Co-op News (August 2019)

BY ANCA VOINEA
When a business’s culture is properly
aligned with personal values, drives, and
needs, it can help to unleash energy and
help the organisation thrive. With co-ops
driven by specific values and principles,
it can be argued that their approach
leads to the emergence of a specific
organisational culture.
Yet while organisational culture has
been studied extensively around the
world, that of co-ops has been overlooked.
In February 2018, Harvard Law Review
defined corporate culture as the tacit
social order of an organisation, which
shapes attitudes and behaviours.
So what is co-operative culture? Ed
Mayo, secretary general of Co-operatives
UK, says: “If you ask people to think of a
time when their co-op was at its very best,
the answers are typically about co-op
culture – how people pulled together,
achieved something ambitious, took
care of those in need. All of these reflect
behaviour, attitudes and beliefs – and
this is what we mean by co-op culture.”
Mr Mayo thinks there is no one identity
across organisations, but multiple
personalities influenced by factors
such as environment, colleagues and
the nature of a co-op’s work. “What
ties us all together are the underlying
co-op values and principles,” he adds.
The topic was explored in a
2004 article in the Journal of Rural
Co-operation, which looks at agricultural
co-ops in the USA. It is based on 30
interviews with regional and local co-op
managers by author Julie A. Hogeland in
the years 2000/2002.
Examining the unified aspect of
co-op culture, the research suggests
these include altruism, not exploiting
the business for a profit; emphasising
service over making money; preferring to
subordinate individual goals to the good
of the whole; and valuing equality.
The study found that this is stronger
in older, multi-commodity co-operatives
“SO MUCH OF
BUSINESS IS
HARDWARE …
CO-OP CULTURE
IS THE SOFTWARE.
JUST TRY RUNNING
A COMPUTER - OR
A BUSINESS -
WITHOUT IT”
that were created in an era when altruism,
a core co-op value, mattered greatly
to producers; but it is of relatively less
importance to members of contemporary
new-generation co-operatives.
“Culture represents shared systems
of meaning, including values, priorities,
and beliefs. A focused organisational
culture gives a co-operative a sense
of mission that makes it a formidable
competitor,” reads the paper.
Mr Mayo says co-op culture is also
important for authenticity. “There are
huge potential gains when people come
together around shared values, but for
so many companies, the gap between
their values and reality is a gulf. This can
create cynicism and disengagement.
“It’s important values are not just
a poster on a wall; they must be reflected
in genuine behaviour. It’s the large and
small actions taken every day that create
a truly co-op culture – which becomes an
asset and a point of difference.”
While there has been a sea change in
mainstream business towards culture
and purpose, Mr Mayo thinks the most
common mistake is to believe that
executive leaders lead action on culture.
He adds: “At their best, they facilitate.
They help make it possible for people to
act in line with their own values. What
executive leaders can do, because they
are so visible, is to mess things up, as
we know from countless examples in the
corporate world – so integrity matters.
How can co-ops revive their culture?
Mr Mayo says: “Think about which
co-ops’ brand values and culture you
respect and would like to emulate –
many I’m sure would be pleased to help
others learn and develop. We are always
happy to make introductions. So much
of business is hardware. Money, sales
inventory, buildings…. Co-op culture is
the software. Just try running a computer
– or a business – without it.”
28 | AUGUST 2019