Industry trends

Industry Trends in Australia
The financial technology industry, Fintech, is a rapidly evolving part of the economy. It is characterized by revolutionized financial services and numerous providers of the services. It aligns finance and technology to bring innovations in delivery of financial services. Peer-to-peer lending is the most used financial technology in Australia. This model allows lenders or investors to connect with potential borrowers online facing out the need for financial institutions. It is a disrupting service in the lending sector and has taken a significant market share from the traditional financial institutions.
In a report by KPMG, the committee of Sydney was looking for a way out to conquer the rapidly growing industry. This is because in Sydney, Fintech is a key economic driver of national productivity. The research by KPMG shows that Silicon Valley, New York and London are among centers that have a well established Fintech industry. Sydney is the leader in Fintech in Australia. In the Australia, the industry is in its nascent stage with most companies being one or two person start-ups. However, the activity has picked up with time. The report recommended a few issues for the industry to continue growing. The major recommendation was the participation of the state government in collaborations with the private sector partners and the committee of Sydney to ensure a developed Fintech vision and strategy.
A media report by Ibis World provides that peer-to-peer lending in Australia is in its infancy stage. In 2014, loans issued were approximately 500 million US dollars by Morgan Stanley. The UK and the US have loans issued totaling $ 2.3 billion and $12 billion respectively. In Australia, major investors like Westpac, James Packer, Rupert Murdoch and Kerry Stokes are interested in this Fintech service. All these investors are members of SocietyOne a peer-to-peer lender in Australia. In Australia, most peer-to-peer lending is only available to the big investors, that is, individuals with at least $2.5 million or at least $250,000 annual gross income.
The rapid growth in the industry has made most peer-to-peer lenders to look into opening offerings for retail investors. The industry has a few local start-ups and established peer-to-peer lenders from foreign markets who have capitalized on this gap in the market.
Industry Trends in the UK
The UK has one of the most developed Fintech industries with London being the most significant city in the industry. The UK government is continually participating in the industry to foster development in the sector. Private funding has grown strongly in London and approximately 44,000 people as at 2014 were working in the industry. The UK is well situated location for growth in financial technology. It has a traditional Fintech sector and an emergent Fintech sector. The traditional one has large technology firms that support the financial service sector. The emergent has small but innovative companies that use the newest technology to offer financial services to their customers directly. The emergent sector is often very disrupting in the UK.
The continued high growth in UK is due to a number of factors. They include;
Availability of large and sophisticated technological customer base
London being the world’s leading centre for financial services
Availability of business capital
Participating government and a supportive regulatory approach
Excellent financial services infrastructure
London is a global trading hub
Payments, financial data and analytics, financial software and platforms are among the micro sectors of the Fintech industry in the UK. The payments micro sector is the largest. It is based on the innovation level and scale split between infrastructure and online segments. Infrastructure is well established with large players based on business models that rely on economies of scale. Online segment is sectioned and has very many new entrants. Financial data and analytics is another micro sector supported by the business models that rely on economies of scale and ability to collect a wide range of financial data on customers.
The financial software sector is dominated by large international tech companies with headquarters in the UK. They offer many solutions to financial institutions like risk management, payments software, accounting software and core banking. Platforms sector is dynamic and varies depending on the market segment. These segments include peer-to-peer platforms, trading platforms, personal wealth platforms and aggregators.
Industry Trends in the US
Based on an info graphic by Call Levels, Fintech is a fast growing industry with a enormous growth in investment. The US has doubled its investment from $4.05 billion in 2013 to $31.6 billion in 2015. The largest areas of investments are payment processing and lending solutions. Emerging technology like peer to peer lending has increased with cloud techs adding speed and security to the financial networks.
In the US according to IBIS World, peer to peer lending has rapidly grown in the past five years. It is expected that the industry will grow at an annual rate of 156.8% to reach a $1.2 billion. Consumers and small businesses have led to this growth in the US. Peer-to-peer lending enables these customers to obtain small loans that they cannot qualify for in financial institutions due to the stringent policies. In the US, peer-to-peer lenders are required to register as securities with SEC due to the high uncertainty that characterizes the market. More regulations are expected if these lenders continue to increase relative to consumer lending.
Industry Trends in Singapore
Asia is among the global hubs of financial services with Singapore and Hong Kong being the most significant financial service sectors. Singapore is aggressively fostering Fintech development. The Singapore government invests heavily in the sector to ensure innovation. Direct investment and tax incentives are among the strategies used to ensure this innovation. Singapore is strategically located with a good cultural and legal environment and a developed financial service sector. The country has ICT potential that provides a fertile eco-system for Fintech. The skills and business environment are major factors that have led to the strategic growth advantage of the Fintech industry in Singapore.
Extent of Influence by Macroeconomic Conditions in the Peer-to-Peer Sector
All these countries have economic factors that have led to the rapid growth of the industry. The countries are strategically positioned enabling them to develop the Fintech sector in their economy. Fintech industry is a technological industry that is backed up by the great innovations in technology as well as the rapid change in technology. The government in these countries is a major player in the industry. The government provides a macroeconomic environment that encourages innovation in the industries. The continued government support is the most influencing factor in the rapid growth in these industries. The industry is expected to continually grow rapidly.
ICT potential provides a fertile eco-system for peer-to-peer services. The skills and business environment are major factors that have led to the strategic growth advantage of the Fintech industry. Peer-to-peer lending enables these customers to obtain small loans that they cannot qualify for in financial institutions due to the stringent policies. Presence of large technology firms that support the financial service sector and emergent of small but innovative companies that use the newest technology to offer financial services to their customers directly led to growth in the peer-to-peer sector.

