An Analysis of Managerial Challenges of Affiliated Credit Unions to Cameroon Cooperative Credit Union League (CamCCUL)

Aim: This study seeks to analyse the managerial challenges that affiliated Credit Unions to Cameroon Cooperative Credit Union League (CamCCUL) are exposed to. The prevalence of Credit Unions with limited managerial capacities in most Cameroonian communities both in rural and urban areas invites corporate parenting from bigger support and supervisory organizations like CamCCUL. This parenting relationship between CamCCUL and her affiliates presumes superior managerial capabilities to affiliates which in most cases is a misplaced expectation. This is prompted by the fact that these institutions affect a multitude of lives both directly and indirectly. The Agency and Stakeholder theories served as foundation.

Study Design: The study adopted a survey and causal exploratory design with both qualitative and quantitative parameters. The focus of the researcher was to explore managerial challenges from the managers themselves and members of credit unions who are better placed to gauge the effectiveness of managerial actions in terms of the service they receive.

Place and Duration: This study was conducted between April 2016 and November 2018, involving 138 of the 210 Credit Unions operating mostly in the Northwest and Southwest regions of Cameroon.

Methodology: The major instrument for data collection was questionnaire and a pilot study of 50 copies was carried out across various Chapters of CamCCUL. With a population of 210, a stratified sample of 138 was obtained using the Taro Yamane Formula.The primary data was tested to be reliable with a 0.701 consistency coefficient using Cronbach alpha. The study employed Chi-Square as a tool of analysis to measure Credit Unions’ affiliation to CamCCUL and specific Managerial Challenges.

Findings: The findings revealed that affiliate Credit Unions to face numerous managerial challenges ranging from structural to resources deficiencies. The most alarming of these problems were the lack of autonomy to take managerial decisions and threats from CamCCUL supervisors.

Conclusion: The study concluded that CamCCUL as a league is not operating solely to achieve its mission and has rather kept its affiliated Credit Unions in a tight corner. The researchers recommended that the regulating authorities should render Credit Unions more autonomous where possible. Additionally, there should be well-structured and comprehensive governance policies for the management of all affiliated Credit Unions to comply with.