Examining Entrepreneurs as Agents of Change

Examining Entrepreneurs as Agents of Change Introduction The rapid growth of the marketing is constantly changing our lives. As a result, entrepreneurs are played the importance role in a market as they are seen as agents of change. Which the change is economically based, the implications are far reaching, affecting other aspects of society such as social, cultural and political. That is why the entrepreneur is willing to take the responsibility and taking business risk to create and expand their business to order to explore more opportunities. Which the goods and services are fulfills customers demand and preferences. Entrepreneurs seen to be the starters and them also assume the role of manager. Which entrepreneurs are observing the fourth factor of production (entrepreneur, land, labor and capital) and improve for the economic development. They were actively form to lead their own business and cultivate and offering new ideas for the economic growth and prosperity in individually. Moreover, entrepreneurs have a good in planning and manage strategically to make a decision and always strive for excellence in a business. Therefore, it can avoid the failure that may threat to an entrepreneur and the lack of continuity of the business and know how to developing the field of social entrepreneurship. In the scenarios, among a social entrepreneur is motivated to improve and transform social, educational, environmental and economic conditions. Social entrepreneurs are for social improvement but not for the money. They are presents their ideas that are user-friendly and ethical that which applies innovative solutions to support in order to expand the large number of people to tackle their idea. Which the challenges and successful of highly effective social entrepreneurs include the failure and a lack of acceptance of the status. The social entrepreneur is importance to driven by an emotional desire to the social and economic conditions and not only by the desire for profit. Anyways, they seek for the best solutions to resolve the problems that can be copied by others. In other hand, social entrepreneur were improvement of the goods and services offered to the community is to create the social value with run as non-profits. Challenges of Social Entrepreneurship The challenging issue of social entrepreneurship is to build up a no funding of reliable team, and establish an effectively and reality business plan to scale up. In this case, the skills and insight of a social entrepreneurship is very importance that must hold by them in their business. Challenges may bring the success for entrepreneurs to lead their own businesses and active involvement to explore more opportunities. The below are show the challenges of social entrepreneurship. 2.1 Managing Accountability Accountability is a complicated issue for social entrepreneurship. Social entrepreneurs create the opportunities, good in planning and manage strategically to make a decision and always strive for excellence in a business. Which they must have a good skills and insight to developing its strategic in the business. Social entrepreneurs need to build the profitable businesses which are observing the fourth factor of production (entrepreneur, land, labor and capital) and improve for the economic development. Therefore, social entrepreneur always strive for excellence in a business which make their own view and experiences to the companys strategy. However, social entrepreneurs also same with other entrepreneurs, have to search for resources and survive until the business begins reaping income. The challenges and skills are useful in the future for entrepreneurs more accountable on their business. 2.2 Managing the Double Bottom Line Double bottom line is a business term which can create a series of tensions across the business (Pharaoh, Scott, Fisher, 2004). Its to measure the financial performance in term of positive social impact. It approach to applied to public and private sector organizations ability to take their strengths and capacity and match them to an opportunity they see in the marketplace- an opportunity that both meets their mission and provides financial stability- this is what we call double bottom line. (Anon, 1999) These great efforts must take time to achieve the results more effective management and outcome the form of revenue diversification. 2.3 Managing Identity In the managing identity issues, Social entrepreneurs who have worked mainly in the nonprofit sector may find it difficult to identify closely with the commercial side of the business; for entrepreneurs with a for-profit background, the problem may be a difficulty identifying with the goals and approach of the social side of the venture, especially when they undermine the stability of the business (Pharoah et al., 2004). Besides that, Complex identity issues such as these need to be made explicit in the context of social entrepreneurship education, which should also convey the commercial realities of managing a social venture; regardless of their commitment to their social vision, only by operating profitably can social entrepreneurs engender sustainable social change. Clearly, this raises particular leadership dilemmas for social enterprise (Martin, 2003). 2.4 Managing a Global Operation Managing a global operation also play the important role for the challenges of social entrepreneur. All the work is done for global especially for social enterprise which they are faced to the new challenges to management the business. In this case, the time also important to this section to help them more function closely as a team in workplace. Anyways, staying objective and communicating your value, fighting fires and thinking strategically, and remaining true to the vision when complexity arrives are also be the strategically to positioning the business while there are occur a list of issues that need to be solve in the workplace. Success of Social Entrepreneurship The success will require the well practice, interchangeable ideas and knowledge to improve the society. Social entrepreneurship must have the hard work, plain, and simple behaviour to driven the success that can solve the social issues. Anyways, they are shared their ideas and have a good in plan and manage strategically to make a decision and always strive for excellence in a business. Therefore, it can avoid the failure that may threat to an entrepreneur and the lack of continuity of the business and know how to developing the field perfectly. The next point will bring the success to an entrepreneurs is traits of an entrepreneur. Thats important for entrepreneur to strive the excellent in business and also focus on how they can get the things they want through the ways they go. Below are show the factor and traits of an entrepreneur to driven the success. 3.1 Goal-Setter A goal-setter is very importance for anyone to get the successful in business. Stay focused and strive for balance to set a goal will be useful for everyone. To achieve the goal, entrepreneur must ensure that the goal is clearly and achieve attainable vision with concrete measurable goals. 3.2 Knowing Your Strengths and Weaknesses Knowing the strengths and weaknesses of an entrepreneur also may bring the successful in business. Anyways, the strengths and weaknesses are playing an active role in people likes to successful in business. This is the ability that entrepreneurs have to brush off failures and mistakes and keep going forward. Therefore, an entrepreneur must exercise how to get even better performance in business, enhance self-confidence, and improve the study skills, knowledge and ability. Regardless in life or in business, entrepreneurs are playing the importance and potential role in the business. Before that, entrepreneurs have to self-evaluation themself such as strengths, weaknesses, opportunities, and threats. This may transform people attitudes to get even better, know the ways to improve the ability. 3.3 Maximizing Opportunities An opportunity is importance for entrepreneurs; they are always looking for opportunities. Whether they are already in business or just getting started, they have an attitude that expects opportunities, and they invest the time necessary to find the opportunities that will work for them; even those already running a successful business remain open to new possibilities. (Anon, 2003) 3.4 Know Your Business/ Know Your Competition Problems are always occurring in the business. The new idea may bring the opportunities by increase the income of the business and success achieve the goal was set. So that an entrepreneur must have a good in plan and manage strategically to make a decision and always strive for excellence in a business. Entrepreneur must have the great thinking and creative ideas that to play the important to share the new ideas which the ideas may make them success in their own business. 3.5 Effectively Manage Budgets and Finances Budgets and finance are also the issues for entrepreneurs as how they earn the income by investment. The ethical and moral must be including by an entrepreneur, they use the positive ways to operate their business. Effectively manage budgets and finances may help them to save the resources and reduce the expenses in production. 3.6 Never Settle for Second Best Never settle for second best also as a trait for an entrepreneur also may bring the successful in business. Entrepreneurs have a good in planning and manage strategically to make a decision and always strive for excellence in a business. Innovation for entrepreneurs is to done the new ideas to become products and services which the products and services are fulfill customers demand and preferences. They were actively form to lead their own business and cultivate and offering new ideas for the economic growth and prosperity in individually. Moreover, entrepreneurs are capability to learn from the failure and personal initiative to make innovation and improvement to get the business opportunities. 3.7 Hard Work The time is the issues that to bring people for driven to success. The characteristic of an entrepreneur are willingness to work hard and assuming the responsibility in the workplace. Entrepreneurs must know how to managing their time to work or launching a new business. Therefore, they are fully applying they ability with intensity and focus to done their duty in business. The position of an Social Entrepreneurship To become a great entrepreneur, there are the ways to position their post in workplace. This may helpful to entrepreneurs to success in business and improve their knowledge and ideas. 4.1 Set a clear, attainable vision with concrete measurable goals Explanation the notion of leading is to motivate employee to achieve the goals has been set. Create a shared culture and values, communicating to all the employees of all the organization. That may infusing the employees that to perform the high level and ability to shape the communication, culture and motivate employees to achieve business success. Anyways, leading process were let the employees know what is the vision need to measure up and try to motivate the employees to make the organization more effectiveness, efficiency and functional the organization. Tell people what your individual expectations are A feedback is helpful to specific and measurable about their ongoing job performance. Its may identify the employees who get the benefit from every training or supervision. In other hand, everyones expectations are different to each other. Theyre needed to tell other about what was he or she expects to want to get in the business. Thats the key to striving to make someone a success. Moreover, responsibility for a person may bring the effect to the whole organization. The motivation, dedication and productive may drive the business a success. Entrepreneurs may feel confident about their skills and it may make it easily be more productive, satisfied and successful. Self-review, evaluation to motivate the potential in the workplace Self-evaluation can use the SWOT analysis to evaluate strengths, weaknesses, opportunities, and threats in workplaces. However, it may transform people attitudes to get even better, know the ways to improve the ability. A good conversation promotes an image of intelligence, wittiness and, self-confidence. Therefore, this may improve a persons ability in conversation or other situation. This also may help people to find the objectives and how to solve the problem in presentation, study, and finding information. Anyways, different path such as academic, personal, career, or other also has distinct objectives. To achieve the goal, a person must ensure that goal is clearly aware of what is expected from them if an objective is to be achieved. (ezinearticles, 2005) Be open to new ideas The thinking strategically is the challenges for entrepreneurs to resolve the business problem and create the innovations. A social entrepreneur must have the great thoughts and creative ideas. Thats an important reason that to share their new ideas which the ideas may success to improve their organization. A new idea may bring the opportunities to extensive the business in which increased productivity. The challenges in the field of social entrepreneurship also the development of new strategies and notion frameworks tailored specifically to social value creation. These reactions are crucial to fostering a positive environment that builds morale, improves motivation, and creates opportunities for success. Conclusion In the conclusion, challenges and success will build up a good behavior and establish an effectively and reality business plan to scale up. The success will require the well practice, interchangeable ideas and knowledge to improve the society. Challenges may bring the success for entrepreneurs to lead their own businesses and active involvement to explore more opportunities. Anyways, they are shared their ideas and have a good in plan and manage strategically to make a decision and always strive for excellence in a business. Therefore, it can avoid the failure that may threat to an entrepreneur and the lack of continuity of the business and know how to developing the field perfectly. Social entrepreneurship must have the hard work, plain, and simple behaviour to driven the success that can solve the social issues. In this case, the skills and insight of a social entrepreneurship is very importance that must hold by them in their business. The skills may help social entrepreneurship development of new strategies to perform a good performance and developing the field perfectly in workplace.

