Pellervo Confederation of Finnish Cooperatives


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Pellervo Confederation of Finnish Cooperatives

  1. 1. For the benefit of co-operatives - Pellervo Society
  2. 2. • Founded in 1899 • service organisation for Finnish co-operatives and a forum for co-operative activities • Goal is to make the co-operative business model more known to the public • Offer the co-operative model as a competitive alternative for those thinking about starting a business • Pellervo –name comes from the national epic of Finland Kalevala where Sampsa Pellervoinen is the patron of field and harvest Pellervo – confederation of Finnish co-operatives
  3. 3. 146 co-operative banks 19 LocalTapiola mutual insurance 19 dairy co-ops 23 ProAgria Advisory Centers and rural/domestic societies 14 co-clubs, vocational schools 4 saw-, machine- and mill co-ops 4 meat co-ops 8 phone co-ops 4 electricity co-ops 2 retail co-ops 1 urban area water co-op • SEO - Finnish Energy co-op • Faba co-op (animal breeding) • Association of ProAgria Centers • LocalTapiola Mutual Insurance • Metsäliitto Co-operative (forest) • Munakunta Co-op (eggs) • POP Banks co-op • Valio Ltd (dairy) • MS Producer services Co-op • Finlands Svenska Andelsförbund (30 members) • Coop Finland ass. (47 members) • Association of Finnish Water Co-operatives (128 members) • The Central Union of Agricultural Producers and Forest Owners (MTK) Members of Pellervo 2016
  4. 4. ANNUAL MEETING MEMBER ORGANISATIONS BOARD OF DIRECTORS Chair. Martti Asunta Vice chair. Tiina Linnainmaa Managing Director Sami Karhu CO-OPERATIVE SERVICES Sami Karhu CFO/HR Juhani Lehto SWEDISH CO- OPERATIVE SERVICES Kari Huhtala LEGAL SERVICES Anne Kontkanen PELLERVO- MEDIA Ltd/ PELLERVO MAGAZINEs SME co-ops, Huhtala – services, Matti Ketola International relations, Hanna Muukka Member services, Sinikka Huotari HOME PELLERVO FARM PELLERVO Chief Editor Teemu Pakarinen COOPERATION-magazine Riku-Matti Akkanen, Antti Äijö PELLERVO PUBLICATI- ONS SERVICES LTD Antti Äijö PTT - Pellervo Economic Research Institute Perttu Pyykkönen PI Leadership Academy Jukka Suvitie FOOD & FARM FACTS LTD (TNS Gallup), Market research Anne Kallinen CO-OPERATIVE COUNCIL Chair. Martti Asunta BRUSSELS OFFICE Jonas Laxåback MEMBERS’ COUNCIL Chair. Timo Komulainen Vice chair. Seppo Rytivaara Organisation structure FFD Finnish Agri-Agency for Food and Forest Dev. Tiina Huvio Hannes Gebhard- fund
  5. 5. President: Martti Asunta Metsäliitto Osuuskunta (forest) M. Sc. (Agr.& For.), Kuru Chairman of the Board of Directors Vice-President: Tiina Linnainmaa Osuuskunta Länsi-Maito (dairy) Dairy farmer Member of the Board of Directors Hämeenkyrö Jan Lähde Munakunta (egg) M.Sc.(Econ.), Turku CEO Petri Pitkänen LähiTapiola (insurance) M.Sc. (Agric.), Espoo director Kirsti Kirjonen Lounaismaan Osuuspankki (bank) M. Sc. (Ekon.), Chairman of the Board of Directors Salo Pentti Santala Valio Ltd. (dairy) Farmer, Ruokolahti Chairman of the Supervisory Board Anu Puusa Pohjois-Karjalan Ok (consumer) Ass. Prof./Ph.D. Member of the Board of Directrors Joensuu Seppo Paavola Atria Ltd. (meat) Farmer, Kaustinen Board of Directors Lars Björklöf Andelsbanken Raseborg (bank) M.Sc.(Econ. & Agr.) Managing director Also participating in Board meetings: Chairman of the Members’ council: Timo Komulainen Lihakunta (meat) Agr.Counsellor/farmer Chairman of the Nurmes Board of Directors Vice chairman of the Members’ council: Seppo Rytivaara Kainuun osuuspankki (bank) Managing Director Sami Karhu Phil.lic., Järvenpää Secretary of the Board Anne Kontkanen Chief Legal Officer, LL.M. Master of Laws, Helsinki Pellervo’s Board of Directors 2016
  6. 6. Heart, head and hand
  7. 7. Cooperation in a changing world Work and entrepreneurship •Employee-owned coop •Coop owned by the retailer •Network of entrepreneurs •Team business at a school •Cradle of entrepreneurship Part of everyday life • Consumer coop • Producer’s coop • Coop bank • Mutual insurance Technology for community use • Broadband coop • Energy coop • Water coop • Electricity coop • Phone coop
