SELECTIONS - Summer 2002
Focusing on Customer Needs
By David Thorbahn, general manager and executive vice president
 Recently I was interviewed for a well-known breed publication.
I was asked how Select Sires planned to maintain its leadership
position in the development of genetics for dairy and beef cattle.
Initially, the question seemed traditional. But after thinking about
it I realized the price of dairy-replacement heifers and the challenges
that are facing beef-cattle producers made this a very serious issue.
Cattle producers worldwide want long-lasting, profitable cattle that
can withstand the stress of higher, more profitable production. Our
focus on a balance of type and production has made Select Sires a
favorite among breeders around the world.
How did we achieve this preferred status? In the past, Select Sires
has not followed fads of breeding cattle. First, there was a push
for all production. During this time, there were also some type traits
that seemed practical, but were not recommended as a focus due to
their low heritability.
The theme of the late ’80s and early ’90s was that protein was the answer
to making a profit.
Today, the buzz of the industry is productive life. Even though the
accuracy of productive life is generally less than 60 percent on
first-crop sires, productive life has become the complete focus
of some industry experts.
Fertility will be next. Its accuracy and heritability will be
comparable to productive life. Yet, fertility by itself will
not solve breeding problems, nor will it be the "silver bullet"
for the future of the breeding industry.
Select Sires will choose a balance of these traits, but production,
udders, feet and legs, and strength will remain important because
of their relation to efficient, profitable cattle. In addition,
fertility and productive life will be an important part of this
balance. We developed this philosophy by listening to our customers
and using their input. Our goal is to help you develop the kind of
cattle you need to run a profitable operation. I believe breeders
have appreciated Select Sires' philosophy of breeding cattle, and
in the end have rewarded us with repeat business.
This philosophy also is used in the beef-breeding business, even
though we focus on different traits. The traits for which we select
our Angus- and Simmental-breeding business are defined by bulls like
7AN194 Rito 6I6 of 4B20 6807. A bull known for calving ease, 6I6
also sires calves with excellent weaning and yearling weights. In
addition, we are looking for bulls that have excellent ultrasound
data for marbling and ribeye area. And, it is difficult to replenish
the cow herd without having excellent maternal traits. It is my
impression that in the beef business, balance is not a popular word
for some registered producers. On the other hand, for commercial
producers who make a living on calf crops or finishing animals for
slaughter, these clearly are the traits that add value to their herds
and value to the calf crops that they sell. It is this balance that,
while it may not be fashionable, has certainly gained us increased
repeat business during the last several years and caused our market
share to increase more than 5 percent.
The goal we would most like to achieve in any of the beef or dairy
breeds is the one we call "customer satisfaction." That means, simply,
that dairy producers milking daughters of our bulls are experiencing
improvement in their herds. I believe that is the reason that we see
a continued growth in Select Mating Service™ (SMS™), the industry's
largest mating program. I also believe that is why Select Sires
continues to grow at a record pace compared to our competition. The
long-term approach that we take to breeding can be best illustrated
by looking at Holstein Association USA’s pedigree analysis, where 51.5
percent of the genes in the active-A.I. sires are Select-sired. No
other competitor contributes more than 15 percent. Some will ask, "What
have you done for us lately?" Reviewing the list of active-A.I. bulls
with 97 percent reliability for type and production, ranked by TPI™,
Select Sires has 17 of the top 40 sires. Our closest competitor has six.
Clearly, Select Sires’ advantage is in our reliability and customer
satisfaction.
Select Sires will continue to use the most modern technologies available
to continue to improve its genetic focus. However, we will not stop
listening to our customers’ perspectives on the type of cattle they
want to breed. And, we will not subscribe to the breeding fads that
have disappointed producers through the years. We thank each of you
for your patronage to Select Sires, and hope that it has been an
enjoyable and valuable experience.
™Select Mating Service and SMS are trademarks of Select Sires Inc.
™TPI is a trademark of Holstein Association USA
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