Management of credit risk on agroindustrial cooperatives

Authors

  • Paulo Alberto Machinski Cooperativa Castrolanda
  • Vilmar Rodrigues Moreira Pontifícia Universidade Católica do Paraná https://orcid.org/0000-0003-1796-6752
  • Rodrigo Alves Silva Universidade Tecnológica Federal do Paraná

DOI:

https://doi.org/10.5902/2359043234611

Keywords:

Credit risk, Credit rating, Agroindustrial Cooperatives, Agribusiness, Cooperative management.

Abstract

This paper discusses the credit risk management on agro-industrial cooperatives, which are important suppliers of costing credit to Brazilian farmers. It also presents and discusses a credit rating model developed by a Brazilian agro-industrial cooperative and the efficiency of its credit portfolio. It was observed that the credit rating has enabled an improvement of the professionalization degree of credit granting, overcoming the paradigm of decisions being just judgmental. The model also helped the Cooperative in adopting a fairer financial politic for its associative board, as well as minimizing risks. Since the cooperative provides credit to its members, which are suppliers, clients and owners of the cooperative at same time, this practice is related to additional political and managerial difficulties. This paper contributes to academic discussions by presenting the performance and expertise of the cooperative in the complex issue of managing credit risk in agro-industrial cooperatives. The report of the Cooperative’s expertise, theoretical assumptions and good practices on credit risk management can aid managers to define and organize a more efficient and lower risk credit policy.

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Author Biographies

Paulo Alberto Machinski, Cooperativa Castrolanda

Graduado em Ciências Econômicas, Mestre em Gestão de Cooperativas e Coordenador Financeiro da Cooperativa Castrolanda.

Vilmar Rodrigues Moreira, Pontifícia Universidade Católica do Paraná

Doutor em Administração pela FGV-SP (2009), com estágio doutoral e pós-doutorado na Justus-Liebig-Universität Giessen-Alemanha, possui mestrado em Administração pela PUCPR (2003) e graduação em Matemática pela UFPR (1998). Atualmente é professor titular da PUCPR. Na PUCPR atua na Escola de Negócios como professor e pesquisador no Mestrado Profissional em Gestão de Cooperativas e no curso de Administração. Tem experiência na área de Administração com ênfase em métodos quantitativos e sistemas de informações. Suas principais áreas de atuação são: gestão de riscos, análise de investimentos, análise de desempenho, modelagem e simulação.

Rodrigo Alves Silva, Universidade Tecnológica Federal do Paraná

Graduado em Administração, Mestre em Economia, Doutor em Administração 

References

Abdou, H., & Pointon, J. (2011). Credit scoring, statistical techniques and evaluation criteria: a review of the literature. Intelligent Systems in Accounting, Finance and Management, 18, 59-88.

Akhtar, K., & Mujahid, M. (2014). Measuring Default Risk in Farm and Non-Farm Sector. Journal of Economics and Sustainable Development. 5 (22), 96-102.

Bluhm, C., Overbeck, L., & Wagner, C. (2003). An introduction to credit risk modeling. London: Chapman & Hall.

García, F., Giménez, V., & Guijarro, F. (2013). Credit risk management: A multicriteria approach to assess creditworthiness. Mathematical and Computer Modelling, 57, 2009-2015.

Jacobs, D., & Rayner, V. (2012). The Role of Credit Supply in the Australian Economy. Research Discussion Paper, 2012-2. Reserve Bank of Australia. Recuperado em 22/12/2015, de http://www.rba.gov.au/publications/rdp/2012/pdf/rdp2012-02.pdf.

Jouault, A., & Featherstone, A. M. (2011). Determining the Probability of Default of Agricultural Loans in a French Bank. Journal of Applied Finance & Banking. 1(1), 1-30.

Revista Globo Rural. (2013). Anuário do Agronegócio 2013. Rio de Janeiro: Editora Globo.

Silva, J. P. (2014). Gestão e análise do risco de crédito (8a. ed.). São Paulo: Atlas.

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Published

2019-12-06 — Updated on 2022-05-30

Versions

How to Cite

Machinski, P. A., Moreira, V. R., & Silva, R. A. (2022). Management of credit risk on agroindustrial cooperatives. Revista De Gestão E Organizações Cooperativas, 6(12), 83–100. https://doi.org/10.5902/2359043234611 (Original work published December 6, 2019)

Issue

Vol. 6 No. 12 (2019)

Section

Artigos

License

Copyright (c) 2019 Paulo Alberto Machinski, Vilmar Rodrigues Moreira, Rodrigo Alves Silva

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