SEPTEMBER 2018

WHAT ARE CO-OP VALUES? DO THEY
VARY DEPENDING ON SECTOR OR
REGION? HAVE THEY CHANGED?
For me, co-op values are the norms and beliefs
that guide the behaviour of co-op members,
leaders (elected and non-elected) and
employees. While co-op values are not the same
as the ICA principles, the principles do share
some of the core elements of the values.
Co-op values contain a sense of reciprocity
– the sense that the actions of each person
will be reciprocated by others, be it the board,
management, employees or other members.
Co-op values also contain a sense of identity:
they reflect concern for the wellbeing of an
identified group (often understood as the
membership, but sometimes extending beyond
that to the community). Within this group,
however, there is a belief and an expectation
that individuals will flourish – the purpose of
the group is to assist the individual members
in some way. These three elements are brought
together by a sense of fairness that is understood
in proportional terms – that benefits and costs
are allocated in proportion to the effort exerted
or the resources committed, and by a sense of
independence. Then the members get to decide
the rules by which they abide.
While the expression of these values has
changed over time, I think the underlying
elements have been a part of co-ops since they
were first formalised. I believe co-op values are
applicable to most settings and most co-ops.
WHAT CHALLENGES DO BIG CO-OPS
FACE WHEN PUTTING THESE VALUES AT
THE CENTRE OF THEIR ACTIVITY?
The big challenge faced by co-ops, big or
small, is to ensure that the values inform and
permeate the decisions made on a daily basis.
In smaller co-ops it is sometimes easier to make
sure the values are in place, although there is
no guarantee that these co-ops won’t suffer the
loss of one or more of the values – i.e., that the
sense of fairness is violated or that the reciprocal
nature of relationships is no longer recognised.
Perhaps the difference is that when the values
break down in small co-ops, the cause is often
linked to particular personalities while when
values break down in large co-ops the cause is
often linked to policy decisions made by leaders.
The key challenge is that the values will often
conflict with particular objectives the co-op has
at a particular point in time. These objectives
are often very important – economic survival –
and need to be addressed. But in doing so, it is
critical that co-op leaders don’t dispense with
the core values. To take an example, in a time of
rapid economic change, co-op leaders may feel
compelled to impose new decision-making rules
or a new organisational structure; such moves
can undermine the sense of independence that
members feel should be present in the co-op.
The core of the problem in these conflicts is
that the co-op did not set the stage for dealing
with them. Co-ops can deal with rapid economic
change, but the process has to be worked on in
advance by, for instance, making sure they have
kept their decision-making processes updated
and their members engaged so that changes can
be made quickly. In other words, conflicts will
always arise – they key is to recognise this and
plan accordingly, with the values firmly in mind.
HOW DO YOU MEASURE A CO-OP’S
ADHERENCE TO VALUES, AND THEIR
IMPACT ON THE BUSINESS?
Since values are associated with beliefs, they are
inherently difficult to measure. Even if a co-op
asks its members about their identity with
the co-op and whether they feel its policies
are fair, members may not truthfully respond.
Furthermore, the beliefs may be simply present
or not present. If this is the case, then a decline
in a belief cannot be used to signal trouble in the
future; instead, the belief may simply collapse
after some tipping point is reached, taking with
it member commitment.
MURRAY FULTON
DIRECTOR AND
FELLOW IN
CO-OPERATIVES
AND PUBLIC POLICY,
CENTRE FOR
THE STUDY OF
CO-OPERATIVES