Organizational Behavior and Communication free essay sample

This paper will focus on the American Red Cross. The culture, espoused values and enacted values are all important aspects of this organization. Communication plays a very vital role in the perception and organizational culture. Perceptions within this organization might cause misalignment between espoused and enacted values. Being able to identify the role of conflict in group communication of the organization is very vital to the success of the organization. The conflict tends to improve communication within and among groups, so that the organization can be effective. American Red Cross According to http://www. firelandsredcross. org/History. htm, the American Red Cross is the largest volunteer organization in America. Since the founding of the Red Cross by Clara Barton in 1881, volunteers have been trained to help families, friends, and neighbors in the event of an emergency. It is committed to making a positive difference by improving the quality of human life, enhancing self-reliance and concern for others, and helping people avoid, prepare for, and cope with emergencies. We will write a custom essay sample on Organizational Behavior and Communication or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The American Red Cross South Arkansas chapter saves lives by responding with food, shelter, and hope when a disaster occurs. This organization saves lives. When disaster strikes, we respond with food, shelter and hope. Some of the major principles of American Red Cross Movement are: humanity, impartiality, independence, voluntary service, unity, and universality. The shared values of this organization includes: humanitarianism, stewardship, helping others, respect, voluntary spirit, continuous learning, and integrity. Some key elements toward the success of an organization should be influenced by the: culture, communication, role of conflict in group communication, and how conflict improves communication in the organization. Communication and Culture The relationship between communication and culture is very difficult to understand. Cultures are formed through communication. Communication is the way humans are able to interact by which customs, roles, rules, rituals, laws, or other patterns are created and shared. Without communication, it would be impossible to keep and pass along cultural qualities from one place and time to another. Communication plays a vital role in the success of American Red Cross and helps to achieve the desired outcomes of this organization. Culture is created, shaped, passed, and learned through communication. Therefore, communication practices are largely created, shaped, and transmitted by culture. Communication is the only organizational process that has the power to inform, educate and bring about cooperation and ultimately the kind of individual behavior change that leads to powerful cultural change. The past, present and future of this organization, which reflect the culture, can only be preserved through various communication artifacts. If the culture needs to be changed, communication is the main tool around the change process (Reiley Roberts, 2007). Misalignment and Perception Often, misalignment of espoused and enacted values affects the perception of American Red Cross. Misalignment of values causes frustration, anger, confusion and disengagment. Organization leaders talk about teamwork, but sometimes employees experience a different reality that some team members are better than others. A limited view of goals in this organization leads to efforts being ignored, unappreciated or even belittled. Conflict in Group Communication American Red Cross is composed of individuals that have different opinions, beliefs, and values that cause conflict. Conflict occurs within this organization when the organization’s differences are communicated. Conflict in group communication helps to bring clarity, vision, and direction. Therefore, group communication helps with unity of vision, clear directives, feedback, and challenges of the organization. Improving Communication Conflict allows us to listen for and understand what is felt and said. This is necessary in order to build strong relationships among those in the American Red Cross. Conflict improves communication by the ability to recognize and respond to vital matters, find ways to compromise, and a belief that solving the problem can support the interest and needs of others (Leavitt, 2000). Overall, conflict improves communication by building strong and better relationships, overcoming challenges, and being successful with work in life. Conclusion Finally, the awareness of the American Red Cross culture is necessary for continued diverse growth. In order to attract the best of the organization, a culture of diversity and open communication is needed. Once the American Red Cross has these qualities, it can improve efficiency and have more viewpoints to learn from. To make sure the organizational culture is compatible with the strategic goals of this organization, conflict must be beneficial to the overall improvement of communication in this organization and success will be guaranteed.

