School Cooperatives: Definition, Function, Purpose, Characteristics, and Form of Business

In general, the notion of a school cooperative is a cooperative formed within the school environment, both formal and non-formal educational institutions, where the members are students at the school.

According to the Joint Decree between the Minister of Industry, Minister of Cooperatives, Minister of Education and Culture, and Minister of Home Affairs No. 331 / M / SK / 10/1984 , No. 126 / M / KPTS / X / SK / 10/1984 , No. 0477 / M / 1984 and No. 72/1984 , the definition of School Cooperatives are cooperatives whose members are students, both elementary schools, junior high schools, senior high schools, and private and public educational institutions beyond those mentioned.

This type of cooperative is also called a student cooperative where its formation is intended to foster a spirit of cooperation and apply economics in the school environment.

School Cooperative Organization Structure

  1. Member
  2. Caretaker
  3. Examining Board
  4. Guidance and Supervisor
  5. Advisory Board

Also read:

  • Understanding Cooperative
  • Definition of School

Characteristic of School Cooperatives

In addition to providing beneficial benefits for members, the existence of cooperatives in the school environment can form an entrepreneurial spirit among students. The following are the characteristics:

  • Its establishment is based on a joint ministerial decree.
  • Although recognized by the government, this cooperative does not have a legal entity.
  • The length of membership is limited, which ends when students graduate from school.
  • The existence of cooperatives must not interfere with learning and teaching activities in schools.
  • The students are members of the cooperative, and if needed students can also become managers of the cooperative.

Also read: Savings and Credit Cooperatives

School Cooperative Function

This type of cooperative has a certain function that is not found in other types of cooperatives. Some of the functions of school cooperatives are as follows:

  • As a media of education and application of economics based on mutual cooperation.
  • As a tool to help students in the procurement of school supplies.
  • As a place to save money at school.

The Purpose of School Cooperatives

The main purpose of this cooperative is to assist students in the procurement of school needs. In full, here are some of the goals of school cooperatives:

  • To form a spirit of mutual cooperation, tolerance, and provide organizational education for students.
  • Cultivating a sense of love and a sense of belonging to the school in students.
  • Improve students’ knowledge and skills through cooperative operations.
  • Build and enhance a sense of responsibility in students so that they become individuals who benefit the community.
  • Foster a sense of mutual understanding within the members so as to create a strong sense of togetherness.
  • Educate and train students in democracy, expressing opinions, and feeling equal with fellow members.
  • Being a vehicle for students to study, work, and meet their school needs.

Also read: Sharia Cooperatives

School Cooperative Organization Kit

Some of which are included in the cooperative apparatus are members’ meetings, cooperative management, and cooperative supervisors. In this case the member meeting has the highest authority on the cooperative which establishes the following:

  1. Establish the cooperative’s articles of association.
  2. Establish general organizational policies, management, and cooperative businesses.
  3. Determine the selection, appointment and dismissal of the management and supervisors of the cooperative.
  4. Establish work plans, cooperative income and expenditure budget plans, and ratification of financial statements.
  5. Establish the ratification of the accountability of the board in carrying out their duties.
  6. Determine the distribution of the remaining results of operations.
  7. Determine the merger, fusion, division and dissolution of school cooperatives.

Also read: Financial Institutions

School Cooperative Business Form

This cooperative business consists of several forms, including:

  1. Shop Business Unit, which is a business unit that sells stationery, textbooks, school uniforms, and various other equipment.
  2. Cafeteria Business Unit, a business unit that sells a variety of foods and drinks for students.
  3. Savings and Loans Business Unit, which is a business unit that requires members to pay the compulsory savings of cooperatives and voluntary savings so that they can be used as cooperative venture capital.
  4. Service Business Unit, which is a business unit that sells services to its members. For example typing services, binding services, and photocopy services.

Also read: Financial Management

Thus a brief explanation of the understanding of school cooperatives, functions, goals, characteristics, and forms of business. Hopefully this article is useful and broadens your horizons.


by Abdullah Sam
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