What is Production Control (Supply Management)?

Even though the single greatest influence on egg price and profits is egg supply, little effort has been devoted to controlling supply versus improving production efficiency.

The reason is the organizational management required for effective supply management is complex. However, with enhanced industry consolidation and higher feed cost creating longer down turns and larger swings in egg prices, the industry may be entering a new ball game.

This fact, along with new tools becoming available to assist in controlling egg supply, should encourage more emphasis on supply management.

The availablility of econometric feeding and production control programs along with hen reduction and molting should allow producers much more control over supply management and profits.

Although changing a century of feeding for maximum performance will be difficult and not without some learning pains, the potential gain in profits (literally billions of dollars) for even slight improvements in supply management is too much for industry to ignore.