BIBLIOGRAPHY MAYOMIS, BIBIAN A. OCTOBER...
BIBLIOGRAPHY
MAYOMIS, BIBIAN A. OCTOBER 2012. Evaluation on the Level of Satisfaction
of Members on the Services of Bahong Multi-Purpose Cooperative. Benguet State
University, La Trinidad, Benguet.
Adviser; Jovita M. Sim, MSc
ABSTRACT
The study aimed to determine the level of satisfaction of members on the services
offered by the Bahong Multi-Purpose Cooperative, in Bahong, La Trinidad, Benguet,
There were 50 respondents of the study who were members of the cooperatives and are
residing in Bahong, La Trinidad, Benguet.
Majority of the respondents were 26-35 years old, male, married, had college level
education, Roman Catholic, have been member for 2-3 years in the cooperative and most
are engaged in agricultural production.
Services offered by the cooperative which the respondents have evaluated are
marketing services, water services and credit services. Credit services include production
loan, regular loan, emergency loan, special commercial loan and salary loan.
The results showed that majority of the respondents were satisfied on the marketing
services and water services. As to the five types of credit services, majority of the
respondents were very much satisfied on the production loan, regular loan and emergency
loan. On the special commercial loan and salary loan most of the respondents were
satisfied.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Thus, it is recommended that services offered and the way the cooperative manage
these services should be maintained/sustained and improve further especially in areas
where some respondents were neutral and not satisfied so that members will continuously
patronize the cooperative and its services because the life of cooperative is in the support
of members by patronizing the services offered.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
INTRODUCTION
Rationale
To be successful, a cooperative need at least to maintain its volume of member’s
transaction, with increased competitive prices. Improve services may mean expanding the
range of services offered to members or improving the delivery of existing services.
Bahong Multipurpose Cooperative (BMPC) is the cooperative at Bahong La
Trinidad Benguet and services to its members includes water, credit and marketing
services. BMPC started September 1990, two months after the killer earthquake. The
Department of Agriculture of La Trinidad and Land Bank of the Philippines-Benguet Field
office assisted the farmers of Bahong in the organization of a cooperative. They conducted
orientation, seminar and pre-membership seminar. There were forty-four (44) interested
individuals who organized the BMPC with an initial capital of thirty thousand three
hundred pesos (Php 30,300). All the initial members were residents of Barangay Bahong,
La Trinidad, Benguet, an agriculture-based community engage in vegetable and cut flower
production such as roses.
In February 6, 1991, the Cooperative Development Authority (CDA) approved the
registration of the cooperative. The cooperative, with its office at Bahong Warehouse, (the
warehouse was the first office of the cooperative) started its operation on credit services
and retailing selected basic commodities such as rice, sugar and liquefied petroleum gas
(LPG). At the time, Land Bank of the Philippines, field staffs assisted the members of
cooperative to avail loans for farm inputs, vegetable and cut flowers production and hog
fattening, which was approved and released at the same year in the amount of two hundred
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
eighty seven thousand two and eighty centavos (PhP 287,002.80), and an amount of
seventy thousand pesos (P 70,000.00) for hog raising from Department of Agriculture.
In its one year of operation, the cooperative posted a net surplus of seventeen
thousand six hundred ninety eighty pesos and fifty nine centavos (P 17, 698.59).
Membership increased to eighty eight (88) with a total share capital of one hundred three
thousand pesos (P133, 000.00) from members and savings deposit amounting eighty two
thousand four hundred thirty nine pesos and twenty five Centavos (P 82,439.25).
After four years of operation, capitalization increased to three hundred forty three
thousand fifty four pesos and ninety one centavos (P 343,154.91) with one hundred thirty
one cooperative members. In 1995, a trial of cut-flower and vegetable marketing at
Kalentong Manila was done by the BMPC and other cooperatives was initiated but failed
due to minimal sales. During the General Assembly, it was then agreed that the marketing
operation of the cooperatives shall be suspended, thus the marketing operation is being
maintained by an association whose members were at the same time the members of the
cooperative.
In line with the plan of the cooperative to venture on farm inputs and basic commodities,
it has acquired a lot in July 1998 where the present cooperative office and cold storage was
constructed. The cooperative has assisted farmer-members to access government
programs. At present, most farmers are now engaged in cut flower production replacing
their vegetable farming. Rose cut flower is now extensively cultivated in the Barangay,
that the secretary of Agriculture Hon. William Dar (2000), after his visit to the area
declared it as the rose capital of the Philippines.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
In the year 2000, through the effort of the officers of the cooperative they were able to ask
assistance to the Department of Labor and Employment (DOLE). DOLE conducted
training for composting and granted fund amounting to six hundred thousand pesos (P
600,000.00) that was used for the construction of cold storage which is now being operated
by the cooperative.
With these successful projects, assistance from government agencies and with the
increasing numbers of members and capital, it shows that cooperative is growing and
members like the services provided by the cooperative. Furthermore, this maybe a
motivating factors for other to join the cooperative. Thus, this study intends to find out the
level of satisfaction of members on the different services offered by the cooperative.
Importance of the Study
The findings of this study would provide information to the cooperative as basis for
planning and improving services that would satisfy their members. Furthermore, this
research can serve as a source of information to other cooperatives in improving their
services and to researchers, student, as well as readers who will conduct the same study to
other cooperative.
Statement of the Problem
The study aimed to answer, what is the level of satisfaction of members on the
services of Bahong Multi Purpose Cooperative as to the following?
1. Marketing services
2. Water services
3. Credit services
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
a. production loan
b. regular loan
c. emergency loan
d. special commercial loan
e. salary loan
Objectives of the Study
The objective of the study is to determine the level of satisfaction of members on the
services of Bahong Multi Purpose Cooperative as to the following.
1. Marketing services
2. Water services
3. Credit services
a. production loan
b. regular loan
c. emergency loan
d. special commercial loan
e. salary loan
Scope and Limitation of the Study
The study mainly concentrated on the level of satisfaction on the services availed
by the cooperative members.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
REVIEW OF LITERATURE
Cooperative Defined
Cooperative is derived from the French word “cooperari” which means to work
with. Cooperative therefore, is an organization of persons who have voluntarily joined
together to achieve a lawful common social economic end, making equitable contributions
to the capital required and accepting a fair share of the risks and benefits of the undertaking
in accordance with universally accepted cooperative principle. It is marked together and
motivated by individual selfish end. Hence, the underlying motive behind this organization
is services for members, who are the owners of the business to provide and satisfy their felt
needs and desires (Garcia and Guanzon, 2004).
A cooperative is a private business organization that is owned and controlled by the
people who used its product, supplies or services. Although cooperative vary in type and
membership size, all were found to meet the specific objectives of members, and are
structured to adapt to members changing needs. A cooperative is formed by individual who
coordinate among themselves to achieve vertical integration in their business activities.
Although people have been working together for mutual benefit throughout human history,
cooperative as a form of business organization began during the industrial revolution.
Cooperative was useful for promoting the interest of the less powerful members of society
(Anonymous, 2008).
Level of Satisfaction
Goldman (2002) stated that satisfaction is an emotional, effective orientation
towards ones work. More generally, job satisfaction can be defined in terms of the match
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
between what we want and what we actually receive. Anyone who is grossly mismatched
is to feel unhappy and uncomfortable. Satisfaction is correlated positively with the extent
to which reflects personal interest and promotes use of abilities.
Level of satisfaction, which can be a set of attitudes develop from work, is not only
emotional but can also be informational and behavioral. It can vary in intensity and
consistency, can be acquired from a variety of sources, and can serve a number of functions
for the individual (Goldman, 2002).
Customer’s Satisfaction
Customer’s satisfaction is the degree to which customer expectations of a product
or service are met or exceeded expectations. Corporate and individual customers may have
widely differing reasons for purchasing a product or service and therefore any
measurement of satisfaction will needed to be able to take into account such differences.
The quality of after-sales service can also be a crucial factor in influencing any purchasing
decision.
Customer’s satisfaction is a measure of how products and services supplied by a
company meet or surpass customer’s expectation. In a competitive market place where
businesses compete for customers, customers satisfaction is seen as a key differentiator and
increasingly has become a key element of business strategy (Scott, 2006).
Measuring Customer Satisfaction
Organization need to retain existing customers while targeting non-customers.
Measuring customer satisfaction provides an indication of how successful the organization
is at providing product or services to the market place.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Customer satisfaction is an abstract concept and the actual manifestation of the state
of satisfaction will vary from person to person and service to service. The state of
satisfaction depends on a number of both psychological and physical variables which
correlates with satisfaction behaviors such as return and recommended rate. The level of
satisfaction can also vary depending on other factors of the customers, such as other
products against which the customer can compare the organization’s product (Kessler,
2003).
Services
Services as defined by the Webster new world dictionary is an act of serving, the
manner in which one is serve, and at ones service means ready to do what one wants, and
duty required or performed in any office, spiritual and obedience. Services also engage in
transportation, insurance, housing, labor, communication, etc.
Service organization is one that does not deal with tangible products, but rather provides
some sort of service as its major operation. Doctors, CPA’s, lawyers and engineers are
example of people who provide services instead of products. Cost of performing the service
may include salaries of professionals and support personnel, supplies, purchase services,
and routine such as rent and utilities. Internally, financial reports for service firms often
separate revenues and expenses by type of service or customers (Cabrera et al., 2009).
A public service cooperative, as stated from the Cooperative Code of the Philippines (RA,
6938) is one that is organize to render public service as authorized under a franchise or
certificate of public convenience and necessity duly issued by the appropriate government
agency. Furthermore, cooperative shall provide goods and services to its members and thus
enable them to increase their income and savings, investment, productivity and purchasing
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
power and promote among them equitable distribution of net surplus through maximum
utilization of economic of scale, cost sharing and risk taking.
Cooperative is organized in accordance with economic needs of members. A cooperative
must provide services, which are not available in the vicinity, improve those supplies that
already existing in other enterprises. Cooperative is an act of give and take by its members.
It is an organization of people with common goal to attain the burden and privilege base
from equal investment (Baglao, 2002).
The philosophy of cooperative has been stated in different ways and words, depending on
the orientation and level of understanding of the one making such definitions. But one
common thread ties all these and it is the fundamental idea that cooperative are for
SERVICE not PROFIT.