Essay on The History of Criminolgy

Essay on The History of Criminolgy Essay on The History of Criminolgy Essay on The History of CriminolgyThe topic selected for conducting a research is The History of Criminology. This topic has been selected to study because it is an interesting topic, which encompasses a variety of issues to be analyzed and discussed. The history of criminology stands for the history of science and practice, which plays a crucial role in the study of different aspects of criminology. The topic needs to be researched to better understand the nature of criminology and the functioning of criminologists in different periods of time.Moreover, the topic The History of Criminology needs to be researched to address a wide range of problems and challenges that exist in today’s field of criminology. In recent years, much has been done to conduct a research regarding the major causes and consequences of crime, but the origins of this type of research date back to the eighteenth- nineteenth centuries. According to Garland and Sparks (2000), â€Å"contemporary criminology inhabits a rapidly changing world†(p. 189). The character of criminology is changing because of considerable changes in social life and political, economic and cultural environments. These changes are reflected in â€Å"crime rates, crime policy and in the practices of policing, prevention and punishment† (Garland Sparks, 2000, p. 189).Analyzing the topic, it is necessary to refer to the major issues that should be discussed in the research. The history of criminology highlights the role of crime and punishment in modern society, identifying the nature of crime issues that are connected with the daily routines of people, their emotional and cultural lives. In general, the field of criminology requires a â€Å"sense of its own history† (Laub, 2004). It is necessary to develop and apply the key concepts of the life-course perspective to the development of criminology as an academic discipline. The research will be focused on analyzing criminology in the U.S. over the last 100 years. Special attention should be paid to the key life-course phases in the development of criminology, as well as to the major turning points in this field. The history of criminology can help to realize the ideas regarding crime issues.The intended outcome of the research should address a variety of problems and challenges that exists in our society today and affect criminology. According to researchers, â€Å"criminology, is its broadest sense, consists of our organized ways of thinking and talking about crime, criminals and crime control† (Garland Sparks, 2000, p. 192). The research will help to enhance understanding of contemporary criminology.The qualitative approach will be taken in conducting the research. The qualitative research approach requires the use of research questions as the basis of research. Thus, the actions will be aimed at setting the research questions and reviewing literature to find the answers to these questions, and providing long-t erm observation or participation in the real situations and settings. The two major research questions that will be discussed in the research include: â€Å"How the history of criminology can help to address the major problems and challenges in the field today?† and â€Å"Why the history of criminology is effective in the practices of policing, prevention and punishment?† The qualitative research approach will help to solve problems in the field of criminology based on new conclusions. Today criminologists and criminal justice historians effectively use the key findings from the history of criminology in their work, including the facts that prove the relationship between the past, present and future of criminology (Lawrence, 2012).

The Color of Paradise and Other Movies Movie Review

The Color of Paradise and Other Movies - Movie Review Example The film â€Å"Paradise Now » develops into a thriller when something goes wrong during the early stages of the plan’s execution. Said and Khaled become separated and Jamal is convinced that Said may be betraying the cause. This movie is a tough film because of what it attempts to do, which is in regards to the fact that it is a rare thing for a movie to present events of the Arab/Israeli struggle from the Palestinian side, where terrorists are viewed as ‘martyrs’ and ‘freedom fighters’ instead of killers. This movie is certainly one of speculation and possible great controversy, and yet regardless is brave for dealing with such sensitive and so-called ‘faux-pas’ issues. Trois Couleurs: Bleu is a movie of great interest. The director and writer, Krzysztof Kieslowski, tells the story in this film from the perspective of Julie (Juliette Binoche), which necessarily makes the film very dark and introspective. Overall, in the end, the story of this film isn’t a terribly ambitious one, but at the same time it remains devilishly interesting and enjoyable and maintains a slow burn throughout which leads to an explosive finale. This movie is one of a complex psychological study of emotional liberty. The plot is that Julie, wife of the famous composer Patrice de Courcy, must cope with the death of her husband and daughter in an automobile accident which only she herself survives. While recovering in the hospital, Julie even attempts suicide in her distraught stage. For the remainder of the film, she devotes herself to mental suicide, disassociating herself from all of her past memories and distancing herself from former friendships. Visually, the director uses many techniques in order to properly portray the sense of loss and Julie’s internal conflict – both of which are primary topics of the issue in this film. As Julie watches the funeral for her husband and daughter from her hospital bed, the dark shadow of her finger caresses the tiny casket on the screen. This movie is one of a certain emotion, and a number of critics rate this film as one of the great motion pictures of all time.

