The Rochdale Principles, are the basic tenets which all cooperative organizations should follow. Although they have changed slightly since first laid out in 1844 by the Rochdale Society of Equitable Pioneers, these 7 principles remain the primary doctrine that influence the model of cooperative entities everywhere. The principles are based on the ideals of democratic governance and collective values lacking in the classic model of business.
Voluntary and Open Membership
Cooperative membership is voluntary to any qualifying persons, open to all regardless of race, gender, class, or religious beliefs.
Democratic Member Control
Cooperatives are democratically operated by their members based on the "one person, one vote" mentality. Each member actively participates in the democratic process, voting on co-op policies and operation. Since the size of cooperatives vary, larger co-ops often elect member representatives that serve on advisory boards. These representatives are accountable to the members they represent.
Member Economic Participation
As outlined by the International Cooperative Alliance, "Members contribute equitably to, and democratically control, the capital of their co-operative." Members have a say in allocating their surplus funds, as well as any large scale financial decisions proposed by the cooperative.
Autonomy and Independence
Cooperatives maintain independence from outside influences. Any agreements made with entities outside of the co-op, come with the condition that control of the organization remains with the members. This keeps power and decision making internal, maintaining the collective power of its members.
Education Training and Information
Cooperatives provide training and guidance for all members, as well as educating the public on the benefits of the cooperative model. This principle is an essential part of the cooperative community, not only by furthering the knowledge of its members, but by generating enthusiasm for the model and thus growing the cooperative community as a whole.
Cooperation Amongst Cooperatives
Cooperatives practice solidarity, both within the organization, and within the larger community. By working together, co-ops strengthen their effectiveness and expand their influence in society.
Concern for Community
Sustainability for the community is a primary focus of cooperative organizations. Through supportive policies and collective action, co-ops help unify local communities by prioritizing people over profits.
These 7 principles are essential to the cooperative identity. In contrast to the classic model, a set of values outlining the moral standards by which an organization operates helps ensure its goals of collective power and solidarity. Practices like these are what sets the cooperative model apart from the top-down structure that has dominated society for far too long. By prioritizing their members and the community, co-ops are designed to work for the people, not for a select few individuals at the top.
For a more in-depth look at the Rochdale Priniples, visit the ICA's page, The Guidance Notes on the Cooperative Principles