According to Bahong Multi Purpose cooperative, they offer the different services to its
members;
a. Marketing services – the act or process of buying and selling in a market, the
commercial functions involved in transferring goods from producer to consumer.
b. Water services – the source and delivery system of such water, available for a
community.
c. Credit services – a cooperative organization that makes loans to its members
at low interest rates.
Production loan- loans granted for ornamental production, vegetable production and live
stock raising.
Regular loan- for productive or provident purposes.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Emergency loan- loans provided to members for health, tuition fees and other urgent
financial needs.
Special commercial loan- loans provided for small scale like sari-sari store.
Salary loan- salary loan patterned after SSS and GSIS salary scheme granted to cooperative
employee and salaried member of the cooperative working in any government or private
institutions.
Membership
Members of cooperative may be either natural or juridical persons depending on
the kinds of cooperative. In primary cooperative only a natural person who is a citizen of
the Philippines is eligible for membership, while in secondary or tertiary cooperatives
members mat either cooperative or non-profit organization with juridical personality
(Aquino, 1991).
Members of cooperative must individually contribute a certain amount kwon as the
share capital, as requirement of the organization of a cooperative. The law state that at least
25% of the authorized share capital should be subscribed at least 25% of the subscription
should be paid.
In addition, Onagan (1973) stated that cooperative is a dynamic form of business
enterprise that embodies the philosophy of cooperation. It state that through voluntary asset
of people to form themselves into a group for the promotion of their common needs by
mutual action, democratic control and sharing of economic benefits on the basis of
patronage by members.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Some duties and responsibilities of members are classified;
1. Pay his/her share capital regularly as pledge in the membership agreement.
2. Deposits regularly as contribution to capital build-up of the cooperative.
3. Participates in all cooperative activities, like fund raising, cooperative month.
4. Participates in decision-making through the general assembly and other
membership meeting.
5. Patronize the cooperative business like the cooperative store.
6. Votes for the officials of choice to run the cooperative.
7. Runs in any cooperative elective position if qualified.
As the cooperative member, therefore, plays dual role: one is owner and customer at the
same time. This is the principle of identity, which makes the membership in the cooperative
unique. An owner is one who provides capital to the cooperative to enable it to operate and
undertake the services needed by one and other members. The more contribution they
make, the better is the cooperative capability to undertake those services. This is in
accordance with the self-help idea which puts the main responsibility for the organization
in the shoulders of the owner-members and not on somebody else.
The members provide basic foundation for the effective management of the cooperative
and to be ever alert and vigilant on possible problems and weaknesses in the servicing of
their needs for the purpose of upgrading management efficiency.
Members’ Benefit
Benefits from cooperative are difficult to measure since some are tangible or direct
as in the case of net margins in savings, while others are intangible or indirect such as some
economic and social benefits (Leung, 1993).
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
The members derive benefits from the cooperative in various ways such as:
a. Cooperatives members develop that the habit of thrift and savings.
b. The cooperatives serve as the training ground for members in simple business
operation, democratic leadership and responsible citizenship.
c. The cooperative offers opportunities to its members to progress by means of the
benefit it provides.
Members who do not patronize the services of the cooperative are not entitled to have
patronage but only entitled to their share capital invested in the cooperative.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
METHODOLOGY
Locale and Time of the Study
This study was conducted with the members of Bahong Multi Purpose Cooperative
(BMPC) residing in Bahong, La Trinidad, Benguet from November to December 2010.
Respondents of the Study
The respondents of the study were the cooperative members. There were fifty
respondents selected randomly from the members of the cooperative residing in Bahong
La Trinidad, Benguet.
Data Gathering Procedure
The data were collected using a questionnaire, however the researcher guided the
respondents in answering the questions and conducted discussions to ensure that
instructions are fully understood.
Data Gathered
The data gathered includes the level of satisfaction and services availed by the
members of the cooperative.
Data Analysis
All data gathered were classified, tabulated, and analyzed based on the objectives of the
study. The data were analyzed using frequency analysis and mean rating.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
RESULTS AND DISCUSSION
General Information about the Respondents
The general information about the respondents is shown in Table 1. This information
includes the age, civil status, gender, educational attainment, religion, years of membership
and occupation.
Age. The frequency of distribution of the respondents according to their age shows
that 24% were 15-25 years old, 26% were 26-35 years old. 24% were 36-45 years old, 16%
were 46-55 years old and 10% were 56-65 years old. This finding shows that more of the
respondents were 26-35 years old.
Civil status. Thirty six percent were single, 46% were married, 6% were widowed
and 12% separated. Result implies that more of the respondents/members of the
cooperative were married.
Gender. Majority (56%) of the respondents were male and 46% were female. This
implies that membership in cooperatives is more attractive to males.
Educational attainment. One half of the respondents were college level or college
graduate, 38% are secondary level or high school graduate and 12% are elementary level
or elementary graduate. This finding shows that the respondents have attended formal
education.
Religion. Majority (78%) of the respondents were Roman Catholic and 22% were
Wesleyan. The result shows that Roman Catholic is still the dominant religious entity in
the area.
Years of membership. The cooperative started its operation in 1990 through the
assistance of DA and Land Bank, but registration to CDA was approved in 1991, thus it is
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
already 21 years. Most of the respondents of this study were 2-5 years. On the distribution
of respondents according to years in membership, 38% have been members for 2-3 years,
24% were members for 1-2 years, 22% were members for 6 years and more, 12% had been
members for 3 – 4 years and 6% were members for 4-5 years. Results shows most of the
respondents were still young in terms of membership in the cooperative which is already
21 years old.
Occupation. Majority of the respondents are farmers, and are mostly in cutflower
production of chrysanthemum and roses, 14% were government employees, 4% are
employed in private firms and there were 9% who are students. Though these respondents
were employed and some were students, they are also involved in cutflower production.
Table 1. General profile of the respondents
PARTICULAR
FREQUENCY
PERCENTAGE
Age (years)
15 – 25
12
24
26 – 35
13
26
36 – 45
12
24
46 – 55
8
16
56 – 65
5
10
TOTAL
50
100
Civil Status
Single
18
36
Married
23
46
Widow
3
6
Separated
6
12
TOTAL
50
100
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Table 1. continued…
PARTICULAR
FREQUENCY
PERCENTAGE
Gender
Female
23
46
Male
27
56
TOTAL
50
100
Educational attainment
Elementary
6
12
Secondary
19
38
College
25
50
TOTAL
50
100
Religion
Roman Catholic
39
78
Wesleyan
11
22
TOTAL
50
100
Years of membership
1 – 2
12
24
2 – 3
18
36
3 – 4
6
12
4 – 5
3
6
5 and above
11
22
TOTAL
50
100
Occupation
Farming
31
62
Businessman
1
2
Government employee
7
14
Private employee
2
4
Student
9
18
TOTAL
50
100
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Evaluation of Respondents on BMPCs Services
Table 2 - 8 present the evaluation of member respondents on the different services
provided by the cooperative. The services evaluated are; the marketing services, water
services and the different types of credit services such as, Production Loan, Regular Loan,
Emergency Loan, special Commercial Loan and Salary Loan.
Evaluation on Marketing Services
This section presents the criteria used in the evaluation and respondents’ evaluation
on the marketing services provided by the cooperative. Criteria were the price given to the
product, volume marketed, market location, delivery convenience, frequency of marketing
and marketing schedule. There were only thirty five out of the fifty respondents who
evaluated the marketing services. These respondents have availed the marketing services
of the cooperative.
Price of the product. Sixteen of the thirty five respondents rated price of products as
satisfied and 14 rated with very much satisfied. The price is set by the buyer based on the
prevailing market price in Dimasalang, Manila. There were four respondents who were
not satisfied on the price given by cooperative on the price of his product. One respondent
was neutral which he may be satisfied or not satisfied. Maybe the reason for not satisfied
or being neutral is that a certain percentage of the price goes to the cooperative also to
cover some marketing expenses. The mean rating given on the price of the product was
1.86 which means the respondents were very much satisfied on the price given to the
products.
Volume marketed. All cutflowers delivered by members is taken by the cooperative as long
as good quality and not rejects or damaged. Fifteen of the respondents were very much
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
satisfied on the volume of products purchased or accepted by the cooperative to be
marketed. Nine were satisfied, however there 10 who were not sure if they are satisfied or
not thus were neutral about the volume marketed to the cooperative. There was one
respondent who was not satisfied. The reason is that some of the members had experience
a poor harvest, thus some of the product delivered were not accepted by the cooperative
since good quality of products is also required. The mean rating was 1.91 which means that
respondents were very much satisfied on the volume marketed.
Location. The delivery area was the cooperative, because they have cold storage facilities,
but these are not utilized because the flowers were delivered every day to the Dimasalang
market in Manila. Ten of the respondents rated the location of delivery area with very
much satisfied, nine rated with satisfied and ten were neutral which means they may be
satisfied or not satisfied. Two were not satisfied on the location of the delivery area. This
is because their farm/area is far to the designated delivery area. There were 10 respondents
who rated the location of market or delivery with neutral. Neutral because they the place
is small that is there are many members to deliver their produce, place is not enough. On
the overall, the mean rating is 2.11 which mean that respondents still were satisfied on the
location of delivery area.
Delivery convenience. The cooperative has its own vehicle for delivery of product to the
market. As to delivery convenience, twelve rated is as very much satisfied, eleven were
neutral and ten were very satisfied. Two were not satisfied which means they are not at
ease with the delivery. The reason for this is the earliness of the delivery time. The delivery
time is early in the morning, because the delivery time of the truck to Dimasalang is from
9 –10 AM in the morning or sometimes even earlier. Thus, the farmer/member should
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
bring the product earlier before 8 AM. Mean rating was 2.09 which means respondents
were satisfied on the delivery convenience criteria.
Frequency of marketing. Marketing of products by the cooperative is daily except Sunday
as long as there are products delivered by members. Fifteen of the respondents rated with
satisfied, nine rated with very much satisfied, five were neutral and six were not satisfied
on the frequency of marketing. The overall mean rating is 2.23 which mean that still most
of the respondents were satisfied on the frequency of marketing done by the cooperative.
