My YouTube videos

A series of video capsules dedicated to cooperative management!

Why these videos?

To make my vision of cooperative management more accessible. Today, it’s difficult to reach a wide audience…with a theoretical work of over 500 pages. Presenting the key ideas drawn from my work in a video capsule therefore seemed an ideal complement.

A second objective of these videos, however, is to lay the foundations for continuity in the development of a distinct approach to cooperative management. While the strategies chosen for the conceptualization of an NCP demonstrate the great relevance of the foundations of the cooperative mode of organization, it is in the effort to implement these strategies that its relevance is demonstrated. This requires the multiplication of applications in the context of a community of practice. More on this in the section on training and learning.

This job wasn’t easy, however, as I had to learn to talk…to a camera. A lot of work to synthesize my concepts (although the theoretical background remains the essential content). The result…7 videos of 15-20 minutes each. Here’s a brief introduction to each video….

In brief

  • Aspire to wider dissemination of my vision of cooperative management.
  • Attract cooperative stakeholders (managers, executives) to participate in the cooperative management course I plan to offer online.
  • Create the conditions to facilitate collaboration, via a community of practice, for the implementation of this cooperative management approach. 

The malaise /identity crisis

1

IN BRIEF
  • How can we explain the fact that many cooperative managers say they no longer know how to differentiate themselves from competitors in the private sector, particularly from a management point of view?
  • This 1st video tackles this important question by identifying the major trends affecting the dynamics of both the association (of members) and the enterprise.
  • I conclude this 1st video by arguing that the solution to the identity crisis lies in the development of a new cooperative paradigm.

After a brief introduction to the models of the new cooperative paradigm and cooperative equilibrium, this first video focuses on the malaise (crisis) of identity. My starting point was the words heard (first of all) from the experience managers of a major Canadian cooperative. Also the analysis of (11) case studies written as part of the research on cooperative holdings. These case studies covered several sectors and offered an international perspective. Also, from managers who had participated in my courses and executive seminars on cooperative management.

Seeking to understand the unease they expressed when they said they no longer knew how to differentiate themselves, from a management point of view, from a private company, I analyzed the major trends that have impacted both the associative dynamic and the cooperative enterprise dynamic.

Value congruence

2

IN BRIEF
  • In this second video, I introduce the new cooperative paradigm. The central role of cooperative values is discussed, reviewed from the perspective of the taxonomy of values, a universally recognized theoretical framework developed by Schwartz in the early 1990s.
  • In this new perspective, cooperative values prove to be of strategic importance, as well as levers of performance for the cooperative.

In this second video, I introduce the NCP and the key questions I’ve sought to answer in order to lay the conceptual and theoretical foundations for it: what are the emerging strategies in a context of market transformation, what are the links between the foundations of these strategies and the foundations of the cooperative mode of organization, and finally, what competitive advantages do cooperatives hold with regard to these strategies?

I then turn to the question of organizational values and business performance… where the congruence of values between those of the organization and those of its employees is an important performance lever.

To address the importance of cooperative values, from the perspective of a new paradigm (a new perspective), I introduce the taxonomy of values developed by Schwartz, an internationally renowned social psychologist. This taxonomy, universally validated, enables us to approach cooperative values as reflecting what Schwartz calls self-transcendence (benevolence and universalism).

While little (if any) research links cooperative values to performance, many researchers use Schwartz’s taxonomy and demonstrate the (significant) impact of self-transcendence on cooperation, commitment, ethics and so on. What’s more, Schwartz (and colleagues) find that the self-transcendence profile is the dominant profile worldwide.

Seen from this new perspective, cooperative values are of strategic importance, as well as being levers of performance for the cooperative.

Psychological ownership

3

IN BRIEF
  • In this third video, I look at the concept of psychological ownership, which has emerged in marketing over the last twenty years as a key factor in explaining consumer behavior. Such a feeling manifests itself at both individual and collective levels.
  • The feeling of psychological ownership, seen as an extension of the self, reflects a question of possession, stewardship and the need for control over something.
  • In this video, I demonstrate the strong convergence between the foundations of the psychological sense of ownership and those of the cooperative… which allows us to rethink the cooperative purpose. It also recognizes the added value associated with this feeling, both for the member and the cooperative. The result is a source of competitive advantage for the cooperative mode of organization.

In this third video, I look specifically at the new cooperative paradigm and the strategy of psychological ownership. Over the past twenty years or so, this concept has established itself in marketing as an explanatory factor in consumer behavior. Such a feeling manifests itself at both individual and collective levels.

Humans develop a sense of psychological ownership of a multitude of objects, both tangible and intangible… seen as an extension of the self. At root, then, ownership is a matter of possession, stewardship and the need to control something.

Four sources of motivation underlie this feeling: First, the person’s ability to interact effectively with his or her environment, to experience a degree of control over that same environment; second, identification with the object, insofar as possessions serve as symbols of identity…and determine who I am, was, will be; third, the need to have a place, a privileged space, so as to establish security via familiar objects; finally, stimulation, i.e. the need for activation and excitement.

