Caldarelli et al. (2016), Managing risk in credit cooperative banks: Lessons from a case study.

Question 1

What is the main research question of Caldarelli et al. (2016)

Answer 1

How the implementation of ERM helps credit cooperative banks achieve both economic and social goals, and how governance influences this.

Question 2

What makes credit cooperative banks like BCC di Napoli different from traditional banks?

Answer 2

They operate with a dual purpose: economic sustainability and social development of local communities.

Question 3

What role does ERM play in BCC di Napoli?

Answer 3

ERM helps integrate social and financial risks, tailor risk appetite, and align risk decisions with community-driven values.

Question 4

How does culture affect ERM success at BCC?

Answer 4

Their culture of trust, mutuality, and social responsibility enhances the effectiveness of the ERM system beyond technical controls.

Question 5

What factor made BCC di Napoli’s ERM transition successful?

Answer 5

Strong leadership commitment and alignment with social mission (chairman and board heavily involved).

Question 6

What does the case of BCC di Napoli suggest about ERM in small banks?

Answer 6

That even small banks with limited resources can adopt ERM successfully by anchoring it in values, stakeholder dialogue, and contextual flexibility.