CONSIDER THE COLLECTIVE: MORE THAN BUSINESS AS USUAL

Some of our most venerable institutions
started out as collectives. Before they were Push Pin Studios, they
were a network of freelancers in a shared studio space. Before they
were Pentagram, they were a partnership of three. In its twenty years,
the French studio Grapus grew to encompass three collectives under the
same roof.
Collectives, also known as "co-operatives",
"cooperatives" or "co-ops" are groups of individuals who join together
to undertake an activity for their mutual benefit. Co-ops may be
for-profit or not-for-profit, unionized or not, and legally
incorporated or not what s different about a co-op is that it s owned
and operated by its members.
You may be familiar with a
neighborhood food co-op or credit union. These are consumer co-ops
which pool resources to offer discounted services to their members.
Graphic
design collectives are "producer co-ops", owned and operated by their
employees. This is quite different from a firm with an employee stock
ownership program. Co-op workers share in decision making and
responsibility, as well as profits and losses.
Why form
a cooperative? One argument is that organizations owned by the
communities they serve are more accountable, and can emphasize service
over profit. When employees govern their own workplace, they can design
a happier, stable and more equitable work environment.
But
there s also the value of organizing according to one's ideals. Though
we are supposedly living in a democracy, most of us spend our days
working for private tyrannies. Living and participating in a democracy
should consist of more than just voting once a year. We should be able
to participate in the decisions that affect our lives.
One
member of a cooking collective sums it up: We ve tried not only to feed
people well, but also to treat people well. Over the last 30 years our
company has come to represent something bigger than we ever
anticipated, and something better than the usual business.
Calling all co-ops
Co-ops have existed for centuries and seem to be experiencing a resurgence today.
Co-ops
flourish around the world: agricultural co-ops in Africa, Israeli
kibbutzim, factories in Argentina, construction firms in France...even
the London Symphony Orchestra and Philharmonic are run as cooperatives.
Communal living collectives are as old as human society
itself. Economic cooperatives in Europe go back to the seventeenth
century, when Quakers established consensus-based intentional
communities. (Our own Milton Glaser grew up in a living cooperative in
the Bronx, though a little later.)
The oldest
continuing consumer co-op in the U.S. was started in 1752 by one
Benjamin Franklin. He helped found the Philadelphia Contributionship
for the Insurance of Houses from Loss by Fire, for member households
"to be and continue to be Contributors unto and equal Sharers in the
losses as well as the gains." That is, households and businesses
subscribing to the program pooled their resources to pay for fire
damage affecting the members (and to reward volunteer firefighters for
speedy work).
Industrial cooperatives have been around
since the industrial revolution itself. The longest running co-ops in
the U.K. and in Italy are well over a century old. Since 1956, the
Mondragon Cooperative Corporation has grown to become one of the twelve
largest companies in Spain.
The 1970s saw an explosion
of cooperatives in the United States as youth involved in
countercultural movements sought alternative organizations and
organizational structures. In just over a decade, they formed more than
1,000 producer cooperatives, at least 1,300 alternative schools,
between 5,000 and 10,000 food co-ops, and several thousand rural and
urban communes.
The Moosewood Collective was one of
those groups that came together in the '70s. Since its founding in
Ithaca, New York, the group has expanded from owning and operating a
small natural foods restaurant to become a larger, more diversified
company. In addition to running a busy restaurant and authoring ten
celebrated cookbooks, the group now produces a line of organic food
products for retail stores. The Moosewood Restaurant was named one of
the thirteen most influential restaurants of the twentieth century by
Bon Appetit magazine.
The late '90s saw another surge
of interest in co-ops. Inspired in part by the autonomous councils of
the Zapatistas, within five years the Independent Media Center movement
has grown to become a global network of nearly 200 local collectives in
36 countries.
Further evidence of their popularity
co-ops even have their own Internet domain name. Co-op Web sites can
use .coop instead of .com or .org (as in, www.eggplant.coop).
Decisions, decisions
One
challenge for any organization with many owners is the decision-making
process. When major organizational decisions require consideration by
all the employee-owners, this process can take time.
Some
consumer co-ops, such as rural electric cooperatives, are run
day-to-day by a professional staff in a familiar hierarchical
structure. These operations are governed by boards elected by co-op
members to make decisions on their behalf.
