This may sound like just another big player in the multinational corporate scene, however mondragon corporation is anything but your typical corporation. It was established by a catholic priest, jose maria arizmendiarrieta jma, in the basque country in spain. The mondragon model a new pathway for the twentyfirst century. Democratic organization all authority is vested in the general assembly, which consists of. By 1982, twentyfive years after starting the first co operative, the mondragon group of cooperatives consisted of 85 industrial, 6 agricultural and 14 housing cooperatives. The mondragon cooperative group has engaged in a domestic expansion process since the early 1960s and internationally since the 1990s.
This site is like a library, use search box in the widget to get ebook that you want. Mondragon assembly is an international group specialising in the development of automation and assembly solutions. It was established by a catholic priest, jose maria arizmendiarrieta jma. Workers own a share of their company, elect their managers, and. In the last half of the twentieth century, mondragon has grown and developed a unique worker democracy in. Article information, pdf download for the viability of cooperatives. The mondragon cooperative corporation mcc, a system of worker cooperatives located in the. Overview of the mondragon cooperative movement today there are over 85 industrial cooperatives in the mondragon cooperative movement with around 20,000 workermembers. Basque country of spain, is still considered to be one of the. The mondragon corporation is grounded in democracy, competitiveness, and solidarit,y making it for an economic model that is much more e cient and equitable than the standard ones. Once known as one of the poorest regions in spain, the basque region is now the richest, prospering due to a strong sense of selfdetermination, grassroots participation and nongovernmental intervention. The mondragon model a new pathway for the twentyfirst. Mondragon university has been at the forefront of educational innovation, fulfilling our commitment to generating a positive impact on people, enterprises and society.
Protected and subsidised by the state they were able to form and successfully develop the mondragon group of cooperatives, and in the process gain a large share of the spanish electrical appliance and machine tools market. Peoples training and education have always been part and parcel of the cooperative experience at mondragon. Internal regulations of ulgor declared, manual labor should enjoy the. Media in category mondragon corporation the following 11 files are in this category, out of 11 total. One of the most noteworthy aspects has been industrial. Mondragon is one of the leading spanish business groups, integrated by autonomous and independent cooperatives with production subsidiaries and corporate offices in 41 countries and sales in more than 150. On october 27th, the united steelworkers and mondragon internacional, the worldwide network of cooperatives based in basque territory, announced a new alliance. Successful formation, successful operation and rapid expansion of co operative enterprises was the result of. For unions, its a new opportunity to explore the human and economic potential of.
Governance of the mondragon corporacion cooperativa article in annals of public and cooperative economics 751. The mondragon cooperative corporation united diversity. Cooperative corporation mcc in the basque country which is a point of reference for participatory enterprises all. Annual report, corporacion mondragon web mondragon. Six features that characterize the mondragon cooperative group model have been identi ed as crucial in making it a unique case. The cooperatives are split into four main divisions of industry, retail, finance, and knowledge. An overview of the main figures of the year leads to the conclusion that the outcomes of the year have been positive. The mondragon cooperative corporation mcc is composed of a group of industrial, retail, service, and support cooperatives primarily in the arrasatemondragon valley in the basque country in spain. There are major cooperatives in retail as well as manufacturing. Mondragon cooperative complex, of which ulgor was the first of many connected cooperatives, had 21,241 member employees. Established in 1954, this constantly expanding group includes over 280 companies employing 80,000 people. The cooperatives are split into four main divisions of. Founded in 1956, mondragon focuses on industry, commerce, finance, and services.
Excerpt from shift change the mondragon corporation is a corporation and federation of worker cooperatives based in the basque regi. Many scholars have studied mondragon as a strong example of an industrial cooperative with a. Mondragon today consists of 102 individual cooperatives united in a federation called the mondragon cooperative corporation, which is also organized as a cooperative. The mondragon cooperative group today the mondragon cooperative corporation mcc is a highly complex federation of cooperatives bound together by much more than a formal contract of association. Mondragon is still far from a household word in the united states or elsewhere, but for growing numbers of researchers and activists, this cooperative complex based in a small basque city of spain is a fascinating example of success in a form of organization for which failure is the general rule.