Wireless Power Transmission Essay Example | Topics and Well Written Essays - 2500 words - 1

Wireless Power Transmission - Essay Example As the stydy highlights low power devices that include mobile phones and digital cameras use batteries which are charged. In cases where one has many low power devices and intends to charge them simultaneously, it becomes a tedious affair. Current manufacturers make electronic gadgets with varying charging systems. To curb the messy picture of using wired systems, wireless power transmission comes handy and an effective way to charge portable and low-power gadgets. From this study it is clear that electromagnetism is considered to be the study of physical interaction occurrences placed between electrically charged elements. The power of electromagnetism manifests as a field, which is one of the major four fundamentals in nature’s interactions leaving the other three as gravitation, weak interaction, and strong interaction. â€Å"WPT is carried out using either the â€Å"near-field† electromagnetic (EM) induction (e.g., inductive coupling, capacitive coupling) for short-term distance (say, less than a meter) applications such as passive radio-frequency identification, or the â€Å"far-field† EM radiation in the form of microwaves or lasers for long-range (up to a few kilometers) applications†. Lorentz force is an electromagnetic phenomenon which including both electric and magnetic elements of a single phenomenon. The force of electromagnetism plays a significant role in the determination of the functions of the objects we encounter every day . Ordinary things then aquire the form resulting from intermolecular forces that are between the individual matter molecules. Electrons are bound by electromagnetic wave mechanics to form building blocks of molecules called atoms.

Classroom Management Observation Essay Example for Free

Classroom Management Observation Essay Did you view the elementary or secondary video? * Elementary 1. Observation and Description A. Describe the observed classroom routines.The class starts with the children removing materials from their desk to get organized. Having the children remove all materials from their desk to organize them according to size teaches the children to have respect for their property and others. Next, the children go on a classroom tour. She also discusses the procedure for signing books in and out of the classroom library. Next, she describes the procedures for if students want to borrow materials off the teacher’s desk. The students must always ask. Then, the children go over the schedule, so they know, what to expect throughout the school day. After that, the children learn the importance of attending school on a daily basis. Next, the teacher has the students’ line up. The first time students are required to line up; the teacher explains the procedure and the reason. Then the teacher discusses signing in and out procedures for going to the office, the restroom, and the nurse station. The students must sign out, print their name on the appropriate line, and circle the place they are going, then put the time, and take a pass. The students learn that they have more freedom in the third grade than second, because they no longer have to ask to get water at the water fountain and sharpen pencils, as long as there is no one else at the water fountain, or the pencil sharpener. Finally, the students learn the procedures for getting crayons and other materials. The same rules apply as long as no one is at the crayon or material station the students can go ahead and get crayons. The students must grab a basket, grab a handful of crayons for the basket, and go quietly back to their seats. This will decrease classroom interruptions and will gain a sense of trust between the students and the teacher. B. Describe the implementation methods of routines in the ob served classroom. The teacher implements the methods of routines as she would any other subject. For example, if the teacher were teaching math, she would describe it, explain it, and then have the children practice it. In the video, the teacher described to the students how they would line up, then she explained why they would line up that way, and then she let the children practice. 2. Analysis, Exploration and Reasoning A. Predict students’ level of engagement with the observed classroom routines.The students level of engagement is high the children are enthusiastic about learning what the teacher expects of them. Later in the school year, I predict that the student will have the same level of engagement as from the first day of school. The children will know what the teacher expect of them, regarding routines and procedures. The routines and procedures will become more of a habit. B. Analyze a possible purpose for the observed classroom routine. The purpose for the children removing all items from their desk and organizing them according to size is so that the children will know where all books and materials are at all times. This will decrease the amount of classroom disruptions, because the children will not have to go back and forth to their book bags and other areas of the classroom to get materials. The materials are in an organized area in