John Harris: Integrating on a Large, Diversified Operation

There are two sights According to University people remember most of animal scien- about driving through the tist Ken Ellis, John's . One is father had his work cut out the California Aqueduct; the for him: "You had to know other is , thousands of what you were doing. cattle, roaming a giant Farming the Westside in feedlot near Coalinga. the early days was really This is the largest feedlot tough. That part of the in California and part of one State can be a fairly inhos- of the most sophisticated pitable environment for livestock and farming oper- agriculture, so it's still a ations in the challenge." Summer tem- —Harris Ranch. Perhaps no peratures normally sizzle other outfit illustrates just well above 100 degrees how much the beef industry Fahrenheit, rainfall is has changed out West since scant throughout the year, the sun set on the big cattle and geological processes drives of a bygone era. have cursed portions of the Indeed, the structure of Westside with soil and Harris Ranch more closely water problems. resembles the vertically John Harris (leh), cowboy foreman Howard Harshman icenierl, ana pen riaer Kelly Sireel Irighl) discuss the Until the 1960's, the integrated poultry industry, cattle in one oí the ieedlot pens on the Harris Kanch 600-acre feedlot. The feedlot holds 100,000 cattle in Harrises grew cotton and 400 pens. The pen rider monitors the herd for any signs of health problems. with which it competes in grains. But the new aque- the protein marketplace. duct brought water from From the stocker operations that supply man who'd rather be out riding fence the mountains of northern California the feedlot with the raw material of with the cowboys who work for him and changed the character of the San sirloins, fillets, and New York strips to than going to meetings and interviews. Joaquin Valley forever. The desert the refrigerated trucks that ship boxed "I didn't grow up roping cattle," John bloomed with fruits, nuts, and vege- Harris beef to upscale supermarkets says. "My background is more in farm- tables that would have been impossible throughout the West, the Harris ing." In fact, his family did not even get to grow otherwise. organization focuses on monitoring the into the cattle business until 1964, well John now farms more than 15,000 entire production process to ensure before 1-5 blazed its asphalt trail across acres, producing more than 30 different quality. the Panoche Plain. The freeway lies a crops—everything from carrots, lettuce, stone's throw from the feedlot. garlic, onions, tomatoes, cotton, and John can trace his family tree back melons to oranges, lemons, walnuts, Farming the Westside through Texas to Mississippi. At the almonds, and wine grapes—in addition John Harris doesn't quite fit the turn of the century, his grandfather to the beef operations. He also raises popular image of a craggy, saddleworn moved to southern California's Imperial thoroughbred horses. cattleman. His business attire, and that Valley and started one of the State's of his senior staff, consists of jeans, a first cotton gins. John's father, however, blue cotton dress shirt, and cowboy yearned for his own operation and in A Knack for the Niche boots. He has the weathered look of a 1937 started farming a half section of Diversification is not uncommon in a land on the unforgiving west side of the State that produces more than 250 by John Stumbos, Public Information San Joaquin Valley. different commodities commercially, Representative, University of California, and John oversees the production of Davis, CA

Integrating Beef on a Large, Diversified Operation 77 enough agricultural bounty to feed John recalls that his father got into given day now there are about 100,000 several good-sized cities—a large farm the cattle business back in the 1960's head on the 600-acre feedlot. by any standard. What really sets John because he spotted a good opportunity— The senior Harris died in 1981, leav- apart is his ability to zero in on a mar- there were not many feedlots in Cali- ing the entire operation to his only son. ket niche, something he just may have fornia. He started out small, with a John, who earned a degree in agricul- inherited from his father. mere 15,000 head in the feedlot. On any tural production from the University of

A sample of the livestock at the Harris Kanch which includes Hereford, Black Angus, and Brahman cattle. Harris says, 'The biggest challenge lor us ts to convince the consumer íhut xe !u. c û !:¿althy, nutritious product that meets the needs oí their eating habits."

78 Part III The Business of Agriculture California at Davis in 1965, had been running the farming operation since he and his wife, Carol, returned from 3 years of military service in Korea. Soon John put his own signature on the family cattle business by moving away from traditional marketing of live cattle toward carcass production, boxed beef, and eventually to his own name brand. "He knew he had to take the opera- tion into a new place if it were to sur- vive," recalls Jane Anderson, executive director of the California Beef Council. "John has always been open to doing things differently. That's a compliment, because he works in an industry where people like to do things the way they've always been done."