Essay --

Some people should keep away from all material things as they distort a person’s wellbeing. As a transcendentalist, I strongly believe that people should not be influenced by material things. These are some of the reasons which create a rotten culture in the society. A good example is a case where someone desires to have a certain commodity that belongs to their friends, they end up stealing. The love for material things is responsible for the deterioration of good cultural practices in the society. It is important for people to live simple lifestyles without any form of complications or desire for big things. It is necessary to acquire a high self-esteem as well as morals. The three major fields which involve the participation of human beings should be characterized by the good character of the people involved. These include religion, literature and culture. In order to achieve the success of creating a stable personal state, it is necessary to consider intuition. As a transcendentalist, I have a strong value for nature based on the way it is. Nature happens to be so pure unlike the things mankind engages in creating on a daily basis. Some of these unnatural materials are contributing to the worsening of the society. Self-reliance is another very significant personal attribute I support. An independent person does whatever they can in the most possible way. This is not the person who has to wait for favors from others. The personal wellbeing and responsibility, as well as usefulness are enhanced by self-reliance. I desire to live the simplest form of life one can ever imagine thus living a happy life. Young states that simple lifestyles are not faced by numerous stresses of life or any form of complications. The more one aspir... ... the idea of people moving away from cultural and traditional practices. Most of these factors are good at taking people away from Godliness thus ruining the personal wellbeing. Some cultural practices employ the practice of wrongful deeds, which should not be conducted at all. Engaging in cultural practices helps in ruining the relationship between people because there are different customs in the society. Transcendentalism is helpful in the creation of simple lifestyles which do not cause problems in people’s lives. I have a strong belief in this movement because it enables people to live better lives. This is what everybody ought to practice in order to live less stressful lives. The benefits are numerous as one’s wellbeing enables them to develop strong connections with God. As well as themselves. After all, one's character is defined by what they believe.

Race Essay Essay

In our society, racial inequality has always been a concerning issue for past decades, but certain parents’ state their opinions on the open discussions of our history and present with racism. The question of whether or not they should speak to their children about the racism that certain individuals receive has caused controversy in our society. There are parents who claim that they have unbiased judgments on the topic while others strongly commit to reminding the children that racism should be an important topic that should be talked over. Parents differ when it comes to the message they project towards children about race, but the message changes with children’s capacity to understand it. So the actual importance is if children should be introduced to the racial madness at such a young age like we have been doing in schools and in society or should the parents stand up and eliminate the racial topic for good. Although with the parents that are not overly racist, there is multiple concerns of whether or not to speak to their children about how their own race discriminates certain people in our society. Furthermore, there are numerous people in our society, especially parents, who believe we should consider not bringing up racism to future generations and instead take the step into a post racial era since we have improved tremendously in race relations. On the contrary, some parents believe the discussion of racism is important for children to be aware of the outcome it has produced and the background of why racism occurs, and in this case, I do strongly agree with the parents. There are a few parents whom have decided not to speak about racism. They believe the media nor did neighbors and friends play a crucial part in their decision making. They consider Reyna 2 themselves unbiased to all the controversy that occurs in their community over the racism topic, especially when it comes from a white individual. Without the society’s ideas swirled up in their mind, the parents are able to describe every perspective that can be observed of the racism. The importance of being able to see every angle of the racism that the minority group receives will help eliminate the bias judgment that we witness in the media or what we are told by others. With this in mind, the decision to consider the topic of racism in family conversations becomes easier to either bring up or shut down. It becomes easier because parents are able to discuss and inform their children that there is more than just one perspective that society defines as racism against the minority ethnicity. White parents can defend themselves from the ignorant comments and stories that people tell about their racial comments towards the African Americans. It is easier to speak about racism than to keep quiet in today’s society, but that seems to be the problem. On the contrary, white parents can also choose not to speak about the racial topic by ignoring it completely. Shutting down the media and any outside influence can assist furtherly with the unbiased decision to choose not to speak to their children about it. In today’s society, it is difficult to say that parents are not influenced in some way in their choices in life. Although parents can shut down the influence from the media, it is impossible to do the same to their children without turning them away from society as well. In all truth, once the child steps out of their home and their parent’s view on society and racism, the child is left vulnerable to society biased judgments on racism and everything else. There are parents who allow the media and any other influential speaker effect their decision on whether they, as not so overly racist yet biased parents, should intensify and enhance to their children about racism in their community and in the society. A majority of the parents are influenced by the media’s portrayal of discrimination on African Americans. Parents who choose to speak about racism to Reyna 3 their children after hearing and witnessing stories and racist acts throughout the country, will either help stop discrimination or unintentionally influence further acts of racism. In reference to the book of â€Å"The Color of the Water†, racial equality was shown to be unbalanced through the society and the effect it had on people since they witnessed it in their own family. In the book, James, one of the Ruth’s 12 kids, had taken it upon himself to write down every single detail that flooded back from his mother’s past. Throughout this James discovered how strong his mother was due to all the things she had to go through and the protection she enhanced for her kids. She protected them because she knew racism would be their biggest trouble and the consequences it would lead to. Society has a lot to do with the influence of racism. Future parents should remind their children of the horror of racism that occurred decades past, or should they just ignore it and try to move past it? In my opinion, speaking about racism seems to be the best way to go. Usually the second most influential people in parents’ decision making are neighbors and friends. They communicate with each other and speak of all their experiences which leads to further leverage on racism itself. Lastly, parents’ own assumption on racial inequality will influence their manner of discussing it to their children. Once parents decide to speak to their children about racism, question rise that become too difficult to answer and the biggest issue is parents’ own prejudice. If the answers aren’t well understood by the children it might lead to trouble and further racism. Sometimes children witness their parent’s unintentional discriminations towards other adults even when it is taught to be moral and caring for others which can also lead to further racism. This is why parents should try to educate their children of racism in order to avoid any misjudgments of their parent’s or anybody else’s actions, and this will help avoid their children’s own unintentional racism towards African Americans. Nelson Mandela inspired people with a few words that would better understand this topic, â€Å"No one is Reyna 4 born hating another person because of the color of their skin. People learn to hate, and if they can learn to hate, then they can learn to love†¦ † In reference to all the parent decision on whether they, as white parents, should talk to their children about racism. In my opinion as well as most people, believe that the more parents talk about the racism the easier it will become to educate future generations of what they should not do in society. Our goal as a society, and the reason behind the social experiment that the United States is experiencing, is to create a post racial era. There is a fear that if people don’t remind their children about racial history then it is likely to cause racial discrimination to occur once again and have history repeat itself. As true as that might be, it is also more likely to be wrong. In many cases, the children might begin to get ideas of past discriminations to inflict on current black children. The stereotype about the minority group will keep at stand which will eventually lead to the continuation of the racism. Therefore, the parents and society as well are pressured to continue speaking to their children about racism in order to help them understand the meaning and the harm it does on the victims. [African Americans] Although the future may not be predicted, parents whom decide not to speak about racism, all because it doesn’t seem important to address it anymore, are probably causing our society more harm than good. Some parents do not intend to speak about the racial discrimination because it draws negative attention to the society, and even if all their reasons seem logical, education has always proved to be far more successful than any other option. The parents who refuse to bring up the topic of racism in their family have very strong views about it that should be considered by others. There was once a research program done in 2011 where a few psychologist wanted to ask questions to white parents about their communication with their children about racism. At first the parents didn’t know what the topic Reyna 5 of the questions would be during the research, but as soon as they were told the topic, many parent withdrew from the experiment due to it discussing racism with their children. The parents strongly believed that there shouldn’t be an open discussion with their offspring about race and the discrimination among the minority group. It came as a shock to the psychologists and scientist over the outcome that was displayed before the research was even done. Without even knowing, the research team developed new results on the topic of race without successfully completing their research on their primary experiment and questionnaire. The simple answer was that the white parents that were supposed to participate didn’t want their children to be aware of the inhumane discrimination over skin complexity. They, also, didn’t want to expose them to the violence that arises from racial discrimination such as the hate crimes, the segregation, and the bullying of children their same age. Although many won’t comprehend the reason behind the racism, discussing it will only seem to promote racism in the eyes of the children even when many parents disagree. The parents should not speak about racism because there is a fear, naivete and denial from the white parent’s own thoughts that if they do speak about it to their children the whole truth can become misinterpreted or in many cases, biased. There