the desk. 3. Connections to other teaching practices A. Explain the purpose of the observed classroom routines as they relate to the learning environment.The purpose of having the children take a classroom tour is to familiarize themselves with centers and materials so the children will know exactly where to go when they need certain things, which will cause less classroom disruptions. The observed routines relates to an improved learning environment for the classroomThe purpose for removing materials from their desk to get organized is to teach students to have respect for their pro perty, themselves, and others. Having respect for their property and others improves the learning environment because each student will strive to act in a respectable manner by having respect for themselves and their surroundings, which in turn, will decrease the amount of classroom disruptions. Next, the children go on a classroom tour. She also discusses the procedure for signing books in and out of the classroom library. Having the students sign books in and out of the classroom library teaches students the importance of returning items back to their correct placement, which relates to improving the learning environment because keeping items neat, organized in their correct placement is essential for a learning environment to thrive. Next, she describes the procedures for if students want to borrow materials off the teacher’s desk. The students must always ask. This teaches the student to never take anything without asking and again to have respect for their property and others, which in turn improves th e learning environment, if everyone ask before taking something of someone else. Next, the teacher has the students’ line up. The first time students are required to line up; the teacher explains the procedure and the reason. The teacher has the student to quie line up quietly, by size to see and account for all students as the students walk through the hall. This improves the learning environment because the teacher is responsible for the whereabouts of all students so seeing each child is important to have a successful learning environment. The students must remain quiet as they walk through the hall so they will not disturb other students. Then the teacher discusses signing in and out procedures for going to the office, the restroom, and the nurse station. Having the students sign in and out teaches how important it is to let the teacher know their whereabouts. This also teaches responsibility. It is crucial for the teacher to know the whereabouts of all students in their class at all times, having the students sign in and out keeps track of all whereabouts and the time, which improves the learning environment. The students learn that they have more freedom in the third grade than second, because they no longer have to ask to get water at the water fountain and sharpen pencils, as long as there is no one else at the water fountain, or the pencil sharpener. This creates a sense of trust between the students and the teacher, which improves behavior because the students will not want to abuse the trust. Gaining trust improves behaviors, and good behaviors improve the learning environment and give students an abundance of opportunities to learn. Finally, the students learn the procedures for getting crayons and other materials. The same rules apply as long as no one is at the crayon or material station the students can go ahead and get crayons. The students must grab a basket, grab a handful of crayons for the basket, and go quietly back to their seats. This will decrease classroom interruptions and will gain a sense of trust between the students and the teacher, which improves the learning environment. Students’ transitions many times throughout out the day, from entering school, to going to breakfast, to leaving the lunchroom, to entering class. Transitions between activities can be challenging and stressful for students, but with organization and key expectations, teachers will eliminate a lot of chaos during these transitions. K–8 Situations 1. Beginning of the day: Class is starting A. enter classroom, the children will find seat B. empty book bag, organize desk C. hangs up book bag, sit quietly wait for instructions to begin tasks 2. End of the day: Going home A. get book bag off hanger place books needed for homework in book bag B. clean up desk and area around desk C. Sit and remain quietly until the teacher calls your way of transportation 3. Transition between activities: Moving to centers A. At the signal (dims the lights) the students to end activity; students begin putting materials away for the current assignment. B. Students clean up and take out materials from next assignment C. when the teacher turns back on the light, students must be in their seat quietly ready to begin next activity. 