Marketing schedule. Marketing of flowers by the cooperative is daily except Sunday, so
members will just deliver their products to the cooperative. Twelve of the respondents
were satisfied on the marketing schedule of the cooperative, ten were very much satisfied
and five were neutral. There were eight of the respondents who were not satisfied on the
marketing schedule of the cooperative. Delivery time is early morning to catch the truck
going to Dimasalang at 9-10 AM. This maybe the reason for the respondents who rated
this service as not satisfied. The members should put their product to the cooperative early
in the morning and so the cooperative will deliver their product to the market or sometimes
the truck will collect the product from the cooperative. Mean rating was 2.31 which implies
that the respondents were still satisfied on the marketing schedule of the cooperative.
Result implies that all respondents were satisfied on all the marketing services of
the cooperative.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Table 2. Respondents’ evaluation on the marketing services
PARTICULAR
RATING
MEAN DESCRIPTION
RATING
1
2
3
4
Price of products
14
16
1
4
1.86
Very much
satisfied
Volume marketed
15
9
10
1
1.91
Very much
satisfied
Location of market or delivery 10
13
10
2
2.11
Satisfied
area
Delivery convenience
12
10
11
2
2.09
Satisfied
Frequency of marketing/ or 9
15
5
6
2.23
Satisfied
delivery
Marketing schedule
10
12
5
8
2.31
Satisfied
Legend: 1 – very much satisfied –< 1.0 - 1,99
2 – satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.1 – 4.0
Evaluation on the Water Service
One of the project or service provided by the cooperative is the supply potable and
purified drinking water to members and even to non-members. The respondents rated the
water service as to the quality of water (clean and chlorinated water), availability,
time/promptness of delivery, volume of water delivered and the price they pay to the
cooperative for water service. All the fifty respondents evaluated the water service, which
means that all the respondents availed of the water service provided by the cooperative.
Quality of water. Twenty four of the respondents were satisfied on the quality of
water which means the water is clean and chlorinated, twenty one were very much satisfied,
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
three respondents were neutral and two were not satisfied. On the overall mean rating,
most of the respondents were very much satisfied with a rating of 1.72.
Availability. Nineteen of the respondents were very much satisfied and eighteen
were satisfied on the availability of water which may mean that water is always available
because delivery is daily and members could even pick-up especially the drinking water in
the cooperative. However, there were seven respondents who were not satisfied on the
availability of water, and six were neutral. The seven respondents were not satisfied
because sometimes delivery is late. The mean rating was 2.02 which mean that the
respondents were satisfied on the availability of water provided.
Time/promptness of delivery. Twenty of the respondents were satisfied on the time
and promptness of delivery, 16 were very much satisfied, ten were neutral and 4 were not
satisfied. Mean rating was 2.04 which imply that the respondents were satisfied on the time
and promptness of water delivery.
Volume of water delivered. Eighteen of the respondents were very much satisfied and
sixteen were satisfied on the volume of water delivered by the cooperative water service.
Ten of the respondents were neutral and 6 were not satisfied. Some of the respondents
were not satisfied of the volume because they are so man in their house so the water is not
enough and some of the members share their water to their neighbours who are not member
of the cooperative. The mean evaluation rating is 2.08 which imply that the respondents
were satisfied on the volume of water delivered by the cooperative.
Price of water. As to the price of water imposed to them by the cooperative, twenty
four of the respondents were very much satisfied on the price of water, twenty one were
satisfied, three were neutral and two were not satisfied. Members have special price on the
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
drinking water, for members pick-up price is P17.00 for the 5 galloon bottle and for
associate member is P20.00. For potable water, price is P270 per tank or 10 cubic meter.
The price of the cooperative is lower as compared to drinking water stations at 25 to 35
pesos per five galloons pick-up price. The cooperative also deliver drinking water with a
minimum quantity is 82 galloon. Mean rating was 1.66 which imply that the respondents
were very much satisfied on the price they pay for the water.
Though there were respondents who are not satisfied with the water services of the
cooperative, overall, result implies that the respondents were satisfied on the water service
provided by the cooperative to members.
Table 3. Respondents’ evaluation on the water services
PARTICULAR
RATING
MEAN
DESCRIPTION
RATING
1
2
3
4
Quality of water
21 24
3
2
1.72
Very much satisfied
Availability
19 18
6
7
2.02
Satisfied
Time/promptness
of 16 20 10 4
2.04
Satisfied
delivery
Volume of water delivered
18 16 10 6
2.08
Satisfied
Price
24 21
3
2
1.66
Very much satisfied
Legend: 1 – very much satisfied – <1.0 – 1.99
2 – satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.1 – 4.0
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Evaluation on the Different Credit Services
There were five types of credit provided by the cooperative. These credit services
include; production loan, regular loan, emergency loan, special commercial loan and salary
loan for those members who are employed.
Production loan. Production loan are loans provided to members for agricultural
production /farm business activities. There were only 30 out of the fifty respondents who
have availed of the production loan. As to the interest a greater number of the respondent
rated the interest on production loan as very much satisfied (14 respondents) and satisfied
(12 respondents) which imply that the interest imposed by the cooperative on production
loan is acceptable. The interest is low (16% per annum) as compared to other lending
institution and banks like Rural banks. There were three respondents who were neutral on
the interest imposed by the cooperative on production loan and one respondents is not
satisfied. On the mean rating, result was 1,70 which mean the respondents were very much
satisfied on the interest on production loan or interest imposed is acceptable to the
members.
Time of release for loan is one week after application of the borrower. A greater
number were very much satisfied and very satisfied on the time of release of loan. This
implies that the release was just on time for the need in the production activity. This is also
due to the short period which is only one week. On the mean rating (1.93) the respondents
were very much satisfied on the time of release of their production loan.
On the amount of loan to be approved depended on the capacity and appraisal of
the collateral of the borrower. The loan ceiling for production loan is P150,000. There
were 5 respondents who are neutral and 3 are not satisfied. This is because loan is not
enough for them to use in farm production especially when their farm is large. On the
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
overall mean evaluation rating of members on the amount of loan is 2.03 which implies
that they are satisfied.
The duration of payment for production loan is 180 days enough for 2 cropping
period. With this short duration of payment, still there were 13 respondents who rated the
duration as very much satisfied and 10 rated with satisfied which means that within 180
days the borrower could already pay their loan to the cooperative. However, there were
two who are not satisfied because for them the 180 days is not enough for them to pay their
loan, especially if there are typhoons or weather disturbances that destroyed their crops.
Thus, in order to recover, they need another cropping period, probable another year.
On the application of loan and loan requirement, despite of the requirement still
and greater number of respondents rated the cooperative with very much satisfied to
satisfied. Though, there were 2 respondents who are not satisfied with the loan application
and requirements. In application, a borrower will fill-up application form. Requirements
is a as collateral which are original land titles, tax receipt (current year), real tax certificate
or original OR (official receipt) and CR (certificate of registration) of the vehicle if vehicle
is used as collateral. Problem of some members is that they do not have something as
collateral, sometimes they have land but it is titled so they are not allowed to borrow a
bigger amount. Overall mean rating is 1.77 for application of loan which implies that the
respondents are very much satisfied and for loan requirement is 1,90 which means that the
respondents are satisfied.
On the overall aspects, result implies that the members are satisfied on the
production loan provided by the cooperative.
Table 4. Evaluation on the production loan by the respondents
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
PARTICULAR
RATING
MEAN
DESCRIPTION
1
2
3
4
RATING
Interest
14
12
3
1
1.70
Very much satisfied
Time of release
11
13
3
3
1.93
Very much satisfied
Amount of loan
10
12
5
3
2.03
Satisfied
Duration of payment
13
10
5
2
1.87
Very much satisfied
Application of loan
14
11
3
2
1.77
Very much satisfied
Loan requirement
10
15
3
2
1.90
Very much satisfied
Legend: 1 – very much satisfied – 1.0 - 1,99
2 – very satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.1 – 4.0
Regular loan. For the regular loan, the interest is lower (as compared to production
loan) at 13% per annum, time of release is the same with production loan which is one
week after application and also the same on duration at 180 days. Amount of loan granted
is twice of his/her capital share with a loan ceiling of P50,000. In application, the member
will fill-up application form and requirements are; must be a member of the cooperative
and have a capital share. On the evaluation on interest and time of release, most of the
respondents rated it with very much satisfied, although there were some who are neutral
and one is not satisfied. On the amount of loan, the respondents were very much satisfied
to satisfied. However, there 5 who are neutral dnd 2 not satisfied, this is so because the
cooperative imposed a loan ceiling so even if they would like to loan a higher amount
because they have a higher amount of capital share, they cannot avail because of the loan
ceiling. With all these requirements, a greater number of respondents rated services of the
cooperative on regular loan as very much satisfied to satisfied.
Table 5. Evaluation of respondents on regular loan
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
PARTICULAR
RATING
MEAN
DESCRIPTION
RATING
1
2
3
4
Interest
19
13
4
1
1.65
Very
much
satisfied
Time of release
17
18
1
1
1.62
Very
much
satisfied
Amount of loan
16
14
5
2
1.81
Very
much
satisfied
Duration of payment
13
12
9
3
2.05
Satisfied
Application of loan
8
9
8
2
1.84
Very
much
satisfied
Loan requirement
17
15
3
2
1.73
Very
much
satisfied
Legend: 1 – very much satisfied – 1.0 - 1,5
2 – very satisfied 1.6 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.1 – 4.0
Emergency loan. Only forty four of the fifty respondents evaluated the cooperative
service on emergency loan. These respondents have availed of the emergency loan.
Emergency loan is a short-term loan (30 days or 1 month) provided to members of the
cooperative. The interest is 1% per month equivalent to 12% per annum but this type of
loan should not reach one year. On the evaluation of respondents on the interest, a greater
number of the respondents ( 16 and 19) gave a rating as very much satisfied and satisfied
rating respectively. There were 7 respondents who were neutral on the interest and two
were not satisfied, this is because 1% interest for them is still high for the short term
duration. The time of release for emergency loan is upon submission of application form
and the respondents evaluated this aspect as very much satisfied (20 respondents) and
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
satisfied (19 respondents). But there were 4 who are neutral and 1 is not satisfied. The mean
rating is 1.68 which implies that respondents are very much satisfied.
