Issue of "health & food " Essay Example | Topics and Well Written Essays - 750 words

Issue of "health & food " - Essay Example The world health organization defined health it stated as a form of complete mental, physical and social well-being, .this does not focus on the absence of a disease. The statement means that, for one to be healthy, they must be stable in all aspects of human life. On the other hand, diet, needs to be balanced and focus on all classifications of carbohydrates, vitamins, proteins and mineral salts. The fact that people living in the United States have acquired an expensive lifestyle("â€Å"The Globalization of Eating Disorders, 2015). It becomes hard for them to purchase a balanced diet food and thus go for fast foods that lack proper prescriptions on the right amounts of calories they contain. These leave them predisposed to diabetes and other heart conditions ("Food For Thought.2015). In support of these diseases, the government has been in the forefront because it imposes such policies that promote unhealthy lifestyles. As a start, restaurants sell foods that tend to bypass investigations on the amounts of calories eaten daily by individuals. The government has not taken it upon its responsibility to enact policies that look into such matters. The Food and Drug Administration policies, on the other hand, have gotten solaced on the issue of healthy eating habits, and the systems are weak to authorize and cut out such patterns from the society. In support of these, the government is the overall lawmaker. It has made health become a social issue instead of allowing people deal with it in personal ways. The fact that the proposal wishes to conduct a cross-sectional study to find out if the fast food companies do label their food packages, the research will also target the consumers of fast food, to find out what is their personal responsibility in ensuring that they choose the foods wisely. Through this, they avoid eating more or fewer calories that may pose a hazard to their health. This research will be relevant since the findings will help to inform

Is there global convergence in corporate governance and why Essay

Is there global convergence in corporate governance and why - Essay Example This research paper is focused on convergence corporate governance practices among business firms and tries to determine the primary reason behind it. Paul (2005) mentioned in his study that firms belonging to different cultural background follow different organizational practices. The cross cultural difference in organizational behaviour has been studies by Hofstede, Wedel and Steenkamp (2002), where he stated that people belonging to different cultural background possesses different psychological profile, which is the key determinant behind variance in governance structures in the organizations. However, Chan and Cheung (2012) contrasted that despite of the presence of cultural differences among the firms, there exists a uniformity among the corporate laws, which compels all the business firms to work under the same roof. Porta et al (1999) further added that the firms that operate in a multinational level deals with the financial standards and regulations of different countries. Therefore, it becomes a big hassle for them if different countries follow different standards. This as a result forced the multinational firms to agree upon a commonly used regulations and standards that eased the business activities of the firms. Coffee-Jr (1999) mentioned that the importance of protecting shareholder’s interests is also a vital determinant of the growing convergence of the corporate governance structures. This is mostly because the outside investors often face the risk of uncertainty in some countries where the expropriation of the minority shareholders by the controlling shareholders is extensive. Paul (2005) opined that the advent of globalization has created an open global business market where all the firms from different avenues perform their respective business activities. Therefore it is imperative that the firms

The Key to Success Essay Example for Free

The Key to Success Essay Everyone wants to be a success in life. Whether it’s as simple as wining a soccer game or as big as ending up in the Genius World Book, many have goals that most people want to succeed in. In order to succeed, however, there are many traits that could be beneficial to have. Some basic factors that can lead to success are having a positive attitude and being responsible. The main key to success would be to have a positive mind set. Success will take a lot of time and effort and life just reminds humanity to keep on training. Every failure is a closer step to success. Giving up on something won’t help with gaining success or reaching the ultimate goal. For example, if a player wants to score a goal during one of the games and misses the first couple of times, thinking that it won’t be possible won’t get anyone anywhere. Everyone should always believe that anything can happen. It is very important to fuel the mind with positive energy. With positive energy fuel, anyone is capable of accomplishing things that others would have thought to be impossible. Success will come eventually, along with the right actions. Being responsible is another important aspect to being successful. If something is hard, speak up and ask for help because sitting around won’t help. Education and doing well in school will help teens get a better chance at being successful. For instance, doing homework on time is a responsibility that will lead to success at school. A failure to do so will result in a poor grade, which will then affect the overall grade at the end. Managing time efficiently is also crucial in order to gain success. If a certain task is given to do at work and there are other things to complete at the same time, one must try to work around and find time to finish all. This will also increase someone’s chance at success. If an employee is unable to finish the task, there are consequences from the boss. 100 percent responsibility and effort is needed in order to be on the road to success. Having a positive attitude plus the right actions will definitely help in the long run to becoming a success. It’s the little things like these that get people on the right track. Success doesn’t come without difficulty. There is a lot more to it and it will take some time, but thinking positively that anything is possible and being responsible will help get the task done.

Asset and liability management

Asset and liability management ASSET AND LIABILITY MANAGEMENT In banking, asset and liability management (ALM) is used to manage the risks that arise due to mismatches between the assets and liabilities (debts and assets) of the bank. Banks face several risks like the liquidity risk, market risk, interest rate risk, credit risk and operational risk. Asset Liability management (ALM) is a strategic management tool to manage interest rate risk and liquidity risk faced by banks, other financial services companies and corporations. Banks manage the risks of Asset liability mismatch by matching the assets and liabilities according to the maturity pattern or the matching the duration, by hedging and by securitization. Asset and liability management remain high-priority areas for bank regulators, with an emphasis on management of market risk, liquidity risk, and credit risk. Asset/liability managers face the challenge of keeping pace with industry changes as new areas of risk are identified and new tools and models are developed to help measure and manage risk. In other words Asset-Liability Management (ALM) can be known as a risk management technique designed to earn an adequate return while maintaining a comfortable surplus of assets beyond liabilities. It takes into consideration interest rates, earning power, and degree of willingness to take on debt and hence is also known as Surplus Management. But in the last decade the meaning of asset liability management has evolved. It is now used in many different ways under different contexts. ALM, which was actually pioneered by financial institutions and banks, are now widely being used in industries too. The Society of Actuaries Task Force on ALM Principles, Canada, offers the following definition for ALM: Asset Liability Management is the on-going process of formulating, implementing, monitoring, and revising strategies related to assets and liabilities in an attempt to achieve financial objectives for a given set of risk tolerances and constraints. Basis of Asset-Liability Management Traditionally, banks and insurance companies used accrual system of accounting for all their assets and liabilities. They would take on liabilities such as deposits, life insurance policies or annuities. They would then invest the proceeds from these liabilities in assets such as loans, bonds or real estate. All these assets and liabilities were held at book value. Doing