LUDOSŁAW DRELICHOWSKI, AGATA WÓJCIK
Akademia Rolnicza W Szczecinie
Summary
Creation of data warehouse requires the phase of preparing metadata, which can be realized by transforming source data from different bookkeeping systems of individual subjects of research. Such a transformation must take into account differ-ences between the legal bookkeeping systems and also between the unique solutions for information technology occurring in Polish and German enterprises.
The main purpose of the effectiveness evaluation is a comparative analysis in cost production of milk in industrial farms located on the area of West Pomeranian Province (Poland) and Front Pomerania (Germany). We have tried to show some obstacles in applying this methodology and the opportunities that automatic analysis methods for Covered Knowledge give.
Keywords: Data Warehouse, Automatic Analysis, Dairy Farms, Metadata Base, Bookkeeping System
1. Introduction
Knowledge management in enterprises is becoming a decisive factor in achieving competitive advantage of large and global enterprises operating in different sectors of economy.
The comparative analysis of knowledge management application in corporations as the source of competitive advantage in agribusiness was presented by Drelichowski L., Drelichowski J.(2005)1: While searching the method for evaluating competitive advantage of the enterprises in a given sector, it is necessary to select such comparison methods which in turn can be adopted in the analyses in which statistitical, indicative or simulation methods are used. Some aspects of these problems are presented by Lech (2005)2 whose work concerns MIS investment evaluation meth-ods.
1. Drelichowski L., Drelichowski J., 2005. Knowledge management application in corporations of the source of competitive advantage in agribusiness. Information Management Wyd. Uniw. Gdaski, 80-88.
2. Lech P., 2005. A practical view on MIS investment evaluation methods. Information Management Wyd. Uniw. Gdaski, 301-309.
Some useful criteria for information management in automatic analyses are contained in the pro-posed mathematical models presented in the paper by Maj (2005)3.
Solutions for production technologies and the level of agriculture production intensity are de-termined by various conditions, costs of employment and economic advancement in different countries. The main purpose of the effectiveness evaluation is to conduct a comparative analysis of cost production of milk in industrial farms located on the area of West Pomeranian Province (Po-land) and Front Pomerania (Germany). The factors which complicate the realization of this inves-tigative purpose are as follows: different applicable technologies of production, social and eco-nomic conditions and different legal regulations concerning principles of bookkeeping.
The aim of the analysis was to compare big farms with similar characteristics of milk produc-tion volume, climatic and soil condiproduc-tions which determine the level, cost and organisaproduc-tion of the production. These criteria were met in the Pomerania Provinces in Poland and Germany. However, comparative analysis requires some range of standardization which would take into account the different social and economic conditions ocurring in both countries.
One possible way to solve the problem, is to apply a method of economic index analysis, cal-culated independently for each milk production farm and their comparative costs components. Certain problems in the adoption of this method can result from discrepancies in the algorithms of accounts, resulting from various methodological economic parameters used in index analysis in Polish and German enterprises.
One of the new solutions is the application of source data in the form of data warehouse. Crea-tion of data warehouse, which has to take into account elaborated code references that allow to identify each transactional data, is the basis for the application of automatic analysis OLAP (On Line Analytical Process) method, or data mining.
2. Principles of the elaboration of data warehouse for OLAP requirements
Data warehouse is available in MS SQL Server together with OLAP system for automatic analysis included in this standard. Additionally, it is a low cost software on the level of program license. Creation of data warehouse requires the phase of preparing metadata, which can be real-ized by transforming source data from different bookkeeping systems of individual subjects of research. Such a transformation must take into account differences between the legal bookkeeping systems and also between the unique solutions for information technology used in Polish and German farms. The code structure of metadata in warehouse must properly identify code solutions for diverse data structure and their localization in time. The suggested code system must meet the forecasting requirements in OLAP system which needs to have some egzogenic and endogenic variables indicated as this allows to obtain proper results of accounts and to perform their interpre-tation. The analysed data covers the period of two years before Poland’s access to EU (2004), transitional year, and two years after the accession; therefore, selecting information flows for the analyses is not going to be a simple issue. Additional encumbrance is caused by insufficient litera-ture on the practical adoption of the above suggested methodologies in enterprises.
