Farmer Business School Handbook

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Farm Business School Materials for Extension Workers

FBS_HANDBOOK_2012_11_08_changes_accepted.doc 1

Farm Business School

Materials for ExtensionWorkers


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Table of Contents

INTRODUCTION ................................................................................................................ 5

PART 1: The Farm Business School ............................................................................... 7

1.1. Changing Extension: Evolving for advancing the capacity of farmers toengage ........................................................................................................................... 7

1.2. The Role of the Extension Worker in Farm Business Management .......... 9

1.3. What is a Farm Business School? ....................................................................... 11

1.4. Who Should Establish a Farm Business School? .......................................... 14

1.5. The Approach to Learning ................................................................................... 15

1.6. The Training Programme ......................................................................................20

Part 1 - Preparing the FBS .................................................................................20

Part 2 Preparing to farm as a business ....................................................... 21

Part 3 Planning the farm business ................................................................22

Part 4 Implementing the farm business plan ............................................22

Part 5 Reflection and Evaluation ..................................................................22

1.8. Orientation of Facilitators ..................................................................................24

1.9. Farm Business School Models .............................................................................24

1.10. Developing a Farm Business School process.................................................25

1.11. Farm Business School Cycle ...............................................................................27

1.12. Monitoring and Evaluating the FBS .................................................................36

1.13. Resource requirements .......................................................................................42

PART 2: Establishing an FBS system ..........................................................................45

2.1. Localising and adapting the FBS training materials.....................................45

2.2. Planning facilitator training ................................................................................47

2.3. Preparing for the training ...................................................................................48


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2.4. Conducting a training needs and wants assessment ....................................50

2.5. Setting goals for the FBS ................................................................................... 51

PART 3: Building Business Management Skills .........................................................533.1. Layout of exercises ...............................................................................................54

3.2. More about conducting exercises .....................................................................56

Farm Business School .....................................................................................................59

Exercises .............................................................................................................................59

Preparing to farm as a business ...................................................................................60

Key Business Concepts .....................................................................................................60

Entrepreneurship ........................................................................................................94

Negotiating skills.........................................................................................................99

The Current Farm Business .......................................................................................... 105

Analysing the farm business .................................................................................. 105

Appraising the market ............................................................................................. 116

Benchmarking ............................................................................................................. 123

Planning the Farm Business .......................................................................................... 131

Visions and goals for the farm business ............................................................ 131

Strategic Planning ..................................................................................................... 136

Farm enterprises ....................................................................................................... 144

Preparing and using a business plan ..................................................................... 155

Implementing a farm business plan ........................................................................... 175

Developing an action plan ........................................................................................ 175

Recordkeeping ............................................................................................................ 181

Purchasing inputs and materials ........................................................................... 190

Mobilising finance ..................................................................................................... 195

Linking to markets ................................................................................................... 204

Contract farming ....................................................................................................... 212


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Producing safe farm products .............................................................................. 223

Group business management ....................................................................................... 227

Reflection and Evaluation ............................................................................................ 236

Assessing the performance of the farm business plan ...................................... 236Reflecting on experiences and lessons learnt: Assessing the FBS and itslessons ............................................................................................................................... 243

Tools and Resources ...................................................................................................... 247

Enterprise budgets: Information and Practice .................................................... 248

Break-even........................................................................................................................ 262

More about Markets ..................................................................................................... 266

More about Farm Management Records ................................................................. 279

PART 4: Preparing for the Field............................................................................... 290

4.1. Recruiting and inviting participants ............................................................... 290

4.2. Establishing a FBS group .................................................................................. 294

4.3. Planning the FBS programme and timetable ............................................... 295

4.4. Facilitating the FBS sessions .......................................................................... 297

4.5. Graduation ............................................................................................................. 298

4.6. Mentoring and accompaniment ........................................................................ 298

RESOURCES FOR ORGANISING THE FBS ......................................................... 300

General guidance for FBS facilitators ..................................................................... 301

Tips for localising and adapting the Farm Business School (FBS) trainingmaterials ........................................................................................................................... 304


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INTRODUCTION

Dramatic changes are taking place in farming worldwide as a result ofglobalisation, liberalisation, and rapid urbanisation. Farmers are intensifyingexisting patterns of production and diversifying their farm enterprises in anattempt to improve their livelihoods. Technical know-how is not enough. Inorder to be competitive and take advantage of the new opportunities thatare arising farmers increasingly have to adapt their farm business tomarket changes and improve efficiency, profitability and income.

The desire to increase income by taking advantage of market opportunitiesrequires farmers to become better decision makers and better atcompeting in this new environment. The emphasis on the market and theneed of farmers to be competitive, calls for better farm management skills.Marketing and farm management have rapidly gained predominance globallyover the last two decades. Farm business management skills and knowledgeis recognised as important for farmers to effectively respond to presentday farming challenges. Farm management advice helps farmers to make theright choice between crop enterprises according to individual levels of

financial, labour and land endowments and at their level of risk adversity.

In response to these changes, the Food and Agriculture Organisation of theUnited Nations has developed a number of specialised training manuals inmarket-oriented farm business management. One of them is a set oftraining programmes for extension workers to help their farm managementskills so they, in turn can assist farmers. Manuals are available for thePacific, Caribbean, Asia, Africa and Latin America. These publicationsprovide training course guidelines, extensive theoretical and practicalexercise material, case studies and Power Points.

The aim of this manual is to build farmer capacity in entrepreneurial andmanagement skills. It does this through a "learning by doing" approach. TheFarmer Business School concept operates at village level. It enablesfarmers to learn and improve their knowledge, change their attitudes andenhance their skills toward improved farm commercialisation while working


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on their own farms. Extension officers and lead farmers are trained asfacilitators. They organise seasonal training programmes, where farmerswork in small groups at their own agreed time and duration. The materialsfor the FBS are specially designed to work with limited resources.

Participants need to be basically literate and numerate, but they do nothave to have had any significant formal education. The manuals providestep-by-step guidelines that take the facilitator and the farmers throughthe basics of farm business management following the production patternsof their own particular farms.


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PART 1:

The Farm Business School

1.1. Changing Extension: Evolving for advancingthe capacity of farmers to engage

In response to the increasing globalisation of national and internationalagricultural systems, Extension Services in many countries will need to

adapted to ensure that the farmers in their respective countries are able tocope with and hopefully benefit from these globalisation forces. This isparticularly important in developing countries because small- and medium-scale agriculture (where these are still a major part of the agriculturalsector) are negatively affected by globalisation as it advances. In manycountries we are seeing Extension Services shrinking due to budgetaryconstraints and to lack of clarity about their role.

Part of globalisation has been that international corporations have begun tobe major players in developing and disseminating agricultural technologiesinto developing countries a role that was traditionally played by PublicSector (Government) Extension Services. Another part of globalisation isthat food production is no longer exclusively a national priority foodproduction and food security are international issues. And it is vital that thesmall-scale farmers in developing countries are not only not swept aside bythis reality, but are positioned to participate in it and benefit from it.