4. Distribution of materials: Getting crayons off shelf A. makes sure no one is at crayon station B. WALK over to the crayon station, grab a basket, and take a handful of crayons C. return quietly to your desk 5. Field trip: unloading the bus A. get off the bus on the field trip, make sure you are with your partner B. listens to ALL directions C. stay in designated groups 6. Recess: Going to the gym A. Line up quietly for recess B. Walk quietly down the hall to gym or designated area for the day C. Listen for directions for activities for the day 7. Fire or disaster drills: exiting the building in the event of fire A. When the alarm sounds, the students will quickly line up in front of the door B. Listen for the teacher to call your row C. Walk quickly and quietly a line, listen for directions from your teacher What teachers do at the beginning of the school year to organize their rooms and establish a management system influences what happens throughout the rest of the year. Routines are the stamina of daily classroom life. The routines above are vital in order for your class to run smoothly. In the beginning of the day, when class is starting it is important for the children to enter class find their seat, empty book bags and organize their desk quietly so that the teacher can take attendance and notate how many children attended the class that day. At the end of the day, when the children are going home, it is important for the students to get book bag off hanger place books needed for homework in book bag, clean up desk and area around desk, sit, and remain quietly until the teacher calls your way of transportation. This is important so that all students to get home safely on the appropriate way of transportation. When transitioning between activities such as moving to centers, it is appropriate for student to end the current activity quickly to get started with the next. Time management is important throughout the school day since all activities are time-sensitive. When a student needs, materials such as crayons it is appropriate for the students to wait until the teacher call their row before proceeding to the material station. If a student needs crayons individually, then it’s important that the student make sure there is no one else at the station before he or she proceeds to get crayons. By waiting for the teacher to call your row or by making sure no one else is at the crayon station this will ensure the ease of all students getting material because this routine controls traffic flow in the classroom and will decrease classroom disruption. When the children go on a field trip and have to unload the bus it is appropriate for the students to follow all the routines so that the teacher and parent helpers can make sure all students are accounted for and no one is lost. When the children have recess and go to the gym it is appropriate that all students remain quietly and walk in a straight line so hallway traffic is controlled. The children should also remain quiet so they do not disturb other classrooms. Finally, in the event of a fire, it is appropriate that when the alarm sounds, the students will quickly line up in front of the door, listen for the teacher to call your row, walk quickly and quietly a line, listen for directions from your teacher. This will ensure the safety of all teachers and students.

Extreme Roles :: essays research papers

Extreme Roles In every country, city, town and neighborhood in the world, there are stereotypes. We all live in a classified area where you can be regarded as rich, poor or middle class. Within those three types there becomes sub-categories, where ethnicity , gender and sexuality also become a part of the environment. The list goes on and on. In David H. Hwang’s M. Butterfly, the roles of men and women in the Eastern and Western society are extremely limited in that men and women are both expected to act there part. Being a women in Eastern society, means basically, to do whatever possible to please your man. Song, although we come to find is actually a man, played the part of the perfect women. " Gallimard: I have a vision. Of, the Orient. That, deep within its almond eyes, there are still women. Women willing to sacrifice themselves for the love of a man. Even a man whose love is completely without worth."(Act three, scene three, pg.92). Song knew from experience t hat men of the Western world loved submissive women who would do anything to please the man they were with. Femininity is displayed as weak and passive. In order to find a man, a women had to do anything, even accept the fact that there husbands would find a mistress on the side. It was socially acceptable to be intentionally blind to what your husband was doing. The same also seemed to take place in the Western world as well, although not at such extreme cases.. Helga assumed that Gallimard took up a mistress while living in the Orient. Masculinity in this novel seems to be, the more women you have in your lifetime, the more you are considered a man. "Gallimard: (To us): Toulon knows! And he approves! I was learning the benefits of being a man. We form our own clubs, sit behind thick doors, smoke-and celebrate the fact that we’re still boys†¦."(Act two, scene 4, pg. 46). The men in this novel seemed enchanted with the idea of women and the fame they got with f riends when it was found out that they were having extra marital affairs. In the Orient and the Western world as well, masculinity wasn’t defined by hard work and a having and striving toward a perfect marriage and family life, it was defined by sex. Sex with other women than your wife.

