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Unknown April 4, at PM. Anonymous June 21, at AM. Baranitharan June 29, at AM. The directors, once elected, in turn elect officers like president, vice-president, secretary and treasurer. These officers of the cooperative society will have specific duties outlined in the bylaws. In small cooperative societies, members often serve in more than one capacity and often all members are also directors.
The directors are responsible to ensure that an effective operational structure is in place that it is supported by the members. This may take many forms, depending upon the desires of the members and on the type of enterprise that the cooperative society operates. Within most cooperative societies the following structures are usually in place and are the forum for the following types of decisions. The board seeks approval of its recommendations for surplus allocation.
The Business plan and budgets for the coming year are presented for discussion and approval. An auditor is appointed. Membership elects a new board. Other membership decisions specified in the bylaws are made. The manager s reports to the board, which in turn provides direction to the manager s.
The key function here is for the board to hold those in charge of making decisions on behalf of the cooperative society accountable for the outcomes of those decisions. This would also include evaluating the organizational structure used to make these decisions.
The board makes or changes policies as required, or recommends a policy to the membership if only the membership has the authority in a particular area. Board members discuss long-term goals and strategy and ensure that a good planning process is in place to guide the cooperative society in the coming year s. These committees may be standing committees such as a finance committee or may be ad hoc committees set up to simply address one specific issue.
Importantly the bylaws of the co-op, which regulate the life of the co-operative, must be approved by the members and can only be changed by a meeting of the members. One of the key legal responsibilities of the members is to elect the board of directors of the co-op. Their duty is always to make decisions in the best interests of the co-op as a whole. The directors, once elected, in turn elect other officers like president, vice-president, secretary, and treasurer.
These officers of the co- operative society will have specific duties outlined in the bylaws. In small co-ops, members often serve in more than one capacity and often all members are also directors.
Good collective decisions require well-researched information and good communications between the board of directors, manager and membership. The general assembly comprises all members and constitutes the supreme deliberation and decision-making organ of the cooperative society.
Its decisions bind all the members. Inaugural constituent General Meeting I. Founding members have no extra rights than other members, except that they participate in the inaugural general meeting. The inaugural general meeting will adopt by vote the list of founding members present at the meeting to be full members of the cooperative.
Those who have not attended this inaugural meeting will have to be approved as members according to the stipulations lay down by the law and the bylaws regarding acceptance of new members to the cooperative. The inaugural general meeting takes place only once.
An Annual General Meeting I. An annual general meeting convenes once a year on a date fixed by the bylaws of the cooperative but, not later than three months after the end of the financial year. The annual general meeting will assess all aspects of the previous year's activities from the reports of the president, the secretary general, the treasurer, the audit control and that of the control committee.
They will examine, approve or adjust elements and give or refuse the cooperative's authorities the final confirmation. Will approve the financial, social, and development plans for the following year. Will elect the managerial units of the cooperative and the control committee for the following year.
Will fix the authorized maximum amount of debts that the cooperative society may contract with any credit supply organization. VI Will fix the investment and deposit ceilings above which decisions must be taken by a special general meeting. The annual general meeting will be convened and presided over by a special AD-HOC committee created by the annual general meeting for that purpose.
The annual general meeting will never be convened and presided over by the outgoing or incoming' management of the cooperative. A general meeting may be convened only when a quorum is present. If there is no quorum the meeting will be postponed to no earlier than one hour later, and no more than one month later. Any number of members present in the latter case would then consist of a legal quorum 2.
Members must be informed about the date, time and place, as well as the proposed agenda of the general meeting well in advance up to two months prior to the date of the general meeting. Where it is possible written notice must be sent to all members at their official addresses at least one month prior to annual and extraordinary general meetings.
When ordinary general meetings are concerned the notice should be sent as early as possible. The notice should include the date of the alternative general meeting to be called if a quorum is not reached. If the decision has not yet been isolated, it should be identified as a first step. One way that a manager can help determines the true problem in a situation is by identifying the problem separately from its symptoms.
Step 2 Identifying possible decision options. The next step requires the decision maker to spell out, as clearly as possible, just what the decision alternatives really are. In fact, the more ideas that comes up, the better. In other words, there are no bad ideas. Encouragement of the group to freely offer all thoughts on the subject is important. Participants should be encouraged to present ideas no matter how ridiculous they seem, because such ideas may spark a creative thought on the part of someone else.
Next, the decision maker collects or processes information that can help guide the decision. If such information is already at hand, then it simply needs to be processed; that is, studied and understood by the decision maker.