is an article by Dr. Harris-Britt that goes over the reasons why white parents should not speak about race. Dr. Harris-Britt speaks about the fear, denial, and naivete that parents encounter as being a negative decision. By them discussing to their children the increasing issue of racial discrimination, the attention that racism is receiving becomes unbearable. The point of view that the article feeds to the reader goes hand in hand with the section of this essay where the racism discussion in families and the white population should avoid each other. Parents may fear their own thoughts and the truth of their judgments towards African Americans. Parents can deny the color discrimination that happens in Reyna 6 their own home, or community. Many will believe that we are already in the post racial era, and will use this belief in order to not openly discuss the subject with their children. Although we do not yet live in a post racial era, we can soon get there if racial discussions can be eliminated. If people would stop dividing them self by race, and focused on their own unintentional discrimination that they might give off, the white race parents won’t find it necessary to warn or inform their children of the racial discrimination that will probably occur to their African American friends, acquaintances, or classmates. In my opinion, these should be used as examples to enhance and persuade other parents that it is far much better to inform all children of racism before they receive or misinterpret other information given to them by someone else, like the media. Some parents will argue that racial ignorance erases the history and experiences that led up to the freedom from racism, hence why those as parents should speak of other race’s experiences and hardships in order to prevent them from happening again. In reference to an article titled 5 Reasons We Need To Talk to Kids about Race in America by Bree Ervin, it states that parents of the white race should consider speaking to their children about race, especially by beginning at the youngest age where they can understand what they’re being told. With all the reasons given, Bree Ervin has sided with the parents who strongly suggest it is the right choice to speak out to our children about racial history and the changes that must be done to prevent history repeating itself. The strong argument is that when we are â€Å"color-blind,† we also tend to discount or dismiss other people’s experiences of race, racism, and bigotry. Parents should not only speak about racism, but should educate their children as well because educating their children about race helps them fight racism and create change. A good example of childhood education about racism would be a TED video of a woman named Chimamanda. Chimamanda Reyna 7 was a Nigerian woman that was well thought and informed at such a young age. In the TED video about Chimamanda Ngozi Adichie, she spoke of a childhood story where her parents educated her about the African Americans racial history and that how their own black race was a part of our country’s history, not just the perspective of the whites that most books mention. They wanted her to have more than one view on what the people of our country have gone through. Although Chimamanda Ngozi Adichie’s parents were not of the white race, it was still necessary for them to teach and have discuss the topic with an open mind. By informing of the past to the next generation, parents will be able to prevent racism of African Americans. It is always a difficult decision on what is right or wrong for a child to know. No matter what decision the parents end up making at the end of the day, every parent thinks they are doing what is best for their child. Some parents are worried that by not informing their children about the active racism that is and has been going on for so long in the United States, the children will only end up falling into the black hole of the negative racism attention that is occurring. Although they may have a point, the rest of the parents aren’t prejudiced nor biased nor are they influenced by any other media source or individual and have concluded that is safer not to mention or allow children to discuss racism among the family or anywhere else because it only feeds on the negative attention that it promotes. It is hard to say which is the right choice that the white parents should make about racism, but they both do indeed have good reasons behind their view on it. We have to be armed with the fact to give our kids what they are owed which is honest conversations about the reality of the world that they are inheriting, but that can only be accomplished by allowing ourselves to acknowledge that racism and issues of race and bias are still present. Just as parents were informed of racism, in my opinion, children should be educated about what is going on in our Reyna 8 country about the racism against the African American race. The best way to solve a problem like this has always been through education. Although many parents believe that the racism will never end because we continue to bring it up, the future generations [the children] will end up never understanding the past racism if it fades away with time. Parents of the white race should consider communicating with their children about racism towards African Americans, but should keep in mind about any social media influence, such as the news, that the children will encounter. The children will hear about racism, but its best that it first comes from the parents in order to prevent any further incidents of it or negative promotion. Reyna 9 Work Cited Bree Ervin. â€Å"5 Reasons We All Need to Talk to Kids about Race in America. † August 2014. Web. Journal. Magazine Chimamanda Ngozi Adichie: â€Å"The Danger of a Single Story. † TED Global. July 2009. Dr. April Harris-Britt. â€Å"Why White Parents Don’t Talk About Race. † October 7, 2013. Web. McBride, James. The Color of Water. New York. The Berkley Publishing Group. 2006 Rodolfo Mendoza-Denton Ph. D. Psychology Today: â€Å"Should we talk to young children about race? † April 2011. Article.

Essay about Anthro Final - 6421 Words

Final Exam Review Sheet 1. Formal economic theory is based on assumptions such as: a. the value of a particular commodity decreases as it becomes more scarce. b. only occasionally do people maximize their material well-being. c. people, when exchanging goods and services, naturally strive to maximize material well-being and profits. d. families will compete against each other to assert rights of ownership and allocation. e. in societies where there is formal market exchange (commercialism), the market will determine all economic activities of individuals. 2. Rules that govern the allocation of resources and how they are used are found in: a. very few societies.†¦show more content†¦e. relatively equal value between more than two parties that sometimes involves the use of money. 10. What is the primary reason for balanced reciprocity? a. To exchange surplus goods for those that are in short supply b. To create social networks and political alliances c. To locate marriage partners d. To develop long-range trade networks that extend beyond the immediate vicinity e. To allocate resources among various social classes within a society. 11. Tribute is a form of redistribution that: a. is found only among foraging societies. b. can be found in chiefdoms with no standardized currency. c. includes the Kula Ring of the Trobriand Islands. d. is found in all market economies. e. can be found in all societies. 12. All of the following are functions (or consequences) associated with bridewealth except: a. legalizing marriage. b. legitimating children. c. creating bonds between relatives. d. maintaining equitable distribution in society. e. increasing divorce rates. 13. Today there are two fundamentally different types of markets. 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Information regarding the Matsigenka is almost solely derived from the work of Johnson unless noted otherwise. The purpose of this paper is to introduce the MatsigenkaRead MoreEssay on Feudalism and Capitalism3836 Words   |  16 Pagesdistribution. There is an interrelationship of economic, cultural, environmental, and political processes that all help to shape each other. Nothing that we do can be defined as a single process, for it is the interaction itself that helps to produce the final results that we observe. To understand this more fully the following basic definitions may be of use: Cultural Processes are those that involve the creation and transfer of knowledge-the production of meaning. Political processes are those

Risk Management for State Street Financial Centers Services - Free Essay Example

Sample details Pages: 22 Words: 6544 Downloads: 4 Date added: 2017/06/26 Category Finance Essay Type Narrative essay Did you like this example? In todays global environment, it is necessary for every organization to manage risk in an effective manner. Effective risk management provides various benefits to an organization such as increase in firms value, increase in profitability etc. Risk can be defined as uncertainty and result of uncertainty. Don’t waste time! Our writers will create an original "Risk Management for State Street Financial Centers Services" essay for you Create order It can be classified into systematic and unsystematic risk. Systematic risk is associated with risk of market or overall economy, while unsystematic risk is related with the specific assets and firm (Al-Tamimi Al-Mazrooei 2007). The risk or uncertainty is measured in an organization through the risk management techniques. According to Kerzner (2009), risk management is the process of dealing with risk. It includes planning for risk, risk identification, risk analysis and development of risk response strategies for monitoring and controlling the risks. Risk management is related with sound project management activities as a proper risk management is proactive rather than reactive, positive rather than negative and also increases probability for the project success (Kerzner 2009). Blokdijk (2009) describes that risk management is the process of identifying risk and trying to come up with appropriate strategies that will be effective for an organization to handle situations that may impact of organizational effectiveness. The effective risk management begins with the understanding of how an organization is appetite of risk. Risk management includes identifying, evaluating, analyzing, treating, monitoring and communicating the impact of risk throughout the organization (Isaca 2009). Egbuji (1999) exhibited in research that risk management is an objective corporate approach that is used to decide the best way of controlling the threats to the security of an organization. It deals with decision making related to the risk and their implementation within the organization. It also includes flow of the decision throughout the organization and risk evaluation (Egbuji 1999). The risk management is an effective method for minimizing the adverse effects of risks and maximizing the benefits of incurring the risks. Risk management focuses on different type of risk such as market risk, credit risk, liquidity risk and operational risk that helps an organization to faci litate effective risk management. Market risk decreases the value of a portfolio due to some market risk factors such as equity risk, interest risk, currency risk and commodity risk (Tarantino 2008). Credit risk deals with measurement of credit exposure, credit aggregation netting and credit enhancement. Liquidity risk includes those risks that arise due to the risk of a security and asset that is not traded quickly in the market (Tarantino 2008). Operational risk arises due to execution of a companys business such as people, systems and different processes through which a company operates its business. This risk is also known as fraud risk, legal risk, physical risk and environmental risk (Tarantino 2008). For a better risk management, it is necessary to identify the responsibilities of board members such as development of the processes and strategies annually to identified risks, appointment of a board committee that