so disguised possible risks arising from how the assets and liabilities were structured. Consider a bank that borrows 1 Crore (100 Lakhs) at 6 % for a year and lends the same money at 7 % to a highly rated borrower for 5 years. The net transaction appears profitable the bank is earning a 100 basis point spread but it entails considerable risk. At the end of a year, the bank will have to find new financing for the loan, which will have 4 more years before it matures. If interest rates have risen, the bank may have to pay a higher rate of interest on the new financing than the fixed 7 % it is earning on its loan. Suppose, at the end of a year, an applicable 4-year interest rate is 8 %. The bank is in serious trouble. It is going to earn 7 % on its loan but would have to pay 8 % on its financing. Accrual accounting does not recognize this problem. Based upon accrual accounting, the bank would earn Rs 100,000 in the first year although in the preceding years it is going to incur a loss. The problem in this example was caused by a mismatch between assets and liabilities. Prior to the 1970s, such mismatches tended not to be a significant problem. Interest rates in developed countries experienced only modest fluctuations, so losses due to asset-liability mismatches were small or trivial. Many firms intentionally mismatched their balance sheets and as yield curves were generally upward sloping, banks could earn a spread by borrowing short and lending long. Things started to change in the 1970s, which ushered in a period of volatile interest rates that continued till the early 1980s. US regulations which had capped the interest rates so that banks could pay depositors, was abandoned which led to a migration of dollar deposit overseas. Managers of many firms, who were accustomed to thinking in terms of accrual accounting, were slow to recognize this emerging risk. Some firms suffered staggering losses. Because the firms used accrual accounting, it resulted in more of crippled balance sheets than bankruptcies. Firms had no options but to accrue the losses over a subsequent period of 5 to 10 years. One example, which drew attention, was that of US mutual life insurance company The Equitable. During the early 1980s, as the USD yield curve was inverted with short-term interest rates sky rocketing, the company sold a number of long-term Guaranteed Interest Contracts (GICs) guaranteeing rates of around 16% for periods up to 10 years.Equitable then invested the assets short-term to earn the high interest rates guaranteed on the contracts. But short-term interest rates soon came down. When the Equitable had to reinvest, it couldnt get even close to the interest rates it was paying on the GICs. The firm was crippled. Eventually, it had to demutualize and was acquired by the Axa Group. Increasingly banks and asset management companies started to focus on Asset-Liability Risk.The problem was not that the value of assets might fall or that the value of liabilities might rise. It was that capital might be depleted by narrowing of the difference between assets and liabilities and that the values of assets and liabilities might fail to move in tandem. Asset-liability risk is predominantly a leveraged form of risk. The capital of most financial institutions is small relative to the firms assets or liabilities, and so small percentage changes in assets or liabilities can translate into large percentage changes in capital. Accrual accounting could disguise the problem by deferring losses into the future, but it could not solve the problem.Firms responded by forming asset-liability management (ALM) departments to assess these asset-liability risk. Techniques for assessing Asset-Liability Risk Techniques for assessing asset-liability risk came to include Gap Analysis and Duration Analysis. These facilitated techniques of managing gaps and matching duration of assets and liabilities. Both approaches worked well if assets and liabilities comprised fixed cash flows. But cases of callable debts, home loans and mortgages which included optio.ns of prepayment and floating rates, posed problems that gap analysis could not address. Duration analysis could address these in theory, but implementing sufficiently sophisticated duration measures was problematic Accordingly, banks and insurance companies started using Scenario Analysis. Under this technique assumptions were made on various conditions, for example: * Several interest rate scenarios were specified for the next 5 or 10 years. These specified conditions like declining rates, rising rates, a gradual decrease in rates followed by a sudden rise, etc. Ten or twenty scenarios could be specified in all. * Assumptions were made about the performance of assets and liabilities under each scenario. They included prepayment rates on mortgages or surrender rates on insurance products. * Assumptions were also made about the firms performance-the rates at which new business would be acquired for various products, demand for the product. * Market conditions and economic factors like inflation rates and industrial cycles were also included. * Based upon these assumptions, the performance of the firms balance sheet could be projected under each scenario. If projected performance was poor under specific scenarios, the ALM committee would adjust assets or liabilities to address the indicated exposure. Let us consider the procedure for sanctioning a commercial loan. The borrower, who approaches the bank, has to appraise the banks credit department on various parameters like industry prospects, operational efficiency, financial efficiency, management qualities and other things, which would influence the working of the company. On the basis of this appraisal, the banks would then prepare a credit-grading sheet after covering all the aspects of the company and the business in which the company is in. Then the borrower would then be charged a certain rate of interest, which would cover the risk of lending. * But the main shortcoming of scenario analysis was that, it was highly dependent on the choice of scenarios. It also required that many assumptions were to be made about how specific assets or liabilities will perform under specific scenario. Gradually the firms recognized a potential for different type of risks, which was overlooked in ALM analyses. Also the deregulation of the interest rates in US in mid 70 s compelled the banks to undertake active planning for the structure of the balance sheet. The uncertainty of interest rate movements gave rise to Interest Rate Risk thereby causing banks to look for processes to manage this risk. In the wake of interest rate risk came Liquidity Risk and Credit Risk, which became inherent components of risk for banks. The recognition of these risks brought Asset Liability Management to the centre-stage of financial intermediation. Today even Equity Risk, which until a few years ago was given only honorary mention in all but a few company ALM re ports, is now an indispensable part of ALM for most companies.. Some companies have gone even further to include Counterparty Credit Risk, Sovereign Risk, as well as Product Design and Pricing Risk as part of their overall ALM. * Now a days a company has different reasons for doing ALM. While some companies view ALM as a compliance and risk mitigation exercise, others have started using ALM as strategic framework to achieve the companys financial objectives. Some of the business reasons companies now state for implementing an effective ALM framework include gaining competitive advantage and increasing the value of the organization. Asset-Liability Management Approach ALM in its most apparent sense is based on funds management. Funds management represents the core of sound bank planning and financial management. Although funding practices, techniques, and norms have been revised substantially in recent years, it is not a new concept. Funds management is the process of managing the spread between interest earned and interest paid while ensuring adequate liquidity. Therefore, funds management has following three components, which have been discussed briefly. A. Liquidity Management Liquidity represents the ability to accommodate decreases in liabilities and to fund increases in assets. An organization has adequate liquidity when it can obtain sufficient funds, either by increasing liabilities or by converting assets, promptly and at a reasonable cost. Liquidity is essential in all organizations to compensate for expected and unexpected balance sheet fluctuations and to provide funds for growth. The price of liquidity is a function of market conditions and market perception of the risks, both interest rate and credit risks, reflected in the balance sheet and off-balance sheet activities in the case of a bank. If liquidity needs are not met through liquid asset holdings, a bank may be forced to restructure or acquire additional liabilities under adverse market