NCERA194: Improving the management and effectiveness of cooperatively owned business organizations
(Multistate Research Coordinating Committee and Information Exchange Group)
Status: Inactive/Terminating
NCERA194: Improving the management and effectiveness of cooperatively owned business organizations
Duration: 10/01/2003 to 09/30/2008
Administrative Advisor(s):
NIFA Reps:
Non-Technical Summary
Statement of Issues and Justification
Agriculture continues to change rapidly, creating challenges for farmers and rural residents. Farm and population numbers are falling in rural America and concentration in all sub-sectors of agriculture is increasing. Cooperatives are an important means by which producers can remain competitive in an increasingly industrialized agricultural economy. In addition to their traditional role in providing agricultural inputs, marketing agricultural products and coordinating farm production activities, new cooperative allow producers to participate in value-added processing. Because they allow producers to maintain ownership and a voice in the decision-making process, effectively managed cooperatives provide a way for improving the profitability, viability and diversification of family-owned farming operations.
Together with the decline in farm numbers and rural population, there has been a loss of business in rural communities. This was identified as major obstacle to rural development when this committee was organized in 1998, and it remains an important issue today. Agricultural cooperatives are key contributors to the economic base of rural communities. Cooperative businesses that provide credit, utilities and other services are important components of the rural infrastructure. Recent developments such as cooperatively organized ambulance and road maintenance services demonstrate the potential of the cooperative business model for the infrastructure challenges of rural communities.
Across the United States and Canada, many university and government researchers have a primary or secondary focus on cooperatives. NCR-194 surveyed members in the summer of 2000. 36 committee members responded to the survey and indicated that they were participating in cooperative research. Over half of the respondents were actively involved in multi-state/multi-region projects involving cooperatives. 29 of the respondents were from universities, 3 were from the government sector, and 4 were from industry. These active committee members represented 25 states. The responding members represented a variety of disciplines including agricultural economics (28), rural sociology (3) and economics/industrial organization (5). Output reported by the committee members included 22 thesis or dissertations, over 40 presentations at professional meetings, 35 journal articles, and 69 other types of publications.
The establishment of NCR 194 has greatly facilitated collaborative research amongst NCR 194 members. Specific numbers, with respect to joint research activity, highlight this interaction. The USDAs Cooperative Services entered into 32 cooperative agreements in fiscal 1998, 15 in 1999, 11 in 2000, 5, in 2001 and 4 in 2002. These cooperative agreements entail, by definition, conducting research on a cooperating basis between the USDAs Cooperative Services and the institutions. The extent of cooperation and interaction goes beyond Cooperative Services and the lead institution. Eight of these agreements involved direct collaboration of faculty from 16 different universities. In addition, over half of the individuals who responded to the email survey indicated that they were involved in collaborative activities that crossed state and regional boundaries, both formal and informal. Since the survey was conducted, several new collaborative projects have been conducted.
NCR-194 members also have good working relationships with cooperatives, a fact that enhances the relevance and the quick dissemination and application of their work. Five successful annual meetings have been held where members shared research results through selected paper presentations. All of the annual meetings were deliberately planned to coincide with annual Farmer Cooperatives meetings, so as to facilitate interaction among researchers and individuals from industry. Over 100 cooperative managers and directors attend these meetings which have been considered of utmost benefit for both industry representatives and researchers. Members are also making use of the NCR 194 web page and the list serve to communicate. Members are actively communicating the results of their research beyond the committee. NCR 194 members presented cooperative-related research results at over 40 professional meetings and over 50 extension presentations.
Objectives
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The overall objective of NCR-194 is to promote and coordinate timely research on cooperatively owned business organizations for agricultural marketing, agricultural input supply, vertical coordination through value added processing, and rural services.
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Provide annual opportunities for interaction between and among academics, cooperative management, cooperative boards of directors, and government researchers by conducting an annual two-day forum involving participation from academics, upper and middle management personnel from cooperatives, directors from cooperatives, and cooperative researchers in government. The forum focuses on ongoing research on cooperatives, identifying research issues, and organizing research teams.
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Adopt an interdisciplinary approach to research by involving agricultural economists, rural sociologists and faculty from business schools. Interaction will be encouraged through invitations to annual forums, communication of the NCR-194 web page and listserve participation in cooperative research projects and other methods.
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Develop and maintain a Web page and an electronic listserve to promote active communication and coordination among participants.
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Coordinate with other national research projects, industry conferences and complementary groups such as AAEAs AEM section, WCC-72, NE-165, Farmer Cooperatives, Cooperative Economists and Planners.
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Procedures and Activities
Expected Outcomes and Impacts
- The overall outcomes include the development and participation in multi-state, multi-region research projects including cooperative USDA agreements, publication of journal articles, professional papers and other publications, development and participation in organized symposia at professional meetings and the use of other professional meetings, extension presentations and industry meetings to disseminate research findings.
- The organization and implementation of an annual two-day forum at which participants from academics, upper and middle management personnel from cooperatives, directors from cooperatives, and cooperative researchers in government focus on ongoing research on cooperatives, identify research issues, and organize research teams among the participants.
- Continued involvement of agricultural economists, rural sociologists, and faculty from business schools in cooperative issues, development, and problems as evidenced by their participation in annual forums, communication posted on the NCR-194 web page and list serve, and participation in cooperative research projects.
- Maintain the NCR 194 web page (http://www.agecon.ksu.edu/accc/ncr194/Default.htm) that serves as an important vehicle for communication among the members and to industry. Continue to disseminate NCR-194 information through the web site including selected papers presented at NCR-194 annual forums, other committee publications, a calendar of committee events, and educational programs. The website will also provide current committee member research interests, ongoing research projects, and links to other research groups.
- Outcomes from coordination with other national research projects, industry conferences and complementary groups will include the development and participation in organized symposia at the American Agricultural Economics Association annual meetings and other professional meetings, sharing of information through web-pages and list servers, presentation of NCR-194 research at industry meetings and development of educational conferences co-sponsored by NCR-194 members and industry partners.
Projected Participation
View Appendix E: ParticipationEducational Plan
One of the primary objectives of the committee is to disseminate new and existing information to academic professionals and industry managers who work with cooperatively owned businesses. Information generated by the committee, including research papers presented at the annual meeting is made available as published proceedings and is available on the NCR-194 web site. All of the grant proposals, and collaborative research projects supported by the committee to-date, have contained a strong educational component. The NCR-194 annual meetings are deliberately planned to coincide with annual Farmer Cooperatives industry conference, so as to facilitate interaction among researchers and individuals from industry. NCR 194 members present cooperative-related research results at professional meetings and extension presentations.
Organization/Governance
The recommended Standard Governance for multistate research activities include the election of a Chair, a Chair-elect, and a Secretary. All officers are to be elected for at least two-year terms to provide continuity. The outgoing Secretary and Vice-chair typically suceed to become Vice-Chair and chair respectively. Outside nominations are also accepted. Administrative guidance will be provided by an assigned Administrative Advisor and a CSREES Representative.
Literature Cited
Crooks, A.C., K.C. Spatz, and M. Warman. Shared Service Cooperatives RBDCS Research Report 141, April 1995.
USDA, Rural Business Cooperative Service, Problems and Issues Facing Farmer Cooperatives USDA-RBS Research Report 192, September 2002.
USDA, Rural Business Cooperative Service, Agricultural Cooperatives in the 21st Century USDA-RBS Cooperative Informational Report 60, November 2002.