Technology marvels on the farm Disney and DFA make an epic partnership
I am excited about where DFA is headed. We couldn’t be a leading global dairy cooperative that supports more than 10,000 farmer-owners without you.
5 things to know about DFA’s strategy
With Michael Lichte, Chief Insights and Optimization Officer
No matter your job title or role at DFA, you are an important part of the success and implementation of our strategy: to drive performance as One DFA. While 19,000 employees across many locations and business units all operating under one shared strategy may sound daunting, allow me to sum up what you need to know most in five quick points.
1
Our strategy is to drive performance as One DFA DFA has evolved (and grown) over the years. We are a global dairy cooperative with an unique set of attributes and assets. By working together, as One DFA, we can deliver upon our mission and vision.
2
3
4
Our strategy process is meant to be “living” … meaning we are continuously evaluating and updating the priority initiatives we’re focusing on to stay ahead as we grow and evolve.
We focus on a few impactful initiatives at a time We know there are a lot of priorities throughout our business, but we can’t do it all. We want to focus on top initiatives really, really well, rather than trying to focus on too much so that we can’t focus on anything at all. We’ll talk more about our current priority initiatives on page 9.
Our Board of Directors 48 farmer-leaders from across the country — help shape, guide and approve our strategy
All that we do is ultimately for the dairy farm families that own our Cooperative, so it’s important they agree with us on the direction of our strategy and priority initiatives.
5
Even if your job or your department isn’t directly tied to a priority initiative, the work you do every day has a ripple effect, which is impactful
With 19,000 of us working toward one strategy, one goal, we are a leading global dairy cooperative. The talent and potential of One DFA working together is unmatched by any other organization.
FEED US YOUR IDEAS AND THOUGHTS
Share feedback and insight into future initiatives to your manager or strategy@dfamilk.com.
Technology marvels on the farm
The
future of dairy farming is bright,
and it’s powered by innovation
Technology looks different on every farm, but the latest innovations allow dairy farmers to produce highquality milk easier, faster and more sustainably than ever before.
“Every dairy farmer I know is a great problem solver and looks to the future,” says Kaleb Bateman, a DFA farmer-owner in Elberta, Utah. “I’m proud of our advancements, but I’m proud of every farmer-owner that is doing the same — using technology to optimize the way they manage their farm.”
From coast to coast, DFA farmers use technology in different ways to improve their individual farms.
“Technology on the dairy farm grants freedom, allowing me to manage operations remotely, build trust with employees and proactively address issues before they escalate,” says Paul Windemuller, a DFA farmer-owner in Coopersville, Mich.
MILKING ROBOTS
Robotic milkers, or automatic milking systems, make it possible for thousands of cows to be milked on their own schedules. When a cow is ready to be milked, she enters the pen, and the robot recognizes her based on the sensors in the collar she wears. A robotic arm extends to milk the cow and a feeding box swivels out to give her a small snack to enjoy while she waits the five minutes or so it takes to be milked. When finished, a gate automatically opens, and she heads back into the barn. With the ability to eat, rest and be milked whenever they choose, the cows are calm, comfortable and produce more milk. And, with less hands-on activity, dairy farmers have more time to focus on caring for their cows.
Fun fact: In 2021, the Bateman family in Elberta, Utah, built a robotic barn capable of handling a staggering 8,400 cows. And just last February, they expanded once again, now milking 12,200 cows.
FEED MANAGEMENT TOOLS
Dairy farmers want to ensure their herd is receiving the best nutrition possible. As Kaleb emphasized, “every cow is an athlete,” underscoring the importance of providing them with precise and consistent nutrition. With feeding and nutrition software, dairy farmers can optimize how their cows get fed — even tailoring feeds for each cow based on her nutritional needs and performance data — right from their computer, tablet or smartphone.