review the risk management process, disclose risk management in the annual report and facilitate internal control system (Tarantino 2008). Dubai International Financial Centre (DIFC) was launched in 2004 to add a new dimension to Dubais diversification programme. DIFC rode the crest of an economic development wave ushered in by the creation of specialised economic free zones in Dubai. DIFC represents a new generation of free zones that are driving the next phase of Dubais economic growth. By developing a world-class hard and soft infrastructure, DIFC has created a secure and productive platform from which financial institutions are able to tap the vast growth potential for investment, insurance and capital market services in the region. Dubai International Financial Centre Authority (DIFCA) is an autonomous body which provides the administration services for its clients, determines the future vision and growth of the DIFC In order to cater the demand of the market and maintain it has various departments to help the day to day activitie s as well contribute to the economic growth of the region and Dubai. It is necessary for DIFCA to manage risk effectively. Scholes (1998) described in its research that the risk management system is an exposure of financial and a control system. An exposure to financial system is a dynamic that gives managers an opportunity to assess the effects of change in economic factors and the economic profit and loss of the entity (Scholes 1998). In risk management, enterprise risk management is new concept that is followed by various organizations across the services. Enterprise risk management is a process that identify potential event that may affect an entity and managing risk within its risk appetite that will help in achieving organizations objectives. ERM process is affected by an organisations board of director, management and other personnel (Demidenko McNutt 2010). It includes different factor to manage risk effectively such as internal environment, objective setting, event iden tification, risk assessment, risk response, control activities, information and communication and monitoring (Demidenko McNutt 2010). This research helps in indentify different concepts such as what is risk management, implication of enterprise risk management and a procedure that should be followed in order to manage risk effectively and why it is important for DIFCA. In this consulting exercise we shall look into the current risk management structure and provides a framework to DIFCA for the effective that are compared to the best risk management practice and at the same time be more pragmatic to implement and follow. The aim would be to increase its effectiveness, competitive position among the leading financial centres in the region as well as around the world. Research Aim Objectives The research is aimed to identify existing framework, procedures and policy of risk management for the financial service center and apply this information for DIFCA. It is a consultancy project and the main objective of this project is to provide recommendation to DIFCA about risk management that includes framework, policies and procedures for better risk management. It also explains about enterprise risk management that is widely used concept amongst various segments of an organization. The main objectives of this research are as follows -: To review the literature concerned with the risk management framework, policies processes and the ERM. Identify the activities that should be taken by DIFCA to facilitate effective risk management. Provide recommendations for the risk management framework to DIFCA. Determine the standards and principles that will facilitate a sound risk management in DIFCA. The above research objectives will be accomplished through the literature review related to the risk management framework, policies, processes and enterprise risk management. Conclusion It can be concluded that risk management is necessary for every o rganization to enhance the profitability, reduce impact of uncertainties and to maximize the value of firm. Risk management is a set of activities that is used by an organization to control uncertainties. This research is done to identify the framework of risk management and to apply it within DIFCA. Chapter 2: Company Analysis Background Information Company Overview: State Street Corporation (SSFS) was founded as a bank in 1792, in Boston, Massachusetts. It started providing mutual fund services since 1924. State Street Bank and Trust Company was established in 1962. After this, SSFS acquired and established different business units in different countries such as establishment of a new software development technology by the acquisition of UniverseSoft Technology Company in China, in 2006. It also acquired Currenex that deal in online foreign exchange trading and in 2007, it acquired Investors Financial Services Corporation that provides different financial services (State Street 2010). SSFS is a financial holding company that works with its subsidiary namely State Street Bank and Trust Company. It provide several financial services to different users by providing different type of products and services such as fund accounting, custody, investment management, securities landing, transfer agency s ervices, hedge fund services and operations outsourcing for investment managers (State Street 2010). It also operates its operation in several countries such as US, Europe, Canada, Asia etc. It operates through two business divisions such as investment servicing and investment management. Investment service division provides different investment service to different customers such as mutual fund, collective investment fund, corporate, public retirement plan, and insurance company globally (State Street 2010). It also provides security finance such as deposit and short-term investment facilities, loan and lease financing, outsourcing manager operations related with investment, hedge fund and performance, risk and compliance analytics to support institutional investors. Investment management division provides assets management services such as investment research services (State Street 2010). SSFS focuses on delivering value to shareholders, customer, employees and communities in w hich they work. SSFS has a strategic alliance with Pensions First Analytics (PFA). It is an UK based company that provides risk management and advisory services (State Street 2010). Importance of Risk Management for DIFCA: Risk management is quite important for DIFC A as it is helpful for both assets owners and managers. Assets owners and managers scrutinize current risk management practice closely and link it with current environment and help in manage investment, credit, liquidity and operational risks that help to facilitate corporate governance and to compliance with regulatory requirements. It also helps in reducing operational risks and costs (Houlahan Tahbazian 2010). The risk management will also be helpful to handle credit crisis as many institutional investors require these services for effective investment decision. DIFCA can response customers through making material changes in investment processes and by providing more sophisticated data management and reporti ng system. Due to the recent financial crisis, risk management has become more important for an organization to increase transparency and returns (Houlahan Tahbazian 2010). Currently, DIFCA is facing several risks due to environmental uncertainty and changing global customer requirements that are also causing an increase in the importance of risk management for it. Following are some risks that have been identified and also exhibit the importance of risk management framework for DIFCA SSFS provides different services to different customers and it is difficult to make an effective coordination among them. Another risk is related to the exposure of potential losses in its revenue and profitability. It is because of the real estate value, assets management and related entities that are not proceeding as expected before the financial crisis hit Dubai. This relationship may incur loss for DIFC due to uncertainty of time that is required in the recovery of the companys clients. DIFC have participated in many ventures under its assets and investment arm DIFCI. Under this program, some investments were done without proper due diligence and best practice guidelines. This along with the recession and other crisis in the Dubai has made an impact on its financial position. Involvement of DIFCA and other entities in regulatory non-compliance may cause higher legal expenses and may also violate its image among its clients. There was no proper controls and checks within the DIFCA and every department were working as a silo Risk Management in SSFS: The main focus of DIFCA is on the development of innovative risk management techniques. DIFCA defines risk management as minimizing overall portfolio volatility, maximizing its revenue with the lowest amount of performance dispersion or minimizing the tracking error of a passive hedging policy against a particular benchmark. The CEO and the Managing director are responsible for managing the team that ensures balance between uncertainty and risk. Current Risk Management Policies, Processes and Principles: DIFCA, Head of Risk and Compliance to manage the risks in an effective manner. The mandate is to lead a team of enterprise risk professionals that support the business in facilitating risk management. Boards of directors also play an important role of risk manager to manage global risk management in the company. DIFCA has appointed two of top five consulting company to guide the organisation during these difficult times. Following are charter that is established by DIFCA under its risk management policies- Risk and Capital Committee Charter Risk and capital committee charter is used by DIFCA that helps in assessment and management of risks and capital adequacy and it is established by the companys board of directors. It assists the board in fulfilling its responsibilities. Committee members are appointed and replaced by the board on the recommendation of the Nominating and Corporate Governance Committee through its internal compliance team. Following are some authorities and responsibilities of committee: This committee is responsible for discussing with management about company assessment and risk management. It consider different risk such as market, operational, fiduciary, interest rate, liquidity, business and credit risks and policies related with these risk (State Street, 2010). It also provides an oversight over the corporate governance principles and also controls monitors capital adequacy to manage the risks. It also reviews estimation of economic capital and receives appropriate report. This report is related with assessment, analysis, monitoring, management and mitigation of risk exposures. Committee is also responsible for reviewing and approving some matters such as portfolio investment securities, strategic investment and provisions for credit and security processing (State Street, 2010). It is also responsible for regulatory matters such as duties and obligations of the board under Basel II. The committee can delegate its responsibility to management, make reports on board, evaluate committees performance annually and can review the charter annually to provide recommendations on the potential changes (State Street, 2010). Issues that are considered in risk management by SSFS: Risk is directly related with role of governance in an organization. The process of risk management should be regular, ongoing and transparent as the risk assessment incorporates both internal and external expertise (State Street Corporation 2009). Some issues should be considered, while making risk management process. These are as below: Proper knowledge of risk associated issues. Prepare provisions for advanced risk management and develop an ongoing concept. Establish adequate and regular risk assessment process. Enhance participation of members in fundamental risk process. Conclusion This chapter is quite effect ive to determine the risk management approach in SSFS. The company analysis is also effective to determine the policies