Reflecting on ‘Reflective practice’ Essay Example for Free

Reflecting on ‘Reflective practice’ Essay â€Å"Maybe reflective practices offer us a way of trying to make sense of the uncertainty in our workplaces and the courage to work competently and ethically at the edge of order and chaos†¦Ã¢â‚¬  (Ghaye, 2000, p.7) Reflective practice has burgeoned over the last few decades throughout various fields of professional practice and education. In some professions it has become one of the defining features of competence, even if on occasion it has been adopted mistakenly and unreflectively to rationalise existing practice. The allure of the ‘reflection bandwagon’ lies in the fact that it ‘rings true’ (Loughran, 2000). Within different disciplines and intellectual traditions, however, what is understood by ‘reflective practice’ varies considerably (Fook et al, 2006). Multiple and contradictory understandings of reflective practice can even be found within the same discipline. Despite this, some consensus has been achieved amid the profusion of definitions. In general, reflective practice is understood as the process of learning through and from experience towards gaining new insights of self and/or practice (Boud et al 1985; Boyd and Fales, 1983; Mezirow, 1981, Jarvis, 1992). This often involves examining assumptions of everyday practice. It also tends to involve the individual practitioner in being self-aware and critically evaluating their own responses to practice situations. The point is to recapture practice experiences and mull them over critically in order to gain new understandings and so improve future practice. This is understood as part of the process of life-long learning. Beyond these broad areas of agreement, however, contention and difficulty reign. There is debate about the extent to which practitioners should focus on themselves as individuals rather than the larger social context. There are questions about how, when, where and why reflection should take place. For busy professionals short on time, reflective practice is all too easily applied in bland, mechanical, unthinking ways, Would-be practitioners may also find it testing to stand back from painful experiences and seek to be analytical about them. In this tangle of understandings, misunderstandings and difficulties, exactly how to apply and teach reflective practice effectively has become something of a conundrum. This paper explores current ideas and debates relating to reflective practice. In the first two sections, I review key definitions and models of reflection commonly used in professional practice. Then, in the reflective spirit myself, I critically examine the actual practice of the concept, highlighting ethical, professional, pedagogic and conceptual concerns. I put forward the case that reflective practice is both complex and situated and that it cannot work if applied mechanically or simplistically. On this basis, I conclude with some tentative suggestions for how educators might nurture an effective reflective practice involving critical reflection. Defining reflective practice †¦reflection can mean all things to all people†¦it is used as a kind of umbrella or canopy term to signify something that is good or desirable†¦everybody has his or her own (usually undisclosed) interpretation of what reflection means, and this interpretation is used as the basis for trumpeting the virtues of reflection in a way that makes it sound as virtuous as motherhood. Smyth (1992, p.285) The term ‘reflective practice’ carries multiple meanings that range from the idea of professionals engaging in solitary introspection to that of engaging in critical dialogue with others. Practitioners may embrace it occasionally in formal, explicit ways or use it more fluidly in ongoing, tacit ways. For some, reflective practice simply refers to adopting a thinking approach to practice. Others see it as self-indulgent navel gazing. For others still, it  involves carefully structured and crafted approaches towards being reflective about one’s experiences in practice. For example, with reference to teacher education, Larrivee argues that: â€Å"Unless teachers develop the practice of critical reflection, they stay trapped in unexamined judgments, interpretations, assumptions, and expectations. Approaching teaching as a reflective practitioner involves fusing personal beliefs and values into a professional identity† (Larrivee, 2000, p.293). In practice, reflective practice is often seen as the bedrock of professional identity. â€Å"Reflecting on performance and acting on refection†, as McKay (2008, Forthcoming) notes, â€Å"is a professional imperative.† Indeed, it has been included in official benchmark standards laid down for professional registration and practice (see table 1 in Appendix 1). One example is in the way it has been included, explicitly and implicitly, in all Project 2000 curricula for Nursing Diplomas, while reflection is highlighted as a pivotal skill to achieve required Standards of Proficiencies in nursing and other health professional education (NMC, 2004; HPC, 2004). It has also become a key strand of approaches to the broader field of continuing professional development, work-based learning and lifelong learning (Eby, 2000; HPC, 2006). Given its growing emphasis in professional practice and education, it would seem important to explore the concept of reflective practice in some detail. To this end, this section distinguishes between different types of reflective practice and looks at the sister concepts of reflection, critical reflection and reflexivity. Reflection ‘in’ and ‘on’ practice Dewey (1933) was among the first to identify reflection as a specialised form of thinking. He considered reflection to stem from doubt, hesitation or perplexity related to a directly experienced situation. For him, this