Sonia Marciano makes a very forceful comment on selling a product or service. This would apply even to commodities if you can elevate the spirit in some way; how about guaranteeing the delivery time, giving access to technical support, making it easier to return the products…… “We each sell a little piece of happiness. You are elevating someone’s […]

Healthcare service development covers the deployment of innovative technologies, newer services and even different organisational models. Traditionally, these have been done by a top-down process by forcing clinical guidelines on practitioners. Industry has faced similar situations when it launched new products or services and there is a lot that the healthcare industry can learn from […]

Assuming the risk measures to be adopted are specified, how would you proceed to allocate them to different department of the Organization? A Bank may pursue an income rate risk strategy of organizing its cash flows so as to generate cash to its shareholders in a similar manner as a sequential investment in (say) a […]

What should be the basis of measurement? Should we base it on the volatility of the mark-to-market value of a given portfolio, or else in terms of net income volatility? Before we try to answer the question it is important to appreciate that the approaches that banks take for a specific risk measurement differ from […]

Before we launch into the heart of the current topic involving usage of Funds Transfer Pricing, let me take you through a very brief introduction.  Figure 1 below depicts one of the simplest forms of a hypothetical FTP scenario of a bank operating with just a single (2%) deposit on the liabilities side and a […]