What is it about?
The paper uses System Dynamics technique to choose the best policy for a Microfinance Institution which could turn it into a profitable unit. It would help in finding out the reasons for a company's loss.
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Why is it important?
It is unique because of the mathematical formulation for calculation of Total repayment which is made by the poor. Further it would motivate researchers to look for more such mathematical formulations which could help in modelling Microfinance with certainty.
Perspectives
This paper uses causal loop diagrams to better explain the modelling process for microfinance. Moreover the quantitative modelling done is unique to microfinance hence was unexplored till now. This paper clearly identifies the need for such an analysis and the importance of the system dynamics tool for this.
Dr Ritika Singh
Indian School of Mines
Read the Original
This page is a summary of: System dynamics to turnaround an Indian microfinance institution, Kybernetes, March 2016, Emerald,
DOI: 10.1108/k-05-2014-0111.
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