Cooperative Performance Research Articles

How do cooperative rebates and asset specificity impact operating performance of farmer cooperatives? evidence from China.

Improving farmer cooperatives' operating performance is essential for their economic sustainability and for promoting sustainable agricultural development. Despite the prominent role of benefit distribution and asset specificity in cooperation organizations, their impact on performance remains controversial, and the relationship between the three is unclear. This study focuses on cooperative benefit distribution in terms of their rebates (first and second rebates) and investigates the relationship between asset specificity, cooperative rebate and operating performance. The results show that both the first and second rebates have a positive impact on operating performance and play substitutive roles in increasing operating performance. Physical asset specificity (PAS) impacts first rebates positively, whereas human asset specificity (HAS) impacts first rebates negatively. PAS has a positive effect on operating performance whereas HAS has no significant influence on operating performance. Furthermore, the first rebate mediates the relationship between PAS and operating performance and suppresses the relationship between HAS and operating performance. These findings provide support for developing relevant policies to improve cooperative performance and sustainability.

Efektivitas Studi Kelayakan Bisnis dalam Meningkatkan Penjualan Kentang di Koperasi Aspi Daranata Agro Priangan

This study aims to evaluate the effectiveness of business feasibility studies in improving potato sales at the Aspi Daranata Agro Priangan Cooperative. Conducting feasibility assessments plays a pivotal role in the growth and expansion of cooperative businesses, but their impact on cooperative performance has not been widely studied. This research uses a qualitative approach with a case study method. Data were collected through interviews, observation and documentation. The results show that the business feasibility study conducted by the Aspi Daranata Agro Priangan Cooperative was effective in increasing potato sales. This is reflected in increased sales volume, expanded market reach and increased member satisfaction. Through the feasibility study, the cooperative can identify market potential, evaluate marketing strategies and allocate resources more optimally. The insight gained from this work highlights the requirement to empower the skills of cooperatives in conducting business feasibility studies on a regular basis to support business sustainability and member welfare.

Strategic plans on the context of business excellence models and its financial impact: the case of the Cavendish banana grower cooperatives

PurposeThis study was conducted to assess the alignment of the strategic plans of the Cavendish banana grower cooperatives to business excellence models (BEMs) and to determine its financial impact to elucidate the performance of the respective cooperatives. This is anchored on the primary objectives of cooperative business sustainability, expansion and sustained competitiveness, all of which are significantly impacted by the strategic plans. The BEMS establish the parameters that are useful in determining how well the strategic plans correspond.Design/methodology/approachQualitative and quantitative methods were used in this study. Strategic plans and audited financial statements (FS) for calendar year (CY) 2021 and 2022 of two Cavendish banana grower cooperatives in Region XI on the context of BEMs were evaluated and examined using the Malcolm Baldrige National Quality Award and Philippine Quality Award. Of the seven criteria, only five were considered as follows: organizational profile, leadership, strategy, workforce, process and result. The first four were taken from strategic plans, while result was from audited FS.FindingsThe strategic plans of the two cooperatives selectively satisfy some of the sub-criteria of each of the four criteria. Furthermore, the cooperatives followed the usual basic contents of and briefly presented in the strategic plans the strengths, weaknesses, opportunities and threats (SWOT) analysis, strategic objectives, plans, targets and timelines. This suggests that the cooperatives are not familiar with the BEMs which could be attributed to the educational qualifications of the directors and officers, or possibly not introduced by the Cooperative Development Authority (CDA). On the financial performance, one cooperative has impressive records but generally had lower performance in 2022 compared to 2021.Research limitations/implicationsThis study covers only Cavendish banana grower cooperatives particularly located in the Southeastern part of Mindanao (CDA, 2021) in the Philippines where people are mostly of similar culture. This does not represent much diverse culture; thus, this may work only in organizations with similar culture. In other industries or organizations where cultural diversity occurs, there may be a need to conduct study to determine the level of adoption of BEMs by the cooperatives. On the other note, the samples are very limited that generalizability cannot be made. Conducting a similar study involving many cooperatives is suggested.Originality/valueThis study explores the alignment of the Strategic Plans of the Cavendish banana grower cooperatives to BEMs which has long been neglected.