prompted purposeful inquiry and problem resolution (Sinclair, 1998). Dewey also argued that reflective thinking moved people away from routine thinking/action (guided by tradition or external authority) towards  reflective action (involving careful, critical consideration of taken-for-granted knowledge). This way of conceptualising reflection crucially starts with experience and stresses how we learn from ‘doing’, i.e. practice. Specifically Dewey argued that we ‘think the problem out’ towards formulating hypotheses in trial and error reflective situations and then use these to plan action, testing out our ideas. Dewey’s ideas provided a basis for the concept of ‘reflective practice’ which gained influence with the arrival of Schon’s (1983) ‘The reflective practitioner: how professionals think in action’. In this seminal work, Schon identified ways in which professionals could become aware of their implicit knowledge and learn from their experience. His main concern was to facilitate the development of reflective practitioners rather than describe the process of reflection per se. However, one of his most important and enduring contributions was to identify two types of reflection: reflection-on-action (after-the-event thinking) and reflection-in-action (thinking while doing). In the case of reflection-on-action, professionals are understood consciously to review, describe, analyse and evaluate their past practice with a view to gaining insight to improve future practice. With reflection-in-action, professionals are seen as examining their experiences and responses as they occur. In both types of reflection, professionals aim to connect with their feelings and attend to relevant theory. They seek to build new understandings to shape their action in the unfolding situation. In Schon’s words: The practitioner allows himself to experience surprise, puzzlement, or confusion in a situation which he finds uncertain or unique. He reflects on the phenomenon before him, and on the prior understandings which have been implicit in his behaviour. He carries out an experiment which serves to generate both a new understanding of the phenomenon and a change in the situation. (Schon, 1983, p. 68) For Schon, reflection-in-action was the core of ‘professional artistry’ – a concept he contrasted with the ‘technical-rationality’ demanded by the (still dominant) positivist paradigm whereby problems are solvable through the rigorous application of science. A contemporary example of this paradigm is the evidence-based practice movement, which favours quantitative studies  over qualitative ones, and established protocols over intuitive practice. In Schon’s view, technical-rationality failed to resolve the dilemma of ‘rigour versus relevance’ confronting professionals. Schon’s argument, since taken up by others (e.g. Fish and Coles,1998), was as follows: Professional practice is complex, unpredictable and messy. In order to cope, professionals have to be able to do more  than follow set procedures. They draw on both practical experience and theory as they think on their feet and improvise. They act both intuitively and cr eatively. Both reflection-in and on -action allows them to revise, modify and refine their expertise. Schon believed that as professionals become more expert in their practice, they developed the skill of being able to monitor and adapt their practice simultaneously, perhaps even intuitively. In contrast, novice practitioners, lacking knowing-in-action (tacit knowledge), tended to cling to rules and procedures, which they are inclined to apply mechanically. Schon argued that novices needed to step back and, from a distance, take time to think through situations. Whether expert or novice, all professionals should reflect on practice – both in general and with regard to specific situations. Schon’s work has been hugely influential some would say ‘canonical’ – in the way it has been applied to practice and professional training and education. For example, in the health care field, Atkins and Murphy (1993) identify three stages of the reflective process. The first stage, triggered by the professional becoming aware of uncomfortable feelings and thoughts, is akin to Schon’s ‘experience of surprise’ (what Boyd and Fales, 1983, identify as ‘a sense of inner discomfort’ or ‘unfinished business’). The second stage involves a critical analysis of feelings and knowledge. The final stage of reflection involves the development of a new perspective. Atkins and Murphy argue that both cognitive and affective skills are prerequisites for reflection and that these combine in the processes of self-awareness, critical analysis, synthesis and evaluation (see Appendix 2). In the education field, Grushka, Hinde-McLeod and Reynolds (2005) distinguish between ‘reflection for action’, ‘reflection in action’ and ‘reflection on action’ (see Appendix 3). They offer a series of technical, practical and critical questions for teachers to engage with. For example, under reflection for action teachers are advised to consider their resources and how long the lesson will take (technical); how to make the resources relevant to different learning styles (practical); and to question why they are teaching this particular topic (critical). Zeichner and Liston (1996) differentiate between five different levels at which reflection can take place during teaching: 1. Rapid reflection immediate, ongoing and automatic action by the teacher. 2. Repair – in which a thoughtful teacher makes decisions to alter their behaviour in response to students’ cues. 3. Review – when a teacher thinks about, discusses or writes about some element of their teaching. 4. Research – when a teacher engages in more systematic and sustained thinking over time, perhaps by collecting data or reading research. 