Peoples often asks us what makes our rating approach so different from other institutions.
Fiftyfor Rating Report (“FRR” hereon) is an integrated analysis of companies mainly based in Africa and other developing countries. Integrated Analysis refers to an analysis report consisting of 4 sections (4 pillars) i.e. Governance, Capability, Finance, Sustainability. It is termed “integrated” as the analysis is an integration of different pillars as all of them have interdependence on each other.
Due to weak regulatory environment in many developing markets, especially Africa, there exists a trust deficit, sometimes creating a non-favourable conditions for smooth business transactions.
In such scenario, FiftyFor offers a solution to bridge the trust deficit in business environment. F4 views any company as a combination of various entities (business network, assets, activities etc) and sees them in light of various stakeholders (Government, Community, Business partners etc.) in order to understand the impact that the company has on various stakeholders and conversely what each stakeholder looks for when he wants to be associated with the company.
FRR brings in 4 main pillars for understanding any company i.e. Governance, Capability, Finance and Sustainability. Each pillar has various metrics that helps a stakeholder understand the company in that sphere.
All Pillars rely on a rating framework which is based on two components:
- Performance: Performance refers to how the company performs in different sections in comparison to its peers in the same industry (geographical location, size etc).
- Integrity: Integrity is a measure of how complete, consistent and true is the data that is being used for rating computation.