Non-financial reporting—A key element in assessing sustainable corporation performance

In the modern economy, non-financial reporting has become an essential tool for evaluating the social performance of companies. This article explores the importance of non-financial reporting as a central element in assessing sustainable performance, focusing on analyzing sustainability reports published by 20 companies listed on the Bucharest Stock Exchange (BVB). The study examines how these companies approach environmental, social, and governance (ESG) aspects in their reports and what is the relationship between these aspects and financial reporting indicators. Through the statistical analysis of the non-financial reports published by companies participating in the study with the help of the Pearson coefficient and the regression equations, the correlation between the financial and non-financial indicators is determined in order to validate the research hypotheses. The results indicate increased attention to transparency and social responsibility, highlighting the correlation between sound reporting practices and cooperative performance by combining social and environmental aspects with financial information. The research also highlights the challenges encountered in the reporting process and the level of compliance with international sustainability standards.

A review of economic, relational, social and environmental measures of agricultural cooperatives performance: trends, sectoral, and geographical association

Abstract There is increasing interest in the performance of agricultural cooperatives. However, there is little consensus on what measures are most appropriate to use or how best to capture the social and environmental impact of these organisations. Despite this, to date, there are no studies that review the literature on agricultural cooperative performance to establish how the most used performance measures have evolved over time and establish any relationship between the sectors and locations of agricultural cooperatives. Thus, this paper seeks to address this gap by (i) identifying the foremost measures that have been used to evaluate the performance of agricultural cooperatives; and (ii) exploring the trends, sectoral and geographical association with the use of these performance measures. A multistage analytical framework, comprising a journal article network analysis and a qualitative meta-analysis, was used to extract relevant information from 124 journal articles and perform content analysis. Subsequently, a non-parametric test was used to examine the association between the year of publication, sector and geographical location of agricultural cooperatives and the performance measures. The results highlight a diverse list of indicators utilised to assess the performance of agricultural cooperatives. However, there is a narrow focus and dominant use of short-term economic metrics, and limited use of environmental and sustainability measures. Also, the results show a significant increase in the use of liquidity indicators in more recent publications. There exists a significant association between the sector of the agricultural cooperative and the most used performance measures but no association with the geographical location. The findings highlight the need to develop performance measures that evaluate the positive spill-over effects of agricultural cooperative activities on non-members, communities, and the natural environment. Also, the findings provide a rubric for benchmarking the performance and identifying best practices that can be shared across different cooperatives.

Mediating role of organizational commitment in learning orientation and performance relationships for cooperatives in Malaysia

This research explores the mediating role of organisational commitment in the relationship between learning orientation and the performance of cooperatives in Malaysia. The study aims to investigate into how learning orientation and organisational commitment interact and collectively influence the performance outcomes of cooperatives. By employing a systematic random sampling technique, data was gathered from 236 small and micro cooperatives across Malaysia. The analysis was conducted using partial least squares-based structural equation modeling (PLS-SEM), a robust statistical method well-suited for examining complex relationships, particularly in studies with relatively small sample sizes. The findings underscore that organisational commitment plays a significant mediating role, enhancing the impact of learning orientation on cooperative performance. This indicates that while a strong learning orientation is essential for cooperative success, its effectiveness is markedly amplified when it is supported by a high level of organisational commitment among members. This suggests that cooperative leaders should prioritize fostering a culture of commitment within their organizations to fully leverage the benefits of a learning-oriented approach. This study contributes to the broader academic discussion by providing empirical evidence from the cooperative sector in a developing country, an area that has been relatively underexplored in previous research. The practical implications are clear where cooperative management should strategically focus on enhancing both learning orientation and organisational commitment to drive better performance outcomes. Moreover, this study sets the stage for future research to investigate these dynamics in various cultural and organisational contexts, thereby broadening the applicability of the findings beyond the Malaysian cooperative sector.

The Role Of Social Controlling In Improving Cooperative Performance : A Literature Review

Cooperatives have made a significant contribution to the growth of Morocco's economic system. Agricultural cooperatives now account for 67% of all Moroccan cooperatives, growing from 3,272 in 2006 to 10,542 in 2016 (ODCO). Cooperatives are however forced to adopt new and innovative managerial functions in order to steer their performance while maintaining their cooperative principles and values in the face of growing market and competitive pressures that jeopardize their sustainability. Agricultural cooperatives are convergent with social management control, which helps the organization perform better in carrying out its missions of managing human resources and the analysis and control of social data, at the same time by prioritizing people. execution of a study on Moroccan agricultural cooperatives using empirical data. We shall make an effort to illustrate the critical role that social management control will play in enhancing the performance of agricultural cooperatives in this regard and through a study of the literature.With the completion of an empirical study of Moroccan agricultural cooperatives, the current research has, on the one hand, added to the body of knowledge about Morocco and, on the other, encouraged researchers to think more deeply about the topic.

