International Journal of Marketing & Financial Management
Print ISSN : 2349 –2546
Online ISSN : 2348 –3954
Frequency : Half Yearly
Current Issue : Volume 14 , Issue 1
2026
Dr. Sanjib Kumar Hota
Dr. Sanjib Kumar Hota, Madhusudan Institute of Cooperative Management, Bhubaneswar-751012, Odisha
DOI : https://doi.org/10.5281/zenodo.20542764 Page No : 195-208
Published Online : 2026-06-04
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ABSTRACT
The management efficiency is attributed to several factors such as governance, professionalism and operational control mechanisms etc. In cooperative structure the assessment of management efficiency and managerial effectiveness is relatively complex as compared to that of corporate structure. Because, the cooperatives are members’ driven and hence often experienced the problems of free rider (responsibility of all is responsibility of none), adverse selection (pre-contractual-hidden information), moral hazard (post-contractual opportunism), median voter and log-rolling etc.. These problems are hindering the management efficiency and managerial effectiveness of cooperatives causing ineffective performance of cooperative institutions. However, cooperatives being owned by the members and governed through democratic mechanism to achieve the common goal are making their legitimate internal strategies in adherence to the exogenous factors like control of the Government through Registrar of Cooperative Societies (RCS) and other financing, refinancing, licensing financial institutions/banks etc. for their sustainable performance.
An attempt has been made in this study to analyse the effect of management efficiency/ managerial effectiveness on the performance of Primary Agricultural Cooperative Society (PACS) based on primary data collected from 300 samples of 50 PACS and also secondary data to analyse the effect of various factors on management efficiency / managerial effectiveness and thereby on performance of PACS. The external control emphasizing the role of RCS is found as one of the significant factors to improve the performance of PACSs in Odisha state.
Key Words: PACS, Managerial Effectiveness, Governance, External Control.
