INTEGRAL MANAGEMENT DI Walter H. MAYER, CEO PROGIS

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SAFER = Sustainable Agriculture – Forestry – Environment-and Riskmanagement:

Sustainable intensification, integrated technology support,

cooperation of stakeholders – the way forward, but how?

GFIA Abu Dhabi, 3.-5.2.2014 EU-AU: ICT for agriculture, Brussels/Be, 29.3.-2.4. Geospatial Worldforum, Geneva 5.-9.5.2014 Agri-Future-Days, Villach/A, 16.-18.6.2014„E-Business in in agriculture“ - SAP Germany Agrimanagement 29.-30.10. 2014 – Belgorod/RuPESSL Instruments, 10.11.2014, Weiz, Austria Chinese delegation, MoF, Vienna, 11.11.2014

AGRICULTURE INFORMATICS 2014, 13.-15.11.2014, Debrecen, Hungary

TECHNOLOGY BEHIND

WinGIS spatial engine + AX-SDK + DB (SQL, Access, ……) = hybrid GIS

System integrator for partners withmeteo-, nutrient-sensors, GNSS, i-net, mobile technologies, RFID, GPRS / UMTS communication, GPS/dGPS, ….…..

MICROSOFT BING Geodata(worldwide)or any otherGeodata(vector/raster)

AGROffice - applications integratingGIS + time, DB, expert data

PROGIS has sector know how:- Agro-forest-environment-risk- technology and org-know how- visions how to solve problems!

• AGROffice• DokuPlant• LOGISTIC• mobGIS• Precision

farming• Virtual farming• ForestOffice• EnvirOffice• Z-GIS (LAND-CONSOLIDATION)

• On demand• Consulting

SAMPLE IMAGES 30cm resolution

ORTHO-IMAGES 30cm

• Vexcel camera for orthoimages

• made in Austria

STAKEHOLDERS AND AGRO-ENVIRO TASKS

AND PROCESSES

STAKEHOLDERS AND PROCESSES

O V E R V I E W with PPP

Orthoimages Weatherstations PROGIS-IT technologies

+ +

• Ministry, regional and local admin, • Advisory and subsidy organizations, • Chambers if av., land consolidation units• R&D and Education

• Farmers, Cooperatives, Agro-banks,• Insurances, certification bodies• Control organizations, supply agencies• Transport sector, food – feed industry

Geoinfo – maps: LPIS – cadastre - WinGIS - orthoimages

Precision Farming: PF-tools & machinery if (ISO-, CAN-bus)

Land consolidation, enviro-, risk-mgmt: tools/methods

Logistic: Logistic-HQ + mobGIS & com + integrate stakeholders

Production Entities Management: DokuPlant(Ag)+Advise

Individual projectsStandardizedYear 1-2

STAKEHOLDERS AND PROCESSES

++++++++

Year2-3

USER - INTERFACE

locationtime

information

WHERE

WHEN

WHAT

patents pend.

EXPERT-INFO AGRO: machines, org/inorg. fertilizers, pesticides, crops, cultivation methods, ….

EXPERT-INFO FOREST: machines, trees, growth-tables,methods, ….

EXPERT-INFO ENVIRO/RISK: torrent, mudflow, drought, flood, avalanche, rockfall, …

COOP with LOCAL EXPERTS (GROUPS) MANAGED SUSTAINABLE (UPDATE!!!) COOP WITH internat. ORGANISATIONS

patents pend.

patents pend.

LOCAL EXPERT DATA and TRUST CENTER

2,7 ha

CropA

4,6 ha

CropB

2500 Machinery data

KTBL

2500Organic/Inorganic

fertilizerPROGIS / ZALF

850 PesticidesPROGIS / BMR

to bemodifiedwithlocalpartnerfor all countries

1.3.20145.5.2014 30.9.2014

Tractorplough

TractorSeeding machineNPK fertilizer

TractorSprayer Pesticide

Harvester

Farmer decides, what can bedownloaded from the controller, certifyer, buyer/enduser etc. TRUST

CENTER

.