The amount of loan for emergency loan is low from P1,000 to a maximum of
P3,000, payable within 30 days. The respondents rated the amount of loan as satisfied (15
respondents) and very much satisfied (18 respondents). However, there were 8 that are
neutral and 3 are not satisfied, this is because according to them the amount is low if it is
used as emergency for medical purpose then with the high price of medicines and other
items then P3,000 is not enough. On the mean rating (1.91), it shows that the respondents
are very much satisfied .
On the duration of payment of payments, 15 of the respondents gave a rating of 2
which means they are satisfied, and 14 are very much satisfied, a significant number (13)
had rated the cooperative with 3 or neutral and 2 are not satisfied. According to these
respondents, the period of 30 days is too short for them to pay the loan. Overall mean
rating was 2.07 which imply that the respondents were satisfied on the duration of
emergency loan.
On the application of loan, 17 respondents rated the cooperative with 2 which
means they are satisfied and 15 rated with very much satisfied, 8 were neutral and 4 were
not satisfied. The borrower will submit filled-up application form and requirement and
valid identification (ID) card and must be a member of the cooperative. Though there were
4 respondents who were not satisfied on loan application and requirements. This is because
of the valid ID card requirements before they can file or get a loan. The management is not
satisfied on the membership. Some members have not ID especially that they are not
employed in any agency, thus, the cooperative should issue an ID to the members and this
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
will be used by the members in transacting with the cooperative. The mean rating shows
that the respondents were satisfied on loan application and loan requirements.
On the overall, the respondents were very much satisfied on the interest, time of
release and amount of loan granted, and satisfied on the duration of payment, application
of loan and loan requirements.
Table 6. Evaluation of respondents on emergency loan
PARTICULAR
RATING
MEAN
DESCRIPTION
RATING
1
2
3
4
Interest
16
19
7
2
1.89
Very
much
satisfied
Time of release
20
19
4
1
1.68
Very
much
satisfied
Amount of loan
18
15
8
3
1.91
Very
much
satisfied
Duration of payment
14
15
13
2
2.07
Satisfied
Application of loan
15
17
8
4
2.02
Satisfied
Loan requirement
13
16
11
4
2.14
Satisfied
Legend: 1 – very much satisfied – 1.0 - 1,99
2 –satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.5 – 4.0
Special commercial loan. Special commercial loan is a loan provided to members
who are into business. Of the fifty respondents, only thirty eight evaluated this service
because they have availed of the loan. The interest imposed on this type of loan is the
highest among the 5 types of loan. The interest is 24% per annum, payable within 180
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
days equivalent to 25 weeks and payment is weekly. Time of release is one week after
application, and loan ceiling is P25,000. Since, this loan is intended for business use, one
of the requirements is a business permit and a member of the cooperative.
On the evaluation on interest rate, as shown in Table 7 respondents rated very much
satisfied for the interest and loan requirements with a mean rating of 1.87 and 1.82
respectively. However, there were seven who are neutral on the interest and 2 were not
satisfied, they think that the 24% is too high. Loan the loan requirement, there is a
significant of respondents (11) who were neutral and 4 were not satisfied, this is because
of the business permit, that if their business is small (informal one like a fishball or
barbeque stand), they usually do not get business permit. As to the time of release, a
greater number (14) rated the cooperative on this type of service with 2 which means they
are satisfied and 10 respondents were very satisfied. On the other hand a significant
number (11) of the respondents were neutral and 3 were not satisfied because the one week
after application release of loan is too long for them to wait for the cash they need in
business. Overall mean rating of 2.18 implies that the respondents were satisfied on the
commercial loan service of the cooperative. On the amount of loan, duration, and
application of loan, respondents were satisfied. There were 4 who were not satisfied
because P25,000 is not enough to purchase needs and the 180 days is not enough for them
to pay their loan especially if the business is small like the sari-sari store.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Table 7. Evaluation of respondents on special commercial loan
PARTICULAR
RATING
MEAN
DESCRIPTION
RATING
1
2
3
4
Interest
16
13
7
2
1.87
Very much satisfied
Time of release
10
14
11
3
2.18
Satisfied
Amount of loan
10
14
10
4
2.21
Satisfied
Duration of payment
10
13
11
4
2.24
Satisfied
Application of loan
15
17
8
4
2.03
Satisfied
Loan requirement
13
16
11
4
1.82
Very much satisfied
Legend: 1 – very much satisfied – 1.0 – 1.99
2 – satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.5 – 4.0
Salary loan, Ten of the respondents have evaluated this type of loan service. These
ten were the respondents who are employed in government and private agencies. The
interest on salary loan is 14% per annum, time of release is one week upon application,
amount of loan is thrice (3) the monthly salary of the borrower and duration is 2 years paid
through salary deduction. Borrowers are required to fill-up application form, should be a
member of the cooperative, certificate of employment and statement of salary or pay slip.
As shown in Table 8, with regards to the interest, results shows that the respondents
were satisfied though there is one who is not satisfied with 14% interest per annum. On the
time of release, duration of loan and application of loan were rated as satisfied. One week
after application release of loan is too long for them especially if they need the money very
badly. According to some respondents the two year payment period is not enough for them
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
to pay their loan because the shorter the period to pay the higher deductions which also
affects their budgeting of household needs. On the amount of loan and loan requirements,
the rating of respondents was very much satisfied.
Result implies that as to the salary loan the members who have availed are satisfied
on this type of credit service provided by the cooperative.
Table 8. Evaluation of respondents on salary loan
PARTICULAR
RATING
MEAN DESCRIPTION
RATING
1
2
3
4
Interest
4
3
2
1
2.0
Satisfied
Time of release
3
2
4
1
2.30
Satisfied
Amount of loan
5
3
1
1
1.80
Very
much
satisfied
Duration of payment
4
2
3
1
2.10
Satisfied
Application of loan
3
3
2
2
2.30
Satisfied
Loan requirement
5
2
2
1
1.90
Very
much
satisfied
Legend: 1 – very much satisfied – 1.0 - 1,99
2 – satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.5 – 4.0
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
Summary
This research was conducted to determine the level of satisfaction of members on
the services of Bahong Multi-Purpose Cooperative (BMPC).
Respondents were fifty members of the cooperative. Data was collected with the
use of survey questionnaire and analyzed using frequency analysis. Majority of the
respondents were 26-35 years old, male, married, college level or graduate, Roman
Catholic, have been member in the cooperative for 5 years and more and mostly are
engaged in farming.
The respondents evaluated the services, especially these services they have availed.
Thirty five of the respondents who have availed of the marketing services evaluated this
service provided by the cooperative. The respondents evaluated the price of the product,
volume marketed, location, delivery convenience, frequency of marketing/delivery, and
marketing schedule. Most the respondents rated marketing services as very satisfied.
On the water services from potable to purified drinking water, the respondents were
very satisfied on the quality of water delivered, availability of water, time/promptness of
delivery, volume of water delivered and the price of water.
The respondents evaluated the different types of credit services provided by the
cooperatives which are the production loan for those engaged in agricultural production,
regular loan, emergency loan, special commercial loan for those engaged in business and
salary loan for members who are employed in government and private organization.
Interest of the loan, time of release, amount of loan, duration of payment, application loan
and loan requirements were the factors evaluated by the respondents. The interest for the
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
loan were low as compared to other lending institutions, like Rural and Commercial Banks.
Interest ranges from 12% to 24% per annum. Special commercial loan has the highest
interest and mode of payment is weekly for 25 weeks. Lowest interest is imposed on the
emergency loan at 1% per month and duration is 30 days. Time of release is one week
after application and amount of loan depends on the capacity of borrower though there are
loan ceilings for every type of loan. Loan requirement are should be a member of the
cooperative, have capital share, and for bigger amount should have collateral and employed
for salary loan. In all these aspects/factors, the respondents were very satisfied with the
credit services of the cooperative.
Conclusions
Based on the results, the following conclusions are drawn:
1. Majority of the respondents belonged to the age ranged of 26 – 35 years old
and married. They were all engaged in farm production.
2. As to the water services, almost all the respondents availed this service of the
cooperative..
3. On the evaluation results provided by the respondents, majority were satisfied
on the marketing services and water services. On the 5 types of credit, most of them were
very much satisfied on the production loan, regular loan and emergency loan.
Respondents were satisfied on the special commercial loan and salary loan.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Recommendations
The services offered and the way the cooperative manage these services should be
maintained/sustained and improve further especially in areas where some respondents were
neutral and not satisfied so that members will continuously patronize the cooperative and
its services because the life of cooperative is in the support of members by patronizing the
services offered.
On the marketing services improvement can still be done on the location or delivery
area and space so that they have space when they deliver their products all at the same time.
On water services improve service on the availability, time and promptness of delivery and
exact volume of water delivered (if 10 cubic meter then it should be exact) and reduce the
minimum quantity of 82 gallons per delivery for drinking water. Improvement on the areas
of the loan services where a significant number of respondents were not satisfied.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
LITERATURE CITED
ANONYMOUS, 2008. Cooperative. Retrieved September 20, 2010 from www.
Cooperative, Ucdavis, edu/what is/index.htm.
AQUINO, A. 1991. Primer on the Cooperative Code of the Philippines. Quezon City,
Philippines. P. 23.
BAGLAO, B.C. 2002. Consumers services capacity of the MultiPurpose Cooperative in
Poblacion, Bakun. MS Thesis. Benguet State University, La Trinidad, Benguet. P. 30.
CABRERA, M.B., E.F. LEDESMA and H.Y. LUPISAN. 2009. Fundamentals of
Accounting. Cananan Education Supply, Claro M. Recto Manila Philippines. Volume 1,
P.39.
COOPERATIVE DEVELOPMENT AUTHORITY. 1990. Cooperative Code of the
Philippines. Primer on R.A. 6938 and 6939. P 3.
GARCIA, G.Y. and M.H. GUANZON. 2004. Cooperative Publishing House, Espana.
Manila. P. 153.
GOLDMAN, D. 2002. Improving Member Satisfaction. Retrieved July 25, 2010 from
http://goliath.ecnext.com/htm.
