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When Pritchard took over Smith Meadows, he explained, the farm made its own hay to use as animal feed during the winter months when grazing is impossible. Haymaking is done with a piece of equipment called a hay baler: a device you pull behind a tractor that compresses and binds dried grass into bales. If you raise animals on the East Coast there’s an obvious reason to own and operate a hay baler: Your animals need hay. Why spend money to “buy in” feed when you have perfectly good grass growing for free right in your own soil? If a farmer subscribed to the any-benefit approach used by knowledge workers, therefore, he would definitely buy a hay baler. But as Pritchard explained to me (after preemptively apologizing for a moment of snark), if a farmer actually adopted such a simplistic mind-set, “I’d be counting the days until the ‘For Sale’ sign goes up on the property.” Pritchard, like most practitioners of his trade, instead deploys a more sophisticated thought process when assessing tools. And after applying this process to the hay baler, Pritchard was quick to sell it: Smith Meadows now purchases all the hay it uses.
“Let’s start by exploring the costs of making hay,” Pritchard said. “First, there’s the actual cost of fuel, and repairs, and the shed to keep the baler. You also have to pay taxes on it.” These directly measurable costs, however, were the easy part of his decision. It was instead the “opportunity costs” that required more attention. As he elaborated: “If I make hay all summer, I can’t be doing something else. For example, I now use that time instead to raise boilers [chickens meant for eating]. These generate positive cash flow, because I can sell them. But they also produce manure which I can then use to enhance my soil.” Then there’s the equally subtle issue of assessing the secondary value of a purchased bale of hay. As Pritchard explained: “When I’m buying in hay, I’m trading cash for animal protein, as well as manure (once it passes through the animals’ system), which means I am also getting more nutrients for my land in exchange for my money. I’m also avoiding compacting soils by driving heavy machinery over my ground all summer long.”
When making his final decision on the baler, Pritchard moved past the direct monetary costs, which were essentially a wash, and instead shifted his attention to the more nuanced issue of the long-term health of his fields. For the reasons described previously, Pritchard concluded that buying in hay results in healthier fields. And as he summarized: “Soil fertility is my baseline.” By this calculation, the baler had to go.
Notice the complexity of Pritchard’s tool decision. This complexity underscores an important reality: The notion that identifying some benefit is sufficient to invest money, time, and attention in a tool is near laughable to people in his trade. Of course a hay baler offers benefits—every tool at the farm supply store has something useful to offer. At the same time, of course it offers negatives as well. Pritchard expected this decision to be nuanced. He began with a clear baseline—in his case, that soil health is of fundamental importance to his professional success—and then built off this foundation toward a final call on whether to use a particular tool.
Excerpted from page number 189-190 of “Deep Work” by Cal Newport.