.

.

Expert-and/or user-defined crop models

4000 seeds/varietiesPROGIS / BMR

Cultivationmethodedatabase400 crops/methods

Germany: 400 crops + methods

Crop A

Crop B

WHENpatents pend.

WHERE

WHAT

Here …

..I grow (crop/forest) – target/enviro/risk

1

2

I. HOLDING-PRODUCTION

• planing, documentation of activities

• nutrient-balance, energy-, carbon-,

• cost- profit calculation, inventory

• localized subsidy management

• business plan, insurance data

• thematic maps, …..

EXPERT-INFO AGRO: machines, crops, fertilizers, herbicides, cultivation methods, …. patents pend.

II. HOLDING MANAGEMENT

• INTEGRATE VERTICAL/HORIZONTAL:

• Logistics + mobGIS, integrate industry

• Precision Farming and labs

• Environment-, risk-management

• (Sub-)regional advise centers

• GlobalGAP, FSC, PEFC, TC, .....

INTEGRATED FARM- (ADVISORY-) MANAGEMENT

III. EXTERNAL RELATIONS• BOTTOM TO TOP:

• OPEN DATA for all users

• TRUST CENTER

• for public and private use

• coop with large IT organizations

• Telecom coop, „smartphone: last mile“

ADD ON BENEFITS FOR ALL STAKEHOLDERS:

LOGISTIC PRECISION FARMING

ANIMALSSOIL – MANURE - FEED

BENEFITS OF STAKEHOLDERS

Harvester

GPRS/UMTS

TruckMobile OfficeLargest EC project: 45 cooperatives, using 100+ harvesters with mobGIShandling 100K+ datasets for 40.000 farmers on 40.000km² – all online withupdate all 30 seconds!

Loader/Forwarder

PLAN: 2014/15 GERMANY• Country coverage in 2014 (170 stations)• Precision farming on top• Mobile devices (tablet-PC, smartphone)• links farmers to logistics, ……….…

AGRO – FOREST - LOGISTIC

Benefits:• less kilometer• less diesel• more control• dispatch center

in the office• To know precise

where is which process ongoing

• precise hectare control

• cost optimization• chain integration

(machine-truck-industry)

• benefit for all stakeholders

WinGIS + BING

DokuPlant + Contract

Logistics Central Unit (CLOUD)

mobGIS

Interface to terminals (e.g. AMATRON+,…)

PRECISION FARMING DETAILS

Not the tractor, the map isintelligent, PF for all – today!

Benefits:• less fertilizer• less pesticides• less feed• less diesel • detailed control• dispatch center in the

office• to know precise all

processes• m² precise control• cost optimization• machine chains• sustainable soil

management• Ecology + economy!!!

• Find the optimum in concentrated feed for meat and milk production and • find the optimum for fertilization

• FERTILIZATION:• With PROGIS labs – fertilizer minus ~ 50kg (75,-- /ha) and feed 15-30% with no change• net savings after lab investment = € 3Mio for 50.000 ha (Europe with 50kg savings/ha)

• FEED:• savings per 100 cattle: € 9.000,-- at milk-, € 10.500,-- at beef.peoduction, • savings per 500 pigs: 17.500,-- at pork-production• Net savings after lab investment: milk - 6.510,--, beef - 8.010,--, pork - 15.010,--

• LAB ANALYSES WITH NIRS: soil – liquid manure (pH) – feed• Tools and methods used: GIS tools, Near Infrared Reflectance Spectroscopy (NIRS), pH

monitoring with online-sensor

• STUDY LUXEMBURG: 250 farms – 5 years: 25% of best farms reduced 30% feed costs with comparable milk and meat results – economy AND ecology harmonized!

• also carbon footprint and energy consumption optimized

LABS: ANIMALS – SOIL – MANURE - FEED

1. GIS-linked sensors-agrometeorological climate station (+ soil,water):

3. Trust centres for food chains, for banks/insurance, for Ministries/authorities:

Sensors for temperature, relative humidity, water level, rain gauge, solar radiation, wind speed and direction, water temperature, barometric pressure, soil moisture etc.