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THE IMPACT THAT LEADERSHIP CAN HAVE ON THE EFFECTIVE GOVERNANCE OF ORGANIZATIONS

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Introduction

Ethics and leadership are two critical factors that guarantee success to the organization. The management must offer leadership in the most ethical manner, in their daily operations. Most successful companies have been able to achieve great fete owing to exemplary leadership and ethical practices of those that seat at the helm of these companies. Companies such as Microsoft, Apple, Virgin Atlantic, and Tramp Empire have stolen the limelight in the global corporate world thanks to the impeccable record of accomplishment of their chief executives (Caldwell, et. al. 2008). The likes of Paul Allen, Bill Gates and Richard Branson have set high standards for leadership that is founded on corporate ethical practices and impeccable leadership abilities and traits. The research paper puts into perspective the various ethical issues and leadership capabilities. Such a move can make the business develop a competitive edge and claim lion’s share of the market in which it operates.

Corporate ethics

Ethics in the corporate cycles requires that stakeholders in the organization carry themselves out in accordance with set codes of conduct that govern various industries. In general, the most common code of ethics that dictate the conduct of professional and management in the corporate include honesty, confidentiality, integrity, trustworthy, and commitment. Honesty requires that professionals in different professional positions carry themselves with honesty in all their professional discourse. Issues of dishonesty are completely unacceptable with the professional boundaries.

Carcello (2009) says that most promising and successful careers of established professionals have gone down the drain owing to dishonesty issues. The two professionals that are highly embroiled in honesty challenges are lawyers and accountants. Most lawyers handle cases that are pecuniary in nature and involve millions of shillings for that matter. This is tempting, and some of them become susceptible to dishonest avenues to pocket extra cash that is in excess of legal fees due to them. If such unethical practices are unearthed, the culprits face dire consequences such as revocation of their practicing certificates and worse still they can serve jail terms lasting several years behind bars.

 With regard to confidentiality, professionals especially in the law and accounting fraternity are always required to uphold high levels of confidentiality due to the delicate nature of the business that they handle. Accountants for instance have access to personal information regarding the clients they serve. They have information relating to loan status of the clients, they also have details of remuneration as well as other benefits accruing to clients or employees, they offer services to this information are expected to be used in the ordinary course of discharging the duties entrusted on them by virtue of the position that they hold.

They are not expected to divulge such information to anybody under any circumstances; contravention of this requirement is unwarranted and can attract huge penalties. On the other hand, lawyers are equally in the possession of critical details of their clients including their bank statements, health status, and other sensitive issues depending on the case in which they are representing the client. This information should only be used to discharge legal duties entrusted to them by virtue of their positions. They are not expected, under any circumstances to divulge such sensitive information to a third party. Ethics in the corporate cycles requires that stakeholders in the organization carry themselves out in accordance with set codes of conduct that govern various industries. According to Carcello (2009), any contravention of confidentiality can make the culprit incur severe penalties that have adverse effects on his profession besides paying huge damages to the aggrieved party.

 

Integrity is an important code of ethics that must be upheld by professionals in different disciplines. The major culprits who often fail the test of integrity comprises of professionals in the management position. Most professional usually misuses their positions by engaging in activities that contravenes integrity. This is unacceptable, and there is no justification whatsoever that can be given on failing the integrity test. Most managers use unorthodox means to effect promotions in the organization. The human resource must ensure that they conduct objective appraisal on the performance of the employees. According to Carcello (2009), objective appraisal requires that only performance issues are considered, and no other irrelevant issues that compromise on the quality of the appraisal should be considered. In many instances, those charged with the responsibility of conducting appraisal usually use it to settle the score; this is unacceptable. Henry (2011) asserts that, it is important that the human resource department strive to uphold objectivity and credit the employees where it is due.