ROBOTIC FEED PUSHERS
These R2-D2 look-alikes roam feed lanes at specified times, pushing feed within easy reach, so the cows are less likely to strain their necks and front legs while reaching. Frequent feed pushing not only keeps cows satiated with better rumen health, it increases production and decreases stress. Feed pushers also reduce feed waste and allow dairy farmers and their employees to spend more time in other areas of their operation, while robots perform labor-intensive chores.
COW MONITORING
Many different types of cow monitoring systems exist, but they all enable dairy farmers to track the health, productivity and well-being of their cows. By using devices like sensors or cameras, the system collects data on various aspects of each cow, such as movement, milk production and eating habits, enabling dairy farmers to detect any health issues right away.
“Having daily insights into cow health proves beyond valuable. With our computer system and rumination collars, we can swiftly detect potential infections or illnesses,” Paul says. “By administering the proper treatment or therapy early on, we can potentially prevent health events from happening or help our cows recover from them much faster.”
These systems also help dairy farmers produce highquality milk.
“With advanced monitoring systems, I can keep a close eye on my herd, even when they’re miles away,” Kaleb says. “Whether it’s tracking milk production or predicting calving times, technology has made the job easier and more efficient.”
Every
dairy farmer
I know is a great problem solver and looks to the future.
KALEB BATEMAN DFA FARMER-OWNER
“With my four milking robots, I know that my cows are getting the right amount of feed they need based off their production levels and stage of lactation,” Paul says. “Then, June, our trusty feed pusher, ensures that the cows can reach what they need when it’s mealtime.”
Dairy farmers use many other technology innovations on the farm — from LED light bulbs to electric feed mixers to anaerobic digesters that turn cow manure and food waste from local businesses and restaurants into renewable energy.
Dairy insights from around the world
How DFA is growing U.S. dairy through global connections
As the world’s appetite for U.S. dairy grows, we want to ensure DFA is at the forefront. By getting to know customers and consumers abroad and how they enjoy dairy, we can better meet that demand and find new opportunities we didn’t know existed. DFA employees and farmer-owners embarked on two international trips recently to learn more about China, Japan, the Middle East and North Africa. With insights from these trips, we can help secure a bright future for our farmer-owners and nourish the world.
UNITED ARAB EMIRATES (UAE)
Using Dubai, the most populous city in the UAE, as a base to explore the Middle East and North Africa (MENA) region, the DFA team focused on finding opportunities to grow trade in the region, particularly in dairy ingredients and cheese, and building relationships with our partners. They also discovered these insights:
Holidays drive dairy demand. Much like in the United States, certain times of year create a desire for specific foods and flavors. Sales of spreadable, jarred cheeses (think products like The Laughing Cow® or Cheez-Whiz) skyrocket during Ramadan, a month-long holy celebration of fasting, introspection and prayers for Muslims, the followers of Islam.
Dairy farming in the region faces challenges. While the demand for dairy in this region is high, the supply isn’t. Due to the arid climate and limited, arable land, dairy farmers in the region can face unique challenges that prevent them from keeping up with the growing desire for dairy products with locally produced milk on farms. These challenges are an opportunity for DFA to fill the gap. Building relationships is key. Culturally, relationships are everything in this region. Business relationships are founded on mutual trust. This is just one reason that DFA is proud to have partnered with Mana, a dairy ingredients distributor headquartered in Dubai. Our existing and evolving relationships with our partners in the region will be crucial to the long-term success of our ventures.
CHINA
Exploring the markets, farms and boardrooms of Shanghai, Beijing and even Mongolia, the DFA team sought to learn how the ingredients DFA produces, like whole and skim milk powders, can support existing and new products in the Chinese market. The visit also aimed to build on existing customer relationships and to understand DFA’s competitive position in the global marketplace. They also discovered these insights:
An entirely digital supply chain. The Chinese market is on the cutting edge of digitizing portions of its supply chain. Some Chinese dairy companies have invested heavily in technology and artificial intelligence (AI) to connect data from the farm, to the plant and directly to stores, creating a full view of what is taking place across the supply chain. Using technology, they gather consumer demand for products in real-time, including via apps on their phones, and align their production and store delivery accordingly. This may suggest an opportunity for DFA to find digital efficiencies throughout our own supply chain.