and procedures that should be implemented within the organization to increase the effectiveness of risk management framework. It will also be effective to develop and enterprise risk management model for SSFS. Chapter 3: Literature Review Introduction This chapter analyzes a theoretical framework for the risk management. It describe about the risk management as different people consider risk management in different manner. It also provides a framework and process for risk management. The literature review also includes analysis of the journal and articles that are related to the prior research done for risk management framework in the financial service centers. The literature review provides some findings that are beneficial to provide recommendations on risk compliance management framework, policies and procedures for SSFS. Literature Review Definition of risk Management: According to Isaca (2009), risk management is the process of identifying vulnerabilities and threats to the information resources used by an organization in order to achieve business objectives and to establish measures that will be effective to reduce the impact of these risks (Isaca 2009). The risk management is an effective method for minimizing the adverse effects of risks and maximizing the benefits of incurring the risks. Egbuji (1999) described opposite the Kerzner (2009) that risk management can be proactive and reactive both. Proactive approach advocates that implementation of control is necessary without waiting the disasters to be happen while in reactive approach implementation of control take place after it happened to mitigate disasters (Egbuji 1999). The process of risk management follows a two phase approach. In first phase analyses and assessment of risk is performed, while the second involves the activities of planning, resourcing, controlling and monitoring to reduce the risk (Egbuji 1999). According to Hillson (2003), risk management is an important management approach that deals with inevitable uncertainty that aims to minimize the risk and to maximize opportunities by maintaining focus on achievement of objectives (Hillson 2003). He further explained that there are number of standard pro cesses that guide businesses to implement the risk management. But the effective risk management requires a clear understanding of risk that is faced by the businesses (Hillson 2003). The clear understanding of the risk is related to the simply identification of risks and to characterize them with the probability of their occurrences and decide their impact on objectives. According to him, risk breakdown structure is a powerful aid for risk identification, assessment and reporting (Hillson 2003). According to Ross Boadpati (2006), risk management is an ongoing process for managing the identifiable risk of an organization and determining appropriate managerial strategies in order to preserve and insure the assets of an organization (Ross Bodapati 2006). It includes proactive management techniques that are designed to protect an organization from losses. Risk management process also includes risk controls through risk evaluation, selecting management alternatives, implementing ap propriate strategy and monitoring the results of implemented strategy. The most important objective of risk management is to divert budget dollars from non productive uses to productive uses (Ross Bodapati 2006). Massingham (2010) exhibited in its research that risk management and knowledge management are related with each other. He described that knowledge is necessary to comprehend and manage the risk. Knowledge can reduce the risk leading to better risk management as knowledge assist risk identification, risk quantification and risk response (Massingham 2010). Process of knowledge management also helps in facilitating risk management such as by transferring knowledge to decision makers, improving accessibility of knowledge, embedding knowledge in controls system and avoiding the financial catastrophes that is caused by poor risk management. The different tools of knowledge management helps in manage the risk in a better way (Massingham 2010). Flouris Yilmaz (2010) used h uman factor to describe risk management. The research exhibits that risk management is the process of identifying and assessing human factor based risk. Effective management of human resource based risk helps to achieve corporate success. To manage the human factor based risk, it is necessary to emphasis on both more systematic decision framework and some new assessment tools. New human factor risk management model is used that helps in better management of human risk management (Flouris Yilmaz 2010). According to Damodaran (2008), risk management is part of everyones job. Some decades ago risk management was viewed as finance function in which the CEO plays the role of risk measurer, assessor and punishers. The main function of risk management is risk assessment and risk hedging. With the evaluation of strategic risk management and enterprise risk management, involvement of other person in the organization is also increased. Now risk management has become the part of everyones job (Damodaran 2008). Risk management is a set of activities and measures that are aimed to deal with risk to maintain control over the entire organization. In risk management, it is necessary to identify the risk, some other strategies are also necessary for risk management. A standard risk management program includes different aspects such as policies procedures, code of conduct, internal controls, physical security, communication security, continuity plan and monitoring reviews. To make a standard risk management program, it is necessary that risk management is properly defined in the policies of a firm (Quinn 2007). Schneier Miccolis (1998) described about holistic risk management approach in their study. Holistic risk management approach directly deals with enterprise risk management. In enterprise risk management (ERM), all risk of a company is considered on an enterprise level. Practices of ERM are quite different in all organization as each company is unique for a pa rticular risk. ERM is a systematic approach to manage risk, in which risk, risk factors and mitigation programs are considered on a business wide basis (Schneier Miccolis 1998). Burnaby Hass (2009) described that the objective of enterprise-wide risk management is to develop strategic corporate objectives that are measurable, identify the risk that may prevent accomplishment of the corporate objectives and to identify strategies that will be helpful in mitigating to those risks (Burnaby Hass 2009). Risk management includes several steps such as mandate from the top, ERM department buy-in, decide on control framework, determination of all risks, accessing risks, business unit objectives performance measures, objectives control summary, monthly ERM reporting system, analysis by ERM department and continuously monitoring of the processes. Managing risk is the part of corporate governance and ability of an entity to achieve results (Burnaby Hass 2009). Demidenko McNutt (20 10) described a definition of risk management that is provided by COSO ERM. It is a process that identify potential event that may affect an entity and managing risk within its risk appetite that will help in achieving organizations objectives. This ERM process is affected by an entitys board of director, management and other personnel. Other definition is provided by ASNZ 4360 that states risk management as an integral part of good business practices and quality management and it is a continues process of improvement (Demidenko McNutt 2010). Demidenko McNutt (2010) described in its research that enterprise risk management is a key component of corporate governance. It helps in balancing the relationships between companys management, shareholders, board members and other stakeholders. Risk governance approach helps in developing an ethical ERM system and provides a robust approach to manage an organizations risk profile. A clear risk management structure with a defined set of a ccountabilities insures good governance with ethical codes, roles and responsibilities. Audit committee that is facilitated under the risk management focuses on the overall risk profile, framework and internal audit focuses for assurance of effective risk management (Demidenko McNutt 2010). The different frameworks help to implement the requirements of risk management and internal control such as committee of sponsoring organizations (COSO), ERM and Australian and New Zealand risk management standard (ASNZ) 4360:2004. COSO ERM was developed by the Tread-way Commission in 2004 that helps organizations to establish a better ERM system. The ASNZ 4360:2004 has become an accepted practice approach of risk management in Australasia (Demidenko McNutt 2010). Figure 1: Source: (Demidenko McNutt 2010). The above diagram shows the ERM system provided by COSO that includes eight different components such as internal environment, objective setting, event identification, risk asses sment, risk response, control activities, information and communication and monitoring. It helps in looking at risk of an organization both internally and externally with an ethical perspective (Demidenko McNutt 2010). Figure 2: Source: (Demidenko McNutt 2010). The above figure 2 describes risk management standards provided by ASNZ 4360:2004 that contributes to good corporate governance. This process includes five stages such as establish context, identify risk, analysis risk, evaluate risk and finally treat risk (Demidenko McNutt 2010). Greanstein Vasarhelyi (2002) described risk management as a methodology that assesses the potential of future event that may create adverse affects for an organization and implementing cost efficient strategies that help in dealing with these risk. This definition includes different elements such as assessment and identification of future events. Once future events are identified, the prevention and detection strategies are proposed. The research also described a risk management paradigm that is a continue process to recognizes risk management (Greanstein Vasarhelyi 2002). It includes five stages such as planning, analyzing, identifying, controlling and monitoring. Some characteristics for risk management controls such as redundancy, consistency, clearly written policies, fairness, and better communication are also defined in the article (Greanstein Vasarhelyi 2002). Chelst Bodily (2000) defined risk management as a set of actions that reduce the impact of less favorable outcomes associated with a strategy. The study exhibits that risk management focuses on to reduce downside risks. The decision tree analysis helps to establish risk management strategy (Chelst Bodily, 2000). Mbuya (2009) defines risk management as a structured and disciplined approach that aligns strategy, process, people, technology and knowledge with the purpose of evaluating and managing the uncertainty in the organization. The ris ks are classified as financial non financial risk, static dynamic risk, fundamental particular risk, pure speculative risk (Mbuya, 2009). Main goal of risk management is to create, protect and enhance shareholder value by managing uncertainties that could influence to achievements of organizational objectives. The study also describes the process of risk management into three distinct stages namely identification, analysis and management or response (Mbuya, 2009). Maguire (2002) described that many organizations are taking risks with the development of their information system. In information system area, risk is viewed as fire, fraud, computer failure and unauthorized access. The research also explains how the risk is managed in the development of information system such as use previously unused platform failure to deal with known and unknown bugs, develop qualified staff to deal with risk, provide limited access to users and use of system development methodology (Maguire, 2 002). Frenkel, Hommel, Dufey Rudolf (2005) says that risk management is a cure for market imperfections. These imperfections arise due to conflicts of interest among shareholders, distortions introduced by taxes, and transaction cost and