1. Precision FEEDINGTM

2. FORAGE VARIABILITY
If you know it, you manage it!
35,4
Year by year, day by day the dry matter and the nutritional values contained in forage changes.
Forage variability cannot be avoided.
What ARE farmers DOING to manage it?
What SHOULD farmers do to REALLY manage it?
32,8
38,7
37,7
31,4
30,4

3. FORAGE MANAGEMENT If you know it, you manage it!
Proper feeding management means:
Reducing refused quantity
Feeding the herd appropriately
Saving 2% on total feed costs
Consistent TMR means:
Increasing milk production
Improving milk quality
Increasing the level of fat and protein in the milk
Preserve dry matter intake and milk production against a rainfall and avoid underfeeding and overfeeding.

4. Keep a consistent TMR and distribute a
dg precisionFEEDINGTM
If you know it, you want it!
DTM IC: feeding management software
DG8000 IC weighing indicator installed on the mixer
NIR analyzer to scan the feed
AUTOMATIC WEIGHT ADJUSTMENT displayed on DG8000 IC
Keep a consistent TMR and distribute a
precise ration!

5. dg precisionFEEDINGTM
If you know it, you want it!
You can introduce a NIR lab directly onto your farm in order to measure the nutritional values of each component IN REAL TIME and distribute a consistent ration.
NIR analyzer installed directly on the mixer, in the bucket of the front loader or on the belt.
(*) the system predicts:
Moisture, Starch, Crude Protein, ADF, NDF, Ash, Crude Fat.

6. dg precisionFEEDINGTM
If you know it, you want it!
NIR analyzer installed directly on the self-propelled mixer wagon or in the shovel of the front loader.
It is able to predict dry matter for each ingredient during the loading phase RECALCULATING AUTOMATICALLY the quantity to load thereby maintaining the ration AS FORMULATED BY NUTRITIONIST.
System Patented Worldwide

7. All this being done AUTOMATICALLY and IN REAL TIME, directly IN LINE
A patented system to..
We have protect it!
Measure dry matter in feed ingredients and use the predictions to correct the ingredient target weight
Transfer data from NIR device to a Pc
Update the programmed recipe into the feeding management
software based on the moisture predictions
Compare the ACTUAL value of dry matter and the chemical parameter with the TARGET one set for each ingredient
Adjust the weight of each ingredient in order to match the TARGET value of dry matter and the chemical parameter set and show the results on the electronic weighing unit
All this being done AUTOMATICALLY and IN REAL TIME, directly IN LINE

8. Filigrana project 8 If you understand it, you want to be part of it!
Goal
Optimization of cows health condition
through proper management of feeding in order to improve the transformation of milk in Grana Padano DOP cheese.
Parties Involved
Institute of Animal Husbandry - Faculty of Agricultural and
Food Science- Piacenza
Dinamica Generale S.p.A.
Farms that give milk to produce Grana Padano DOP cheese
Coordination prof . Giuseppe Bertoni Operations manager Prof. Luigi Calamari Institute Zootecnica- Faculty of Agricultural Sciences Food and Environmental UCSC - Piacenza

9. Filigrana project-2 9 If you understand it, you want to be part of it!
Institute of Animal Husbandry - Piacenza
Control of the following parameters:
Milk: fat, protein, casein, lactose, somatic cells, titratable acidity, acidification speed of the raw and pasteurized milk;
Blood and parameters for testing the metabolic status: morning after the milk controls;
Faeces: dry matter, pH, volatile fatty acid;
Welfare of animals: detection of some direct indicators of the Integrated Diagnostic System.
Coordination prof . Giuseppe Bertoni Operations manager Prof. Luigi Calamari Institute Zootecnica- Faculty of Agricultural Sciences Food and Environmental UCSC - Piacenza

10. 1010
Filigrana project
If you understand it, you want to be part of it!
Dinamica Generale
Installation of dg precisionFEEDINGTM, Set Up e Users Training at 8 farms representative of surroundings: Mantua, Brescia and Lodi.
Users support, system control, acquisition and processing information about:
Feed costs;
Profits from milk production;
First Operating profit Margin :
FEEDING COSTS
Groups of animals : Lactating cows (all groups) ; Dry cows  
The feeding cost has been calculated by applying : Standard costs to individual ingredients - shared between all companies ; Actual quantities ingested ( Software DTM - DG ) : distributed amount - Quantity refused .
REVENUES : Milk STD Sale Price : € 0.44 / kg ; Actual amount of milk sold ; Weekly Calendar shared among all farms , Revenues and costs are aggregated for business week .

