Keywords: management system, cooperative enterprise, democratic governance


Modern enterprise, regardless of the organizational type of management and form of ownership, is a complex set of used production capacity, applied technologies and activities that are developing dynamically and require a coordinated operation. It is necessary to coordinate the organization of production, provide a sufficient level of its resources and adjust people's activities to comply with technology or sequence of certain types of work and more. All this is achieved by a management system, the only mechanism where each link performs a particular function concerning others.

The article reveals the specifics of the management system in cooperative enterprises, taking into account the peculiarities of their operation. We substantiated that the management system at a cooperative enterprise is provided by a mechanism that includes management objects, basic principles, management bodies, methods and forms of labour and production organization, etc., and its functioning is regulated by the administration, which includes the board and director, heads of departments, specialists. We revealed the organizational and functional system of management in the cooperative enterprise is schematically represented, and the peculiarities of the functioning of the management elements of the cooperative.

Due to the peculiarity of the establishment and operation of the cooperative, where its members are owners of funds and property and both employees and customers, there are unique relationships in terms of the position and responsibilities of ordinary members of the cooperative and its management. Therefore, the management of such an enterprise provides a mechanism of interaction of these entities and how they represent their interests and interact with each other.

The tasks set before the cooperative in terms of management are pretty extensive and significant. The whole complex must be addressed promptly by its management, preventing technology violations and interrupted production cycles. Although all cooperative members determine the purpose and activities, each of them and all of them together are not able to participate in management decisions of the current nature. This function should be performed by a separate management team elected by the cooperative members or appointed by their elected body.

Another essential feature of the management system in the cooperative is that the administration in making decisions or actions must align them with the established principles of establishment and operation of the cooperative, violation of which may lead to conflict with members of the cooperative.

How to Cite
Горбонос, Ф., Павленчик, Н., & Павленчик, А. (2021). ОСОБЛИВОСТІ ФУНКЦІОНУВАННЯ СИСТЕМИ МЕНЕДЖМЕНТУ В КООПЕРАТИВНИХ ПІДПРИЄМСТВАХ. Scientific Notes of Lviv University of Business and Law, 28, 219-228. Retrieved from https://nzlubp.org.ua/index.php/journal/article/view/409