Australian farming is one of the riskiest businesses in the world because of climatic conditions, prices and our reliance on export markets. This video explores concepts around risk in farming. It explains volatility, the limitations with using averages to understand risk, correlations between yields and prices and how to frame the odds to inform risky decisions. It also shows ways of presenting information so the risk can be appreciated.
Video: Rules of thumb
We commonly make decisions without thinking too much about them, using previous ‘rules’ to guide the choices we make. But are these rules always the best to follow and could they be leading us to make poorer decisions? This video explores the concept of Rules of Thumb and how to test if they are appropriate for the next big decision you are going to make.
Video: Decision matrix
Many decisions in farming are complex. There are often multiple factors to weigh up but may not be of equal importance. We also know complex decision are influenced by our head, heart and gut. This video steps through a simple process to help make more informed decisions using a seven-step process called a decision matrix.