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ISHS Acta Horticulturae 147: Symposium on Production Planning in Glasshouse Floriculture

PRODUCTION PLANNING IN SWEDISH HORTICULTURAL INDUSTRY ACCORDING TO THE TEU SYSTEM

Author:   J. Ottosson
Abstract:
TEU = Trädgårdsekonomiska Undersökningen (Horticultural Economic Investigation)

The TEU method is a management method for business analysis and planning of horticultural firms developed by the Division of Horticultural Economics at the Swedish University of Agricultural Sciences. TEU was started in 1965 but is since 1974 owned by the Growers' Union and is an economically self-supporting consultant bureau. TEU has previously been described in e.g. Acta Horticulturae No 25, 40, 55, 97, 135.

The TEU system has from the start very strongly emphasized the implementation and the client/consultant relationship.

The production planning of the individual enterprise varies according to the level of the management method possible. It is important to define the level and to choose the appropriate production planning method.

Too complicated production planning makes it impossible for the grower to follow the plan. A too simple method, on the other hand, does not give the grower new and interesting information.

The production planning of the enterprise could start with a few gross margin calculations, dividing the production of the company. into some main parts, and end in a very complicated LP-planning, where the production is divided into successive crops. It is important to be able to offer the grower different production planning methods and not just one standard type.

We have started to develop a new production planning tool that we hope will fill the gap between the simple planning tool and the LP-planning. A short description of the main ideas behind this new tool will be given in the paper.

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