Industry:

Live Chicken i.e. Poultry

from Maharashtra

MANAGEMENT CONTROL SYSTEMS

CEC - 2

GROUP - 8
DATE: 02/12/2023
 Table of
Content
• Map the Value Chain
• Make the OC Diagram
• Identify the key performing positions for the operations side
• Identify the key performing positions for the marketing side
• List out the major KRAs
• Identify the resource elements & their approx. costs for each KRAs.
• Create/identify at least 10 performance metrics.
• Identify a minimum 6 possible points of performance failure.
• Name at least 5 metric that would you monitor & how.
• Suggest & draw up the bullet points for the control system you would use to monitor

performance on the operations side & the marketing side

Map the Value Chain
OC Diagram
 Key Performing Positions
for the Operations side

Farm Manager Production Manager

Quality Assurance Supply Chain Manager

Hatchery Manager Veterinarian

 Key Performing Positions
for the Marketing side

Market Research
Marketing Manager
Analyst
Digital Marketing
Sales Representative
Specialist

Brand Manager Export Sales Manager

 Major KRAs

• Production Volume
• Mortality Rate
• Biosecurity Measures
• Economic Performance
• Water Quality and Availability
• Waste Management
• Genetic Selection
• Record Keeping
• Employee Training and Management
• Emergency Preparedness
• Research and Development
 Resource Elements & their approx.
Costs for each KRAs.
• Production Volume
Resource : Quality Breed, Feed, Equipment
Cost : Upto Lakhs
• Mortality Rate
Resource : Veterinary services, biosecurity measures
Cost : Depend on Production Cost
• Biosecurity Measures
Resource : Biosecurity infrastructure, disinfectants
Cost : Below Lakh
• Water Quality and Availability
Resource : Water supply systems and water quality testing equipment.
Cost : Depend on size of production
 Resource Elements & their approx.
Costs for each KRAs.
• Waste Management
Resource : Waste disposal systems and equipment
Cost : Depend on scale of Operation
• Genetic Selection
Resource : Quality breeding stock, genetic testing.
Cost : Below Lakh
• Record Keeping
Resource : Record-keeping software/systems
Cost : Upto Thousands
• Employee Training and Management
Resource : Training programs, managerial personnel
Cost : Training costs can vary
 Performance Metrics

PRODUCTIVITY METRICS

PEFORMANCE METRIC FORMULA

Number of eggs produced

Egg Production Rate (EPR) x 100
Number of hens

Number of fertile eggs hatched

x 100
Hatchability Rate Number of fertile eggs set

(Final weight - Initial weight)

Average Daily Gain (ADG)
Days to market

Number of fertile eggs

Fertility Rate x 100
Total number of eggs set
 Performance Metrics

EFFICIENCY METRICS

PEFORMANCE METRIC FORMULA

Number of dead birds

Mortality Rate x 100
Total number of birds

Water consumed by the flock

x 100
Water Usage Efficiency Number of birds

Energy Utilization Efficiency Energy consumed for heating and lighting Number of birds

Feed consumed x 100

Feeding Efficiency
Number of birds
 Performance Metrics
ECONOMIC METRICS

PEFORMANCE METRIC FORMULA

Total revenue generated

Revenue per Bird
Number of birds

Total production costs

Cost of Production per Egg
Number of eggs produced

Total feed cost

Feed Cost per Unit of Gain
Total weight gain

Cost of goods sold

Inventory Turnover Rate
Average inventory value

Total production costs

Total output
Total Cost per Unit of Output

(e.g., number of eggs or weight of broilers)

 Performance Metrics
ECONOMIC METRICS

PEFORMANCE METRIC FORMULA

Total revenue
Gross Revenue per Square Foot of Farming Space
Total farming space

Gross Profit
Operating Profit Margin x 100
Total Revenue

OTHER METRICS
PEFORMANCE METRIC FORMULA

Number of Biosecurity Protocols Followed x 100

Biosecurity Compliance Rate Total Protocols

Average egg price x 100

Egg Price Index
Base period egg price
 Performance Failure

• Disease Outbreaks
• Poor Nutrition or Feed Quality
• Environmental Stress
• Water Quality and Availability
• Management Practices
• Genetic Factors and Breeding Issues
At least 5 metrics that you would
monitor & How

• Body weight
• Feed consumption
• Water consumption
• Growth rate
• Egg production
 Points for the Control System
you would use to
Monitor Performance on the
Operations side & the Marketing side

Operation Marketing

• Inventory management • Sales performance

• Production efficiency • Customer acquisition
• Supply chain performance • Brand visibility
• Cost contro • Market research
• Marketing ROI