A STUDY TO DETERMINE HOW THE CO-OPERATIVE PRINCIPLES AND VALUES HAVE SHAPED THE ORGANIZATIONAL CULTURE OF UFUNDI CO-OPERATIVE SOCIETY

The purpose of this study was to evaluate the co-operative principles and values and how they
influence co-operative organizational culture at the Ufundi Co-operative Society. The study is
based on the theory that, there are many factors that determine the culture of an organization and
in the case of co-operatives, the co-operative principles and values play a key role in shaping the
organizational culture.
A wide coverage of literature in relation to culture, the co-operative culture and Ufundi cooperative
has been reviewed. The literature shows that the co-operative culture has been
influenced by the co-operative principles to a great extent. Previous studies on culture, principles
and values have made it clear and helped in the evaluation of the extent to which co-operative
principles facilitate or shape the co-operative organizational culture.
The study applied a qualitative research methodology. This facilitated the use of two methods
namely; questionnaire and document analysis. The corresponding instruments included; a
questionnaire and a document analysis. Preparation for the study began in April, 2009 and the
research project was finally approved in August, 2009. The researcher began with the
preliminary study, visits at the Ufundi Sacco, data collection, analyzed the data and compiled the
report by mid October, 2009.
Based on the values; the results are as stated in chapter five which revealed that honesty was the
most agreed upon value by the respondents as it comprised a mean of 4.2564, followed by equity
which comprised a mean of 3.8957. Openness and equality were moderately agreed upon values
and consisted of a mean of 3.5475 and 3.5154 respectively. Solidarity was the least agreed upon
value and comprised of a mean of 2.0865.
On the co-operative principles, the research disclosed that majority of the respondents rated cooperative
principles as very good, co-operative understanding of the principles and values as
more than 50 percent (42 percent) while 34 percent rate the level of cooperative understanding of
the principles and values as less than 90 percent. The assessment of the relationship between
members and the management revealed that most of the respondents cited the relationship
between them and the management as being good and in addition the study revealed that a
majority of 79 percent of the respondents declared that the principles and values ought to be
reinforced while 21 percent affirmed that the principles and values ought to be reinforced.
From the summary and conclusions, the study recommends that Ufundi cooperative society
should put emphasis on cooperative principles in order to fulfill the basic legal requirements and
be effective marketers its products. According to the rule of law, questions relating to
cooperative principles must be regulated by law, whereas decrees or other administrative acts are
only to operationalize the law, especially in matters that are of a temporary nature or which are
subject to frequent changes.
In conclusion, the research recommends that, Ufundi cooperative society should put emphasis on
cooperative principles in order to fulfill the basic legal requirements and be an effective marketer
of its products. Also that Ufundi needs to portray equity and self responsibility as cooperative
values.

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