Financing SME Essay

The definition of Small & Medium scale Enterprises (SMEs) varies from country to country. The classification can be based on the firm’s assets, number of employees, or annual turnover along with the loan amount. Central Bank of Sri Lanka defines SMEs as enterprises with less than Rs. 600 million turnover per annum and with a maximum exposure of Rs. 200 million mainly to be classified as a SME for Basel II Capital adequacy calculation and utilization of funds accumulated in the Investment Fund Account in Banks. Whatever the definition, and regardless of the size of the economy, the growth of SMEs throughout the region is crucial to growth of respective economies. Because, SMEs play a critical and important role in providing job opportunities, enhancing the quality of human resources, maximizing the use of local resources, saving foreign exchange, nurturing a culture of entrepreneurship, fostering creativity and opening up new business opportunities etc. Most corporate organizations in Sri Lanka or elsewhere are the establishments started as SMEs in its early stages. Classic examples from our own country may be Nawaloka Group, Access International, Softlogic Group of companies. In most literature, it is mentioned that access to financing has been recognized as a major impediment for many SMEs and its growth, whereas corporate business entities have the advantage over the SMEs in doing so primarily as a result of their formalization. However, according to Juliet Mckee and Kimball Dietrich (2003), most common problems for SMEs are the lack of access to market information and technology, the low quality of human resources and the lack of access to capital. Despite efforts by financial institutions and public-sector bodies to close funding gaps, SMEs continue to experience difficulty in obtaining risk capital. These funding gaps relate to firm size, risk, knowledge, and flexibility. The development literature focus a good deal of attention on issues faced by SMEs in accessing finance. Traditionally, the focus is on obstacles created by financial institutions, mainly by commercial banks or on imperfections in the broader institutional environment. However, SMEs also make decisions about financing and display attitudes that have an important bearing on financing decisions. Therefore, constraints may also appear on the â€Å"demand side† of the financing market. Objective of this article is to discuss the key challenges and issues for bankers pertaining to SME lending, of which, part of them are inherent in SMEs and for others bankers are responsible. 1. Issues of SMEs 1. 1 Lack of financial literacy or weak financial literacy In the literature, lack of financial literacy is designated as informational asymmetries where SMEs typically posses privileged information on their business that cannot be easily accessed or cannot be accessed at all by lenders or outsiders. Reasons for this may vary and also have different perspectives. SMEs are mainly driven by entrepreneurs who have nurtured in their own ways to prospective SMEs. As a result of hard ways of development, they either had no time to devote further education or do not believe in learning. This is evident from the credit applications that are submitted to banks for financing. This eventually leads to low levels of financial literacy among entrepreneurs. Financial literacy is the ability to understand how money works in the world: how someone manages to earn or make it, how that person manages it, how he/she invests it (turn it into more) and how that person donates it to help others. More specifically, it refers to the set of skills and knowledge that allows an individual to make informed and effective decisions with all of their financial resource. Though many SME owners are sound in developing business models and working out the profitability of products and services, understanding about the macro picture of the SME’s overall financial standing in terms of profit and loss account, balance sheet and cash flows is week. As a result, they sometimes opt to resort to outsiders or merely depend on themselves in preparation of financial information which may or may not reflect the actual picture of the SMEs. Because of this impediment, banks have no choice, but to depend on collateral for SME financing. At the backdrop cash flow lending is encouraged, financial institutions are struggling to project the SMEs’ sustainable bankability. This is recognized as the main obstacle for banks and financial institutions in financing SMEs. One of the options to counter this impediment is the concept of â€Å"Para accountant†. A Para accountant is an external consultant who uses finance, economics, risk management and technology skills to help organizations prepare and report financial and tax statements according to accounting principles and regulatory requirements. A Para accountant also may review a firm’s internal controls, processes and procedures to ensure that such controls are adequate. A Para accountant may work on a client’s site or remotely. They are not necessarily qualified accountants, however, might be an option. Bankers’ prime objective in this endeavor is to develop reliable sources of information so that they could project the sustainable cash flows of the business. With this objective banks could train their credit appraisal officers as Para Accountants, who will interacts with prospective SMEs and develop a set of financial information while strengthening the banking relationship over a period of time. 1. 