Project Materials

EFFECTS OF HONESTY ON COOPERATIVE ORGANIZATION

Chapter one

INTRODUCTION

1.1 Background Of the Study

In an era when many people believe they have little power to change their lives, cooperatives represent a powerful, lively, and sustainable economic alternative.

Cooperatives are founded to address people’s common needs. They are built on the compelling principle that when people work together, they can achieve things that none of them could do on their own.

Cooperatives have been a powerful tool for people to take control of their economic lives for over 160 years. They offer a unique tool for achieving one or more economic objectives in an increasingly competitive global economy.

As governments around the world cut services and withdraw from regulating markets, cooperatives are being considered useful mechanisms to manage risk for members in Agricultural or other similar cooperatives

help salary/wage earners save for the future through a soft-felt monthly contribution that is deducted from source, own what might be difficult for individuals to own through their efforts, and strengthen the communities in which they operate through job provision and paymen

In general, cooperatives benefit the community economically. Cooperatives, despite their history, are not particularly popular in Nigeria. Worker cooperatives have only recently gained popularity among working-class residents, the majority of whom struggle to save a portion of their salaries/wages for rainy days.

Previously, cooperative organisations were supposed to be associations for farmers, small dealers, and other extremely low-income individuals. This explains why there are many cooperative farmers, especially in southern Nigeria.

1 This study was published in the official journal of the Department of Public Administration at Ahmadu Bello University, Zaria, Nigeria. Ahmad Bello Dogarawa, Department of Accounting, Ahmadu Bello University in Zaria.

The Impact of Cooperative Societies on Economic Development The problem is that many people are unaware of cooperatives, its procedures, and role in economic development

As well as how they are seen around the world as a Third Force, an alternative and countervailing power to both large corporations and large governments.

Against this backdrop, this study investigates the role of cooperative societies in economic development with the goal of shedding light on the nature and characteristics of cooperatives, the benefits, and the establishment and management of cooperative organisations. The study looks into how cooperatives might help to promote long-term community development.

The study’s justification stems from the fact that, while examining the role of cooperatives on a global scale is not a new phenomena, the results of such research in Nigeria remain few and incomprehensible. The study is a descriptive survey, which collects data to describe cooperative groups’ role in economic development.

The rest of the study is structured as follows. Section two provides a foundation on cooperatives and serves as the theoretical underpinning.

Section three examines the role and mechanism of cooperative societies. Section four discusses the stages needed in forming a cooperative. Section five covers the issues that cooperatives face, while Section Six summarises and concludes the study.

The impacts of honesty on cooperative organisations are critical to their general functionality, viability, and impact. At the heart of cooperative principles is the essential value of honesty, which pervades all aspects of the organization’s structure and operations.

One of the important outcomes is the development and maintenance of trust among members. In a cooperative setting, where individuals contribute to and benefit from shared resources, open communication and honest dealings lay the groundwork for trust.

Members are confident that their contributions and interests are handled with integrity, promoting a cooperative environment built on mutual respect. Birchall (2019).