conditions. Liquidity exposure can stem from both internally (institution-specific) and externally generated factors. Sound liquidity risk management should address both types of exposure. External liquidit y risks can be geographic, systemic or instrument-specific. Internal liquidity risk relates largely to the perception of an institution in its various markets: local, regional, national or international. Determination of the adequacy of a banks liquidity position depends upon an analysis of its: * Historical funding requirements * Current liquidity position * Anticipated future funding needs * Sources of funds * Present and anticipated asset quality * Present and future earnings capacity * Present and planned capital position As all banks are affected by changes in the economic climate, the monitoring of economic and money market trends is key to liquidity planning. Sound financial management can minimize the negative effects of these trends while accentuating the positive ones. Management must also have an effective contingency plan that identifies minimum and maximum liquidity needs and weighs alternative courses of action designed to meet those needs. The cost of maintaining liquidity is another important prerogative. An institution that maintains a strong liquidity position may do so at the opportunity cost of generating higher earnings. The amount of liquid assets a bank should hold depends on the stability of its deposit structure and the potential for rapid expansion of its loan portfolio. If deposit accounts are composed primarily of small stable accounts, a relatively low allowance for liquidity is necessary. Additionally, management must consider the current ratings by regulatory and rating agencies when planning liquidity needs. Once liquidity needs have been determined, management must decide how to meet them through asset management, liability management, or a combination of both. B. Asset Management Many banks (primarily the smaller ones) tend to have little influence over the size of their total assets. Liquid assets enable a bank to provide funds to satisfy increased demand for loans. But banks, which rely solely on asset management, concentrate on adjusting the price and availability of credit and the level of liquid assets. However, assets that are often assumed to be liquid are sometimes difficult to liquidate. For example, investment securities may be pledged against public deposits or repurchase agreements, or may be heavily depreciated because of interest rate changes. Furthermore, the holding of liquid assets for liquidity purposes is less attractive because of thin profit spreads. Asset liquidity, or how salable the banks assets are in terms of both time and cost, is of primary importance in asset management. To maximize profitability, management must carefully weigh the full return on liquid assets (yield plus liquidity value) against the higher return associated with less liquid assets. Income derived from higher yielding assets may be offset if a forced sale, at less than book value, is necessary because of adverse balance sheet fluctuations. Seasonal, cyclical, or other factors may cause aggregate outstanding loans and deposits to move in opposite directions and result in loan demand, which exceeds available deposit funds. A bank relying strictly on asset management would restrict loan growth to that which could be supported by available deposits. The decision whether or not to use liability sources should be based on a complete analysis of seasonal, cyclical, and other factors, and the costs involved. In addition to supplementing asset liquidity, liability sources of liquidity may serve as an alternative even when asset sources are available. C. Liability Management Liquidity needs can be met through the discretionary acquisition of funds on the basis of interest rate competition. This does not preclude the option of selling assets to meet funding needs, and conceptually, the availability of asset and liability options should result in a lower liquidity maintenance cost. The alternative costs of available discretionary liabilities can be compared to the opportunity cost of selling various assets. The major difference between liquidity in larger banks and in smaller banks is that larger banks are better able to control the level and composition of their liabilities and assets. When funds are required, larger banks have a wider variety of options from which to select the least costly method of generating funds. The ability to obtain additional liabilities represents liquidity potential. The marginal cost of liquidity and the cost of incremental funds acquired are of paramount importance in evaluating liability sources of liquidity. Consideration m ust be given to such factors as the frequency with which the banks must regularly refinance maturing purchased liabilities, as well as an evaluation of the banks ongoing ability to obtain funds under normal market conditions. The obvious difficulty in estimating the latter is that, until the bank goes to the market to borrow, it cannot determine with complete certainty that funds will be available and/or at a price, which will maintain a positive yield spread. Changes in money market conditions may cause a rapid deterioration in a banks capacity to borrow at a favorable rate. In this context, liquidity represents the ability to attract funds in the market when needed, at a reasonable cost vis-Ã  -vis asset yield. The access to discretionary funding sources for a bank is always a function of its position and reputation in the money markets. Although the acquisition of funds at a competitive cost has enabled many banks to meet expanding customer loan demand, misuse or improper implementation of liability management can have severe consequences. Further, liability management is not riskless. This is because concentrations in funding sources increase liquidity risk. For example, a bank relying heavily on foreign interbank deposits will experience funding problems if overseas markets perceive instability in U.S. banks or the economy. Replacing foreign source funds might be difficult and costly because the domestic market may view the banks sudden need for funds negatively. Again over-reliance on liability management may cause a tendency to minimize holdings of short-term securities, relax asset liquidity standards, and result in a large concentration of short-term liabilities supporting assets of longer maturity. During times of tight money, this could cause an earnings squeeze and an illiquid condition. Also if rate competition develops in the money market, a bank may incur a high cost of funds and may elect to lower credit standards to book higher yielding loans and securities. If a bank is purchasing liabilities to support assets, which are already on its books, the higher cost of purchased funds may result in a negative yield spread. Preoccupation with obtaining funds at the lowest possible cost, without considering maturity distribution, greatly intensifies a banks exposure to the risk of interest rate fluctuations. That is why banks who particularly rely on wholesale funding sources, management must constantly be aware of the composition, characteristics, and diversification of its funding sources. Procedure for Examination of Asset Liability Management In order to determine the efficacy of Asset Liability Management one has to follow a comprehensive procedure of reviewing different aspects of internal control, funds management and financial ratio analysis. Below a step-by-step approach of ALM examination in case of a bank has been outlined. Step 1 The bank/ financial statements and internal management reports should be reviewed to assess the asset/liability mix with particular emphasis on. * Total liquidity position (Ratio of highly liquid assets to total assets) * Current liquidity position (Minimum ratio of highly liquid assets to demand liabilities/deposits) * Ratio of Non Performing Assets to Total Assets * Ratio of loans to deposits * Ratio of short-term demand deposits to total deposits * Ratio of long-term loans to short term demand deposits * Ratio of contingent liabilities for loans to total loans * Ratio of pledged securities to total securities Step 2 It is to be determined that whether bank management adequately assesses and plans its liquidity needs and whether the bank has short-term sources of funds. This should include * Review of internal management reports on liquidity needs and sources of satisfying these need.. * Assessing the banks ability to meet liquidity needs Step 3 The banks future development and expansion plans, with focus on funding and liquidity management aspects has to be looked into. This entails. * Determining whether bank management has effectively addressed the issue of need for liquid assets to funding sources on a long-term basis. * Reviewing the banks budget projections for a certain period of time in the future. * Determining whether the bank