WHAT MAKES a cooperative a cooperative?
Why do cooperatives FAIL as cooperatives?
These were the twin mind-twisting questions that were the main subjects of discussion in a Cooperative Development Authority (CDA) Training sponsored by the Cooperative Bank of Bohol held yesterday.
With a resource speaker from the CDA accredited Negros Oriental Union of Cooperatives (NEURONCO), around three hundred (300) participants coming from the different cooperatives in the province attended the three-day training
on a face to face basis. This does not include the trainees in an online outfit.
The first question quoted above is an easy item to be considered.
Why?
After undergoing the necessary steps set by the Cooperative Development Authority (CDA), one can already become a member of a cooperative. One has only to undergo seminars conducted by CDA before considered to become a qualified shareholder of a cooperative.
But, to Short Cuts, the second query, “Why do cooperatives FAIL as cooperatives?” is difficult to comprehend.
In fact, the resource speaker himself, was in accord with the thinking of Short Cuts on the same issue.
It was on the discussion of the second query that Short Cuts’ memory easily rushed back to his senses.
And this can be told . . . . .
It was in the early 70’s while Short Cuts was serving as the Chief Executive of his town when he was invited to the join the already existing and first cooperative of the town. It was then a struggling cooperative with minimal shareholders.
Short Cuts readily accepted the invitation.
From there, he was able to increase the number of shareholders and their corresponding capital. Because with some officials of the local cooperative, he campaigned for more shareholders throughout the thirty-five barangays of the town.
And, with the increase on membership and capital of the cooperative, Short Cuts was ably elected Chairman of the Board of Directors.
After four years of service as Chairman of the Board of Directors, the Valencia Credit Cooperative was pronounced as the Number One cooperative in the region in that particular year.
As to what category, however, Short Cuts can no longer remember.
But Short Cuts failed in his reelection bid in 1981, the first election after Martial Law was declared.
Therefore, he had to relinquish his Chairmanship of the Board of Directors of the cooperative.
Short Cuts had to reject the pleadings and requests even from his closest political allies in the town who were already shareholders of the cooperative to remain as Chairman of the Board of Directors of the cooperative.
He had to go back to his law practice and prepare the necessary papers for the establishment of a tertiary school in the city.
And, what happened to the cooperative that Short Cuts left?
In less than two years, the same cooperative closed.
What caused the closure?
Mismanagement, pure and simple! Short Cuts was told.
So, why do cooperatives FAIL as cooperatives?
The Valencia experience could be the easy answer.
