary
Increase in the number of companies and
farms represented
Tremendous increase in the data volume evaluated
Results in improved information and interpretations that
can be made
Companies becoming much more data driven
in their decision making process

Company / farm summary
Grow-finish and wean-to-finish becoming farms
becoming more like their sow farm counterparts
Farm level decisions much more data driven
Continue greater use of data when guiding
company decision process regarding:
Employee
Financial
Health
Nutritional
Genetic
Some combination

Benchmarking - Why do it?
Compare with other businesses
Within species
Across species
Compare herd performance
Within company
Within country
Etc.
Set goals for improving herd
For a specific trait or several traits

Overall Averages

Key Productivity Indicator Averages
Means and standard deviations across all
farms and operations.
Sow, nursery, wean-to-finish, and conventional grow-
finish data
Developed to examine yearly trends across the
U.S. Swine industry.
Operations can compare one or a number of
KPIs to see if they are above or below average

Table 2. Conventional finisher average (±standard deviation) productivity from 2008 to 2013a
2008 2009 2010 2011 2012 2013
Percent
Mortality 6.29 (±4.60) 5.12 (±3.44) 4.70 (±3.05) 4.48 (±2.49) 5.03 (±3.30) 5.04 (±3.07)
Finishing
Weight (lbs) 261.2 (±16.1) 265.0 (±14.9) 268.7 (±13.4) 271.5 (±12.8) 269.2 (±14.1) 272.1 (±17.2)
Days in Finisher 125.7 (±11.0) 124.3 (±11.4) 124.6 (±10.3) 122.7 (±9.7) 121.5 (±10.8) 122.8 (±13.0)
Average Daily
Gain (lbs) 1.69 (±0.16) 1.75 (±0.15) 1.76 (±0.14) 1.81 (±0.14) 1.81 (±0.15) 1.81 (±0.16)
Feed
Conversionb
2.82 (0.32) 2.76 (±0.27) 2.77 (±0.25) 2.71 (±0.24) 2.68 (±0.23) 2.66 (±0.23)
a
All farms were given equal weighting.
b
Feed conversion is defined as feed to gain.

Table 3. Wean-to-finish average (±standard deviation) productivity from 2008 to 2013a
2008 2009 2010 2011 2012 2013
Percent
Mortality 7.92 (±4.91) 7.61 (±4.79) 6.30 (±3.55) 6.33 (±3.96) 6.39 (±4.79) 6.88 (±4.66)
Finishing
Weight (lbs) 261.7 (±12.5) 264.2 (±11.0) 270.5 (±13.5) 273.6 (±12.8) 270.1 (±12.9) 274.0 (±14.5)
Days in Finisher 162.5 (±11.4) 164.2 (±10.7) 167.9 (±10.3) 166.4 (±9.0) 164.3 (±9.9) 165.3 (±10.4)
Average Daily
Gain (lbs) 1.54 (±0.13) 1.54 (±0.11) 1.54 (±0.11) 1.57 (±0.10) 1.57 (±0.11) 1.58 (±0.11)
Feed
Conversionb
2.51 (±0.17) 2.54 (±0.18) 2.52 (±0.20) 2.50 (±0.20) 2.50 (±0.18) 2.50 (±0.18)
a
b

Table 4. Nursery average (±standard deviation) productivity from 2008 to 2013a
2008 2009 2010 2011 2012 2013
Percent
Mortality 5.82 (±5.71) 4.68 (±4.41) 4.12 (±3.62) 4.32 (±4.32) 3.80 (±3.01) 3.87 (±3.38)
Exit
Weight 49.0 (±9.2) 49.4 (±8.4) 50.7 (±9.1) 50.3 (±9.3) 50.7 (±8.4) 50.9 (±8.7)
Days in Nursery 47.4 (±6.8) 46.2 (±5.4) 46.2 (±5.5) 46.0 (±6.1) 46.0 (±5.1) 45.4 (±5.7)
Average Daily
Gain (lbs) 0.78 (±0.14) 0.80 (±0.13) 0.82 (±0.14) 0.81 (±0.14) 0.82 (±0.13) 0.83 (±0.13)
Feed
Conversionb
1.54 (±0.30) 1.53 (±0.29) 1.52 (±0.28) 1.53 (±0.25) 1.48 (±0.19) 1.48 (±0.18)
a
b

