Report In Relation To Van Dijk

Running Head: A REPORT RELATING VAN DIJK (2012) TO GRAMEEN KOOTA 1

A REPORT RELATING VAN DIJK (2012) TO GRAMEEN KOOTA

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A REPORT RELATING VAN DIJK (2012) TO GRAMEEN KOOTA 2

A Report Relating Van Dijk (2012) to Grameen Koota

Grameen Koota, also known as Grameen Financial Service Private Limited (GFSPL), is

an independent non-banking finance company founded as a project of a nongovernmental

organization in 1999. The company was founded, and operates in India states offering

microloans, workshops and provides access to an educational institution (Koota, 2011).

Themes from Dijk (2012) and their Relevance to Grameen Koota

Dijk (2012), in his work, has clearly brought out the idea of individualism. The apparent

increasing individualization is evident in the modern technological society. The rise of

individualism is seen as a counterpoint to the growing pervasiveness of the network, which is the

individual accessibility of the network. In the usual social setting, individualism is standing on

one’s own, without creating ties with the family, community and the acquaintances among

others. The aspect has received support from the modern technological advancements such as the

development of the email system of communication, mobile communication and telephony

(Dijk, 2012). Therefore, a single person can apparently handle tasks and duties from a distance

without having to do it as a group. This ideology is supported by Dijk (2012, p. 43) in the mass

society and network society typologies. The mass society that was characterized by the industrial

revolution was a setting with the infrastructure of communities, families, groups, and

organizations. In the mass society settings, the components are large households, extended

families, and villages. Similarly, in large companies, closely cooperating shifts and departments

signify. However, such settings have internal challenges such as conflicts, transfer of diseases,

and opposition against one another. For that reason, Grameen Koota, and other organizations

have to avoid centralizing their internal units and adapt individualism for a better work output.

A REPORT RELATING VAN DIJK (2012) TO GRAMEEN KOOTA 3

For the same reason, clients in Grameen Koota have challenges benefiting from their loans as

there is unequal advancement out of poverty (Koota, 2011). It is, therefore, assumed that those

progressing from the poverty line are individualistic.

Van Dijk (2012), analyzes the network as an organization of levels. The levels are

organized from chemical, biological and societal, and are interrelated by the heterarchical type of

an organization. The levels are both co-determined in that neither the lower level nor the upper

level is in control. Particular properties emerge on every level that can be applied to that

particular level, that is, the individual, group, society or an organization. The features include an

individual’s personality, a degree of a group’s formality and probably the face of the

development of society (Dijk, 2012, p. 32). Similar fundamental views are applied in the

management of organizations such as Grameen Koota. The management of an organization can

either be hierarchical, or heterarchical. However, according to Dijk (2012), we all fall under

heterarchical, where the lower levels are partially included in the higher levels. Therefore, the

company’s management structure, including Grameen Koota, is heterarchical, that there are

levels differentiating employees, stakeholders, and even their clients are categorized in levels;

those advancing out of poverty, and those who are not progressing.

Technology and the network is another theme that has clearly been brought up in Van

Dijk’s book. In the last laws of the web, Dijk (2012) states the law of amplification. Networks

are relational structures that incline to intensify the current social and structural trends when

information communication technologies and computers are used, will serve as equipment for

reinforcement. Just like Dijk (2012) stipulates, it is true that modern technological advancement

are evolutionary and not revolutionary; however, the effects technology has on the society are

not evolutionary. Van Dijk (2012) argues that the modern technology such as the Internet and

A REPORT RELATING VAN DIJK (2012) TO GRAMEEN KOOTA 4

digital media are reinforcing the already existing trends, hence said to amplifiers of trends. It is

because people are relational structures that emphasize and reinforce others embedded in social

structures. Similarly, technology should be applied by organizations to achieve their goals. For

Grameen Koota, frequent low Internet connectivity is affecting their performance in that the data

entry process is in most cases interrupted. The company, therefore, requires adjusting and

improving their technology so as to serve their clients in a quick way.

Challenges facing Grameen Koota

Grameen Koota handles hundreds of thousands of clients who require services and

products frequently. Managing such vast information and keeping track of people comes with

various challenges. Among the challenges the company faces in the implementation of its

jurisdiction include; poor Internet connectivity, usually experienced during data entry process.

This problem can be costly to the clients, as the data entry personnel may enter multiple entries

for the same client. Due to the volume of errors, it takes the company weeks and sometimes

months to identify and correct such errors.

Inconsistent implementation of loans is one of the greatest challenges facing Grameen

Koota. Reflected figures show that the department in charge administers less than half of the PPI

loans. The corporation’s goal is to achieve a PPI loans disbursement of 100% in the loan cycle.

Reports by the company show that majority of the clients are improving out of poverty

and becoming less poor. However, the study shows that there is uneven economic advancement

from the clients served by Grameen Koot. The Micro Finance Institution, therefore, requires

analyzing and understanding the differences among clients, which will help them in targeting a

speci group of client-poverty level.

A REPORT RELATING VAN DIJK (2012) TO GRAMEEN KOOTA 5

Opportunities of Grameen Koota

Due to the large size of the company database, it is benefiting from strategic planning as

thousands of clients get to access to information from multiple PPIs. This information should,

therefore, be used to shape the company targets and priorities for future outreach.

Since the application of the PPIs, the company has recorded improved services and

product delivery. However, Grameen Koota is committed to useing the data-driven information

of its client’s poverty levels towards raising their experience with both the company’s financial

and non-financial products. The company’s intervention will be; to improve the design of its

products based on client grouping on the PPI data, to facilitate faster growth to poor clients by

offering the non-financial products, so as to enhance their rapid growth from the poverty line.

Van Dijk work in “The Network Society,” is a true revelation of how the modern society

operates. The book highlights various themes regarding how organizations and the society, in

general, are run, both in the modern world and in the aged society. Among the themes

highlighted include; Relationship (Network Relationship), Individualism and the society, Social

aspects, and Hierarchy Management (Dijk, 2012).

Conclusion

Van Dijk is posing greater challenges to the modern organizations that will benefit them

if fully implemented. Nongovernmental and non-profit financial institutions, however, should

offer not only financial aid to the poor people, but also civil education and survival mechanisms.

This will help poor people who are unable to improve from their poverty line.

A REPORT RELATING VAN DIJK (2012) TO GRAMEEN KOOTA 6

References

Dijk, V. (2012). The Network Society. London: Thousand Oaks, Califf: Sage.

Koota, G. (2011). Grameen Koota: Tracking Client's Progress Out of Poverty. Grameen

Foundation USA.

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