Cooperative performance and lead firm support in cleaner production adoption: SEM-fsQCA analysis of precision agriculture acceptance in Vietnam

To drive sustainable agricultural development, farmers in developing countries must prioritize adoption of precision agriculture (PA) as a cleaner production practice. This study investigates factors influencing smallholder rice farmers' behavioral intention (BI) to adopt such technology in Vietnam. Data from 568 farmers was analyzed using Structural Equation Modeling (SEM) and fuzzy-set Qualitative Comparative Analysis (fsQCA). This study makes a significant contribution to extending the Unified Theory of Acceptance and Use of Technology (UTAUT) by demonstrating the substantial positive influence of lead firm support on the intention to adopt PA technology. Also, a key novelty of this research is its exploration of the moderating role of cooperatives’ performance in enhancing the effects of external support factors, such as government and lead firms. Additionally, the fsQCA indicates that the combination of strong external support from the government, lead firms, and cooperatives can foster high adoption intentions even under challenging internal facilitating conditions. The findings may be generalized beyond Vietnam to other developing countries to offer insights for policymakers, cooperatives, and lead firms to improve agricultural efficiency and productivity.

Politico-economic determinants of the performance of electric cooperatives in the Philippines

In rural areas in the Philippines, ensuring access to affordable, reliable, and sustainable electricity falls mainly to electric cooperatives (ECs). While this electrification model proved successful in the United States, developing countries with weak political competition and institutions may allow rent-seeking behavior in the sector. This paper examines the politico-economic determinants of EC performance in the Philippines and finds that lower political competition within an EC franchise area is associated with poor collection efficiency and larger employee size. The study points to the need for greater regulatory scrutiny among EC franchise areas with weak political competition. It also provides insights on facilitating progress towards attaining sustainable development goals and energy transition in developing countries with similar institutional endowments.

The role of digital resilient agility: how digital capability incompatibility affects knowledge cooperation performance in project network organizations

The role of digital resilient agility: how digital capability incompatibility affects knowledge cooperation performance in project network organizations

ELECTRE-TRI Multicriteria Approach for Measuring Performance of Rural Co-Operatives in Southwest Paraná, Brazil

ELECTRE-TRI Multicriteria Approach for Measuring Performance of Rural Co-Operatives in Southwest Paraná, Brazil

Penguatan Akuntabilitas Pengurus Koperasi Melalui Sosialisasi PERMENKOP Nomor 2 Tahun 2024 Di Koperasi Kabupaten Subang

This Community Service Program aims to improve accounting literacy among cooperative administrators in Subang Regency, especially in understanding the differences between the Financial Accounting Standards for Entities Without Public Accountability (SAK ETAP) and the Financial Accounting Standards for Private Entities (SAK EP) as regulated in the Regulation of the Minister of Cooperatives and SMEs Number 2 of 2024. This Regulation requires the implementation of new accounting policies in cooperatives no later than early 2025 to avoid administrative sanctions. The methods used in this program include the preparation, implementation, and evaluation stages. Preparation includes selecting participating cooperatives, namely Dekopinda Subang member cooperatives, and creating training modules. The implementation stage involves socializing accounting policies to participants through a combination of theory and practice, followed by pre-tests and post-tests to assess improvements in accounting literacy. The results of this program show an increase in participants' understanding of the new accounting policies, which are expected to improve the accountability and financial performance of cooperatives in Subang Regency.

