Journal of Administrative Sciences and Policy Studies

Non-Deterministic Impact on Microfinance Institutions Sustainability
Sébastien H. Azondekon, Kouassi Agbodoh-Falschau

Abstract
This paper discusses non-deterministic concepts and its application in the operational environment of the microfinance institutions that are characterized by uncertainty, ambiguity, information asymmetric or ignorance amongst other determinants. Thus, managing these determinants become crucial for the viability of the microfinance institutions. To that extent, it firstly analyses key components of non-determinism as well as describes the theoretical considerations in the underpinning concept. This analysis is conducted in the operational environment of microfinance institutions focused on projects, programs and portfolios financed by these microfinance institutions. Secondly, it analyzes the practical tools such as sensitivity analysis, impact analysis, risk analysis and probabilistic methods that can be used to manage non-deterministic factors in the operational context of microfinance institutions. Thirdly, it discusses better practices that might be considered for managing non-deterministic factors and their impact on the sustainability of these institutions. Finally, this paper highlights the regulatory implications of using the business continuity tools in order to ensure the sustainability of the microfinance institutions.

Full Text: PDF     DOI: 10.15640/jasps.v7n2a2