Credit risk management in vijaya bank free essay sample

Indian economy today is in the process of becoming a world class economy. The Indian banking industry is making great advancement in terms of quality, quantity, expansion and diversification and is keeping up with the updated technology, ability; stability and thrust of a financial system, where the commercial banks play a very important role emphasize the need of a strong effective control system with extra concern for the risk involved in the business. In the fast growing world, banks are facing many types of risks among which credit risk stands at the top of the list. One bank was chosen to understand the practices followed by them in depth. Vijaya bank is one of the public sector banks and is supposed to be in line with RBI guidelines. This helped in understanding the credit risk management practices followed by the bank in a better way. GLOBAL SCENARIO The period 2007-2012 underwent financial crisis, also known as the Global Financial Crisis (GFC), or the â€Å"Great Recession†, is considered by many economists to be the worst financial crisis since the great depression of the 1930? . This resulted in the collapse of large financial institutions, the bailout of banks by national Governments, and downturns in stock markets around the world. Even the housing market suffered, resulting in evictions, foreclosures and prolonged unemployment contributing to the failure of key businesses, declines in consumer wealth estimated in trillions of US dollars, and a significant decline in the economic activity, leading to a severe 2008-2012 global recessions. The bursting of the U. S. ousing bubble, which peaked in 2007, caused the values of securities tied to U. S. real estate pricing to plummet, damaging financial institutions globally. The financial crisis was triggered by a complex interplay of valuation and liquidity problems in the United States banking system in 2008. Securities in stock markets suffered large losses during the 2008 and early 2009. Economies worldwide slowed down during this period, as credit tightened and international trade declined. This financial cri sis ended by around late 2008 and mid-2009. The current European sovereign debt crisis is an ongoing financial crisis that has made it difficult or impossible for some countries in the euro area to re-finance their Government debt without the assistance of third parties. From late 2009, fears of a sovereign debt crisis developed among investors as a result of the rising Government debt levels around the world together with a wave of downgrading of Government debt in some European states. Concerns intensified in early 2010 and thereafter, leading Europe? finance ministers on 9 May 2010 approved a rescue package worth â‚ ¬750 billion to ensure financial stability across Europe creating the European financial stability facility (EFSF). In October 2011 and February 2012, the Euro zone leaders agreed on more measures designed to prevent the collapse of member economies. DOMESTIC SCENARIO Indian banking industry has evolved over a long period of more than two centuries. Despite the recent growth of private banks, the sector is dominated by Government-controlled banks that hold nearly three-fourths of total banks assets. Indian banking industry is considered to be very stable with healthy balance sheets and low exposure to risky assets. The global financial crises have not affected the Indian banks significantly. Internet, wireless technology and global straight-through processing have created a paradigm shift in the banking industry. In India, the most significant achievement of the financial sector reforms is the improvement in the financial health of commercial banks in terms of capital adequacy, profitability and asset quality as well as greater attention to risk management. As now banks benchmark themselves against global standards, they have increased the disclosures and transparency in bank balance sheets, the banks also started focusing more on corporate governance. RISKS FACED IN AN ORGANIZATION Risk Management Risk is derived from the Italian word ResCare meaning â€Å"to dare†. Risk is â€Å"the probability of the unexpected happening – the probability of suffering a loss†. Risk provides the basis for opportunity. Risk is the probable variability of returns. Since it is not always possible or desirable to eliminate risk, understanding it is an important step in determining how to manage it. Identifying exposures and risks forms the basis for an appropriate financial risk management strategy. In the financial arena, enterprise risks can be broadly categorized as credit risk, market risk, operational risk, strategic risk, funding risk, political and legal risk. TYPES OF RISKS Risk faced by the bank can be segmented into three separable types from the management perspective.. †¢Risks that can be eliminated or avoided by simple business practices. Risks that can be transferred to other business participants (e. g. insurance policy) and, †¢Risks that can be actively managed at the Bank level. Risk is any real or potential event, action or omission, internal or external, which will have an adverse impact on the achievement of bank’s defined objectives. It is inherent in every business. Risk cannot be totally eliminated but is to be managed. Risks are to be categorized as high risk, medium risk and low risk and managed. Risks can be classified into three categories: †¢Credit risk †¢Market risk (interest rate risk, liquidity risk) †¢Operational risk CREDIT RISK Credit risk is the â€Å"possibility of loss from a credit transaction†. In a bank’s portfolio, losses