International Journal of Technology Management & Sustainable Development - Volume 8, Issue 1, 2009

This article provides an introduction to the Mondragon cooperative experience. By providing background information on the history, philosophical roots and current scope and structure of the cooperative group, it seeks to set the context for a series of other, more specific articles to follow in this issue of the Journal.

The aim of this article is to explore the interesting contributions made by Complexity Sciences to the world of business management. These ideas enable us to see business management as a complex adaptive system with emerging properties (emerging companies), far removed from the mechanical view, which is now considered anachronistic and obsolete. The article examines the main ideas of complexity science, contrasting them with management practices based on linear thinking and suggests a different way of managing companies. This leads to a description of the philosophy underlying the management model of Irizar S. Coop., because of the features it shares with those of emerging companies. Finally, using a data set compiled through survey results, the article concludes with an analysis of the key factors behind the management dynamics of the Irizar cooperative.

This article discusses the importance of the principles of social capital within the Mondragon cooperative experience. It investigates the impact of social capital on the value creation and innovation capacity of the Mondragon group. It proposes to investigate how social capital fosters collective action, participation and innovation to build dynamic communities and regional development. The article describes the development of the Mondragon cooperative movement around a four-pillared structure which includes training, research, enterprise promotion, and financial and social support. The article also demonstrates that the success of the Mondragon experience is linked to factors such the setting up of networks of communication, trusting relationships, and exploration and exploitation of new situations.

Since its creation in 1956, the Mondragn Cooperative Experience has given rise to one of the largest industrial cooperatives in the world, known today as Mondragon Corporation. One of the main objectives of this group is to continue increasing its base of 103,731 jobs a figure created in a context that is no longer local but has become global in reach. This article examines the case of Mondragon, analyzing the role played by innovation in its historical development, as well as the importance it still has in the design of a new industrial cooperative that is truly people-oriented, but at the same time highly focussed on survival and growth. The article is divided into four main parts. First, Mondragon's innovation background is presented, through a discussion of the evolution, application and adaptation of innovation within the group, the structural and strategic elements underlying innovation in Mondragon and the innovation issues being addressed by Mondragon companies. The second section examines the particularities determining Mondragon innovation activity and shaping its development, such as the group's internal innovation mechanisms and resources, as well as the surrounding environment. The third part of the article is devoted to an evaluation of Mondragon innovation potential, its latent capacities and the challenges it must meet in stimulating further development. Finally, before drawing conclusions and presenting the outlook for the future, a brief description is made of the individual results of certain Mondragon companies and the innovation strategies they have adopted, paying special attention to the case of Ulma Packaging, a cooperative that has chartered a clear path to growth based on innovation.

Mondragon cooperatives must navigate a complex sea of tax regulation given their character as cooperative enterprises and their location in the Basque Country. This article outlines the tax issues the cooperatives face under these circumstances, that is, given both their specific legal structure and the special fiscal context of firms headquartered in the Autonomous Basque Community.

The main objective of this article is to identify the key factors associated with the sustainable success of the Mondragon Group (Mondragn Corporacin Cooperativa, MCC) and to investigate their transfer to other contexts. The first main section of this article focuses on the identification of key best practices that can be considered for transfer. The second section investigates the main conditions for a successful and sustainable transfer and places a greater emphasis on effective collaboration, learning and ethics.