GHANA INSTITUTE OF MANAGEMENT AND PUBLIC ADMINISTRATION

(GIMPA)

EVENING MASTERS PROGRAMME IN BUSINESS ADMINISTRATION

COURSE: STRATEGIC MANAGEMENT

LECTURER: DR. WILLIAM KOFI DARBI

INDIVIDUAL FIRM ANALYSIS

INDEX NUMBER: 215003497

NAME: BAAKO DERRICK LATIF

Competencies Of Mutual Trust Loans

Responsiveness Mutual Trust loans Ltd is most concerned with offering speed to
customer demands for less loan requirements. The company strives to provide
conveniently fast easy loans based on less cumbersome criteria requirements in less than
12hours eliminating bureaucracies. Operations are designed to beat time in the service
delivery, a demonstration of improvements in labor productivity. The company prioritizes
responsiveness in serving clients and this has won a good number of customers since time
is of essence to their business.
Culture-The company has a culture of empowering and encourages employees
judgments and to improvise on situations of uncertainty with some degree of control.
Employees are adequately trained in areas of situational vignettes and has the autonomy
to take control of unusual situations such as belligerent encounters during the service
delivery process or discrepancies when it comes to mix-ups in reimbursements.
Efficiency-Management of Mutual Trust work relentlessly to control cost as far as
operations is concerned. It is not possible to save your way to prosperity, therefore
mangers who fail to manage cost will not likely have the opportunity to grow up the line
given the vibrant nature of competitors when it comes to cost management. Efficiency is
tracked via capital employed, employee contribution, cost of operations like
transportation cost, transaction cost etc are all documented on balanced sheets and
income statements.

Flexibility Information technology advancements is an order qualifier in the financial

sector, it drives margins. The company however has invested to align itself with state of
the art information systems. An installed software on each clients cellphone where a
customer has the convenience of monitoring contractual activities on-the- spot, reducing
the number of office visits in resolving arising discrepancies regarding transactions
online, providing ease of transactions to both customer and firm. The company regularly
keeps in-touch with all clients both past and present on a compiled database open to
improvement in areas of failed services as well as taking advantage of new opportunities
through the IT model.
Replication- Customer service offerings is the same with all our clients and it helps to
maintain exiting satisfied customers and attract new ones to our services. Our service
offering runs through all our branches in similar fashion..
2) A.
Low interest rate on loans with an eye on economies of scale is a source of value
appreciated by clients of the firm. Interest rates set on 10% is relatively low compared to
competitors like Achaabs Loans, INsigns Capital and DanCapts who are arguable our
major competitors offering 12%. Our offerings turns to be more attractive to the target
markets, who most appreciate low interest rates and in other words the reason for our
large customer base comparative to that of competitors.
Human resource of the firm adds value. Quality of service appreciated by customers is a
reflection of the display of effectiveness showcased by employees, which is fundamental
to promoting the intangible resources such as excellent brand. The companys quest to
use competent personnel in its service delivery is a force to reckon with. Continuous in-

service training improves customer relations approach to service delivery through

information shared across employee whose main objective is to use the various skills sets
and knowledge acquisitions to offer customer expectations of service.
Ability of the firm to replicate it services across all branches via its outstanding
management and employee base is a source of competitive edge over competitor
offerings. Embedded in the firms business model for example, is the firm recruits
competent people who have to go through several fundamental training in the area of
customer service among several others values dear to the firm in order to better equip
them in meeting expectations of the firm in taking appropriate decisions and judgments to
better provide customers across branches with cloud 9 service encounters
Mutual Trust Loans Ltd boast of a strong balance sheet (Cash) from its sole proprietor
with the flexibility to make opportune investments reducing risk of having problems with
access to working capital, liquidity or solvency. The company is ever prepared to serve its
clients, differentiating the company from its competitors who sometimes run out of cash
especially when demand exceeds supply (cash).
There is however competitive parity between Mutual Trust Loans Ltd and its competitors
when it comes to information technology as well as its supporting facilities. The
aforementioned elements have become standard requirements (order qualifiers) for
operations.
B) Importance For Achieving Sustainable Competitive Advantage
Sustainable competitive advantage is the prolonged maintenance of competitive
advantage, without it an organizations longrun success and survival are uncertain.

Idle resources and competences at the disposal of firms are useless until they are linked
and put to right use by the internal resources that render imitability to the firm. It is the
collaboration of employee competences with the multiple processes and activities
involved in delivering service to clients that forms strategic capabilities different form
competitor offerings in the long run. In other words the basis for sustained competitive
advantage.
The VRIO FRAMEWORK AND ANALYSIS
STRATEGIC

VALUE

RARE

CAPABILITY

Culture & Leadership

HRM
Replication
Finance
Design & Efficiency

YES
YES
YES
YES
YES

YES
YES
YES
NO
NO

INIMITA ORAGANI-

COMPETIE-

-BILITY

ZATIONAL

TIVE

SUPPORT

ADVANTAG

YES
YES
YES
YES
YES

E
YES
YES
YES
YES
YES

YES
YES
YES
NO
NO