Room to grow. Dairy consumption in China is relatively low, creating an opportunity for DFA to expand our business in this country — especially in cheese and commodity powders. Jeffery Lu, chief executive officer of Mengniu, the leader in China’s dairy industry, commented that while the people of China drink milk, the next step is to eat dairy.
Countries working together. During the trip, the DFA team visited the China Animal Husbandry Group. Our host shared that due to climate and cost-structure challenges, China would benefit from a dairy trade agreement with the United States, rather than attempting to make their own. Because of ongoing tariffs, the U.S. market share in China has been severely limited. The China Animal Husbandry Group implored both countries to advocate for fair trade between our two countries.
JAPAN
Browsing the brightly lit shelves of grocery stores across Tokyo, the DFA team sought inspiration from the colorful and innovative dairy products unlike any you’d find in the cooler in the United States. Through conversations with our connections in this market, the DFA team gained insight on the unique ways that our products and ingredients can be used to meet the rising demand for high-quality American dairy products in Japan. They also discovered these insights:
Food is wellness. Japanese consumers are craving nutritional products with additional wellness benefits, like probiotic milk or high-protein dairy foods that offer the quality of U.S. dairy and the nutrition they’re looking for.
Connection is key. Much like in the UAE, personal relationships are crucial to business deals in Japan. A strong partnership with Japan could help potentially bring new customers, technology and manufacturing to the United States that we could service. Commercial customers make a point to visit their suppliers frequently to understand how their products are being made and to maintain connections with their business partners. Similarly, suppliers are required to visit their customers in Japan on a regular basis. Maintaining our current relationships and forming meaningful connections with new customers will be vital.
On-the-go packaging. Japanese dairy shelves are filled with single-serve packages. Dairy beverages, such as yogurt drinks and health-forward chocolate milk, are offered in small servings, optimal for busy lifestyles.
DFA is always innovating our packaging and listening to changing consumer needs. By continuing to evolve the way we package our farmer-owners’ milk and dairy products, we can find unique and innovative ways to serve our global consumers.
Left photo: DFA farmer-owners and leaders touring a plant facility in Dubai.
Dairy products and packaging that are sold and distributed in Dubai.
MANUFACTURING WOMEN IN
How DFA helps women grow in manufacturing careers
MANUFACTURING
DFA partners with Women in Manufacturing (WiM), a national and global trade association dedicated to providing year-round support to women who have chosen a career in manufacturing — and DFA employees are already seeing the benefits of membership. With more than 26,000 members, WiM offers many resources and opportunities for growth, such as local and national networking events, a virtual learning library and industry insights to help members further their careers. Here’s what DFA employees have to say about membership.
Interested in joining?
Any employee at DFA can join WiM for free and begin exploring the robust offerings it has. With 32 local and statewide chapters across the country, you can easily get involved with WiM close to home. One quick look at the WiM calendar of events shows everything from a cake decorating social in Louisiana, to a plant tour in Illinois, to a lunch and learn serving chapters in Texas, New York and South Carolina. You can also get involved from the comfort of your own home or office. In May of this year, DFA’s EmpowHER employee resource group (ERG) virtually hosted Allison Grealis, WiM’s president and founder, as well as two board members who shared information regarding their Moms in Manufacturing program within WiM.
Learn more at womeninmanufacturing.org.
My favorite part about being in WiM is learning about the different women and how they are making an impact in their industries.
TWONA
SMITH SUPERVISOR, QUALITY ASSURANCE SPARTANBURG, S.C.
W i M MEMBER SINCE 2023
“It’s important to know of the many resources offered through WiM. Whether exploring their local meet ups, attending webinars or learning about their apprenticeship and career development programs, everyone will find something of interest.”
