* * COOPERATIVES * * Agriculture Marketing/Distribution and Retail Services Cooperatives (10-20 days) This unit deals with the organization and management of cooperatives. Topics include career opportunities; cooperatives as a type of business organization; the history, philosophy, economic impact, function and operation, financing, tax policy, and government regulation of cooperatives; duties of cooperative members, managers, and board members; distribution of dividends; and patronage refunds. Objectives To acquaint students with employment information and career opportunities in the cooperative industry To develop student understanding of the advantages and limitations of the cooperative as a form of business organization To acquaint students with the history of cooperatives in the United States To develop student appreciation for the magnitude of the cooperative enterprise in the United States To inform students of the characteristics that distinguish the cooperatives from other forms of business To help students recognize differences among various types of cooperatives To increase student awareness of the range of products and services that can be purchased or marketed through cooperatives To develop student understanding of how cooperatives are structured, controlled, and financed To provide students with information on the responsibilities and duties of cooperative members To prepare students to make informed decisions concerning membership in specific cooperatives Competencies At the conclusion of this unit, students will be able to explain current employment information such as job descriptions, job availability, personal and educational requirements, working conditions, opportunity for advancement, and other factors relative to potential employment in the cooperative industry and to relate it to their personal needs and aspirations; recognize the advantages and limitations of the cooperative as a form of business organization; trace the history of cooperatives in the United States; appreciate the magnitude of the cooperative enterprise in the United States; identify the characteristics that distinguish cooperatives from other forms of business; recognize differences among various types of cooperatives; appreciate the range of products and services that can be purchased at or marketed through cooperatives; demonstrate an understanding of how cooperatives are structured, controlled, and financed; recognize the responsibilities and duties of cooperative members; and make informed decisions concerning membership in specific cooperatives. Subject Matter (Basic skills integration areas are shown in brackets following title.) Careers - Current and future employment needs - Job descriptions - Training requirements - Working conditions - Opportunities for advancement - Other factors Historical background [Social Studies] - Original, informal cooperative activities - People involved in the cooperative movement - Principles identified by the Rochdale Principles - Cooperative activity in the United States - Cooperative activity in Wisconsin - Origin and extent of cooperative activity at the local and county level Business organizations in the free enterprise system [Social Studies] - Methods used to provide goods and services to people - Principles that distinguish a cooperative from other forms of business - Descriptions and examples of local noncooperative business organizations - Business investment rationale - Cooperative organization rationale Organization of the cooperative [Social Studies] - Types of agricultural cooperatives - Purpose of each type of cooperative - Organization procedures for cooperatives - Community benefits from cooperatives - Scope and volume of business by cooperatives Extent of cooperative business activity [Social Studies] - Principal member activities through cooperatives - Cooperative business fiscal value - Number of farmer cooperatives in the state and nation - State rank in the volume of business and number of members Cooperative governing structure [Social Studies] - Control of cooperatives - Cooperatives governing operation - Ownership and control of local, regional, and national cooperatives - Centralized and federated types of cooperatives - Board of directors' responsibilities - Cooperative officer election and responsibilities - Cooperative manager and employee selection - Reasons for cooperative failure Financing cooperatives [Social Studies] - Revolving capital - Types of stock - Certificates of indebtedness - Banks for cooperatives - Commercial banks - Alternative credit sources - Dividend payments - Cooperative taxation Motivational Activities Take field trips to local cooperatives. Invite a cooperative manager, the board member, or cooperative member to speak to the class. Tour a regional cooperative. View films, videotapes, and slides on unit topics. Post bulletin board displays on topics related to this unit. Learning Activities Participate in a Supervised Agricultural Experience in a local cooperative business. Compile a list of cooperatives in the community and classify each as a service, marketing, purchasing, or supply business. Compile a list of career opportunities in cooperatives, agriculture, insurance, finance, health care, housing, consumer goods and services, and other fields. Compile a list of services cooperatives perform, such as marketing dairy products and grain and selling farm supplies. Perform a short skit portraying an annual cooperative meeting, using correct parliamentary procedure. Present to the class a report on youth camps or conferences you have attended. As a class project, interview a manager of a cooperative, a manager of a corporation, a member of a partnership, and an owner of an individually owned business and compare notes on how these businesses operate. Instructional Materials Textbooks and References Agricultural Cooperatives - Their Why and Their How by Glynn McBride. Westport, CT: AVI Publishing, 1986. American Institute of Cooperation Yearbook. Washington, DC: American Institute of Cooperation, published annually. Cooperative Growth, Trends, Comparison, and Strategies. Washington, DC: Farmer Cooperative Service, United States Department of Agriculture, 1973. Cooperatives: Development, Principles and Management by Roy P. Ewell. 