The cooperatives do not discriminate on the basis of religion, politics, ethnicity, or sex when it comes to becoming a member of the cooperative. Fagor, after playing a key role in the creation of the mondragon cooperative experience, had been transformed into a multinational corporation competing in the global home appliance market. Lessons from the mondragon corporationa case study of the fagor ederlan group. They include a set of ideas forged over more than 30 years of operation as a co operative, and are set out below in a condensed version. Click download or read online button to get the myth of mondragon book now. How are managerworker pay differentials determined within the various mondragon enterprises. We are part of the mondragon corporation, the largest cooperative group in the world. Thanks also to praxis board member laurie gallian for support and suggestions and to keith wilson for his assistance and support of the praxis mondragon seminars. The corporate management model cmm can be explained by means of a constantly rotating circular graphic, which aims to express the interrelation between the different concepts it brings together and the dynamism required for it to be put into practice and continually adapted. Another significant aspect the enhancement of intercooperation to share experiences and projects and improve the competitiveness of the cooperatives, while.
The myth of mondragon download ebook pdf, epub, tuebl, mobi. It is the tenthlargest spanish company in terms of asset turnover and the leading business group in the basque country. Jul 31, 20 the mondragon corporation is an inspiration. Mondragon corporation is the embodiment of the cooperative movement that began in 1956, the year that witnessed the creation of the first industrial cooperative in mondragon in the province of gipuzkoa. Pittsburgh the united steelworkers usw and mondragon internacional, s. The parent company in spain was created in 1977, one of the pioneers in the development of production and assembly technologies. The university masters degree in cooperative enterprise and social business management develops skills for the overall management of cooperatives and social economy organizations in the heart of one of the most cuttingedge cooperative ecosystems in the world. Mondragon has sales and production presence on five continents and employs more than 80,000 people around the globe. The bakery in michael moores capitalism, a love story is fairly innocuous but since mondragon is the 7th largest corporation in spain and is expanding across the globe using contract labor, id have to describe it as a capitalist firm even though it is obviously different than general motors et al. Simply put, the mondragon cooperative bank risks its capital to grow and develop the job base of the community. Thanks to sarah ford for editing assistance, proof reading, and helpful suggestions. The mondragon corporation is a federation of 147 worker cooperatives, with a total of 80,000 workers, based in the basque country. The largest worker cooperative in the world, mondragon corporation, is based in the basque region of spain, best exemplifies this claim. Corporacion mondragon grupo empresarial internacional.
Jul 22, 2014 excerpt from shift change the mondragon corporation is a corporation and federation of worker cooperatives based in the basque regi. Mondragon and the united steelworkers coop grocer network. The year 2018 has been, in general terms, a good year for the member cooperatives of mondragon. It has over 35 billion in assets, 14 billion in revenues and has over 80,000 employees. Since its founding in 1956 in spains basque region, the mondragon corporation has been a touchstone for the international cooperative. It focuses on the case of fagor ederlan mondragon corporation, examining the efforts to transform capitalist subsidiaries, especially the cooperativisation of the fagor subsidiary in tafalla spain, which is the biggest regeneration project in mondragons industrial division. Usw mondragon agreement more about the mondragon cooperative corporation. Taking its name from the small town in the basque country of northern spain where it was founded, the mccs reach now extends across spain, europe and the globe. The report examines cooperative structure, management, education, finance, and banking. The town is best known as the birthplace of the mondragon cooperative corporation mcc, the worlds largest worker cooperative, whose foundation was inspired in the 1940s by the catholic priest jose maria arizmendiarrieta. A manufacturer of equality, josu ugante, a 27 year employee and 7 year president of mondragon international was interviewed with the following excerpts.
Pdf the basque town of mondragon is home to one of the largest and most significant. Apr 30, 2014 mondragon is a cooperative that has 147 companies employing 80,000 workers. Mondragon is the result of the cooperative movement began in 1956, when he created the first industrial cooperative in donostia of this name, its business philosophy is reflected in its corporate values. Given fagors role as a leading cooperative, the general question of the viability of workers cooperatives is also at stake in its failure. Download fulltext pdf the internationalisation of cooperatives. In 1997, the corporation established mondragon unibertsitatea. The cooperative also has many of the attributes of a corporation in that its individual cooperatives are increasingly coordinated by a central administration.
The mondragon cooperative movement, born in the 1950s around the local technical training college. Mondragon divides the cooperative firms and secondary cooperatives into five categories. Eroski is a big box retail store that is owned by its employees and customers and has kept walmart out of spain simply by being a more competitive. The case of the mondragon cooperative corporation article pdf available in annals of public and cooperative economics 744. The mondragon cooperative corporation is a 35 year old experiment in building a. The mondragon bank and national cooperative bank to. Workers own a share of their company, elect their managers, and participate in all major decisions. Download the myth of mondragon or read online books in pdf, epub, tuebl, and mobi format. Annual report, corporacion mondragon mondragon corporation.
