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Finding ways to downscale microfinance is one of the current challenges facing commercial banks, especially in developing countries. As banks have a poor knowledge of microfinance, operating in this market will require capacity-building, innovative business models and new technological architectures. This paper discusses how one particular architecture--the Brazilian model of correspondent banking (CB)--is helping banks cope with these challenges. Since the model was created, in 2000, it has allowed banks to downscale financial services outside their traditional branches and establish successful partnerships with local microfinance institutions (MFIs). The authors focus on one particular case involving a partnership between an accredited MFI (Banco Palmas) and two major banks (Banco do Brasil e Caixa Economica Federal), to make the argument that the Brazilian CB model represents an innovation at the 'meso level', defined by Helms (2006) as the infrastructure comprising a network of service providers necessary to the operation of MFIs. Keywords: Branchless Banking, Correspondent Banking, Information and Communication Technology (ICT), Microcredit, Microfinance, Microfinance Institutions (MFI), INTRODUCTION Microfinance has been considered a powerful instrument to fight poverty and create opportunities for low-income individuals, especially in developing countries. Even more important to consider is that its effects [...]

Partnerships between manufacturers and their suppliers are a topic of growing interest especially in terms of any competitive advantage gained through effective supply chain management. A study of supplier-manufacturer relationships within the U.K. automotive industry identified a number of characteristics of that relationship. There is some evidence that U.K. suppliers are developing clear, longstanding trust-based relationships with manufacturers, such a relationship lasting in a number of cases for over 20 years. Just under half of all design decisions were the result of co-ordination with other suppliers. Extensive design and product development involvement was noted among the supplier sample, indicating a high degree of trust in the majority of supplier-manufacturer relationships. Suppliers on average felt that they had played at least an equal role with the manufacturer in the case of improvements to product performance, product quality, design time reduction and manufacturing costs reduction. Suppliers rated the greatest influence on price to be supplier-manufacturer negotiation. Target vehicle price and competitive bids were important influences. When asked about supplier-manufacturer communication, suppliers stated the most common problem was finding the right person in the manufacturer. One third of communication media used electronic format to exchange design information. A significant proportion of U.K. suppliers, however, did not know whether they faced competition. Among the conclusions reached was the need to assess the compatibility of the respective partners in terms of culture, procedures and working practices. Not all suppliers are suited to partnering. To overcome communication difficulties, a senior individual should be designated to be the main channel. Regular progress meetings are essential and should cover relationship issues as well as product ones. Trust is seen as a critical factor in maintaining a successful partnership. Manufacturer and supplier need to track technological developments but this has to take place in the relatively secure environment of the partnership itself. A well-managed supplier partnership can be highly beneficial to both, saving time and cost and acting as an arena for ideas on product and process improvements.

Strategic management controls in professional partnership firms are different from controls in companies. A recently developed model of strategic management controls in the partnership firm was applied in a modified form to a sample of 60 firms in three traditional professions - law, accounting and architecture. Strategic management in the partnerships was broadly consistent with the model but we identified three adaptations in 10 of the sample of firms: corporate planner, corporate monitor and operations monitor. This article explains these adaptations and suggests that the form which strategic control takes in a partnership depends on the distribution of power in the firm.

New partnerships between large firm and small firm are being forged in the U.K. through subcontracting. An emerging model of 'Japanese-style' partnerships is being introduced through Japanese direct investment and emulation by Western firms. This article reports on research into four large manufacturers and a selection of their suppliers and describes this transformation away from an adversarial form of contracting to higher trust obligational relationships. It also analyses the barriers to implementation and the pressures that it poses for the supplier firms.

Byline: John A. Allison Successful partnerships cannot be forced. And yet successful partnerships of all types are essential to human well-being. Government is all about force. Governments have police, armies, [...]

'Partnerships between airlines will certainly remain vital in ensuring industry sustainability' Shakeel adam Managing partner, Aviado Partners Partnerships allow airlines to expand network reach and to be more competitive, but [...]

Venture capitalists need to be ruthless about their relationships EVEN in a world of algorithmic trading and automated credit scoring, good financial decisions still depend on judgment. Choosing whom to [...]

American Express Co. has refined its approach to partnerships with card-issuing banks after hiccups in its arrangement with MBNA Corp., a UBS Securities LLC analyst said. After meeting this week [...]

As franchise companies seek ways to strengthen their brands and boost the number of successful franchise locations, many are gun-shy about entering the often misunderstood world of private equity for [...]

Banks are suspicious of contracting partnerships with data processing system vendors. Vendors try to impose traditional data processing products on banks when their spending priorities are moving away from investment in these products. Banks are unwilling to assume the risks and costs of vendors' systems research and development. The notion of partnership requires further specification with respect to system property and usage rights., Imagine this scenario ... You are in a brutally competitive business. Profit margins from your traditional lines of business are eroding, and you are struggling to find new products and [...]

Quality partnerships between companies benefit both companies involved, the customer and the supplier. Partnerships help companies spend less on basic research and other ancillary expenses which reduces profits. Companies refusing to enter into such partnerships will have to deal with decreased sales and low profit margins.