Animal, Plant & Soil Science Lesson C7-2 Types of Beef Cattle Operations.

Animal, Plant & Soil Science

Lesson C7-2Types of Beef Cattle

Operations

Interest Approach Ask students to define the following terms (based

on previous knowledge): cow-calf, backgrounding (precondition), and finishing (feedlot) operations. Have students share their definitions with the class. On the chalkboard, make three columns (one for each operation). Then record key thoughts or words for each operation. Discuss the known components of each operation. Compare and contrast the several ideas students have of these cattle operations. What do the facilities look like? What are the different cattle used in these systems? What composes the different feed rations? Discuss the importance of these operations to the beef industry.

Objectives Compare and contrast the types of

beef-production systems. Analyze the components of a cow-calf

operation, and examine the factors that affect its profitability.

Analyze the components of a backgrounding operation, and examine the factors that affect its profitability.

Objectives Analyze the components of a finishing

operation, and examine the factors that affect its profitability.

Explain how to select beef animals for a cow-calf, backgrounding, or finishing operation.

Describe the feed rations utilized in each stage of beef production.

Terms backgrounder background-

stocker commercial cow-calf

operation creep feeding

culling custom feedlot expected progeny

differences (EPDs) feedlot seedstock breeders stocker

What are the types of beef-production systems?

There are several ways to organize and classify the types of beef-production systems used in the United States.

The most commonly used systems are the following: cow-calf, background-stocker, and feedlot.

A. A cow-calf operation consists of keeping mature cattle to produce calves to sell to other producers.


A. A cow-calf operation consists of keeping mature cattle to produce calves to sell to other producers. Cows are bred in this setup

to have a calf every year, usually in late winter or early spring.

Most beef calves are born on a cow-calf operation located primarily in the Plains, the Corn Belt, and the Southeast.


During this stage of beef cattle, the cows and calves graze in herds on large pastures.

Creep feeding is used to allow the calf to gain more weight while nursing.

Calves are weaned at 6 to 10 months of age and then are moved to the next phase.

This type of beef cattle operation is mainly family owned and operated.


B. Background-stocker operations are used to grow feeder cattle. Some calves are too small/light or

feedlots are full. As a result, the calves need to be

grown before entering the feedyard.

A stocker operation utilizes a grazing program.

Many grass types are used: warm to cool season grasses to wheat pasture or other cereal grain forages.


A backgrounder will usually grow the calves in a drylot and feed them a high roughage ration.

Silage, hay and grain, or forage plus grain byproducts are commonly used rations.

The objective of the backgrounding operation is to grow the cattle by adding frame without fattening the animals.

Normal average daily gains will be less than 2.5 pounds per day.

Like the cow-calf operation, background-stocker operations are typically family-owned ranches and farms.

Normally cattle are moved onto the feedlot operation at approximately 12 to 18 months of age.


C. Feedlot (finishing operations) are used to complete the final phase of the beef-production system. Cattle are fed in fenced areas

where harvested grains/feed are delivered to them; some cattle, however, are sent to pasture.

Feedlots look different than the first two beef systems described.


Once animals arrive at the feedlot, they are separated into herds of 100 and are housed in pens that allow for 125 to 150 square feet of room per animal.

The cattle typically spend approximately four to six months in a feedlot.

During this time, the cattle are fed a ration that is 70 to 90 percent grain, and the animals have constant water access.

Cattle are fed to harvest weight, which is approximately 1,100 to 1,300 pounds.

The feedlot operation can be owned by an individual or a partnership.

More commonly, a corporation owns the feedlot operation, especially as the feedlot size increases.

What are the components of a cow-calf operation? What are the factors that affect its profitability?

Two different general classifications of cow-calf operations exist.

The commercial cow-calf producer is one type of operation that raises most of the potential harvest steers and heifers.

The other type of operation is known as seedstock breeders.

These producers keep herds for purebred breeding stock and provide replacement bulls or semen for cow-calf operations.

Their stock provides genetic improvements to the herds.


A. A cow-calf operation includes pasture ground, a few facilities for calving (some operations use drylots), feed, feed storage and handling, mineral supplements, creep feeding supplies and equipment, calf processing and loading facilities, an office, and cattle.


Commercial cow-calf producers utilize crossbred and a few purebred cows.

These producers rely on seedstock breeders for replacement heifers and bulls.

The focus of the seedstock breeder is to provide genetic improvements for other cattle breeders.

The initial start-up cost for a seedstock breeder is high because genetically superior animals are more expensive than average animals.

Another large investment is the time to develop high-quality animals.

A knowledgeable manager is needed to run a profitable purebred operation.


B. Several factors can affect cow-calf operation profitability. Operation costs include feed,

veterinarian bills, medicine, bedding, marketing, custom operations (e.g., embryo transfer and artificial insemination), fuel, electricity, repairs, and interest on operating inputs.

