MONDRAGON Congress 2016

The MONDRAGON Corporation’s 2016 Congress was held today in Donostia-San Sebastián, bringing together a total of 650 delegates in representation of all the group’s cooperatives. This year’s event marked the start of a new era for the cooperative group, which will involve a renewed socio-corporate policy, an updated reflection on the MONDRAGON of the future and a new Chairman of the Board of Directors, Iñigo Ucín, who will take up the post from August 1.

As is now customary, the Congress was divided into two separate parts, one to discuss ordinary issues and another for debating and approving the two lectures given at the event: “The MONDRAGON of the Future”, which focused on the practice of values, organisational structure and funds and instruments for financial inter-cooperation, and the Socio-Corporate Policy for 2017-2020. Among other aspects, the first part included ratification of the Corporate Centre’s budget and the management reports issued by the Standing Congress Committee and the MONDRAGON General Council, drawn up by their respective Chairmen Javier Goienetxea and Javier Sotil.

Javier Sotil spoke about MONDRAGON’s evolution, rating the 2015 financial year positively and stating that “we have succeeded in creating more jobs in the Corporation as a whole and have seen particular growth in the Industrial Division, where employment generation has been very positive over the last two years, with over 2,100 jobs having been generated, 1,400 of them in the local area”. With regard to 2016, Javier informed that in general “the goals established in the management plan are being fulfilled, and if this evolution is confirmed our growth trend will continue in all the business variables at the end of the year.”

Javier Sotil: "Where employment generation has been very positive over the last two years, with over 2,100 jobs having been generated"

The MONDRAGON of the Future and Socio-Corporate Policy

The second part of the Congress involved a debate on the two lectures given at the event: The MONDRAGON of the Future and the Socio-Corporate Policy for 2017-2020.

The MONDRAGON of the Future was structured into three separate parts: practice of values, the organisational model and funds and instruments for financial cooperation.

The lecture effectively encouraged the practice of cooperative values at MONDRAGON, focusing on the values and practices to be strengthened at this new stage. It centred on concepts such as the culture of self-demand and co-responsibility, rigorous solidarity, social transformation and inter-cooperation.

The organisational approach seeks to strengthen the cooperatives’ competitive edge and aid towards enhancing their socio-corporate projects, facilitate development of their capacities for successfully competing on a global market and lay down solid foundations from which the MONDRAGON of the future will grow. The new approach focuses on 10 sectoral projects and also includes building Regional Structuring Networks consisting of cooperatives located in the same geographical area that are seeking social transformation of their local environment.

With regard to financial instruments for inter-cooperation, the aim is to provide the cooperatives with the necessary financial structure and backing to guarantee sustainable development and expansion of their business. It consists of a a new model focusing on business profitability and sustainability, maintaining inter-cooperation and solidarity between all the cooperatives. The new proposal is backed by two new funds: the FCD (Fund for Cohesion and Development) and the FEC (Fund for Corporate Expansion). The FCD will be a single fund, while the FEC may be divisional (with different divisions as required) or inter-divisional.

As to the Socio-Corporate Policy for the new strategic cycle, the focus is on competitive, sustainable business. This is the main challenge for the four-year period from 2017 to 2020, and the goal is to successfully address it through constant transformation and adaptation of the businesses and people’s commitment with a view to creating added-value employment. It also proposes that each business should define a development model to enable it to achieve adequate positioning and boost business concentration.

The new roadmap establishes five strategic lines for fulfilling this challenge: cooperative commitment and identity, funding, business innovation and promotion, inter-cooperation and global presence.

After the lectures and the debate on their content, both of them were approved unanimously of the attending delegates.

Javier Sotil and Iñigo Ucín, a new Chairman.

A new Chairman

The Congress also included the investiture ceremony for the new Chairman of the General Council. Javier Sotil, who had chaired the Council since November 2014, handed over the reins to Iñigo Ucín. Mr. Sotil expressed his thanks for the trust that had been placed in him for running the group for practically the last two years, made a special mention of the cooperatives, particularly those who have shown solidarity in the efforts made during the crisis, and appealed to all the cooperative members to continue working to build a group that will be a world benchmark and a value model for our society. Iñigo Ucín then made a short speech, stating that “the roadmap for the immediate future is clear” and adding that “MONDRAGON can only be stronger if its business is profitable and it has people with cooperative values in its enterprises”. Iñigo Ucín will take over the chairmanship of the Corporation on August 1.

What is the MONDRAGON Congress?

The Congress is the body that determines the general guidelines or criteria governing MONDRAGON, such as the definition of the basic policies on fundamental issues of common interest. This annual corporate event brings together a total of 650 delegates representing all the group’s cooperatives. The incorporation of new cooperatives is also approved by this body, and it draws up the management report of the Standing Committee (the institutional representative body operating between Congresses) and the General Council (the Corporation’s management body).

Photo Collection Congress 2016