4th ed. Danville, IL: Interstate, 1981. Cooperatives in Agriculture by David W. Cobia. Englewood Cliffs, NJ: Prentice Hall, 1989. Cooperatives in Our Private Enterprise System. Washington, DC: American Institute of Cooperation, n.d. Guide to Cooperative Careers. Ann Arbor, MI: North American Students of Cooperation, 1985. How We Organize to Do Business in America to Satisfy the Needs of People. 3rd ed., rev. Washington, DC: American Institute of Cooperation, 1982. Bulletins and Pamphlets The following are available from the Cooperative Extension Service. Cooperatives: Principles and Practices. A1457. Reducing Financial Costs and Financial Management Problems of Cooperatives. R2791. The following are available from the United States Department of Agriculture. Advising People About Cooperatives. CIR 29, revised 1987. Bookkeeping Forms Your Co-op Needs. CIR 19, revised 1978. The Cooperative Approach to Crafts. CIR 33, revised 1985. The Cooperative Approach to Outdoor Recreation. CIR 32, 1984. Cooperative Benefits and Limitations. CIR 1 Section 3, 1983. Cooperative Communications. CIR Section 11, 1988. Cooperative Management. CIR Section 8, 1981. Cooperative Member Responsibilities and Control. CIR Section 7, 1983. Cooperative Organization and Structure. CIR 1 Section 5, 1987. Cooperatives - Distinctive Business Corporations. CIR 3. Cooperatives in Agri-Business. CIR 5, revised 1987. Employees Help Co-ops Serve. CIR 17, reprinted 1981. Farmer Cooperative Publications. CIR 4, revised 1988. Guidelines Co-op Employees Need. CIR 18, reprinted 1982. How to Start a Cooperative. CIR 7, 1985. Is a Cooperative in Your Future CIR 10, 1985. Manager Holds Important Key to Co-op Success. CIR 16, reprinted 1981. Measuring Co-op Directors. CIR 15, reprinted 1981. Members Make Co-ops Go. CIR 12, reprinted 1983. Opportunities in Cooperatives - A Leader's Program for Youth. CIR 25, revised 1983. Organizations Servicing Cooperatives. CIR 1 Section 5, 1987. Organizing and Conducting Cooperatives' Annual Meetings, CIR 21, reprinted 1986. Recruiting and Training Co-op Employees. CIR 36, 1987. Tax Treatment of Cooperatives. CIR 23, revised 1984. Understanding Capper-Volstead. CIR 35, revised 1985. Understanding Your Cooperatives. CIR 6, 1983. Using Co-op Members' Money. CIR 13, reprinted 1986. What Are Cooperatives CIR 11, revised 1986. What About Patronage Refunds CIR 9, revised 1984. What Co-op Directors Do. CIR 14, reprinted 1985. The following is available from the Wisconsin Department of Agriculture, Trade and Consumer Protection. Economics and Geography of Wisconsin Cooperatives. 1987. Periodicals Cooperative Farmer Cooperative Partners Farm Cooperatives Computer Software The following is available from ACS Software Publishing. Co-op Quiz. ACS 220. Apple. On-line Computer Networks The following are available from Ag Ed Network, AgriData Resources, Inc. Commodity Organization Membership. HS109. Cooperative Principles. HS656. Co-ops: A Type of Business. HS655. Dairy Cooperative Membership. HS112. Farm Organization Membership. HS108. Fruit Cooperative Membership. HS116. Grain Cooperative Membership. HS111. Vegetable Cooperative Membership. HS114. Films, Videotapes, and Slides The following is available from the Bureau of Audio Visual Instruction. Cooperative Farmer in Eastern Germany. 07242 (16mm film, color, 16 minutes). Films, Inc., 1969. The following is available from Interstate Printers and Publishers, Inc. Cooperatives: An Economic Alternative. 2806 (VHS videotape). University of Wisconsin-Eau Claire, Media Development Center, n.d. The following is available from Vocational Education Productions. Agricultural Cooperatives. 8-810-132H (Filmstrip with cassette). The following is available from the Wisconsin Dairies Cooperative. Cooperatives: The Farmers Way. (16mm film, color, 24 minutes.) American Institute of Cooperation, 1981. The following are available from the Wisconsin Federation of Cooperatives. Cooperative Business. (VHS videotape, approx. ten minutes.) American Institute of Cooperation, 1989. The Cooperative Story. (VHS videotape, approx. ten minutes.) American Institute of Cooperation, 1989. Cooperatives: An Economic Alternative. (VHS videotape, 26 minutes.) University of Wisconsin-Eau Claire, Media Development Center, 1985. Cooperatives - Partners in Trade. (VHS videotape, approx. ten minutes.) Agricultural Cooperative Service, 1988. Cooperatives Today. (VHS videotape, approx. ten minutes.) American Institute of Cooperation, 1989. Cooperatives - Working for All of Us. (VHS videotape, approx. ten minutes.) American Institute of Cooperation , 1988. Why Cooperatives? (VHS videotape, approx. ten minutes.) American Institute of Cooperation , 1989.