KESSLER, S.A. 2003. Business Survey. Retrieved October 2, 2010 from www. Bus
knowledge cource.com/marketing/building.
LEUNG, C. 1993. Development Diary Return to Cooperative. Baguio Midland Courier.
Baguio City. Pp. 5, 24.
ONAGAN, L.G. 1973. Cooperative Principles and Practices. Onagan and sons Publishing,
Quezon City. Pp. 75-76.
SCOTT, L.G. 2006. Building Customer Satisfaction through Marketing. Retrieved
October 2, 2010 from www.busknowledgesource. com/marketing building
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
MAYOMIS, BIBIAN A. OCTOBER 2012. Evaluation on the Level of Satisfaction
of Members on the Services of Bahong Multi-Purpose Cooperative. Benguet State
University, La Trinidad, Benguet.
Adviser; Jovita M. Sim, MSc
ABSTRACT
The study aimed to determine the level of satisfaction of members on the services
offered by the Bahong Multi-Purpose Cooperative, in Bahong, La Trinidad, Benguet,
There were 50 respondents of the study who were members of the cooperatives and are
residing in Bahong, La Trinidad, Benguet.
Majority of the respondents were 26-35 years old, male, married, had college level
education, Roman Catholic, have been member for 2-3 years in the cooperative and most
are engaged in agricultural production.
Services offered by the cooperative which the respondents have evaluated are
marketing services, water services and credit services. Credit services include production
loan, regular loan, emergency loan, special commercial loan and salary loan.
The results showed that majority of the respondents were satisfied on the marketing
services and water services. As to the five types of credit services, majority of the
respondents were very much satisfied on the production loan, regular loan and emergency
loan. On the special commercial loan and salary loan most of the respondents were
satisfied.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Thus, it is recommended that services offered and the way the cooperative manage
these services should be maintained/sustained and improve further especially in areas
where some respondents were neutral and not satisfied so that members will continuously
patronize the cooperative and its services because the life of cooperative is in the support
of members by patronizing the services offered.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
INTRODUCTION
Rationale
To be successful, a cooperative need at least to maintain its volume of member’s
transaction, with increased competitive prices. Improve services may mean expanding the
range of services offered to members or improving the delivery of existing services.
Bahong Multipurpose Cooperative (BMPC) is the cooperative at Bahong La
Trinidad Benguet and services to its members includes water, credit and marketing
services. BMPC started September 1990, two months after the killer earthquake. The
Department of Agriculture of La Trinidad and Land Bank of the Philippines-Benguet Field
office assisted the farmers of Bahong in the organization of a cooperative. They conducted
orientation, seminar and pre-membership seminar. There were forty-four (44) interested
individuals who organized the BMPC with an initial capital of thirty thousand three
hundred pesos (Php 30,300). All the initial members were residents of Barangay Bahong,
La Trinidad, Benguet, an agriculture-based community engage in vegetable and cut flower
production such as roses.
In February 6, 1991, the Cooperative Development Authority (CDA) approved the
registration of the cooperative. The cooperative, with its office at Bahong Warehouse, (the
warehouse was the first office of the cooperative) started its operation on credit services
and retailing selected basic commodities such as rice, sugar and liquefied petroleum gas
(LPG). At the time, Land Bank of the Philippines, field staffs assisted the members of
cooperative to avail loans for farm inputs, vegetable and cut flowers production and hog
fattening, which was approved and released at the same year in the amount of two hundred
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
eighty seven thousand two and eighty centavos (PhP 287,002.80), and an amount of
seventy thousand pesos (P 70,000.00) for hog raising from Department of Agriculture.
In its one year of operation, the cooperative posted a net surplus of seventeen
thousand six hundred ninety eighty pesos and fifty nine centavos (P 17, 698.59).
Membership increased to eighty eight (88) with a total share capital of one hundred three
thousand pesos (P133, 000.00) from members and savings deposit amounting eighty two
thousand four hundred thirty nine pesos and twenty five Centavos (P 82,439.25).
After four years of operation, capitalization increased to three hundred forty three
thousand fifty four pesos and ninety one centavos (P 343,154.91) with one hundred thirty
one cooperative members. In 1995, a trial of cut-flower and vegetable marketing at
Kalentong Manila was done by the BMPC and other cooperatives was initiated but failed
due to minimal sales. During the General Assembly, it was then agreed that the marketing
operation of the cooperatives shall be suspended, thus the marketing operation is being
maintained by an association whose members were at the same time the members of the
cooperative.
In line with the plan of the cooperative to venture on farm inputs and basic commodities,
it has acquired a lot in July 1998 where the present cooperative office and cold storage was
constructed. The cooperative has assisted farmer-members to access government
programs. At present, most farmers are now engaged in cut flower production replacing
their vegetable farming. Rose cut flower is now extensively cultivated in the Barangay,
that the secretary of Agriculture Hon. William Dar (2000), after his visit to the area
declared it as the rose capital of the Philippines.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
In the year 2000, through the effort of the officers of the cooperative they were able to ask
assistance to the Department of Labor and Employment (DOLE). DOLE conducted
training for composting and granted fund amounting to six hundred thousand pesos (P
600,000.00) that was used for the construction of cold storage which is now being operated
by the cooperative.
With these successful projects, assistance from government agencies and with the
increasing numbers of members and capital, it shows that cooperative is growing and
members like the services provided by the cooperative. Furthermore, this maybe a
motivating factors for other to join the cooperative. Thus, this study intends to find out the
level of satisfaction of members on the different services offered by the cooperative.
Importance of the Study
The findings of this study would provide information to the cooperative as basis for
planning and improving services that would satisfy their members. Furthermore, this
research can serve as a source of information to other cooperatives in improving their
services and to researchers, student, as well as readers who will conduct the same study to
other cooperative.
Statement of the Problem
The study aimed to answer, what is the level of satisfaction of members on the
services of Bahong Multi Purpose Cooperative as to the following?
1. Marketing services
2. Water services
3. Credit services
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
a. production loan
b. regular loan
c. emergency loan
d. special commercial loan
e. salary loan
Objectives of the Study
The objective of the study is to determine the level of satisfaction of members on the
services of Bahong Multi Purpose Cooperative as to the following.
1. Marketing services
2. Water services
3. Credit services
a. production loan
b. regular loan
c. emergency loan
d. special commercial loan
e. salary loan
Scope and Limitation of the Study
The study mainly concentrated on the level of satisfaction on the services availed
by the cooperative members.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
REVIEW OF LITERATURE
Cooperative Defined
Cooperative is derived from the French word “cooperari” which means to work
with. Cooperative therefore, is an organization of persons who have voluntarily joined
together to achieve a lawful common social economic end, making equitable contributions
to the capital required and accepting a fair share of the risks and benefits of the undertaking
in accordance with universally accepted cooperative principle. It is marked together and
motivated by individual selfish end. Hence, the underlying motive behind this organization
is services for members, who are the owners of the business to provide and satisfy their felt
needs and desires (Garcia and Guanzon, 2004).
A cooperative is a private business organization that is owned and controlled by the
people who used its product, supplies or services. Although cooperative vary in type and
membership size, all were found to meet the specific objectives of members, and are
structured to adapt to members changing needs. A cooperative is formed by individual who
coordinate among themselves to achieve vertical integration in their business activities.
Although people have been working together for mutual benefit throughout human history,
cooperative as a form of business organization began during the industrial revolution.
Cooperative was useful for promoting the interest of the less powerful members of society
(Anonymous, 2008).
Level of Satisfaction
Goldman (2002) stated that satisfaction is an emotional, effective orientation
towards ones work. More generally, job satisfaction can be defined in terms of the match
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
between what we want and what we actually receive. Anyone who is grossly mismatched
is to feel unhappy and uncomfortable. Satisfaction is correlated positively with the extent
to which reflects personal interest and promotes use of abilities.
Level of satisfaction, which can be a set of attitudes develop from work, is not only
emotional but can also be informational and behavioral. It can vary in intensity and
consistency, can be acquired from a variety of sources, and can serve a number of functions
for the individual (Goldman, 2002).
Customer’s Satisfaction
Customer’s satisfaction is the degree to which customer expectations of a product
or service are met or exceeded expectations. Corporate and individual customers may have
widely differing reasons for purchasing a product or service and therefore any
measurement of satisfaction will needed to be able to take into account such differences.
The quality of after-sales service can also be a crucial factor in influencing any purchasing
decision.
Customer’s satisfaction is a measure of how products and services supplied by a
company meet or surpass customer’s expectation. In a competitive market place where
businesses compete for customers, customers satisfaction is seen as a key differentiator and
increasingly has become a key element of business strategy (Scott, 2006).
Measuring Customer Satisfaction
Organization need to retain existing customers while targeting non-customers.
Measuring customer satisfaction provides an indication of how successful the organization
is at providing product or services to the market place.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Customer satisfaction is an abstract concept and the actual manifestation of the state
of satisfaction will vary from person to person and service to service. The state of
satisfaction depends on a number of both psychological and physical variables which
correlates with satisfaction behaviors such as return and recommended rate. The level of
satisfaction can also vary depending on other factors of the customers, such as other
products against which the customer can compare the organization’s product (Kessler,
2003).
Services
Services as defined by the Webster new world dictionary is an act of serving, the
manner in which one is serve, and at ones service means ready to do what one wants, and
duty required or performed in any office, spiritual and obedience. Services also engage in
transportation, insurance, housing, labor, communication, etc.
Service organization is one that does not deal with tangible products, but rather provides
some sort of service as its major operation. Doctors, CPA’s, lawyers and engineers are
example of people who provide services instead of products. Cost of performing the service
may include salaries of professionals and support personnel, supplies, purchase services,
and routine such as rent and utilities. Internally, financial reports for service firms often
separate revenues and expenses by type of service or customers (Cabrera et al., 2009).
A public service cooperative, as stated from the Cooperative Code of the Philippines (RA,
6938) is one that is organize to render public service as authorized under a franchise or
certificate of public convenience and necessity duly issued by the appropriate government
agency. Furthermore, cooperative shall provide goods and services to its members and thus
enable them to increase their income and savings, investment, productivity and purchasing
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
power and promote among them equitable distribution of net surplus through maximum
utilization of economic of scale, cost sharing and risk taking.