stem from outright default due to inability or unwillingness of a customer or counterparty to meet commitments in relation to lending, trading, settlement and other financial transactions. Credit risk emanates from bank? s dealings with individuals, corporate, bank, financial institution or a sovereign. Credit risk includes the following: †¢Credit growth in the organisation and composition of the credit folio in terms of sectors, centres, and size of borrowing activities so as to assess he extent of credit concentration. Credit quality in terms of standard, sub-standard, doubtful and loss-making assets. †¢Extent of the provisions made towards poor quality credits. †¢Volume of off-balance-sheet exposures having a bearing on the credit portfolio. MARKET RISK Market risk is the possibility of loss to a bank caused by changes in the market variables. Market risk is the risk to the banks earnings and capital due to changes in the market level of interest rates or prices of securities, foreign exchange and equities, as well as the volatilities of those prices. Operational risk is the â€Å"risk of direct or indirect loss resulting from inadequate or failed internal processes, people, and systems or from external events†. RISK MANAGEMENT PROCESS The word â€Å"process† connotes a continuing activity or function towards a particular result. The process is the vehicle to implement an organisation’s risk principles and policies, aided by organisational structure. In general, the process can be summarised as follows: †¢Risk identification. †¢Risk measurement. †¢Risk monitoring. †¢Risk control. VIJAYA BANK INTRODUCTION Vijaya Bank is a nationalized scheduled commercial bank. The bank celebrated its platinum jubilee last financial year as it was established in 1931. The bank was nationalized on 15. 4. 1980 under the banking companies (Acquisition Transfer undertakings) Act, 1980 and Nationalized banks (Management Miscellaneous Provisions) Scheme 1980. The bank is also governed by the Banking Regulation Act, 1949 and is engaged in various businesses as fully defined under Section 6 of the said Act. Presently the Govt. Of India’s share in the Bank’s equity works out to 53. 87%. The bank is managed by a duly constituted Board of directors. The present strength of Board of directors of the bank is 12, comprising of 2 executive and 10 non-executive directors having expertise in various fields. ORGANISATIONAL STRUCTURE The organisational structure of the bank consists of three tiers viz. , Head office, Regional offices and branches. The Head office is in Bangalore. The bank has 20 regional offices to exercise immediate supervision and control over the branches under their jurisdiction. All regional offices are headed by experienced executives in senior/top management grade. Further, as the extended wings of the central inspection department, the bank has set up 9 regional inspectorates. HISTORY Vijaya Bank was founded on 23rd October 1931 by late Shri Attavara Balakrishna Shetty and other enterprising farmers in Mangalore, Karnataka. The objective of the founders was essentially to promote banking habit, thrift and entrepreneurship among the farming community of Dakshina Kannada District in Karnataka State. The bank became a scheduled bank in 1958. Vijaya Bank steadily grew into a large All India Bank, with 9 smaller banks merging with it during the 1963-68. The credit for this merger as well as growth goes to late Shri M. Sunder Ram Shetty, who was then the Chief Executive of the bank. The bank was nationalised on 15th April 1980. The bank has built a network of 1250 branches, 48 extension counters and 663 ATMs as at 31. 10. 2011, that span all 28 states and 4 union territories in the country. FOUNDING PRINCIPLE To promote banking habit, thrift and entrepreneurship among the farming community of Dakshina Kannada District in Karnataka state. CREDIT RISK MANAGEMENT PRACTICES IN VIJAYA BANK The bank’s net profit has seen a growth of 234% and the total business is up by 16%. The banks deposits are up by 13% and gross advances are up by 19%. The credit risk exposure is increased to 80064. 90 as of Sep, 30 2011. The credit risk of the bank has decreased over the past five years. They have installed an integrated risk management system in line with BASEL II norms and RBI guidelines. They follow strict hedging policies to reduce credit risk of the bank. They take financial collaterals and guarantees to hedge their credit risk. Hence all the policies and strategies have led to a sound credit risk management system. The bank has put in place a robust risk management architecture with due focus not only on capital optimisation, but also on profit maximization, i. e. to do maximum business out of the available capital which in turn maximize profit or return on equity. In capital planning process, the bank reviews: †¢Current capital requirement of the bank †¢The targeted and sustainable capital in terms of business strategy and risk appetite. Capital need and capital optimization are monitored periodically by the CapitalPlanning Committee comprising Top Executives. Sensitivity analysis is conducted quarterly on the movement of Capital Adequacy Ratio, considering the projected growth in advances, investments in Subsidiaries/ Joint Ventures and the impact of Basel II framework etc. The Committee takes into consideration various options available for capital augmentation in tune with business growth and realignment of Capital structure duly undertaking the scenario analysis for capital optimization. CRAR of the Bank is projected to be well above the 12% in the medium term horizon of 3 years, as prescribed