There is increasing volatility in the supply of basic foods; sometimes a thereis a surplus and sometimes a shortfall. Farmers in developed countries have

orientated themselves towards profit-making whether their crops go to foodor are converted to other products such as ethanol.

In the face of all this, farmers in many countries have moved away fromtheir traditional production structures. They have opted for higher valuecrops and products; some have supplemented their production with off-farm


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work or even abandoned farming entirely. In effect, farmers have begun tosee the value of market-orientated farming, but often lack the skills andnetworks needed to engage effectively. Similarly, Extension Services, withtheir traditional approaches and national food security framework, are also

ill equipped to support farmers in meeting these challenges.

Extension services have to evolve and adapt along a number of lines if theyare to help farmers to keep pace with the worldwide changes and to benefitfrom them. These include:

1) Helping farmers to organise or reorganise at the individual farm leveland collectively to capitalise on efficiencies for input supply,production and marketing and value adding.

2) Shift focus from production extension to farm management extensionfocused on profitability1

3) Specifically shifting extension services to actively support market-orientated farming including appropriate training/retraining,structuring, and extension delivery policy.

4) Shift focus from increasing staple foods to higher value products

5) Adopt a learning framework for extension that builds the capacity ofthe farmer to manage increasingly complex farm management

opportunities and challenges.

This handbook contributes to this evolution of extension services byproviding a practical guide which together with the parallelorientation/training programme will facilitate the positioning of extensionworkers and extension services to where they can provide support tofarmers who are entering or expanding into market-orientated farming.

1 Farm Management Extension (FME) is different from Farm Business ManagementExtension FBME). FBME focuses primarily on the economic aspects of the farm business,whereas FME deals with production, economics and other business elements of the wholefarm business. This hand book addresses farm business management.


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1.2. The Role of the Extension Worker in FarmBusiness Management

In order for smaller-scale farmers to participate in and benefit from thedemands and opportunities presented by the globalisation processes, theywill need relevant farm management information and advice. They will needinformation on what to produce and sell, how to sell it, where to sell it and towhom, and what inputs to buy and from whom. In short, they will need adviceon production and market opportunities.

In addition to information and advice, farmers will also need assistance in

building farm management knowledge and skills. The desire to increaseincome by taking advantage of market opportunities requires farmers tobecome better decision makers and better at competing in this newenvironment. The emphasis on the market and the need of farmers to becompetitive, calls for better farm management skills. Marketing and farmmanagement have rapidly gained predominance globally over the last twodecades. Farm business management skills and knowledge is recognised asimportant for farmers to effectively respond to present day farmingchallenges. Farm management advice helps farmers to make the right choicebetween crop enterprises according to individual levels of financial, labourand land endowments and at their level of risk adversity.

A farm business management extension worker is well suited to meet thisgrowing need amongst farmers. The range of work of a farm businessmanagement extension worker is far broader than that of a traditionalextension worker. This range is captured the figure 1. In order to be able todevelop the farm business management capacity of smaller-scale farmersimplies that extension workers must also have this knowledge and skills.Further, they will also need the capacity and skills to train farmers and will

need a workable training programme tailored to smaller-scale farmersmaking the transition into market-orientated farming. [This is the aim of theFarm Business School and of this Handbook.]

Therefore, extension workers will be among the best candidates to betrained as FBS facilitators.


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Whether or not an extension worker is trained to serve as a FBS facilitator,the extension worker will also be a key player in setting up and maintainingthe FBS system. Key among the responsibilities are:

Promoting FBSs Organising farmers Assessing farmer needs and wants Assessing FBS opportunities Linking with agencies, suppliers, entrepreneurs and other individuals

who can contribute to the success of the FBS programme

FARM BUSINESS MANAGEMENT EXTENSION

WORKERFacilitator of learningInformation broker

Outcome:Improved

profitability;Increased

Income

Farmer:Improved

business andentrepreneurial

skills andcompetencies

and

farm businessmanagementinformation

Research andinformation sharing

InputInformation

ProductionInformation

MarketInformation(research)

Building farmercapacity

InputKnowledge, skills

and attitudes

ProductionKnowledge, skills

and attitudes

MarketKnowledge, skills

and attitudes

Figure 1: The range of work of a farm business management extension worker


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An extension worker has many tasks to perform and it is unlikely that hewould dedicate all of his time to promoting, running or following-up on FBSprogrammes. However, promoting and supporting good decision-making byfarmers is part of the daily work of any extension worker. In this way, even

if they are not working directly on an FBS, extension workers can promoteand otherwise help farmers learn about and apply farm business principlesand practices. To do this, extension workers will need to be fairlycomfortable with farm business management concepts, principles and tooland with how they are applied to any farm business situation. They will alsoneed to understand how these fit into varying production systems.

The aim is always to build capacity among farmers. The key way to do thisoutside of the FBS is by asking farmers questions about the way they run

their farm businesses. Then can help them explore the reasons behind thedecisions they make and the basis on which they are made. Through suchquestion-based conversations between extension workers and farmers,farmers can discover better farm business practices in direct relation totheir farms.

One of the long-term objectives of such a conversation-based relationship isfostering discovery thinking among farmers where they reflexively diagnose,plan, act and reflect on their farm businesses and their farm businessdecisions. This will assist farmers in continually improving the productivityand profitability of their farm businesses.

1.3. What is a Farm Business School?

The Farm Business School is a new idea. The purpose is to work with farmersto help them build knowledge and skills to make their farms more profitable.They will do this by learning about business. And they will do this where theylive. The FBS programme takes the school to the farmers.

The FBS has been developed by the Rural Infrastructure and Agro-Industries Division (AGS) of the Food and Agriculture Organization of theUnited Nations (FAO). It is intended to develop capacity and skills in farmbusiness management among smallholder farmers and support the transition


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towards market-oriented farming. The concept of the FBS was inspiredlargely by the experience of Farmer Field Schools (FFS).2

The FBS is a curriculum-based approach to extension that aims at

developing the entrepreneurial skills and competencies of farmers. As anextension approach, the FBS aims at strengthening farmers knowledge andskills through learning-by-doing. The objective of the FBS is to helpfarmers learn how to make their farming enterprises and overall farmoperations profitable and able to respond to market demands. It enablesfarmers to learn and improve their knowledge, change their attitudes andenhance their skills needed for farm commercialization while working ontheir own farms.

The FBS is based on four fundamental principles:

i) Facilitation and not teaching: Farmers learn by working together inmeetings. They are largely responsible for their own learning. The farmbusiness management extension worker is the facilitator and is there toensure the smooth running of the FBS and ensure that all materials andactivities are covered.

ii) Learning-bydoing: Learning is conducted through discussion, practiceand reflection with an emphasis given to practical aspects of instruction thatcan be applied on farmers own farms.

iii) Interactive and responsive: The course consists of a series ofstructured exercises prepared largely as reference materials. However, it isexpected to be used flexibly and in response to the demand of theparticipants.

iv) Season-long: The programme is designed so that it can extend over anentire season so that learning is synchronised with different stages in the

production cycle, with the length differing according to the farmenterprises selected. It can also be taught in other formats such as shortcourses and concentrated training courses.