Table 5. Sow farm average (±standard deviation) productivity from 2008 to 2013a
2008 2009 2010 2011 2012 2013
Pigs/Mated
Sow/Year 22.8 (±2.9) 23.2 (±3.0) 23.5 (±2.7) 24.1 (±3.1) 23.9 (±2.9) 23.7 (±4.3)
Litters/Mated
Sow/Year 2.35 (±0.23) 2.34 (±0.21) 2.33 (±0.20) 2.33 (±0.22) 2.31 (±0.22) 2.30 (±0.26)
Total Born 12.5 (±0.9) 12.8 (±0.9) 13.0 (±1.0) 13.4 (±1.1) 13.4 (±1.0) 13.6 (±1.1)
Stillborn and
Mummies 1.23 (±0.49) 1.20 (±0.46) 1.22 (±0.48) 1.24 (±0.49) 1.17 (±0.46) 1.14 (±0.42)
Number Born
Alive 11.3 (±0.8) 11.6 (±0.9) 11.8 (±0.9) 12.1 (±1.0) 12.3 (±0.9) 12.4 (±1.0)
Number Weaned 9.7 (±0.7) 9.9 (±0.8) 10.0 (±0.7) 10.2 (±0.7) 10.3 (±0.7) 10.2 (±1.3)
Pre-weaning
Mortality % 14.2 (±5.5) 14.5 (±5.6) 14.6 (±5.8) 15.5 (±5.9) 15.5 (±5.7) 17.3 (±10.9)
Weaning Weight
(lbs) 12.4 (±1.3) 12.8 (±1.5) 13.0 (±1.4) 13.1 (±1.4) 13.2 (±1.6) 13.4 (±1.7)
Weaning Age
(d) 19.7 (±1.8) 20.5 (±2.0) 20.8 (±2.1) 20.9 (±2.5) 21.5 (±2.8) 21.9 (±2.9)
a

Overall data summary
Finishing mortality has declined over time
Across all data conventional finishing mortality was
similar in 2012 and 2013
 Wean –to- finish mortality increased slightly in the
same time period - initial effects of PED??
 Market weight continues to increase
Increased by 4 pounds in both conventional finishing
269.2 lbs. (2012) and 272.1 (2013) and wean – to -
finish summaries 270.1 lbs. (2012) to 274.0 lbs. (2013).
Days in the finisher has remained relatively
constant over last 3 to 4 years

Overall data summary cont’
Nursery performance has change little across
the reporting time period
Pigs/mated sow/ year has increased by almost
2 pigs from 2008 to 2013.
Pigs/mated sow/ year was essentially the same
between 2012 and 2013.
No improvement since 2011
Why ?? First signs of PED??
Again, litters/mated sow/year has changed
little during the time period

Overall data summary cont’
Percent pre-weaning mortality has increased.
Increased in 2013 to 17.3% from 15.5% in 2012
Early signs of PED??
Represents lost opportunity
Easy to improve??
 Weaning age has increased by 2 days from
2008 to 2013.
 19.7 days in 2008 to 21.9 days in 2013
 Weaning weight has increased by 2 lb.

Table descriptions
Tables 6-9 and 14-17 have the average and
standard deviation for each key productivity
indicator by top 10% and bottom 25% of farms
in each production stage, respectively.
Farms in each percentile were determined for
each KPI
Farms in each percentile were not the same for each
production indicator
The top and bottom were defined as desirable or
undesirable for each trait (rather than higher or
lower)

Top 10%

Top 10% summary
Separate out to understand performance levels
attained by the very best operations for each
KPI.
Demonstrates at least what potential is
Top 10% farms pigs/mated sow/ year was 28.5
Where are the 30 PSY herds
Demonstrates how difficult it is to achieve and sustain
the outstanding performance for any of the KPIs
Recognize that top performance can contribute
to reduced trait variation

Top 10% summary
Performance is what sets producers / operations
apart
Reduced variation can also be important
Caution – by definition variation (standard deviation) should be
smaller when the overall group is divided into
subgroups.
– variation or standard deviation more comparable when
comparing two subclasses with each other.

Table 6. Conventional finisher average (±standard deviation) productivity from 2008 to 2013 for farms in
the top 10% for each production indicatora
2008 2009 2010 2011 2012 2013
Percent
Mortality 1.90 (±0.56) 1.50 (±0.46) 1.44 (±0.42) 1.37 (±0.41) 1.62 (±0.44) 1.62 (±0.50)
Finishing
Weight (lbs) 291.3 (±10.2) 292.8 (±8.8) 291.3 (±6.9) 293.9 (±7.8) 292.7 (±11.4) 300.1 (±15.4)
Days in Finisher 106.0 (±5.5) 105.0 (±5.5) 106.8 (±5.0) 105.0 (±5.2) 103.5 (±5.7) 103.0 (±6.2)
Average Daily
Gain (lbs) 1.95 (±0.08) 2.00 (±0.09) 2.00 (±0.07) 2.05 (±0.09) 2.05 (±0.07) 2.10 (±0.11)
Feed
Conversionb
2.34 (±0.14) 2.35 (±0.13) 2.39 (±0.10) 2.38 (±0.08) 2.35 (±0.08) 2.34 (±0.09)
a
b

