Post on 12-Aug-2020
Co-operativesWorkshop
Jarra Hicks, Ann Apps & Sidsel Grimstad
Gloucester Sustainable Futures Convention March 2019
“Nothingtrulyvaluablecanbeachievedexceptbytheunselfishcooperation
ofmanyindividuals.”AlbertEinstein
WorkshopOverview
1. Whatarecooperatives&howaretheydifferent?
2. History¤tstatusworldwide3. Cooptypes&examples
4. Whatmakescoopspowerful?
5. Designyourowncoop!
https://www.youtube.com/watch?v=90FL_bBE4mw
Introduction
• Co-operatives–arebothabusinessmodelandasocialmovement.
• Almosteverycountryrecognisesco-operativesasasocial-economicmodelthatcanimprovethelivesandeconomicwellbeingofitsmembers.
• Theyaredemocraticorganisationsownedandcontrolledbyandfortheirmembers,whomaybeworkers,users,customers,residents,etc..
• Theyarebasedonthevaluesofself-help,mutualresponsibility,democracy,equityandsolidarity.
Cooperativeprinciples
Coopsacrosstheworldoperateaccordingtosharedprinciplesof:
1. Openandvoluntarymembership
2. Democraticmembercontrol(one-member,one-vote)
3. Membereconomicparticipation
4. Autonomyandindependence
5. Education,trainingandinformation
6. Cooperationamongco-operatives
7. Concernforcommunity
Cooperativebusinessmodels
• Weshouldstartbythinkingaboutco-operativesasabalancedmodel.
• Thebalanceliesatthemidpointbetweenpurelysociali.e.a‘notforprofit’andapurelycommercialor‘forprofit’business
• Whilethemodelcanaccommodatebothextremes–itoperatesatanoptimumwhenithasbothaneconomicandsocialoutput.
Wheredidcoopscomefrom?
• Co-operativesoccurnaturallyinmostsocieties.
• Co-operativesintheUKandEuropewereaspontaneousresponsetotheworsteffectsoftheindustrialrevolution.
• IntheUKmostco-operativeswereconsumerco-operatives.InIrelandandNorthernEuropeagriculturalco-operativesandcreditunionsflourished
• InFranceandSpain–workerco-operativeshavealonghistory.
Wheredidcoopscomefrom?
• Theco-opprinciplesandtheinternationalmovementhasitsoriginintheUKwiththeRochdalePioneersin1844.
• TheRochdaleco-opwasaconsumerco-opandrebateswereissuestomembersaccordingtouse.
• TheRochdaleprinciplesincludeddemocraticgovernance,openmembership(womenincluded),ideologicalneutralityandprovidedbotheconomicandsocialbenefitstotheirmembers.
Wheredidcoopscomefrom?
• Australiawasanearlyadopter-AustralianMutualProvidentSocietyofNSWinSydneyin1849.
• InterestinglytheminersfromtheUKbroughttheco-opideatotheHunterValleyandtheNewcastleSuburbanCo-opSociety“theStore”wasmodelledonitsUKcounterpart.
• Otherfamousco-opsincludedWesfarmerswhichlaterstartedCBH,Australia’slargestco-op
• Norcoisoneofthefewdairyprocessingco-opsleft,butacoupleofnewoneshavestarted.
CurrentstatusofCooperatives–Global• TheInternationalCo-operativeAlliance(ICA)istheworlds
oldestglobalpeakbody(est1895beforeUN).
• ItcontinuestoworkwiththeILOandUNtopromotetheco-operativemodelworldwide:
• Renewedinterestinco-opsnowdueto:
-Globalinequalityandlackofglobalgovernance
- Environmentalissuesandclimatechangethreats
Currentglobalstatisticsforco-operatives
• 1billioncooperativemembersin3millioncooperatives.
• 12%oftheglobalpopulationisamemberofaco-op.
• 280millionpeople=10%oftheworld’semployed.
• Co-operativemodelissurprisinglypopular–someinterestingstatisticsfromaroundtheglobe:
• HousinginScandinavia;ElectricityinruralUS;CreditunionsinNorthAmerica;
Currentstatusofco-operatives–Australia• ComparedtomostcountriesAustraliahasasmalland
shrinkingco-opsector(why?)
• Itdoeshaveastrongmutualsector(e.g.creditunionsandindustryownedsuperannuation,healthinsurance)–so8outof10peopledobelongtomemberownedorganisationseg.NRMA.
• Butwedoseearenewedinterestinco-operativesolutionsforemergingareassuchasrenewableenergy,publicsectorservices(health,agedcare,disabilityservices),andhousing.
• BUT–lackofknowledgeandresourcesaboutco-ops
Whoherehasbeeninvolvedinaco-operative?
TypesofCooperatives
a. Distributing(for-profit)cooperativeb. Non-distributing(not-for-profit)cooperative
Types: • Worker’s cooperatives
e.g. Community Power Agency • Producer cooperatives
e.g. Norco • Buyer’s cooperatives
e.g. Alfalfa House Food Coop
• Credit Unions e.g. Bank Australia, Greater
• Housing Cooperative e.g. South Hobart Co-housing Coop
Co-operativeexamples
https://www.youtube.com/watch?v=UasyTMXhQZ0
Thecooperativeadvantage
• Agilitywiththenotionofmember-value(comparedtoprofits)increasesresilience.Didyouknow?
• Co-opsaremuchlesslikelytofailthaninvestor-ownedfirms.
• USdatashowsthat60–80%ofinvestor-ownedfirmsfailaftertheirfirstyearwhereasonly10%ofco-opsfailtheirfirstyear.
• Afterfiveyearsonly5%ofinvestor-ownedfirmsremainactive,whereasnearly90%ofco-opsarestilloperating
Theco-operativeadvantage
• Democraticdecision-makingandbottom-upsocialinnovation
• Accountabletomembersandmembers’localcommunity
• Collaborationwithotherco-opsprovidesstrengthandinnovation
• Educationofmembersisparamounttogainthesebenefits
Smallgroups:
Begindesigningyourownco-op!
Thank you!
Jarra@cpagency.org.au www.cpagency.org.au
Ann.apps@newcastle.edu.au
Sidsel.Grimstad@newcastle.edu.au https://www.newcastle.edu.au/degrees/graduate-certificate-co-operatives-management-organisation