2 See: http://www.fao.org/docrep/006/ad487e/ad487e00.htm


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The FBS process is guided by a set of training materials prepared forfacilitators and farmers. There is also an organisational component wherefarmers are formed into small groups to build collectively their capacity toproduce for the market and respond to market demands with the aim of

generating profits. Extension workers serving as FBS facilitators aresupported by back-up teams of specialists to coach and mentor them inassisting farmers to manage their farms as a business.

The FBS takes participants through a series of practical applications inwhich they learn about farm business management concepts, tools andpractices, based on their local knowledge and skills. The focus of theapproach is to build on what farmers and extension workers know and to addvalue to this knowledge. When the programme is offered on a seasonal basis,

participants apply what they have learned in the FBS meetings to theirfarming businesses and bring what they have learned back to the FBS toshare and compare results.

The FBS aims at setting up schools at community level, where farmers canwork in small groups at their own pace and at an agreed time and duration.The process is facilitated by an extension worker. The approach has theflexibility to fit into current farming operations and follows local necessitiesand needs.

The FBS has six main characteristics:i) It focuses on content by providing practical exercises to facilitate

learning of specific knowledge and skills exercises can be organisedinto unique learning programmes;

ii) It is based on experiential learning;iii)It involves facilitated farmer learning led by a trained extension

worker;iv)It is designed around selected farm enterprise that can be produced

locally;

v) It covers the production cycle from planning to marketing; andvi)Learning is linked to real farm settings to reinforce learning and to

deliver more immediate impact.

What it isIn brief, a FBS is a:


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Programme of learning designed to help small holder farmers inproducing for the market making their farms work profitably

Programme of learning designed to help small holder farmers inproducing for the market making their farms work profitably

Venuethat brings farmers together to carry out collective andcollaborative action to address business and marketing problemsand opportunities.

Forumfor sharing knowledge between farmers through discussion,practical exercises and self-study

What it is notA FBS is:

Not intended to teach farmers how to producecertain crops or manage livestock. It is assumed that they willalready have this knowledge or can acquire it through othersources.

Not a set of lectures. Exchanges of information andknowledge are facilitated through the meetings/sessions, withobservations, dialogues, and discussions.

1.4. Who Should Establish a Farm BusinessSchool?

While the handbook is geared toward extension workers at the facilities ofthe FBS curricula, there are no restrictions on or requirements governingwho should establish a FBS, an FBS can be started by any number of peopleor agencies including public sector extension services, NGOs, commoditygroups with advisory services, farmers associations and cooperatives, andcolleges and universities.


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Whoever establishes a FSB will need to be able to provide the necessaryback-up teams of specialists to coach and mentor the trainers. The FBS isnot a once-off training event; it should be part of an extended strategy to

build farm business capacity among farmers.

Whoever establishes a FBS will need to have the capacity to meet thestandards set by the approach to learning set out in the next section. Theywill also need to be able to carry out the following tasks:

Create awareness and identify and select potential FBS participants.

Design and organise a number of farm level training programmesamongst interested farmers. The training programmes will each be

held at a specific location and will run for a whole season.

Recruit and train farmers as FBS facilitators to help you withsubsequent rounds of farmer training.

Mentor farmer groups and give them back-up support as and whenneeded.

Keep in touch with other FBS facilitators to collectively identifyopportunities for further training as well as reflect on lessons learnedand areas of improvement for the next FBS rollout.

1.5. The Approach to Learning

The FBS learning process closely adheres to what is called the ParticipatoryMutual Training and Learning Approach (PMTLA). The PMTLA is a groupprocess that facilitates training and learning among adults. The participantslearn by doing and through sharing their knowledge and experiences.

The process involves the participation of people with common interest andpurpose. There are no instructors or teachers, but only facilitators. Theparticipants mainly learn from each other. The learning moves from theknown to the unknown, from the easy to the difficult and from the simple tocomplex. It is guided by a curriculum that facilitates learning.


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The training and learning is organised and structured. The FBS requires afacilitator and structured modules to guide and support the group trainingand learning process. Through the process, the participants generate newpractical knowledge and ideas. They learn what to do, how to do it, the cost

involved, the potential problems to be confronted and the benefits it willbring.

The PMTLA approach enables the participants to learn from each other. Theapproach is based on three principles:

Reflection and sharing. The participants in the training reflecton the topic, share experience, knowledge and understanding on thesubject. It begins with what the participants know.

Generating new knowledge.Here new knowledge is createdbased on existing capacity and exchanges plus new concepts derivedfrom the FBS

Motivating innovation and creativity. The new knowledge andinsights helps the participants to innovate, to develop new ideas fromold ones and to create completely new ideas from the insights gained.

The FBS differs from conventional farm management approaches, which aremethods/ tool based and dependent on the availability of data. The FBSapproach is 'entrepreneurial', and relies on simpler decision supporttools, checklists and strategic questions. It is based on the real experiencesof the participants on their own farms.

Discussion, practical exercises and self-study enable farmer participants toshare ideas, offer advice, experiment and formulate opinions on whether apractice will work on their farm and for their farm.

The learning generated is consolidated and reinforced through action thatis, through implementing what they have learned on their own farms. Theessence and the dynamics of this approach to learning are captured in theexperiential learning model set out in figure 2.


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Figure 2: The experiential learning model

Source: Adapted from Kolb, 1984

It is all about building capacity among the farmers

The underlying aim of a FBS is to build capacity among farmers in the areaof farm business management. This carries with it the followingconsiderations:

Rather than solving business problems for farmers, farmers developthe knowledge and skill necessary to dig into the problems they face to understand them and their causes.

The programme actively works to reduce the tendency to createdependency on external sources of expertise and where suchresources are needed, to be able to engage with them wisely andconfidently.

To strengthen learning, the programme and the way it is facilitatedincludes simple exploratory exercises that are relevant to theparticipants own farm and with which the group can readily engage in

an action orientated way.

Knowledge and skills are not learned in an abstract way. Theprogramme fosters the use of knowledge and skills gained to makefarm-specific business management decisions instead of adoptinggeneric answers and recommendations developed remotely by

Experience

Idea Generation

Reflective ObservationPracticalExperimentation


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specialists not directly affected by the outcomes of the decisionsmade.

The programme recognises that decision-making processes in a farmbusiness even a small-scale farm business are complex and require

an iterative approach to make.

Sharing learning with other farmers after completing the programmeis encouraged as a means of developing extending and adapting theacquired knowledge and skills among neighbouring farmers and farmingcommunities

Within the overall framework of fostering a continuous learningenvironment, the programme will initiate the establishment ofnetworks that the farmers will maintain and extend to facilitate

reflexive learning about particular farm business problems andopportunities and ways to address them, through personal observation,meaningful conversation and participation in real-world learning-by-doing exercises.

Participating farmers will be expected and encouraged to draw ontheir own experience and observations, to learn, to assist learning byother farmers and to real decisions relevant to their own farmbusinesses.

The approach facilitates the following learning outcomes among theparticipants:

Heightened awareness, knowledge and skills on variousaspects of farm business management;

Sharpened inter-personal and communication skills;Critical thinking about the knowledge and skills acquired and their

application in a farm business;

A change in attitude and behaviour supporting positive actionand continuous reflection-driven learning;

Better performance and increased productivity;


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A stronger team focus and improved capacity for groupcooperation and collaboration among colleagues and stakeholders inthe value chain.