Table 7. Wean-to-finish average (±standard deviation) productivity from 2008 to 2013 for farms in the
top 10% for each production indicatora
2008 2009 2010 2011 2012 2013
Percent
Mortality 2.80 (±0.67) 2.54 (±0.65) 2.28 (±0.58) 2.34 (±0.44) 1.94 (±0.51) 2.19 (±0.61)
Finishing
Weight (lbs) 282.2 (±6.7) 282.2 (±4.7) 294.1 (±4.8) 295.5 (±3.5) 293.3 (±4.5) 297.2 (±5.5)
Days in Finisher 144.6 (±6.1) 146.8 (±6.6) 149.0 (±5.8) 152.1 (±2.9) 147.5 (±5.4) 148.7 (±8.1)
Average Daily
Gain (lbs) 1.75 (±0.05) 1.73 (±0.08) 1.74 (±0.06) 1.74 (±0.04) 1.76 (±0.06) 1.77 (±0.07)
Feed
Conversionb
2.23 (±0.12) 2.24 (±0.09) 2.23 (±0.05) 2.19 (±0.05) 2.21 (±0.04) 2.22 (±0.08)
a
b

Table 8. Nursery average (±standard deviation) productivity from 2008 to 2013 for farms in the top 10%
for each production indicatora
2008 2009 2010 2011 2012 2013
Percent
Mortality 1.06 (±0.36) 0.93 (±0.31) 0.95 (±0.34) 0.91 (±0.31) 0.94 (±0.28) 0.84 (±0.29)
Exit
Weight 68.7 (±8.5) 66.1 (±7.4) 68.5 (±9.1) 69.0 (±9.4) 65.8 (±4.2) 66.1 (±5.9)
Days in Nursery 36.6 (±3.9) 37.3 (±3.4) 38.3 (±3.9) 35.8 (±4.2) 36.3 (±3.3) 34.8 (±3.9)
Average Daily
Gain (lbs) 1.05 (±0.11) 1.05 (±0.08) 1.09 (±0.09) 1.08 (±0.11) 1.04 (±0.06) 1.07 (±0.09)
Feed
Conversionb
1.07 (±0.19) 1.11 (±0.18) 1.08 (±0.21) 1.16 (±0.15) 1.16 (±0.16) 1.18 (±0.16)
a
b

Table 9. Sow farm average (±standard deviation) productivity from 2008 to 2013 for farms in the top
10% for each production indicatora
2008 2009 2010 2011 2012 2013
Pigs/Mated
Sow/Year 27.5 (±1.4) 27.6 (±1.2) 27.7 (±1.2) 29.2 (±3.1) 28.5 (±2.0) 29.5 (±3.9)
Litters/Sow/Year 2.71 (±0.14) 2.67 (±0.13) 2.64 (±0.14) 2.69 (±0.17) 2.65 (±0.11) 2.74 (±0.24)
Total Born 14.1 (±0.7) 14.2 (±0.4) 14.7 (±0.5) 15.3 (±0.6) 15.1 (±0.4) 15.3 (±0.9)
Stillborn and
Mummies 0.59 (±0.14) 0.60 (±0.12) 0.62 (±0.10) 0.61 (±0.11) 0.55 (±0.13) 0.50 (±0.14)
Number Born
Alive 12.6 (±0.3) 12.9 (±0.4) 13.3 (±0.5) 13.9 (±0.6) 13.8 (±0.4) 14.0 (±0.8)
Number Weaned 10.9 (±0.3) 11.0 (±0.3) 11.2 (±0.4) 11.4 (±0.3) 11.5 (±0.3) 11.7 (±0.3)
Pre-weaning
Mortality % 5.2 (±3.4) 5.8 (±2.9) 4.6 (±4.3) 5.8 (±2.2) 5.6 (±3.5) 5.4 (±2.9)
Weaning Weight
(lbs) 14.9 (±1.5) 15.7 (±0.9) 15.5 (±1.1) 15.5 (±0.7) 16.2 (±0.8) 16.7 (±0.9)
Weaning Age
(d) 22.9 (±1.3) 24.7 (±1.3) 24.9 (±1.1) 25.4 (±1.4) 27.0 (±1.6) 27.8 (±1.8)
a