in the ICAPP Policy. The Bank’s policies maintain moderation in risk appetite and a healthy balance between risk and return in a prudent manner. The primary risk management goals are to maximize value for share holders within acceptable parameters and to the requirements of regulatory authorities, depositors and other stakeholders. The guiding principles in risk management of the Bank comprise of Compliance with regulatory and legal requirements, achieving a balance between risk and return, ensuring independence of risk functions, and aligning risk management and business objectives. The Credit Risk Management process of the Bank is driven by a strong organizational culture and sound operating procedures, involving corporate values, attitudes, competencies, employment of business intelligence tools, internal control culture, effective internal reporting and contingency planning. The overall objectives of the Bank? s Credit Risk Management are to: †¢Ensure credit growth, both qualitatively and quantitatively that would be sectorally balanced, diversified with optimum dispersal of risk. †¢Ensure adherence to the regulatory prudential norms on exposures and portfolios. Adequately enable to price various risks in the credit exposure. Form part of an integrated system of risk management encompassing identification, measurement, monitoring and control. POLICIES, STRATEGIES AND PROCESSES The Board of directors and Risk management Committee of the Board gives directions, the Credit Risk management committee headed by Chairman and Managing Director ensures its implementation. The bank has defined policy guidelines for Credit Risk Management, Collateral Management and Credit Risk Mitigation (CRM), Ratings, etc. The bank has taken up implementation of Integrated Risk Management system through six solutions for Credit Risk Rating, Credit Risk, Market Risk, Operational Risk, and ALM FTP to move towards advanced BASEL II norms. The Income recognition and Asset classification norms of Banks? policy are in tune with RBI guidelines. Ninety days delinquency norm is followed to classify assets as performing non-performing. The data is audited and adequate provisions for both performing and non-performing assets are made. For restructured assets additional provision is made and the bank also has a general floating provision. CREDIT RISK MITIGATION †¢The general principles, like having a specific lien, requisite minimum margin stipulation, valuation, legal certainty, documentation, periodical inspection, easy liquidity etc. as enumerated in BASEL II final guidelines of RBI has been used for credit risk mitigation techniques. †¢All the prescribed haircuts with adjustments for currency mismatch and maturity mismatch are done. †¢The financial collaterals are netted out of the credit exposure before assigning the risk weights. The effect of credit risk mitigation system is not double counted. The financial collaterals taken include: 1. Bank’s own term deposits . Cash margin 3. Life policies 4. NSCs 5. KVPs 6. Gold benchmarked at 99. 99 purity For each separate credit risk portfolio, the total exposure covered by eligible financial collateral after the application of haircuts is shown in the Table below: Credit Risk Exposure Exposure CRM (fin. Collaterals)Net exposure Loans and advances54303. 652659. 09 51644. 56 Non fund based5261. 22 767. 564493. 66 Investment 20500. 03 0. 0020500. 03 Total80064. 90 3426. 6576638. 25 CREDIT RATING FRAMEWORK Credit Rating Framework (CRF) is one of the risk measurement techniques the banks use to a great extent under risk management system. This is used primarily to standardize and uniformly communicate the judgment in credit selection procedure and not as a substitute to the vast lending experience accumulated by the Bank’s professional staff. CREDIT RISK MANAGEMENT FRAMEWORK AT VIJAYA BANK As per RBI guidelines on Integrated Risk Management of Banks, all exposures across the Bank have to be risk rated. In this regard, IBM-BCS, Bank appointed Consultants recommended the following in respect of Credit Risk Management Framework for the Bank. SANCTIONING POWER DETAILS OF EXPOSURES COVEREDRATING MODEL DGM AND ABOVE Typically large value xposures (i. e. , above Rs. 200 lakhs)CRISIL? Risk Assessment Model CM/DM AND AGM Typically medium sized exposures (i. e. , above Rs. 30 lakhs)Manual Rating Model BRANCH POWER ACCOUNT Typically small value exposuresPortfolio Model Approach PROCESSES AND PRACTICES OF CREDIT RISK MANAGEMENT †¢The bank has understood the need for credit risk management as described by RBI. †¢They have identified the types of risks and are disclosed in the BASEL II disclosures every quarter appropriately in the banks website. †¢Credit risk faced by the bank is properly identified which includes the following: 1. The gross credit risk exposure has grown to Rs. 80064. 90 crore as of 30. 9. 2011 which is a 29% increase from the previous year that is 30. 9. 2010. 2. Credit quality has is standard due to their sound credit risk management system. 3. They have made sufficient provisions for NPAs, NPIs and depreciation. 4. Volume of off-balance sheet exposures for both financial collateral and guarantee covered credit portfolio together is Rs. 136281. 33 crore as of 30. 9. 2011 as against Rs. 101320. 2 crore as of 30. 9. 