2. Labs for manure – soil - feed: Save fertilizer with soil investigation and precision farming maps –check soil and harvest results and save next years fertilizer use; save feed due to know how of pH of liquid manure; save pestizides withmeteorological models; save in total 10-20% of fertilizer – feed -pesticide costs!

• trust centres for storing selected farmers data acc. legal or bilateral agreements for (geo-)traceability

4. Consulting companies (public, private, NGOs):• The PROGIS model is configured to cooperate and integrate local experts like institutes, universities, etc.• The PROGIS model is configured to cooperate with international reputated consultancy companies• The PROGIS model is configured to cooperate with NGOs, international organisations, ppp models, …

ILOGS

SAP, ATOS, MICROSOFT, EC-Leasing , F4F, …..

• track and trace technologies for tracking along the whole food chain – from farmer-forwarder-foodsupplier• integration models for banks (businessplans) and insurance companies (index insurance data, policy data,…)• public-private organisation models for integrating ministries or other agro-forestry-environment organisations

TECHNOLOGY BEHIND - PARTNERS

Labs with NIRS technology

P E S S L - INSTRUMENTS

FARMERS AS PART OFENVIRONMENTAL CARETAKING

RISK-MANAGEMENTMANAGING COMMONS

ENVIRONMENT- & RISK-MANAGEMENT

Forestry failures!Agricultural failures!

Agricultural Failures!

Bioremediation= costs+time

Bioremediation= costs+time

SERVICES

WOOD & TIMBER

CO2 - SEQUESTRATION

WATER QUALITY, -STORAGE, -SUPPLY

SOURCE OF BIO-ENERGY

RECREATION

LOCAL CLIMATEAIR QUALITY

AGRICULTURAL PRODUCTS

RISK MANAGEMENT – RISK REDUCTION

AGRICULTURE & FORESTRY = S E R V I C E S

Forestry failures!

ENVIRONMENT- & RISK-MANAGEMENT

According Swisss RE: Prof. DDr. Peter HÖPPE• Since 1980 large

problems (storm /flood) increase: 400 to 1000

• Ceres/US:large+small: damage: 380 Bio$/y

• World: 15 bio ha land or 1,5 bio ha arable land

• Damage = $25,--/ha/y on landmass or $250.--/ha/a on arable land!!!

ELINOR OSTROM, COMMONS and INCLUSIVE ADVISE

Elinor Ostrom – Nobel-price for business science 2009 Codification of the common law was necessary:–1. Trial: ABGB 1811 in Austria - Liberation of the farmer since 1848/49 –2. Trial: Reichsgemeindegesetz 1862 (Community admin §§)–3. Trial: provisorische Gemeindeordnungen (Commune law)–4. Trial: Neuanlegung des Grundbuches 1871 (new groundbook)- 1883: „§§ partitioning of common ground and define use rights- 1883 – 1925 general regulation and implementation

CARINTHIA (Southern region of Austria):- 1885: 3013 Cooperatives in 230 Communities - 1913: 2065 Cooperatives with 136.175 ha - 2014: 1715 Cooperatives with 138.083 ha

According Ostrom we need:

- Precise defined borders - Congruence between rules of acquisition and- rules of allocation- Local requirements- Org-structures for collective decisions- Control and penalty- Conflict solving mechanism- Minimum organization structure

- 12 Alpine Centres- 5-6 x way-length - 5-6 x water-pipes- More fountains- 5000m+ fences

CARINTHIA (Southern region of Austria):- A cooperative acc. Austrian legislation is able tomanage commons acc. the rules of Elinor Ostrom!