LORI ROLAND
DAIRY BRANDS TALENT ACQUISITION PARTNER
W i M MEMBER SINCE 2022
A career in manufacturing is so dynamic and exciting and having the support and wide range of activities WiM provides is a total win for any employee at DFA.
ALANA KOWALCZYK SENIOR MANAGER, TALENT ACQUISITION
W i M MEMBER SINCE 2023
IN THE KITCHEN
EMPLOYEE: Kelly Kopp
ROLE: Senior Inventory Control Specialist LOCATION: Cass City, Mich.
Historically, Kelly hated cottage cheese and avoided it at all costs. That was until she was introduced to a pancake recipe that included the product and her gears shifted.
I BET I COULD GET YOU TO LIKE
COTTAGE
CHEESE
PANCAKES SERVES 8 | PREP & COOK TIME: 20 MINUTES
INGREDIENTS
1½ cups all-purpose flour
3½ teaspoons baking powder
1 tablespoon white sugar
¼ teaspoon salt, or more to taste
1¼ cups milk
3 tablespoons butter, melted
1 egg
1 cup cottage cheese
1 cup blueberries (or a fruit of your choice)
METHOD
1. Sift flour, baking powder, sugar and salt together in a large bowl
2. Make a well in the center and add milk, melted butter and an egg. Mix until smooth
3. Heat a lightly oiled griddle or pan over medium-high heat. Pour or scoop the batter onto the griddle, using approximately ¼ cup for each pancake. Cook until bubbles form and the edges are dry, about two to three minutes. Flip and cook until browned on the other side. Repeat with remaining batter
4. Stack three pancakes on a plate and spread one cup of cottage cheese between the three pancakes
5. Top with syrup and a cup of blueberries
GET FEATURED!
Submit a beloved, dairy-filled recipe for our next issue!
I bet I could get you to like cottage cheese.
KELLY KOPP
A look at the big picture
OUR STRATEGY:
Driving performance as One DFA
A connected Cooperative delivering value through focused, collaborative actions
01 Prioritizing an initiative based on current insights and its high level of impact to DFA
02
EVOLVE
Continuing an initiative that has already been elevated because there is still more work to be done to see results
03
INTEGRATE
Completing the priority status of an initiative so that it can now be incorporated into our day-to-day work
How does a business objective become a priority initiative at DFA?
It’s all about teamwork and insights! Regular business updates help us spot challenges and opportunities. When different groups focus on similar themes, it signals the strategy team to analyze data and identify which areas will benefit our farmer-owners the most. The team then submits a business recommendation to decision-makers who decide on DFA’s priority initiatives. As the world changes, we continue to identify, analyze and elevate new initiatives, keeping our strategy agile and relevant.
What’s next for DFA’s strategy?
As insights become integrated into our day-to-day decision making, we are elevating a different priority: Connected Customer Approach.
Connected Customer Approach
DFA’s network of unique assets and attributes are highly valued by global dairy customers seeking a reliable supplier. Our broad portfolio of products and services enables DFA to meet the needs of strategic customers through our distinctive capabilities.
Each of us play an important role
Where in the supply chain does your work make a difference?
Connected Customer Approach
I manage production in our Retort Solutions manufacturing facility in Cabool, Mo. What I enjoy the most is delivering quality products to our customers and the work itself. Every day is a new day, no matter the product we are making.
NICK LOONEY, PRODUCTION MANAGER, CABOOL, MO..
OWNERS
Milk Supply Chain Efficiency
ELEVATE
CONNECTED CUSTOMER APPROACH
Deliver a coordinated customer experience by leveraging the full breadth of DFA’s capabilities
MILK SUPPLY CHAIN OPTIMIZATION
Focusing on maximizing efficiency from farm to factory to customer
Future-Focused Beverage Network
FUTURE-FOCUSED BEVERAGE NETWORK
Working collaboratively across divisions to develop a futurefocused dairy beverage network
How the DFA plant in Portales, N.M., champions local water conservation efforts
In the arid landscape of Portales, N.M., the DFA plant stands as a beacon of sustainability. While producing condensed skim, cream, UF skim, milk permeate, milk protein concentrate, nonfat dry milk and skim milk powders, the plant also navigates the region’s water challenges. With droughts and water restrictions looming at any time, a partnership forged between DFA and the city of Portales more than seven years ago has become a lifeline for both entities.
