Sustainable Microfinance - Balanced Scorecard's added value for ...

More documents

Recommendations

Info

Gomes and Liddle (2009)* o The middle box provides an indication of where the social enterprise wishes to be in 18 months—2 years time o The outermost box projects a much more long term—5 to 10 year perspective • The intention is to highlight the connections and continuities in the organization’s actions and strategies over time • A number of problems were experienced while using the Social Enterprise Scorecard Empirically: o The scorecard-based approach was not fully introduced to the organizations concerned prior to the initial assessment visit o Some of the early users expressed frustration during their initial attempts to use the tool o Some users had not encountered anything similar before; o Some were suspicious of it as a private sector model invented in business schools • It is clear that the Scorecard has to be used flexibly, if it is to be of real value to investor and investee • Used as an illustrative case study for the third sector, by using an organization that does not aim to produce a profit, rather, it was concerned with managing resources to foster research results at a lower cost and to act as a tugboat for public universities by improving efficiency and nimbleness • Concluded that the case study organization, although it does not pursue profits, desperately needs financial stability in order to survive • This is ensured by good financial performance • Therefore they decided to put the financial dimension at the top Table 3.2: Performance Management Beyond the Private Sector (Author) ° Model ! discussed in paragraph 2.2.3 * Model presented in appendix B 3.4 Characteristics of Micro and Small Entrepreneurs Since the focus of this research is on entrepreneurs supported by MF-points, the next step is to identify the characteristics of these Micro and Small Entrepreneurs (MSE). 3.4.1 Planning in the Small Business Sector ‘Failing to plan is planning to fail’ (Unknown) According to Watts, et al. (2009b) there is one universal theme in the SB literature: few MSE have a well-developed strategy (see table 3.3). As the tabled literature suggests, inadequate planning appears to have a negative effect on the small firm’s performance and sustainability, as evidenced by higher failure rates for those MSE Elmar Hoogendoorn 39 Sustainable Microfinance
that fail to effectively plan for the future of the business (Davig et al., 2004; Orser et al., 2000; Shrader et al., 1989). One of the reasons given for this failure to plan is the limited time available to entrepreneurs, who are often engaged actively in day-to-day operations. In addition, some argue that formal planning would actually negatively affect the flexibility of the firm, seen as a key competitive advantage for many SBs, they can proactively shift operations and focus to meet changing customer requirements (Davig et al., 2004; Knight and Knight, 1993). Author(s) Main Findings Knight and Knight (1993) Davig, Elbert and Brown (2004) Van Auken and Sexton (1985) Fitzgerald and Moon (1996) Orser, Hogarth- Scott and Riding (2000) • SB planning is unstructured, irregular, sporadic and reactive • SBs only see need for formal planning when seeking financing • Formal planning may impair flexibility, which is critical to SBs success • Insufficient time for planning exists in SBs • Formal planning may impair flexibility • Size differences impact these patterns • Little or no strategic planning in SBs • Operational planning is more prevalent • Objectives of planning, when done, are often vague, pragmatic, and extremely short-range • Performance of SBs who engage in some form of planning exceeds that of the SB firms that do not undertake planning • In the US, over 64% of SBs do no formal planning • Growth occurs only when al threshold of administrative and managerial acumen is attained by the management team • The presence of a business plan was highly correlated with performance Table 3.3: Planning in the Small Business Sector (Watts et al., 2009b) Most ! owner-managers are generalists with a very broad level of practical experience yet they often lack the expertise to accomplish the planning task (Meredith, 1989). Many owner- managers become reactive rather than proactive in their decision- making. This fact can be seen from two perspectives; MSE operate in ‘fire-fighting’ mode because of the failure to plan effectively (Shrader et al., 1989); strategic planning does not occur in MSE (or only occurs to a small degree) because the firm’s viability is dependent on flexibility and a keen understanding of operational competencies (Davig et al., 2004; Knight and Knight, 1993). Elmar Hoogendoorn 40 Sustainable Microfinance