In many
producer cooperatives, however, the workers are their own board members
and set the direction of the organization together.
These
co-ops often use the "consensus process" to reach decisions. This is a
form of decision making that emphasizes participation, inclusion and
the creative interplay of ideas through discussion and the resolution
of differences.
This sounds burdensome, but many of us
use consensus in our daily lives and relationships. When we listen to
each other and collaborate to make satisfying decisions for all, we
have reached consensus.
Consensus is about coming to
harmony. The goal is to achieve a decision that is the best for the
whole group, not just a majority or powerful elite. The process
empowers individuals who might otherwise be overridden in a majority
vote.
Decisions are adopted by unanimous agreement
though larger groups may use a "modified consensus" which takes more
than one person to block a decision.
A recurring
criticism of the process is that it is less efficient meetings and
discussions may take longer than voting or executive decree. This is
particularly challenging under a designer s impending deadlines.
However, defenders of consensus point to its goals: Is this goal to
make a quick decision? Or one that everyone has a voice in and agrees
with?
And yet, while the consensus process may be slow
or difficult, it may also result in better decisions. The resolution of
differences may lead to unexpected and creative solutions. And, because
they are more circumspect, consensus decisions may be longer lasting.
For more about the consensus process, read On Conflict and Consensus: A Handbook on Formal Consensus Decisionmaking at www.consensus.net.
Co-ops in action
While
the advantage of consumer co-ops is its strength in numbers, a main
advantage of producer co-ops is responsiveness to its members. In a
producer co-op, worker-owners have the ability to shape their own
workplace and direction.
This can create a level of
resilience in the cycle of economic ups and downs. Rather than laying
off the most vulnerable employees, cooperative owners can collectively
agree to a mutually acceptable solution.
In small
collectives, members may also be able to learn all aspects of running a
business. In larger organizations, day-to-day decisions are made by
departments, while big-picture decisions are determined in big meetings
where everyone has a say.
There may also be a tax
advantage. Co-ops in the U.S. are taxed like partnerships income to the
co-op is distributed and taxed as personal income, rather than taxed
first as income to the corporation and then again when paid to
employees.
But enough of the theory. Below are five
profiles of practicing design cooperatives, differing in size, medium
and legal incorporation.
Design Action Collective
Innosanto
Nagara describes himself as "a big worker co-op geek." He joined
Inkworks Press as PrePress in 1995. Another co-op founded in the 70s,
Inkworks (www.inkworkspress.org), is a worker-owned collective and
union printshop with an emphasis on green printing.
In
2003, the design department became a separate entity and the two
members formed the Design Action Collective, a worker-owned,
union-organized, for-profit corporation (www.designaction.org).
Inkworks
and Design Action continue to collaborate and share a commitment to
producing professional graphics and resources for social movements.
Their clients sing praise of their work and its impact. "If it's not
documented, it didn t happen," says Iris Carter Brown from the
Louisiana Bucket Brigade. Holding up a report produced by Design Action
about the campaign to stop Shell from polluting her neighborhood, she
says, "Here's the proof, this is real. We are not crazy, and we are
tired of putting up with this." The polished, sophisticated graphics
project an image of an organized, sophisticated movement one that can
overcome its opponents.
Design Action has since grown
to four members along with a few young people as interns. Both Design
Action and Inkworks require consensus for hiring and firing, but use
modified consensus for other decisions. Hiring into a collective
requires extra careful consideration: you are not just hiring an
employee, but selecting a co-owner who will help run the organization.
Design Action also looks for people who represent communities of the
social movements they work with.
"Owning your own labor
is incredibly empowering," says Inno. With rights, however, come
responsibilities. "The decision-making process can be slower. We
definitely move more slowly than other businesses."
"People
make many mistakes in small businesses, too. Typical startups have a
high rate of failure. Quick decisions can go wrong and everyone can
lose their jobs. Co-ops have a high rate of success and are more
stable." In addition to carrying a full workload, they are also
considering ways of building a broader network to bring design and
communication services to social movements. They hope to build a common
training ground for people who want to become designers, and who want
to engage their communities.
Eggplant
Eggplant
Active Media Workers Collective (www.eggplant.coop) is a collectively
run design shop specializing in Web design and Web application
development for nonprofit, progressive and activist organizations.