The training also helps to strengthen generic skills, especially:

Observation skills;

Social and behavioural skills;

Communication skills;

Analytical skills; and

Decision-making skills.

To be fully successful:

The approach must be adapted and linked to the actual farmingactivities of the participants. Any theoretical learning is immediatelyreinforced by application and practice.

The participants must be committed to walking the path oftransformation and change leading to profit- and market-orientatedfarming.

Outcomes:Three critical outcomes of the FBS are:

Farmers will make decisions about their farm businesses that arebased on their own experiences, observations and analyses to


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increasingly improve the sustainability of their farms; and will beable to continue making such decisions post-training;

It is expected that farmers will pass on the knowledge and skills theyhave learnt to others.

Some of the participating farmers may become facilitatorsthemselves. The more promising farmers graduating from the FBScan be trained to serve as trainers for other farmer groups.

1.6. The Training Programme

The training materials are designed around the concept of the farm businesscycle. This is described using figure 3.

Figure 3: The farm business cycle

The FBS training programme covers all four of these aspects of farm

business management. It is recommended that a FBS programme is dividedinto five parts: 1) Preparing the FBS; 2) Preparing to farm as a business; 3)Planning the farm business, 4) Implementing a farm business plan; and 5)Reflection and evaluation.

Part 1 - Preparing the FBS

1.DIAGNOSIS ANDFINDING OPPORTUNITIES

2. PLANNING4. EVALUATING

3. IMPLEMENTING


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(preferably conducted prior to the beginning of the production season)

It is recommended that the FBS facilitator organise a session to consultwith the participating farmers about how to organise their FBS. This part of

the programme should:

Help the participating farmers get to know one another

Establish the ground rules for running the school

Confirm the training needs and wants of the participating farmers

Set out the curriculum the FBS will follow and when meetings will beheld

Ideally: The FBS programme should be based on a careful assessment of the

current business management knowledge and skills of the participatingfarmers. It should cover the three main aspects of farm businessmanagement presented in this Handbook (preparing to farm as abusiness, planning the farm business, implementing a farm businessplan, reflection and evaluation.

Meetings should be held regularly, in an easily remembered pattern(e.g. once a week)

The final programme should be written and a copy given to each of the

participating farmers.

This Handbook does not provide any specific exercises for this part of theprogramme. The facilitator is encouraged to be creative in designingexercises that will ensure genuine participating of the farmers.

Part 2 Preparing to farm as a business(preferably conducted prior to the beginning of the production season)

The Handbook provides 25 exercises for this part of the FBS. They aredivided into two sections: Key business concepts; and Entrepreneurship.These exercises provide training in some basic business managementconcepts, knowledge and skills that are essential to profitably farm businessmanagement.


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Part 3 Planning the farm business(preferably conducted prior to the beginning of the production season)

In this part of the programme, the participating farmers set goals for theirfarms and develop business plans to achieve those goals. Then they workthrough a series of exercises to learn how to examine their farms and toplan for the coming season. They will develop an initial farm business planthat will be implemented in the next season. For those farmers who havenever done a formal farm business plan, it is recommended that they developa plan for just one enterprise on their farm and not for all the enterpriseson the farm. There will ample opportunity to develop more comprehensive

farm business plans after they have learned from their first attempt.

The Handbook provides 17 exercises to guide learning in this part of theFBS.

Part 4 Implementing the farm business plan(preferably conducted during the production season)

In this part of the programme, the participants implement their farmbusiness plans. The Handbook provides 20 exercises to support learning inthis area. They cover developing an implementation plan, selecting inputsuppliers, mobilising finance, marketing, record-keeping producing safe andquality products and group business management.

Part 5 Reflection and Evaluation(preferably conducted after the production season)

When the season is over, the participating farmers start the fifth and lastpart of the programme. It is divided into two sections: reflecting andevaluating the implementation and results of their farm business plans; andreflecting and evaluating the FBS programme and lessons learnt.


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Reflecting and evaluating their farm business plans entails discussing howwell the plans worked. They identify what worked and what did not work sowell. They discuss challenges they encountered in implementing the plan andhow they handled them. They identify the things they did that they want to

repeat, and thing they did that they want to change.

It is strongly encouraged that, after reflecting and evaluating the progressthey made with their farm businesses, the participating farmers shoulddevelop a new farm business plan for the next season. It is furtherencouraged that this second plan be developed for all the enterprises on thefarm.

The Handbook provides nine (9) exercises to guide the reflection and

evaluation of the farm business plans.

Reflecting and evaluating the FBS programme and lessons learnt entailsdiscussing the value and relevance of the lessons provided in the FBS. Werethey helpful? Were they relevant? How can they be improved? This sectionalso evaluates how well the particular FBS was run. What was mosteffective? What needs to be improved and how? These reflections andevaluations help the FBS organisers and facilitators continually improve thelessons, exercises and processes used by the FBS system.

1.7. Additional Materials: Tools and Resources

In addition to the 88 exercises covering the core lessons of the FBS(presented in Part 4 of the Handbook), additional farm business managementtools and resources These materials are at a higher level and offer greaterdetail on some of the concepts presented in the core exercises. They can beused to augment the FBS programme and to expand the facilitators

knowledge and skill base. In the spirit of this, the facilitator is encouragedto further augment the FBS programme and his own knowledge and skills byreading and making use of materials from other sources that are relevant tothe FBS learning programme.


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1.8. Orientation of Facilitators

Prior to setting up a FBS, facilitators must be orientated in terms of setting

up and running an FBS and in terms of the programme materials set out inthis Hand Book. It is envisaged, that for experienced facilitators/trainers,such an orientation could be completed in 5 days. For Extension Workerswho are less experienced facilitators/trainers and/or who are not veryfamiliar with farm business management concepts, terminology and tools, theorientation programme may take longer.

Whether a short or longer orientation programme is used, the followingissues should be covered during a Training of Facilitators Programme:

The FBS methodology; The links between the farm business, the market and other external

linkages; Facilitators roles, responsibilities, code of conduct and ethics; Developing a FBS curriculum; Participatory and gender-sensitive facilitation skills; Using creative techniques of learning; Identifying common enterprises; Working with resource people; Organising and managing a FBS; Collaborating with government, NGOs, and other partners; and Ensuring ownership of the FBS by participants.

1.9. Farm Business School Models

There are four contexts in which a FBS is likely to be set up. It is importantthat the host agency determines what the most relevant context is for eachFBS to set up. This will make it possible to plan according to the needs ofeach FBS. This will help make each programme more relevant and interestingto the group and will help create and sustain interest.


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Scenario 1: Participating farmers have not previously been set up as agroup and have no knowledge of which enterprise(s) to work on.

Scenario 2: Participating farmers have not been set up as a group but

members know which enterprise(s) to focus attention on.

Scenario 3: Participating farmers have already been set up as a group buthave no knowledge of which enterprise (s) to work on.