really needs to expand its activities. What are the sources of funding for such expansion and whether there are projections of changes in the banks asset and liability structure. * Assessing the banks development plans and determining whether the bank will be able to attract planned funds and achieve the projected asset growth. * Determining whether the bank has included sensitivity to interest rate risk in the development of its long term funding strategy. Step 4 Examining the banks internal audit report in regards to quality and effectiveness in terms of liquidity management. Step 5 Reviewing the banks plan of satisfying unanticipated liquidity needs by. * Determining whether the banks management assessed the potential expenses that the bank will have as a result of unanticipated financial or operational problems. * Determining the alternative sources of funding liquidity and/or assets subject to necessity. * Determining the impact of the banks liquidity management on net earnings position. Step 6 Preparing an Asset/Liability Management Internal Control Questionnaire which should include the following Whether the board of directors has been consistent with its duties and responsibilities and included o A line of authority for liquidity management decisions. o A mechanism to coordinate asset and liability management decisions. o A method to identify liquidity needs and the means to meet those needs. o Guidelines for the level of liquid assets and other sources of funds in relationship to needs. Does the planning and budgeting function consider liquidity requirements. Are the internal management reports for liquidity management adequate in terms of effective decision making and monitoring of decisions. Are internal management reports concerning liquidity needs prepared regularly and reviewed as appropriate by senior management and the board of directors. Whether the banks policy of asset and liability management prohibits or defines certain restrictions for attracting borrowed means from bank related persons (organizations) in order to satisfy liquidity needs. Does the banks policy of asset and liability management provide for an adequate control over the position of contingent liabilities of the bank. Is the foregoing information considered an adequate basis for evaluating internal control in that there are no significant deficiencies in areas not covered in this questionnaire that impair any controls. Guidelines on Asset-Liability Management (ALM) System -Amendments Reserve Bank had issued guidelines on ALM system vide Circular dated February 10, 1999, which covered, among others, interest rate risk and liquidity risk measurement / reporting framework and prudential limits. As a measure of liquidity management, banks are required to monitor their cumulative mismatches across all time buckets in their Statement of Structural Liquidity by establishing internal prudential limits with the approval of the Board / Management Committee. As per the guidelines, the mismatches (negative gap) during the time buckets of 1-14 days and 15-28 days in the normal course, are not to exceed 20 per cent of the cash outflows in the respective time buckets. 2. Having regard to the international practices, the level of sophistication of banks in India and the need for a sharper assessment of the efficacy of liquidity management, Reserve Bank of India has reviewed guidelines on 24th October 2007 and decided that : (a) the banks may adopt a more granular approach to measurement of liquidity risk by splitting the first time bucket (1-14 days at present) in the Statement of Structural Liquidity into three time buckets viz. Next day , 2-7 days and 8-14 days. (b) the Statement of Structural Liquidity may be compiled on best available data coverage, in due consideration of non-availability of a fully networked environment.Banks may, however, make concerted and requisite efforts to ensure coverage of 100 per cent data in a timely manner. (c) the net cumulative negative mismatches during the Next day, 2-7 days, 8-14 days and 15-28 days buckets should not exceed 5 % ,10%, 15 % and 20 % of the cumulative cash outflows in the respective time buckets in order to recognise the cumulative impact on liquidity. (d) banks may undertake dynamic liquidity management and should prepare the Statement of Structural Liquidity on daily basis. The Statement of Structural Liquidity, may, however, be reported to RBI, once a month, as on the third Wednesday of every month. 3. The format of Statement of Structural Liquidity has been revised suitably and is furnished. The guidance for slotting the future cash flows of banks in the revised time buckets has also been suitably modified and is furnished at Annex II. 4. To enable the banks to fine tune their existing MIS as per the modified guidelines, the revised norms as well as the supervisory reporting as per the revised format would commence with effect from the period beginning January 1, 2008 and the reporting frequency would continue to be monthly for the present. However, the frequency of supervisory reporting of the Structural Liquidity position shall be fortnightly, with effect from the fortnight beginning April 1, 2008. Asset Liability Management in Indian Context The post-reform banking scenario in India was marked by interest rate deregulation, entry of new private banks, and gamut of new products along with greater use of information technolog.To cope with these pressures banks were required to evolve strategies rather than ad hoc solutions. Recognising the need of Asset Liability management to develop a strong and sound banking.system, the RBI has come out with ALM guidelines for banks and FIs in April 1999.The Indian ALM framework rests on three pillars. Â · ALM Organisation (ALCO) The ALCO or the Asset Liability Management Committee consisting of the banks senior management including the CEO should be responsible for adhering to the limits set by the board as well as for deciding the business strategy of the bank in line with the banks budget and decided risk management objectives. ALCO is a decision-making unit responsible for balance sheet planning from a risk return perspective including strategic management of interest and liquidity risk. The banks may also authorise their Asset-Liability Management Committee (ALCO) to fix interest rates on Deposits and Advances, subject to their reporting to the Board immediately thereafter. The banks should also fix maximum spread over the PLR with the approval of the ALCO/Board for all advances other than consumer credit. Â · ALM Information System The ALM Information System is required for the collection of information accurately, adequately and expeditiously. Information is the key to the ALM process. A good information system gives the bank management a complete picture of the banks balance sheet. Â · ALM Process The basic ALM processes involving identification, measurement and management of risk parameter.The RBI in its guidelines has asked Indian banks to use traditional techniques like Gap Analysis for monitoring interest rate and liquidity risk. However RBI is expecting Indian banks to move towards sophisticated techniques like Duration, Simulation, VaR in the future. For the accrued portfolio, most Indian Private Sector banks use Gap analysis, but are gradually moving towards duration analysis. Most of the foreign banks use duration analysis and are expected to move towards advanced methods like Value at Risk for the entire balance sheet.some foreign banks are already using VaR for the entire balance sheet. Conclusion ALM has evolved since the early 1980s.Today, financial firms are increasingly using market value accounting for certain business lines. This is true of universal banks that have trading operations.Techniques of ALM have also evolved.The growth of OTC derivatives markets has facilitated a variety of hedging strategies. A significant development has been securitization, which allows firms to directly address asset-liability risk by removing assets or liabilities from their balance sheets. This not only eliminates asset-liability risk; it also frees up the balance sheet for new business. Thus, the scope of ALM activities has widened. Today, ALM departments are addressing (non-trading) foreign exchange risks as well as other risks. Also, ALM has extended to non-financial firms. Corporations have adopted techniques of ALM to address interest-rate exposures, liquidity risk and foreign exchange risk. They are using related techniques to address commodities risks. For example, airlines hedging of fuel prices or manufacturers hedging of steel prices are often presented as ALM. Thus it can be safely said that Asset Liability Management will continue to grow in future and an efficient ALM technique will go a long way in managing volume, mix, maturity, rate sensitivity, quality and liquidity of the assets and liabilities so as to earn a sufficient and acceptable return on the portfolio.

