Toward Better Resilience during the War Crisis; Case Study of Three Microfinance Institutions in Yemen

As a crisis, man-made or natural disaster, strikes, business management struggles to maintain business continuity and sustainability. The management takes several approaches to keep business running during turbulent times such as proactive approach and ad hoc approach. Organizations proactively prepare plans to face predictable changes; however, sometimes the unpredictable changes become very complicated and challenging which would negatively affect these organizations and their business continuity. As a result, it is very crucial for any organization to be well prepared to keep its business running during turbulent times. Currently, there is a major war going on in Yemen since 2015 that negatively affects most of the business sectors in Yemen. Microfinance sector is considered a very important sector in the country, and it is one of the sectors that is affected and hit hard by the ongoing conflict. Thus, a microfinance industry leader sought solutions. The researchers conducted a qualitative study with three microfinance pioneers in Yemen and interviewed 11 professionals from different management levels. This study found that the operation of the studied institutions has been interrupted by four majors¡¯ turbulences and challenged by three market changes which drove these Microfinance Institutions MFIs to adapt their strategies and practices.