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SME Macroeconomic Risk 2.3
"...small-medium sized businesses(SME),publicsector entities, the communities in which they operate,andsocietyat large are exposed to many factors that are outsidethecontrol ofexecutives and policy makers. These exposures spanavariety ofinfluences ranging from commodity and financialmarketprices,macroeconomic conditions, operational disruptions,humanmisconduct,technological shifts, competitor moves,socio-politicalevents,natural hazards, man-made disasters,etc.Each of these risk areas are addressed throughratherdisparatepractices of financial risk analysis, exposurelimits,actuarialmodeling, insurance contracting,alternativerisk-transfer,contingency planning, risk mitigation,preparedness,etc. Businessenterprise and society are also facedwith potentialsystemic risksembedded in interacting global markets,worldwideclimatic changes,and threats of international terrorism.All ofthis accentuates aneed for effective strategic riskmanagementpractices to deal withthese phenomena both at corporatemanagementand public policylevels."* Strategic Risk Management (SRM) - Outlining the Contours oftheNewRisk Management Paradigm by Torben Andersen,AssociateProfessor,Copenhagen Business SchoolThe objective of MERA is to provide SME's a selfassessmenttoolto score and manage macroeconomic and event risksthat impactstheprofitability and growth of SMEs. These riskfactorsposechallenges and offer opportunities presented byrapidlychangingbusiness conditions and market dislocations.MERAsizesmacroeconomic and event risks; allowing users toinitiateactionsto mitigate threats and initiate actions tocapitalize ontheopportunities volatile business cyclespresent.This app offers a self assessment framework for users toscoreriskclusters that are often overlooked by SMEbusinessmanagers.The National Federation of Independent Businesses(NFIB)detailsover 75 macro risk factors confronting SMEs. MERAincludesthesefactors as well as others for assessmentconsideration. Usersmayalso enter user defined factors. Riskfactors are color codedandgrouped in 10 Problem Clusters. Thatinclude:costscompetitionemployeesfinanceinformationmanagementpublic service/ responsibilitiesregulationtaxestechnologyMERA 2.3 includes a series of 70 Key PerformanceIndicators(KPI)for SMEs.The KPIs are grouped into 5 areas.Best Practice IndicatorsEmployee IndicatorsProduct IndicatorsFinancial IndicatorsCorporate MattersMERA's rating scheme allows users to score risk factorsanditsimpact on business. Users define actions that willmitigateriskfactors, estimate capital investments required toaddress riskandcalculate a ROI to determine projectpriorities,fundingrequirements and expected returns.MERA aggregates and scores macro enterprise risk ,alignsactionsand capital investments required tomitigateaggregatedmacroeconomic and event risk factorsconfrontingtheenterprise.Android users require the use of Mobile Office. ManyMobileOfficeconversion apps are available for download on GooglePlay. APDFreader and a Zip File Manager are also required to usethisapp; alsowidely available for no charge on Google Play. Theappdirects usersto a Drop Box to pick up a zip file.Sum2 does not collect or store any data entered intoourMobileBusiness apps. All data entry is done off line.