2010. †¢The bank decides on how much risk to take based on their risk appetite. The bank’s risk management policy is fine tuned to include credit appraisal standard like benchmark/hurdle ratios on key financial indicators, internal ceilings, prudential norms, etc. besides covering exposure ceiling for sensitive sectors such as capital market, real estate and commodity sector. †¢The credit risk exposure for the last five years is shown in the figure below: Figure: Credit risk exposure of the bank for the last five years (Source: Balance sheet of Vijaya bank CREDIT RISK MITIGATION †¢Based on the policies strategies are developed by the bank to mitigate credit risk. Credit risk is mitigated by appropriate credit appraisal systems before lending and proper collateral or guarantees are taken to hedge the risk. †¢Integrated risk management system is put in place for better management of credit risk and a risk rating software is installed which is developed by CRISIL in compliance with RBI guidelines. †¢The risk management function is reviewe d periodically usually every quarter. †¢The rating system for term loans is annual. †¢The risk weights of the bank’s products are shown in the figure below: Figure: Risk weights of the bank’s products (Source: Vijaya bank website) FINDINGS The bank has a documented credit risk management policy. †¢The bank uses credit rating system to assess credit risk as a part of loan lending mechanism. †¢They use standardised approach for credit risk measurement currently and are fine tuning to upgrade to advanced approaches as per RBI guidelines. †¢They have implemented an integrated risk management system as per RBI guidelines †¢They mitigate credit risk exposure through diversification, collaterals and guarantees. †¢The credit risk exposure of the bank has decreased considerably in the last five years indicating a sound risk management policy. The risk weights associated with the banks? products are in line with RBI guidelines. †¢They have regular trainings for their credit risk management teams on the policies and guidelines. They rely on ratings provided by CRISIL/CARE/ICRA as per RBI guidelines. RECOMMENDATIONS They can invest in securitisation as securitisation exposures are nil. †¢They have to start preparing for BASEL III norms which might come into effect in the near future. †¢They can further decrease their credit risk exposures with better credit risk management policies and advanced approaches as per RBI guidelines. Bank should include credit risk component in yearly forecast based on multiple market scenarios CONCLUSION The bank follows a sound credit risk management and credit risk mitigation policy which is proven by the decreasing credit risk exposure of the bank for the past five years. The bank has adhered to RBI guidelines and implemented BASEL II norms and an integrated risk management system and risk rating software. The credit risk policies and strategies of the bank have improved over years and the bank is in a better position.  The study shows that compliance with BASEL II norms helps the banks to improve their profitability through better credit risk management systems.

Understanding the nature of motivation

Abstract The paper dwells on motivation for addiction. A literature review reveals that most people will be inclined towards drug taking because of environmental factors like availability, genetic predispositions, developmental factors such as adolescence, personality components such as prevalence of psychotic traits like impulsivity, adaptations of the neurobiological system and its mechanisms as well.Advertising We will write a custom term paper sample on Understanding the nature of motivation specifically for you for only $16.05 $11/page Learn More Adaptations occur when conditioning of the external stimuli arises. The gap in literature review found that most papers did not link motivation for drug use with preventive outcomes. A multimodal approach to drug treatment and prevention has been proposed so as to offer more successful and accurate drug programs. Introduction Addiction is defined as the propensity to indulge in strange and even destructive behavior; addicts will often lack the ability to control their habit and may continue to indulge in it even with external intervention. Several studies have been carried out in the field of drug addiction to find out what motivates users to continue taking drugs. A literature review in this area reveals that almost all motivation falls in these six categories: genetic, environmental, neurobiological mechanisms, neurobiological adaptation, personality and developmental factors. Most studies tend to focus on assessment of one or more of these factors but very few have found a way of relating these motivations to prevention and treatment programs thus minimizing the usefulness of their researches. The present study will look at current findings in the field of addiction motivation and will eventually provide recommendations on how these findings can be translated into tangible prevention outcomes. In other words, the main purpose of this research is to suggest a multi – modal ap proach that will link motivation for drug taking to tangible prevention outcomes. Experimental evidence Most analyses focus on collection of literature, analysis of drug addicts or experimentation with lab animals in order to unravel the nature of addiction. Crowley (1972) carried out a comprehensive study of addiction through the use of secondary literature and theoretical frameworks.Advertising Looking for term paper on psychology? Let's see if we can help you! Get your first paper with 15% OFF Learn More He found that drug reinforcers can either be primary or secondary in that they either cause the effect of the drug directly or they lead to an effect that comes to be associated with the drug. Secondary reinforcers may either be positive or negative. He suggested that a negative secondary reinforcement was one that was learned