Cooperative Principles PDF

The Co-operative principles are guidelines by which Cooperatives put their values into practice.  Self-help Self-responsibility Ethical values of honesty Democracy Openness Equality Social responsibility Equity and Caring fo...

The Co-operative principles are guidelines by which Cooperatives put their values into practice.  Self-help Self-responsibility Ethical values of honesty Democracy Openness Equality Social responsibility Equity and Caring for others Solidarity 1ST PRINCIPLE: Co-operatives are voluntary organizations Open to all persons who are: - able to use their services - willing to accept the responsibilities of membership - without gender, social, racial, political or religious discrimination.  Co-operatives are 2ND democratic organizations Elected representatives controlled by their PRINCIPLE: are accountable to the members, who actively membership. participate in setting their policies and making decisions. In primary co- Co-operatives at other operatives, members levels are also have equal voting organized in a rights (one member - democratic manner. one vote) 3RD PRINCIPLE: o Members contribute to the capital through equity and democratically control o Limited compensation to equity. o Surpluses may be allocated: – as reserves to develop their Co-operative – to distribute Patronage – to any other activity approved by the members that benefits the members. 4TH PRINCIPLE Co-operatives are autonomous, self-help organizations controlled by their members. If co-operatives enter into agreements with other organizations, including governments, or raise capital from external sources, they should do so on terms that ensure democratic control by members and maintain their autonomy.  Co-operatives provide education and training for their members, elected 5TH representatives, managers and employees so that, PRINCIPLE they contribute effectively to the development of their Co-operatives. Inform the general public - particularly the young people and opinion leaders - about the nature and benefit of Co-operation. 6TH PRINCIPLE o Co-operatives serve their members most effectively and strengthen the co-operative movement by working together through o Local. o National. o Regional and o International structures.  7TH PRINCIPLE Co-operatives work for the sustainable development of their communities through policies approved by their members. 1st Principle: VOLUNTARY AND OPEN MEMBERSHIP 2nd Principle: DEMOCRATIC MEMBER CONTROL 3rd Principle: MEMBER ECONOMIC PARTICIPATION 4th Principle: AUTONOMY AND INDEPENDENCE 5th Principle: EDUCATION, TRAINING AND INFORMATION 6th Principle: CO-OPERATION AMONG CO-OPERATIVES 7th Principle: CONCERN FOR COMMUNITY The Coooperative Principles are the foundation for understanding cooperatives and their functioning. These principles make co-operatives distinct from other organizations.