Governance in co-operatives

Abstract

Co-operatives are value and ethical-based organizations. But despite their uniqueness, and elaborate values of self responsibility, democracy, equity and equality, they on top, need good governance. Governance on the other hand, is a process and institutions of exercising legitimate authority through citizen participation and consensus. Since Co- operatives were established in the mid 1930s, Tanzania has experienced opportunities and challenges of the co-operative enterprise in agriculture and other sectors of the economy. In order to sustain successful cooperative experience, Tanzania needs co-operatives guided by principles of good governance. Implementation of governance in co- operatives, is however met with challenges of the nature of co-operation itself, the legal and policy environment and local cultural traditions of different communities. But in order to address the issues of governance in the Tanzanian co-operative movement, the leadership, management and the membership have to make a gradual shift from the current bureaucratic mode to a co-operative enterprise paradigm.