5. Retheorizing and reformulating – the process by which a teacher critically examines their own practice and theories in the light of academic theories. While Schon’s work has inspired many such models of reflection and categories of reflective practice, it has also drawn criticism. Eraut (2004) faults the work for its lack of precision and clarity. Boud and Walker (1998) argue that Schon’s analysis ignores critical features of the context of reflection. Usher et al (1997) find Schon’s account and methodology unreflexive, while Smyth (1989) deplores the atheoretical and apolitical quality of his conceptions. Greenwood (1993), meanwhile, targets Schon for downplaying the importance of reflection-before-action. Moon (1999) regards Schon’s pivotal concept of reflection-in-action as unachievable, while Ekebergh (2006) draws on  phenomenological philosophy to argue that it is not possible to distance oneself from the lived situation to reflect in the moment. To achieve real self-reflection, she asserts, one needs to step out of the situation and reflect retrospectively (van Manen, 1990). Given this level of criticism, questions have to raised about the wide adoption of Schon’s work and the way  it has been applied in professional practice and education (Usher et al, 1997). There have been calls for a m ore critical, reflexive exploration of the nature of reflective practice. Reflection, critical reflection and reflexivity Contemporary writing on reflective practice invites professionals to engage in both personal reflection and broader social critique. For example, work within the Open University’s Health and Social Care faculty has put forward a model whereby reflective practice is seen as a synthesis of reflection, self-awareness and critical thinking (Eby, 2000) (see figure 1). In this model, the philosophical roots of reflective practice are identified in phenomenology (with its focus on lived experience and personal consciousness) and also in critical theory (which fosters the development of a critical consciousness towards emancipation and resisting oppression ). Self-awareness Roots: phenomenology The cognitive ability to think, feel, sense and know through intuition To evaluate the knowledge derived through self-awareness to develop understanding Reflection Roots: existential phenomenology and critical theory -interpretive and critical theory tool for promoting self- and social awareness and social action improving self-expression, learning and co-operation links theory and practice Reflective Practice Critical thinking Roots: scepticism and critical theory identifying and challenging assumptions challenging the importance of context to imagine and explore alternatives which leads to reflective scepticism Figure 1 Skills underpinning the concept of reflective practice. Other authors argue for the concept of critical reflection, which is seen as offering a more thorough-going form of reflection through the use of critical theory (Brookfield, 1995). For adherents of critical reflection, reflection on its own tends to â€Å"remain at the level of relatively undisruptive changes in techniques or superficial thinking† (Fook, White and Gardner, 2006, p.9). In contrast, critical reflection involves attending to discourse and social and political analysis; it seeks to enable transformative social action and change. For Fook (2006), critical reflection  Ã¢â‚¬Å"enables an understanding of the way (socially dominant) assumptions may be socially restrictive, and thus enables new, more empowering ideas and practices. Critical reflection thus enables social change beginning at individual levels. Once individuals become aware of the hidden power of ideas they have absorbed unwittingly from their social contexts, they are then freed to make choices on their own terms.† Fook and Askeland argue that the focus of critical reflection should be on connecting individual identity and social context:  Ã¢â‚¬Å"Part of the power of critical reflection in opening up new perspectives and  choices about practice may only be realized if the connections between individual thinking and identity, and dominant social beliefs are articulated and realized.† (Fook and Askeland, 2006, p.53). For Reynolds (1998), four characteristics distinguish critical reflection from other versions of reflection : (1) its concern to question assumptions; (2) its social rather than individual focus; (3) the particular attention it pays to the analysis of power relations; and (4) its pursuit of emancipation (Reynolds, 1998). By way of example, Reynolds argues that when managers critically reflect (rather than just reflect) they become aware of the wider environment in which they operate. They begin to grasp the social power exercised by their organisation through its networks and relationships. : In the field of teaching, Brookfield (1995) characterises critical reflection as ‘stance and dance’. The critically reflective teacher’s stance toward teaching is one of inquiry and being open to further investigation. The dance involves experimentation and risk towards modifying practice while moving to fluctuating, and possibly contradictory, rhythms (Larrivee, 2000). A key concept giving momentum to the idea of reflective practice involving both personal reflection and social critique is reflexivity. Reflexive practitioners engage in critical self-reflection: reflecting critically on the impact of their own background, assumptions, positioning, feelings, behaviour while also attending to the impact of the wider organisational, discursive, ideological and political context. The terms reflection, critical reflection and reflexivity are often confused and wrongly assumed to be interchangeable. Finlay and Gough (2003, p. ix) find it helpful to think of these concepts forming a continuum. At one end stands reflection, defined simply as ‘thinking