Scenario 4: Participating farmers have previously been set up as a groupand have already chosen an enterprise(s).

In all four cases there are two additional scenarios:

a) The participating farmers have basic farm business management skills;or

b) The participating farmers have no previous business/farm businessmanagement exposure.

1.10.Developing a Farm Business School process

After orientation and training, the FBS facilitator will want to get started aquickly as possible. Presumably, the training has been approved and takenplace with the intention of starting a series of FBSs. Section 1.9. FarmBusiness Cycle provides more details about the stages of a FBS. This sectionsummarises the work of the FBS facilitator after training:

Creating interest and receptivity Identify and visit communities where a FBS can be set up. Promote the FBS with all community members.

Arrange a first meeting with all community members/farmers. Verify who may be interested in participating in a FBS. From among these, find farmers who are interested, motivated and

willing to participate in and help set up a FBS.

Preparations


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Arrange follow-up meetings with interested farmers to plan the FBSincluding deciding on the number and timing of meeting and themodules to cover. (This can be changed as the FBS progresses and theparticipants develop new interests or concerns)

Organise a meeting venue(s). Once a FBS is ready to start set the FBS around local needs in terms

of the programme to be covered and other required adaptations. Tailor the exercises for the selected audience (e.g. literate; semi

literate; non-literate). Ensure that the FBS Training of Farmers Manual is adapted

accordingly, for example translating the manual into local language ofdialect.

Initiate the FBS.

Throughout these first two stages, be patient and determined; it may take along time to start a FBS formally.

Implementing (During the FBS) Stay attuned to the progress of the participants and make

adjustments along the way (record these adjustments for futurereference).

Observe and make evaluations of participants who could possibly

become a facilitator once the FBS has been completed.

Post-Implementation Visit participants in their homes (or make arrangements for other

Extension Workers to visit them) to follow up on their efforts toapply the knowledge and skills gained at the FBS to their farm. Offersupport where needed. Determine if refresher training is needed andwhat additional training might be needed.

Select the potential facilitators and train them using the FBS

Facilitator Orientation Programme (adapted to suit the needs of eachgroup of trainees). Once the trainee farmer facilitators have graduated from the course,

mentor and coach them in setting up FBSs.


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1.11.Farm Business School Cycle

The FBS group will go through various stages in the course of the FBSprogramme. Knowing about these will give the FBS facilitator a better idea

of how to intervene at each phase of the FBS process. The facilitator needsto help the group move through the various stages. He needs to support thegroup in identifying the steps and maintaining motivation.

During group establishment the facilitator needs to create an environment inwhich farmers individually and the group as a whole feel free to learn,experience, reflect and possibly change. Dialogue, discussions, doingexercises and experiencing will all be important in achieving the following:

Establish a learning environment Rejuvenate the learning experience over time Help farmers experience what can be accomplished by working

together Develop group bonds Develop group relationships Make farmers alert Stimulate the flow of communications between farmers Encourage everybody to participate and learn

Develop new skills Expose farmers to new ways of judging their own actions, particularly

in relation to group work Enable farmers to analyse and reflect, before taking action

For the successful formation of a group within the context of the FBS,there are five major issues that must be taken into consideration:

Leadership Contributions FBS group contract Record keeping and Group accountability and self-responsibility


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Leadership:All farmers participating in the FBS are leaders; no singlefarmer or a small group of farmers takes the lead alone. In groups, farmers,who are the most out-going and the most decisive, usually become informalleaders of the group. This needs to be averted. The FBS requires

participatory leadership. This means that all farmers have a leadership roleto play and must have equal opportunities to participate. The skills andabilities of each farmer should be used as much as possible to strengthenthe group; this can be achieved if all farmers are themselves participatoryleaders.

Contributions:Contributions come in three important ways: first, by eachfarmer regularly attending the scheduled FBS sessions; second, by activelyparticipating during the sessions; and third, by contributing materially to the

work of the FBS group.

Regular attendance: The strength of the FBS is in the collective work ofthe whole group. Learning increases when all the group members regularlyattend the meetings. Farmers who do not attend regularly will fall behindand may eventually feel left out. The rest of the farmers who attendregularly will begin to feel it is not fair that they must carry all the work.Regular attendance will help build group unity and unity will improvegroup and individual farmer learning.

Active participation: Each farmer has a unique story to tell and insightto offer. Each farmer is like a mine rich in gems; through the FBSprogramme these gems can be discovered, polished and used to benefitthe farmer and others. Asking questions, sharing ideas, participating inthe exercises are all important contributions to the learning of the wholegroup. Universal participation should be the standard.

Material contributions: The FBS operates with minimal external inputs.Learning materials are provided by the organisers of the FBS, but the

practical exercises rely on the contributions of the participating farmers.For example, the group may decide to set up a small crop unit to use as acollective learning space. This might require seed, fertiliser, fencingmaterials, equipment, etc. It will be up to the participating farmers toprovide these materials. They will also need to provide labour to work thisproduction unit. It would not be fair if only a few of the farmerscontributed. The group will need to consult about such contributions and


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agree on a fair plan. Similarly, if the group decides to travel to visit, forexample, a market, or to hold a special event, the group will need to agreehow cover the costs.

FBS Group Contract:Each FBS group needs a group contract or a set ofground rules; sometimes this is called a constitution. Whatever term is used,the group contract is very important to building the FBS group and for thesmooth running of the FBS. The contract should cover the following issues:

Expectations in terms of attending meetings Behaviour between the members of the FBS group, particularly during

meetings Expectations in terms of farmers contributions to the cost of running

the FBS Rules for running meetings; for example, how decisions are made, what

records to keep and who will keep them Other matters that the group feels are needed to make sure that

unity is maintained and that the FBS runs smoothly.

Keeping records:The group needs a collective memory about what it hasdone. If such a memory is not in place it will lead to misunderstandings,confusion and possibly arguments. Farmers will have to take turns takingresponsibility for taking notes about what has been said, discussed and

agreed upon in meetings. Recordkeeping should be part of the groupcontract. The kinds of records to consider keeping are:

Notes of what has been discussed and agreed Keeping track of what has been contributed to the FBS enterprises by

members or others Keeping track of any materials or equipment owned or being held by

the FBS

The records can be very simple. The important thing is that the records aredone in such a way that all farmers understand them; all agree to them andall in turn take the job of filling in the records. Record keeping needs to bedone on a regular basis: every meeting and activity carried out by the FBS.Records need to be kept in a safe place where they can be easily located andretrieved if the group needs to refer to them.


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Group accountability and self-responsibility:The group needs toreach a stage where it is guided and kept alive by the member farmerswithout the intervention or help of the FBS facilitator. Farmers, as themeetings continue over time, should develop their skills in leadership and

working together, in making rules and keeping records and in generallymanaging the running of the FBS.

In the initial phases of group establishment the facilitator will have to takegreater initiative and encourage the other participants. As the group movesforward over time, they should start taking initiatives themselves; if they donot they need to be encouraged and assisted to do so. Farmers need to buildtheir confidence, self-esteem. One way they can do this by recognising theirknowledge and skills and the positive aspects of group working. Another is by

practising leadership roles, taking turns chairing sessions, and otherorganisational responsibilities.

