Farm Progress

A farm couple, the Skrochs, were featured in a 1986 story in The Farmer for their business acumen. Today, their light shines bright for their family and the next generation.

Paula Mohr, Editor, The Farmer

October 19, 2018

5 Min Read
LEAVING A LEGACY: Leon and Janet Skroch of Rice, Minn., were featured in The Farmer magazine in 1986 as top farm managers. Decades later, their dedication to farming is evident as they expanded their farm and business operations, which now include three of their adult children. Their grandchildren, who soon will number 10, often play in the miniature farm in the background of this photo.

The 1980s were financially tough on many farmers — especially those who expanded a decade earlier when the farm economy was good, and projected farm prices encouraged business growth.

One farm couple who worked hard at business management back then was Leon and Janet Skroch of Rice. The Farmer featured the couple in a story that highlighted their skills. A Minneapolis business consultant reviewed their farm records, enterprise by enterprise, and concluded that the Skrochs were “stars” in handling debt, time management and production efficiency. They paid attention to common-sense basics. They fixed up old equipment and built their own facilities. When they needed help, they weren’t afraid to ask for help and hire an expert.

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ORIGINAL STORY: A Sept. 26, 1986, article in The Farmer shared the Skrochs’ farm business management philosophy and practices. The couple had the article framed, and it still hangs in their farm office. (Photo by Tamara Schmidt)

 

The metro business consultant ranked the Skrochs in the top 10% of all business managements he had ever seen and predicted they would make it in the long run, even if they ran into some bad luck.

Well, the Skrochs are still farming, along with three of their six adult children. Plus, they have a thriving grain storage building business.

How do we know this?

Their daughter, Tamara Schmidt, reached out to us to share that her parents celebrated their 40th wedding anniversary in September, and that they had the Sept. 20, 1986 article framed and still on their office wall.

“I think it could be neat for you to do a follow-up about where they landed,” Tamara wrote. “In my estimation, I would say your article was correct. Over the years, they have adapted their strategies and diversified as needed, to not only significantly grow the small farm that was started by my grandparents, but to also begin a highly successful business catering to a need in the farm market called Complete Grain Systems Inc.”

Tamara shared that her parents’ company, which was incorporated in 1996, specializes in grain storage and drying systems for farmers. They sell wholesale, retail and direct and run their own construction crews.

“The company is one of the top dealers in the Midwest for GSI,” she added, “and Leon sat on the GSI advisory board for many years. He does much of the sales, and Janet does the finances. At any given time, there can be up to 40 people working for them.”

During their marriage, Leon and Janet raised six children — Christina, Tamara, Dennis, Jeff, Michelle and Joseph — all of whom are college graduates who put themselves through college with income earned by working for the company, Tamara said. Three adult children continue within the business, with succession planning in the works.

Even with the day-to-day work challenges, the couple make time for family, having raised six children. Sundays are exclusively family-focused including church and dinner all together. 

“I hope you would consider doing a follow-up,” Tamara added. “My parents don't hear enough how important their leadership is to our entire family.”

Intrigued by Tamara’s letter, we decided to revisit the Skrochs. After visiting with them, we also were impressed.

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AMPLE STORAGE: The Skrochs have several buildings for storing equipment and supplies for their grain bin building business.

Their family business today shines as an example of tenacity, hard work and a willingness to be open to ideas. When Leon and Janet took over the farm from Leon’s parents, Clem and Juane, in 1983, they operated a 160-acre crop and livestock farm that raised hogs, dairy cows and chickens.

“Our philosophy at the time was to keep costs and debt low,” Leon recalls. “Our goal was to someday farm over 1,000 acres. We are now at 2,500, including what our sons own.”

Today, two sons — Dennis and Joseph — farm the acreage with them, raising corn and soybeans and around 1,700 head of beef.

Thoughtful expansion
The Skrochs stopped raising chickens and cows in the 1990s and started looking for another ag enterprise to fill their time. They started custom-building grain bins, learning as they went. Their reputation for doing the job right spread and helped their business grow. As it gained momentum, they had to make a decision about where to invest their time and energy.

After incorporating the business, the dairy cows left in 1998, followed by the hogs in 2001.

Over time, they’ve built grain bins from Green Bay, Wis., to Montana, from Canada to Iowa for customers.

As their children grew into adults and finished their college degrees, it became apparent that they each had specific interests and talents that could be used in the operation. Dennis earned a heavy diesel mechanic degree; Jeff, a business management degree; Joseph, a construction management and engineering degree; and Tamara, degrees in operations management, marketing and human relations.

As time went by, Dennis ran the ag equipment side of the business. Jeff was head of the brothers’ cattle operation and took charge of the concrete side of the bin business. Joseph was project foreman, in charge at each construction job site. Tamara managed the office. Using each person’s strengths helped them all work together as a tight-knit family team.

A major factor in the Skrochs’ business strategy was to provide their own housing inventory. Over time, they have built on-farm warehouses and storage sheds to accommodate the business. This fall, they are working on a new 100- by 150-foot farm shop. Recently, they opened a satellite office in North Dakota to save on travel time. This also offers some business flexibility for when Leon and Janet retire.

Unexpected upheaval
The Skrochs’ successful agribusiness comes with deep personal satisfaction. Yet, a recent event turned the farm succession on its head. In November 2015, their son Jeff was killed in an accident while he was moving grain during harvest. A semi driver fell asleep and hit him on the highway — he was less than a mile from the farm.

The painful loss of a son and brother has left a huge hole in the hearts of the entire Skroch family as well as adding unplanned challenges to running the operation. At a time when everything was going well, their world fell apart, and Leon and Janet had to entirely revise their retirement and succession plans.

Concluded Tamara: “Somehow, with my parents’ strong leadership, we are weathering the storm.”

 

About the Author(s)

Paula Mohr

Editor, The Farmer

Mohr is former editor of The Farmer.

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