or conditioned. In other words, if an addict experienced his or her first withdrawal effects in his parent’s house then chances are th at the person would get the same feelings in his parent’s house even if he was not going through a withdrawal and this is called negative secondary reinforcement. Alternatively, conditioning or secondary reinforcement may also be positive in that it can be associated with particular peers. Although Crowley (1972) called these conditional motivators secondary reinforcement, other researchers have given them a more scientific name known as neurobiological adaptation. Examples here include Volkow Wise (2005) Robbins and Everitt (1999). These authors explained that decisions to take drugs were associated with the concept of reward and motivation. In other words, the neurobilogical system through a neurotransmitter known as dopamine has the capacity to create a positive reinforcement in the drug addict. Evidence of this assertion was confirmed by Robbins and Everitt (1999) who studied behavior in rats and found that they would self administer drugs using a level system if dopami ne was active and when the neurotransmitter was inactivated, no self administration of cocaine would take place. Usually, that part of the brain is responsible for learned responses such as memory. Consequently, it can be said that the drug seeker is looking for the same reward that the drug accords him or her and this leads him to continual use. Conditioned stimuli (situations that are associated with drug taking that produce desirable outcomes but are not from the drug itself) have the capacity to cause relapses because they activate the dopamine neurological system. These researches have therefore illustrated that neurobiological adaptation is another important motivation for drug use It should be noted that neural biological adaptations are different from neurobiological mechanisms as another motivation for drug use. Neurobiological mechanisms basically refer to alterations in the biology of the drug user upon consumption. When drugs get into the system, they trigger a certain s ection of the brain which is responsible for stimulation and this leads to the development of a pleasurable feeling. In other words, this is the reward that many drug seekers tend to look for.Advertising We will write a custom term paper sample on Understanding the nature of motivation specifically for you for only $16.05 $11/page Learn More Robbins and Everitt (1999) explain that drugs often create neural side effects that lead the addict to action every time they require it. This was the primary positive reinforcement that Crowley (1972) was talking about. A certain sensation causes most of these drug takers to move from one component to the other. Environmental factors are also an important motivation for drug use and relapse for those who are abstaining from the habit. Siege et. al. (2000) explain that increase in drug taking is associated with the continual availability of drugs. This explains why use of certain hard drugs is common in the ghettos. This was affirmed through self administration of drugs by rats. Stress also makes drug users susceptible to drug use. Baker et. al (2004) explain that most drug addicts tend to avoid stressful states and this implies that environmental factors are a case of negative reinforcement. Goeders (2004) adds that stress causes addiction because it reminds a section of the brain called the HPT that the drugs can avert the negative feelings. Consequently, a drug user who had gone through prolonged periods of abstinence may relapse when too much stress occurs. Developmental factors also make drug users predisposed to the use of drugs. It has been shown that drug use often begins at the adolescent age. Volkow and Wise (2005) affirm that changes in delayed developments of a certain section of the brain known as the prefrontal context leads to greater risk taking behavior. Adolescents have not yet developed this part of the brain so most may be impulsive or maybe likely to get involved in drugs without really thinking about the long term consequences of it. Lastly, Eysenk (1999) illustrated that there is a relationship between the personality of an individual and that person’s propensity for drugs. It has been illustrated that drugs do play a resource function. In other words, if an individual has a certain personality deficiency such as too much introversion, then that person is likely to seek out drugs which will cause him to be more talkative and uninhibited. Personality also acts as a motivator owing to the prevalence of psychotic functions of the addict. Eysenk (1999) carried out an analysis of various individuals and found that most users tended to be impulsive, impersonal, aggressive, cold and egocentric. These were all behavior traits synonymous to the psychotic personality so this is an important motivator. Genetic predispositions also lead to drug use as asserted by Nestler (2000) who found that particular variations in rats tend to affect susceptibility t o drugs thus showing that genes had a mediating effect. Nonetheless, the particular genes were not found as a complex combination of them could lead to vulnerability to addiction.Advertising Looking for term paper on psychology? Let's see if we can help you! Get your first paper with 15% OFF Learn More Implications of the experimental evidence The revelation that drug use is associated with developmental factors illustrates that adolescents can be specifically targeted during preventive measures since they are likely to begin drug taking without thinking about the consequences. The findings