Case studies of the interactions between farm profitability and the use of a farm computer

Farmers are increasingly purchasing and using on-farm computers to provide decision support information and assist in meeting their tax and other reporting commitments. While, having purchased, the farmers clearly believe the investment is justified, there is little before and after data to support this conclusion. This study reports evidence obtained through examining data from a sample of 23 Canterbury, New Zealand farms. The conclusion reached is that, on average, the profit has tended to increase after purchasing a computer. However, the wide variations and involvement of many factors make categorical conclusions difficult. It leaves open the question whether computer technology makes it easier for good managers to make decisions that in the past were of a similar quality but took longer to obtain, perhaps with subconscious observation and intuition, in contrast to the computer based decision systems actually creating valuable new information.