Evaluation Of Farm Machinery Management System: The Case Of Oromia Seed Enterprise

Abstract

Agricultural mechanization deals with design, utilization and management of technical systems and processes of engineering for production, storage, treatment, and processing of agricultural goods. In Ethiopia, agricultural mechanization is being encouraged to boost agricultural production. But, different types of machines dropped and many of them became scrap. Some of the machineries are failing frequently. Based on these problems the study aimed to investigate farm machinery management systems in Oromia Seed Enterprise. In order to achieve the objective of this study, different methods were used. A total of 18 respondents who were randomly selected from the maintenance department of Oromia Seed Enterprise to fill the questionnaire on the status of the maintenance management system of the farm states using structured questionnaire sheets. In addition, data of farm machinery during the seasons 2010/11 and 2011/12 in terms of individual farm machinery costs, farm operations costs, rates of work, and power requirements were collected. On the spot, the assessment showed that machinery has about 48% is in bad working condition. The comparison was made between the actual records of the enterprise and the standard management calculations carried out for the different farm machinery parameters. It was observed that there were highly significant differences between the actual and calculated costs for the individual farm machinery made in the season and between the two studied seasons. The calculated fuel costs were greater than the actual fuel costs by 53.39% and the calculated oil costs were greater than the actual oil costs by 66.94% in the two seasons for tractors. Also, the calculated fuel costs were greater than the actual fuel costs by 51.04% and the calculated oil costs were greater than the actual oil costs by 87.75% in the two seasons for combine harvesters. The calculated repair and maintenance costs were greater than the actual repair and maintenance costs by 61.46% in the two seasons for tractors. Also, the calculated repair and maintenance costs were greater than the actual repair and maintenance costs by 39.84% in the two seasons for combine harvesters. The calculated operating costs were greater than the actual operating costs by 32.60 % in the two seasons for tractors. Also, the calculated operating costs were greater than the actual operating costs by 49.66 % in the two seasons for combine harvesters. The actual rates of work were greater than the calculated ones by 17.77%. This variation revealed no significant difference between them. The average actual power used in the scheme was greater from the calculated power requirement by 14%. The study concluded farm machinery cost management was poor. The enterprise dealt with improper methods for cost items determinations, especially for the more important items like depreciation and repair and maintenance. Therefore, it’s important to improve the farm machinery management system by a proper recording of information’s, and a better selection of farm machinery.