  8. 8. Pellervo’s strategy 2012-2017 Giving co-operation a positive spin in society by 1. Creating conditions for the exploitation of co-operatives’ competitive advantages 2. Increasing the attractiveness and visibility of co-operatives 4 . Promoting and developing competitive operational conditions for co-operatives 3. Strengthening entrepreneurship with the co-operative business model Co-operative is the first choise!
  9. 9. Working in a global framework • UN - Business model for sustainable development • EU - Part of the competitiveness policy • ILO - A non-discriminatory status for co-operatives • ICA - The reasonableness of the set of values of co- operatives
  10. 10. The co-operative decade 2012-2020 • UN’s international year of co-operatives as the starting point • A balancing business model in the global economy 3. Identity 5. Capital 1. Participa- tion 2. Sustainable Develop- ment 4. Legal frame- work Five interlinked and overlapping themes of the decades’ strategy:
  11. 11. Information and influence from international organisations • COGECA (Brussels) • General Confederation of Agricultural Co-operatives in the European Union, founded in 1959 • Pellervo member since 1995 (observer from 1992) • Organisation for agri-cooperatives in the EU. It works together with COPA, the producers organisation in the EU • Secretary General Pekka Pesonen • Pellervo’s Brussels office is working tightly with COGECA. • NBC • Confederation for Nordic farmers’ organisations, founded in 1934 • Circulating secretariat • Meetings and seminars. • ICA (Brussels) • International Co-operative Alliance, founded in 1895 • Pellervo member since 1902 • Secretary General Charles Gould • ICA's European organisation is Cooperatives Europe (Brussels). • WFO (Rome) • World Farmers’ Organisation, founded in 2012
  12. 12. Pellervo’s spearhead projects Building a network of developers • Professorship in co-operative management • Journal of Cooperative Organization and Management • Network of researchers, incl. 20 post- graduates making dissertations • Tekes*-projects: employee work-orientation, crowdsourcing, managing shared value • Ministry of Agriculture-project: infra-co-ops in the countryside Succeeding and learning • UN’s international year of co-operatives 2012, Co-operative decade 2020 • Learning materials • Digital learning environments • Co-op Network Studies – university network of co-operative and social economy studies via e-learning Co-operative as an equal business model • Government policy: community law, tax law, business advice, report of the Prime Minister's Office, elections, government program and plan of action *Tekes=the Finnish Funding Agency for Innovation Business model with the power to create new • Cultural factor: ensuring the position as a forerunner • Business advice: new co-operatives justify their position in society • Cooperation with educational institutions - entrepreneurship education
  13. 13. Pellervo has a networked approach + The Co-operative Council + Finlands Svenska Andelsförbund rf + Coop Finland ass. + Association of Finnish Water Co-operatives + Universities, research groups and the Kooperatiivi ass. + Entrepreneurship education at educational institutions + Different projects (usually publicly funded) + Government = Collaborate with all of those who can take the co- operative agenda forward
  14. 14. Pellervo’s Swedish services • In collaboration with Finlands Svenska Andelsförbund (FSA). Cooperation agreement since 1993 • Part of Pellervo’s activities: • Management training in Swedish • Theme seminars in Swedish • Guide books and other material as necessary • Maintaining relations with Swedish-speaking and bi- lingual members • The board of FSA is an advisory body for Pellervo • FSA has representation on the board of Pellervo
  15. 15. 1. Creating conditions for the exploitation of co-operatives’ competitive advantages
  16. 16. Forums for cooperation • Pellervo’s Board of Directors and Members’ Council • Annual meeting and Pellervo Day every April • Pellervo’s regional seminars (twice a year) • The Co-operative Council
