What are Co-operatives? A co-operative is a form of business enterprise different from private & public enterprises Co-operatives are a separate legal structure • Registry of Co-operatives (NSW) • Department of Fair Trading (NSW) • Federation of Co-operatives (Victoria) What are Co-operatives? Co-operatives are • owned & controlled by their member different because they are democratic, participatory, open, voluntary & community based • reflect and reinforce co-operative values & principles Many different types of co-operatives exist Types of Co-operatives Agricultural - fishing, forestry, producer, supply . & marketing co-operatives Community service - aged care & child care . co-operatives Consumer co-operatives – provide consumer goods . for sale to members (& non-members) Credit - financial service co-operatives Education - school, student & supply . co-operatives Housing - community settlement & housing . co-operatives Types of Co-operatives Media - newspaper, radio station, telecommunications, television station, video production & publishing co-operatives Recreational - game park & urban camp cooperatives Store - bookshops, food, hardware, clothing & other merchandise co- operatives Transport - bus, courier & taxi co-operatives Utility co-operatives - energy, telephone & water service co-operatives Definition “A co-operative is an autonomous association of persons united voluntarily to meet their common economic, social & cultural needs & aspirations through a jointly-owned & democratically controlled enterprise” (Victorian Federation of Co-operatives, 2006) Definition Characterised by participative ownership & control, democratic structure & use of capital for mutual benefit Their unique structure is based on explicit values & principles in the International Co-operative Alliance's Statement. Co-operatives Investor-owned companies Purpose Service driven Capital driven Ownership The member users Investor shareholders Control Majority of members. Members elect board on basis of one vote per member Majority of shares. Investor shareholders control the company based number of shares they own Use Users of co-operatives Users are not usually are its members the majority of shareholders Shareholding Shareholding & nonshareholding. Limited number & interest Shareholding limited number and interest Values Based on values of self-help, self responsibility, democracy, equality, equity & solidarity Co-operative members believe in the ethical values of honesty, openness, social responsibility & caring for others Principles The co-operative principles are guidelines by which cooperatives put their values into practice. Seven principles defined in the International Co-operative Alliance's Statement on the Co-operative Identity (1995) Seven Co-operative Principles 1) Voluntary & open membership 2) Democratic member control 3) Member economic participation 4) Autonomy & independence 5) Education, training & information 6) Cooperation among co-operatives 7) Concern for community Co-operatives as a Means of Organising A process not just an outcome Pooling energy & resources to effect change for a common benefit Cooperation provides strength by bringing people together mutual aims & interests Mutual collective not individualist benefit Co-ops as a political form of organising Decentralised, participatory democracy not centralised hierarchy Autonomy, responsibility & freedom Community, Social Capital & the Change Agent A co-operative is about & is its members Formed for serving needs of members & the community not just the investment of capital Food co-operatives are not for profit Social capital, capacity building & the third economy Bill Moyer & the four roles of activism • Food co-ops & the role of the change agent What are Food Co-ops? Food co-ops consist of a group of people (members) cooperating to take back control of their food Take into consideration how & where it is produced & under what conditions Provide accessible, affordable environmentally, socially & ethically responsible food & household products An alternative to stupormarkets How do Food Co-ops work? Food co-ops stock a range of products bought according to their buying principles & factors Open to community, staff, students & members Bulk, minimally packaged products Avoid, reduce, reuse, recycle BYO containers & DIY Engaging people with their food How do Food Co-ops work? Membership, shares & discounts Mostly volunteer run, members who volunteer get greater discounts than non-working members Coordinators, roles, Management Committee & decision making Differences between campus based & community based food co-ops Buying Principles & Factors Organic Biodynamic Chemical free GE free Irradiation free Fairtrade Vegan/vegetarian Cruelty free Wholefoods or healthiness Food miles / Localness Minimally packaged & bulk Ethics Availability Price Social/community component Supplier type Producer type Juggling a Balancing Act Buying principles & the problem of internal contradictions & tensions • It isn’t always possible to tick all the boxes • Which principles & factors are more important & why? • How is the decision made? Examples • Organic vs Food miles • Organic vs Insecticide free vs price Australian Food Co-ops Northern Territory • POD (Darwin) Queensland • Griffith Uni Food Co-op (Brisbane) • Community Foods (Cairns) South Australia • Flinders Uni Food Co-op (Adelaide) • Goodwood Goodfood Co-op (Adelaide) • Clarence Park Community Food Co-op (Adelaide) Australian Food Co-ops Victoria • • • • • • Wholefoods (Monash Uni Food Co-op, Melbourne) Melbourne Uni Food Co-op (Melbourne) La Trobe Food Co-op (Melbourne) RMIT Food Co-op (Melbourne) Friends of the Earth Food Co-op (Melbourne) St Kilda Organic Food Co-op (Phillip Bay) Tasmania • Hobart Organic Food Co-op NSW & ACT Food Co-ops University/Campus based Community based Broadway Food Co-op (UTS) Manly Food Co-op Sydney Uni Food Co-op Alfalfa House (Newtown) Thoughtful Foods (UNSW) Katoomba Food Co-op ANU Food Co-op* ANU Food Co-op* Sustenance (Newcastle Uni) Green Tucker Store (Forestville) Happy Bellies Angophora Food Co-op (University of Wollongong) (Blue Mountains) Seasons Food Co-op (Uni of Beanstalk Organic Food Co-op (Newcastle) . Western Sydney Hawkesbury) . Armidale Food Co-op (University of New England ) Project Aims Construct a profile of NSW & ACT food co-ops • What, where, how & why, structure & decision making process, member involvement, SWOT analysis • Register of existing co-ops & ordering people • Identify existing buying policies, principles & factors Identify buying principles & factors • Analyse values, reasoning, beliefs & politics on which they are based Create a stock database with all variables Project Aims Compare & contrast buying principles & factors • Identify variations • Analyse how & why buying principals & factors . & their relative importance varies • Compare & contrast between food co-ops Develop a hierarchy of buying principles • Compare & contrast within & between food . . co-ops • Analyse the extent of variation - how & why . this exists Project Aims Identify internal tensions & contradictions Analyse how tensions are reconciled Develop a Decision Tree Analyse member knowledge, input into & understanding of buying principles Incorporate findings into a decision making tool? Report back on findings Action research approach Research Outcomes Profile of food co-ops in NSW & ACT Buying principles & factors paper Stock database Hierarchy of buying principles for each food co-op & an overall hierarchy table Decision Tree Analysis of results ? Decision making tool