Erbin Crowell discusses opportunities for growth in the cooperative movement. He outlines the context of economic crisis and inequality driving interest in alternatives. Cooperatives are a successful model, with over 30,000 in the US employing more people than multinationals. The UN declared 2012 the International Year of Cooperatives and aims to make the next decade the Cooperative Decade. Crowell highlights the Neighboring Food Co-op Association's work in New England and New York to strengthen 34 food co-ops through collaboration, and looks forward to further developing the regional cooperative economy.
2. My%Background!
•
10+ Years with Equal Exchange
•
St. Mary’s University, Master of Mgmt:
Agricultural
Co-ops
Co-ops & Credit Unions
•
Co-operative Development
•
National Co-op Business Association
•
Teaching at UCONN & UMASS
•
Neighboring Food Co-ops
•
Co-operative Economy
Worker Co-ops
Community
Food Co-ops
4. Co-ops%&%Local%Economies!
Co-ops are…
• …a viable economic alternative
• …an effective model for local ownership
• …innovative, change-makers
• …relevant across the economy
• …more prevalent than we think
• …our best tool for a sustainable future.
5. Our%Context!
• Crisis of our Economic System
• Unemployment & Inequality
• Dramatic Shifts in Wealth
• Diminished Democracy
• Corporate Influence
• Instability & Change
• Hunger for Alternatives
6. What%If…?!
There was a business model that...
• …was democratic and sustainable.
• …was rooted in our local communities.
• …was part of a values based movement.
• …put common good before private gain.
• …was flexible and innovative.
• …was successful and resilient.
7. England%in%the%1800s!
• Dislocation of Local Economies
• Dramatic Shifts in Wealth
• Concentration of Control
• Poor Working Conditions
• Limited Democracy
• Globalization
• Birth of the Co-operative Movement
8. Co-ops%Today!
• Are innovative
Healthy food, organic, Fair Trade, relocalization
• Are successful
30,000 co-ops in all sectors of US economy
• Are resilient
Survived and grew during the global recession
• Are more prevalent than we think
1 billion people are co-op members worldwide:
…co-ops employ more people than multinationals
…more than directly own stock in corporations
9. Co-ops%Today!
The best kept secret in community economics…
• …neglected by the news media
• …absent from colleges, universities, and
business schools
• …underutilized by government and community
development organizations
…but this is changing.
10. Our%Opportunity!
Co-ops “in their various forms, promote the fullest
possible participation in the economic and social
development of all people, including women, youth,
older persons, persons with disabilities and indigenous
peoples, are becoming a major factor of economic and
social development and contribute to the eradication of
poverty.”
United Nations Resolution 64/136 (2010)
12. International%Year%of%Co-ops!
UN Goals for 2012:
• Increase public awareness
• Promote formation and growth
• Encourage governments to establish policies,
laws and regulations conducive to the
formation, growth and stability
co-operatives
of
15. Beyond%a%Grocery%Store!
The Rochdale Pioneers conceived in one association
what now might make a multistakeholder cooperative movement. The complementary half of
this multisectoral vision is that it was a localized
vision: integrated co-operation within a
geographically compact community.
Brett Fairbairn, “The Meaning of Rochdale”
16. An%Integrated%Co-op%Economy!
1. Begin with a Store
2. Accumulate Shared Capital
for Growth & Investment
3. Leverage Purchases to
Start New Co-ops
4. Grow the “Co-operative
Commonwealth”
17. A%Living%Vision!
•
The Co-operative Group
•
6 Million Members (2011)
•
123,000 Employees
•
5,000 Stores & Branches in UK
•
Cross-Industry: Farming, Travel,
Financial Services, Healthcare,
Funeralcare, Legal Services, Auto
Sales, etc.
•
20 million members by 2020
18. Mondragón,%Spain!
•
•
•
•
•
•
•
Vocational school in 1950s
256 Co-ops & Subsidiaries
$20 Billion in Revenue (‘10)
100,000 Employees (‘10)
Industrial Production,
Banking, Agriculture,
Education, Tech, etc.
Largest Domestic Grocery
Resilient in Recession
20. Neighboring%Food%Co-op%Association!
The Neighboring Food Co-op Association (NFCA)
is a network of food co-ops committed to a
shared vision of a thriving regional economy,
rooted in a healthy, just and sustainable
food system, and a vibrant community
of co-operative enterprise.
21. Leveraging%Our%Shared%Strength!
• Peer Collaboration for
Business Success
• Regional Sourcing
to co
cave
o-op
to c
cave
S
S
-op
er
umm
n o w sheep milnkd
er S
y ri
bloom
umm
ery
y, butt
hroom
y, mus
cream
Farm
dcock
t
Woo
mon
n, Ver
Westo
al
$
99
15.