As farmers become more self-responsible, the facilitator will need tomonitor them and provide feedback on their progress. Simple monitoringfactors for self-responsibility include:

Regularity of group meetings How many farmers come to meetings How many actively participate Sharing of responsibilities Joint decision making Handling of disagreements and conflict Group problem solving

There are 5 stages in the life cycle of a FBS group:

1)Forming2)Storming

3)Norming4)Performing

5)Graduating

Stage 1: Forming:


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When first establishing a group, relationships are characterised bydependence. Farmers may or may not know each other well. They will ask alot of questions about the purpose and task of the FBS, look for guidanceand leadership and are uncertain about how to behave and are often

impatient for action.

In this stage farmers have a desire for acceptance by the group and a needto know that the group is safe. They set about learning about the

similarities and differences among them and forming preferences. Rules ofbehaviour help to keep things simple and to avoid controversy. Serious topicsand feelings are usually avoided at this stage. To grow from this stage to thenext, each member must give up the comfort of non-threatening topics andrisk the possibility of conflict.

During the forming stage the main tasks of the facilitator are: Introduce participants Create a relaxed and fun environment Explain purpose of the FBS Encourage participants to talk to each other Encourage participants to work with each other, using exercises Get all participants to agree on when to meet, where, and for how long Get participants to start developing rules/group contract Get participants to develop objectives Explain the participatory leadership approach

Stage 2: Storming:In the storming stage the members of the group is characterised byconflict. Different ideas about what they should do and how to do it willemerge. There may also be competition and conflict in personal relations.Conflict will

As participants attempt to organise, such conflict will inevitably occur.Participants have to try and understand other participants. This will requirethem to bend their feelings, ideas, attitudes, and beliefs to suit the group.

Because of "fear of exposure" or "fear of failure," there will be an increasedfocus on how the group works and its rules. While this is useful, it should not


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become the dominant issue of discussion, as excessive attention to rules andsmaller details can be used as a means of avoiding harder and moreimportant issues.

Although conflicts may or may not surface as group issues, they do exist.Questions will arise about various matters. For example, who is going to beresponsible for what, etc.? These reflect conflicts over leadership,structure, power, and authority.

At this stage some participants may withdraw from the FBS, but this mustnot stop the work in progress of the group or the FBS itself. There may be

changes in participants behaviour based on emerging issues of competitionand hostilities. Because of the discomfort generated during this stage, some

participants may remain completely silent, while others attempt to dominate.

At this stage you need to intervene and implement participatory leadership.In order to progress to the next stage, participants must move from a"testing and proving" mentality to a problem-solving mentality. The mostimportant factor at this point for you in helping participants to move on tothe next stage is the ability to listen.At this stage your main tasks are:

Listen actively Clarify purpose and goals Celebrate achievements made by the participants, however small Do not let conflict block group working and development Develop further ground rules for dealing with conflict and other

issues that may be needed Encourage progress Implement participatory leadership

Note that in group development, it may well be that groups get to this point

and then stop working. You have to take this into consideration. You alsohave to consider that it can happen at any of the stages of the group lifecycle.

Stage 3: Norming:


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This stage is characterised by unity. Participants start to feel more united.They have a shared vision about the FBS and more generally about theirfarming businesses. They have a common goal.

Typically each participant will actively acknowledge the contributions of allthe other participants. They will also engage in team building andmaintenance, and solving team issues. Instead of defending themselves,participants are willing to change their ideas and opinions on the basis offacts presented by other participants in discussion and dialogue. Theyactively ask questions of one another.

When participants begin to know and identify with one another, the level oftrust increases and this contributes to the development of group unity. It is

during this stage of development that participants begin to experience asense of group belonging and a feeling of relief as a result of resolvingconflicts.

Communication between participants is a key function of this stage; sharingfeelings and ideas, soliciting and giving feedback to one another, andexploring actions related to the matter being discussed. Creativity is high.Interactions are characterised by openness and sharing of information onboth a personal and task level. Participants feel good about being part of agroup that is working.

At this stage the main tasks of the facilitator are: Support communication and animated dialogue among participants Help participants to learn from their mistakes and successes Celebrate achievements Give greater opportunities for participants to selfmanage FBS

meetings Make and take progress checks to evaluate the progress of the FBS,

and if necessary intervene Support growing independence

At this stage the team is starting to become fully independent and startingto become effective; it is ready to start performing. The facilitators rolewill change somewhat because dependency on him should be reducing. Thefacilitator should support this development and take great care not to keep


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the group dependent on him. This is often a challenge for the facilitator, butit is very important to work at it. Bear in mind the factors that make a teamperform:

Context: This means the overall environment in whichparticipants work together in, for example thelocation, how discussions are carried out, the

prevailing concerns, etc.

Group size: If the group is too small there will not be enoughenergy to carry the group. If it is too big it can behard to manage.

Unity indiversity: Similarities and differences among group membersand their behaviours. Diversity is good; a unifiedgroup celebrates its diversity. A unified group canaccomplish much; a disunified group achieves verylittle.

Shared visionand understanding:

This will bring the diverse thoughts, temperamentsand ideas together and will strengthen the unity ofthe group

Goals: Clear goals for the team that do not conflict witheach other. The keep the consultation and thework focused and provide the basis for evaluating

progress.

Ground Rules: Ground rules create a known and safe workingspace for the participants. They set the limits ofbehaviour and interactionthus contribute to theunity of the group. Ground rules should be assimple and clear as possible

Participatoryleadership:

All groups need leadership. Participatoryleadership will make the group stronger for longer.

Stage 4: Performing:


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At this stage, the group starts making real and visible progress towards itvision and goals. Participants will have good personal relationships. They willbe relying on each other. Participants will work independently as a group.

In this stage participants will be good at problem solving, analysing andtaking action and will be productive. Each participant will be self-responsibleand confident and assured of the acceptance and support of the rest of theparticipants. There is strong unity: Group identity is complete, group moraleis high, and group loyalty is intense.

At this stage the group will be moving along on its own, it will be nearly self-responsible. Participants will see the group as being effective, performingimportant and valuable functions, and being independent in carrying out

exercises. Participants will experience a sense of importance, significanceand impact on what they want to achieve.

The role of the facilitator will diminish considerably; the main tasks are: Reduce the role as facilitator, since participants are performing on

their own Monitor and evaluate progress Help the group undertake evaluation of its progress and outcomes and

learn from their experience and plan the next set of actions Maintain a supportive environment for the group Start to identify possible candidates who may have the

characteristics, skills and willingness to become a FBS facilitator

Stage 5: GraduatingWhile the FBS group may and should continue after completing the FBSprogramme, it is important to mark this with a formal graduation. It is aplanned event that includes recognition for participation and achievement. Itis important that the participants evaluate their experience and how newskills and abilities puts them in a better position to manage farming as abusiness. Graduation should be held in a way that encourages theparticipants to continue collaborating after the FBS is over.

At this stage the main tasks of the facilitator are make sure that thefollowing things happen:


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The participants discuss, evaluate and reflect on what they haveaccomplished individually and as a group.