Collón (iffoun/s for two-lhirds oí the crop produdion on Harris Farms. The Haim family cotton operalion moved from Mississippi to Texas and llien la California.

John began the long process of each breed. Coupled with the fact that building the Harris brand into one that the cattle are raised in many different people would recognize and associate environments, it becomes more difficult with quality. That was no small task in to establish and maintain a uniform the early 1980's, when beef suffered a meat quality." serious image problem and U.S. con- Because Harris Ranch is more ver- sumers continued the trend of eating tically integrated than other western less red meat. Nevertheless, the poultry cattle operations, however, it can con- industry had long since embraced the trol many of the variables that might idea of marketing a brand name lead to a tender steak one day and a product, so why not beef? stringy piece of meat the next. "One reason is that chickens raised throughout the United States are much closer to each other in genetic makeup," Meeting New Consumer Markets explains animal scientist Ellis. "With Mindful of consumer food safety cattle we are dealing with 30 to 40 dif- concerns, Harris Ranch is also one of ferent breeds with variable types within the few cattle operations in the United Onions harvested and packaged in //le field, ready for States that h"ave been able to meet the transportation to market.

Integrating Beef on a Large, Diversified Operotion 79 strict standards of USDA's residue While John hasn't yet tapped a keg and pale turquoise trim are a tribute to avoidance program. No hormones, for his cattle, he has bred a well- the Southwest's rich heritage. More chemicals, or artificial ingredients are received Wagyu-Black Angus cross that than 2,000 people visit the hacienda used in raising the animals for the is finish fed for up to 10 months. (Cattle each day, and some spend time Harris brand. bound for domestic consumption exploring the country store. The key to ensuring residue avoid- typically are fed for 4 months before John is acutely aware of the public ance is the expensive process of making the trip to the packing house.) relations value the inn provides. "It monitoring the specially formulated The Japanese are as enchanted as puts a lot of pressure on us to keep the feed. The Herefords, Angus, Brahmas, anyone else with the California mys- quality up," he says. But John has long and various mixed breeds in the 400 tique. "California is perceived to be of been aware of public perceptions. In the feedlot pens are fed different compu- higher quality for any agricultural prod- early 1980's, he was instrumental in terized rations of rolled whole grains, uct," John says. "Australia's beef may persuading his fellow cattle ranchers to bran, molasses, alfalfa, vitamins, and be cheaper, but ours is what they want." extend a mandatory assessment pro- minerals to meet the various speci- Japan has had restrictive quotas on gram nationwide to save beef's faltering fications of different markets. beef imports, which won't be com- image through research and promotion. pletely phased out until April 1991. His commitment to the industry John discovered a partial way around through the years earned John the 1990 Japanese Yen for Beef the quotas by shipping live cattle. About Cattle Businessman of the Year award One niche that Harris Ranch has 20 percent of the tonnage he will ship from the National Cattlemen's Asso- targeted successfully in recent years is this year will be switching flies on the ciation. "That was more of a company especially worth noting. airport tarmac when they depart for award," he says with pride, sharing the The Japanese people do not eat much Tokyo. credit with the 1,300 employees of meat—about 13 pounds per capita per "I recognize this is the least efficient Harris Ranch. year. When they do eat beef, however, way of shipping," John explains. "But As much as nutrition research has they often seek a highly marbled beef, this is a tough business weVe in, and we helped to restore the position of beef in Kobe beef, that can sell for $50 to $60 a need to figure out any way we can to be public opinion, John believes that the pound. In Japan a special breed of cat- different." job is not done. "The biggest challenge tle, Wagyu, is fed a high-protein, high- John and Carol Harris have figured for us is convincing the consumer we energy diet to fatten them well beyond out many ways to be different. They have a healthy, nutritious product that USDA prime grade. The cattle are have developed an "oasis" hacienda a meets their eating habits," he says. finish fed for up to 18 months and given few miles south of the feedlot on 1-5, With innovators like John Harris at massages and even a little beer in their with conference facilities, an inn, a pool, work, the job will be easier. diet to reduce stress. an airstrip, and three restaurants. The red tile roof, stately stucco archways.

80 Part III The Business of Agriculture