Juhudi Kilimo: Designing Microfinance Staff Incentive Plans (A)

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In January 2013, Nat Robinson, the 32-year old CEO of Juhudi Kilimo, is faced with the challenge of how to best introduce and implement an incentive plan among the microfinancing institution’s (MFI) 78 employees. Established in 2004, Juhudi Kilimo provides microloans to Kenya’s rural population and had approximately 10,000 customers at year-end 2012. With a new round of capital, Juhudi Kilimo’s present goal is to scale-up and increase its customer base by ten-fold -- to 100,000 -- by the end of 2015. Robinson now wonders how he can best design an incentive plan -- particularly for its 36 loan officers -- that will allow the MFI to reach this goal most efficiently and effectively.

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