Volumes

CO-OPERATIVES AS INDICATOR OF ORGANIZATIONAL INTEGRITY

Abstract

This study addresses the question of how retail co-operatives project their stature as socially responsible co-operatives through their corporate culture and their business ability. Using integrity as the proxy to such projection, the link between integrity and the corporate culture and integrity and business abilities are assessed. The fndings of this study confrmed such relationships and further illustrate how integrity is deemed crucial to the image of the co-operatives. Although this study is just an extension of another study on retail co-operatives, it nevertheless established how co-operatives view their positions as socially responsible entities and how important it is for the co-operatives to constantly display their actions as being efforts that will allow their members and the public to perceive them positively.

DETERMINANTS OF CO-OPERATIVES MEMBERS’ PARTICIPATION IN INPUT AND OUTPUT MARKETING BY MULTIPURPOSE CO-OPERATIVES – AN EMPIRICAL ANALYSIS IN TIGRAY REGION, ETHIOPIA

Abstract

The main aim of this study is to empirically analyze the major factors influencing members’ participation in input and output marketing of agricultural multipurpose co-operatives in the Southern Zone of Tigray Region of Ethiopia. A multi-stage random sampling procedure was adopted as to selection of Woredas, co-operative societies, and member respondents. As such, in the frst stage, Tigray Region was purposively selected. In the second stage, from the fve Woredas (Districts) of the Southern Zone of Tigray Region, Alamata and Ofla Woredas were selected at random for the study. In the third stage, out of 27 primary multipurpose co-operatives in the selected Woredas, 10 societies were selected based on the volume of business. In the fnal stage, a total of 208 sample respondents at the rate of 56 from Alamata and 152 from Ofla Woreda by adopting probability proportionate to size sampling. Primary data pertaining to the year 2007/08 was collected from the selected sample respondents by using a structured interview schedule. Of the total respondents, about 70.2% and 29.8% were participants and non-participants of the co-operatives agricultural input and output marketing respectively. Probit econometric model was employed to identify the determinants of participation of co-operative members in the input and output marketing by co-operatives in the two Woreda. Fifteen explanatory variables were included in the model of which ten variables were found to be signifcant. Of these, six explanatory variables namely own land, shareholding, distance, output price, membership in other co-operatives and seed price were found to be signifcantly and positively related to the participation of co-operative members in the agricultural input and output marketing by co-operatives.

ATTRIBUTES AND PERCEIVED SUCCESS FACTORS OF PERFORMING CO-OPERATIVES IN MALAYSIA

Abstract

This paper analyses the attributes of selected performing co-operatives and explored the perception on the factors that have influenced the success of these co-operatives. For identifcation of the success factor, the survey method is adopted and a total of 567 questionnaires were collected from individual respondents (Board Members) representing 89 selected performing co-operatives. Responses were then analysed using the exploratory factor analysis. A total of three (3) factors were extracted using the principal component method with a varimax rotation. The three factor rotated explained a total of 54.38 percent of the variance and all the factors had acceptable reliability. The three factors identifed were managerial competency, effective leadership and support. Group mean scores were then calculated for the three factors to determine their importance in determining the success of the performing co-operatives. Subsequently, effective leadership was perceived as the most important factor with the highest group mean score, followed by the factor, managerial competency. The factor, support was perceived to be the third most important factor. Key words: co-operatives, management, success factor

INDICATORS OF GOOD GOVERNANCE PRACTICES IN SELF EMPLOYED WOMEN’S SACCOS UNION IN ADDIS ABABA, ETHIOPIA – AN EXPLORATORY STUDY

Abstract

The co-operative governance concept relates to the quality of the relationship between the government and the citizens ie., the co-operative system and its members for whom it exists to serve, promote and protect. The indicators for good governance in co-operatives are compiled with corporate culture and ethical climate in co-operatives. The present study is a unique attempt in Ethiopian context. The SACCOs are flourishing like anything and these fnancial co-operatives should think of good governance practices. The study attempts to analyze the indicators of good governance practice in selected self-employed women SACCOs union located at Addis Ababa. Survey method was adopted. The major focus was different stakeholders of the union - members, board members, representative of member co-operatives, paid management. Two stage sampling procedure was employed for the study. Except members of the SACCO union, other stakeholders were selected on census basis i.e., all board members, all representatives from member co-operatives, all paid management staff were selected. Semi-Structured Interview Schedule was administered among sample stakeholders. From among members 4 FDGs were conducted on certain governance issues and Good Governance Issues Report Card also administered to grade the governance indicators. The detail regarding governance issues report card is dovetailed in analysis part of this research paper. The Self-Employed Women’s Savings and Credit Co-operatives Union Ltd is established in June 2005 by 12 primary co-operatives. Currently, the union has 19 co-operative members with 4,200 individual members. The union is rendering services like, savings and credit to members, provision of loans like housing, school and group loans, administration of market shelters, organizing trade fairs, exhibition, bazaars, insurance service on loans, and administrating income generation ventures. As for governance of this union, the member representatives from primary co-operatives, board of management, members and employees have adequate knowledge about co-operatives and co-operative management. They adhere to the co-operative principles and values. They are practicing the four pillars of co-operative governance. They practice governance with good governance indicators. The results will be clearly seen in the full paper. The women SACCO union is an example of good governance model / framework. It can be a model women co-operatives union, which practice good governance for creating a better standard for other co-operatives in the country.