Three recognized routes to developing this feeling are: the exercise of control, intimate knowledge of the object, and self-investment in the form of time, ideas, emotions, etc.

Motivations and itineraries, the keys to the emergence of this sense of psychological ownership, are closely interwoven with the heart of the cooperative nature and structure. The raison d’être and cooperative principles prove to be powerful levers facilitating the development (and maintenance) of such a feeling.

As I discovered the concept of psychological ownership, I realized that the true meaning of cooperative ownership was primarily inspired by psychological ownership, both individual and collective.

I therefore invite you to watch this 3rd video to judge the strategic importance of this emerging concept, not only in the context of market transformation, but also to better appreciate the relevance and competitive advantage of cooperatives in the context of this NCP.

Loyalty management

4

IN BRIEF
  • This concept of loyalty proved to be the starting point for my quest for an NCP. The model I present in this 4th video was developed as part of a multi-year action-research project with several cooperatives.
  • Beyond satisfying loyalty, it’s essential to meet the fundamental needs of security, justice and self-esteem.
  • The cooperative mode of organization offers advantages, both in the quest for a high-level customer experience and in meeting these fundamental needs.

This concept of loyalty proved to be the starting point for my quest for an NCP. From 1999 to 2008, I accompanied a financial services cooperative in the implementation of loyalty management. It was thus within the framework of an action-research approach that I was able to develop the model presented in this fourth video.

Beyond satisfaction, loyalty management requires a focus on the person, rather than the consumer. This means paying greater attention to fundamental needs such as security, justice and self-esteem. Satisfying these needs, without neglecting consumer expectations, enables us to aspire to loyalty, beyond the satisfaction that too often leaves the consumer in a situation of ambivalence.

While the cooperative form of organization offers several advantages when compared with a strategic approach focused on loyalty, it is mainly in its ability to meet basic needs that the cooperative stands out. The result is a sustainable advantage.

Value co-creation

5

IN BRIEF
  • This co-creation strategy reflects the degree to which customers (members) participate to create more value for both the customer and the company”.
  • This strategic approach has become the next frontier of competitive efficiency.
  • Consequently, cooperatives must take advantage of their inherent nature and structure to formulate and implement this strategic approach.

This strategy of value co-creation has gained prominence over the past 25 years in an environment characterized by new, rapid and flexible production capabilities, decentralized organizations and rapidly evolving information technologies. It is conceptualized as “the degree to which customers actively participate with companies in improving existing solutions or finding new ones to create more value for both the customer and the company”. There is therefore growing interest in the possibility of involving customers in co-production or co-creation to improve business performance and the value proposition.

The co-creation strategy has become the next frontier of competitive efficiency. Consequently, cooperatives must leverage their inherent nature and structure to formulate and implement this strategic approach, while co-creation strategy and cooperative identity can be seen as yin and yang, as they attract and complement each other.

Cooperative equilibrium and horizontal alignment

6

IN BRIEF
  • This model of cooperative equilibrium is based on a set of distinctive features of cooperative organization.
  • In this 6th video, I introduce horizontal alignment, i.e. cohesion between members, between the association of members and the company, and cohesion (strategic fit) between the company and its competitive environment.
  • The importance of psychological ownership and value co-creation strategies is also discussed in relation to such horizontal alignment.

This model of cooperative equilibrium is built on a set of distinctive features of the cooperative mode of organization…the 4 rules (democracy, link of use, rebate and collective reserve), the association-company duality, values and purpose, the cooperative business model, performance indicators, the cooperative and competitive environment. In this first video (of 2), the emphasis is on what I have called horizontal alignment.

In this cooperative equilibrium, the association-enterprise duality is broken down into three levels of cohesion: between members, between the association (of members) and the enterprise, and between the enterprise and its (competitive) environment.

However, this concept of horizontal alignment is of even greater strategic importance when viewed in the light of the new cooperative paradigm, and the emerging strategies described in the previous videos, particularly those focusing on psychological ownership and the co-creation of value.

Such alignment must therefore be perceived…and managed as a strategic lever. The result is greater member commitment and participation.

Cooperative balance and vertical alignment

7

IN BRIEF
  • Continuing with the presentation of cooperative balance, this 7th video focuses on vertical alignment, i.e. the ideological core (values, purpose), the cooperative business model and performance indicators seen from the balanced scorecard perspective.
  • Also discussed are the environmental aspects, both cooperative (federative structure and more) and competitive.
  • The vital importance of strategies in the new cooperative paradigm is also discussed.

In this seventh video, I present the challenges of a vertical alignment that encompasses the ideological core, i.e. values and purpose, the cooperative business model and the balanced scorecard. The external environment of the cooperative is also discussed, starting with the cooperative network to which the base cooperative belongs, as well as the competitive environment. 

To illustrate and understand cooperative management issues and the resulting equilibrium, we need to consider existing federative and confederative structures. To these structures must be added the network of corporate subsidiaries specific to holding structures. Finally, the competitive aspect is also (briefly) included.

Daniel Côté

Coop management

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