about’ something after the event. At the other end stands reflexivity: a more immediate and dynamic process which involves continuing self-awareness. Critical reflection lies somewhere in between. Previously, I’ve proposed five overlapping variants of reflexivity with critical selfreflection at the core: introspection; intersubjective reflection; mutual collaboration; social critique and ironic deconstruction (Finlay, 2002, 2003). These variants can similarly be applied to  distinguishing between the types of reflection practitioners could engage in when reflecting on practice. Reflective practice as introspection involves the practitioner in solitary self-dialogue in which they probe personal meanings and  emotions. Intersubjective reflection makes the practitioner focus on the relational context, on the emergent, negotiated nature of practice encounters. With mutual collaboration, a participatory, dialogical approach to reflective practice is sought what Ghaye (2000) calls a ‘reflective conversation’. Here, for example, a mentor and student, or members of a team, seek to solve problems collaboratively. Reflective practice as social critique focuses attention on the wider discursive, social and political context. For instance, the practitioner may think about coercive institutional practices or seek to manage the power imbalances inherent in education/practice contexts. Finally, reflective practice as ironic deconstruction would cue into postmodern and poststructural imperatives to deconstruct discursive practices and represent something of the ambiguity and multiplicity of meanings in particular organisational and social contexts. At the very least, a critical and possibly satirical gaze could be turned to challenging the ubiquitously unreflexive rhetoric of reflective practice. In practice, introspection is the dominant mode of reflective practice. Sometimes presented as merely a promising personal attribute (Loughran , 2006), it is a predominantly individualistic and personal exercise (Reynolds and Vince, 2004) in which practitioners tend to focus on their own thoughts, feelings, behaviours and evaluations. This passes as legitimate ‘reflective practice’ which professionals then can use to advance their cause to fit formal requirements for continuing professional development. While such reflective practice may take place in dialogical contexts such as supervision sessions, the onus stays on the individual practitioner to reflect upon and evaluate their own practice. What is lacking is any mutual, reciprocal, shared process. Institutional structures and quality assurance  systems encourage, perhaps even require, this individual focus. It starts early on during professional education and training where learners engage professional socialisation and are taught how to reflect, using structured models of reflection. One of the consequences of the lack of consensus and clarity about the concept of reflective practice is the proliferation of different versions and models to operationalise reflective practice.

Psychological Problem Associated with Cerebral Palsy :: Health, Medical Research, Stress, Depression

Psychological Problems Associated with Cerebral Palsy Cerebral Palsy is a condition that limits physical abilities. This disability affects about one child in every five hundred children (Micheksen 405). Cerebral Palsy is mostly known to affect children by severe motor impairment, however; this disorder can affect a person in a psychological way too. A cross-sectional European Study was done by a group of eleven people focusing on the psychological impact of children with cerebral palsy (Michelsen 406) Eight hundred and eighteen children between the ages of eight and twelve were involved. The main goal of the â€Å"SPARCLE† study was to investigate if cerebral palsy relates to psychological and behavioral problems. A strengths and difficulties questionnaire (SDQ) was used as one way to detect emotional and behavioral abnormalities (Michelsen 406). Along with an Impact Score (IS) that was based on questions completed by family members answering a total of twenty-five questions. The total from the Impact Score was then computed to determine if the child’s behavior was abnormal or not (Michelsen 406). The results of the SDF showed that more than twenty-five percent of children participating showed abnormal results (Michelsen 410). It also showed that children with milder cerebral palsy had higher behavioral difficulties in comparison to children with more severe cases. The reason being that severe cerebral palsy prevents certain behaviors, such as fighting or cheating (Michelsen 410). The parental impact score survey showed that almost half of all participants agreed that their child suffered difficulties. When asked how often the family was affected by the child’s cerebral palsy forty-two percent answered, â€Å"Quite a lot† (Michelsen 409). Another forty percent of parents believe their child struggles with behavior and communication skills among children their age in school (Michelsen 410). The findings from the SDQ and SI tests determined that a significant number of children with cerebral palsy suffer abnormal behaviors. This study indicates that children with cerebral palsy suffer from psychological and behavior problems when trying to communicate mostly with family and peers. Based on a research done in the Netherlands self-perception, and over-all satisfaction was tested for relevance to psychological problems due to cerebral palsy. One hundred and ten children whose age were nine, eleven, and thirteen took place in this study (Schuengel 1252) Once again the children with cerebral palsy took self-assessment surveys that included subjects such as, physical performance, appearance, and if they were satisfied with their overall abilities (Schuengel 1253).

