ADB–OECD Study on Enhancing Financial Accessibility for SMEs: Lessons from Recent Crises

During the era of global financial uncertainty, stable access to appropriate funding sources has been much harder for small and medium-sized enterprises (SMEs). The global financial crisis impacted SMEs and entrepreneurs disproportionately, exacerbating their traditional financing constraints. The financial conditions of many SMEs were weakened by the drop in demand for goods and services and the credit tightening. The sovereign debt crisis that hit several European countries contributed to further deterioration in bank lending activities, which negatively affected private sector development. The global regulatory response to financial crises, such as the Basel Capital Accord, while designed to reduce systemic risks may also constrain bank lending to SMEs. In particular, Basel III requires banks to have tighter risk management as well as greater capital and liquidity. Resulting asset preference and deleveraging of banks, particularly European banks with significant presence in Asia, could limit the availability of funding for SMEs in Asia and the Pacific. Lessons from the recent financial crises have motivated many countries to consider SME access to finance beyond conventional bank credit and to diversify their national financial system. Improving SME access to finance is a policy priority at the country and global level. Poor access to finance is a critical inhibiting factor to the survival and growth potential of SMEs. Financial inclusion is thus key to the development of the SME sector, which is a driver of job creation and social cohesion and takes a pivotal role in scaling up national economies. The Asian Development Bank (ADB) and the Organisation for Economic Co-operation and Development (OECD) have recognized that it is crucial to develop a comprehensive range of policy options on SME finance, including innovative financing models. With this in mind, sharing Asian and OECD experiences on SME financing would result in insightful discussions on improving SME access to finance at a time of global financial uncertainty. Based on intensive discussions in two workshops organized by ADB in Manila on 6–7 March 2013 and by OECD in Paris on 21 October 2013, the two organizations together compiled this study report on enhancing financial accessibility for SMEs, especially focusing on lessons from the past and recent crises in Asia and OECD countries. The report takes a comparative look at ADB and OECD experiences, and aims to identify promising policy solutions for creating an SME base that is resilient to crisis, from a viewpoint of access to finance, and which can help drive growth and development

Circular business strategies and supply chain finance in the Aruba waste sector : a case study of a small island jurisdiction

This paper focuses on possibilities and obstacles for a circular economy in the waste management sector in Aruba. The authors describe the Aruban economy and the consequences of its SIDS characteristics. The article defines concepts in the field of circular economy and presents a conceptual model for research in this area. Based on multimethod research, the paper argues that small and medium-sized firms (SMEs) in the waste sector in Aruba determine their financial needs partly on the opportunities offered by the international market and price developments. Financing often takes place from own resources or via a local bank. No examples of circular chain financing were identified. Chain cooperation takes place with partners within the existing holding or with international partners, whereby performance and hedging contracts are concluded to guarantee quality and delivery and to mitigate business risks such as price fluctuations on the world market. During the research, it became obvious that limitations resulting from Aruba’s small scale and ‘islandness’ – such as the limited goods flow, limited quantities of feed waste materials and financing facilities offered by the local banking sector, as well as insufficiently stimulating legislation and regulations, coupled with faltering knowledge circulation and social awareness – seriously hamper the development of circular entrepreneurism in Aruba. The article offers policy recommendations to mitigate the bottlenecks for sustainable development in Aruba.peer-reviewe

Strategies for sustainable socio-economic development and mechanisms their implementation in the global dimension

The authors of the book have come to the conclusion that it is necessary to effectively use modern approaches to developing and implementation strategies of sustainable socio-economic development in order to increase efficiency and competitiveness of economic entities. Basic research focuses on economic diagnostics of socio-economic potential and financial results of economic entities, transition period in the economy of individual countries and ensuring their competitiveness, assessment of educational processes and knowledge management. The research results have been implemented in the different models and strategies of supply and logistics management, development of non-profit organizations, competitiveness of tourism and transport, financing strategies for small and medium-sized enterprises, cross-border cooperation. The results of the study can be used in decision-making at the level the economic entities in different areas of activity and organizational-legal forms of ownership, ministries and departments that promote of development the economic entities on the basis of models and strategies for sustainable socio-economic development. The results can also be used by students and young scientists in modern concepts and mechanisms for management of sustainable socio-economic development of economic entities in the condition of global economic transformations and challenges

An analysis of supply chain related graduate programmes in Europe

This is the post-print version of the Article. The official published version of the Article can be accessed from the links below. Copyright @ 2013 Emerald Group Publishing Limited.Purpose – Motivated by a lack of studies in graduate level supply chain education, this research aims to explore trends in supply chain-related graduate programmes in Europe and to propose a framework for designing such programmes. Design/methodology/approach – The authors determine “knowledge” and “skills” areas applicable to supply chain management (SCM) education and analyse supply chain-related graduate programmes published by the European Logistics Association in 2004. They revisit the same programmes in 2011 to determine the recent situation and the trends. The authors use cluster analysis to reveal the similarities and differences among these programmes. Findings – The authors find two distinct clusters: focused and diversified. Focused programmes offer modules in knowledge and skills areas apart from SCM at a negligible level and place more emphasis on SCM in 2011 when compared to 2004. Diversified programmes show a similar increase in the emphasis on SCM with more variety in the knowledge and skills areas. Research limitations/implications – The authors' findings are based on SCM programmes delivered in Europe and over two discrete time periods. Future research should seek to extend this analysis to other continents with larger samples and incorporate the industry perspective to determine the potential gap between what programmes offer and what industry requires. Practical implications – SCM-related graduate programmes continue to redefine themselves. Clustering predominantly serves the universities in re-assessing and re-engineering their programmes, helps prospective graduates in their selection process and assists managers in their recruitment practices. Originality/value – This paper establishes a baseline for assessing SCM-related graduate programmes with respect to the knowledge and skills they offer and introduces a framework that may serve as a starting point for the design and positioning of such programmes

A Conceptual Framework for Definition of the Correlation Between Company Size Categories and the Proliferation of Business Information Systems in Hungary Download article

Based on a conceptual model, this paper aims to explore the background of the decision-making process leading to the introduction of business information systems among enterprises in Hungary. Together with presenting the problems arising in the course of the implementation of such systems, their usage patterns are also investigated. A strong correlation is established between the size of an enterprise, the scope of its business activities and the range of the business information systems it applies

East Midlands food & drink sector strategy

The food & drink sector is one of four priority sectors identified in the regional economic strategy, A Flourishing Region. This document sets out a strategy for maximising the contribution of the food & drink sector to the economic development of the East Midlands