Land Consolidation with ZGIS

ACCESS Application ZUS_ABB

WINGIS Application ZGIS

SOLUTION

Z-GIS – LAND CONSOLIDATION

KG_NR BFLGSTNRUTNRG MBL-BEZ BA FLAECHE EMZ VHW GB-NR EZ3205 195 0128-05 Landw. genutz 18902 8964 Aug 69 233205 197 0128-05 Landw. genutz 7636 2557 Aug 69 233205 198 0128-05 Landw. genutz 21281 10614 233205 199 0128-05 Landw. genutz 9387 4772 233205 200 0128-05 Landw. genutz 712 364 233205 201 0128-05 Landw. genutz 1449 700 233205 202 1 0128-05 Landw. genutz 9138 3118 Aug 69 233205 202 2 0128-05 Wald 3581 Aug 69 233205 203 0128-05 Landw. genutz 15221 7345 123205 204 0128-05 Landw. genutz 25676 11099 123205 207 0128-05 Landw. genutz 14289 7238 12

KG_NR GB_NR EZ LNR SNR Z N Eigentümerdaten3025 3025 1 1 1 1 1 Pfarre Neuhofen ___Neuhofen 1 _33643025 3025 11 1 1 1 2 Schmid_Eveline Mag._1956-07-19_Neuhofen an der Ybb3025 3025 11 1 1 1 2 Schmid_Hannes Dr.Mag._1953-11-24_Neuhofen an der Y3025 3025 12 2 1 1 1 Leimhofer _Christa _1957-01-12_Neuhofen an der Ybbs 3025 3025 16 1 1 1 1 Testname17_Vorname __Ort, Strasse _33643025 3025 19 1 1 1 2 Kogler_Elisabeth _1956-10-26_Niederneuhofen 117 _3363025 3025 19 2 1 1 2 Kogler_Johann_1949-05-10_Niederneuhofen 117 _33643025 3025 29 2 1 1 2 Hausberger_Leopold _1940_Niederneuhofen 33_33643025 3025 29 1 1 1 2 Hausberger_Margarete __Niederneuhofen 33_33643025 3025 30 2 1 1 2 Zehetgruber _Josef _1968-01-01_Neuhofen an der Ybbs

Cadastre import

Soilinvestigation

Groundbookimport

Geodetic measurement

LAND-CONSOLIDATION WITH Z-GIS (A)

CADASTRE & LAND CONSOLIDATION

VIRTUAL LAND-CONSOLIDATION

1. Farmers: better information, - advise, - management, nutrient and pesticide reduction, betterharvest result, less logistic costs, higher quality, etc.

2. Farm-Advisors: tools suporting advise, better management of farmers, higher ROI at customers= more benefits = better income + motivation, high quality advise, …

3. Ministry: just in time and precise statistical data, precise subsidy management, better control, integrate farmers into environment- & natural risk-management, …

4. Bank: Businessplans for (micro-)finance, better customer understanding, less risks, 5. Insurance: link to insurance policy sales, many farmers linked, data available for micro-

insurance, better ROI due to better information,reduced risks, more customers,6. Telecoms: providing infrastructure = more traffic in rural areas due to heavy IT use, start for

sms-based payment, flat rate for logistic services, win-win-situation, … 7. Industry: (food, feed, wood) logistics increases quality and guarantees just in time delivery to

factory, better information about customers, statistical data for optimisation8. Cooperatives: member management, services like logistic for transport, harvest ..; support

smallholder precision farming, new advisory services, farm help, machine use, reduce costs, …9. Certicifation companies & Controller: easy data access, trust center, better results,10. R&D: know how transfer into practical use, feedback for further optimization, 11. Envrionment- and natural-risk-management: Optimize environment with farmer´s

social responsibility and local know how, manage groups fo farmers, better resiliance12. Marketing: IT-supported marketing, precise split of advise/sales, better customer link

CHAIN PARTNER INTEGRATION

VALUABLE & SUSTAINABLE BENEFITS

• (1) WinGIS:• detailed size of fields• base for all calculations• exact location of fields• for all logistics use• linked to soil maps• to geological maps• to hydrological maps• to weather sensors• to NPK sensors• to NIRS soil analysis• to precision farming• to virtual farming• to statistic for

• farms• regions• countries …..