3. Maj I., 2005. Organization’s knowledge and its categories –a system approach. Information Management Wyd. Uniw. Gdaski, 41-49.
Managers of the enterprises are obviously reluctant to make public both positive and negative effects of adopting these technologies in decision making (due to the issue of competitive advan-tage), whereas such information could be a valuable source of knowledge for all corporations. 3. Characteristics of the objects of research
Selection of accidental and differential internal objects of research would make additional hindrance for obtaining interesting and creative results of research. Main descriptors for the spe-cific productive conditions are included in this chapter in the form of juxtaposed parameters for the range and intensity of production, nourishment and indicators for herd rotation.
3.1. Short characteristics of Witkowo Agrofirm Cooperative
Witkowo Agrofirm Cooperative is one of the biggest farms in the West Pomeranian Province, and in the country. The Cooperative has existed since 1950 and it operates on the area of 15 com-munities and towns, and 42 villages. This small holding has been transformed into a productive cooperative, next into Agricultural Co-operative Corporation, and finally into Witkowo Agrofirm. Agrofirm farms comprise the area of about 13 300 hectares (including 10 700 hectares of proprie-tary grounds). It employs 1250 employees. The Cooperative consist of 14 units, runs a widely developed activity in agriculture production, farm and food processing, trade and business ser-vices. The company consists of eight organisational units: rural production, meat and poultry proc-essing, institute of commerce, transport, feed drier and mixing, farm sawmill and sewage treatment system. Witkowo Agrofirm has created its own sales network (with its own transport base) cover-ing the area of West Pomeranian Province, Pomeranian Province and Lubuskie Province. The network consists of 60 stores and 6 warehouses.
The cooperative owns 7 500 cattle, including five thousand milk cows. The sale of milk amounts to over 16 million litters a year. Average annual efficiency totals approx. eight thousand litters of milk.
3.2. Short characteristics of Centre of Pedigree Farm in Lubiana
Centre of Pedigree Farm in Lubiana was established in 1957. The Centre contains the follow-ing farms: Boguszyn with Puszczyn, Brzyczno, Lubiana, Lubianka, Płotno with Kukadło and Na-darzyn. The Centre covers the area of 3 600 hectares of grounds. From 1994 the Centre has been operating as a single Company of Fisc under the name: Centre of Pedigree Farm in Lubiana Com-pany Ltd. Its main activity is breeding livestock, sheep and pigs production. Vegetable production is the secondary sector of specialisation of the company. Milk cows are the key sector of breeding and production. Incomes from sale of milk, livestock and breeding material generate about 80 % of profits from animal production, while the produced milk is only extra class. The Company head-quarters employ nearly 170 employees.
From the very beginning the Centre has established close cooperation with the University of Agriculture in Szczecin. The University renders scientific counselling in new technologies of breeding and farm animals, and the Centre organizes practices for university students in return.
The population of milk cows amounts to approx. 800 and milk productivity of cows reaches nearly 7 500 kg of milk a year.
3.3. Short characteristics of Zootechnical Experimental Institute in Kołbacz
Zootechnical Experimental Institute in Kołbacz operates on the area of two farms: in Kołbacz and Dbina. The total area of agricultural grounds covers four thousand hectares (including: 2 100 hectares in Kołbacz and 1 900 in Dbina). The Institute owns 650 milk cows (including: 300 in Kołbacz and 350 in Dbina) and 150 calf heifers. Average annual efficiency of milk cows amounts to 9 200 kg. The Institute employs 108 people.
3.4. Short characteristics of Agricultural – Productive Farm RAMINER AGRAR GmbH & Co.KG
Agricultural – Productive Farm RAMINER AGRAR GmbH & Co.KG is located in Germany on the area of Front Pomerania. The total area of grounds covers 3 200 hectares. The company conducts animal production, and keeps farms in Grambow, Neurochlitz, Ramin and Retzin. The farm owns 600 of milk cows (480 in Ramin and 120 in Retzin) and 700 milk heifers (50 in Ramin and 650 in Retzin). Milk efficiency of cows amounts to 9000 kg of milk a year. The total number of the animals amounts to 3 100. The farm employs 71 people. The Company cooperates with The Institute of Agriculture and Fishery of Front Pomerania and Association of Milk Stock Breeder of Front Pomerania.