Governance of the mondragon corporacion cooperativa request pdf. It is the tenthlargest spanish company in terms of asset turnover and the leading business group. Dec 06, 2009 i honestly havent given much thought to coops in terms of v. For seven of these seminars, praxis received generous donations from. Drawing from a qualitative case study of the mondragon cooperative group, this article discusses the obstacles to internationalization faced by. But here we have the usw, with 850,000 members in the u. Mondragons cooperatives and the legacy of catholic priest jose maria arizmendiarrieta duration. The corporations mission combines the core goals of a. At present, the university has more than 4,600 students and campuses in mondragon, onati, eskoriatza, markina, goierri, irun, bilbao, aretxabaleta and san sebastian. Three words for a group of independent cooperative businesses. They have proven to be incredibly resilient to the on going economic crisis. The ties that link the mondragon cooperatives are strong, as these bonds emanate from a humanist concept of business, interrelated by a philosophy of participation and solidarity and a shared business culture rooted in a number of basic.
Posted by catemccrea on july 9, 2012 leave a comment in most forprofit businesses, labor is hired at the service of capital. All workers and the mondragon cooperatives must use this bank. Further, the mondragon cooperatives were protected from foreign competition by import controls. The mondragon cooperative group, which is the 10thlargest entrepreneurial group in spain, is one of the most outstanding examples of worker cooperatives in history mondragon corporation, 20. Spains giant cooperative where times are hard but few go bust this article is more than 7 years old the northern spanish town is dominated by its eponymous 15bn corporation that. Discover innovative thinking, an innovation model based on cooperation and knowledge sharing among professionals with different. Oct 29, 2016 the largest worker cooperative in the world, mondragon corporation, is based in the basque region of spain, best exemplifies this claim. The mondragon corporation is based on a commitment to solidarity and on democratic methods for its organisation and management, says mikel lezamiz, director of mondragons cooperative. They employ over 80,000 people, have their own banks, universities, research laboratories and social security systems.
The evolution of management in the mondragon cooperatives. Challenges and opportunities for the regeneration of multinational worker cooperatives. Of these 91 are worker cooperatives and 44 are holding companies that are partly or. If successful, such a model could prove to be a watershed in the history of our. In just over four minutes, mondragons new video sums up. It was founded in the town of mondragon in 1956 by graduates of a local technical college. The voice of the basque cooperative movement is present in the forums for national and international representation.
This company is actually a federation of 110 worker cooperatives. Ellerman industrial cooperative association and boston college section a. Entrepreneurship in the mondragon cooperatives by david p. Basic principles of the mondragon cooperative corporation. Challenges and opportunities for the regeneration of. From a shareable article that was published by too much, june 30 2015, titled. The usw and mondragon, the worlds largest workerowned cooperative, announced our collaboration on oct. The mondragon cooperative corporation mcc is a holding company for 110 cooperatives and 147 subsidiary companies. The basic principles of the mondragon co operative experience were approved at our first co operative congress held in october 1987. Yet unlike traditional corporations, the mondragon cooperative corporations 6s ebl ow f radi s cu nth gv m o. The cooperative group has amassed technical, managerial.
Since its founding in 1956 in spains basque region, the mondragon corporation has been a touchstone for the. You can also pay more at any time up to the balance due date. Oct 03, 2017 mondragon today consists of 102 individual cooperatives united in a federation called the mondragon cooperative corporation, which is also organized as a cooperative. The group was successful and had been making rapid progress. Oct 19, 2016 mondragon corporations corporate video, 2016. Industrial, retail, finances, knowledge, and corporation. Mondragon corporation is the embodiment of the co operative movement that began in 1956, the year that witnessed the creation of the first industrial cooperative in mondragon in the province of gipuzkoa. The mondragon cooperative corporation, or mcc, is often considered the most successful example of workerowned enterprise in the world. The worker cooperative movements in italy mondragon and france. It holds the savings and retirement funds of the workers and processes all the funds flowing through all the mondragon enterprises. Jul 27, 2011 in the following 20 years, the cajas holdings experienced a 953% growth, the collective sales of the complex grew by 1200%, and employment grew by 346%. In 2007, the mondragon networknow the mondragon cooperative corporationhas 85 companies employing,000 people globally. Jul 09, 2012 this summary consists of both direct quotes and our summary of the mondragon text. The mondragon corporation is a corporation and federation of worker cooperatives based in the basque region of spain.
974 1096 1305 761 305 138 609 781 1141 861 826 900 764 1005 642 181 320 796 8 1003 836 15 1424 290 439 1555 750 1445 366 488 590 800 1020 401 911 567 1108 178 938 919 297