Commitment is yet another critical element of ethics. It is important that, professionals show commitment in discharging their duties. The issues of absenteeism or failure to beat deadline are unacceptable in the ordinary course of discharging one’s duties. People must learn to show commitment by reporting to their places of work in good time as well and leaving at the appropriate time. It is also logical that professionals show diligence in carry out their duties to put at bay issues of recklessness that many compromise on their productivity.

Most professionals have failed the ethical bar in as far as commitment issues are concerned. Imagine a scenario where the chief executive officer appears in a crucial meeting dressed in jeans and polo T-shirt, or a situation where a manager reports to duty late and drunk; these scenarios manifest a lack of commitment, and thus, cannot be tolerated at the workplace. Schwartz, MS., (2013) asserts that any laxity in commitment compromises the productivity of the company, and this shows that the competitive edge of the company and financial performance is compromised. It is in order that any employee regardless of the position that acts in contravention of commitment should be relieved of their duties, and other able ad committed professionals given the coveted opportunity fill these positions.

Ethics requires that professionals carry out their duties to the best of their ability without holding back. The holder of any position in an organization is expected to be qualified and possess the capacity to perform duties expected from them (Schwartz 2013). Job analysis and skill match involve two integral elements that cannot be ignored; job description and job specifications. Job description is a template that contains duties and responsibility that accrues from a particular job. On the other hand, job specification is detailed guideline that gives minimum qualification expected from the holder of certain positions within the firm. Job analysis should be followed to the later to ensure that the right people are absorbed in the right positions. This will make sure that integrity issues are upheld in the company.

Leadership

It is expected that those at the helm of various companies carry themselves out in the most ethical manner. Ethics and leadership are compliments in the corporate world and no one can replace the other. It is important that, those in leadership carry themselves out in the most ethical way. Moreover, besides possessing impeccable traits that allow them to discharge their leadership role efficiently. According Schwartz (2013), the role of leaders is to influence the entire corporation to focus their energy towards achieving the strategic goals and missions of the company. This is no mean task and requires that those in a leadership position charged with this noble role carry it out diligently. Moreover, they should possess traits that make them have the capacity to enable them discharge these roles efficiently.

Leadership position should not be used for satisfying self-fish interests; rather it should be used to drive the whole stakeholders in the organization towards achieving its objectives. There several leadership styles but all of them are desirable to be used in organizations. Some of the common leadership styles include charismatic leadership, participatory leadership, and autocratic leadership. Business Global leaders such as Paul Allen, Bill Gates and Richard Branson have set high standards for leadership that is founded on corporate ethical practices and impeccable leadership abilities and traits. Schwartz (2013) says that, charismatic leadership is one in which the one in the leadership position possess extraordinary personal skills and attributes as well as the technical knowhow that enables him to carry out his leadership exemplarily. According to Schwartz (2013), “This is an acceptable form of leadership and a corporation should consider itself lucky if it possesses this caliber of leaders”. “Such leaders ensure that the business will stand out in the market through excellent business performance and competitive edge.”

Participatory leadership is equally a good form of leadership. “Under this form of leadership, those at the helm of the corporate ladder in organizations or leadership positions in a political setting involve all stakeholders in formulating policies as well as drafting changes that are to be effected in the organization,”. Leadership must contain men and women of impeccable character who can create rapport with the employees. Walumbwa, et. al. (2012) asserts that Management must open all avenues of communication and communicate effectively with employees this is the only way through which employee issues can be addressed. In conducting their management roles, they must develop a participatory approach. When employees feel they are part of the system they are motivated and issues of absenteeism and high employee turnover are addressed. Employees must be offered a platform to air their grievances to the management and such grievances acted upon. Moreover, feedback given to employees using the available communication channels with the organization and the maintenance department makes the employees feel cared for.

Autocratic leadership is the worst form of leadership and any manager or any leader who wants to steer his organization should shun completely. Autocratic leadership is a form of leadership where decisions are made unilaterally by the top management and then enforced on the employees and other stakeholders of the organization. Walumbwa et. al. (2012) says that this move is not welcomed because it locks participation of stakeholders such as employees who make tremendous contributions to the company. Of all factors of production, labor is the most complex since it cannot be bought the same way one can buy land or capital; it can only be influenced to act in a certain way and that is where management comes in handy. The management must rise to the occasion and ensure labor is productive and efficient, and this milestone can only be achieved through participatory and charismatic leadership style.

Moreover, there is a need for proper communication within the organization in order to champion for a participatory approach to leadership. Some of the employees may opt to terminate their services owing to lack of proper communication channels where they can air their grievances Communication in the organization as a whole should be two way; flowing from the top management downwards and vice versa. Through such a move, employees have a potent platform can sue to air their grievances still on employee relations. It is crucial that employees are shown moral support in their trying times such when they are bereaved, or when they or a member of their family is sick. The other critical issue that must be addressed in pursuit of better leadership is the issue of remuneration and other benefits to employees.