The Automobile in Death of a Salesman Essay -- Death Salesman essays

The Automobile in Death of a Salesman      Ã‚  Ã‚  Ã‚   In modern society, most Americans own an automobile. In the wealthier households, a family of four may own as many as three to four automobiles, one for each driver living in the house. However, the automobile has not always been a staple of living in America.   In the 1940s, a family with an automobile was considered well-to-do, as well as wealthy and hard-working.   It is during this time period that Arthur Miller’s play, Death of a Salesman, is set. Miller gives the reader a glimpse into the life of Willy Loman, and in doing so provides an intriguing insight into the common American family of the time. Willy Loman is the everyman, constantly pursuing the â€Å"American Dream.† Part of the â€Å"American Dream† constitutes owning an automobile, which the Lomans do.   However, the importance of the automobile in this play reaches far beyond ownership. In the first scene it is addressed when Willy’s wife Linda asks him worriedly if h e has smashed the car. In the closing scene, Willy commits suicide by smashing his car into a tree. In Death of a Salesman, the automobile plays a major role, functioning both as a symbol and a tangible manifestation of the â€Å"American Dream.†Ã‚      In the opening lines of Death of a Salesman, Linda Loman worries that something has â€Å"happened† to her husband Willy.   After Willy assures her that â€Å"nothing happened,† Linda asks, â€Å"You didn’t smash the car did you?†. This initial exchange sets up the significant role the automobile will have in the events of the play. In Linda’s mind, she instinctively makes the leap from a problem with Willy to a problem with the automobile. Although she is anxious about the state of the family car, Linda is not a materialistic or s... ...n depicts another outmoded character in a society on the brink of great social change.       Works Cited and Consulted:    Lhannon, Jr., W. T. Deliberate Speed: The Origins of a Cultural Style in the American 1950s. Washington: Smithsonian Inst. P., 1990.    Miller, Arthur. Death of a Salesman. New York: Viking P, 1966.    Oakley, J. Ronald. God’s Country: America in the Fifties. New York: Dembner Books, 1990. 245.    Murphy, Brenda and Susan C. W. Abbotson. Understanding Death of a Salesman: A Student Handbook to Cases, Issues and Historical Documents. The Greenwood Press â€Å"Literature in Context† series, Claudia Durst Johnson, series editor. Westwood, CT, London: 1999.    Guth, Hans P. and Gabriel L. Rico.   1993.   Discovering Literature.   â€Å"Tragedy and the Common Man† by Arthur Miller.   Upper Saddle River, NJ: Prentice Hall. The Automobile in Death of a Salesman Essay -- Death Salesman essays The Automobile in Death of a Salesman      Ã‚  Ã‚  Ã‚   In modern society, most Americans own an automobile. In the wealthier households, a family of four may own as many as three to four automobiles, one for each driver living in the house. However, the automobile has not always been a staple of living in America.   In the 1940s, a family with an automobile was considered well-to-do, as well as wealthy and hard-working.   It is during this time period that Arthur Miller’s play, Death of a Salesman, is set. Miller gives the reader a glimpse into the life of Willy Loman, and in doing so provides an intriguing insight into the common American family of the time. Willy Loman is the everyman, constantly pursuing the â€Å"American Dream.† Part of the â€Å"American Dream† constitutes owning an automobile, which the Lomans do.   However, the importance of the automobile in this play reaches far beyond ownership. In the first scene it is addressed when Willy’s wife Linda asks him worriedly if h e has smashed the car. In the closing scene, Willy commits suicide by smashing his car into a tree. In Death of a Salesman, the automobile plays a major role, functioning both as a symbol and a tangible manifestation of the â€Å"American Dream.†Ã‚      In the opening lines of Death of a Salesman, Linda Loman worries that something has â€Å"happened† to her husband Willy.   After Willy assures her that â€Å"nothing happened,† Linda asks, â€Å"You didn’t smash the car did you?†. This initial exchange sets up the significant role the automobile will have in the events of the play. In Linda’s mind, she instinctively makes the leap from a problem with Willy to a problem with the automobile. Although she is anxious about the state of the family car, Linda is not a materialistic or s... ...n depicts another outmoded character in a society on the brink of great social change.       Works Cited and Consulted:    Lhannon, Jr., W. T. Deliberate Speed: The Origins of a Cultural Style in the American 1950s. Washington: Smithsonian Inst. P., 1990.    Miller, Arthur. Death of a Salesman. New York: Viking P, 1966.    Oakley, J. Ronald. God’s Country: America in the Fifties. New York: Dembner Books, 1990. 245.    Murphy, Brenda and Susan C. W. Abbotson. Understanding Death of a Salesman: A Student Handbook to Cases, Issues and Historical Documents. The Greenwood Press â€Å"Literature in Context† series, Claudia Durst Johnson, series editor. Westwood, CT, London: 1999.    Guth, Hans P. and Gabriel L. Rico.   1993.   Discovering Literature.   â€Å"Tragedy and the Common Man† by Arthur Miller.   Upper Saddle River, NJ: Prentice Hall.

To Kill a Mockingbird by Harper Lee :: essays research papers

The story, To Kill a Mockingbird is a very fine novel which exemplifies the life in the south and the human rights and values given to everybody. The book especially took the case of prejudice to a serious extreme. From the title, a mockingbird through the eyes of Harper Lee, is a person who has fallen victim to vicious stereotypes. The title To Kill a Mockingbird explains itself quite clearly in the end of the novel when Tom Robinson, one of the mockingbirds, is killed due to the stereotypes dumped upon him. Often, the use of stereotypes just breaks down the real truth of a person.   Ã‚  Ã‚  Ã‚  Ã‚  When stereotypes of Boo are used, the truth is often obscured. 'You'll get killed if you touch that tree';(pg 38) This quote reveals that the two siblings felt that Boo was a harmful person because of false rumors. Stereotypes are easily picked up, and used to horrible extreme when a large majority of people use them. This was the case with Scout and Jem when they picked up on the stereotypes going around the neighborhood about Boo. 'When I got there, my breeches were all folded and sewn up';(pg 63) When Boo sewed Jem's breeches together, this was a sign from Boo to let the children realize what a kind and pleasant man he really was. Also, Boo was considerate enough to save Jem from a couple of whippings, because after all, if Atticus were to see the torn pants he would have known Jem was the culprit in the Radley's yard. 'You were so busy looking at the fire, you didn't notice Boo behind you';(pg 76) This was also a symbol which Boo shared to let the kids slowly realize the truth about him, that he was an innocuous caring person hiding behind a fading shadow. Boo just wanted to be seen as the real him instead of the horrid stereotypes which deformed his image.   Ã‚  Ã‚  Ã‚  Ã‚  Misconceptions are results of prejudice in Jehovah's Witnesses' case. When they come strolling up people's street, the first reactions to the neighborhood is to lock the door. They lock their doors because they hear the jokes and prejudice against Jehovah's Witness which puts the thought in people's minds that Jehovah's Witness is just a joke. On the other hand, many are already faithful followers to their own religion and don't want to waste the time listening to a mini sermon.

Student assessment methodologies related to the EHEA

This paper concerns university instructors ‘ ratings of their pupils ‘ competencies ( cognition and accomplishments ) and discusses student-centred and competency-based higher instruction in the European Higher Education Area ( EHEA ) . The statement is that a dramatic displacement of focal point has taken topographic point in European higher instruction, from teacher-centred to student-centred instruction, and instructors in this system need to familiarise themselves with this displacement and the related constructs. For illustration, the course of study and appraisal methodological analysiss in today ‘s universities emphasize competencies and concentrate on what pupils can execute and how these competencies can be related to work. In order to get a comprehensive apprehension, cognition about the historical roots behind student-centred instruction and competence development may be required, and this paper attempts to supply some of this information. With these new penetrations, a pick will necessitate to be made: should these tendencies be resisted and the old methods of supplying classs be adhered to, or should the air currents of alteration be accepted and versions be made – or possibly the best pick lies someplace in between these two options? Regardless of one ‘s emotions, such a personal pick should be based upon and motivated by the best information available.The Bologna Process and the EHEAThe European Higher Education Area, EHEA, is an international undertaking in