/po
und
Co-op
Food
ring
artisan
eighbo
onal
the N
.coop
on
d regi
hip of
td an
w.nfca
t ww
nal L
rtners
io
visi
a pa
ternat
op is
please
ns In
to Coation,
ovisio
Cave
inform
n, Pr
ore
iatio
For m
Assoc
ers.
semak
chee
ci
spe
Sno
• Collaboration with other
Co-ops
w
milk
sheep
y rind
bloom
ery
y, butt
room
mush
eamy,
cr
m
k Far
dcoc
ont
Woo
, Verm
eston
W
.9
$15
9/p
oun
d
-op
d Co
g Foo
n
borin
artisa
Neigh
onal
p
f the
d regi
a.coo
o
.nfc
Ltd an
ership
www
ional
partn
visit
ternat
p is a
lease
,p
o-o
ns In
ation
visio
e to C
form
Cav
n, Pro
ore in
ciatio
For m
Asso
ers.
semak
chee
spe
on
cia
l
• Communicating Our
Shared Impact
22. Telling%Our%Story…!
The NFCA in 2012:
• 34 food co-ops and start-ups
• 94,000+ member-owners
• 7,000+ new member-owners
• 1,480+ employees
• $215 million in annual revenue
• $30+ million in local purchases
• $2.2+ million in Fair Trade
purchases
• $2+ million in purchases from
other co-ops
23. …Across%the%Economy!
New England & New York
• 8,860 co-ops
• 9.5 million members
• Employ 55,000 people
• $2 billion in wages
• $100 billion in assets
• $14 billion in revenue
http://reic.uwcc.wisc.edu/
http://nfca.coop/co-opeconomy
24. Cross%Sector%Initiatives%
• Cross Sector
Networks
Shared marketing
Business development
Valley Co-operative
Business Association
• Policy
IYC Resolutions
Legislative engagement
New England Farmers
Union
26. 312
F A R M E R S
(1,817 Nationally)
•!Organic*Valley**
Co.op*Member*Farmers*
Connec'cut!
1!
Maine!
29!
Massachuse2s!
2!
New!Hampshire!
9!
New!York! 134!
Vermont! 137!
34
FOOD CO-OPS
(90,000 Members)
Food%Co-ops%&%Farmer%Co-ops:%
Working(together(for(a(more((
just,(sustainable(and(resilient((
regional(food(system.(
Neighboring*Food*
Co.op*Associa4on*
Member*Food*Co.ops*&*Start.Ups*
www.nfca.coop%%%%%//%%%%www.organicvalley.coop
%
Map Updated 9/2013
27. Co-ops%&%Local%Economies!
• Community ownership & democratic control
• Focus on service, meeting needs before profit
• Develop local skills & assets
• Ability to assemble limited resources
• Regional economic efficiencies
• Difficult to remove from a community or buy-out
• Anchor community wealth
• More sustainable and resilient
31. The%Co-operative%Decade!
“The real opportunity, of course, is to use 2012 to
help achieve a longer-term vision.
ICA is committed to turning
The International Year of
Co-operatives into a
Co-operative Decade...”
Charles Gould, Secretary General
International Co-operative Alliance
INTERN
ATIONA
L CO-O
PERATIV
E ALLIA
NCE
BLUEPR
A CO-OINT FOR
DECAD PERATIVE
E
JANUAR
Y 2013
32. The%Co-operative%Decade!
By 2020, co-operative enterprise will be
• the acknowledged leader in economic, social
and environmental sustainability
• the preferred business model for people
around the world
• the fastest-growing model of
enterprise by 2020.
33. Opportunities%for%Growth!
• Existing Food Co-ops
7,000 new members in NFCA co-ops
Half of NFCA co-ops planning expansions
• New Food Co-ops
10 start-ups in NFCA membership
130 projects nationwide
36. Cooperation%among%Co-ops!
“Co-operatives serve their members most
effectively and strengthen the co-operative
movement by working together through local,
national, regional, and international structures.”
6th Principle of the Co-operative Identity
International Co-operative Alliance
www.ica.coop
37. Looking%Forward!
How can we take advantage of this opportunity...
• Events like this!
• Networking within and across sectors
Neighboring Food Co-op Association, Valley
Alliance of Worker Co-ops, Valley Co-operative
Business Association
• Co-op to co-op business and investment
• From “My Co-op” to “Our Co-ops”!
• Focusing on the Co-operative Economy
39. Cross%Sector%Collaboration%as%an%‘End’!
Because of the our co-op…
There will be a thriving, multi-sectoral
co-operative economy in our region,
increasing in both scope and impact, to
which our co-op is meaningfully
connected.”
Sample ends policy thanks to Don Kreis
Chair, Board of Trustees, Cooperative Fund of New England, and
former member of the Board of Directors at the Co-op Food Stores
40. What’s%Going%On%Around%Us?!
• Co-op model seen as a solution
• A reinvigorated, reinspired movement
• Young people getting involved
• Existing co-ops are growing…
• …New co-ops emerging across our region
• Entrepreneurs to “Co-opreneurs”
• Renewed vision for a “Co-operative
Economy”
41. Looking%Forward!
How can we take advantage of this opportunity...
…to be ambitious in our vision for our own
food co-ops and wider community of co-ops?
…to work together across co-op sectors to
grow the co-operative economy?
…to consciously link our resources so we can
leverage shared impact?
43. I Y Our Co-ops!
The Neighboring Food Co-op Association // www.nfca.coop
Erbin Crowell, Executive Director
Neighboring Food Co-op Association
erbin@nfca.coop // www.nfca.coop
www.facebook.com/neighboring