that neurobiological mechanisms lead to the start and continual use of drugs imply that a substitute for similar responses maybe used in earlier phases of drug treatment. Also, findings that link drug use to environmental factors like stress imply that dealing with stress can be an effective way of curbing this. Personality factors imply that certain individuals just tend to be more impulsive. This component can be used in treatment programs by providing immediate rewards as it would resonate with the drug user. Conditioned behavior therefore illustrates that there are indeed certain triggers which can be eradicated during treatment. Limitations of the findings Most of the researches did not li nk their findings to practical implications. In other words, few tangible solutions were given to the use of these motivators as preventative or treatment techniques. Essentially, most of the studies were inquiring about drug motivation but they did not offer answers to this pressing problem. Future directions In the future, it will be appropriate to link these motivational factors to treatment or preventive outcomes. A multimodal approach would be the best bet because not only would it ensure that drug treatments are patient centered but it would also increase the accuracy of interventions because specific motivators or reinforcers will be neutralized. For instance, if it has been found that personality was one of the motivators of drug use through impulsivity then short term rewards can be introduced into the program. Also, if availability of drugs is found to be the problem then patients may either be removed from their environments or closely monitored through peer groups. Concl usion It has been found that motivation for drug use can be subdivided into six sections which include genetic predisposition, developmental factors, neurobiological mechanisms, neurobiological adaptations, personality and environmental factors. Most of the literature has not linked these findings to treatment programs to be used by drug users yet problems tend to be solved only after relating them to their initial causes. All or any of these factors may have led a person to addiction so treatment methods need to relate to those motivations (no matter how many they are). This piece therefore suggests future research in the development of multimodal approaches to drug treatment and prevention depending on the risk factors and the motivations for drug use. References Baker, T., Piper, M., McCarthy, D., Fire, M. Majeskie, M. (2004). Addiction motivation reformulated: an affective processing model of negative reinforcement. Psychological review, 111(1), 33-51 Chambers, A., Taylor, J., Potenza, M. (2003). Developmental neurocircuitry of motivation in adolescence: a critical period of addiction vulnerability. American Journal of psychiatry, 160, 1041-152 Crowley, T. (1972). The reinforcers for drug abuse: why people take drugs. Comprehensive psychiatry, 13(1), 51-63 Eysenck, H. (1997). Addiction, personality and motivation. Human psychopharmacology, 12,S79-87 Goeders, N. (2004). Stress, motivation and drug addiction. Current directions in psychological science, 13(1), 33-36 Nestler, E. (2000). Genes and addiction. Nature, 26, 277-282 Robbins, T. Everitt, B. (1999). Drug addiction: bad habits add up. Nature, 398(15), 567-601 Serge, A., Walker, J., Koob., G. (2000). Heroin in rats with a history of drug escalation. Neuropychopharmacology, 22(10), 413-421 Volkow, N. Wise, R. (2005). How can drug addiction help us understand obesity? Nature Neuroscience, 8(5), 555-561 This term paper on Understanding the nature of motivation was written and submitted by user Aleena U. to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Essay Examples on Child labor Essay Example

Essay Examples on Child labor Paper 1st Essay Sample on child labor Child Labor is a term used to represent the employment of minors in work that may interfere with their education, or endanger their health. Throughout the ages and in all cultures children joined with their parents to work in the fields, in the marketplace, and around the home as soon as they were old enough to perform simple tasks. The use of child labor was not regarded a social problem until the introduction of the factory system during the industrial revolution.Villages had grown into towns and cities. Factory profits had boosted the economy, and more food was available. The population was growing as a result of better health care and nutrition. The Revolutionfirst took advantage of Britain’s largest industry, textiles. In the 1600’s, cotton cloth imported from India became popular. British merchants organized a cotton industry for themselves. They developed a pulling out system in which raw cotton was brought to peasant families who then spun it into cloth. Skilled artisans then finished and dyed the cloth. Under the pulling out system, production was very slow. As the demand for cloth grew, inventors came up with ways to make the cotton industry more efficient. In 1764, James Hargraves invented a spinning jenny that spun many threads ata time. A few years later, Richard Arkwright invented the water frame whichused waterpower than spun cloth even faster, the new machines put an end to the pulling out system. They were costly, and too large to fit inside peasants home. We will write a custom essay sample on Essay Examples on Child labor specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Essay Examples on Child labor specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Essay Examples on Child labor specifically for you FOR ONLY $16.38 $13.9/page Hire Writer Instead, factures built long sheds near fast moving streams to power the machines. Later, machines were powered by steam engines. Spinners andweavers came to work everyday in the factories. The revolution brought rapidurbanization. The great demand for factory workers grew as more factories were built. Small villages turned into cities practically overnight. 