question archive Read the case study: The McCloskeys’ Plan to Implement Sustainable Dairy Farmeing While Providing Healthier Products, Apply the knowledge of Management
Read the case study: The McCloskeys’ Plan to Implement Sustainable Dairy Farmeing While Providing Healthier Products, Apply the knowledge of Management
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Read the case study: The McCloskeys’ Plan to Implement Sustainable Dairy Farmeing While Providing Healthier Products, Apply the knowledge of Management.
Dr. Mike McCloskey and his wife, Sue, grew a successful veterinarian office in San Diego during the 1980s. However, they had bigger dreams. Mike wanted to implement some of the ideas he learned in school to improve farming practices in the U.S. So the couple and a partner started a farm with 250 cows. This led to a move in 1990 to New Mexico to pursue full-time dairy farming.
Dissatisfied with the co-op that was selling their milk, the McCloskeys’ entrepreneurial spirit drove them to start their own co-op, Select Milk Products. Mike was the CEO. Select is composed of 92 dairies, now the sixth-largest dairy co-op in the U.S., and produces “6 billion pounds of raw milk a year and reaping nearly $2 billion in annual revenue.”
The initial success of Select Milk resulted in the McCloskeys’ move to Indiana and the birth of Fair Oaks Farms.
Fair Oaks consists of 12 family-run dairies and 36,000 cows. This is a very large dairy farm—only 1% of U.S. dairy farms have more than 2,500 cows. Big farms like this can foster negative stereotypes due to their impact on the environment. According to a Fortune reporter, “Agriculture is a major contributor to climate change, accounting for about 9% of U.S. greenhouse gas emissions, and the farming sector hasn’t succeeded in reducing its output as much as the transportation and energy industries have. . . . In the production and consumption of a gallon of milk, the equivalent of 17.6 pounds of carbon dioxide is emitted.” 120 The McCloskeys wanted to operate a farm that improved on these results.
Fair Oaks started with Mike’s mission. He articulated it like this: “We are committed to educating the public about modern farming efforts, but also to protecting the environment, caring for our animals and ensuring the highest quality products possible.” 121 Of course he wanted to do this while making a profit.
In terms of protecting the environment, Mike has a vision “to have a zero-carbon-footprint dairy,” and he believes that Fair Oaks can get there. Others think it’s impossible. Undeterred, Mike, Sue, and his partners created a detailed plan to enact this vision..............