Europe and beyond, in which higher instruction systems are made more crystalline and in sync with one another. Founded in 2010 as a consequence of the Bologna Declaration ( 1999 ) , it presently comprises 47 national provinces and a figure of advisory organisational members. The historical roots of the Bologna Process can be traced back to a figure of earlier understandings ; it is of import to pay attending to these in order to to the full understand the proced ures and the EHEA of today. The 1997 Lisbon Recognition Convention and the 1998 Sorbonne Declaration The Lisbon Recognition Convention is an understanding between a figure of member provinces of the Council of Europe and a figure of of import provinces in the field of higher instruction, including, for illustration, Australia, Canada, New Zealand and the USA. The Convention stipulates that grades and periods of survey must be recognised â€Å" unless a significant difference can be shown † ( Lisbon Recognition Convention, 1997, p. 7 ) by the establishment that is charged with acknowledgment. The Sorbonne Declaration, signed in 1998 by four European states ( France, Germany, Italy and the United Kingdom ) , was an understanding sing higher instruction with the intent of coming to a common apprehension and working together to promote survey periods abroad, to better excellence in survey and research, to develop a common apprehension of instruction and acquisition and to promote cooperation. In order to enable comparing, the Sorbonne Declaration put frontward a system of rhythms and a system of credits ( the European Credit Transfer System, ECTS ) . The Declaration ends with a call to other provinces â€Å" to fall in us in this aim and aˆÂ ¦ [ to ] all European Universities to consolidate Europe ‘s standing in the universe through continuously improved and updated instruction for its citizens † ( Sorbonne Declaration, 1998, p. 3 ) . The 1999 Bologna Declaration and the ECTS system The 29 states that signed the Bologna Declaration in 1999 agreed to back up the thoughts expressed in the Sorbonne Declaration and to co-ordinate policies in order to make a figure of aims, peculiarly to â€Å" set up the European country of higher instruction and to advance the European system of higher instruction world-wide † ( Bologna Declaration, 1999, p. 3 ) . Among the chief stakeholders in the Bologna Process-a procedure implemented from 1999 through 2010-were the European University Association, the European Association of Institutions of Higher Education, the European Association for Quality Assurance in Higher Education, the Council of Europe, the European Commission, UNESCO, the European Students ‘ Union, and the assorted authorities curates responsible for higher instruction ( Heinze & A ; Knill, 2008 ) . The stakeholders held a figure of semiannual meetings in Paris ( 1999 ) , Prague ( 2001 ) , Berlin ( 2003 ) , Bergen ( 2005 ) , London ( 2007 ) , and Leuve n and Louvain-la-Neuve ( 2009 ) . The Bologna Declaration is non a lawfully binding papers ; alternatively, it is an understanding in which the participating states voluntarily synchronise their systems of higher instruction based on thoughts antecedently expressed in the Sorbonne Declaration ( 1998 ) . This synchronism implies that pupils ‘ makings are defined in footings of larning results, instead than in footings of the length of survey, which, in bend, means that the basic unit has shifted from the figure of professor contact hours to student work load. It besides requires the acceptance of determined degrees of higher instruction makings, for illustration the unmarried man ‘s and maestro ‘s grades. The European Credit Transfer System ( ECTS ) , which was discussed in both the Sorbonne and the Bologna declarations, is based on the work load required by the mean pupil to accomplish the aims of a class, that is to state, to successfully finish the work required and go through the obligatory scrutinies, which in bend are based on the class ‘s course of study and expected larning results. The ECTS is an instrument implemented to acknowledge pupils ‘ study-periods, but it is of import to retrieve that the intent of the original Declarations, including the debut of the ECTS system was non merely to help pupils. Another-equally important-purpose was to sharpen Europe ‘s fight, as Adam ( 2001 ) reminds us. The politicians and policy shapers did non outline the Sorbonne and Bologna declarations based on unselfish philanthropic gift, instead they were concerned â€Å" about the nature and fight of European higher instruction † ( Adam, 2001, p. 292 ) . Student-centred instruction and acquisition results The footings student-centred instruction and larning results ( Otter, 1993 ; NCIHE, 1997 ) are given outstanding topographic points in the Bologna Process and in the paperss released by the higher instruction curates. The Leuven/Louvain-la-Neuve Communique from 2009, for illustration, discusses the importance of student-centred acquisition ; in it, the curates stipulate that student-centred larning â€Å" requires authorising single scholars † and â€Å" new attacks to learning and larning † , every bit good as â€Å" effectual support and counsel constructions and a course of study focused more clearly on the scholar † ( Leuven/Louvain-la-Neuve Communique , 2009, p. 3 ) . Student-centred instruction includes the possibility for pupils to take their ain survey waies during their old ages at higher instruction establishments and sections. The curates acknowledge this and reason that the curricular reform taking topographic point in the EHEA will â€Å" be an on-g oing procedure taking to high quality, flexible and more separately trim instruction waies † ( Leuven/Louvain-la-Neuve Communique , 2009, p. 3 ) . From reading the Communique , it is clear that the curates are confident that student-centred acquisition should be the end of the course of study reforms during the Bologna Process. The term larning results is besides conspicuously discussed in the ministerial communiques, such as the Berlin Communique from 2003. Competence-based instruction The construct of competencies has been used in assorted educational scenes over the last decennaries, both in the USA and in Europe. In the context of the Bologna Process, the term was used in the Bologna Declaration, which stated that â€Å" a Europe of cognition † was an of import factor for growing and for supplying Europe ‘s citizens with â€Å" the necessary competencies to confront the challenges of the new millenary, † ( Bologna Declaration, 1999, p.A 1 ) . The construct was besides extensively used in the Tuning Educational Structures in Europe undertaking. The purpose of the Tuning undertaking, which began in 2001, was to tune the educational constructions in European higher instruction and to ask for argument sing â€Å" subject-specific and general competencies † ( Tuning, 2002, p. 3 ) . At the Prague Ministerial meeting in 2001, it was stated that Europe ‘s citizens should be able to â€Å" efficaciously utilize their makings, competences and accomplishments † throughout the EHEA ( Prague Communique , 2001, p. 1 ) . It is interesting to detect that the Prague Communique uses the term â€Å" competences † , alternatively of â€Å" competencies † , unlike other communiques-it is non clear if this was a witting determination from the curates. Four old ages after the Bologna Declaration, the construct of competencies was besides discussed in the Graz Declaration ( 2003 ) , published by the European University Association ( EUA ) , where a continued development of a common definition of competencies was emphasised. Subsequently the same twelvemonth, when the curates responsible for higher instruction met in Berlin, they acknowledged the statement put frontward in the Graz Convention ( Berlin Communique , 2003 ) . Therefore, the Berlin Communique states that the member provinces should â€Å" lucubrate a model of comparable and compatible makings † ( Berlin Communique , 2003, p. 4 ) and that this model should depict makings in footings of larning results and competencies. In the same communique , the curates besides declared the demand to reaffirm the Lisbon Recognition Convention and to heighten the fight of European higher instruction. The EUA ‘s following of import papers, the Trends-IV Report ( 2005 ) , was published prior to the meeting of European higher instruction curates in Bergen in 2005. The study indicated that â€Å" some agnosticism † existed in certain parts of Europe towards the thought of competence-based instruction. The study besides addressed the fact that differences sing learning attacks and â€Å" the grade to which student-centred acquisition [ was a portion of ] †¦ the mundane life at universities † prevailed ( Trends-IV Report, 2005, p. 48 ) . The curates go toing the 2005 Bergen meeting took note of the consequences and suggestions presented in the Trends-IV Report and discussed the demand for continued work in the EHEA. An overarching model for makings was adopted for the undergraduate, maestro and post-graduate degrees, every bit good as forms for each rhythm, â€Å" based on larning results and competencies † ( Bergen Communique , 2005, p. 2 ) . In 2007, competencies were briefly mentioned in the London