If there is no relevant information available, or if there is insufficient information, then such information must be collected so it can be processed.
The purpose of this step is to decide the relative merits of each idea. Managers must identify the advantages and disadvantages of each alternative solution before making a final decision.
Evaluating the alternatives can be done in numerous ways. Here are a few possibilities: 1. Determine the pros and cons of each alternative. Weight each factor important in the decision, ranking each alternative relative to its ability to meet each factor, and then multiply by a probability factor to provide a final value for each alternative.
Regardless of the method used, a manager needs to evaluate each alternative in terms of its Feasibility — can it be done? Consequences — what will be its costs financial and nonfinancial to the organization? Step 4 Select the best alternative. After a manager has analyzed all the alternatives, she must decide on the best one.
The best alternative is the one that produces the most advantages and the fewest serious disadvantages. Sometimes, the selection process can be fairly straightforward, such as the alternative with the most pros and fewest cons. Other times, the optimal solution is a combination of several alternatives.
Sometimes, though, the best alternative may not be obvious. That's when a manager must decide which alternative is the most feasible and effective, coupled with which carries the lowest costs to the organization. In those cases, a manager simply selects the alternative with the highest probability of success. After the information has been considered according to its relevance and significance, a decision based on that information should be made and, thereafter, implemented Step 6 evaluating the decision.
In recognition of the fact that not all of one's decisions are likely to be defensible, the final step in the five-step decision making process is to determine whether the decision was appropriate. Ordinarily, this will be done by ascertaining the decision's consequences. Ongoing actions need to be monitored. An evaluation system should provide feedback on how well the decision is being implemented, what the results are, and what adjustments are necessary to get the results that were intended when the solution was chosen.
In order for a manager to evaluate his decision, he needs to gather information to determine its effectiveness. Was the original problem resolved? If a manager's plan hasn't resolved the problem, he needs to figure out what went wrong. A manager may accomplish this by asking the following questions: a Was the wrong alternative selected? If so, a manager should focus attention solely on the implementation step to ensure that the chosen alternative is implemented successfully. Consideration of the audited statement of accounts; 2.
Consideration of the audit report and annual report; 3. Consideration of audit compliance report; 4. Disposal of net profits; 5. Review of operational deficit, if any; 7. Creation of specific reserves and other funds; 8.
Approval of the annual budget; 9. Review of actual utilization of reserve and other funds; Creation of specific reserves and other funds; Approval of the long-term perspective plan and the annual operational plan; Review of annual report and accounts of subsidiary institution, if any; Expulsion of members; List of employees who are relatives of members of the board or of the chief Executive; Amendment of bye-laws, if any; Formulation of code of conduct for the members of the board and officers; Any other matter laid before it by the Board of Directors.
Board of Directors: 1 Directors to be elected by the General Body number as may be specified in the Byelaws; 2 Nominated Directors number as may be specified in the Bye-laws, if applicable ; 3 Chief Executive and Functional Directors shall be the ex-officio members of the Board. Where the Central Government or a State Government has subscribed to the share capital. To admit members; 2. To elect Chairman and Vice-Chairman of the society; 3.
To authorize convening of Meetings of the General Body; 4. To interpret the organizational objectives and set-up specific goals to be achieved towards these objectives; 5.
To make periodic appraisal of objectives; 6. To appoint, suspend or remove the Chief Executive and such other employee of the society as may be prescribed; 7. To make provisions for regulating the appointment of the society and the scales of pay, allowances and other conditions of service, including disciplinary action against such employees; 8. To place the annual report, annual financial statements, annual plan and budget for the approval of the general body; 9.
To consider audit and compliance report and place the same before the general body To acquire or dispose-off immovable property; To review the membership in other cooperatives; To approve annual and supplementary budget; To recommend to the General Body distribution of profits; To raise funds; To sanction loans to the members; To approve the panel of auditors for placing in the General Body; To appoint such Committees, Sub-Committees as may be necessary and delegate to them such powers as may be appropriate; To frame regulations for the election of delegates to the General Body, Members to the Board of Directors and for the conduct of Meetings of the General Body and the Board of Directors as per the provisions of the Act; To take such other measures or to do such other acts as may be prescribed or required under this act or the bye-laws or as may be delegated by the general body.
The terms of office of the Chairman and Vice-Chairman shall be co-terminus with the term of the elected Members of the Board unless Chairman or Vice-Chairman ceases to be a Director earlier. In case of any vacancy within this period, the Board shall fill up the vacancy through re-election for the unexpired term of the Board. He shall be member of all the committees, sub-committees of the Board of Directors as may be constituted. Cooperative education and training are co-related and interdependent, without one the other cannot be possible.
