One of the goals of this plan is to establish policies and under

take programs so that CCA's farm supply volume will reach $258
million by 1965. Based upon an analysis of growth rates by in-
dividual commodity lines, plus reasonable expectations of the
future, this goal is modest and should be attained.

In arriving at this goal, we have projected different rates of
growth for different commodities. Refined fuels volume, for
example, is expected to increase at a somewhat slower rate than
fertilizer and feed. These projections, of course, are based on
careful studies of the potential market and our experiences in
recent years.

Within the bounds of the region now served by CCA are sizable areas where the full line of CO-OP products is not available to farmers. Every effort will be made to fill in these blank spots. We shall also examine carefully the possibility of finding new outlets for CO-OP products on the fringes of our larger cities, where there is considerable demand for fertilizer, paint, agricultural chemicals, pet foods, and other products we now distribute under the CO-OP label. CCA will continue to study the possibility of adding new lines of products, The question of whether we shall enter the seed business will be seriously considered. We shall also investigate the possibility of handling certain lines of irrigation equipment and supplies.

On ne of the foundation blocks in CCA's growth has been a program of production and manufacturing. The policy has been to start making our own products whenever it was determined that this offered advantages over purchasing them from other suppliers. The advantages of production are as follows:

1. Generation of savings.

2. Control of quality.

3. Adequate supplies when needed.

4. An integrated approach.

manufacturing goals and guidelines

1. To keep all plants modern and efficient.

2. To continue our policy of expanding production where advantageous to do so.

3. To conduct joint production operations with other regionals
where mutually advantageous.

4. To increase crude oil production to 25 per cent of refinery
runs by August 31, 1965.

5. To seek crude oil reserves in foreign countries.

6. To step up research and development work on new products and new processes.

7. To investigate the possibility of manufacturing products closely related to present lines petrochemicals, for example, which are a natural complement of our petroleum

activities.

In order to meet our volume goals, we are going to need a sizable list of new manufacturing facilities. Among those under consideration are a propane plant, additional feed mills, a grease, paint and agricultural chemicals plant, additional drymix fertilizer plants, and whatever processing facilities may be required to keep abreast of activities in our contemplated meat and egg programs. Present plants will be kept modern and efficient. A new technical research building is to be built, probably on a sale and lease-back basis. The central office building in Kansas City will be expanded to take care of a steadily increasing staff. Total expenditures for facilities required in this five-year period, including expansion of our oil production, are estimated at $87,150,000.

The growth and development of any organization is limited

only by its number of inspired, informed, and qualified leaders.
Therefore, in future planning, greater emphasis must be placed
on cooperative education and leadership development. One
of the lessons we have learned is that people will work together
when they understand the principles and practices of cooperation.
To accomplish our educational objectives will require many
types of endeavor. Our plans may be summarized as follows:
1. The CCA School of Cooperation is now under construction. It will
be devoted to continuous short courses for local employees, managers,
directors, and others interested in serving cooperatives. All the product
and service training short courses will include cooperative philosophy,
history, and principles. The school, which will be opened during the
first year of the plan, will be the keystone of our educational structure.
2. One-month short courses will be conducted for CCA employees who
are employed for field work, or who are in divisions or departments

ducational programs

where they come in contact with the membership and public. These
courses will consist primarily of cooperative history and principles,
development of CCA, public speaking, and communications.

3. One-week leadership courses will be held for youth, following the
recent pattern of our Co-op youth camps.

4. A one-week course will be set up for youth leaders, on the history
and principles of cooperatives, and the accomplishments of Midwest
farmers through their cooperatives.

5. A course of from three to six months will be inaugurated for the
development of cooperative leadership. This course will include the
study of farm organizations, farm programs, history and principles
of cooperatives, the accomplishments of cooperatives in the United
States and abroad, public speaking, communications, sociology, and
social and economic trends. This course is designed to train leaders.
6. The Management Institutes will be continued and intensified, using
the services of a management consultant firm. Some of the institutes
will be held in local areas, others will be held at the CCA School
of Cooperation. There will be three-day courses for managers and
two-day courses for directors.

7. CCA will continue to sponsor annual one-day Leadership-Manage-
ment Conferences in the field.

9. CCA will continue to sponsor bus tours for members, directors, and

employees so that they may see first-hand the facilities built to serve
them and develop better understanding of the relationship between
CCA and the local associations.

8. Local cooperatives will be urged to develop associate boards, educa-
tion committees, and the use of retail fieldmen.

10. The Co-op Family Camp at Estes Park, Colorado, will be continued. We plan to conduct three one-week camps each summer.

...

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11. A staff or organization fieldmen will be maintained to assist local associations in expansions, finance drives, and other projects. special services . information coordination . guidance CCA has already established itself as something of a service base for cooperatives throughout the central part of the United States. It is a source of information and guidance; a center where experience records are assembled and analyzed. It is a

clearing house of ideas and of personnel trained in cooperative
principles and techniques. During the next five years we shall
expand and improve upon all of the programs that fit into this
picture. Some new programs will be established. Our five-year
planning in this area may be summarized as follows:

1. Management training will be stepped up to meet the growing need
for local managers. This will be put on a long-run basis, and increas-
ing emphasis will be placed on recruiting college graduates.
2. A management counseling service, staffed with high-caliber personnel,
will be established. The objective will be to assist local boards and
managers with over-all management problems. This service will be
operated on a fee basis.

3. Two other services will be established and operated on a fee basis;
namely, a tax service and an architectural service.

4. CCA fieldmen will be trained to offer more technical services to local employees.

5. Our goal is 300 retirement plans in operation by August 31, 1965.

publications

public relations

We shall carry on an aggressive program for better public
understanding of CCA and all farmer cooperatives. In this con-
nection we shall strive to build advertising programs that will
explain cooperatives as well as CO-OP products. We shall con-
tinue to stress the importance of identification symbols for all
member associations and will continue to work with local as-
sociations in extending the use of CCA's "new look" insignia
and fitting it into decoration schemes, local promotions, etc.
research

The Technical Research program will be expanded rapidly.

A technical research center will be built. All control work and testing work of ingredients purchased and products produced will be conducted in CCA laboratories.

A nuclear laboratory will be established. The biological lab-
oratory will be expanded.

Work will be stepped up in the field of product improvement.
Work will be launched in the field of process improvement.
Additional well-qualified scientists will be obtained.

Activities in the field of economic research also will be stepped
up. Continuing work will be carried on to establish definite
potentials and a measurement of CCA's market share in each of
the states served. Market surveys will be made before new
facilities are built or purchased. Market analysis will be stepped
up to pinpoint areas for greater market development. Commodity
economists will keep abreast of changing conditions. Market
research will be launched, following farm products from the
farm to the ultimate consumer.

Outlays for all types of research, including college grants, will
be increased materially.

The demonstration farm will be operated to provide maximum services in the field of product testing.

personnel planning

The most important factor governing the success of a business
is the caliber of the men directing and managing it. It is planned
that activities in the field of personnel will be formulated and
new programs inaugurated to insure a continuing supply of man-
agement talent.

The tremendous growth envisioned in this plan in volume,
assets, facilities and programs means a large increase in man-
power. The most difficult positions to fill will be supervisory
and executive positions.

To meet this need, an executive and supervisory development
program will be launched, consisting of the following:
1. Top caliber graduates will be recruited from colleges.

2. A continuous program of appraisal of personnel will be carried on. 3. Job rotation, when advisable, will be used as a development tool. 4. Personnel will be advanced, on the basis of performance and training.