Innovations in Financial Products Have Contributed to the Current Financial Crisis” a Discusses This Statement

â€Å"Innovations in financial products have contributed to the current financial crisis† A  discusses this statement. Introduction What is Financial Crisis? A financial crisis is when the value of a financial institutions or assets declines suddenly, where investors sell off assets or withdraw their money due to the fear that the value of the assets would drop. E. g. Of a financial crisis are: * Banking Panics * Stock market crashes * Bursting of financial bubbles * Currency crisis. (http://provimet. weebly. com/uploads/2/4/3/4/2434228/global_financial_crisis. df) What is Financial Innovations? Financial innovations are ongoing development of financial instruments designed to achieve a specific objectives, such as offsetting a risk exposure (i. e. default of a borrower) or to assist with obtaining financing. Financial innovation can either be product or process. Process are developments demonstrated by new means of distributing securities, processing transactions or pricing transactions, while product innovations embodied by new derivative contracts, new corporate securities or new form of pooled investment products.Examples that relate to the crisis include the adjustable rate mortgage . i. e. the packing of subprime mortgages into Mortgage Backed Securities (MBS) or Collateralized Debt Obligations (CDO) for sale to investors, a type of securitization and a form of credit insurance called Credit Default Swaps (CDS), Collateralized Mortgage Obligation (CMO) The use of these products extended radically in the years prime to the crisis. These products differ in complexity and the simplicity with which they can be valued on the books of financial institutions. http://www3. weforum. org/docs/WEF_FS_RethinkingFinancialInnovation_Report_2012. pdf)(http://www. scribd. com/doc/47101947/Financial-Crisis-of-2007-2010). The purpose of this assignment is to discuss how the innovations in the financial products contributed to the current financial crisis. In this paper I also examine what these financial innovations are and how they contribute to the current financial crisis. Some of these financial innovations I will look at are CDO’s, CDS, and MBS. Financial Innovation and the Financial CrisisThese are many factors played a part in the financial crisis and financial innovation was one of the factors but it did not only cause the financial crisis but to some degree it did contribute to the crisis due to it misuse and lack of information and the under pricing of the risk involve in some of the financial product. Collateralized Debt Obligations (CDO) Collateralized debt obligations are asset backed security that is package together in a different range of debt obligations or bank loans package into a financial security that is divided up into various tranches, each level having a different maturity and risk.The greater the risk, the more the CDO pays. The type of CDO tranches include; Equity, Junior, Mezzanine, and Senior tranche. The equity tranche been the riskiest level and while senior tranche is the safest of the CDO. The development of CDOs resulted in more liquidity in the economy. They permit banks to sell their debt, and freed up more capital to invest or loan. Due to the additional liquidity this eventual lead to an asset bubbles in the housing market and credits crisis. So how did the CDO play a role in the financial crisis?During the early part of the crisis CDO assets started to decrease in value due to the rise in subprime mortgage default. CDO products began to underperform, the opacity of the products with view to the character and quality of the assets that underlined their value; leading to the discouragement in the investors and also led to panic in market about exposed institutions and CDO underwriters. As a result, CDO had lets banks and other financial institutions to increase their leveraged bet on the housing market, increasing returns in the short run escalating the damage once suspicions were raised.Investors did not know the value of the CDOs they were investing into due to the complexity of the product. Synthetic CDO increase profits on the benefit as the housing boomed however, as doubts occurs; they were use as instrument investor’s utilize to creates a short position on the disadvantage of the housing market. CDOs where use to put money in the mortgage market therefore persuading investors into thinking they were investing in a safe instruments that were establish on low quality assets. The value of CDOs helped in creating the damage of the financial crisis.MBS create a void among the originator of mortgage risk and the ultimate holder of that risk, this void was considerably broad by CDOs. On the other hand Synthetic CDOs broke the link completely and permit investors to make an unrestricted