11. 1111 :
Filigrana project
If you understand it, you want to be part of it!
8 farms involved in the project divided into 3 groups
Farm Id
Number of cows
GROUP 1
Farm 4
330
Farm 7
220
GROUP 2
Farm 1
100
Farm 8
135
Farm 9
GROUP 3
Farm 2
300
Farm 3
600
Farm 6*
150
(*) Partial data due to problems at the feed mixer wagon

12. Filigrana project If you understand it, you want to be part of it!
Timeline
Installation ,Set Up
and Training in 8 farms
Period C0
October- December 2013
Period C1
January 2014
Calculation of business references
Group1 – dg pF switched On
Group2 – dg pF switched Off
Farm 2 always switched On
Farm 3 always switched Off
Period C2
February- April 2014
Group 1 – dg pF switched Off
Group 2 – dg pF switched On
Farm 2 always switched On
Farm 3 always switched Off
Period C3
May - July 2014
Data Analysis and
reports writing
August- September

13. Filigrana: Material&Method
1313
Filigrana: Material&Method
If you understand it, you want to be part of it!
The following economic fundamentals have been defined:
Gross operating margin: Profits from milk sale less (-) Feed cost
Reference Gross operating margin:
For each farm, it is equal to the average value calculated within the period used to calculate the business references;
Differential Gross operating margin:
Operating margin of each week less (-) Operating margin of the period of reference;
Feed Efficiency: Differential Gross operating margin/Kg Milk produced

14. Total Differential Gross operating margin (€)
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Filigrana: data
If you understand it, you want to be part of it!
Recap – Farms Group 3 :
TEST PERIOD 27/01/ /07/14
27/01/ /05/2014
05/05/ /07/2014
Farm
Weeks
Total Differential Gross operating margin (€)
Milk (l)
Feed Efficiency*
Feed
Efficiency*
2 (300) 26
42.730 14
26.678
2.8 12
16.052
2,1 3
(600)
-1.1
-2,4
Farm 2 – Farm with dg precisionFEEDING always switched on
Farm 3 – Farm with dg precisionFEEDING always switched off due to problems with the feed mixer
* Differential Gross operating margin/ Kg Milk Produced [€cent/Kg]

15. Filigrana: data 1515 Recap – Farms Group 1:
If you understand it, you want to be part of it!
Recap – Farms Group 1:
TEST PERIOD 27/01/ /07/14
dg precisionFEEDING switched on 27/01/ /05/2014
dg precsionFEEDING switched off 05/05/ /07/2014
Farm
Weeks
Total Differential Gross operating margin (€)
Milk (l)
Feed Efficiency*
Feed
Efficiency* 4
(330) 26
39.203 14
39.523
4,2 12
-321
0,0 7
(220)
26.889
15.273
2,7
11.615
2,3
* Differential Gross operating margin/ Kg Milk Produced [€cent/Kg]

16. Filigrana: data 1616 Recap – Farms Group 2 :
If you understand it, you want to be part of it!
Recap – Farms Group 2 :
TEST PERIOD 27/01/ /07/14
dg precisionFEEDING switched off 27/01/ /05/2014
dg precisionFEEDING switched on 05/05/ /07/2014
Farms
Weeks
Total Differential Gross operating margin (€)
Milk (l)
Feed
Efficiency*
Feed Efficiency*
1* *
(100) 26
1.530 13
759
0,2
770
0,3 8
(135)
28.889 14
15.392
3,5 12
12.331
3,7 9
(220)
42.633
8.139
1,4
34.494
5,9
** The herd has suffered as a result of vaccination.
* Differential Gross operating margin/ Kg Milk Produced [€cent/Kg]

17. Earnings Before Interest, Taxes, Depreciation and Amortization
The data over time and the differences are very interesting: in the first weeks there is no difference between the thesis (also due to the previous period being an experimental design with inversion of the treatments ).
Over time, the differences increase, and in the final part oscillate between and € 0.03 / kg milk

18. Costs/ kg of milk produced

19. Differential EBITDA
Operating margin of each week less Operating margin of the period of reference

20. Earnings Before Interest, Taxes, Depreciation and Amortization
Period 1
Period 2

21. The system allowed one to:
Istituto di Zootecnica
Final comments
The system allowed one to:
Manage rations: greater consistency of the dry matter distributed and of the nutrients content,
To have feed analysis values on hand in order to adjust the recipes according to real feed quality and variations.
Improve health and wellness conditions, especially for fresh cows;
Improve the health status of breast (lower number of somatic cells);
Increase the Feed Efficiency: more milk with the same TMR fed;
These results contributed to improve the economic performances; this improvement is the result of the ifference between the feed costs and the milk profits.
Other profits are:
Ongoing monitoring of feed and better balance of the rations
Health condition (medicines cost, manpower,…) and overall wellness
Environment

22. Filigrana: dg precisionFEEDING effect
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Filigrana: dg precisionFEEDING effect
If you understand it, you want to be part of it!
Farm 2 Differential Gross operating margin /kg_Milk [€]
dg precisionFEEDING always switched on
What happens if we keep the system permanently active? The performance suffers because of the climate, but remains good , closed to the maximum value in the weeks of heat. In particular for the company ID 2 there is an increase of the diff. EBITDA / kg milk equal to about 2,9 € cent, which is slightly decreased during warm weather and thereafter settles down to 2,5 € cent .