2 Entrepreneurs’ knowledge about building a prospective banking relationship A banking relationship is about much more than just selecting a bank to handle a company’s bank accounts. If the relationship is managed well, it can help a company to thrive. SMEs that use more than one bank will need to manage multiple banking relationships. A company will first have a business account (or several) at a retail bank (or banks) for all day-to-day financial transactions. Whether it is retail, SME or corporate, the banks should have a team of business banking advisers on hand, to advise and guide a company. It’s important to ensure continuity— banks usually offer a contact with a designated person and in turn expect to deal with the same person or persons from the company. A good banking relationship depends not only on personal rapport, but also by having a solid understanding of the company and its financial needs. Over time, a banking adviser should build up a good understanding of the company’s preferred ways of doing business and incorporate that into how their banking requirements are handled. There are many advantages having a sound banking relationship for SMEs. The bank is more likely to offer loans and other lines of credit, potentially at preferential rates of interest, if the bank advisers feel there is a good relationship with the company. The bank’s advice can be tailored for the company’s needs and personal style, rather than given generically. In times of crisis, a company having its bank’s support will be crucial. Even if a company is a text-book case of insolvency, strong personal rapport with a company representative means that the bank is more likely to offer leeway if it knows that directors are doing their utmost to keep the company going. Failure to develop a strong relationship, however, means that the SME is likely to miss out on good advice and, crucially, support in times of difficulty. However, unfortunately, many SMEs are not on the right track to understand the importance of having a good banking relationship. Given that no sound financial information are available, at least, SMEs should try to maintain a healthy customer relationship with the financial institution to entice financial needs, especially in difficult periods. It is both Bankers’ and SMEs’ responsibility of developing a prospective banking relationship over a period of time without compromising risk capital. More than the credit facilities, credit plus would be reasonably appropriate to start such a relationship and then move into advanced levels of relationships along with credit facilities. 1. 3 Financial discipline of entrepreneurs As Henry Ford correctly cited, â€Å"Wealth does not come accidently. You have to plan for it. † One’s discipline explains the right behavior and ability to take decisions without emotions. Hence, financial discipline is all about right financial decisions. In order to be financially discipline one should understand concepts of accounting and financial management in SME business. Accounting in general is all about record keeping and developing summary financial reports. Most commonly available financial reports or information are the profit and loss account, balance sheet and the cash flow statement. Unless SMEs keep records of their daily activities, it is difficult to develop financial statements with regard to their businesses. With no financial statements, SMEs will always struggle in making financial decisions. More often, there is no clear distinction between the business finance and the finances of the proprietor. Therefore, it is critical that the lender examines carefully borrower’s all commitments, i. e. , those related directly to the business and those associated with the proprietor’s private life and assets. Lack of Business Planning is a result of weak financial indiscipline in SMEs where investment decisions, working capital decisions, even pricing decisions are based on the entrepreneurs’ values than on facts. The lack of proper financial discipline results in incorrect business decisions, which hampers the sustainability of the SMEs. MacRobert (2002), in his SME manual explains why SME borrowers are different to commercial and corporate borrowers. One of the common reasons is unskilled/ untrained principals. Many SME principals in the Asia-Pacific region are self-starters, often with limited formal education, and minimal training in business management skills. That is not to say that they are incompetent, but that they often lack the capacity to research information on ways to strengthen their businesses, and, indeed, to be aware that such resources even exists. Role of the bankers in this regard is to educate the importance of financial discipline through strong banking relationships. Bankers are one of the key sources, to get SMEs to believe in financial discipline. Bank officers should take the initiatives in this endeavor to educate the SME owners. Role of the Government is also a key imperative in developing required conducive environment through institutional and policy frameworks. Some universities in Sri Lanka have already started dedicated departments to teach courses related entrepreneurship. (Example: University of Sri Jayewardenepura and University of Colombo) and It is important to note that Business studies is part of the GCE A/L curriculum. Recent budget proposals in 2011, 2012 and 2013 has given enough support to encourage SMEs and SME financing and one of the very useful proposals was to direct government banks to set up dedicated SME Branches not only to facilitate SMEs with easy access to finance, but also to educate SME owners and to guide and direct them to right places and people. However, strengthening the institutional framework to develop business development support services is also an imperative. 