An association of human beings 
History suggests that from time immemorial men must have been feeling the spirit of Co-operation, the concept of which had very nicely been elucidated by Homer in his famous saying “Light is task where many share the toil”.
Like general process of civilisation, here also is the felt need which had once urged the people to think of forming a group to work under the concept of “each for all and all for each”.  People did so as they felt and experienced that thin and delicate sticks if and when bundled became strong and also that a bundle of sticks was a heavy burden for one, while a single stick was a light one.   And it has not lost its relevance even to-day.   In  fact there is no denial of the fact that co-operative movement is the only tool within  the framework of the prevailing socio-economic and political situation, by proper and sincere use of which people with limited resources can gradually extricate itself from the present condition of poverty and unemployment.
Particularly, as regards industrial Co-operative, the whole concept had very lucidly been explained by Jacob Haylook, as he said” capitalist hired labour, paid its market price and then took all the profit.”
Co-operative labour proposes to hire capital, pay its market price and itself takes all profit.
It is more reasonable and better for the society and progress that men should own capital than that capital should own man. 
Several experts have defined co-operative society differently from different angles.  If we sum up we can arrive at the following definition.
A co-operative Society is an association of human beings where persons invariably of limited or moderate means, voluntarily associate themselves on the basis of equality for the promotion of their common economic, social and moral interests  by honest means and distribute their profits or surplus amongst themselves in proportion to their contribution made for earning that surplus or service. 
In particular, as defined by section 2 (25) of WBCS Act, 1983 an Industrial co-operative Society means a co-operative Society the object of which includes manufacturing  and marketing of goods by or with the help of its members and providing supplies and services  to them and to small producers and entrepreneurs and includes a cooperative Society established with the object of facilitating the operation of such society.
From the very definition of a cooperative Society as stated above it follows that the following 10 (ten) basic principles should followed in the matter of formation and successful running of a co-operative Society.

• The members join a co-operative organisation as human beings and not as Capitalists
• If the persons meet to satisfy a common need, there should be no distinction amongst them in the satisfaction of this need  i.e. they must meet on a basis of equality
• The act of association must be absolutely valuntary
• The members join together to promote their own economic interests and not of anybody else
• Co-operation is a form of organisation  and it is not primarily  an ethical movement but strictly a business concern
• Open membership : There cannot be any arbitrary limit to the number of persons of all shades of opinion
• Co-operation recognises that capital is entitled to a fair rate of interest only, but it refuses to admit its claim to be a controlling voice in the management of the enterprise
• It also possesses the peculiar faculty of making virtue pay, as it also-stands for moral uplift, for honesty and for homely virtues that count so much in the daily lives of the people
• It envisages an inherent willingness and desire amongst its members to sink individual opinions and interests to such an extent that they work for common interests or in other words a sense of loyalty and patrioism for one’s own society.  It is this spirit which is summed up in the common phrase “All for each and each for all”
• Co-operation does not stand outside interference in its own management nor does it venture to interfere in other’s affairs, which otherwise means autonomy with democratic management

Apart from the above, the successful running of an Industrial co-operative Society is also subjected to the common problems usually faced by SSI Units.  With a view to developing the managerial and technical abilities, the Governments both at the Centre and the State have arranged, for imparting necessary training to the Co-operative personnel, concerned officers/staff of Government Departments / Bankers through a number of co-operative Training Colleges and other instituties located in different parts of the country.  Further, in order to protect the interests of the Co-operators and to urther the cause of co-operative movements, the Co-operative Laws have been amended from time to time by way of plugging the loop-holes of the earlier provisions of the laws and also making provisions of :

• Speedy disposal of the controversial issues through Co-operative Registration Council 
• More democratic characterisation of the functioning
• Rationalisation of the procedure for personnel through co-operative service Commission 
• Arrangement for GPF and Gratuity for the employees of the co-opeative societies and 
• Giving the registrar more powers to enforce the legal provisions

Moreover, in order to extend financial support to the Co-operative societies, particularly to the newly formed ones, different schemes have been framed by Central and State Governments, under which the following types of financial assistances are provided.
Loans

• Share participation Loan 
• Share capital loan
• Loan for construction of Work Shed Godown etc. and 
• Working Capital loan

Grants

• Construction Grant
• Tools and implements Grant
• Managerial Subsidy

But inspite of all such measures the present status of Industrial Co-operatives in our State is far from satisfactory.  In fact, an analysis made some time past shows that 48% of the total number of primary Industrial Co-operative were found to be non-functioning or dormant, while a good number of Societies were reported to have been running at loss.  Such a high level of dormancy is no doubt posing a big problem. However, each dormant society has typical and distinct nature of problems of their own. Thus, in absence of any detailed study it is neither possible nor desirable to prescribe any common measures for their revival.  But, so far the factors responsible for such state of condition, are concerned our experience suggests that the human element factor is no less important, in as much as this factor plays an important role in the overall functioning of an organisation. In fact, it is the man who makes or unmakes the things.  A Co-operative Society, unlike a philanthropic or missionary organisation requires for its commercial success a high degree of profesionalism amongst the men who run it. In the Co-operative structure, the role played by the paid employees is different from that of the members of the society and in particular, of the Directors of the Board.  While it is generally conceded that in order to boost up the morale of the staff and workers of the societies, the existing service conditions including low remuneration, insecurity of service, no promotional avenues etc. will have to be improved, yet there leaves a gap which can only be bridged by properly administering the Co-operative education amongsts them.   As regards the role played by the members and management,  apart from spreading the co-operative education properly, the development of the mental makeup of the persons concerned through the process of generation of a sense of collectivism and a culture of working for the greater interest of the organisation has also been felt as important a need of the hour as others are.  It is the right time that we should learn from history and we should not forget to appreciate the spirit, which had once urged our ancestors with limited resources to think of utilising this tool for the sake of their own survival.

Contributed by
S R Pal