Friday, April 26, 2024

A supplier in demand

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It’s not a fluke Horizon Farming won the 2015 Sheep Industry Supplier of the Year Award. That’s the message from Craig Hickson of Progressive Meats who nominated the Hawke’s Bay company for the prize.
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“They are consistently delivering fit-for-purpose product in full, on time and to specification; year in and year out,” he says of Progressive’s largest supplier.

The B+LNZ Sheep Industry Supplier of the Year Award trophy.

For the 2013-14 year Horizon, led by general manager Stuart “Chook” Ellingham, supplied 21,322 lambs in a year-round supply. Of these, 98.4% hit the specification of 14-22.9kg and 3-16mm GR.

Only six of those thousands of lambs had bruising, and only five had an inoculation abscess. This was the third year Horizon had won the Hawke’s Bay lamb supplier of the year title and with Progressive Meats too.

Taurapa Farm stock manager Mike Barnett.

Aligned procurement and committed supply is a big part of Horizon’s relationship with Progressive Meats, which began back in 2003.

Stuart says each October he sits down with his block managers and projects lamb supply 12 months ahead for each farm.

“I consolidate those figures and put it into a weekly supply so we guarantee our weekly supply year round. We are a little bit conservative in our projections but because we have systems we know we can meet these commitments.

“We have won the Progressive supplier of the year three years in a row so we know we have good systems.”

Horizon has a strong relationship with Progressive Meats. 

“We regard our meat processor as a business partner and we think the relationship should be a win-win and therefore it is a two-way street,” Stuart says.

“We have to front up and do what we say we are going to do, which is supply to specification and on time and in return for that we expect the meat company to do what they say they will do.”

Paying actual market related returns and not an average is also a big attraction. That way, good suppliers don’t subsidise those producing poorer-quality animals.

At most times of the year Horizon’s saleable meat yield performance is very good and well above the plant-average performance. Saleable meat yield was up from 101.7% in 2012-13 to 102% in 2013-14.

Progressive Meats have a transparent kill sheet and is the only company in the country paying for actual saleable meat yield boned out by one boner, as well as identifying and grading pelts and paying accordingly. The kill sheet also outlines a full understanding of the costs of processing.

The other reason Stuart likes working with Progressive Meats is he gets to talk to the decision-makers in the company.

“I get straight answers and you can build on those relationships.”

Well aligned

Martin Coup, the Beef + Lamb New Zealand farmer council national chairman, was the chief judge of the 2015 Sheep Industry Supplier of the Year Award.

He says the award is a tough one to win because it pits the top suppliers from each sheep meat processor against each other. 

Judging criteria were based on committed supply and knowledge of the market. 

“One of the things we talked about with the Red Meat Strategy is aligned procurement and Horizon demonstrated aligned procurement.”

The application showed Horizon’s passion and knowledge as well as their team effort, Martin says.

 

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