• (2) DokuPlant:• with expert data• planning + documentation• nutrient-, carbon-balance • subsidy calc, send to host• cost calculations• contribution margin• access to traceability• document sustainability• for advisory services• send contract to logistic• integrate chain partners• integrates meteoda• link to Precision Farming• fertilizer - optimisation• for businessplans• for insurance data

(3) Logistics:• less kilometer• less diesel• more control• dispatch center

in the office• To know precise

where is which process ongoing

• precise hectare control

• cost optimization• chain integration

(machine-truck-industry)

• benefit for all stakeholders

(4) Precision Farming:• less fertilizer• less pestizides• less feed• less diesel • detailed control• dispatch center in the

office• to know precise all

processes• m² precise control• cost optimization• machine chains• sustainable soil

management• Ecology + economy!!!

• (5) Forest Office (6) ISO-Bus interface (7) EnvirOffice (8) Trust Centre (9) Z-GIS (10) AX-SDK

ASSUMPTION • Calculation, planning, documentation optimizes farm-forest-management - 10% costs• Nutrient and CO2 balance and meteo integration lowers input costs - 10% costs• and increase (quality-)growth +10%revenue• Documentation and trust center opens new markets +10% revenue• Logistics saves costs - 10% costs• better advise saves costs and increases revenue - 10% costs• +10% revenue• Banks and insurance integration allow startup of business and saves risk neutral but nec.• Precision farming / forestry and virtual farming allows cost reduction - 10% costs

• 1. ECONOMICAL BENEFITS ROI: - 20% costs+ 10% revenue

• (at assumed costs of €200,--/ha= -€100,-- and €300,--/ha revenue = +€100,-- = total +€200,--/ha)• (investment at country licence of 0,3-2,5/avg.0,5 €/ha + local advisory costs)

• 2. ECOLOGICAL + RISK-MINIMIZED BENEFITS: HIGH• as most of the costs are linked to energy and CO²; reduction is equal to better CO2 balanceas well as other environmental and risk targets to be reached give additional benefits.• There is an environmental caretaking benefit of maybe higher then the economic benefit

• 3. INCREASED VALUE OF THE LAND BENEFIT: 6-8%/anno

VALUATION OF BENEFITS

We have to work and produce SAFERSustainable

Agriculture

Forestry

Environment

Risk-management

With an integrated & cooperative approach, we need:

1. Technology and technology integration 2. Chain partner integrating business models, also ppp-models 3. Support for environment- & risk-management 4. Advisors supported by regional experts and ICT 5. POLITIC must set FRAMEWORKS for change

Creative destruction: Schumpeter, Austrian scientist in political economics

CONCLUSION

NEXT STEPS

PROGIS´ FUTURE DEVELOPMENTS: All PROGIS solutions on internet and local New environment-solutions for farmers integration Expert models in coop with GFAR/YPARD/Universities Feedback analysis of expert models Education - master program - coop with Universities + MS Education in cooperation with agro - field schools + MS „Internet of things“ realized with sensors (soil, meteo) Trustcenter: food/feed-industry+consumers w. partner LAB for feed, liquid manure, soil (NIRS) Animal module and CO2 module New business concepts to be realized (cooperation, ppp) New (local) environmental and risk- targets integrated

NEXT STEPS

PROGIS – IMPORTANT NEWS/FACTS: Club of Ossiach = 2/2014 Coop PROGIS+GFAR/FAO+partners16.-18.6.2014 AgriFutureDays 2014 – 130 part./40 countriesEU-FP7 IT project „FOODIE“ with 13 partners, ATOS etc. from 10

countries: „Farm Oriented Open Date in Europe“TURKEY: First country consultancy ready: detailed (GAP)-analysisComplete country concepts with partners/customersCountry pricing models: price/ha or km² - diferent modulesNew resource management models incl. carrying capacityEIP – European Innovation partnership + ICT/AGRO conceptsEC Precision Farming project CROPTIMAL 8M€; FMM PROGISGFIA Abu Dhabi 2015: „ICT for a sustainable agriculture“

WinGIS - software that shows !

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