number of bets on a key risk they did not understand. The complexity of the CDO and synthetic CDO structures was a problem. The cloudiness of the products made it hard to estimate the value thereby discouraged investors from fully understanding the risk that come with CDO investments. (Class Note by Joe Naughton), (http://www3. eforum. org/docs/WEF_FS_RethinkingFinancialInnovation_Report_2012. pdf) . Credit Default Swaps (CDS) A Credit Default Swaps is a credit derivative and a form of insurance policy on a bond or a loan. The protection buyer buys protection and makes regular payments just like an insurance premium, while the protection seller sells protection and takes the premium but agree to pay off the protection buyer in the event of a default . i. e. the CDS purchaser pays a fee in order to transfer the risk of a default to the CDS seller.A CDS contract can last for a number of years and obliges that the seller of the protection offer collateral to make sure that the buyer will be paid if the seller where to default. CDS offers numerous advantages to individual participants that use them to hedge risk during the financial crisis and fo llowing economic downturn. Credit default swaps play a significant role in the financial crisis by contributing to the CDO market and its difficulties. CDS permit CDO mangers to make hybrid and synthetic CDOs at a huge pace.CDS allows hedge funds to perform complex hedging and linkage that enable the purchase of junior and equity tranche. The CDS market lets investors and institutions to transfer risk, from the CDO market and elsewhere, to CDS issuers that were not in a position to assume the risk. One of the role CDS played in the financial crisis was that it was able to transfer credit risk through CDS which make it hard to estimate the riskiness of a specific intermediaries. One of the issues also was that bank were able to buys and sells CDS that was not show in their balance sheet.This lack of disclosure makes it much more problematic for a bank counterparties to tell how risky it is. The lack of transparency in the CDS market made the financial system exposed to a shock that t hreatens trust in counterparties. CDS sellers became more exposed to a collapse by several sellers; this is due to the fact that a great number of CDS were trade over the counter (OTC), instead of in an exchange. And in an OTC market it is impossible for a seller to know what several buyers are doing with others.An example is AIG was a victim of the CDS market because the firm misinterpret the risks of the CDS market and sold an excessive amount of credit protection through CDSs deprived not having an enough capital in a loss reserve. (Class Note by Joe Naughton) (http://www3. weforum. org/docs/WEF_FS_RethinkingFinancialInnovation_Report_2012. pdf) (http://www. mhhe. com/economics/cecchetti/Cecchetti2_Ch09_CDS. pdf) Mortgage Backed Security (MBS) Mortgage Backed Security is an asset backed security or a debt obligation by a mortgage or collection of mortgages loans.They are bundle together into pools and sold as a single security. This is known as securitization. .i. e. banks lend m oney to an individual to buy a house in return the bank will collects monthly payment on the loan. The loan is then sold to a bigger bank that packages the loan together into a mortgage backed security. The bank then issues shares of this security, called tranches to investors who buy then and ultimately collect the dividends in the form of a monthly mortgage payment. These tranches can be further repackaged as other securities, called collateralized debt obligations (CDO) and then sold.Mortgage backed security played a major role in the financial crisis of 2008, due to the increasing demand for MBS from investors eventually played a part in the financial market meltdown. The demand for MBS increased on mortgages of all risk, including subprime, which lead lenders to move towards the â€Å"Originate to distribute† business model, with the explicit intention of securitizing and selling the mortgages after completing them. The MBS tranches rating by the rating agencies led to b elieve that risks were understood and the investment were safe.If the MBS had not been given investment grade ratings then the degree of the financial crisis would have been significantly less. The criterion on the MBS was relax making it easy to participate, therefore the market began endorsing different types of mortgages with a more risky kind that amplified the risk of a default to MBS investors. The MBS market was not regulated which also allowed financial institutions other bank to participate in the mortgage business. Mortgage backed security have weakness that was not accurately controlled in the run up to the crisis.Originate to distribute model spark off a behavioural changes in the market, from consumers to investment banks, that were