Analisis Penerapan Standar Akuntansi Keuangan Entitas Tanpa Akuntanbilitas Publik (Sak Etap) pada Laporan Keuangan di Koperasi Karyawan Universitas Hang Tuah Surabaya Periode 2020-2023

Financial reports are an important tool for measuring the performance and financial health of cooperatives. Good financial reports are influenced by the level of knowledge and understanding of human resources in presenting financial reports. This research aims to find out how the financial reports in Kopkar UHT are and their application to SAK ETAP. The research was carried out using direct observation of research objects, interviews with specified informants, as well as documentation in the form of photos of activities and financial report documents. The findings show that Kopkar UHT's financial reports: presents the components of a balance sheet financial report, a report on the calculation of business results, a report on changes in capital, a recapitulation of income and expenses of USP and USW, a recapitulation of cash loans and bills, a recapitulation of turnover from sales of shop units, photocopy services and canteen services . Meanwhile, according to SAK ETAP, the presentation of financial statements consists of a Balance sheet, performance calculation report, capital changes report, cash flow report, CALK. This means that Kopkar UHT only displays three financial report components. that comply with SAK ETAP

Durability of SFCB reinforced low-alkalinity seawater sea sand concrete beams in marine environment

Seawater sea-sand concrete (SWSSC) provides an alternative to normal concrete, while Steel-FRP Composite Bars (SFCB) offer corrosion resistance in offshore and marine structures. Despite their benefits, the long-term performance of SFCB-reinforced SWSSC structures remains under-explored. This study evaluated the durability of such beams, particularly focusing on the effects of using Portland cement versus low-alkalinity calcium sulphoaluminate (CSA) cement. The investigation involved tensile and pull-out tests conducted on SFCB, and flexural tests conducted on the beam components after accelerated marine environmental exposure over periods ranging from one to six months. Results highlighted that SFCB embedded in low-alkalinity CSA cement exhibited improved retention of tensile strength, elastic modulus, and bonding strength by 32.0 %, 39.1 %, and 56.7 % respectively, compared to that embedded in normal Portland cement concrete. Microstructural analyses showed much less hydrolysis of the resin matrix and shallower corrosion of the basalt FRP (BFRP) cover on the SFCB. Furthermore, flexural tests demonstrated superior cooperative performance between low-alkalinity CSA concrete with SFCB in beam components, showing only marginal degradation in crack density, crack strength, and yielding points. The ultimate failure load of beams made with CSA concrete was 1.89 times higher than those made with normal SWSSC after 6 months of exposure. These results underscore the potential of low-alkalinity concrete in improving the long-term durability and structural performance of SFCB-reinforced marine concrete infrastructures.

Analysis of Farmer's Perception and Constraints on Dairy Cooperatives in Amhara Region, Ethiopia

This study was done to examine the farmer’s perception and constraints on dairy cooperatives in Amhara region, Ethiopia. A sample of 266 smallholder dairy farmers was selected using a multi-stage sampling technique. Perception of farmers was analyzed using relative importance index, and constraints of dairy cooperative performance were analyzed using Henry Garrett's ranking technique. The result indicates that farmers have a positive perception of certain attributes of dairy cooperatives; such as increasing social networks, improving income, and serving as a saving source. This suggests that farmers believe these aspects of dairy cooperatives are beneficial. Conversely, farmers have concerns and dissatisfaction with the way the cooperative is running, the loyalty of members to the cooperative, member's treatment by cooperatives, and the decision-making process. The study also identified that lack of milk processing facilities, poor member awareness, and member involvement in the decision-making process are the foremost internal challenges of dairy cooperatives, while high cost of cross-breed cows, occurrence of animal disease, and low productivity of local breed cows are external constraints hindering dairy cooperative performance. Thus, to enhance farmers' perception and participation in cooperative activities, emphasis should be given to addressing concerns and improving the overall functioning of dairy cooperatives.

Global efficiency and profitability: Cooperatives as social innovation agents vs. Joint stock companies in the agri-food sector

Cooperativism, as an agent of social innovation, significantly contributes to fostering a dynamic economy and plays a fundamental role in rural areas. Analyses of profitability in cooperatives versus Investor-Owned Firms (IOFs) show disparate results depending on the methodology and indicators used. This disparity of results is largely due to the fact that common indicators are used in the business sphere that do not take into account the duality of investor-supplier members in cooperatives. This paper deals with a comparative analysis of the efficiency and profitability of cooperatives and IOFs, which takes into account the cooperative specificity as far as partner-producer duality is concerned. The populations analyzed are the olive oil producing companies in Andalusia and the methodology used is twofold: DEA, in the case of efficiency, and probit regression for the analysis of profitability. For the latter, a cooperative global profitability indicator has been defined. The results point to a superiority of the cooperatives in terms of both efficiency and overall profitability compared to the IOFs, which denotes a greater capacity to better remunerate the producer, especially in smaller companies. However, this superiority disappears as the cooperative gains dimension. Our findings show that the relative performance of cooperatives and IOFs varies by size. This reality warrants the attention of both society and governments, prompting the need for the development and implementation of public policies aimed at their growth and safeguarding. Additionally, it initiates a pathway for further research into other sectors of activity.