Ownership expenses include the annual cost of maintaining the capital investment in cow-calf facilities/equipment and the cost for property taxes and insurance.


Other factors that affect profitability are the overall production costs and feeder cattle prices.

Feeder cattle prices are affected by the prices paid for fed cattle, which are influenced by the consumer demand for beef.

Therefore, the actions taken from a cow-calf producer may seem slow in terms of increasing or decreasing production in response to the consumer demand, which helps to explain the cattle cycle.


C. Biology of the beef cow and expectations of the beef industry are the two main factors that cause the cattle cycle. Like the cycles of several other livestock

industries, the gestation periods of cattle cause a delay in response to increased beef demands.

A replacement heifer may take three years to produce a harvested animal.

Time, patience, and sound management/marketing programs are crucial for a cow-calf producer to understand the cattle cycle.

What are the components of a backgrounding operation? What are the factors that affect its profitability?

A main goal of a background-stocker operation is to produce either replacement cattle for the herd or a mature animal for the feedlot.

Many cattle are not physically sound enough to enter into a feedlot after weaning.

Backgrounding systems (sometimes called “preconditioned programs”) grow the cattle by adding frame, not fat, to the animals.

Some operations utilize pastures and open ground for grazing or drylots.


A. A stocker operation utilizes a grazing program. Many types of grasses are

used: warm to cool season grasses to wheat pasture or other cereal-grain forages.

A backgrounder will usually grow the calves in a drylot.

The main components of a backgrounding operation include a pen, feedbunk, feed storage and handling, processing and loading facilities, an office, and cattle.


B. The factors affecting backgrounding-operation profitability are the sickness or health of the animal, grain costs, death losses, market prices, price slides (changes), weather, government, imports/exports, feed costs, overhead costs, price of calves, and price of feeders.

What are the components of a finishing operation? What are thefactors that affect its profitability? Finishing operations are used to complete the

final phase of the beef-production system. These operations feed beef animals out for the

market. Owners usually buy yearlings or feeder calves

and try to finish them in as little time as possible. Other operations act as a custom feedlot, which

is an operation that provides the technology, skills and services, facilities, and location to a producer who wants cattle fed to a market weight.

Many producers want to retain the ownership of their cattle through harvesting or have a desire to feed out purchased cattle; these producers use a custom feedlot operation.

What are the components of a finishing operation? What are thefactors that affect its profitability?

A. Cattle are carefully unloaded at the feedlot and are directed through a processing barn. Cattle are tagged and vaccinated. Then cattle are entered into the

operation’s record-keeping system. During processing, cattle receive a

growth promotant and are grouped into pens by age or size.

The growth promotant is a small pellet positioned under the skin behind the animal’s ear.

The pellet’s purpose is to release micro amounts of a growth hormone similar to estrogen.

These pellets have been approved by the FDA and help cattle build more muscle, producing a leaner beef product for consumers.


B. Once animals arrive at the feedlot, they are separated commonly into herds of 100 and are housed in pens that allow for 125 to 150 square feet per animal. The cattle typically spend four to six months in a feedlot. Several environmental factors are monitored and

managed daily. In a large feedlot operation, water quality, air quality,

and land utilization are the top environmental concerns. The producer is responsible for protecting the

environment. Many large feedlots work with environmental engineers

to ensure proper operation and to follow the strict EPA regulations.


C. Other components of a finishing operation include a full-feed program with high-concentrate rations, feedbunks, feed storage and handling, processing and loading facilities, an office, and cattle.


D. A factor affecting the finishing-operation profitability is the initial investment, which is high because of the need for high-quality feed in addition to housing and equipment. The production lag is less than in a cow-calf operation

because animals are turned generally in four to six months.

In addition to higher feed costs, other factors affecting the finishing-operation profitability are housing, veterinarian fees, equipment expenses, labor, and trucking costs.

With the expenses and the need for quick turnover time, it is essential to be a good manager in a cattle-feeder operation.

Fluctuating market prices present a risk.

How do you select beef animals for a cow-calf, backgrounding, or finishing operation?

Selecting beef animals for the right operation is one of the initial components of each beef system.

Producers look for specific qualities, breeds, and size when making these decisions.


A. A cow-calf producer will evaluate breeding heifers based on structural correctness, volume and capacity, balance and femininity, condition and udder development, muscle, and expected progeny differences (EPDs). Expected progeny differences estimate the

genetic value that an animal expresses as well as the potential of passing genetic values to offspring.


A producer will evaluate bulls on structural correctness, muscle, balance, capacity and condition, testicular size and masculinity, and EPDs.

Producers also look for breed cows to enter into the operation with a guarantee that the cow is bred.

Many seedstock cow-calf producers focus on one specific breed.

