www.ecorl.it
TRADITIONAL SOCIAL ECONOMY
ORGANISATIONSdoc.dr.sc. Tea Golja
www.ecorl.it
Lecture Content Main characteristics Organisational forms Governance and
Management Issues Financing Issues
www.ecorl.it
Traditional Social Economy Organisations (1)
Different from traditional organisations that operate in the market
www.ecorl.it
Traditional Social Economy Organisations (2)
Main difference = the ultimate goal, the ownership, democratic decision-making process
www.ecorl.it
Traditional Social Economy Organisations (3)
Generation of profit is not in the main focus of doing business
Sharing of profits is not the one and only aim of doing business
www.ecorl.it
Traditional Social Economy Organisations (4)
Production of products and provision of services to the benefit of all the interested stakeholders
www.ecorl.it
Traditional Social Economy Organisations
1. Cooperatives 2. Mutuals 3. Associations 4. Foundations
www.ecorl.it
Cooperatives (COOPs) Autonomous association of
persons united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointly-owned and democratically-controlled enterprise (ICA, 2016)
www.ecorl.it
COOPs in Croatia (1) 1.302 active COOPs (41%
agricultural; 17% fishing) almost 40% are war veteran
COOPs
www.ecorl.it
COOPs in Croatia (2) 2.744 employees 67% of COOPs with no
employees 21.462 members 0,5% of GDP Compare with MONDRAGON,
Spain!!!
www.ecorl.it
International Cooperative Alliance (ICA)
An independent, non-governmental organisation established in 1895 to unite, represent and serve coops worldwide
www.ecorl.it
International COOP principles (1)
Voluntary and open membership
Democratic member control Member economic
participation
www.ecorl.it
International COOP principles (2)
Autonomy and independence Education, traning and
information Co-operation among COOPs Concern for community
www.ecorl.it
Mutuals (1)
Associations that provide insurance services for the benefits of the members
Reciprocal contracts
www.ecorl.it
Mutuals (2)
Revival of mutuals in Europe Can cover wide range of
risks, health risks, death, funerals etc.
Not much recognized in Croatia
www.ecorl.it
Associations (1)
Group of people that join together for a particular purpose/interest (non-profits)
Oldest forms of organisations No intentions of gaining profit
www.ecorl.it
Associations (2)
Protection and promotion of issues of public or mutual interest, environmental, economic, humanitarian, informative, cultural, educational, social, sports etc.
www.ecorl.it
Associations in Croatia
More than 51.000 Sports, cultural, technical etc. Registry Book of Associations
www.ecorl.it
Foundations
INDEPENDENT STATE FOUNDATIONS CORPORATE COMMUNITY
www.ecorl.it
Foundations in Croatia
More than 200 Still underdeveloped
(restrictive law on the establishment, lack of programs to encourage the development)
www.ecorl.it
Governance and Management Issues
Mostly dual system of governance in Croatia (Committee and Supervisory Bord
Director – manages the organisation
www.ecorl.it
Governance and Management Issues
Co-operative Governance Fit to Build Resilience in the Face of Complexity published by ICA in 2015
www.ecorl.it
Governance and Management Issues
Mostly dual system of governance in Croatia (Committee and Supervisory Bord
Director – manages the organisation
www.ecorl.it
Governance and Management Issues
Democratic governance and transparency
www.ecorl.it
Financing Issues
Business Market EU funds Crowdfunding
www.ecorl.it
THANK YOU