2. Issues with Banks SMEs are not only critical to the economy, but also to the banks’ profitability. Most diversified banks maintain a substantial percentage of exposure to the SMEs as a strategic investment given the diversity within the SME portfolio itself. It is always profitable, but need to properly evaluate and closely monitor the delinquencies to avoid any credit risks. It is a perception as well as a fact sometimes, that SMEs are always highly risky as explained by many banks. It may be due to several factors including, non availability of financial information, no tax returns, no collateral, one man show, highly sensitive to economic conditions, no proper organizational structure, and many more. These are reasons given to avoid or very conservative underwriting of SME credit proposals. As a result of these reasons, credit policies of financial institutions are based on stringent credit guidelines. 2. Institutional framework with hindering process issues In the case of many developing countries, the above mentioned obstacles to SME financing are exacerbated by institutional and process factors. Most developing countries are still highly concentrated and have uncompetitive banking sectors. This reinforces the tendency to adopt conservative lending policies. Credit policies which mainly cover the credit risk and market risk, endorse a processes which covers many elements to secure exposure, while satisfying the regulator’s requirements. This eventually results in a value driven Credit culture in financial institutions. According to MacDonald and Timothy (2006), management’s credit policy determines how much risk the bank will take and in what form. A bank’s credit culture refers to the fundamental principles that drive lending activity and how management analyzes risk. There can be large differences in their lending philosophy. The three potentially different credit cultures are: values driven, current profit driven, and market share driven. The institutional framework is reflected through the credit policy in this part of the world, the tendency is to inculcate a value driven credit culture, which has the following attributes: Focus is on credit quality with strong risk management systems and controls Primary emphasis is on bank’s soundness and stability and a consistent market presence Underwriting is conservative and significant loan concentrations are not allowed. Typical outcome is lower current profits from loans with fewer loan losses It is evident with lower non- performing ratios prevailing in banks justifies that credit risk is covered with loan risk mitigation factors and discourage granting venture capital to SMEs. Eventually, SMEs need to resort to acceptable securities which hinders them from easy access to finance from financial institutions. 2. 2 Collateral syndrome (Risk avert) Strong value driven credit cultures in financial institutions always tighten the belts in covering credit risk. Unless the financial institutions develop competencies in cash flow based lending, credit officers have no choice but to cover themselves with collateral in risky SME lending. Competencies itself will not drive the business unless the risky lending is rewarded with challenging business targets. Security based lending propositions are gradually becoming unhealthy for economies as it discourages strategically important investment decisions. Government of Sri Lanka recently enacted legislations to ease the pressure on SMEs through amendment of Parate execution where normal civil procedure of debt recovery should be applied for loans below Rs. five million with security of property mortgages. 2. 3 Weak competency in building cash flow based lending propositions Strong value based credit policies encourage security oriented lending and creates knowledge gaps in credit officers. Security oriented lending does not require strict cash flow projections and credit evaluations. Developing cash flow projections is an art and requires overall knowledge about the industry, technology, external factors (external climate) and specific firms (internal climate) along with econometrics modeling to analyze the cash flows. When it comes to large projects, knowledge in project appraisals and risk analysis will help the credit officers to get exposed to project financing. At the backdrop of investor confidence and developing businesses in emerging economies, venturing into risky business propositions is in the agenda of the banking and financial intuitions. Financing SMEs are risky but at the same time profitable, so indeed banks need to develop how best they could mitigate the risk of these ventures. One of the options is to gradually develop a culture of SME financing with confidence through development of competencies in their credit officers. Competency development not only addresses econometric techniques of analyzing and evaluating the credit proposals, but also industry knowledge and exposure, experiences of sick industries and business units, world politics and world economics, knowledge in emerging markets and technologies, behaviors and issues of labor, understanding the entrepreneurship etc. Conclusion Many of the literature examine the issues of financing SMEs world over. However, there are key issues not only from the SMEs point of view, but also from the financial institutions and, government’s point of views. No one can expect the SMEs to nurture in best practices all by themselves. In this regard, the role of financial intuitions is greater, when it comes to inculcate and nurture SMEs in the right directions. The issues for SME financing discussed above are the keys, but there are many others which needs further discussions.