Many
of the members met by working together in 1999 at the Seattle
Independent Media Center. After exploring a variety of possible
organizational structures from philosophical and legal angles, they
incorporated as a business in 2001.
Eggplant is a
Limited Liability Corporation. Technically, the corporation does not
have employees, only associates. Each of the four associates are paid
as contract laborers in the form of "advanced dividends," sharing the
profits equally and giving a percentage into the collective s endowment
to enable pro-bono work. The associates are responsible for their own
income taxes because the corporation does not technically make money.
The
team is split in terms of geography and tasks. Two of the associates
are primarily coders working in Southern Vermont while the two
designers work in Central Vermont. The team is in active contact
through electronic communication and at weekly meetings in a shared
office midway between the regular offices. Business, administration,
sales and finances are primarily the responsibility of two of the
associates.
"Everyone is responsible and accountable to
each other," says Jason Lemieux, creative director. "There's no room
for slacking off and plenty of peer pressure. You are directly
affecting the lives of three other people. If one person is slacking,
the others feel it to very high degree."
The group
makes decisions by consensus, but with a fallback to a vote with a
super-majority. The vote has yet to be used. In the event of an
impasse, there is a two week time-out period before the decision is
revisited.
The structure seems to be working. Business is growing quickly and the firm is poised to hire two new people.
"In
a co-op, you earn great respect and friendship for your fellow
employees and workers," says Jason. "It keeps boss vs. employee
dynamics out of the workplace. The result is a happy, healthy workplace
where people love their jobs.
"We all love our job. We all shape it. We take on projects we want and are excited about."
Red Sun
Founded
in 1974, Red Sun Press (www.redsunpress.com) is a collectively owned
and operated union printshop, incorporated as a not-for-profit business
in Massachusetts. The staff of ten is divided into teams: prepress,
press, sales and a business manager. Each team is represented in a
management team and everyone sits on the board of directors. The board
sets overall, big decisions like salaries and big purchases.
The
union helps set pay scale and governs the procedure for firing
employees. Member Jenny Silverman notes, "Being a cooperative is good,
but would not protect individuals from being fired without cause.
Having a union contract requires owners to have justification and
allows workers to have representation. It also shows solidarity with
the broader union movement."
Salary for the four
categories of jobs is comparable to industry norms, with an additional
bonus for seniority. At the end of the year, the group shares the
profits equally. "When everybody has a stake in the business, a certain
ownership, people feel more empowered about their work and their life,"
says Jenny. "People are not afraid of losing their jobs. The pay
structure is transparent and has some differentiation, but the gaps are
narrow." The business provides health insurance for all employees, not
just management full coverage for individuals, and 90% for family
members.
Many of the members of Red Sun were active in
the environmental movement and bring this commitment to the press. The
printer was the first in Boston to stock recycled paper. The company
recycles its own paper and film and uses solvents that are as safe as
possible. They also promote sustainable solutions to their customers.
Price
competition in printing is stiff, but the press works hard to remain
competitive. By producing a high-quality printed product on recycled
paper with a union label, the press distinguishes itself within its
market and maintains a loyal customer base.
The group strives for consensus, but decides by a vote with a simple majority. Most votes, however, are unanimous.
"Sometimes
it takes time to make decisions," Jenny says. "For example, it may take
a longer time to decide on a major capital purchase than in a privately
owned company. Although the process is sometimes time consuming, the
deliberation results in cautious, good decisions. Our decisions have to
be justified to the whole group.
"But when people come together," she says, "It's a great moment."
The 62
The
62 (www.the62.org) is an art and design collective in Brooklyn, New
York. Three of the members are graphic designers with day jobs. The
fourth is a part-time organic farmer. They spend their evenings at The
62, a place for their extra curricular projects.
The
group started as a loosely associated studio called the Visual Mafia
producing their own posters, street art and graffiti "to cultivate a
dialogue on the street," says Matthew McGuinness. The group disbanded
in 2000 when two members left for Italy. A few joined up again in 2001
and formed The 62 to focus on public art and projects.
The
studio designs printed materials and Web sites for a mix of small
corporate clients and arts organizations, nonprofits and independent
theater groups. They also create T-shirts, artwork and participate in
community projects.