legal system. Risk management reduces these imperfections as it is tied directly to the government issues such as how investors monitor, control and compensate to protect their investment in the company (Frenkel, Hommel, Dufey Rudolf, 2005). According to Das (2006) risk management is the identification of risks (market, credit, liquidity, model and operational risk) and the quantification of risk for the financial loss from the specified risk. To make risk management effective, it is necessary to establish an appropriate risk management function. Risk management function is responsible for the development and implementation of risk policies, monitoring compliances in risk policies and reporting risk information to board of directors and othe r senior management. According to Andresen (2007), risk management is the most important competency of the project manager. If project manager acts proactively and rapidly, actively monitor the process and build contingency plan then it will be significant to facilitate an effective project risk management. Risk management procedures: Kallman Maric (2004) described in their research about a new risk management model. This model captures the important aspects of previous models and at the same time, it attains a flexible format for achieving new discoveries in management (Kallman Maric 2004). This new model includes five steps such as program development, risk analysis, solution analysis, decision process, and system administration. First step in risk management process is to develop a risk management program. The main purpose of this program is to establish a management system that helps an organization to achieve its goals (Kallman Maric 2004). This step includes three stages like planning, organizing and writing a risk management policy. In planning, stage risk management objectives are established and the success of this process is directly linked with this step (Kallman Maric 2004). After planning, organizing stage is performed that deals with fitting the risk management department into the organizational structure, delegating authorities and responsibilities and deciding on allocation of cost. In last, a statement is prepared that describes the risk management process and its goals (Kallman Maric 2004). Second step in this model is the risk analysis that includes different processes such as identifying, measuring and evaluating the organizations risk. Firstly, the risk is identified with the help of different methods and then data is collected on the basis of probability of loss, severity and timing. It helps managers to understand which risk are the most serious constraints to achieve the organizations goal (Kallman Maric 2004). Thir d step in risk management process is the solution analysis. The main purpose of this step is to analyze the possible options that are available to manage the risk. Next stage is the decision process that involves decision models to make decisions, getting the needed support for those decisions and implementing the portfolio of solutions that helps in eliminating the impact of risks (Kallman Maric 2004). Final stage is system administration. Main purpose of this stage is to understand either the risk management activities are effective in helping the organization to achieve its goals or not. It includes three different stages monitoring, judging and communicating the success of whole program (Kallman Maric 2004). According to Alexender (1992), risk management process includes a number of stages. First stage is the risk identification. This stage involves a comprehensive analysis of all risks in the current business operations. These risks include both organizational and manageri al risks. It also includes knowledge of the law and legal relationship, human factors and trade action union. A variety of techniques are used to identify the risk. Second stage is the risk analysis in which identified risk and their impact on the organization is analyzed (Alexender 1992). This analysis is based on different factors such as qualitative and quantities factors. After analyzing the risk, the risk control step is performed. It includes proper response to the risk either by physical or by procedural measure. It also enhances ability of the organization to transfer and allocate risks through various resources. Different organizations use different approach to accept risks that make it essential to identify how much risk can be accepted by an organization. Such as some organization make risk management policies to prevent or cure risks and others seek to transfer or insure (Alexender 1992). The risk handling includes all management decisions to predict future and give r esponse to the risks. Future prediction includes two factors such as knowledge and response. Knowledge refers what the managers know about the situation and response refers how to give response to the situation in terms of speaking, acting or waiting for situation (Alexender 1992). The last step of risk management process includes the financing to the strategies and planning that are developed to eliminate the risk and to facilitate effective risk management framework. Alexender (1992) exhibited that it is not possible to eliminate the risk completely from the organization. A firm must plan for financing the losses that can occur due to a particular risk. Example of financing the risk is insurance and self funding. The risk management is the responsibility of every person in the business enterprise that helps the organizations to enhance their competitiveness (Alexender 1992). He also describes about contingency planning that encompasses the risk management process and written plans which help an organization to manage the risk. This planning process includes three phases such as pre-emergency, emergency and recovery. If a firm use an effective contingency plan it provides better advantage to the firm by providing protection against uncertainties of businesses (Alexender 1992). Barton Hardigree, 1995 described in its research about the risk management policy. He says that risk management policy is necessary to guide risk managers. Risk management policy is prepared with the interaction of both corporate risk manager and the senior management of the firm so that overall risk profile remains in the touch of management team. According to him risk management policy assists risk manager in making decisions regarding to the methods of treatments of loss exposure and levels of retention in the use of insurance policy (Barton Hardigree, 1995). Enterprise Risk Management Committee, 2003 described in its research about the risk management process that is b ased on Australian/ New Zealand standard in risk management (AS/NZS, 4360). It describe seven steps process for risk management such as establish context, identify risks, analysis or quantify risk, integrate risk, assess risk and treat risk. These are as below: Establish Context- It starts with identify the relationship of the enterprise with its environment and also with its different stakeholders. It also identifies the SWOT analysis of an enterprise. It also identifies the overall objectives of the enterprise and strategies to achieve these objectives. At last it identifies the risk categories that are relevant to the enterprise (Enterprise Risk Management Committee 2003) Identify Risk- This step start with documenting the conditions and events that creates threats in the achievement of objectives of an organization (Enterprise Risk Management Committee 2003). Analysis and quantify risk- After identify risk it is necessary to analysis the risk by creating probability dis tribution of outcomes for each material risk. Different qualitative and quantitative techniques are used for this such as sensitivity analysis, scenario analysis and simulation analysis (Enterprise Risk Management Committee 2003). Integrate risk- In this step all risk distributions is aggregated, determine portfolio and correlation effects of risk and finally express the result (Enterprise Risk Management Committee 2003). Assess risk- In this step priority is given to the risk on the basis of contribution of each risk to the aggregate risk profile (Enterprise Risk Management Committee 2003). Treat risk- This step described about different strategies to treat risk such as decision as to avoid, retain, reduce, transfer and exploit risk. In last monitor and review is done in which continue gauging of the risk environment and the performance of risk management strategies are involved (Enterprise Risk Management Committee 2003). Risk management in financial institution Acc ording to Sensarm Jayadev, 2009, risk management is a central activity of commercial bank. Bank focuses risk management by their activities. Financial system use financial perspective rather than institutional perspective to analysis the risk management. In functional approach the activities of bank is linked with the function performed by them. Financial institutions believe in distributing risk amongst different participants. They found in their research that modern financial institutions are in the business of risk management by undertaking the function of bearing and managing risk on behalf of their customer. They manage risk by pooling risk and sale their services as a risk specialists. An effective risk management in banking system enhances the value of firm and shareholders wealth (Sensarm Jayadev, 2009). They say that a commercial bank deals with five types of risk like credit risk, interest rate risk, liquidity risk, solvency risk and operational risk. He described ris k management as a process that start with identifying risk then quantifying risk and control risk (Sensarm Jayadev, 2009). According to Cumming Hirtle, 2001, different financial institutions recently increased their emphasis on consolidated risk management that is some time called as enterprise risk management. Consolidated risk management refers a coordinated process that measure and manage risk on firms perspective (Cumming Hirtle, 2001). This process is quite different from other processes. This process includes different aspects such as coordinated risk assessment, management of different types of risk that are faced by a firm, an integrated risk evaluation process that links the different geographical locations, legal entities and business lines (Cumming Hirtle, 2001). Consolidated risk management is not only use for quantify risk but also use in business decision making process that support management to make decisions that is related with risk taken by both individu als business line and firm as whole. They also discriminate between the risk measurement and risk management (Cumming Hirtle, 2001). According to them risk measurement is related with quantification of risk exposure that deals with variety of forms such as value-at-risk, earning-at-risk and stress scenario analysis. In contrast risk management refers the overall process in which financial institution follows different phase such as define business strategy, identify risk, quantify risk and control risk (Cumming Hirtle, 2001). They further described in their research about principles that supervisors should follow to ensure the financial conglomerates that are adequate in identifying and managing risk. These principles are issued by an international forum of banking, securities and insurance supervisors (Cumming Hirtle, 2001). Risk management in project developments that are related with construction Mills 2001 described about construction industry in their research. He d escribed it as a dynamic, risky and challenging business. He says that risk management is an important part of construction industry in order to help in decision making process. Risk can be managed effectively as risk can affect productivity, performance, quality and the budget of a project. He further described about systematic risk management. Systematic risk management is a management tool that requires practical experience and training for the use of different techniques (Mills 2001). Construction industries face different type of risk such as size of the project, complexity, speed of construction, location of the project and familiarity with work. To manage these risk management process is used