not expected but that could have been monitored and managed by the industry and its regulators. (http://www3. weforum. org/docs/WEF_FS_RethinkingFinancialInnovation_Report_2012. pdf) (http://money. howstuffworks. com/mortgage-backed-security . htm) Financial innovation can not be held solely accountable for the financial crisis but it did contribute a great deal to the crisis and to the extent of the damage.The risk associated with financial innovation was not properly calculated, inturn in more credit default to occur. Financial innovation has benefits to the economy but due to the current financial crisis financial innovation has receive a lot of negative view as a result of the misused and badly managed of the products and also due to the fact that they were insufficiently thought out and the misapplication of the innovations that might have a positive impact on the economy. But collateralized debt obligations and credit default swaps have done a lot of damage than good.Bibliography Bruno G, 2012. Rethinking Financial Innovation (online). Available from: http://www3. weforum. org/docs/WEF_FS_RethinkingFinancialInnovation_Report_2012. pdf . (20 November 2012). (Online) Available from: http://www. mhhe. com/economics/c ecchetti/Cecchetti2_Ch09_CDS. pdf. (20 November 2012). (Online) Available from: http://www. scribd. com/doc/47101947/Financial-Crisis-of-2007-2010 (12 November 2012) (Online) Available from: http://provimet. weebly. com/uploads/2/4/3/4/2434228/global_financial_crisis. pdf (12 November 2012).

Cango Week 3 Financial Analysis - 803 Words

Following up with our initial analysis last week, NewGen had the opportunity to review CanGo’s financial statement. The success of a business depends on its ability to remain profitable over the long term, while being able to pay all its financial obligations and earning above average returns. NewGen leveraged our knowledge of Investment rations, breaking our analysis down into four (4) key areas, efficiency, financial leverage, liquidity and profitability. Attached you will find our financial analysis summary matrix. 1. Efficiency Ratio We began with a look at your efficiency ratio, concentrating on your receivables turn over for the past year. This reflects the time between your sale and actual collection. If a company s Turnover†¦show more content†¦b. Your Quick Ratio fell below a 1 to .95. As a common rule of thumb, a quick ratio of greater than 1.0 means a company is sufficiently able to meet their short-term liabilities. With CanGo’s falling below this threshold, could be indicative that your over-leveraged, struggling to maintain or grow sales, paying bills too quickly, or collecting receivables too slowly. This ties into our comments above on yor efficiency ratio (Investigatinganswers, 2012). c. Working Capital for the past year reflected a negative balance almost 8.5m that will seriously impact on banking institutions percentage against planned activities. 4. Profitability NewGen’s final analysis was on CanGo’s profitability looking at your Return on Assets and Sales. CanGo’s return on assets reflected a .023 indicative that your more asset-intensive and must reinvest more money to continue generating earnings (About.com, 2012). Similarly, CanGo’s Return on Sales (ROS) was .17 (Investopedia, 2012). References About.com. Return on Assets (ROA). Retrieved 15 March 2012 from http://beginnersinvest.about.com/od/incomestatementanalysis/a/return-on-assets-roa-income-statement.htm Accounting explained. Accounts Receivable Turnover Ration. Retrieved 15 March 2012 from http://accountingexplained.com/financial/ratios/receivables-turnover Accounting Explained. Inventory Turnover Ratio. Retrieved 15 March 2012 from http://accountingexplained.com/financial/ratios/inventory-turnoverShow MoreRelatedBusn 460 Entire Course Guide Week 1 – 81110 Words   |  5 PagesCourse Guide Week 1 – 8 Purchase here http://chosecourses.com/BUSN%20460/busn-460-entire-course-guide-week-1-8 Product Description (BUSN 460 Senior Project - DeVry) BUSN 460 Week 1 Team Contract BUSN 460 Week 1 DQ 1 Selling your teams services to CanGo BUSN 460 Week 1 DQ 2 Mission, Vision Values BUSN 460 Week 2 Team Video Analysis Report Week 1-2 BUSN 460 Week 2 DQ 1 Planning a Technological Solution BUSN 460 Week 2 DQ 2 CostBenefit Analysis BUSN 460 Week 3 IndividualRead MoreEssay on Week 3 4 Video Analysis814 Words   |  4 PagesIntroduction Strategic staffing is important for any company. CanGo has several projects already started, with new ones being developed; a good staffing strategy is going to be a key element for the near future. The staff that CanGo has is unproductive, the staff they need is non-existent. The ASRS systems are a good idea, it would free up staff for other areas, but it would also take staff away from already important projects. The financial characteristics of the staffing issues are a problem