3.5. Short characteristics of Agricultural Farm in Gruenhof
Agricultural Farm in Gruenhof is also located in Germany, on the area of Front Pomerania and it specializes in milk production. The farm operates on the area of
1 500 hectares. In Gruenhof it employs about 15 people. The farm owns 550 milk cows and 800 heifers, because it additionally specializes in the sale of highly selected material. Productivity of milk cows reaches 8 000 kg a year, with milk amounting to 4 million litters a year.
The largest number of milk cows (5 000) is owned by Witkowo Agrofirm, while in other farms this quantity is between 550 and 800. However, average annual efficiency of milk cows is similar in all five farms, from 7 500 kg in Lubiana to 9 200 kg in Kołbacz. The highest employ-ment is in Witkowo Agrofirm, as it runs a widely developed activity in agriculture production, farm and food processing, commerce and business services.
Also Polish farms employ more employees than German farms (e.g. only 15 people are employed in Gruenhof).
4. Diagnostic possibilities of the methods of automatic analysis in comparing enterprises and changes occurring in the environment
The main purpose of the effectivity evaluation is comparative analysis of the production cost of milk in industrial farms located in the area of West Pomeranian Province (Poland) and Front Pomerania (Germany). Factors which complicate the realization of this investigative purpose are as follows: different applicable technologies of production, social and economic conditions and different legal regulations concerning principles of keeping records in financial books.
The large dispersion between different research subjects decided about the methodological com-plication in the process of creating metadata from the bookkeeping systems and converting new algorithms as well as the coding base.
The source data collected from two years before Poland’s accession to the EU, year 2004 (which was a transitinal period), and two years after the accesion illustrate the most intensive changes. Possibly these periods will bee particularly interesting as their analysis can reveal the differences between Polish and Germen producers. Information from the data warehouse is based on transforming source data collected from the five interesting years. The data wille be used in the diagnosis of the reasons for the differing technical and economic parameters. When creating meta-data from the specific bookkeeping systems for these five industrial milk production farms, we must use a special coding system. Transforming data from German farms will be especially de-faulted because legal bookkeeping solutions are different from those in Poland.
The problem can be solved by creating new data warehouse from the different bookkeeping systems with the use of methods for automatic analysis. Such methods as OLAP (On Line Ana-lytical Process) or data mining can help us to create a very large knowledge base.
In this chapter we have tried to show some obstacles in applying this methodology and the opportunities that automatic analysis methods for Covered Knowledge give. The chapter is also some kind of a conclusion to this paper.
5. Conclusions
1. Making comparative analysis between dairy big farms located in different countries cre-ates essential difficulties because a lack of homogenous bookkeeping solutions.
2. The analyzed problem is more sophisticated in technological, organizational and eco-nomical aspects in drastically changing conditions through access of Poland to the EU. 3. Interesting possibilities in area of automation of such type of comparative analysis can be
realized through application the Data Warehouse, the Data Mining or OLAP Systems. Bibliography
1. Drelichowski L., Drelichowski J., 2005. Knowledge management application in corpora-tions of the source of competitive advantage in agribusiness. Information Management Wyd. Uniw. Gdaski, 80-88.
2. Lech P., 2005. A practical view on MIS investment evaluation methods. Information Management Wyd. Uniw. Gdaski, 301-309.
3. Maj I., 2005. Organization’s knowledge and its categories –a system approach. Informa-tion Management Wyd. Uniw. Gdaski, 41-49.
PROF. DR HAB. IN. LUDOSŁAW DRELICHOWSKI AGATA WÓJCIK
Akademia Rolnicza w Szczecinie ul. ołnierska 49, 71- 210 Szczecin e-mail: lu.drel@atr.bydgoszcz.pl