While education develops mental facilities and increases knowledge, training develops the skill, chieseles and levels it. Education sharpens the intellect, broadens the vision and builds up the character of an individual. Training gives a practical shape to all these matters. The success of co-operative movement is essential depending on cooperative education and training of members on the one hand and in the application of the principles, practice and methods of cooperation as a way of doing business, on the other hand.
Both education and training are therefore essential for the proper development of any co- operative. The importance of co-operative education training is loudly pronounced for the underdeveloped and developing countries where literacy is at its low level.
Ever since the beginning of co-operative movement in the world as a way of doing business and as an economic programme aimed at the well-being of the people who belonged to the underprivileged and under classified societies, co-operative education training found its due importance in all its field of activities. Cooperation in its technical sense as a way of doing business was a new and strange phenomenon unknown to the ordinary people when it was introduced.
And as such knowledge and information of this form of doing business and its practical application were considered essential for its success by the early cooperators. Rochdale Pioneers while formulating the principles for the successful conduct of their consumer store had foresightedly recognized the importance of cooperative education and training. And they did not fail to include co-operative education as one of their principle.
The ICA in reformulating these principles had recognized in unequivocal terms, the importance of co-operative education and training and included this as one of the principles in And of date the ICA in revising these principles in did not fail to include cooperative education and training as one of the revised principles.
A committee on cooperative education and training was formed in The Chairman of the committee was Sir Malcom Darling. This Committee is considered as the first committee which recommended for a planned programme as a systematic approach on co-operative education and training.
The main aspect of these recommendations relates to a three phased programme namely. Education and training programme for the trainers namely instructors and teachers on cooperation.
Education and training programme for the personnel of cooperative department. Education and training programme for employees of cooperative societies, MC members and ordinary members. The Cooperative Planning Committee Sarayya Committee of reviewed the progress in co-operative education and training so far achieved by implementing various schemes. The Committee was not satisfied with the progress.
It recommended for opening cooperative colleges and intensifying the cooperative studies in schools and colleges. The Sarayya Committee also suggested for providing facilities for advanced study and research on cooperation in colleges.
From the above instances and incidents it is accepted beyond doubt the necessity and importance of cooperative education and training for the development of cooperative movement in its totality. The organized efforts towards providing cooperative education and training were made next in The Edward Maclagan Committee of along with other recommendations had also submitted proposals for implementing various programmes for co-operative education and training.
The Committee was of the opinion that lack of co-operative education and training will jeopardize the very progress of cooperative movement in India. The Royal Commission on Agriculture in had also made certain specific recommendations for implementing education and training programmes on cooperation. The Commission was also of the opinion that co-operation should be made a subject of study in schools and colleges.
The most important event during the pre-independence era was the appointment of a committee which suggested that the national board for co-operative education and training should be renamed as National Council for Co-operative Training NCCT. The NCCT is in overall charge of planning and coordination in the entire training programme on cooperation in the country. Strengthening managerial structure of cooperatives and helping them in professionalization by improving the skill and knowledge of employees through a variety of programmes.
To the respective state co-operative unions. The administration of the National Institute at Pune and the intermediary training centres at the regional level should be transferred under the control of this board.
Cooperation should be made an optional subject of study for gradution and PG courses. The most important decision was that provision should be made b the state governments in their respective Co-operative Societies Act for creating a fund by the name of Education Fund to be subscribed by the cooperatives working in profit. This fund is to be exclusively used for cooperative education and training etc.
Another event that happened in this field was the appointment of a committee by the Government of India constituted by NCUI. Swaminathan was the Chairman of the Committee. It was appointed in Swaminathan Committee was asked to examine the adequacy of the existing structure by education, training, and also suggest measures for development and improvement. The committee submitted its report which contains following recommendations.
Education and training programme should be separated. Establishment of training centres for providing training to the subordinate staff in each state. This Committee also recommended for providing training to non-official cooperators.
It was different category of cooperators. The activities of the central committee should be streamlined so as to make it more result oriented. In short the entire training and education programme in India were getting a definite shape as a result of the recommendations of the survey committee. In the year , the Government of India set up a Study Team to conduct a detailed study on the cooperative education and training programmes in India.
The Committee was asked to examine the activities of the central committee and submit proposals for making these programmes more effective and suitable to meet the needs of the fast growing cooperative movement.
The study team submitted its report during the same year. Simultaneously a national level conference of Ministers of Cooperation was convened at New Delhi.