2nd Essay Sample on child labor By definition, child labor is described as any economic exploitation or work that is likely to be hazardous, or interferes with the childs education, or is harmful to the childs health or physical, mental, spiritual, moral, or social development.Although this is clearly stated in Article 32 of the Convention on the Rights of the Child, whichwas started by UN in the 1920’s, it is often ignored in the developing world where child labor has become a growing issue. The United Nations, aware of the undesirable situation with child laborers, has devised several methods in effort to stop this problem.These methods include monetary aid to and education for children in developing nations, but so far it has only scratched the surface of this complex problem.Since so many children find themselves in this situation, UNICEF, an organization working under the UN, realizes that it will take time for the problem to be solved. However, with approximately 250 million children working worldwide , something must be done. Afirst step for worldwide awareness is for people to realize that most child labor doesn;t take place in old, run-down factories, but in unregulated parts of the economy such as agriculture and domestic services. Surprising to most, even countries such as the United States still have their share of problems.In a recent â€Å"awareness swap† between American and Bangladesh children, both groups experienced the sight of little kids laboring in sweatshops.Although the UN wants to help, it is somewhat limited in its abilities to make dramatic changes.If it puts legal restrictions, such as trade sanctions against imports from countries using child labor, that could actually bring more harm to the children than good.UNICEF has recently decided that in order to combat this problem, education is the key.

Robert Frost The Road Not Taken Essays

Robert Frost The Road Not Taken Essays Robert Frost The Road Not Taken Paper Robert Frost The Road Not Taken Paper 11 Nov. 2008. Web. 3 Nov. 2011. Frost, Robert. The Road Not Taken. Backpack Literature: And introduction to Fiction, Poetry, Drama, and Writing. Kennedy, X. J. , Dana Gioia. New Jersey: Pearson, 2011. 555-556.

Managing People For A Competitive Advantage Essay

Managing People For A Competitive Advantage - Essay Example The strategies and the philosophies developed by the HR department drives an organization in the right path. Placing the right person, at the right place, at the right time, is always beneficial to the organization. HRM has two important functions; one with respect to the organizational needs and the other related to the employee needs. In other words, HR department acts as the bridge between the organization and the employees. Since the needs of the organization and the needs of the employees are mostly different, conflicts between the organization and the employees can take place any time. Under such circumstances, the HRM department is responsible for find out amicable solutions without sacrificing the needs of the organization or the employees. â€Å"Without inspiration the best powers of the mind remain dormant, they is a fuel in us which needs to be ignited with sparks† (Von Herder). Motivation is accepted as the driving force behind every human action and the basic func tion of every first line supervisors or managers is to motivate the workforce properly to accomplish the organizational goals. ... Cooperation between these departments is necessary for achieving the final goal. It is the duty of the first line supervisors to control the functions properly so that the organizational interests will never be sacrificed. Planning is another major function of the first line supervisors. Whatever the schedule given to a particular department should be completed in time and for that purpose the first line supervisors need to plan the work. The HR managers are responsible for ensuring that all the HR policies and practices are implemented within the organization. The HR policies and strategies are normally formulated by the top management team. Once all these policies are formulated it is the responsibility of the HR managers to ensure that these policies were implemented correctly. For example, the top management team normally makes policies with respect to employee annual leave, sick leave, casual leave etc. The top management will decide how many leaves can be given to the employees in a particular year. Once all the norms about the leave were fixed, it the duty of the HR managers to ensure that these norms were implemented successfully. Many parameters can affect the employee performances in an organization. The work culture, motivation, management style, remuneration etc are some of the major factors which may affect the employee performances. However, the mangers and the HR department have major roles in deriving maximum productivity out of the workers. HR department should appoint right people at the right place at the right time. It is difficult to anticipate better performance from an employee, if the HR department ask him to complete a job which is out of his expertise. For example, it is difficult for a software specialist to

Judicial Style in Ukraine Essay Example | Topics and Well Written Essays - 500 words