Top 10% summary
Separate out to understand performance levels
attained by the very best operations for each
KPI.
Demonstrates at least what potential is
Recognize that top performance can contribute
to reduced trait variation

Top 10% summary
Represents above average performance for
each KPI.
Does not describe the relationship with other
KPIs and ability to maintain all at top 10%.
Can use this to establish goals for certain KPIs
Be sure that when setting goals they are attainable and
are achievable in a reasonable time frame.
Realistic if you are in the bottom 25% to expect top 10%
performance within 6 months of establish new goals
Goals that are set too high are not seen as incentives by barn
workers

Top 10% Summary cont’
Highlights
Conventional market weight tops 300lbs for top 10% for
the first time in 2013
Same value for wean-to-finish was 297 in 2013
Days to market, ADG, and Feed Conversion essentially
unchanged from 2008 through 2013 in conventional and
wean-to-finishing operations
Nursery performance KPIs similar from 2012-2013
Pigs per mated female per year reached 29.5 in the top
10% in 2013
Pre-weaning mortality remains just above 5% for 2013

Bottom 25%

Comparison of Top 10% vs Bottom 25%
Conventional Finishing
 Huge difference in mortality Top 10% < 2% vs Bottom 25% >10%
average across 6 years
 Bottom 25% moving in right direction in recent years
 Below 9% 3 most recent years
 Bottom 25% sell at much light weight than Top 10%
 Bottom 25% 254.2 vs Top 10% 298.7
 Net 46 lb. difference at 0.84$/lb. live results in 38.64 for every pig
marketed in additional gross income
 Bottom 25% have more days in the finisher than the Top 10%
 Bottom 25% = 140 vs. Top 10% = 103
 Indicates the bottom 25% growing slower 1.56 vs. 2.00 lbs.
 Top 10% has much better feed conversion when compared to the
bottom 25%.
 Top 10% 2.37 vs. Bottom 25% 3.08

Comparison of Top 10% vs. Bottom 25%
Wean-to-Finish Finishing
 Early years data may be biased due to small sample number
 Huge difference in mortality Top 10% 2.5% vs. Bottom 25% >12%
average across 6 years
 Finishing weight Top 10% 288 lbs. vs. Bottom 25% 251 lbs.
 Bottom 25% averaged over 3 week more days in the finisher
 Top 10% 147.1 vs. Bottom 25% 177.5
 Consequently ADG differed between the groups
 Bottom 25% 1.62 vs. Top 10% at 2.10
 Top 10% feed conversion was 2.34 while the bottom 25% was 2.98

Nursery
Again substantial mortality differences
 Top 10% less than 1% (0.84) Bottom 25% 7.90 %
Top 10% nursery exit weight 66.1 lbs. while the Bottom 25%
was 39.9 lbs.
Days in the Nursery Top 10% 34.8 vs. Bottom 25% 51.7
Nursery Average Daily Gain Top 10% 1.07 lbs. /d vs. Bottom
25% 0.67 lbs./d
Feed conversion Top 10% 1.18 vs. Bottom 25% 1.69

Comparison of Top 10% vs Bottom 25%
Sow Farm
Trait Top 10% Bottom 25% Diff.
Pigs/Mated Sow/ Year 29.5 18.7 10.8
Litters/Mated Sow/ Year 2.74 2.00 0.74
Total born 15.3 12.1 3.2
Still born and mummies 0.50 1.67 1.17
Number born alive 14.0 11.2 1.8
Number weaned 11.7 8.8 2.9
Pre-weaning mortality 5.4 29.1 23.7
Weaning weight 16.7 11.5 5.2
Weaning age 27.8 18.6 9.2

Important to examine variation (standard
deviations) between groups
Mortality variation always lower for better performing
herds
May be near biological minimum and have less room to improve
Other traits where variation is greater among poorer
performing herds
Nursery, Grow-Finish & Wean-to-Finish
Feed conversion
Sow farm
Still born and mummies
Number weaned
Both traits correlated with each other

Important to examine variation (standard
deviations) between groups
Other traits where variation is greater among better
performing herds
Sow farm
Weaning weight
Weaning age
Both traits correlated with each other

Additional information available
Plots of averages
Top 25%
Average
Bottom 25%
Examine rate of change over time across relative
productivity levels
Seasonality estimates
Monthly averages across time using a more sophisticated
statistical model
Seasonality estimates tables – sets one month to average
0 and compares other months relative to the average
month
Seasonality summary

Full Report
The full report can be found at:
www.pork.org/animalscience

Thank you for your time and
attention !
Do you have any questions or
comments?

Dr. Ken Stalder - Pork Industry Productivity Analysis

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