  17. 17. The Co-operative Council (est. 2001) Pellervo Society • Martti Asunta, chair • Tiina Linnainmaa • Seppo Paavola • Erkki Moisander • Pentti Santala • OP Cooperative (bank) • Jaakko Pehkonen, vice chair • Vesa Lehikoinen Secretary Sami Karhu Permanent Experts Anne Santamäki, ICA and Chief Legal Officer Anne Kontkanen SOK Corporation (retail) • Salme Näsi • Maija-Liisa Lindqvist • Matti Pikkarainen Tradeka co-operative (retail) • Markus Aaltonen • Markku Hyvärinen
  18. 18. Tasks of the Co-operative Council: Co-operatives at the same table since 1914 • Academic research and teaching on co-operation • From 2005 almost 2 mil € directed to co-operative research and 255.000 € given to co-operative education • Professorship on co-operative management 2013-2017 (-19) • Co-op Network Studies 2015-2019 • Co-operatives as a part of entrepreneurship training • Competition issues • Co-operative ownership • New co-operative law • The title of Co-operative councillor • Adding the co-operative knowledge of business advisors • ICA and the common values and principles of co-operatives • UN’s international year of co-operatives 2012 = Coordinates the promotion of cooperation and mutual cooperative interests in Finland
  19. 19. Working with the University • Promoting academic research and teaching in the subject of co-operation and mutuals • Present where new information is being produced • If it’s not researched, it’s not taught • Grants for universities • Foundation funding for resaserch • Hannes Gebhard-fund • Research forums • Deep collaboration and mutual learning • Masters and doctors who are familiar with co- opatives • App. 20 post-graduates
  20. 20. Professorship in Co-operative Management 2012- 2017 (-19) • Part of the objectives of UN’s Internatinal year of co- operatives 2012 • The project aims to generate added value for co- operative business management skills and thus contribute to their ability to succeed in carrying out their basic mission • The professorship is located at the LUT School of Business and Management • Professorhip is funded by Pellervo, SOK (retail) and OP Cooperative (bank)
  21. 21. Aim of the professorship • To produce new and reliable information on the operational business management of co-operatives • Current needs for the reform and development of co- operative governance • Create high-level research about co-operatives • Organize research groups for co-operative research • Professor Iiro Jussila and his research group has a networked approach. Close to family business research – business models overlap. • Journal of Cooperative organisation and management –2012->
  22. 22. Co-op Network Studies - innovation • A multidisciplinary concept for co-operative studies • Internet based academic training program • Network consist of 10 Finnish Universities (out of 14) • Co-ordinated by the University of Helsinki Ruralia Institute in Mikkeli since 2005 • Co-operatives donated 400.000 € for 2015-2019
  23. 23. 2. Increasing the attractiveness and visibility of co-operatives
  24. 24. Co-operation -magazine • Economical journal • For every administrative person and managing director • Issues include governance, leadership, management and discussions across sectoral boundaries • Knowledge for stakeholders
  25. 25. PI Leadership Academy • Training aims to develop the leadership and management skills of member-based organizations such as co-operatives • Mainly aimed at trustees and management • Offers three types of training: open, tailor-made and theme-based training under the name PI-Forum (meat, dairy, grain) • International aspect: study trips abroad, English language training • Enhancing the readiness for change: board evaluations etc. • Examples of open courses: • training for chairmen • HLJ: 6-month training for trustees (incl. strategy, finance, communication skills etc.) • PI-finance school (2 days)
  26. 26. PTT – Economic Research • Carries out policy-oriented research on general economic development and issues relating to agricultural and food economics and forestry and wood economics as well as SME’s and co- operatives • Twice a year publishes a short-term forecast combining international, domestic and regional developments • Presentation and lectures also at companies
