Collaborative groups: themes for success and the role of universities

The development of supply chains in agriculture has resulted in improved efficiencies and greater returns but the distribution of benefits within the chain is just beginning to be considered. Farmers, because they are perfectly competitive firms, face particular challenges in dealing with supply chains, which are otherwise composed of oligopolistic firms. In order to secure an equitable distribution of benefits from a supply chain, farmers will have to form some sort of group (e.g. a cooperative). Cooperatives, however, have a number of well-documented shortcomings as an institutional form. This paper identifies factors associated with the successful formation of collaborative groups drawing on experiences in Australia and the United States. Key success factors common to both countries include strong leadership, planning, the development of effective standard operating procedures, the creation and sustenance of social capital, and the availability of outside assistance. An agenda for research and outreach by universities and others is proposed

Managerial Compensation in Midwestern Cooperatives: Results from a Follow-up Study

Results are presented from a follow-up survey of managerial compensation practices in local farm supply and marketing cooperatives in Minnesota, North Dakota, and Wisconsin. In contrast to findings from the original survey, total compensation levels, bonuses, and changes in compensation are all found to be positively and significantly associated with local net margin and not closely related to sales and sales growth.Agribusiness,

A Neo-Institutional Assessment of Cooperative Evolution: Comparing the Australian Wheat Board and the Fonterra Dairy Group

Agribusiness,

Executive Compensation Patterns and Practices in Minnesota and Wisconsin Cooperatives

Cooperatives face unique challenges in compensating managers because it is more difficult to link the financial interests of the manager to those of the cooperative. One way to overcome this challenge is to use performance-based bonuses. This study of cooperatives in Minnesota and Wisconsin found that such bonuses are infrequently used. Further. evidence indicates that existing bonuses tend to be linked more to the size of the cooperative (sales. assets) than to profitability. These results suggest that more attention to this critical area is warranted

Strategies for coping with food consumption shortage in the Mandara Mountains region of North Cameroon

Two major approaches to the question of food shortage in Africa have emerged. One discusses the food deficits of different communities and the other has focused upon the provision of food relief from external sources. The success of those concerned with external relief has been constrained by the relative insensitivity of their warning systems to local food supply conditions. This paper draws upon research in the Mandara Mountains region of Cameroon to argue that monitoring of community-level responses to food shortage can provide an early warning of impending severe food deficits which may enable more rapid provision of external assistance.

Using Communications to Influence Member Commitment in Cooperatives

In the popular press and in cooperative boardrooms there are discussions about member commitment. Since they are formed to enhance members’ well being, member commitment is an important issue for cooperatives. Cooperative communication strategies may influence member commitment, and these strategies are under the direct control of cooperatives. This study of Minnesota and Wisconsin cooperatives focuses on two questions: (1) do communications influence a member’s commitment to their cooperative, and (2) do different segments of the cooperative community respond differently to different communication approaches. Our results suggest that the answer to both questions is yes

The Contribution ofFinancial Management Training and Knowledge to Dairy Farm Financial Performance

Cooperative Extension and other institutions (e.g., technical colleges, on-line self study programs, university short courses, etc.) frequently stress the importance of financial management education for successful farming operations. The research reported in this paper attempts to quantify the contributions of such training to the financial performance of dairy farms in Wisconsin. Our results suggest a link between a deeper understanding of financial concepts and greater financial returns but that it is a relatively weak one. Moreover, simple exposure to farm management training programs and self-confidence in farm financial decision-making ability are not significantly related to farm financial outcomes