Directors

Like other businesses, in cooperatives too, the board of directors provides leadership and guidance to the management. Their primary responsibility is the establishment of long-term, broad objectives/purposes/visions for the cooperative. The board must hire and guide the manager. They need to ensure that operations are consistent with the articles and bylaws, understand the corporate philosophy, act in good faith in handling the affairs of the cooperative, avoid conflicts of interest, and represent the best interests of members. In addition, they also need to be able to understand and read financial statements and help in disseminating this and other relevant information to the members.

However it is important to note that individual directors should not act independently on matters that should be decided by the entire board nor should they receive special favors from the managers or employees.