ALSORead MoreCango Week 2 Video Analysis by Team a Essay1467 Words   |  6 PagesCanGo Video Analysis- Week 2 The Innovative A’s Consulting Group is glad to run our analysis on your company’s operational process. Your company has done tremendous progress and indeed it is a recommendable success as it started out small and grew to be one of the leading businesses in the industry. In our analysis over the past two weeks, we observed that, if planned well, CanGo has a promising future ahead. Our team came up with certain issues being faced by your company, which we assume, ifRead MoreCango Week 2 Analysis Report Essay2763 Words   |  12 PagesCanGo Week Two Analysis Report DeVry University Bus460 Senior Project Instructor David Mozinski Introduction The Grad Consultants have spent the last two weeks observing CanGo and their business practices to help them determine the weaknesses within their organization. We will use our knowledge and experience to provide suggestions for improvement that will have a positive impact not only on CanGo’s bottom line but also on the morale of all thoseRead MoreCango3111 Words   |  13 PagesCanGo Analysis Final Report Sherry Youngs, Alheri Gajere, Oksana Harbar, Hope Muhammad and Binish Maroof Be Bold Consulting Table of Contents Executive Summary 2 Analysis 2 SWOT Analysis (Oksana Harbar) 2 Market Analysis (Alheri Gajere) 5 Competitive Analysis (Binish Maroof) 7 Financial Analysis (Sherry Youngs) 8 Strategic Recommendations 9 Conclusion 9 Works Cited 10 Appendix 11 Be Bold Consulting has been invited to provide CanGo with solutions and recommendationsRead MoreEssay on Cango: Strategic Management and Online Gaming761 Words   |  4 PagesSenior Project For the week 2 Team report you are to list 6 issues facing CanGo that you gleaned from the week 1 and 2 videos. They should be prioritized in order of importance. They should be numbered. The team must then come up with an actionable recommendation for each of the issues found. These should also be numbered. 1. CanGo does not have a a concise vision or mission statement that defines who they are as a company. Solution: CanGo needs to find out what market they wantRead MoreCango Week 1 2 Analysis Report Essay example1275 Words   |  6 PagesDreamMakers 2012 Team Video Analysis Report Week 1 and Week 2 DeVry University Video Notes Week 1 1st Issue: Liz the CEO of CanGo company has been selected the Business Leader of the Year. However, she is not prepared to discuss how her company accomplished all this success because she doesn’t have a strategic plan in place. She is somewhat nervous about how she will prepare a speech about a plan that she doesn’t have in place. Recommendation: Liz should think back about theRead MorePinnacle Week 6 Video Analysis Report1324 Words   |  6 PagesVideo Analysis Report – Week 6 | BUSN460: Senior Project | | After reviewing weeks 5 and 6 video episodes, we the business consultants have found that CanGo still has some issues that must be corrected in order to operate and function effectively. We have carefully evaluated CanGo’s issues and will be introducing them as well as providing recommendations to make corrections to help improve the company’s problem areas. The first issue was the employee evaluations; very vague. Another that weRead MoreBUSN 460 Senior Project Week 2 CANGO Video Analysis Set 2 Answer1566 Words   |  7 Pagesï » ¿Week 2 Video Analysis BUSN460, Senior Project, DeVry University Online WEEK 2 VIDEO ANALYSIS 2 Table of Contents of 6 issues facing CanGo: Issue 1: Absence of planning for the startup business †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 3 Issue 2: Missing strategic planning for the future of the company †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦... 4 Issue 3: Failure to utilize team strategic planning †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 5 Issue 4: Lack of direction and good communication practices †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 6 Issue 5: Deficiency in communication and organizational/prioritizationRead MoreSenior Project Presentation2643 Words   |  11 PagesIntroduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..3 SWOT Analysis†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦3-5 Developing a HR Function†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...5-6 Financial Implications†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.†¦.. (6-8) Buying vs. Building†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...6-7 Offering and IPO†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..7-8 Market Analysis†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦... (8-10) Market Growth Rate†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦8 Market Profitability†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦....9-10 Organizational Analysis†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