One of these projects, the
Rebicycling Project, grew from a conversation with a friend and social
worker to become a ten-week educational program with high school
students in the South Bronx. The project taught kids to build, take
apart and rebuild bicycles, along the way discussing alternative
transportation, media and advertising and typography ultimately naming
the bikes with logos designed by the kids.
At the end
of the program the studio donated their tools to Recycle-a-Bicycle, a
nonprofit, environmental education and job training program, to
continue to work with kids.
The studio is incorporated
as a partnership and uses consensus to operate. "If everybody is not on
board, we choose another project," says Matthew.
The
group is committed to sustainable and environmental practices and hopes
to bring their interests to other communities.
"As a
collective, we like seeding alternative ideas. We take turns working on
projects," he says. "It's like a group of musicians. We've found a
comfortable working space to jam."
The Tech Underground
The
Tech Underground (www.techunderground.org) is a collective of fourteen
in the San Francisco Bay Area. The team offers Web development,
networking and tech support and have built an impressive client list of
over a hundred activist and environmental groups, arts and educational
institutions, health services and grant-makers.
However,
unlike the organizations above, the Tech Underground is not actually a
legal entity. They are not incorporated, but are an informal alliance
of individual consultants, a network that is entirely voluntary.
Individual members conduct contract work, collaborate and back each
other up.
The group was started by a couple of system
administrators on-call all the time. Support from members of the
network allowed them to pass the pager when stepping out of town. The
group now shares a uniform contract, billing and rate scale, offering
their services exclusively to nonprofits and always at a discount.
Though
the network relies heavily on electronic communication and does not
have a central office, "Our clients and members are all in the Bay
Area," says Web developer Kendra Markle. The group meets face-to-face
every six weeks for general discussion, with subcommittees meeting more
often. At general meetings members discuss current projects and new
leads, as well as organization-wide updates (such as reports back from
conferences) and any questions best resolved by the larger group (for
instance, should the network grow? And if so how and when?). The
overall group operates by consensus.
The big meetings
are followed by a social hour where the group catches up and meets
potential new members and other interested and interesting people. New
members currently are only considered if the network needs their skills
and when more than one member knows and has worked with them before.
The group also keeps a referral list of other people and invites them
to the social time to find out how those jobs worked out.
Individuals
may still take projects of their own, without the Tech Underground
name, but then do not get the benefits of working with other network
members. Each person chooses the projects they want, and each is
responsible for their own taxes and health insurance.
In
addition to the backup, as an affiliated group the members can take on
bigger projects. One project for Youth in Focus in Oakland involved
five members and involved a range of services from technology planning
to database design and construction to interoYce networking. "The
client knew that additions would be tightly integrated and that rollout
would be smooth. They knew they were always covered," says Kendra.
All together now
The cooperative structure may not work for everyone, but if you're interested, here are a few resources to find out more:
National Cooperative Business Association: www.ncba.coop
The U.S. Federation of Worker Cooperatives: www.usworkercoop.org
Network of Bay Area Cooperatives: www.nobawc.org
International Co-operative Alliance: www.coop.org
The Industrial Cooperatives of America: www.ica-group.org
As
graphic designers we know that shapes give meaning to forms and inflect
their expression. The same can be said of the shapes, or structures, of
our organizations. It s no accident that the groups above tend to work
with nonprofit and activist organizations.
Co-ops
reflect a commitment to something greater and yet something very basic
that we are stronger when working together to solve common problems.
Co-ops
are a microcosm and model for a society built on mutual respect and
direct participation, where businesses are rooted in their communities.
Whether coming together to benefit a community or out of
entrepreneurial ambitions, when employees own and control their own
workplace, they can create a better, happier working environment and a
richer life.
Co-ops are something greater than the sum of their parts. They are more than business as usual.
Editors note: Design, photography and illustration can all be lonely professions. Cheer up: get into a collective! DK Holland
About this article
Design Issues is a regular feature of Communication Arts. Communication
Arts is a participant member of the Icograda Design Media Network
(IDMN). For information on the IDMN, visit media.icograda.org
Reprinted with permission by Communication Arts, 2006 Coyne &
Blanchard, Inc. All Rights Reserved. Originally published in Communication Arts September/October Interactive Annual 2005
About John Emerson
Backspace is a design consultancy dedicated to research, development,
and promotion of design in the public interest.