Cooperative is organized in accordance with economic needs of members. A cooperative
must provide services, which are not available in the vicinity, improve those supplies that
already existing in other enterprises. Cooperative is an act of give and take by its members.
It is an organization of people with common goal to attain the burden and privilege base
from equal investment (Baglao, 2002).
The philosophy of cooperative has been stated in different ways and words, depending on
the orientation and level of understanding of the one making such definitions. But one
common thread ties all these and it is the fundamental idea that cooperative are for
SERVICE not PROFIT.
According to Bahong Multi Purpose cooperative, they offer the different services to its
members;
a. Marketing services – the act or process of buying and selling in a market, the
commercial functions involved in transferring goods from producer to consumer.
b. Water services – the source and delivery system of such water, available for a
community.
c. Credit services – a cooperative organization that makes loans to its members
at low interest rates.
Production loan- loans granted for ornamental production, vegetable production and live
stock raising.
Regular loan- for productive or provident purposes.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Emergency loan- loans provided to members for health, tuition fees and other urgent
financial needs.
Special commercial loan- loans provided for small scale like sari-sari store.
Salary loan- salary loan patterned after SSS and GSIS salary scheme granted to cooperative
employee and salaried member of the cooperative working in any government or private
institutions.
Membership
Members of cooperative may be either natural or juridical persons depending on
the kinds of cooperative. In primary cooperative only a natural person who is a citizen of
the Philippines is eligible for membership, while in secondary or tertiary cooperatives
members mat either cooperative or non-profit organization with juridical personality
(Aquino, 1991).
Members of cooperative must individually contribute a certain amount kwon as the
share capital, as requirement of the organization of a cooperative. The law state that at least
25% of the authorized share capital should be subscribed at least 25% of the subscription
should be paid.
In addition, Onagan (1973) stated that cooperative is a dynamic form of business
enterprise that embodies the philosophy of cooperation. It state that through voluntary asset
of people to form themselves into a group for the promotion of their common needs by
mutual action, democratic control and sharing of economic benefits on the basis of
patronage by members.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Some duties and responsibilities of members are classified;
1. Pay his/her share capital regularly as pledge in the membership agreement.
2. Deposits regularly as contribution to capital build-up of the cooperative.
3. Participates in all cooperative activities, like fund raising, cooperative month.
4. Participates in decision-making through the general assembly and other
membership meeting.
5. Patronize the cooperative business like the cooperative store.
6. Votes for the officials of choice to run the cooperative.
7. Runs in any cooperative elective position if qualified.
As the cooperative member, therefore, plays dual role: one is owner and customer at the
same time. This is the principle of identity, which makes the membership in the cooperative
unique. An owner is one who provides capital to the cooperative to enable it to operate and
undertake the services needed by one and other members. The more contribution they
make, the better is the cooperative capability to undertake those services. This is in
accordance with the self-help idea which puts the main responsibility for the organization
in the shoulders of the owner-members and not on somebody else.
The members provide basic foundation for the effective management of the cooperative
and to be ever alert and vigilant on possible problems and weaknesses in the servicing of
their needs for the purpose of upgrading management efficiency.
Members’ Benefit
Benefits from cooperative are difficult to measure since some are tangible or direct
as in the case of net margins in savings, while others are intangible or indirect such as some
economic and social benefits (Leung, 1993).
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
The members derive benefits from the cooperative in various ways such as:
a. Cooperatives members develop that the habit of thrift and savings.
b. The cooperatives serve as the training ground for members in simple business
operation, democratic leadership and responsible citizenship.
c. The cooperative offers opportunities to its members to progress by means of the
benefit it provides.
Members who do not patronize the services of the cooperative are not entitled to have
patronage but only entitled to their share capital invested in the cooperative.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
METHODOLOGY
Locale and Time of the Study
This study was conducted with the members of Bahong Multi Purpose Cooperative
(BMPC) residing in Bahong, La Trinidad, Benguet from November to December 2010.
Respondents of the Study
The respondents of the study were the cooperative members. There were fifty
respondents selected randomly from the members of the cooperative residing in Bahong
La Trinidad, Benguet.
Data Gathering Procedure
The data were collected using a questionnaire, however the researcher guided the
respondents in answering the questions and conducted discussions to ensure that
instructions are fully understood.
Data Gathered
The data gathered includes the level of satisfaction and services availed by the
members of the cooperative.
Data Analysis
All data gathered were classified, tabulated, and analyzed based on the objectives of the
study. The data were analyzed using frequency analysis and mean rating.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
RESULTS AND DISCUSSION
General Information about the Respondents
The general information about the respondents is shown in Table 1. This information
includes the age, civil status, gender, educational attainment, religion, years of membership
and occupation.
Age. The frequency of distribution of the respondents according to their age shows
that 24% were 15-25 years old, 26% were 26-35 years old. 24% were 36-45 years old, 16%
were 46-55 years old and 10% were 56-65 years old. This finding shows that more of the
respondents were 26-35 years old.
Civil status. Thirty six percent were single, 46% were married, 6% were widowed
and 12% separated. Result implies that more of the respondents/members of the
cooperative were married.
Gender. Majority (56%) of the respondents were male and 46% were female. This
implies that membership in cooperatives is more attractive to males.
Educational attainment. One half of the respondents were college level or college
graduate, 38% are secondary level or high school graduate and 12% are elementary level
or elementary graduate. This finding shows that the respondents have attended formal
education.
Religion. Majority (78%) of the respondents were Roman Catholic and 22% were
Wesleyan. The result shows that Roman Catholic is still the dominant religious entity in
the area.
Years of membership. The cooperative started its operation in 1990 through the
assistance of DA and Land Bank, but registration to CDA was approved in 1991, thus it is
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
already 21 years. Most of the respondents of this study were 2-5 years. On the distribution
of respondents according to years in membership, 38% have been members for 2-3 years,
24% were members for 1-2 years, 22% were members for 6 years and more, 12% had been
members for 3 – 4 years and 6% were members for 4-5 years. Results shows most of the
respondents were still young in terms of membership in the cooperative which is already
21 years old.
Occupation. Majority of the respondents are farmers, and are mostly in cutflower
production of chrysanthemum and roses, 14% were government employees, 4% are
employed in private firms and there were 9% who are students. Though these respondents
were employed and some were students, they are also involved in cutflower production.
Table 1. General profile of the respondents
PARTICULAR
FREQUENCY
PERCENTAGE
Age (years)
15 – 25
12
24
26 – 35
13
26
36 – 45
12
24
46 – 55
8
16
56 – 65
5
10
TOTAL
50
100
Civil Status
Single
18
36
Married
23
46
Widow
3
6
Separated
6
12
TOTAL
50
100
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Table 1. continued…
PARTICULAR
FREQUENCY
PERCENTAGE
Gender
Female
23
46
Male
27
56
TOTAL
50
100
Educational attainment
Elementary
6
12
Secondary
19
38
College
25
50
TOTAL
50
100
Religion
Roman Catholic
39
78
Wesleyan
11
22
TOTAL
50
100
Years of membership
1 – 2
12
24
2 – 3
18
36
3 – 4
6
12
4 – 5
3
6
5 and above
11
22
TOTAL
50
100
Occupation
Farming
31
62
Businessman
1
2
Government employee
7
14
Private employee
2
4
Student
9
18
TOTAL
50
100
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Evaluation of Respondents on BMPCs Services
Table 2 - 8 present the evaluation of member respondents on the different services
provided by the cooperative. The services evaluated are; the marketing services, water
services and the different types of credit services such as, Production Loan, Regular Loan,
Emergency Loan, special Commercial Loan and Salary Loan.
Evaluation on Marketing Services
This section presents the criteria used in the evaluation and respondents’ evaluation
on the marketing services provided by the cooperative. Criteria were the price given to the
product, volume marketed, market location, delivery convenience, frequency of marketing
and marketing schedule. There were only thirty five out of the fifty respondents who
evaluated the marketing services. These respondents have availed the marketing services
of the cooperative.
Price of the product. Sixteen of the thirty five respondents rated price of products as
satisfied and 14 rated with very much satisfied. The price is set by the buyer based on the
prevailing market price in Dimasalang, Manila. There were four respondents who were
not satisfied on the price given by cooperative on the price of his product. One respondent
was neutral which he may be satisfied or not satisfied. Maybe the reason for not satisfied
or being neutral is that a certain percentage of the price goes to the cooperative also to
cover some marketing expenses. The mean rating given on the price of the product was
1.86 which means the respondents were very much satisfied on the price given to the
products.
Volume marketed. All cutflowers delivered by members is taken by the cooperative as long
as good quality and not rejects or damaged. Fifteen of the respondents were very much
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
satisfied on the volume of products purchased or accepted by the cooperative to be
marketed. Nine were satisfied, however there 10 who were not sure if they are satisfied or
not thus were neutral about the volume marketed to the cooperative. There was one
respondent who was not satisfied. The reason is that some of the members had experience
a poor harvest, thus some of the product delivered were not accepted by the cooperative
since good quality of products is also required. The mean rating was 1.91 which means that
respondents were very much satisfied on the volume marketed.
Location. The delivery area was the cooperative, because they have cold storage facilities,
but these are not utilized because the flowers were delivered every day to the Dimasalang
market in Manila. Ten of the respondents rated the location of delivery area with very
much satisfied, nine rated with satisfied and ten were neutral which means they may be
satisfied or not satisfied. Two were not satisfied on the location of the delivery area. This
is because their farm/area is far to the designated delivery area. There were 10 respondents
who rated the location of market or delivery with neutral. Neutral because they the place
is small that is there are many members to deliver their produce, place is not enough. On
the overall, the mean rating is 2.11 which mean that respondents still were satisfied on the
location of delivery area.
Delivery convenience. The cooperative has its own vehicle for delivery of product to the
market. As to delivery convenience, twelve rated is as very much satisfied, eleven were
neutral and ten were very satisfied. Two were not satisfied which means they are not at
ease with the delivery. The reason for this is the earliness of the delivery time. The delivery
time is early in the morning, because the delivery time of the truck to Dimasalang is from
9 –10 AM in the morning or sometimes even earlier. Thus, the farmer/member should
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
bring the product earlier before 8 AM. Mean rating was 2.09 which means respondents
were satisfied on the delivery convenience criteria.