  27. 27. FOOD & FARM FACTS LTD (TNS Gallup) • Market research and expert service on agriculture and foodstuff • As a base for decision making • Pellervo owns 38 % • Part of TNS Global - one of the largest research agencies worldwide
  28. 28. Book series about co-operation Learning material for self-learning and course material
  29. 29. • Pellervo’s medals and badges carry with them 110 years of co-operative history • The Hedvig and Hannes Gebhard –medals • The co-operative medal of merit • Pellervo’s badge of merit for personnel • Badge and a diploma • All sectors Expression of appreciation, recognition for work
  30. 30. Pellervo-magazines • Roots of the co-operative movement: collaborative spirit and viable farms • Home Pellervo is a family magazine emphazising the rural lifestyle and economic cooperation • Farm Pellervo + Animal are professional magazines for farmers • Pellervo Big Calendar
  31. 31. 3. Strengthening entrepreneurship with the co-operative business model
  32. 32. Starting point The overall development of the co- operative movement affects the long-term success of all cooperatives
  33. 33. New co-operatives • Pellervo promotes the establishment and development of new co-operatives – around 200 each year • A societal need for different business models • Important for own identity, awareness and social status of co-operatives • Waves of new forms of co-operatives throughout history since 1901 -> credit unions -> dairy co- ops -> workers co-ops -> water co-ops. Pellervo involved in all of them
  34. 34. Co-operative business advice and support • 31 start-up agencys in Finland (for all business forms) • Efforts in strengthening their knowledge on co-operatives • Coop Finland Ass. (at discretion) • Tampere Region Co-operative Centre since 1998 • Publicly funded in Tampere for 10 years, ended in 2015 • Public employment and business services (TE) • Isolated projects and training • Pellervo offers advice and support
  35. 35. 4. Promoting and developing competitive operational conditions for co-operatives
  36. 36. Making co-operation and mutuality known in the society at large large public farmers especially politicians government officials developers teachers students libraries media researchers
  37. 37. Digital learning environments for co-operation 2020
  38. 38. Pellervo’s legal services • Promoting the legal interests of co-operatives in general (lobbying) • Expert in community legistlation • Assigments from members (renawal of rules, legal advice etc.) at member prices §
  39. 39. On an equal footing with other business models • Co-operatives’ targets for Government’s action plan 2015-2019 • Community legistlation • Taxation • Accounting standards • Entrepreneurship education at schools • Research and teaching • Business advice • Development funding
  40. 40. As a member of the Pellervo Society: • You are involved in the development work utilizing the services, forums, networks and channels of influence of this 115 year-old organisation. • You can have an impact on the general advocady, promotion and development of the cooperative business model. • You can participate in the decision-making process of Pellervo.
  41. 41. Benefits of membership: • Co-operative -magazine (6 issues/year) • Pellervo-magazine package: 12 Home Pellervos, 11 Farm Pellervos, Animal-annexes ja The Big Calendar. • Pellervo’s new publications and other member communications. • Pellervo Forum –newsletter. • Versatile member services as needed (financial support for study trips abroad etc.)
  42. 42. Member criteria and annual fee • Any company or organisation that respects the cooperative values may become a member of Pellervo be it a cooperative, a mutual, an ltd, an association or an educational institution. Pellervo also has group members (FSA, MTK, Coop Finland) • The annual fee (2016) is 0,0025 per cent of the turnover of the preceding business year but no less than EUR 228 and no more that EUR 18 240. Also, an increase in the annual fee cannot exceed 15 per cent of the previous year's fee.
  43. 43. We are co-operation. - co-operation