This conference discussed in detail the report of the Study Team and finally the conference took the following decisions. The central committee for the cooperative education and training should be replaced by a more powerful body by name the National Board for Cooperative Education and Training. The first important event during the post independence period in this field happened in when the Govt. All India Rural Credit Survey Committee for in its foremost recommendations namely integrated system of rural credit included cooperative education as one of the important ingredients for the development and success of the cooperative movement in India.
The Committee submitted specific schemes and programmes for strengthening, developing and diversifying the education and training activities of the central committee constituted in The Committee also envisaged an integrated scheme for the training of employees of cooperative department and cooperative institutions and also the cooperators as a whole.
The scheme suggested by the Committee were: 1. Classification of trainees in three categories namely higher, intermediate, and subordinate.
Upgradation of the existing training centre at Pune as a national level institute and expanding the training programmes for higher level traineers. Establishment of Regional Training centres for providing training to the intermediate level staff.
As a first step the committee suggested for starting 5 such centres. It is the bounden duty of NCCT to bring out a managerial cadre capable of handling the cooperatives as the most modern business organisation. It has also been the endeavours of NCCT to develop job oriented and need based programmes for all sectors of employees with varied durations.
A modular approach has been adopted by NCCT to develop more and more job oriented training packages for all the categories of employees by upgrading the training technology through diversified training programmes to achieve professional competence and administrative efficiency. NCCT is having a 3 tier system of cooperative training consisting of 1. Subordinate training centres or Junior Training Centres at lower level.
But the entire programmes and schemes for training are chartered out and coordinated by NCCT at the national level. Until the Swaminathan Committee of all the programmes for cooperative education and training were jointly undertaken. As a result of the Swaminathan Committee report, these two schemes were separated and separate programmes were formulated for education and training.
It has to be mentioned in this context that both the training and education programmes are formulated and guided by the NCUI. In a centre was started in New Delhi as a subsidiary to NCUI for providing education and training to the trainers or teachers of cooperation. This centre is known as National Centre for Cooperative Education. Originally this centre was to provide training and education t the trainers of cooperation.
But subsequently when these two programmes were separated the NCCE continued to provide education to the trainers. The NCCE is considered as a national centre for education. Even though there exists no well knit organizational set up in cooperative education; the NCCE is considered and accepted as the apex level centre in educational set up.
The NCCE is now undertaking programmes for teachers on modern methods and techniques of teaching. The activities of the centre have now been diversified to cater to the needs of the fast growing cooperative sector. It has also stepped up its activities to include leadership development programmes for the leaders of different types of cooperatives. The educational programmes in cooperation in India are not having a middle level organisation.
This conference decided to have a national organisation especially in the non-official sector. Accordingly a national level cooperative union was organized in by amalgamating the All India Cooperative Institutes Association of and Indian Provincial Banks Association fo The name subsequently changed as All India Cooperative Union.
The NCUI is now having the representation of more than 25 crores of ordinary members. All the state cooperative unions, the state level and national level cooperative federations, the Government of India and the RBI are its members.
All the training and educational programmes in cooperation are being guided and controlled by NCUI. It was a combination of three erstwhile cooperative institutes namely Cochin Cooperative Institute of , North Malabar Cooperative Union of and Travancore Cooperative Institute of After the formation of State Cooperative Union in all the functions hitherto undertaken by 3 separate unions were transferred and carried out by the union.
In Kerala, State Cooperative Union is the state level apex body in the non official cooperative sector for the promotion of the cooperative movement in Kerala. It is considered as the sole agency for propagating principles and practice of cooperation, protecting the entire interest of cooperatives and there by cooperators in the state of Kerala. It is the agency to undertake and implement all the training and educational programmes in world cooperative movement.
The functions of the SCU also include conduct of seminars and conferences, leadership campaign etc, for the overall development in cooperative movement in the state. SCU is conducting all these activities with the financial assistance received by it through Education Fund, which is created out of the net profit of the cooperatives.
The fund of the state union also includes affiliation and renewal fee from the cooperatives and grant from State Govt, and donations from the cooperative institutions.
At present there exists a systematic arrangement for member education programme. The educational activities are monitored at the District level by a committee with the Joint Registrar Audit for the district as the convener; the President of DCB will be the Chairman of this committee.
At present there are seven cooperative colleges under the direct control of SCU and one oat Kottayam in the private sector run by the NSS. There are also nine cooperative training center for the junior diploma in cooperation run by the union. The method o f study, types of syllabus, duration of courses and method of examination are decided by the union in accordance with the broad guidance provided by the NCFT under NCUI. Cooperative training colleges are providing higher diploma in cooperation with 11 months duration consisting of nine months of class room studies and two months of practical study.