The participants discuss, evaluate and reflect on the FBS; what they

thought was good about the FBS and what needs to be improved That recognition is given to participants for having participated and

graduated and that all participants get a fair acknowledgment of theirachievements. (Consider issuing formal certificates; if they are to beperformance certificates, then the FBS organisers will have todevelop a performance measurement system)

All participants and other stakeholders and other people who helpedyou set up and run the FBS are invited to a ceremony. (Considerinviting family) The role played by each should be acknowledged.

1.12.Monitoring and Evaluating the FBS

Although each FBS is run according to the principles outlined in thisHandbook and uses the exercises it provides, each FBS is unique. It isorganised to meet the particular training needs and wants of theparticipating farmers. This being the case, great care must be taken duringthe running of the programme to make periodic checks that the programme

is indeed addressing the needs and wants of the participating farmers.Monitoring in this way will enable the facilitator to make adjustments to theprogramme while it is being run.

In its simplest form monitoring can be done by drawing on the training needsand wants assessment conducted before setting up the FBS. Each exercisechosen should be linked (directly or indirectly) to the assessment. In thisway it then becomes possible to simply check at the end of any givenexercise or session how well that exercise/session addressed the identified

training need/want. If it has met it, then the objective is achieved. If is hasnot met it, then the facilitator knows immediately and can follow this updirectly with the participating farmers to decide what is required to meetthe identified need/want. An example of this approach is captured in theexample on the next page.


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Conducting regular monitoring in this way will keep the FBS programme aliveand relevant to the participating farmers. It will also enable the facilitatorto gauge his approach and effectiveness as well as the effectiveness of theindividual exercises.

Example Evaluation Table

Need/Want

Exercise toaddressneed/want

Need/wantfulfilled? Action

Understand howto know if hismaking a profit

Exercises 10, 12& 13

Exercises wereunderstood, butfarmers feelthey still dont

know who tocalculate profits

Make copies ofHandout onEnterprisebudgets and do

Exercise 90.

Evaluation of the FBS programme is catered for Exercises 79-88. Exercises79-86 assess the performance of the participating farmers in terms of theeffectiveness of their farm business plans. Exercises 87 and 88,respectively, assess the FBS exercises and the way the FBS programme wasrun. This evaluation is a vital part of the programme and should not be leftout, as it is the way in which the FBS programme can assess itseffectiveness and make adjustments to ensure it remains useful and

relevant.

In addition to the assessment exercises, FBS recommends that before andafter assessments are made of the changes in participants level ofcompetence in market-oriented farming. The table on the following pageprovides a detailed guide to this assessment. The aim is to measure theprogress farmers are making along an advancing level of competence with thefollowing range:

Produces for home consumption

Produces primarily for home consumption with some sales atmarkets

Produces for the market and home consumption

Farms exclusively for market, but still very inexperienced

Experienced farming exclusively for the market


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Assessments are made through simple interviews with farmers who areasked about their farming operations using seven following criteria

Level of Commercialisation (farming system, area cultivated, marketorientation)

Production technology Value addition/ level of processing Business practices (record keeping, gross margin, physical & financial

planning etc.) Capitalisation Participation in farm/rural enterprise groups Input-output linkages/Use of support services

Interviews can be conducted again at the end of the FBS programme and

again several months later to see how the farmers have developed theircompetence in market-oriented farming.


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Indicators Measuring Entrepreneurship Skills Development

Level of MarketOrientation

Indicator

Level of Competence in Market-Oriented Farming

Produces for homeconsumption

Produces primarilyfor homeconsumption withsome sales atmarkets

Produces for themarket and homeconsumption

Farms exclusivelyfor market, butstill veryinexperienced

Experienced farmingexclusively for themarket

Level of

Commercialisation(farming system,area cultivated,market orientation)

Traditional land

useNo understanding

of marketing andits implications

Aware of cash

crop opportunitiesUnderstanding of

how the marketworks

Aware that it ispossible to sell,but market is notpriority

Farm is not abusiness

Changing farming

system towardsmarket

Considers marketfirst, but stillbalances decisionswith homeconsumption needs

Beginning to seefarm as a business

Farm dominated

by cash crops andlivestock for themarket

Specific marketidentified beforeplanting.

Takes advantageof seasonal pricevariations

Farm is a business

Optimal cropping

patternForward selling

contractsAll decisions made

exclusively on thebasis of the farmas a business

Productiontechnology

Traditionalpractices

No workingknowledge of

alternativeproductionsystems

Basicunderstanding ofthe economics ofdifferent

productiontechnologies andfarm enterprisesbut not applied

Applies on a smallscale or on anexperimentalbasis, some

productiontechnologiesbased on economicadvantages

Applies on a largerscale productiontechnologieschosen based on

known economicadvantages

Applies on wholefarm productiontechnologieschosen exclusively

on known economicadvantages.


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Indicator







Value addition/level of processing

Traditionalprocessing aimed

at preservation

Aware of valueadding

opportunities fromprocessing butcontinues to focuson preservation

Utilisingprocessing

opportunitiesprovided by thirdparties

Owns small-scaleprocessing

equipment

Owns large scaleprocessing

equipmentHas buying

contracts withprocessors

Business practices(record keeping,gross margin,physical & financialplanning etc.)

No businesspracticesconducted

Understandingthat farming canbe conducted as abusiness

Keeps somerecords of storedproducts

Understands theimportance ofkeeping records

Keeps someincome andexpenditurerecords, but thepractice is weak

Preparescomprehensiverecords (includingphysical andfinancial planning)but withassistance

Preparescomprehensiverecords withoutassistance

Capitalisation Low, usinginformal lending

sources

Aware of the needfor capital to

become morecommerciallyviable, butcontinues to useinformal sources

Started to investin the farm

business forcommercialbenefits but on asmall scale

Larger commercialinvestments have

been made forproductivepurposes resulting inincreased wealth

Working to alonger term

investment planaimed atincreasing farmprofitability andgenerating wealth


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Indicator







Participation infarm/rural

enterprise groups

Minimalparticipation in

enterprisespecific groups tolearn abouteconomicopportunities

Member of aninterest group and

beginning toexperiment withnew ideas

Sustainedmembership for at

least one yearRegularly

experiments withnew ideas on asmall scale

Adopting thelessons that came

out of groupmembership, butstill seeks supportand guidance

Key member/leader in

enterprise groupDevelops and

adapts thebusinessenterprise tomarket changes

Input-outputlinkages

Use of supportservices

No understandingof input-outputlinkages andsupport services

Understands theimportance oflinkages

Begins exploringpossibilitiesmostly withexternalencouragement

Member ofgroup(s) takingadvantage oflinkages

Has established afew importantlinkages (withsupport)

Pro-active memberof a group(s)taking advantageof linkages

Capacity to forgelinkages withoutexternal support

Advises otherfarmers onpotential linkages


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1.13.Resource requirements

There are essentially two levels of operation of the FBS: Orientation of FBSfacilitators; and farmer-level FBSs. Each facilitator and farmer training

programme has its own expenses. It is important to calculate the cost ofactivities and inputs to ensure proper budgeting for the FBS. The costs tobe considered include personnel (coordinators, facilitators, resource people,etc.), transport, accommodation for facilitators in the field, training (andmaterials), monitoring, and other items and resources that supportsustainability and scaling up the programme.

