Common
Threads
What Makes it a Worker Cooperative?
- Democratically member-owned
Own shares + distribute surplus
- Democratically member-run
Elect a board Participate in management Daily operations
Cooperative Values
Cooperatives- are based on the values of:
self-help
self-responsibility
democracy
equality
equity
solidarity
In the tradition of their founders, cooperative members believe in the ethical values of:
honesty
openness
social responsibility
caring for others.
Q: What’s the difference between a value and a principle?
The Seven Cooperative Principles of the International Cooperative Alliance
Cooperative Fundamentals
A: The co-operative principles are guidelines by which co-operatives put their values into practice.
Voluntary and Open Membership
Democratic Member Control
Member Economic Participation
Autonomy and Independence
Education, Training and Information
Co-operation among Co-operatives
Concern for Community
A closer look at “member-run”
Many Hats
Lay out the group’s process (when are meetings, what is to be decided, etc)
Determine the powers and role of the committees
Governance
Vision, Policy Board
Management
Strategy Manager
Operations
Tasks Members/workers
Small group outlines project
COMMITTEES
- Empowered to make operations decisions
- Make recommendations to the Board (all group) about policy and management
BOARD OF DIRECTORS
Meets monthly
Makes decisions about hiring, firing, governance, and management
5
4
2
3
1
Presentation project outline to the group
Designate and/or elect transitions committees
Arizmendi Bakery Lakeshore
Arizmendi Management Committee
- One of six Arizmendi Bakeries
- 27 Full time worker owners
- Committee Management
SITE & MAINTENANCE
COMMITTEE
Repairs, equipment
FINANCE COMMITTEE
Bookkeeping, reporting, financial oversight
BOARD OF DIRECTORS
all members
Arizmendi Bakeries
Keep in Mind
Visual Design for Structure + Process
PRODUCTION COMMITTEE
Work flow, recipes, standards
HIRING & EVALUATION COMMITTEE
Hiring, evaluation, discipline
COLLECTIVE EVALUATION COMMITTEE
Vision, conflicts, issues
- What are you replacing?
- Cultural considerations: autonomy, hierarchy, communication flow
- Nature of the work: decentralized, in teams, desk vs. floor
- Special operations management needs
- How money flows through the business
- Make a structure chart (“Org Chart”)
- Identify on it: participation, decision-making, accountability
- Make a “Who decides what?” chart (similar to EE's GLASS chart) and compare it to your visual aid
Next
Steps
Strengths and Weaknesses
501c3 Board Composed of Steering Committee, 4 parents, 2 alumni
Board offers financial oversight and loose check on governance and vision for the school
Staff meetings are twice per week. Once to discuss concerns about students and once to discuss governance and management issues.
Administrators
Key Points of Difference
Head Teacher, Financial, Academic Dean, Administrator. All most all teach at least one class
Maybeck High School
Educational Programs
General Meeting Composed
of All Staff
Oversees academic affairs and certification
Teachers
Finance
In charge of the financial health of the organization and includes the financial administrator as well as teachers
- Structuring member power & responsibility
- Participation vs decision-making vs accountability
- Who is and can be a member?
- Board elected?
- GM or no GM?
- Is the GM a member?
- Who Hires and Fires?
Personnel Committee
Rules Committee
Reviews personnel tri-annually and handles complaints and performance issues. Recommends termination to the general meeting
Composed of 2 teachers and 2 students who oversee all student rules violations and decide on consequences (including suspension)
Steering Committee
- Located in Berkeley, CA
- 120 students grades 9-12
- 12 students/class
- 25 staff
- 15 Full time teachers
- 5 Full time administrators
- 5 Part time teachers
- Highly structured but very flat structure
- Incorporated as a 501c3 with democratic governance
Composed of Head Teacher, Financial Administrator, Academic Dean
Academic Departments
English, History, Math, etc. Somewhat informal
Membership Details
Management Details
- All full time staff are members
- All full time staff have an equal say in decisions after two year probationary period
- Pay is based on seniority but is flat between roles
- Staff are voted in by the membership after two years.
- Staff are fired by a majority vote of the post-probationary membership
- There is no buy-in due to 501c3 status
- All staff are directly responsible to the general meeting and to the personnel committee.
- Administrators and teachers handle day to day operations
- Administrators are empowered to handle day to day management decisions
- Hiring and other occasional tasks are conducted by ad-hoc committees
- Committees have limited decision making authority
- Committee members hold fixed terms and roles rotate
- Decision is by majority vote
- Long term planning is limited
Cooperative
Governance and Management for
Small Organizations
Key
Differences
Maybeck
High School
Melissa Hoover, USFWC
Joe Rinehart, DAWN
Equal Exchange Basics
Coop Culture Committee
Audit Committee
Common Threads
Composed of Board members who oversee the creation of a strong cooperative culture
Board oversight of finances
Board of Directors
- Elected by members
- 6 worker owners
- 3 outsiders from industry and key partners
- Empowered to make governance and policy decisions
- Hires/fires/review Executive Officers
Leadership and Training
Worker Owner Cabinet
Composed of Board members who facilitate educational activities for the cooperative
Elected body to speak to worker owner issues
- HQ in West Bridgewater, MA
- 110 Worker Owners
- Coffee and Fair Trade Products Importer
- 3 Offices and 3 Cafes
- Hierarchical management and operations structure
- "360 degree" peer review process
- Structure participation into your daily job and into the larger governance of the cooperative
Office of the Executive Director
Governance Details
- Committee involvement
- Clear differentiation of powers between board, membership and management
- High levels of participation and consultation in policy and major decisions (but not necessarily decision making)
- Clear lines of authority for hiring, firing and personnel issues
Hiring Committee
Ad-hoc committee composed of position's supervisor, department member and one non-department member
Sales/
Customer
Service
Chief
Financial
Officer
Production/
Purchasing
Ownership Details
- All full time, permanent employees over 1 year seniority are owners
- Ownership is confirmed by a vote of the General Meeting
- Buy-in is $4000 subtracted from paychecks over 2 years
- Board meets bi-monthly
- General Meetings are held 4 times per year
- Ownership-wide decisions are made by majority vote
Equal
Exchange
Marketing Committee
Personnel Committee
Financial Committee
FINANCE COORDINATOR
Bookkeeping
Payroll
- 7 board members, all worker/owners
- Elected by members
ADMIN COORDINATOR
Office/Reception
Recruitment
EXECUTIVE DIRECTOR
Management
Contracts
Client Relations
TEAM LEADERS & CAREGIVER TEAMS
Client care
Scheduling
Cooperative Care
Cooperative Care of Wisconsin
- Home health care cooperative in rural Wisconsin
- 55 Workers, almost all members
- Hierarchical management structure
- Most business is derived from government contracts