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Informing Measurement of Cooperative Performance

In: Interfirm Networks

Author

Listed:
  • Jason R. V. Franken

    (Sam Houston State University)

  • Michael L. Cook

    (University of Missouri)

Abstract

Prior work assessing cooperative performance focuses mostly on available financial accounting measures commonly used to evaluate investor owned firms. Here, we advance a more inclusive approach, which incorporates several aspects of performance consistent with the dual objectives of the cooperative form. We demonstrate that cooperative performance consists of multiple dimensions and that a survey item about overall performance adequately reflects variation in each of these dimensions of performance across cooperatives. Hence, this item may be used to compare performance across cooperatives with reasonable confidence. Though comparisons of cooperative financial statistics may be misleading when considered alone, future work that simultaneously assesses these statistics along with other dimensions of performance may provide insight into tradeoffs cooperatives make—sacrificing on one performance attribute for better performance on another. The degree of correspondence among these aspects of performance appears to vary by cooperative type. For instance, multipurpose cooperatives using cost of goods sold accounting behave more like IOFs in terms of financial performance than marketing cooperatives, which are predominately concerned with paying patron-members the highest possible prices for their products and generally use a pooling approach to accounting.

Suggested Citation

  • Jason R. V. Franken & Michael L. Cook, 2015. "Informing Measurement of Cooperative Performance," Springer Books, in: Josef Windsperger & Gérard Cliquet & Thomas Ehrmann & Georg Hendrikse (ed.), Interfirm Networks, edition 127, pages 209-226, Springer.
  • Handle: RePEc:spr:sprchp:978-3-319-10184-2_11
    DOI: 10.1007/978-3-319-10184-2_11
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    Citations

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    Cited by:

    1. Kifle T. Sebhatu & Fatemeh Taheri & Tekeste Berhanu & Miet Maertens & Steven Van Passel & Marijke D'Haese, 2021. "Beyond focus: Exploring variability of service provision of agricultural cooperatives," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 92(2), pages 207-231, June.
    2. Grashuis, Jasper & Cook, Michael Lee, 2021. "Members of cooperatives: more heterogeneous, less satisfied?," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 24(5), April.
    3. Stanley Kojo Dary & Jasper Grashuis, 2021. "Characterization of farmer‐based cooperative societies in the upper west region of Ghana," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 92(4), pages 669-687, December.
    4. Gardner, Justin G. & Franken, Jason R.V. & Boerngen, Maria A., 2022. "A Research Agenda for Cooperatives," Journal of Cooperatives, NCERA-210, vol. 36.
    5. Michael L. Cook, 2018. "A Life Cycle Explanation of Cooperative Longevity," Sustainability, MDPI, vol. 10(5), pages 1-20, May.
    6. Hans Groeneveld, 2020. "Reconciling different truths about isomorphic pressure and distinctive behavior at European cooperative banks: Back to the future with Raiffeisen's principles," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 91(3), pages 359-386, September.
    7. Theo Benos & Nikos Kalogeras & Martin Wetzels & Ko De Ruyter & Joost M. E. Pennings, 2018. "Harnessing a ‘Currency Matrix’ for Performance Measurement in Cooperatives: A Multi-Phased Study," Sustainability, MDPI, vol. 10(12), pages 1-38, December.
    8. Jason R. V. Franken & Michael L. Cook, 2019. "Do Corporate Governance Recommendations Apply to U.S. Agricultural Cooperatives?," Sustainability, MDPI, vol. 11(19), pages 1-16, September.
    9. Maria Daskalaki, 2021. "The subversive potential of witchcraft: A reflection on Federici's Self‐reproducing movements," Gender, Work and Organization, Wiley Blackwell, vol. 28(4), pages 1643-1660, July.
    10. Louis-Antoine Saïsset & Géraldine Riviere-Giordano & Paul Amadieu, 2016. "The key role of stakeholders on wine cooperatives governance and performance," Post-Print hal-02742867, HAL.
    11. Justine Valette & Paul Amadieu & Patrick Sentis, 2018. "Les coopératives résistent-elles mieux ? Une analyse de survie des coopératives agricoles françaises," Post-Print hal-01990418, HAL.
    12. Liang, Qiao & Dong, Han & Bailey, Adrian R. & Hu, Weibin & Jia, Fu, 2022. "Exploring multiple drivers of cooperative governance: a paired case comparison of vegetable growing cooperatives in the UK and China," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 25(4), September.
    13. Marcelo Ferreira & Clea Macagnan & Daniel Vancin & Ana Toaldo, 2021. "Technical assistance: A determinant of cooperative member loyalty," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 92(4), pages 649-668, December.

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