Orientation of FBS facilitatorsThe organising agency will need to identify a corps of Extension Workers

who are experienced facilitator/trainers, preferably with some backgroundin farm business management.

The facilitator orientation programmes are classroom based and thus aremore expensive than the farmer-level FBS. In addition to the trainingmaterials, they will need to cover accommodation and food costs of theparticipants in addition to the training resources and materials.

The training materials required are: White board and markers or chalk board and chalk Large sheets of paper Masking tape Marking pens Pencils Loose lined and unlined paper Data projector and computer

Each facilitator will need a copy of the Handbook.

Farmer-level FBSThe FBS is meant to be conducted in venues near the homes of theparticipating farmers. There should be no accommodation and minimal foodexpenses for the participating farmers. In many cases, the farmers willorganise amongst themselves to provide meals and teas for each of the FBS


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meetings. This is a very healthy approach and should be encourage as itfosters greater ownership for the FBS which, of course, is the intention.The greater the ownership of the FBS by the participating farmers, thegreater will be the effectiveness of the FBS programme.

The training materials needed to set up and run a FBS are essentially hesame as for the facilitator orientation:

White board and markers or chalk board and chalk Large sheets of paper Masking tape Marking pens Pencils Loose lined and unlined paper

A data projector and computer should not be required for farmer training.

HandbookThis Handbook is the core of both the facilitator orientation and the farmerlevel FBS. It provides lessons for the FBS. Facilitators must have a copy. Itis preferable that the lessons (not the whole book) are given to theparticipants. This will help the learning process during the FBS and will serveas a reference after completing the programme.

ExercisesThis Handbook provides guidance for conducting exercises to help theparticipants learn various aspect of running a FBS. The structure of theexercises, how to prepare for them, and how they are conducted is explainedin detail in Part 4 of this Handbook. It is strongly recommended that theintroductory comments in Part 4 are studied carefully before setting up aFBS.

It is important that the facilitator reviews the material well in advance ofthe each session to make sure that all is in order and that the facilitator arefamiliar with them and the related subject area.

The exercises may be shortened or made longer, according to the needs ofthe particular FBS. Facilitators will need to adjust the materials required tomatch the changes they make. This will affect the budget required.


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Facilitators may want to add other exercises, which they are free (andencouraged) to do. It is recommended that facilitators have on handenergisers that can be used when the participants energy flags. These are

not included in this Handbook. Again, any exercises added would need to beconsidered in terms of the budgets they require.


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PART 2:Establishing an FBS system

This part of the Handbook provides guidance to the FBS organisers fordesigning FBS training programmes. By intention, this FBS Handbook is setout as a structured set of guidelines rather than a step-by-step set ofinstructions. FBS organisers and their appointed FBS facilitators areencouraged to take care to ensure that the FBS systems and programmesthey initiate are not simply a mechanical application of the processes andexercises set out in the Handbook. FBS systems and their training

programmes must be tailored to the particular range of potentialparticipants and their production systems and marketing options. The overallvision of developing a FBS programme is shown in the diagram below.

2.1.Localising and adapting the FBS training

materials

The FBS organisers in any country would be expected to review the trainingmaterials and adapt them to the local context. Ideally this would be donecollectively and together with the FBS facilitators and, if need be, othertraining and curriculum development specialists.

Localise and adapt theFBS training materials

Plan facilitator training

Prepare for the training

Conduct a training needs andwants assessment

Set goals for the FBS

Train farmers


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Two important aspects of adapting the training materials need to beconsidered and these are the levels of literacy and the languagerequirements of the farmers who will participate in the FBS programme.

The FBS organisers and facilitators will need to agree on the language(s) ofinstruction. It may be necessary to translate the materials into the locallanguage(s) or dialects. If this is the case, then the necessary arrangementsneed to be made at the earliest possible date.

While every effort has been made to keep the level of language accessible,whether using English or a local language, the materials may need to beadapted according to the levels of literacy of the intended participants.

Similarly, some of the exercises require writing (or at least reading thingsrecorded on white/chalk board and the use of numbers and calculations. TheFBS organisers and facilitators will need to consider this when setting uptheir FBS system and finalising the training materials.

Those involved in this process should agree to some basics principles ofexercise design to that there is consistency throughout the trainingmaterials eventually used. In addition to language issues these might includethe use of relevant localised examples and stories in order to make theexercises effective for particular participating farmers. As many of theexercises and materials a linked, care will have to be taken that changeseffected in one part the materials are effected in all other parts of thematerials that are connected to it.

Even if the course is held in English, it will probably be necessary to makechanges to the names, crops, currencies and other aspects of the examplesand exercises. The best examples are those that come from theparticipants' and the facilitators own experience. Thus, the examples given

in the training materials can be replaced with more locally relevant materialthat gives the same information and message.


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2.2.Planning facilitator training

The FBS programme has been designed to minimise the start-up training

costs and processes. Depending on the circumstances in each country, it isenvisaged that training of FBS facilitators will run along any of threescenarios.

Scenario One:The country has access to a significant number ofextension workers with substantial training skills and experience and aworking knowledge of farm business management

In this situation, the selected extension workers would be taken through a

fiveday orientation on the FBS materials to familiarise them with thephilosophy, training approach and specific exercises used by the FBS.

In the process of the orientation, their level of knowledge and comfort withfarm business management concepts and tools will emerge. Where gaps arefound, additional orientation/training in technical areas can be organised.

Once trained and orientated, the extension workers would be deployed bythe FBS organisers to set up and run the programme.

Scenario Two: The country has few suitably skilled and experiencesextension workers, but has access to other personnel with the relevanttraining skills and experience and a working knowledge of businessmanagement.

In this situation, these external training personnel would be taken throughthe five-day orientation on the FBS materials. These personnel would take

selected extension workers through a condensed version of the FBSprogramme. The actual length and choice of exercises from the FBSHandbook would be determined by an assessment of the extension workers

capacity for training and their level of knowledge and comfort with farmbusiness management concepts and tools.


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Once trained and orientated, the extension workers would be deployed bythe FBS organisers to set up and run the programme.

Scenario Three: The country has few resources with training skill and

resources and/or knowledge of business management.

In this situation, special arrangements can be made between the hostcountry and the FAO to identify and train and orientate a cadre personnel preferably from among existing extension workers who would then be usedboth to set up and run the FBS system and to train and orientate additionalextension workers.

2.3.Preparing for the training

Each country will have to decide on the method and process to identify andselect facilitators. This cannot be prescribed by the FBS. However, the FBScan provide guidance to support whatever process is implemented.

Where to look for potential facilitatorsThe FBS facilitators could be drawn from the public sector extensionservice, NGOs, the private sector and lead farmers in a geographic area of

interest within a country. They should be good communicators andpreferably have previous training experience in farm business management.Consideration should be given to the national and sub-nati

Farmer Business School Handbook

Documents

Transcript of Farmer Business School Handbook