CABARAN KOPERASI PENGGUNA DALAM AKTIVITI PERUNCITAN DI SEMENANJUNG MALAYSIA

Abstract

This research studies the challenges faced by the Consumer Co-operatives in retail activities in Peninsular Malaysia. Questionnaires were distributed using the simple random sampling to obtain the perception of respondents from co-operatives. 154 respondents were analyzed using descriptive analysis. The result of the study shows that fve key challenges faced by Adult Consumers Co-operative in Peninsular Malaysia are (1) Competition from the private sector, (2) Lack the knowledge and skills of the board member in the retail sector (3) The size of co-operative store is small; (4) Most of the credit facilities provided by the supplier is in a short period, and (5) Diffculty in obtaining co-operative store employees, qualifed and skilled.

Kajian ini memperlihatkan cabaran yang dihadapi oleh Koperasi Pengguna dalam menjalankan aktiviti peruncitan di Semenanjung Malaysia. Soal selidik telah diedarkan menggunakan kaedah persampelan rawak dan sebanyak 154 responden telah dianalisis menggunakan kaedah analisis diskriptif. Kajian menunjukkan lima cabaran utama yang dihadapi oleh Koperasi Pengguna Dewasa di Semenanjung Malaysia adalah; (1) Persaingan dari sektor swasta yang menjalankan perniagaan peruncitan; (2) Ahli Lembaga Koperasi(ALK) kurang pengetahuan dan kemahiran dalam bidang peruncitan; (3) Saiz kedai koperasi yang kecil; (4) Kebanyakan kemudahan kredit yang diberikan oleh pembekal adalah dalam tempoh yang pendek; dan (5) Kesukaran mendapatkan kakitangan kedai koperasi yang berkelayakan dan berkemahiran.

TAHAP PENGAMBILAN RISIKO DALAM GERAKAN KOPERASI DI MALAYSIA

Abstract

Risk taking involved decision made by the co-operative board member on some forms of investment which are funded by internal or external fnancing. In co-operative entrepreneurship level research, risk taking was used to identify board members action in developing their co-operative. Matters to assessed these items include external fnancing usage, diffculty on managing the investments, instrument that chosen to setting aside of funds excess, investment valuation method, and new high risk investment exploration. Research showed that risk taking were still at low level when more co-operatives decided not to use external fnancing because they do not dare to bear the losses and inability to pay back their loan. More co-operatives choose to invest in safer investment . Besides that, co-operative also less interested in managing big fund size to avoid from diffculty in running co-operative respectively . They are more comfortable to manage fund in small and medium size. Excess funds were also kept in fxed deposit. This obviously shows a large amount of co-operative choose to invest in instrument of low risk as compared to making investment in high risk instrument. At the same time, valuation method used for co-operatives are return on investment and fndings revealed that co-operatives have use less expert service in making investment evaluation

Pengambilan risiko melibatkan satu pembuatan keputusan oleh anggota lembaga koperasi terhadap sesuatu bentuk pelaburan samaada dibiayai oleh pembiayaan dalaman ataupun luaran. Dalam penyelidikan tahap keusahawanan koperasi, angkubah pengambilan risiko telah digunakan untuk melihat gelagat anggota lembaga dalam memajukan sesebuah koperasi. Perkara yang dinilai adalah merangkumi aspek penggunaan pembiayaan luaran, kesukaran mengurus pelaburan, instrumen yang dipilih untuk menyimpan dana berlebihan, kaedah penilaian pelaburan, dan penerokaan pelaburan baru berisiko tinggi. Penyelidikan menunjukkan angkubah pengambilan risiko masih pada tahap rendah apabila majoriti koperasi lebih cenderung untuk tidak menggunakan pembiayaan luaran kerana mereka tidak berani menanggung kerugian dan berkemungkinan tidak mampu menjelaskan balik pinjaman. Kebanyakan koperasi memilih untuk melabur dalam pelaburan yang selamat.