23. Filigrana: when you switch off the dg precisionFEEDING
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Filigrana: when you switch off the dg precisionFEEDING
If you understand it, you want to be part of it!
What happens when we turn off the system? Farms that have disabled the dg precision Feeding recorded a significant drop in performance. In particular farm ID 4 measured a decrease by diff. EBITDA / kg milk equal to about 4.2 € cents / kg milk, which net of heat effect decreases the profitability by approximately 3.2 € cents / kg milk .

24. Filigrana: dg precisionFEEDING «heat» effect
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Filigrana: dg precisionFEEDING «heat» effect
If you understand it, you want to be part of it!
What happens when we activated the system in the summer? The performance of farms that activated the dg precision Feeding in warm periods shows an improvement despite the weather effect. In particular in the case of Farm ID9 , the increase detected of diff. EBITDA/Kg milk is approximately 2.2 € cents/kg milk, which net of heat effect amounts to an increase in profitability of approximately 3.2 € cents/kg milk.

25. Filigrana: dg precisionFEEDING effect
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Filigrana: dg precisionFEEDING effect
If you understand it, you want to be part of it!
Ration Costs vs Revenues: €/(Cow/Week)
dg precisionFEEDING
switched on
switched off
Period
Ration costs
Revenues
Average
C2 (feb-apr)
34.8
88.9
40.4
92.7
C3 (may-July)
40.1
96.0
32.7
81.7
Positive Diff - EBITDA - > best transformation of the food ingested in milk ;
On average , the Diff. - EBITDA supports the use of Precision Feeding by 4.3 €/week .
The average increase for a 200 cow farm is €
The revenue is the sum of ration cost savings (C2 period) and revenue increase (C3 Period).

26. Filigrana:dg precisionFEEDING
2626
Filigrana:dg precisionFEEDING
If you know it, you want it!
Observations:
The benefit of a more stable refusal thanks to a more consistent ration is not included in the economic assessment;
The benefit resulting from a healthier herd with fewer veterinary issues are not considered;
dg precisionFEEDING allows the management of the farm forages within the ration by reducing the requirement of concentrates and the supply of extra nutrients in the ration in order to avoid any loss of production. The unquestionable benefits related to environmental impacts are not described.

27. Filigrana: dg precisionFEEDING
2727
Filigrana: dg precisionFEEDING
If you know it, you want it!
Blood test:
Increase of cholesterol, calcium and phosphorus;
lower levels of GOT and bilirubin.
These results are definitely more pronounced (and significant) in fresh bovine.
A consistent diet has positive effects on health, especially in the most critical period for dairy cows: the initial phase of lactation
Milk test:
Lower level of somatic cells and higher level of protein;
Welfare of animals:
the index of cleaning - in particular of the ano-genital - was significantly better

28. Filigrana:considerations
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Filigrana:considerations
If you know it, you want it!
Increases in milk production, maintaining the amount of feed constant, generates a growth of general efficiency both in terms of costs and environmental impact;
Management of the “feeding”, reducing the risk of unbalanced ration, associated with :
Rainy periods;
variability of farm forages;
lack of attention of the staff;
Improvement of the overall health as shown by blood parameters and the index of mastitis in milk, of the dairy quality (e.g. cheese hardening time) and of the cleanliness: faeces better digested.
Note that what is observed especially in the first stage of lactation , critical period and the success of which depends on the remaining productive life of the cow .

29. precisionFEEDING™ technology compared to conventional feeding methods.
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Case Study–Gar-Lin Dairy;Eyota, Minnesota-2010
If you know it, you want it!
University of Minnesota – Dr. Noah Litherland
in cooperation with dinamica generale, US
“Controlling Variation with Precision Feeding Applications”
505 cows were divided into two groups to determine the efficacy of the company’s dg
precisionFEEDING™ technology compared to conventional feeding methods.

30. Case Study–Gar-Lin Dairy;Eyota, Minnesota-2010
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Case Study–Gar-Lin Dairy;Eyota, Minnesota-2010
Drop in milk yield due to September 23 rain event
Control Group - 8 pounds/Day/Cow
dg Fed Group - 4 pounds/Day/Cow

31. Economic impact of reducing feed refusal

32. 3232
Return on Investment
Consider the following numbers obtained in our trial:
• Slope difference = Pound/Cow/Day
• Period 9 weeks
• Milk Price = 0.17 USD/Pound
• Herd of 250 cows
If you know it, you want it!

33. 3333
dg precisionFEEDING:
Who is growing with us……
At Marks Farms, a 4,200-cow dairy near
Lowville, New York – full operational
April 2011
Says Chris Peck of Marks Farms
“Adjusting DM on a real-time basis has resulted in using less forage while maintaining the target nutrient ratios, helping lower feed cost”
• “Rumen efficiency is improved, manure is more consistent and herd health is good”
• “Refusals are easier to manage and we keep refusals in a 1- 3% range”
On Marks Farms, the dg precisionFEEDING System
had less than a three month payback”

34. dg precisionFEEDING: 3434 Who is growing with us……
Steve and Mary Brand of Ellsworth, WI– an 875 cow operation. Fully operational on March 1, 2012
• “By adjusting for dry matter, the bunks are never empty and we have an even refusal rate.”