Belcoopsoyuz urged to be more cost effective

MINSK, 8 February (BelTA) – Belarus President Alexander Lukashenko has ordered to take comprehensive measures to step up the output, profitability and reduce costs of Belcoopsoyuz organizations. The head of state made the statement at a meeting of Belcoopsoyuz consumer cooperative society on 8 February, BelTA has learnt.

Alexander Lukashenko stressed that there is a certain positive dynamics of financial indicators of consumer cooperative societies. However, they have not managed to ensure efficient work necessary to expand production yet. For instance, about 80% of organizations generate low profit, more than a half of organizations do not have own circulating funds. Moreover, profitability of 21 consumer cooperative societies is less than 0.5%. Having such profitability, the organization cannot create conditions for simple manufacture, to say nothing of business development.

It is essential to take comprehensive measures in this field, especially, taking into account the fact that 2013 was announced the Year of Frugality, the head of state said.

The President said that salaries in consumer cooperative societies are one of the lowest in the country. For example, in 2012 the salary totaled just Br2.5 million, or 67% of the nationwide average. According to the head of state, it is necessary to ensure more substantial increase in salaries. Therefore, it is necessary to raise efficiency of work.

Alexander Lukashenko also urged Belcoopsoyuz to continue optimizing its organizational structure to minimize costs and guarantee highly profitable work. “But the optimal organization structure will not operate automatically. It will create preconditions for effective activity. Therefore, all workers of consumer cooperative societies have to show high level of organizational work, deep understanding of the potential and reserves available in management forms. Thus, it is necessary to improve personnel training,” the President noted.