Frequency of marketing. Marketing of products by the cooperative is daily except Sunday
as long as there are products delivered by members. Fifteen of the respondents rated with
satisfied, nine rated with very much satisfied, five were neutral and six were not satisfied
on the frequency of marketing. The overall mean rating is 2.23 which mean that still most
of the respondents were satisfied on the frequency of marketing done by the cooperative.
Marketing schedule. Marketing of flowers by the cooperative is daily except Sunday, so
members will just deliver their products to the cooperative. Twelve of the respondents
were satisfied on the marketing schedule of the cooperative, ten were very much satisfied
and five were neutral. There were eight of the respondents who were not satisfied on the
marketing schedule of the cooperative. Delivery time is early morning to catch the truck
going to Dimasalang at 9-10 AM. This maybe the reason for the respondents who rated
this service as not satisfied. The members should put their product to the cooperative early
in the morning and so the cooperative will deliver their product to the market or sometimes
the truck will collect the product from the cooperative. Mean rating was 2.31 which implies
that the respondents were still satisfied on the marketing schedule of the cooperative.
Result implies that all respondents were satisfied on all the marketing services of
the cooperative.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Table 2. Respondents’ evaluation on the marketing services
PARTICULAR
RATING
MEAN DESCRIPTION
RATING
1
2
3
4
Price of products
14
16
1
4
1.86
Very much
satisfied
Volume marketed
15
9
10
1
1.91
Very much
satisfied
Location of market or delivery 10
13
10
2
2.11
Satisfied
area
Delivery convenience
12
10
11
2
2.09
Satisfied
Frequency of marketing/ or 9
15
5
6
2.23
Satisfied
delivery
Marketing schedule
10
12
5
8
2.31
Satisfied
Legend: 1 – very much satisfied –< 1.0 - 1,99
2 – satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.1 – 4.0
Evaluation on the Water Service
One of the project or service provided by the cooperative is the supply potable and
purified drinking water to members and even to non-members. The respondents rated the
water service as to the quality of water (clean and chlorinated water), availability,
time/promptness of delivery, volume of water delivered and the price they pay to the
cooperative for water service. All the fifty respondents evaluated the water service, which
means that all the respondents availed of the water service provided by the cooperative.
Quality of water. Twenty four of the respondents were satisfied on the quality of
water which means the water is clean and chlorinated, twenty one were very much satisfied,
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
three respondents were neutral and two were not satisfied. On the overall mean rating,
most of the respondents were very much satisfied with a rating of 1.72.
Availability. Nineteen of the respondents were very much satisfied and eighteen
were satisfied on the availability of water which may mean that water is always available
because delivery is daily and members could even pick-up especially the drinking water in
the cooperative. However, there were seven respondents who were not satisfied on the
availability of water, and six were neutral. The seven respondents were not satisfied
because sometimes delivery is late. The mean rating was 2.02 which mean that the
respondents were satisfied on the availability of water provided.
Time/promptness of delivery. Twenty of the respondents were satisfied on the time
and promptness of delivery, 16 were very much satisfied, ten were neutral and 4 were not
satisfied. Mean rating was 2.04 which imply that the respondents were satisfied on the time
and promptness of water delivery.
Volume of water delivered. Eighteen of the respondents were very much satisfied and
sixteen were satisfied on the volume of water delivered by the cooperative water service.
Ten of the respondents were neutral and 6 were not satisfied. Some of the respondents
were not satisfied of the volume because they are so man in their house so the water is not
enough and some of the members share their water to their neighbours who are not member
of the cooperative. The mean evaluation rating is 2.08 which imply that the respondents
were satisfied on the volume of water delivered by the cooperative.
Price of water. As to the price of water imposed to them by the cooperative, twenty
four of the respondents were very much satisfied on the price of water, twenty one were
satisfied, three were neutral and two were not satisfied. Members have special price on the
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
drinking water, for members pick-up price is P17.00 for the 5 galloon bottle and for
associate member is P20.00. For potable water, price is P270 per tank or 10 cubic meter.
The price of the cooperative is lower as compared to drinking water stations at 25 to 35
pesos per five galloons pick-up price. The cooperative also deliver drinking water with a
minimum quantity is 82 galloon. Mean rating was 1.66 which imply that the respondents
were very much satisfied on the price they pay for the water.
Though there were respondents who are not satisfied with the water services of the
cooperative, overall, result implies that the respondents were satisfied on the water service
provided by the cooperative to members.
Table 3. Respondents’ evaluation on the water services
PARTICULAR
RATING
MEAN
DESCRIPTION
RATING
1
2
3
4
Quality of water
21 24
3
2
1.72
Very much satisfied
Availability
19 18
6
7
2.02
Satisfied
Time/promptness
of 16 20 10 4
2.04
Satisfied
delivery
Volume of water delivered
18 16 10 6
2.08
Satisfied
Price
24 21
3
2
1.66
Very much satisfied
Legend: 1 – very much satisfied – <1.0 – 1.99
2 – satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.1 – 4.0
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Evaluation on the Different Credit Services
There were five types of credit provided by the cooperative. These credit services
include; production loan, regular loan, emergency loan, special commercial loan and salary
loan for those members who are employed.
Production loan. Production loan are loans provided to members for agricultural
production /farm business activities. There were only 30 out of the fifty respondents who
have availed of the production loan. As to the interest a greater number of the respondent
rated the interest on production loan as very much satisfied (14 respondents) and satisfied
(12 respondents) which imply that the interest imposed by the cooperative on production
loan is acceptable. The interest is low (16% per annum) as compared to other lending
institution and banks like Rural banks. There were three respondents who were neutral on
the interest imposed by the cooperative on production loan and one respondents is not
satisfied. On the mean rating, result was 1,70 which mean the respondents were very much
satisfied on the interest on production loan or interest imposed is acceptable to the
members.
Time of release for loan is one week after application of the borrower. A greater
number were very much satisfied and very satisfied on the time of release of loan. This
implies that the release was just on time for the need in the production activity. This is also
due to the short period which is only one week. On the mean rating (1.93) the respondents
were very much satisfied on the time of release of their production loan.
On the amount of loan to be approved depended on the capacity and appraisal of
the collateral of the borrower. The loan ceiling for production loan is P150,000. There
were 5 respondents who are neutral and 3 are not satisfied. This is because loan is not
enough for them to use in farm production especially when their farm is large. On the
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
overall mean evaluation rating of members on the amount of loan is 2.03 which implies
that they are satisfied.
The duration of payment for production loan is 180 days enough for 2 cropping
period. With this short duration of payment, still there were 13 respondents who rated the
duration as very much satisfied and 10 rated with satisfied which means that within 180
days the borrower could already pay their loan to the cooperative. However, there were
two who are not satisfied because for them the 180 days is not enough for them to pay their
loan, especially if there are typhoons or weather disturbances that destroyed their crops.
Thus, in order to recover, they need another cropping period, probable another year.
On the application of loan and loan requirement, despite of the requirement still
and greater number of respondents rated the cooperative with very much satisfied to
satisfied. Though, there were 2 respondents who are not satisfied with the loan application
and requirements. In application, a borrower will fill-up application form. Requirements
is a as collateral which are original land titles, tax receipt (current year), real tax certificate
or original OR (official receipt) and CR (certificate of registration) of the vehicle if vehicle
is used as collateral. Problem of some members is that they do not have something as
collateral, sometimes they have land but it is titled so they are not allowed to borrow a
bigger amount. Overall mean rating is 1.77 for application of loan which implies that the
respondents are very much satisfied and for loan requirement is 1,90 which means that the
respondents are satisfied.
On the overall aspects, result implies that the members are satisfied on the
production loan provided by the cooperative.
Table 4. Evaluation on the production loan by the respondents
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
PARTICULAR
RATING
MEAN
DESCRIPTION
1
2
3
4
RATING
Interest
14
12
3
1
1.70
Very much satisfied
Time of release
11
13
3
3
1.93
Very much satisfied
Amount of loan
10
12
5
3
2.03
Satisfied
Duration of payment
13
10
5
2
1.87
Very much satisfied
Application of loan
14
11
3
2
1.77
Very much satisfied
Loan requirement
10
15
3
2
1.90
Very much satisfied
Legend: 1 – very much satisfied – 1.0 - 1,99
2 – very satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.1 – 4.0
Regular loan. For the regular loan, the interest is lower (as compared to production
loan) at 13% per annum, time of release is the same with production loan which is one
week after application and also the same on duration at 180 days. Amount of loan granted
is twice of his/her capital share with a loan ceiling of P50,000. In application, the member
will fill-up application form and requirements are; must be a member of the cooperative
and have a capital share. On the evaluation on interest and time of release, most of the
respondents rated it with very much satisfied, although there were some who are neutral
and one is not satisfied. On the amount of loan, the respondents were very much satisfied
to satisfied. However, there 5 who are neutral dnd 2 not satisfied, this is so because the
cooperative imposed a loan ceiling so even if they would like to loan a higher amount
because they have a higher amount of capital share, they cannot avail because of the loan
ceiling. With all these requirements, a greater number of respondents rated services of the
cooperative on regular loan as very much satisfied to satisfied.
Table 5. Evaluation of respondents on regular loan
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
PARTICULAR
RATING
MEAN
DESCRIPTION
RATING
1
2
3
4
Interest
19
13
4
1
1.65
Very
much
satisfied
Time of release
17
18
1
1
1.62
Very
much
satisfied
Amount of loan
16
14
5
2
1.81
Very
much
satisfied
Duration of payment
13
12
9
3
2.05
Satisfied
Application of loan
8
9
8
2
1.84
Very
much
satisfied
Loan requirement
17
15
3
2
1.73
Very
much
satisfied
Legend: 1 – very much satisfied – 1.0 - 1,5
2 – very satisfied 1.6 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.1 – 4.0
Emergency loan. Only forty four of the fifty respondents evaluated the cooperative
service on emergency loan. These respondents have availed of the emergency loan.
