EVALUATING OPERATIONAL COMPETENCIES AND THE SUCCESS OF AGRICULTURAL COOPERATIVES IN SOUTH AFRICA

Abstract

After gaining political independence, most African countries have persistently faced slow to
negative economic growth. The economic growth rate for South Africa (SA) for the first quarter
of 2018 was 1.5% and the unemployment rate at 26.7%. Negative economic growth leads to
a reduction in revenue, loss of employment, decrease in income and an increase in poverty.
This study assesses the factors affecting the success of agricultural cooperatives in the City
of Tshwane. A survey used self-completion questionnaire to collect data from 240 members
of agricultural cooperatives located in the City of Tshwane, South Africa. Data analysis used
Statistical Package for Social Sciences to conduct descriptive and multivariate analyses, factor
analysis and correlations. Findings indicated that members of cooperatives had negative
perceptions on operational competencies such as member participation, structural factors,
communication, management, training and education, as well as on external factors at the
agricultural cooperatives. It needs to be highlighted that operational competencies within the
agricultural cooperatives affect the success of these cooperatives. The study recommendation
includes the need for training and development for members, creation of sustainable
relationships, networks with non-governmental organisations and external stakeholders,
development of viable marketing strategies, and upgrading and improving of the infrastructure.

Published
2020-05-14