Communique , in which the European higher instruction curates concluded that higher instruction should play a strong function in â€Å" raising the degree of cognition, accomplishments and competencies in society † ( London Communique , 2007, p. 5 ) . In this Communique , the curates discuss the ways in which developments have brought them â€Å" a important measure closer to the realization of the European Higher Education Area † and reference that this country has been developed in a mode that will â€Å" ease mobility, addition employability and strengthen Europe ‘s attraction and fight † . Competences were besides briefly mentioned in the Leuven/Louvain-la-Neuve Communique in 2009. The Communique , which was agreed upon in April 2009 by the curates responsible for higher instruction in the so 46 states of the Bologna Process, discussed the importance of employability and asserted that â€Å" higher instruction should fit pupils with the advanced cognition, accomplishments and competencies they need throughout their professional lives † ( Leuven/Louvain-la-Neuve Communique , 2009, p. 3 ) . In March 2010, the curates of the states take parting in the Bologna Process adopted the Budapest-Vienna Declaration and officially launched the European Higher Education Area. The curates continued to admit the importance of supplying pupils with the chance to get â€Å" cognition, accomplishments and competencies † and agreed that the acquisition environment should â€Å" further student-centred acquisition † ( Budapest-Vienna Declaration, 2010, p. 2 ) . Recognition was besides given to the original Bologna Declaration of 1999 and its vision for 2010, in which pupils would profit from just acknowledgment of their makings.The impact of the Bologna Process in the EHEATherefore far, student-centred and competency-based instruction and pupils ‘ competencies on the pan-European policy degree have been discussed. However, it is every bit of import to turn to these facets from regional and national positions in order to to the full appreciate and understand the challen ges posed to instructors and staff at the establishments and sections that constitute the EHEA. An increased force per unit area on higher instruction establishments and sections The mundane determinations made at higher instruction establishments are influenced by complex issues, doing it hard to expect extroverted alterations and the practical deductions of these alterations ( Newton, 2003 ) . The Bologna Process, and the creative activity of the EHEA, has increased faculty members ‘ work load. Furthermore, increased competition between different higher instruction establishments to enroll pupils and staff has been observed. Rapid and extremist alterations in educational methods have besides taken topographic point as a effect of the important developments in computing machine and Internet-based instruction. The new type of pupils, who are much more familiar with using the cyberspace in order to obtain information, puts new demands on the establishments of higher instruction in footings of advanced larning methods, such as unfastened and distance acquisition, with support from information and communicating engineerings ( ICT ) . These demands are coup led with an increased force per unit area on higher instruction establishments, managers and caputs of sections to be accountable and to go through the audit from assorted governments and regulating organic structures. In amount, these tendencies add to the overall challenges faced by educational suppliers who deal with issues related to learning and larning on a day-to-day footing in order to program and put to death high quality instruction and pupil appraisals. The drawn-out debut procedure – an illustration from Portugal The debut of the Bologna reform within each member province has been a drawn-out procedure. In Portugal, for illustration, the execution of the Bologna procedure has taken rather some clip and has caused stakeholders a certain sum of problem. One ground for these jobs can be attributed to â€Å" the elaborate and normative traditions of the Lusitanian statute law † , harmonizing to Veiga & A ; Amaral ( 2009, p. 57 ) . In a 2006 study of higher instruction establishments in Portugal, Veiga and Amaral ( 2009 ) demonstrated that universities had high outlooks â€Å" of more horizontal mobility activities † on the maestro ‘s degree after the Bologna Process was implemented. However, this expected addition in mobility has non manifested itself, partially as a consequence of jobs with â€Å" the articulation between rhythms † and â€Å" some deficiency of coherency between the different types of Masterss being developed † ( Veiga & A ; Amaral, 2009, p. 61 ) . Veiga & A ; Amaral besides report issues associated with the incorrect usage of the ECTS system in Portuguese higher instruction. Veiga & A ; Amaral ‘s ( 2009 ) information indicate that the precedence among many establishments was to travel from a learning paradigm to a student-centred acquisition paradigm, stating, â€Å" Lusitanian higher instruction establishments saw Bologna as a window of chance to present pedagogic and curricular reforms without aiming [ other reforms ] to the ends of Bologna † ( Veiga & A ; Amaral, 2009, p. 62 ) . Veiga and Amaral concluded that the execution of Bologna in Portugal has been â€Å" achieved in name merely † ( Veiga & A ; Amaral, 2009, p. 67 ) , as a effect of the velocity by which the Bologna Process was implemented and the deficiency of information and legislative support from the authorities. The challenges of module development and preparation – an illustration from Spain Diaz, Santaolalla & A ; Gonzalez ( 2010 ) conducted a survey of attitudes among module and of the sensed preparation demands among these professors, to react to the challenges of the EHEA. The survey, which included 257 university instructors in humanistic disciplines, societal scientific disciplines, experimental scientific disciplines, wellness, and engineering from the Complutense University of Madrid, focused on the EHEA and policy devising in general. In peculiar, the survey focused on the cognition and attitudes among these module members and the sensed preparation demands for the instructors based on the demands of the EHEA. The consequences show that about one tierce of the instructors report that they possess merely superficial cognition about the EAHE, and about one 3rd province that they are non certain how the EHEA-induced alterations will impact them as instructors. 66 % of the sample indicated that there is a demand to alter learning methods, but at the same clip 57 % d o non believe that the structural conditions of the establishment and their sections will back up the development work needed to suit the instruction that is being offered to the demands of the EAHE system. Based on their consequences, Diaz, Santaolalla & A ; Gonzalez ( 2010, p.A 112 ) provinces that â€Å" module preparation causes a batch of passion to billow † and that it likely will do it even more hard to plan this type of plans. The usage of the construct of competence-based instruction The term competence-based instruction has been contested, and certain persons have argued that it is merely a term used by policy shapers for political and societal grounds, instead than resting on a scientific footing. Hodge ( 2007 ) , for illustration, notes that the term competence-based ( or performance-based ) instruction has been used for decennaries to intend different things, and claims that policymakers in Europe presently use it as a bombilation word and as a conceptual footing for redesigning course of study and learning scenes within the EHEA, based on a political docket. Indeed, the term competence-based ( or performance-based ) instruction has long been used in assorted educational scenes and by different organisations, such as the American Association of Colleges for Teacher Education ( AACTE ) . For illustration, the AACTE appointed a Committee on Performance-Based Teacher Education in the early 1970s, which issued a list of features of successful performance-based instruction ( Elam, 1971 ) . Harmonizing to this list, competencies to be demonstrated by the scholar, e.g. a pupil, should be stated in order to be able to measure the scholar ‘s behavior. The standards to be used in this appraisal should besides be expressed and should depict the degrees of competencies. Furthermore, the instructional programmes, that is to state, the classs, should assist develop scholars ‘ competencies, and the appraisal of the pupil ‘s competencies should use public presentation as the primary beginning of grounds ( Elam, 1971 ) . At least a part of the historical roots of the construct of competence-based instruction lies in the USA, the Cold War epoch ( 1950-1970 ) , and the technological competition between E and West ( Hodge, 2007 ) . The initial success of the E, with its Sputnik programme at the terminal of the 1950s, for illustration, was a irritant in the West ‘s side and in its instruction and preparation programmes. In the USA, extended probes and reorganisations of schooling and professional programmes were undertaken. One consequence of this check-up was that the educational focal point shifted from academic cognition