In 2023, DFA invested $382,200 in water infrastructure, improving the plant’s conservation measures and ensuring a sustainable future for the community. Through collaborative efforts, such as collecting and recycling water captured from the processing of milk, reusing water that is cleaned for seal water and boiler make-up, the city gains access to vital water resources.
DID YOU KNOW
When making milk powders, water generated during the milk product evaporation is known as Condensate of Whey (COW). Since milk is nearly 90% water, a significant amount of COW water is available for reuse in dairy processing plants. Various tools assess water clarity, directing it to the COW water surge tank for treatment with chlorine dioxide. This treated water is then stored for critical operations like Clean-in-Place (CIP) procedures, boiler feedwater and process water for production runs. These meticulous steps transform water from a resource into an asset and make the plant more sustainable.
Many DFA plants across the Cooperative are engaged in similar conservation efforts. Measures we are exploring include:
1. Installing water flow meters that comprehensively monitor usage
2. Focusing on reclaiming processed water throughout the plant
3. Updating condensate return systems to minimize water loss
These efforts not only promise a reduction in the water bill but underscore a commitment to long-term sustainability, recognizing the water challenges facing communities and the pivotal role our plants play as some of the largest consumers of the area's water.
"Working for an organization that encourages us to think about these initiatives and having leadership support in implementing them is incredibly rewarding,” says Eric Miller, plant manager in Portales, N.M. “We're sharing our successes, so we can tackle this challenge together as One DFA, 81 plants nationwide.”
Plans are underway to continue extending the utility of this water for the city’s parks, fire hydrants and more which goes to show how sustainability efforts can simply enhance public amenities.
JOEY MARTIN, PLANT GENERAL MANAGER
400,
000
GALLONS OF WATER ARE PROCESSED AND SENT TO THE CITY OF PORTALES EACH WEEK. (THAT’S THE SAME AS 4.2 OLYMPIC-SIZED SWIMMING POOLS.)
42
MILK TANKERS SAVED EACH WEEK
This year alone, the plant has saved 34,481 gallons of water from going straight to the drain every day. That’s enough to fill up 42 milk tankers every week for a whole year!
Disney and DFA: An epic partnership
This past summer, Star Wars™ fans enjoyed a new, limited-time offering: TruMoo® Blue Milk. The vanilla-flavored, 1% milk in a vibrant blue hue from DFA-owned brand TruMoo hit store shelves in mid-April and lasted through July.
Thanks to our DFA plants that worked hard to bring this fun, innovative treat to store shelves for all of us to enjoy. Employees at these locations had a hand in production:
Billings, Mont.
Burlington, N.J.
City of Industry South, Calif.
Grand Rapids, Mich.
El Paso, Texas
Englewood, Colo.
Fargo, N.D.
Franklin, Mass.
Houston, Texas
Le Mars, Iowa
Nashville, Tenn.
Orlando, Fla.
Portland, Maine.
Salt Lake City, Utah
Sharpsville, Pa.
Spartanburg, S.C.
MAY THE FOURTH
Several DFA plants and offices celebrated May the Fourth, the unofficial Star Wars holiday, on May 4, with Star Wars-themed celebrations, complete with a TruMoo Blue Milk sampling. Many employees took the opportunity to dress up in their favorite Star Wars garb. Who doesn’t love a reason to chat about the force during the workday?
THE EMPIRE IS CALLING
In March, the Empire State Building in New York was aglow for a Star Wars activation event hosted by Disney. Fans witnessed an imperial march and were treated to a TruMoo Blue Milk tasting on the observation deck of the Empire State Building. A galactic lightshow starred on the exterior of the building with a Star Wars-themed Fifth Avenue window display and a LEGO® Star Wars exhibit inside.