Page 1 and 2: ! ! Sustainable Microfinance Balanc
Page 3 and 4: Keywords and Abstract Sustainable M
Page 5 and 6: Condensed Table of Contents ! ! Key
Page 7 and 8: 3.3 Lessons from previously develop
Page 9 and 10: List of Figures ! Figure I-1: Thesi
Page 11 and 12: List of Abbreviations BDS Business
Page 13 and 14: 1. Overview This chapter serves as
Page 15 and 16: In 2007, the Dutch Ministry of Econ
Page 17 and 18: collect information or seek specifi
Page 19 and 20: In some regions entrepreneurs are a
Page 21 and 22: • What different players in the D
Page 23 and 24: 2. Theory and Literature Review - M
Page 25 and 26: investors expect to gain from the f
Page 27 and 28: 2.4 Microfinance in (Western) Europ
Page 29 and 30: A MFI in the survival mode can bare
Page 31 and 32: The main factors that negatively af
Page 33 and 34: that are needed in order to transfo
Page 35 and 36: According to Lämmermann, et al. (2
Page 37 and 38: 2.5.6 Success of BDS Lämmermann, e
Page 39 and 40: The final conclusion relates to the
Page 41 and 42: Kaplan and international strategy c
Page 43 and 44: investments in learning will lead t
Page 45 and 46: • Derived from strategy; • Stim
Page 47 and 48: emaining drivers of the model are;
Page 49: Greatbanks and Tapp (2007) Manville
Page 53 and 54: objectives (obligations) establishe
Page 55 and 56: Section II. Research Design The pre
Page 57 and 58: the use and usefulness of PMSs by s
Page 59 and 60: Figure 4.1: Step model of inductive
Page 61 and 62: 4.5 Methods of Data Collection In o
Page 63 and 64: All eight groups are interesting fo
Page 65 and 66: must take into account with the rel
Page 67 and 68: Section III. Findings and Discussio
Page 69 and 70: KH VS TB RL OE MB CS AP Total App.
Page 71 and 72: street and within an area of 500 me
Page 73 and 74: A final aspect that is exceedingly
Page 75 and 76: For the model Stefano (2010) propos
Page 77 and 78: know a lot about this topic', often
Page 79 and 80: 5.3 Summary Based on the empirical
Page 81 and 82: 6. Discussion 6.1 Introduction This
Page 83 and 84: 6.2.4. Sustainability Entrepreneur
Page 85 and 86: 6.2.9. Network & Business Developme
Page 87 and 88: The discussion is ended with a fina
Page 89 and 90: • Since the development of microf
Page 91 and 92: 7.2.3 The Model: ‘Equally’ Bala
Page 93 and 94: cannot be controlled by the researc
Page 95 and 96: Appendix A - Thesis Proposal Accord
Page 97 and 98: 1. Abstract The Thesis Project will
Page 99 and 100: efficiency, and aggressive enforcem
Page 101 and 102:
entrepreneurs, compared to the curr
Page 103 and 104:
The Thesis Project has several obje
Page 105 and 106:
Based on the results from the liter
Page 107 and 108:
8. Table of contents Preface List o
Page 109 and 110:
References Armendáriz, B. 2009, 'M
Page 111 and 112:
Work program March April Week numbe
Page 113 and 114:
Figure B-2 Simplified Strategy Map
Page 115 and 116:
Figure B-5 Comprehensive Performanc
Page 117 and 118:
Organizational Development • What
Page 119 and 120:
RL start at the core; 'why do you w
Page 121 and 122:
Appendix E - Social ! KH jobs creat
Page 123 and 124:
Appendix F - Financial ! Liquidity
Page 125 and 126:
OE through friends and family and a
Page 127 and 128:
MB that has to do with you financia
Page 129 and 130:
RL You can test it, by launching fo
Page 131 and 132:
Appendix I - Internal Business Proc
Page 133 and 134:
OE he has an advantage and should f
Page 135 and 136:
Appendix L - Network ! Professional
Page 137 and 138:
Appendix M - Business Development S
Page 139 and 140:
Appendix N - General BSC model ! Us
Page 141 and 142:
Appendix O - Relation and Link ! Eq
Page 143 and 144:
Appendix P - Most Important Financi
Page 145 and 146:
Appendix R - Sustainability of Micr
Page 147 and 148:
Appendix S - Qredits ! KH The main
Page 149 and 150:
Bibliography Affleck, A. and Mellor
Page 151 and 152:
Derban, W., Binner, J. and Mullineu
Page 153 and 154:
the case of the tourism industry,
Page 155 and 156:
Kunc, M. (2008), 'Using systems thi
Page 157 and 158:
McKinsey & Company, p. 3., Availabl
Page 159 and 160:
Shrader, C.B., Mulford, C.L. and Bl
Page 161:
Woodworth, W. and Woller, G. (1999)
show all

Sustainable Microfinance - Balanced Scorecard's added value for ...

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?