The Influence of Reciprocity and Trust on Satisfaction of Members of Sharia Cooperatives in Indonesia: A Social Capital Perspective

Islamic Micro Finance Institution in the form of sharia cooperatives called Baitul Maal wa Tamil or BMT have grown significantly in Indonesia in the past four decades, and have contributed to improvements of livelihood of their members and poverty eradication. Using the social capital theory, this study aims to investigate whether trust and reciprocity are factors that influence satisfaction of members BMTs in Indonesia. The study gathered 200 respondents from eight sharia cooperatives in six provinces of Indonesia. Using multiple regression models, the collected data was tested and further analyzed using SPSS 24.0 Software. This research found that Reciprocity and Trust have a positive and significant influence on the Satisfaction of sharia cooperative members. Sharia cooperative management can apply the results of this research to improve cooperative performance by building mutually beneficial and trusting relationships with its members. The results of this study can be generalized to sharia cooperatives, while the application to conventional cooperatives needs to be further studied. This research provides empirical evidence for the application of Social Capital Theory in explaining the factors influencing the satisfaction of sharia cooperative members that was not studied before.

Transformasi Digital Meningkatkan Kinerja Keuangan Koperasi di Kota Pontianak

The digitalization of cooperative services the convenience, speed of service, comfort, and security are the main goals. for members when transacting with the cooperative. Improved financial performance illustrates a good level of financial health. When a process is assessed and monitored over time, the result is its performance. Knowing how the digitalization of services affects the financial performance of cooperatives in Pontianak City is the main objective of this research. This research uses a descriptive research strategy with quantitative methods. This research sample consists of all financial reports produced by institutions that have utilized the digitalization of cooperative services. The research results prove that digitalization of services has an effect on financial performance (ROA, ROE, BOPO). The digitalization of services has a major impact on the financial performance of cooperatives which grows along with advances in technology. This research is limited to the geographical area of Pontianak, so the results may not be generalizable to cooperatives in other locations.

The effectiveness of voluntary collective action in China's rural land development

China is gradually and directly making rural collective land available on the land market. It is important to understand how stakeholders collectively treat and manage this land, and if this collective action leads to effective and sustainable results. This paper, however, revises Ostrom's framework of collective action by constructing the joint analysis of social capital, trust, and cooperation performance, in order to better capture the distinction between voluntary action and enforced action of stakeholders towards a sustainable goal. We analyze the role of voluntary collective action through higher-order structural equation modeling (HSEM), applied to a database consisting of 324 households in Jiangsu Province, China, collected in 2022 and 2023. The results suggest that social capital effectively promotes villagers' trust in policy implementers by establishing new institutions, increasing actors' trustworthiness, and improving channels of information exchange, and the first two means are more effective than the latter. We also demonstrate the significant positive effect of trust on cooperation performance, with trusting relationships with familiar groups and the credible behavior of policy implementers affecting performance outcomes of collective action. Moreover, social capital drives cooperation performance through the mediating effect of mutual trust that it breeds. With this revised framework and verified hypotheses one can thus create more effective policies to avoid inequality and informality in the land marketization process in China.

Membangun Komitmen untuk Sukses: Studi Kasus pada Koperasi Petani Bunga di Kopeng Kabupaten Semarang

Human resource management and cooperatives are very important for sustainability and performance in an era of globalization and increasingly fierce economic competition. This study investigates flower farmer cooperatives in Kopeng, Semarang Regency, and focuses on appropriate management methods to increase member commitment, which impacts the success and competitiveness of the cooperative. This research found a lack of knowledge about the components that influence member commitment and how to increase it. This research found that social factors, such as relationships between members, and economic factors, such as financial benefits, have a large influence on member commitment. The research results show that strengthening social relationships and providing financial incentives are effective management strategies to increase member commitment. The research results show that two effective management approaches to increase member commitment are improving social relationships and providing financial incentives. In addition, it was found that increased communication and participation in decision making were important components in increasing member commitment. This research offers theoretical and practical insights into managing member commitment in the context of flower farmer cooperatives and provides recommendations for cooperative practitioners and academics about management strategies that can be implemented to increase member commitment, which in turn will improve cooperative performance and sustainability.