Judicial Style in Ukraine - Essay Example The legitimate Court of Ukraine is the merely organization of legitimate authority in Ukraine. The Ukraine encompasses a judicial structure which consists of the Supreme Court, regional courts in addition to district (town) courts. The Legitimate Court of Ukraine is a particular body with power to review whether lawmaking proceeds of the Parliament, President, Filing cabinet or Crimean Legislative body are in line up with the Structure of Ukraine. This Court as well provides interpretation to guaranteed standard of the Constitution or laws of Ukraine. The Criminal System of Ukraine records the sort of criminal retribution accessible. Punishments are able to be classifying into fundamental and complementary, depending on their technique and the method in which they are allocate. For model, necessary punishments are those which are allocate as identity-sufficient and cannot be dispense as a complement to added punishments. Fundamental punishments contain: custody (imprisonment), correctional works devoid of custody, deprivation of the exact to dwell in convinced place or to execute confident actions, fines, and community criticize. Complementary punishments are those which are able to be allocate simply as a complement to an essential punishment. Fundamental punishments contain: custody (imprisonment), correctional works devoid of custody, deprivation of the exact to dwell in convinced place or to execute confident actions, fines, and community criticize. Complementary punishments are those which are able to be allocate simply as a complement to an essential punishment. They comprise: elimination; the removal of armed or particular rank; or elimination of parental privileges. Decease penalty:

Natural And Human Sciences. Biological and Social Theories of Essay

Natural And Human Sciences. Biological and Social Theories of Evolution - Essay Example â€Å"A theory is an explanation or model based on observation, experimentation, and reasoning, especially one that has been tested and confirmed as a general principle helping to explain and predict natural phenomena.† (Quoted in fsteiger.com) Theories are articulated and modified for the exploration of facts and realities on the foundation of deep observation, adequate evidence and critical examination of the available information. â€Å"The vehicle of all understanding†, Turner submits, â€Å"in science is theory. Theory is a way of answering the questions.† (2006, p. 2) Hence, theories establish principles and laws and add to the knowledge of scholars, intellectuals, philosophers and the masses as well regarding multiple disciplines and issues at large. Thus, theories are equally important in natural and social sciences for the establishment of various concepts and parameters in the light of which further developments are made in some specific field of knowle dge. Though both natural and human sciences consist of theories, yet difference in both these sciences can also be witnessed in their theoretical frameworks. Pure or natural sciences concentrate upon examination of natural, organic, inorganic, physical and nonhuman laws, rules and aspects related to the earth and universe. On the other hand, social or human sciences study the existing social, cultural, religious and psychological phenomena on scientific grounds. Physics, chemistry, biology, astronomy, engineering, aeronautical science and pharmacy etc come under the definition of natural sciences, while sociology, theology, economics, history, psychology, philosophy and others are called human sciences. Though natural and human sciences appear to be entirely different from one another, yet they maintain many similarities and commonalities between them; almost same is the case with the theoretical frameworks related to both these forms of science. The similarities between the nature and scope of pure and human sciences can be analyzed as under: Biological and Social Theories of Evolution: Evolution theory enjoys a very important status in pure and social sciences. Though experiments had been made several times in past in respect of discovering the origin of humans and other living creatures, yet it was Charles Darwin who first time presented a comprehensive evolution theory on the basis of his in-depth research on fossil remains and living things including humans, fauna and flora in order to make a decisive conclusion regarding human evolution. Darwin has articulated his concept of natural selection in his world famous work On the Origin of Species, where he submits to state that it is the rule of nature that only the fittest and most suitable living creatures survive and multiply; the rest of the creatures start weakening, and eventually perish away with the passage of time. Hence, Darwin is of the opinion that those creatures and living things that have the a bility to adapt themselves according to the always changing natural and physical condition, survive and reproduce. On the other hand, the living things that either lack adaptability or sufficient strength necessary to defeat the external threats and impediments, are sure to expire, and thus lose the signs of their existence even. Darwin has submitted that the process of natural selection is the foundation of evolution of human generations. â€Å"As natural selection acts solely by the preservation of profitable modifications, each new form will tend in a fully stocked country to take the place of, and finally to exterminate its own less improved parent-form and other less favored forms, with which it comes into competition.† (1872, p.159) Darwin vehemently argues in favor of the notion natural