BACK TO SCHOOL FUEL
Just in time for a Marvel-ous return to school, TruMoo is helping students get superhero strong! With new Spider-Man and Avengers school milk packaging, students will be inspired to build mighty bones and muscles with fuel fit for Earth’s greatest heroes.
SUPER BRAIN
SUPER SPORTY
Young and aspiring athletes have a new superhero. Blue Bounder is a high school track athlete who gets his running and jumping powers from his daily glass of milk. Students can read all about his adventures in an exclusive comic book from Marvel and DFA at MarvelMilk.com.
A Spider-Man-themed online matching game puts students’ memories to the test. With 90 seconds to match 20 images, they’ll need super brainpower! Let the games begin at disneymilk.com!
SUPER NUTRITION
For our little superheroes who can’t get enough of their delicious fuel at school, Marvel and DFA curated a list of heroic recipes, like overnight oats and smoothie bowls, to encourage eating nutritiously at home. Check out these recipes and more at MarvelMilk.com
Once we understood Campbell’s direction with cheese being indulgence, it helped us know what concentrate we wanted the team to focus on for soups and sauces.
Customer:
Campbell’s®
DFA’s recipe for success
ASK THE DFA EXPERT
Jessica Vogel
DFA’S END–USE CATEGORY
STRATEGIC/KEY ACCOUNT SENIOR SALES
Product: Grilled Cheese and Tomato Soup
Challenge:
Campbell’s recently asked DFA to help seamlessly blend our Monterey Jack concentrate into their tomato soup for an exclusive, limited-time flavor their insights indicated would be a hit — Grilled Cheese and Tomato Soup. As our teams collaborated, DFA’s innovation team worked behind the scenes on another challenge many deemed impossible: creating pumpable cheese products, providing a smooth, pourable ingredient, ideal for blending, enhancing quality control and minimizing waste for food producers.
Solution:
“Once we understood Campbell’s direction with cheese being indulgence, it helped us know what concentrate we wanted the team to focus on for soups and sauces,” says Jessica Vogel, DFA’s end – use category strategic/key account senior sales. “With Jessica Saunders on our product development team leading the way, DFA has cracked the code when it comes to making a pumpable cheese product that is consistent, stable and delicious.”
Results: Campbell’s used this innovation to make their new soup flavor a permanent fixture on store shelves, opening the door for more recipes that layer cheese flavors. “The innovation of pumpable has really helped us shape how we want to grow together with this customer,” Jessica says. “Every time you give a customer a tool that helps them, the relationship gets closer. That ultimately leads to better projects, launches and things that will stay in market longer.”
An out-of-thisworld beverage
Customer:
ASK THE DFA EXPERT
Kerry Burke SENIOR SCIENTIST, RESEARCH AND DEVELOPMENT
CosMc’s, a new McDonald’s restaurant concept popular for its unique beverages
Product: Beach frappe
Challenge:
Solution:
McDonald’s wanted a low-calorie, high-protein, no-sugar beverage for CosMc’s. After competitors failed to identify a viable recipe, they contacted DFA.
“They needed a product that captured afternoon snacking that met those criteria,” says Chris Mariello, DFA’s McDonald’s lead.
Kerry Burke, of DFA’s research and development, had some ideas. The first was a cultured dairy protein he’d been working on that increased protein without lactose or sugar. The second was reaction milkfat concentrate the team developed that enhances flavor and mouth feel.
“It’s feels like drinking whole milk, but it’s only two-percent,” Kerry says.
Results: In three weeks, the team created a nutritional dairy beverage base boasting a creamy texture and neutral flavor. It allows CosMc’s to be customized with flavors, like beach frappe: “A breezy blend of banana flavor and protein-packed whipped indulgence.”
it’s only 2%.”
