From The Fields: Changing the Mentality of Strategic Planning

By Ben Hertel

As the calendar has now flipped to 2026 and we all inevitably take an extra second to think about what date we’re writing on a document, it shows again how habitual a simple task becomes. Habits, by nature, are tough to break. For many, it is easy to fall back into familiar habits, after all, it is what led us to our current point in life or business.

This leads us to ask how we can help our customers break those habits and become more organized. This applies not only to their finances, but also to timely reporting that allows them to utilize those records and reports to learn from the past to apply insights to future strategic planning.

Too many farmers and business owners alike view financial record keeping as a task completed solely to pay Uncle Sam or because their banker requires it, rather than as a tool to stay ahead in their business and plan for the future. Those who are not up to date often become habitual extension filers, producing documentation that is eight to ten months outdated by the time it is filed. By the time returns are produced, the current year’s crop is already in the ground and in some cases, nearly ready for harvest, making the financials largely unusable for planning purposes.

Let’s break this process down into three steps that can help our producers break this cycle.

Step 1: Formalize the Process

• Resources are crucial and can make this process much easier, not just for us as bankers, but for the customers themselves. Creating a plan to organize all required information into, at a minimum, an Excel spreadsheet or another record keeping platform that suits them the best is a strong first step. Not every customer has a robust system but moving from handwritten records to an Excel sheet can make a significant difference in organization.
• It is important to recognize that record keeping is not always simple or straightforward. Many producers are balancing long workdays, weather uncertainty, labor constraints and volatile markets, all while trying to keep operations moving forward. When record keeping falls behind, it is often due to time limitations. By acknowledging these challenges, we can better position ourselves as partners in the process. Offering practical solutions, manageable timelines, and realistic expectations can help reduce the burden and make consistent record keeping more achievable.

Step 2: Update Financials in a Timely Manner

• Procrastination is not our friend and creating a plan to keep financials current on an ongoing basis is essential. Interim financials are important to help with planning priorities for the upcoming year. Encouraging growers to take advantage of available time before cropping season begins is key.

Step 3: Use Financials for Strategic Planning

• Use the information you have to plan for your future. This includes pushing for accrual adjustments, calculating break-even points and learning from the past to gain efficiencies. While there will always be unpredictable events and circumstances, past performance can still help inform future decisions.
• As bankers, we can add value when provided with current financials, demonstrating to our customers that we are partners in their future successes. We all want to be there to celebrate our customers’ wins, and successful planning can make that happen.

Breaking a habit does not happen overnight, it takes time, patience and persistence. The goal is to help customers focus on the reward of successful planning while creating an environment where we can work together effectively.

Start the conversation, break the habit, and help ensure success for generations to come.

Hertel is vice president – commercial/ag banking officer at Prevail Bank in Marshfield. Hertel also currently serves on the WBA Agricultural Bankers Section Board of Directors.