to practical and applicable competencies and utile results. Teacher instruction in the US was besides affected by this probe, as educational programmes were reorganised. The instructor instruction programmes were reformed to concentrate more on single demands and existent work demands, and, as a effect, alterations in appraisal besides took topographic point, with a stronger acc ent on measuring public presentation and discernible results. In the late sixtiess, for illustration, the American authorities issued instructions to the establishments responsible for teacher instruction to develop new course of study with a stronger focal point on public presentation and behavioral results, competencies to be learned and the rating of these public presentations, results and competencies ( Hodge, 2007 ) .Appraisal and scaling in the EHEATherefore far, the constructs of student-centred and competency-based instruction in the EHEA have been discussed. Our attending will now turn to university instructors ‘ ratings of their pupils ‘ competencies. Different appraisal formats Methods of measuring and rating undergraduate pupils vary across Europe ( Sullivan, 2002 ; Karran, 2004 & A ; 2005 ) . Numerous attacks to assessment and assessment methods proving a scope of accomplishments and abilities exist. The most common method is to allow the pupils write tests, essays or studies, but there are many other attacks used for appraisal, such as self- and peer appraisal and workplace-based appraisal in off-campus locations. It is of import for instructors to use the optimum attacks and methods, based on the classs ‘ course of study, and to give pupils a mix of attacks and methods, thereby enabling them to show the scope of their abilities. Traditionally, it is the instructor who assesses the pupils, but coachs in supervised vocational preparation pattern or director off-campus may besides analyze and rate the learning advancement of pupils, presuming that they are prepared for this undertaking and that they receive support. Regardless of who assesses the pupils, it is of import that the rating is based on clear and available standards and defendable grounds ( Brown, 1999 ) . Scoring and rating pupils In higher instruction, there are numeral tonss and classs. Classs are frequently given in the signifier of letters ( or some other descriptive component ) and are applied to peculiar public presentations. A passing class is frequently achieved when certain standards, designed to set up whether pupils have reached a minimal degree of competence, are met. The scaling of pupils, i.e. the procedure by which a instructor assigns values to a pupil ‘s public presentation ( for illustration 1-10 or A-E ) , plays a important function in higher instruction. Classs are of import to such interested parties as possible employers, Ph.D.-programme admittances commissions and bookmans, who analyse the effects of educational scenes ( Davies & A ; Graff, 2005 ) or who analyse the prognostic cogency of classs, that is to state, to what extent classs from classs can foretell future public presentations in alumnus classs and in professional life ( Taylor & A ; Albo, 1993 ; Gonnella, Erdmann & A ; Hoja, 2004 ) . But above all, classs are of import to the pupils themselves. Previous research confirm that pupils hold strong positions about appraisal and scaling, and these positions influence the ways in which pupils approach larning and analyzing ( Sambell, McDowell & A ; Brown, 1997 ) . Student-centred appraisal In the European Higher Education Area, appraisal is regarded as something meant to heighten pupils ‘ acquisition ( Leathwood, 2005 ) . Therefore, assessment governments and formats are get downing to alter, going formative instead than simply summational. In add-on, the possibilities of utilizing a assortment of appraisal techniques, including self- and peer appraisal and problem-based acquisition and appraisal techniques, deserve to be explored ( Segers & A ; Dochy, 2001 ) . The job, from the position of instructors who are used to multiple pick questionnaires and similar trials, is that these modern appraisal signifiers are perceived to hold lower degrees of dependability and cogency. Furthermore, appraisal in the EHEA will besides be more practical and non-academic, instead than simply scholastic and for the exclusive intent of fixing undergraduates for post-graduate surveies. During the last decennary, involvement among educational suppliers in inquiries sing appraisal and scrutiny has increased, every bit good as in how different methods of appraisal affect pupil acquisition ( Wilson & A ; Fowler, 2005 ; Leathwood, 2005 ) . It has become more and more common for university and college instructors to utilize formative appraisal, instead than merely summational appraisal, to heighten pupil acquisition ( Segers & A ; Dochy, 2001 ) . Formative appraisal is an rating whose intent entails modifying and/or bettering an educational class or the pupils ‘ acquisition environment, based on information obtained during the class. Summational appraisal, on the other, refers to the traditional method of measuring pupils ; it takes topographic point at the decision of a class, with the intent of finding the class ‘s effectivity and the pupils ‘ classs ( Roos, 2005 ) . The relationship between classs and future workplace success Research concentrating on classs and workplace public presentation after graduation makes usage of two theories: cognitive accomplishments theory claims that pupils develop their cognitive accomplishments during their clip at the university and that their degrees of public presentation are seeable in their classs. These accomplishments so lead to success in the workplace, and, since productiveness is rewarded with increased net incomes, â€Å" a positive relationship should be between academic accomplishment and net incomes † ( Donhardt, 2004, p. 281 ) , as â€Å" the more educated the employee, the more productive he/she isaˆÂ ¦ and that employers reward more extremely educated workers with higher wage † ( Donhardt, 2004, p. 273 ) . Meanwhile, Certification theory claims that occupation appliers ‘ certifications ( grades and sheepskin ) are what affairs to employers, instead than classs. Harmonizing to this theory, classs have no influence on future net inco mes. Donhardt ( 2004 ) studied net incomes ‘ results by researching the anticipation and growing of net incomes over the first 3 old ages following graduation. Classs were the step of academic achievement, and net incomes were declarative of the value ascribed to an person. Donhardt wished to find whether accomplishment in college, as measured by class point norm, can foretell the growing of net incomes over clip. He expected â€Å" rate point norm to be cardinal in the relationship † ( Donhardt, 2004, p. 281 ) . However, his consequences indicated that class point norm had small impact on net incomes. GPA was non a important variable and had really small correlativity with net incomes. Nor did pupils with high classs experience significantly higher growing of net incomes over clip when compared with pupils with lower classs. Donhardt concluded the enfranchisement theory, which claims that occupation appliers are frequently screened based on their university grades, since gra de certifications designate the pupil as a difficult worker, to be more plausible. This determination is nil new to research workers in higher instruction. In old research, Pascarella and Terenzini ( 1991 ) , for illustration, have demonstrated that a positive association exists between holding a college or university grade and success in the workplace.Looking in frontThe following Ministerial Meeting will be hosted by Romania in Bucharest on April 26-27, 2012. At this meeting, the curates will look into the advancement that has been made in the Leuven/Louvain-la-Neuve docket and will endeavor to drive it frontward. The undermentioned ministerial conferences will be held in 2015, 2018 and 2020. What can be expected in the close hereafter with regard to higher instruction in Europe? Competency-based instruction and student-centred appraisal methodological analysiss will most surely continue to be utilised, merely as the merchandisation of higher instruction seems likely to go on. Glo bal economic factors will go on to act upon educational systems and the labor markets, and higher instruction establishments will confront even ferocious economic competition from one another. This paper has described the general understandings and the international character of the Bologna Process ; the assorted histrions and administrations involved have merely been superficially outlined. Many more constructions and factors impact the Bologna Process and impact the EHEA. For the establishments and sections, it is critical to be witting of constructions and factors on the local degree, for illustration in the planning and execution of professional development and preparation for university instructors and other staff. In these attempts, it is of import to admit, for illustration, â€Å" the instructors ‘ ain demands, the possible differences associated to scientific Scopess, and academic and age class † , as Diaz, Santaolalla & A ; Gonzalez ( 2010, p. 117 ) reminds us.