The first month of practical study centres round the functions of various types of cooperatives in Kerala with special references to the constitution.
The training provided by the JTC comprises of 8 months class room study and 2 months of practical training in the same pattern of the HDC course. Usually an additional registrar of cooperatives will be the Secretary of the SCU. Course: This is a Post Graduate Diploma Course of 11 months duration including two months practical training.
The admission of candidates is purely on merits of marks. Course: The course is of 10 months duration of which two months are devoted for practical training. Member Education Scheme: The Kerala State Cooperative Union realized this and made extensive arrangements for conducting member education programme in the state.
The staffing pattern discussed earlier has mentioned the position of Cooperative Education Instructors at the various Member Education Units. These Instructors carryout the member education programmes at the district level. Member Education scheme sponsored by the National Cooperative Union of India was introduced in Kerala in as a pilot project and it is being implemented by the State Cooperative Union, Kerala as per the guidelines given by the NCUI from time to time.
Cooperative Education programme is now being implemented by the State Cooperative Union as per the scheme for the utilization of Cooperative Education Fund approved by the Registrar of Cooperative Societies and as recommended by the Managing Committee of the State Cooperative Union every year.
All expenses incurred for this scheme are met from the Cooperative Education fund remitted by the Cooperative Societies out of their net profit.
Besides Government of Kerala provides Rs. The State of Kerala has Cooperatives spread over 14 districts. The total membership of these societies comes to members.
The major activity of the State Cooperative Union is educating the members, Managing Committee Members, prospective members, women and youth, public etc. In order to achieve this, the Union conducts a variety of programmes, such as Cooperative camps, rallies, seminars, conferences, attending general body meetings, conducting managing committee classes, arranging lectures in colleges and Schools on Cooperation, organizing debating and essay competitions, organizing special programmes for women, weaker sections etc.
The facts that are incorporated in accounting records are described as transactions. Thus, only from such a cash account, nothing can be deduced about the general health or otherwise of a business concern.
It has thus become necessary to also classify the different transactions under various heads of accounts. Bookkeeping is the art of recording all the business transactions in the books of account and is mainly related to books of original entry as well as the ledger.
Accountancy is mainly concerned with the summary and analysis of the record furnished by Bookkeeping. It is a means through which the results of the transactions under various heads are arranged in such form to show clearly not only the significance of such separate transaction but also the combined effect of any desired series of transactions.
Minutes book Minute books are for recording the proceedings of the general body. Share Application Registrar Register of applications for membership containing the name and address of the applicant, the date of receipt of application, the number of shares applied for and in case of refusal, the date of communication of the decision refusing admission to the applicant.
Admission Register Admission book, showing the name and address of each member, the date of admission, the shares taken by him and the amount of share capital, if any refunded to him together with the date of each such payment and refund. Nomination Register 5. Cash book, showing daily receipts and expenditure, and the balance at the end of each day. Day Book 7. Voucher File Voucher file, contains all vouchers for contingent expenditure incurred by the society, numbered serially and filed chronologically 9.
Ledger of Borrowing Ledger of borrowings, showing deposits and other borrowings of all kinds General Ledger In the case of a society, the working capital of which exceeds twenty thousand rupees, general ledger showing receipts and disbursements and the outstanding under various heads from day to day is maintained. Register of Monthly Receipts and Disbursement Register of Dividend Suspense Account Register Rectification Register In the case of issuing loans- In addition to the above registers, the following Registers are necessary.
Loan Ledger Loan ledger, showing the number and date of disbursement of each loan issued to members the amount of loan, the purpose for which it is granted and the date or dates of repayment, distinguishing principal and interest 2.
Liability Register Liability register showing the indebtedness of each member to the society whether on account of loan taken directly by him or on account of loan which he stands as surety 3. Register of Closed Loans 4. Arbitration and Execution Register 5. Register of Declaration under S In the case of a society with unlimited liability, property statement of members showing the assets "and liabilities of each individual member on the date of his admission with full details of the property including the survey number of the lands, the statement being revised as often as may be necessary and in any case at least once in three years and such statements being entered in a register in a stitched volume 6.
Land Register 7. Credit Limit Statement. The closing balances, which are thus authenticated, shall be carried forward to the following year commencing on the 1st April. For the purposes of calling the annual general body meeting as provided in section 29, the dale fixed for making up the accounts for the year shall be 30th April of each year Amended on
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