According to Taylor’s theory of motivation, pay plays a significant role in ensuring that the workforce is motivated. He insists that without proper remuneration, people are reluctant to work even if other working conditions are favorable. The leadership of the organizations must rise to the occasion and factor this theory in their bid to reform the human resource practices in organizations where they serve. Walumbwa et. al. (2012) says that most employees feel unmotivated if they feel that the pay they are getting is not commensurate with the role and responsibility in their respective positions. The other issue could be that the department is not giving other financial benefits such as leaf allowance, overtime allowances as well as housing allowances to employees.

There are certain attributes that leaders, both in the corporate world and other leadership positions in the society, should undertake. First on the list is open mindedness; a good manager should be the one who is open minded. Moreover, a good leader should be able to sort people’s views in implementing changes in the organization. Such a move and makes sure that policies formulated by such a manager or leader sail through since stakeholders feel they are part of the entire process. The other important attribute expected from those in a leadership position, in the corporate world, is good human relations. Leaders should be people with admirable character and able to create rapport with employees and other stakeholders regardless of their positions in the organization. Such a move ensures that people can confide in him with their issues; this is also motivation, which will increase productivity from employees.

The other important attribute is that a corporate leader should be charismatic. A charismatic leader is the one who possesses extraordinary personal skills and attributes as well as the technical knowhow that enables him to carry out his leadership exemplarily. Kline (2010) asserts that this is an acceptable form of leadership and a corporation should consider itself lucky if it has these types of leaders. They make sure the business stands out in the market through excellent business performance. A good leader should be one who is passionate and shows commitment in performing their roles. A leader must show a good example to his minors by upholding commitment as well as reporting to his place of work in good time as well and leaving at an appropriate time. It is also logical that leaders show diligence in carry out their duties to put at bay issues of recklessness that many compromise on their productivity.

The other important attribute expected of leaders is for them to be goal oriented. They must set both short-term and long-term objectives for the organization and lead the organization towards achieving those objectives. Such goals set by the organization needs to be in line with the strategic goals of the organization (Kline 2010). Moreover, they also need to be in line with the SMART objectives; that is to say, they must be specific goals, which can be quantified. It is also critical that such short-term and long-term goals are accurate and realistic taking into consideration the economic performance at the time they are set.

Conclusions and recommendations

Ethics and leadership are two critical factors that guarantee success to the organization. The management must offer leadership in the most ethical manner, in their daily operations. Most successful companies have been able to achieve great fete owing to exemplary leadership and ethical practices of those that seat at the helm of these companies. Ethics and leadership are compliments in the corporate world and no one can replace the other. It is important that, those in leadership carry themselves out in the most ethical way besides possessing impeccable traits that allow them to discharge their leadership role efficiently. The role of corporate leaders is to influence the entire corporation to focus their energy towards achieving the strategic goals and missions of the company

Copyright Registration Shows You Value Your Work

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IP Kenya

Although it is widely believed that no idea is original in and of itself, there are an infinite number of ways in which any single idea can be expressed and this fact may qualify to make each expression unique and original. For instance, the idea behind mobile money transfer in Kenya may well have been implemented differently had it been originally disclosed to a banking institution or a computer company instead of a mobile service provider. Therefore copyright protects that unique expression of any idea provided it has been translated into some tangible and material form.

Recently, in a case reported in the Kenya Law Reports on the 25th March involving a University of Nairobi student who plagiarized the postgraduate thesis of a Maseno University student, the High Court made it clear that the thesis was a work protected under copyright law. Accordingly, plagiarism of such work is copyright infringement…

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THE RISK FACTOR

Risk taking is an important factor in analyzing one’s readiness for success.This applies to many spheres of our lives.Be it investing in a new business,getting into a relationship or even taking up a risky job.However it would not be prudent for me to go on without clarifying that we are talking about realistic risks.

The question therefore will be why should we take risks?risks are part of our lives because we encounter them in our daily lives for instance boarding a public service vehicle which may sometimes,God forbid get involved in an accident.To be able to succeed therefore in every aspect of our lives we might have to take a certain risk at one point in our lives.American billionaire,Donald Trump is said to have made a huge chunk of his wealth by venturing into buying and selling of shares which is a very risky venture.

Taking risk is about being open minded and getting out of our comfort zones.Just because you get a profit of 20,000 shillings from your business, you cannot afford to be content since it can be able to pay your bills. You will have to find ways in which it can generate 40,000.Having said that, the strategy therefore that you will use to increase profits in your business may involve a few risks.
Conclusively we can say that RISK is basically what stands between the PACESETTERS and the SPECTATORS.

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How to pray

How to pray

How to pray.

Praying is a major part of our lives; we pray before going to bed, immediately after waking up, before eating our food, and even when scared; Like when you wake up from a terrible nightmare. I have also noted that most people who don’t attend church services actually do pray

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