that includes different phases such as risk identification, risk analysis and risk response. He described risk identification as a first step. An early identification of risk is helpful for project managers as it provides different benefits such as provide attention of project managem ent on the strategies of the controlling and allocating of risk, highlights area that need further design and development work (Mills 2001). Risk analysis is next step to manage risk. Different techniques are used to evaluate risk such as code optimization, sensitivity analysis, probabilistic analysis, Monte Carlo simulation and kinetic tree analysis etc. He said in its research only few projects considered risk in a consistent and logical manner and other considered it as subjective. Last step in risk management is risk response. Mills described different way to give response to risk such as avoiding risk, reducing it, transferring it or absorbing it. According to him the best way of give response is to allocate the risk to the party that is interested to accept it. Mills find in its research that risk management does not remove all risk from a project but insures that risk is managed efficiently. It ensures the projects that are genuinely worthwhile are sanctioned (Mills 2001). As SSFS deals in IT sector there are some principles that deal with IT risk management. Isaca, 2009 described in its research about the principles that help in effective management of IT risk. These principles are based on ERM principles (Isaca, 2009). These principles provide a model to manage IT risk by enabling enterprise in establishing practice and benchmark for their performance. Some principles are described with the help of below diagram such as it is necessary to connect business activities to effectively manage the risk. Combine the management of IT related risk and overall enterprise risk management. Establish balance between the cost and benefit of managing risk. Source: (Isaca, 2009). Establish proper communication system for managing risk and also establish process for IT risk management (Isaca, 2009). Risk management for Financial Centre Services Financial centers provide different type of service to different customers. By this reason different type of risk is considered by a financial center. These are as below- Interest Rate Risk- Financial centers face interest rate risk when the maturities of its assets and liabilities are mismatched. It is because the primary securities purchased by financial center have different maturity period then the secondary securities that are sold by these centers (Sounders Cornett 2008). Market Risk- Market risk arises in financial centers due to the changes in interest rate, exchange rate and other prices that affect the assets and liabilities of these centers (Sounders Cornett 2008). Credit Risk- It arises when customer of financial centre not paid their loan and securities that is promised by these centers (Sounders Cornett 2008). Off-Balance-Sheet Risk- This Risk arises due to contingent assets and liabilities of these centers. Foreign Exchange Risk- This risk arises wh en the change in exchange rate affects the value of assets and liabilities that are used in foreign currencies (Sounders Cornett 2008). Country and Sovereign Risk- This risk arises when the repayment to foreign investors are interrupted due to some intervention of foreign governments (Sounders Cornett 2008). Technology Risk and Operational Risk- Technology risk arises when the technological investment of these centers not produce anticipated savings. Operational risk is arises when the existing technology and support system of these centers breakdown (Sounders Cornett 2008). Liquidity Risk- Liquidity risk arises when liability holders of financial centers such as depositors and insurance policyholders immediately demand for cash (Sounders Cornett 2008). Insolvency Risk- Insolvency risk is the outcome of a risk faced by an organization such as interest rate risk, market risk, credit risk, country risk etc. In this risk financial centers do not have enough capital to o ffset the values of its assets relative to its liabilities (value decline due to some type of risk) (Sounders Cornett 2008). Framework for measurement of risk Measuring Interest Rate Risk

Prison Life in the UK - 1246 Words

In the world we live in today there is, has been, and always will be an infinite amount of controversies throughout society. Perhaps one of the most important, being that it could jeopardize our existence, is the debate of how to deal with what most everyone would consider unwanted. The members of the prison population can range from petty thieves to cold hearted serial killers; so the conflict arises on how they can all be dealt with the most efficient way. The sides can result in a wide range of opinions such as simply thinking a slap on the wrist is sufficient; to even thinking that death is the only way such a lesson can be learned. While many believe it is ok to punish and torture prisoners, others feel that cruel treatment of prison†¦show more content†¦These people believe that by sending people to jail over petty crimes is not only wasting resources but even lives due to the fact that prisons are so commonly filled with corrupt guards and ruthless gangs and offenders . In the United Kingdom prisons a taking a serious toll on the youth. Children from ages fifteen to seventeen have now become real criminals. Since 1990 twenty two kids have committed suicide due to being subjected to bullying and other violence. Because of these occurrences a statutory independent CRC was sent to represent 11.3 million children. This resulted in all children under the age of 17 to be completely removed from the prison system to prevent similar problems in the future. Lawyer Phil Shiner states: â€Å"It is nonsense to suggest it is a case of a few bad apples,that is absolutely not the case, people at the very highest level know what was going on. They aren’t just allegations; I have no doubt a public inquiry can get to the bottom of this.† The British army’s high command stands being accused of officially ordering the hooding and mistreatment of prisoners. Not only are prisoners tortured in the small time prisons but the army is specifically ord ering their troops to torture captives beyond the point of simple interrogation. According to an interview of Major Royce: â€Å"He asked why it was taking place. I explained that I had cleared it with the chain command. He was happy that the chain of command†¦ had given us thatShow MoreRelatedThe Population Of Denmark And The Uk1535 Words   |  7 Pagesof United Kingdom (UK) was estimated to be 65 039 319 people. This is an increase of 0.56 % (359 619 people) from the previous year. 65,039,319 5,647,923 = 11.51561715696195 This makes the UK 11.5 times more populated than Denmark. Even with this, when calculating on a fair scale of what is more realistic, it was still half of the UK’s rates. The Danish system is sometimes called too soft‘. This is because the sentencing structure itself is notably ‘less harsh’ than the UK approach. The typicalRead MoreWhy Are Prisons Still Successful For Helping Prevent Crime?1180 Words   |  5 Pages In the UK, the prison population has more than doubled in less than 20 years. The cost to keep someone in prison for a year is  £36,808. The UK spends a higher percentage of the countries GDP on public order per year than any other EU country and even the US. Why are our prisons still highly unsuccessful in helping prevent crime? Prisons have barbaric beginnings from the medieval dungeon and torture chamber in the late 18th century. They have always combined punishment with rehabilitation. The onlyRead MoreEssay on What is the Purpose of Prison and what Tries to Achieve1308 Words   |  6 Pagesbe kept away from the society. It is vital to understand the purpose of prison and what they are trying to achieve and compare their actions to the re-offending rates as they are the perfect example to prove if the prison system works. However, studies about prisoners mainly focus on the effects prison has on them and how it affects society. There is luck of research actually looking at the prisoner experiences inside the prison and what issues they face. The Human Rights, including sexual abuse, areRead MorePrison Is Defined As A Building Whereby People Are ‘Legally1674 Words   |  7 PagesPrison is defined as a building whereby people are ‘legally held as a punishment for a crime they have committed, o r whilst they are awaiting trial.’ According to the prison reform trust, the prison system has been overcrowded since 1994 and the prison population has increased, where between June 1993 and June 2012 prison population in England and Wales increased by 41,800 prisoners to over 86,000. With such increased numbers, it is questionable as to whether prison is effective, if it works andRead MoreTobacco Control Policy910 Words   |  4 Pages In the UK, smoking persists as the leading cause of avoidable death and disability and a key modifiable risk factor for the development of a range of diseases including cardiovascular disease, chronic obstructive airways disease and some cancers (WHO, 2008; Murray et al., 2013). However, despite a reported decline in smoking prevalence in the UK (ONS, 2016), levels of smoking in prisoner groups are two to three times greater than in the general population and have remained intractably high (SingletonRead Moreshould the death penalty be reins tated in the uk?1239 Words   |  5 Pagesï » ¿Should the death penalty be reinstated in the UK? The restoration of the death penalty for serious crimes is an issue of debate in the UK because of the recent rise in violent crime. It is said that at least 17,833 people are under the sentence of the death penalty worldwide as of 31 December 2010. The death penalty or otherwise known as the capital punishment is a legal process where a person is put to death by the state as a punishment for a crime. Currently it is only allowed in 32 states andRead MoreThe Issue Of Reoffending Rates1507 Words   |  7 PagesWithin this essay I will discuss the issue of reoffending rates in England and Wales, and identify relevant statistics associated with this ever-increasing social problem. The annual cost of reoffending to the UK is between  £9.5 and  £13 billion, more than the cost of holding the London Olympics each year. David Downes (2001) argues that there is an ideological function of reoffending – to make capitalism look successful. This is because it soaks up a large percenta ge of the unemployed, thereforeRead MoreDeclaration Of Fitness And Sit Examination Essay935 Words   |  4 Pagesthe front of your examination paper or assessment instructions for further information. School School of Foundation and English Language Studies Programme English for Academic Purposes (Pathway to HE Certificate) Summative Assessment Title Is Prison the best form of punishment for people who commit serious offences? Date submitted 26th October 2016 I am not aware of any medical or other extenuating circumstances that would impair my performance in this examination or submit this assignment Read MorePrison Is A Building For The Confinement Of Criminals Or Those Awaiting Trial1139 Words   |  5 Pages According to the Oxford Dictionary, â€Å"prison is a building for the confinement of criminals or those awaiting trial†. The reasoning behind the prison has been one of the controversial issues since 20th century. 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Financial Statements Evaluation Lightweight Metals Technology

