Learning Financial Management by Interactive Videodisc

"I'm sorry, but I can't give you the loan you're requesting until you show me that you're on top of your business." Frank Johnson was infuriated when his banker told him this. He just wanted to get his operating loan for the year and go run his farm as he always had.

The above scenario appears in the opening scene on the USDA's first interactive videodisc JAV), "Cash-Flow Planning." The videodisc program is designed to teach farmers and ranchers how to develop, analyze, and use a cash-flow plan. This program offers the user an opportunity to interact with knowledgeable people: Frank and Florence Johnson, who have now been using cash-flow planning on their farm for 2 years; Carl, the Extension Agent, who taught them how to use cash-flow planning; and Bill, their banker, who motivated them to learn about cash-flow planning and then helped them along the way.

What Is It?

An interactive videodisc learning system consists of a microcomputer, a video disc player, a television, a printer, and the cables to connect them all. The computer controls the videodisc player. Each videodisc contains 54,000 frames of pictures and two sound tracks. But you don't have to understand how all this equipment works; you simply control the system by punching numbers into a keyboard.

The computer screen indicates the alternatives available to you. When you select one, such as fertilizer costs, the computer tells the videodisc player to play the segment on how to calculate fertilizer costs. At the end of the segment, the computer asks you a multiple choice question to see if you understand the lesson. Based on your answer, the computer either congratulates you for your correct answer or tells the videodisc player to give you additional information. Then you proceed to the next step.

Why Use Interactive Videodisc?

In a seminar or lecture on financial statements, farmers and ranchers might hesitate to ask questions. Many people feel overwhelmed when asked to fill out a financial statement form, especially if their future depends on the answers. But in an interactive videodisc learning environment, where there is no such thing as a dumb question, you can ask the experts the same question over and over. Videodiscs have the patience of Job. They will keep you alert by asking you questions about each step. They will rephrase statements to make the information more understandable. They will work with you until you completely understand the process. They will allow you to repeat material. You can take as long as you need. If you get tired, you can walk away and come back whenever you feel like it.

There are many different types of agricultural operations, and interactive videodisc can deal with this situation. For example, during a lecture on cash-flow planning, a rancher may tune out during a long discussion of crop plans. But with the "Cash-Flow Planning" IAV, the rancher can skip the crop plan and spend most of his or her time on the livestock plan.

If you already know quite a bit about cash-flow planning, you can still benefit from a review of some of the finer points. Try matching wits with Bill the banker as he quizzes you about the cash-flow plan you present to him. Even if you area seasoned financial manager, you might feel a bit apprehensive when Bill slides his chair back, clears his throat, and begins to tell you whether you get the loan or not.

Ideal for Farm and Ranch Managers

Farmers and ranchers area particularly good audience for this technology. They have a no-nonsense approach to learning, and they want learning to be directly applicable to their lives. They want to learn quickly, and the learning experience has to be enjoyable or they won't continue. In particular, farmers and ranchers like the physical activity, involvement, and hands-on experience that interactive videodiscs provide. To learn with this technology, a person must act, strike keys, and make decisions.

Furthermore, farm financial management programs are directly applicable to the lives of farmers and ranchers. After working with this program, they can go home with completed financial statements. On top of that, farmers and ranchers have fun learning with the cash-flow planning interactive videodisc, according to a study of the program by the Nebraska Cooperative Extension Service.

Farmers and ranchers are also concerned about confidentiality. With this program, they enter their financial information on a computer diskette that they take home with them.