Emergency loan is a short-term loan (30 days or 1 month) provided to members of the
cooperative. The interest is 1% per month equivalent to 12% per annum but this type of
loan should not reach one year. On the evaluation of respondents on the interest, a greater
number of the respondents ( 16 and 19) gave a rating as very much satisfied and satisfied
rating respectively. There were 7 respondents who were neutral on the interest and two
were not satisfied, this is because 1% interest for them is still high for the short term
duration. The time of release for emergency loan is upon submission of application form
and the respondents evaluated this aspect as very much satisfied (20 respondents) and
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
satisfied (19 respondents). But there were 4 who are neutral and 1 is not satisfied. The mean
rating is 1.68 which implies that respondents are very much satisfied.
The amount of loan for emergency loan is low from P1,000 to a maximum of
P3,000, payable within 30 days. The respondents rated the amount of loan as satisfied (15
respondents) and very much satisfied (18 respondents). However, there were 8 that are
neutral and 3 are not satisfied, this is because according to them the amount is low if it is
used as emergency for medical purpose then with the high price of medicines and other
items then P3,000 is not enough. On the mean rating (1.91), it shows that the respondents
are very much satisfied .
On the duration of payment of payments, 15 of the respondents gave a rating of 2
which means they are satisfied, and 14 are very much satisfied, a significant number (13)
had rated the cooperative with 3 or neutral and 2 are not satisfied. According to these
respondents, the period of 30 days is too short for them to pay the loan. Overall mean
rating was 2.07 which imply that the respondents were satisfied on the duration of
emergency loan.
On the application of loan, 17 respondents rated the cooperative with 2 which
means they are satisfied and 15 rated with very much satisfied, 8 were neutral and 4 were
not satisfied. The borrower will submit filled-up application form and requirement and
valid identification (ID) card and must be a member of the cooperative. Though there were
4 respondents who were not satisfied on loan application and requirements. This is because
of the valid ID card requirements before they can file or get a loan. The management is not
satisfied on the membership. Some members have not ID especially that they are not
employed in any agency, thus, the cooperative should issue an ID to the members and this
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
will be used by the members in transacting with the cooperative. The mean rating shows
that the respondents were satisfied on loan application and loan requirements.
On the overall, the respondents were very much satisfied on the interest, time of
release and amount of loan granted, and satisfied on the duration of payment, application
of loan and loan requirements.
Table 6. Evaluation of respondents on emergency loan
PARTICULAR
RATING
MEAN
DESCRIPTION
RATING
1
2
3
4
Interest
16
19
7
2
1.89
Very
much
satisfied
Time of release
20
19
4
1
1.68
Very
much
satisfied
Amount of loan
18
15
8
3
1.91
Very
much
satisfied
Duration of payment
14
15
13
2
2.07
Satisfied
Application of loan
15
17
8
4
2.02
Satisfied
Loan requirement
13
16
11
4
2.14
Satisfied
Legend: 1 – very much satisfied – 1.0 - 1,99
2 –satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.5 – 4.0
Special commercial loan. Special commercial loan is a loan provided to members
who are into business. Of the fifty respondents, only thirty eight evaluated this service
because they have availed of the loan. The interest imposed on this type of loan is the
highest among the 5 types of loan. The interest is 24% per annum, payable within 180
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
days equivalent to 25 weeks and payment is weekly. Time of release is one week after
application, and loan ceiling is P25,000. Since, this loan is intended for business use, one
of the requirements is a business permit and a member of the cooperative.
On the evaluation on interest rate, as shown in Table 7 respondents rated very much
satisfied for the interest and loan requirements with a mean rating of 1.87 and 1.82
respectively. However, there were seven who are neutral on the interest and 2 were not
satisfied, they think that the 24% is too high. Loan the loan requirement, there is a
significant of respondents (11) who were neutral and 4 were not satisfied, this is because
of the business permit, that if their business is small (informal one like a fishball or
barbeque stand), they usually do not get business permit. As to the time of release, a
greater number (14) rated the cooperative on this type of service with 2 which means they
are satisfied and 10 respondents were very satisfied. On the other hand a significant
number (11) of the respondents were neutral and 3 were not satisfied because the one week
after application release of loan is too long for them to wait for the cash they need in
business. Overall mean rating of 2.18 implies that the respondents were satisfied on the
commercial loan service of the cooperative. On the amount of loan, duration, and
application of loan, respondents were satisfied. There were 4 who were not satisfied
because P25,000 is not enough to purchase needs and the 180 days is not enough for them
to pay their loan especially if the business is small like the sari-sari store.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Table 7. Evaluation of respondents on special commercial loan
PARTICULAR
RATING
MEAN
DESCRIPTION
RATING
1
2
3
4
Interest
16
13
7
2
1.87
Very much satisfied
Time of release
10
14
11
3
2.18
Satisfied
Amount of loan
10
14
10
4
2.21
Satisfied
Duration of payment
10
13
11
4
2.24
Satisfied
Application of loan
15
17
8
4
2.03
Satisfied
Loan requirement
13
16
11
4
1.82
Very much satisfied
Legend: 1 – very much satisfied – 1.0 – 1.99
2 – satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.5 – 4.0
Salary loan, Ten of the respondents have evaluated this type of loan service. These
ten were the respondents who are employed in government and private agencies. The
interest on salary loan is 14% per annum, time of release is one week upon application,
amount of loan is thrice (3) the monthly salary of the borrower and duration is 2 years paid
through salary deduction. Borrowers are required to fill-up application form, should be a
member of the cooperative, certificate of employment and statement of salary or pay slip.
As shown in Table 8, with regards to the interest, results shows that the respondents
were satisfied though there is one who is not satisfied with 14% interest per annum. On the
time of release, duration of loan and application of loan were rated as satisfied. One week
after application release of loan is too long for them especially if they need the money very
badly. According to some respondents the two year payment period is not enough for them
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
to pay their loan because the shorter the period to pay the higher deductions which also
affects their budgeting of household needs. On the amount of loan and loan requirements,
the rating of respondents was very much satisfied.
Result implies that as to the salary loan the members who have availed are satisfied
on this type of credit service provided by the cooperative.
Table 8. Evaluation of respondents on salary loan
PARTICULAR
RATING
MEAN DESCRIPTION
RATING
1
2
3
4
Interest
4
3
2
1
2.0
Satisfied
Time of release
3
2
4
1
2.30
Satisfied
Amount of loan
5
3
1
1
1.80
Very
much
satisfied
Duration of payment
4
2
3
1
2.10
Satisfied
Application of loan
3
3
2
2
2.30
Satisfied
Loan requirement
5
2
2
1
1.90
Very
much
satisfied
Legend: 1 – very much satisfied – 1.0 - 1,99
2 – satisfied 2.0 – 2.5
3 – neutral 2.6 – 3.0
4 – not satisfied 3.5 – 4.0
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
Summary
This research was conducted to determine the level of satisfaction of members on
the services of Bahong Multi-Purpose Cooperative (BMPC).
Respondents were fifty members of the cooperative. Data was collected with the
use of survey questionnaire and analyzed using frequency analysis. Majority of the
respondents were 26-35 years old, male, married, college level or graduate, Roman
Catholic, have been member in the cooperative for 5 years and more and mostly are
engaged in farming.
The respondents evaluated the services, especially these services they have availed.
Thirty five of the respondents who have availed of the marketing services evaluated this
service provided by the cooperative. The respondents evaluated the price of the product,
volume marketed, location, delivery convenience, frequency of marketing/delivery, and
marketing schedule. Most the respondents rated marketing services as very satisfied.
On the water services from potable to purified drinking water, the respondents were
very satisfied on the quality of water delivered, availability of water, time/promptness of
delivery, volume of water delivered and the price of water.
The respondents evaluated the different types of credit services provided by the
cooperatives which are the production loan for those engaged in agricultural production,
regular loan, emergency loan, special commercial loan for those engaged in business and
salary loan for members who are employed in government and private organization.
Interest of the loan, time of release, amount of loan, duration of payment, application loan
and loan requirements were the factors evaluated by the respondents. The interest for the
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
loan were low as compared to other lending institutions, like Rural and Commercial Banks.
Interest ranges from 12% to 24% per annum. Special commercial loan has the highest
interest and mode of payment is weekly for 25 weeks. Lowest interest is imposed on the
emergency loan at 1% per month and duration is 30 days. Time of release is one week
after application and amount of loan depends on the capacity of borrower though there are
loan ceilings for every type of loan. Loan requirement are should be a member of the
cooperative, have capital share, and for bigger amount should have collateral and employed
for salary loan. In all these aspects/factors, the respondents were very satisfied with the
credit services of the cooperative.
Conclusions
Based on the results, the following conclusions are drawn:
1. Majority of the respondents belonged to the age ranged of 26 – 35 years old
and married. They were all engaged in farm production.
2. As to the water services, almost all the respondents availed this service of the
cooperative..
3. On the evaluation results provided by the respondents, majority were satisfied
on the marketing services and water services. On the 5 types of credit, most of them were
very much satisfied on the production loan, regular loan and emergency loan.
Respondents were satisfied on the special commercial loan and salary loan.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
Recommendations
The services offered and the way the cooperative manage these services should be
maintained/sustained and improve further especially in areas where some respondents were
neutral and not satisfied so that members will continuously patronize the cooperative and
its services because the life of cooperative is in the support of members by patronizing the
services offered.
On the marketing services improvement can still be done on the location or delivery
area and space so that they have space when they deliver their products all at the same time.
On water services improve service on the availability, time and promptness of delivery and
exact volume of water delivered (if 10 cubic meter then it should be exact) and reduce the
minimum quantity of 82 gallons per delivery for drinking water. Improvement on the areas
of the loan services where a significant number of respondents were not satisfied.
Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012
LITERATURE CITED
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Philippines. P. 23.
BAGLAO, B.C. 2002. Consumers services capacity of the MultiPurpose Cooperative in
Poblacion, Bakun. MS Thesis. Benguet State University, La Trinidad, Benguet. P. 30.
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Baguio City. Pp. 5, 24.
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Evaluation on the Level of Satisfaction of Members on the Services of Bahong Multi-
Purpose Cooperative | MAYOMIS, BIBIAN A. OCTOBER 2012