Other cow-calf producers introduce one or two other breeds for commercial markets.


1. Analyzing EPDs and pedigree is important in selecting a cow or bull for a cow-calf operation. These records can indicate how the animal

performed as a young calf/yearling and the genetic lines that may be expressed.

How do you select beef animals for a cow-calf, backgrounding, or finishing operation? 2. Another practice used in cow-calf systems is

culling, which is the practice of removing animals in poor condition or animals that do not express the desirable characteristics of the herd. Producers consider culling if heifers do not breed back

after their first calf. Other considerations include a poor condition for

breeding, age, overall health, the ability to raise a calf, temperament, and even open cows with superior genetics (no advantage if they are not producing calves).

These practices improve the overall performance of the herd by replacing poorly producing animals with young cows that have potential.

Culling practices and good decisions help the operation remain profitable.


B. A backgrounding system will select animals if they do not fit into a feedlot placement. An animal may not fit into a feedlot placement

for several reasons. For example, an animal that is too small or too

light would be considered for a backgrounding system.

Other factors considered include compromised immune systems, age, breed, or animals from non-uniform herds.


Backgrounding operations will match cattle that are similar in type and kind.

These cattle are moved onto a feedlot once standards are met.

If backgrounding operations are performed correctly, cattle that have experienced a backgrounding program will perform exceptionally well in a feedlot.


C. Feedlot operations have two main criteria to consider when selecting animals. Money on gain is the first criteria. These operations seek large frame

animals that can gain weight. Money on the grid is the second

criteria. These operations select animals

with known genetics that will provide specific meat qualities for the final product.


1. Other considerations include the health of the animal and the backgrounding or preconditioned program from which the animal came. Feedlot operators evaluate feeder cattle based

on phenotypic priorities, such as muscle, condition (fatness vs. trimness), capacity and frame size, and structural correctness.

They will also evaluate based on performance traits, such as weight per day of age and feed efficiency.


Calm temperament is the final consideration. Cattle with a calm temperament have higher

average daily gains than cattle with highly strung temperaments.

Certain beef breeds express calmer temperaments than others.


2. Feedlot animals are bought at weaning (at an auction or private treaty). Some feedlots will work solely with background

operations to guarantee a uniform stock. Producers using custom feedlots have the

opportunity to select and compare the feedlots.


D. Cattle evaluation, in general, should consider the main physical points (neck, shoulder, brisket, back, loin, rump, round, pin and hip bones, hock and pastern); muscle characteristics of the loin, forearm, stifle, and width of base; fat condition present on the tailhead, loin (top), ribs, brisket, and flank; volume and capacity; length, rib shape, and depth of body; structural correctness with desirable slope to shoulder and pasterns; all four legs set in at the corners; toes pointed forward; hocks are square and not bowed in or out; stride is long and smooth; and the front track should be filled by the back track.

What are the feed rations utilized in each stage of beef production?

Feed rations for beef production will vary greatly according to the geographic location in the United States.

Cattle fed in Iowa will have a completely different ration than those in Texas.

The types of pastures and grain available are different, which accounts for the variability of feed rations.


A. Cow-calf operations use mainly forages for the feed base. Pastures provide a variety

of grasses and legumes. If pasture is not available,

hay and silage are used as forage.

Cattle should have access to a mineral supplement and to fresh water.


Feeding programs should have cows and heifers in a moderate body condition at the time of calving.

The producer should be able to estimate visually by the fat over the back and ribs.

Creep feeding is also a component of the feeding program for a cow-calf operation.

This component provides supplemental feed to the calves.


B. Backgrounding operations use a fairly low energy ration compared to the finishing diet. Protein levels are from

10.5 to 13 percent crude protein.

The expected gains of cattle should be 2 pounds per day.


Backgrounding rations will also include hay (grass or alfalfa), silage (corn or sorghum), corn, corn byproducts, protein sources (commercial, soybean meal, cottonseed meal, etc.), mineral and vitamin premixes, growth promotants (if not for natural or organic marketing), and drinking water.


C. Finishing operations will use high-energy rations. Large amounts of

concentrated feed with a small amount of roughage are commonly used.

Corn, milo, and oats are main components of a feedlot ration.

Free-choice mineral should also be provided.


Cattle are fed a ration that is approximately 70 to 90 percent grain, and the cattle have constant water access.

Cattle in a feedlot facility should expect to gain a pound for every 7 pounds fed.

Feedlot cattle should have an average daily gain of 2 pounds or better.

Cattle are fed to finishing weight, which is approximately 1,100 to 1,300 pounds.

Review What are the types of beef-production

systems? What are the components of a cow-calf

operation? What are the factors that affect its profitability?


Review What are the components of a finishing

operation? What are the factors that affect its profitability?



Animal, Plant & Soil Science Lesson C7-2 Types of Beef Cattle Operations.

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