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Instructions: in the spaces provided, describe strengths, weaknesses, and/or recommendations. Enterprise risk management Transformation bank's mission is to alleviate poverty through microfinance. Management's philosophy is

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Instructions: in the spaces provided, describe strengths, weaknesses, and/or recommendations. Enterprise risk management Transformation bank's mission is to alleviate poverty through microfinance. Management's philosophy is that the poor can be best served, not through handouts but through access to the financial and knowledge resources that could help them grow The founding president came from a food aid organization, and the board consists of friends of the president who are wealthy and well-connected in the community. The organization is egalitarian, with every employee having an equal say. There are few written job descriptions or policies. The structure of the organization is very informal, with people stepping in to do tasks on an as-needed basis, without direction from the president or other managers. The culture of the organization includes a deep concern for the poor. The employees include dedicated, hard-working volunteers and employees with experience in other aid organizations. Hiring is generally done through word-of-mouth contacts, compensation is generally much lower than in commercial banks, but employees seem to be happy. Governance&Culture There are few regulations flexibility. The microfinance industry is well established, so transformation bank models its practices on those of other microfinances in the area. governing microfinance that are only involved in lending, so the organization has a lot of The organization doesn't have a formal strategy or objectives, and does not use formal planning and budgeting to guide actions. However, all of the employees understand that the bank seeks to identify clients who have small businesses and provide loans for equipment and other assets that will help those businesses grow. A lot of the bank's new clients are smallhold farmers who borrow money for seeds and fertilizer. Microbusiness loans are very risky, and donors cover shortfalls between interest received from clients and costs incurred. Strategy&Objective-Setting

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