Question: Discuss about the Financial Statements Evaluation for Lightweight Metals Technology. Answer: Financial Statements Analysis of Cadence Company Three Years Information on Financial Statements of Cadence Financial Statements 2016 2015 2014 Total Equity $1075 $1376 $1334 Current Assets $5,380,636 $5,279,525 $18,891,137 Fixed Assets $320,750,485 $315,829,479 $245,691,848 Total Assets $342,212,110 $336,312,044 $264,657,154 Net Income $76,513 $85,375 $30,190,056 Amount Paid to Shareholders in Cash $12,341,213 $11,111,185 $9,898,166 Amount Paid to Shareholders in Stock Buybacks $421,915 $421,915 $421,915 Total Amount Distributed with Shareholders $123,834,128 $11,533,100 $10,320,081 Short Term Debt 50 0 342 Long Term Debt 643 349 349 Cash Flow Analysis of Cadence Cash Flow Statement 2015 ($) CASH FLOWS FROM OPERATING ACTIVITIES Proceeds from the sale of investments 540,473,533 Payments for the purchase of investments (653,026,793) Capital return on investments Dividends received 8,761,126 Interest received 2,035,499 Other income received 13,950 Management fees paid (2,784,335) Performance fees paid (12,800) Brokerage expenses on share purchases (575,514) Interest paid (683,116) Dividends paid on shorts (242,449) Payments for administration expenses (707,717) Income tax paid (5,196,425) NET CASH USED IN OPERATING ACTIVITIES (111,945,041) CASH FLOWS FROM FINANCING ACTIVITIES Dividends paid (15,650,799) Proceeds from shares issued 66,440,227 NET CASH PROVIDED BY FINANCING ACTIVITIES 50,789,428 NET (DECREASE)/ INCREASE IN CASH HELD (61,155,613) CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE FINANCIAL YEAR 93,826,031 CASH AND CASH EQUIVALENTS AS AT END OF THE FINANCIAL YEAR 32,670,418 Positive cash flow of Cadence that the company is increasing its liquid assets and using its increased cash flow in reinvesting in its business operations, providing a huge return to its shareholders, paying expenses and generate a safeguard against upcoming financial challenges (Cadence.com. 2016). MVA Calculation of Cadence Market Value Added (MVA) of Cadence in the year 2014: MVA+ Capital Invested = Market Value MVA= $231,197,359- $137,735,570 = $93,461,789 Market Value Added (MVA) of Cadence in the year 2015: MVA+ Capital Invested = Market Value MVA= $302,996,147- $280,018,162 = $22,977,985 Market Value Added (MVA) of Cadence in the year 2016: MVA+ Capital Invested = Market Value MVA= $330,896,158- $290,210,184 = $40,685,974 From the MVA analysis, it was gathered that the MVA of Cadence has decreased in the year 2015 and then increased in the year 2016. Such increase is because of the reason that it is generating positive returns and having strong leadership along with sound governance (Frattini et al. 2013). Analysis and Conclusions From the financial statement analysis, it was gathered that the company experiences positive ash flow in the year 2015. This is because of the reason that the company is increasing its liquid assets and using its increased cash flow in reinvesting in its business operations, providing a huge return to its shareholders, paying expenses and generates a safeguard against upcoming financial challenges (Golez 2014). Moreover, MVA analysis it was gathered that an increase in MVA of Cadence is for the reason that it is producing positive returns and maintaining strong corporate governance. Financial analysis over three years of the company revealed that the net income of the company has decreased over the past three years. Such decrease is because of the reason that its expenses have increased over the past three years. The company is dealing with increasing overhead costs, specially as the company increased the payment of long term employees ever year (Healy and Palepu 2012). Total assets of Cadence is observed to increase over the years from 2014 to 2016 because of the reason that it is not utilizing its assets efficiently in gaining maximum profits or has made increased investments in its assets hose are not contributing effectively to the bottom line. Financial Management 1. Date Price Return Dividend Return of dividend 7/1/2016 9.522239 3.02% 6/1/2016 9.243052 0.00% 5/4/2016 0.03 -3% 5/2/2016 9.243052 -16.77% 4/1/2016 11.105247 16.60% 3/1/2016 9.524464 7.28% 2/3/2016 0.03 -14% 2/1/2016 8.878232 23.03% 1/4/2016 7.216544 -26.14% 12/1/2015 9.770547 5.45% 11/4/2015 0.03 36% 11/2/2015 9.265686 5.15% 10/1/2015 8.811746 -7.56% 9/1/2015 9.532079 2.22% 8/5/2015 0.03 9% 8/3/2015 9.32486 -3.96% 7/1/2015 9.709269 -11.48% 6/1/2015 10.968424 -10.80% 5/7/2015 0.03 13% 5/1/2015 12.29644 -6.65% 4/1/2015 13.172549 3.87% 3/2/2015 12.681769 -12.64% 2/4/2015 0.03 -3% 2/2/2015 14.517288 -5.32% 1/2/2015 15.333686 -0.89% 12/1/2014 15.470857 -8.68% 11/5/2014 0.03 1% 11/3/2014 16.94054 3.35% 10/1/2014 16.391502 4.16% 9/2/2014 15.736234 -3.13% 8/6/2014 0.03 -4% 8/1/2014 16.244801 1.53% 7/1/2014 16.000385 10.07% 6/2/2014 14.536044 9.40% 5/8/2014 0.03 -9% 5/1/2014 13.28647 1.27% 4/1/2014 13.120182 4.66% 3/3/2014 12.535764 9.63% 2/5/2014 0.03 -4% 2/3/2014 11.43511 2.27% 1/2/2014 11.18171 8.28% 12/2/2013 10.326809 10.61% 11/6/2013 0.03 -7% 11/1/2013 9.335901 3.99% 10/1/2013 8.977975 14.16% 9/3/2013 7.864202 5.45% 8/7/2013 0.03 -12% 8/1/2013 7.457433 -2.78% 7/1/2013 7.670355 1.66% 6/3/2013 7.544929 -8.00% 5/9/2013 0.03 -1% 5/1/2013 8.201009 0.34% 4/1/2013 8.173272 -0.23% 3/1/2013 8.192504 0.00% 2/6/2013 0.03 1% 2/1/2013 8.192504 -3.30% 1/2/2013 8.471679 1.84% 12/3/2012 8.318345 3.21% 11/1/2012 8.059594 -1.87% 10/31/2012 0.03 -3% 10/1/2012 8.212928 -2.94% 9/4/2012 8.461397 3.50% 8/1/2012 0.03 3% 8/1/2012 8.174894 1.42% 7/2/2012 8.060293 -3.20% 6/1/2012 8.326749 2.34% 5/10/2012 0.03 4% 5/1/2012 8.136423 -11.84% 4/2/2012 9.228986 -2.89% 3/1/2012 9.504054 -1.47% 2/1/2012 0.03 3% 2/1/2012 9.64633 0.39% 1/3/2012 9.608389 17.46% 12/1/2011 8.18037 -13.67% 11/2/2011 0.03 -15% 11/1/2011 9.475991 -6.61% 10/3/2011 10.146461 12.43% 9/1/2011 9.024315 -25.23% 8/3/2011 0.03 -11% 8/1/2011 12.07014 -12.92% 7/1/2011 13.860662 -7.12% 6/1/2011 14.923971 -5.65% 5/12/2011 0.03 8% 5/2/2011 15.817904 -0.94% 4/1/2011 15.968544 -3.74% 3/1/2011 16.588499 4.81% 2/2/2011 0.03 4% 2/1/2011 15.827645 1.87% 1/3/2011 15.537673 7.67% 12/1/2010 14.43119 17.21% 11/3/2010 0.03 -7% 11/1/2010 12.311989 0.15% 10/1/2010 12.293448 8.51% 9/1/2010 11.329805 18.49% 8/4/2010 0.03 -8% 8/2/2010 9.561571 -8.27% 7/1/2010 10.423245 11.03% 6/1/2010 9.387453 -13.57% 5/5/2010 0.03 -10% 5/3/2010 10.861825 -13.12% 4/1/2010 12.502271 -5.69% 3/1/2010 13.256317 7.07% 2/3/2010 0.03 6% 2/1/2010 12.381251 4.71% 1/4/2010 11.824618 -21.03% 12/1/2009 14.973516 28.75% 11/4/2009 0.03 27% 11/2/2009 11.629555 1.04% 10/1/2009 11.509328 -5.34% 9/1/2009 12.158002 8.88% 8/5/2009 0.03 6% 8/3/2009 11.166458 2.71% 7/1/2009 10.872259 13.84% 6/1/2009 9.550207 12.04% 5/6/2009 0.03 -12% 5/1/2009 8.523999 1.96% 4/1/2009 8.360489 23.57% 3/2/2009 6.765821 17.82% 2/4/2009 0.17 -17% 2/2/2009 5.742651 -18.30% 1/2/2009 7.02879 -30.82% 12/1/2008 10.159715 4.65% 11/5/2008 0.17 47% 11/3/2008 9.708572 -5.14% 10/1/2008 10.234806 -49.07% 9/2/2008 20.095819 -29.72% 8/6/2008 0.17 98% 8/1/2008 28.595158 -4.29% 7/1/2008 29.876507 -5.25% 6/2/2008 31.531885 -12.24% 5/1/2008 35.93148 16.71% 4/30/2008 0.17 14% 4/1/2008 30.788292 -3.07% 3/3/2008 31.764774 -2.91% 2/6/2008 0.17 4% 2/1/2008 32.716129 12.83% 1/2/2008 28.996864 -9.47% 12/3/2007 32.028873 0.49% 11/1/2007 31.871138 -8.13% 10/31/2007 0.17 0% 10/1/2007 34.692833 1.64% 9/4/2007 34.132946 7.09% 8/1/2007 0.17 -1% 8/1/2007 31.873121 -3.94% 7/2/2007 33.1819 -5.75% 6/1/2007 35.205822 -1.82% 5/2/2007 0.17 7% 5/1/2007 35.8573 16.89% 4/2/2007 30.67713 4.69% 3/1/2007 29.302752 1.47% 2/1/2007 28.8792 3.44% 1/31/2007 0.17 -1% 1/3/2007 27.919729 8.20% 12/21/2006 0.15 -3% 12/1/2006 25.803797 -3.24% 11/1/2016 0.15 -7% 11/1/2006 26.667381 8.38% 10/2/2006 24.605515 3.10% 9/1/2006 23.865053 -1.92% 8/2/2006 0.15 -2% 8/1/2006 24.33316 -4.05% 7/3/2006 25.360125 Rate of return -0.11% 3% 2. Type of Debts Cost of Debts Amount Weight Tax Rate E/V D/V Common Stock 0.00% 1391 12.99% 35.00% 15% 85% preferred stock 3.75% 58 0.54% Commercial Paper 0.60% 198 1.85% Debt Capital 1.61% 9065 84.62% Total 10712 100% WACC 2% 3. The essay is indented to conduct an evaluation on Alcoa stock and computation regarding return rate of the companys stock is done from July 1, 2006, to July 1, 2016. By taking into account the gathered information from Yahoo Finance, calculation for return rate has been conducted and a negative figure is found with 0.11% (Dumont and Schmit 2013). On the other hand, after consideration of the holding period return initiative that encompasses dividend in computation and the figure is found to be 3% that is positive. Regarding computation, it can be stated that technique of holding period return is an advantageous strategy for obtaining increased return. After computation of weighted average cost of capital that is computed through extracting current information of the company and corporate tax rate taken into regard is 35% as per the US Federal rate. WACC is deemed 2% that is reasonable (Alcoa.com. 2016). Based on public source, the Acola split news has been famous and it is also deemed that it might further split within publically trading organization. This was acknowledged to be a legacy in aluminum operation and diversification within automotive industry. The organization has attained increased growth through its titanium and aluminum manufacture and from aerospace industry. As mentioned by Alocas CEO, it was the appropriate time for attaining split. The companys business division has attained a superior position and strategy for an organization attaining increased profit and revenue. After the split up of the company, it might add 40% of its profits within the sectors of Alcoa's Aerospace, automotive and transportation and in building construction. After the organizations decision of splitting Alocas shareholders might attain 80.1% shares in fresh shares (Chauhan and Singh 2014). Aloca might acquire 85% of the organizations shareholding worth $9 billion in the debt form by offerin g support to Alcoas existence within aluminum sector. Such split might facilitate the company in boosting anticipated trading price of a common stock, which further can support in enhancing the companys liquidity position. After evaluating the financial situation of Alcoas stock, it is gathered that the organization might earn increased profit after the split in two different organizations. Moreover, it was also gathered that recently the organization has authorized shares worth 1.8 billion (Davis and Haegler 2016). Within this division, Aloca will consider the specialty of value added offerings made of aluminum. Conversely, the companys another division is focused on automotive and aerospace and the transportation industry in attempt to attain increased return and revenue. Reference List Alcoa.com., 2016.Alcoa | Global Leader in Lightweight Metals Technology, Engineering Manufacturing. [online] Available at: https://www.alcoa.com [Accessed 29 Sep. 2016]. Cadence.com., 2016.EDA Tools and IP for System Design Enablement | Cadence. [online] Available at: https://www.cadence.com [Accessed 29 Sep. 2016]. Chauhan, A. and Singh, A.P., 2014. Optimal replenishment and ordering policy for time dependent demand and deterioration with discounted cash flow analysis.International Journal of Mathematics in Operational Research,6(4), pp.407-436. Davis, P.J. and Haegler, U., 2016. Mergers and Market Definition: Does a Focus on Value AddedAdd Value?.Journal of European Competition Law Practice, p.lpw015. Dumont, G. and Schmit, M., 2013.Tier 1 MFIs Financial Performance: Cash-flow statement analysis(No. 13-054). ULB--Universite Libre de Bruxelles. Frattini, F., Dell'Era, C. and Rangone, A., 2013. Launch Decisions and the Early Market Survival of Innovations: An Empirical Analysis of the Italian Mobile Valueà ¢Ã¢â€š ¬Ã‚ Added Services (VAS) Industry.Journal of Product Innovation Management,30(S1), pp.174-187. Golez, B., 2014. Expected returns and dividend growth rates implied by derivative markets.Review of Financial Studies,27(3), pp.790-822. Healy, P.M. and Palepu, K.G., 2012.Business Analysis Valuation: Using Financial Statements. Cengage Learning. Koopman, R., Wang, Z. and Wei, S.J., 2014. Tracing value-added and double counting in gross exports.The American Economic Review,104(2), pp.459-494. Maio, P. and Santa-Clara, P., 2015. Dividend yields, dividend growth, and return predictability in the cross section of stocks.Journal of Financial and Quantitative Analysis,50(1-2), pp.33-60. McMillan, D.G., 2014. Stock return, dividend growth and consumption growth predictability across markets and time: Implications for stock price movement.International Review of Financial Analysis,35, pp.90-101. Park, K. and Jang, S.S., 2013. Capital structure, free cash flow, diversification and firm performance: A holistic analysis.International Journal of Hospitality Management,33, pp.51-63.