STRATEGIC THRUST 2 :
STRENGTHEN THE CAPACITY AND CAPABILITY OF CO-OPERATIVES
The success of co-operatives is determined by its ability to continue to survive and compete in the business world which has become more challenging in the era of globalisation and market liberalisation. Towards this end, good business management and governance are essential elements in ensuring the continuous existence of co-operatives in the market.
The capacity and capability of co-operatives are strengthened by:
- Election of knowledgeable and committed leaders who can lead the co-operatives to a higher level;
- Expansion of operations in order to benefit from economies of scale and remain competitive;
- Mergers or collaboration between co-operatives or with third parties to venture into new areas which require extensive capital;
- Application of modern technology to improve productivity and effectiveness; and
- Increase in access to f nancing for co-operatives to expand their businesses.
Performance Indicators
- 5% of co-operatives operating on large-scale
- 80% of the big and medium co-operatives have professional management and adopt modern technology in management
- Increase access to f nancing through internal funding of the co-operative movement or funds provided by the government
- 20 co-operatives listed in ICA Developing 300 and 2 co-operatives listed in Global 300
- Increase in the number of big and medium-sized co-operatives from 7% to 15%
