Management Information System (MIS)

Internal Control System (Monitoring):

Internal Audit: ISDE Bangladesh maintains an effective internal control system. The organization has an Internal Audit cell containing 02 members. The Internal audit cell members conducted internal audit as routine basis to monitor the programme and finance activities at Unit level as well as various projects according to the audit manual.

Internal Monitoring: Generally Unit Managers supervisor monitors the field level activities of the respective unit locations and simultaneously they are reportable to the respective Proramme Coordinator and Project Manager through Executive Director.

Field level: Onside monitoring system- Unit Manager, Project Manager, Programme Coordinator, Finance Manager and head office Monitoring Team evaluate the onside monitoring system. Accounts & Finance Dept. and MIS department are involved in offside monitoring activities.

Internal Control System (General):

The organization is follows a decentralized system of management for its operations. The Unit offices control cash flow at field level.

Human Resource Development (HRD): The HRD is to carry out all sorts of functions relating to employment, transfer and punishments as per service rules of the organization. HRD awarded the best performed staff of the organization yearly. An extensive training program has been implemented by its training cell.

Management: The EB provides over all policy guidance and direction to run the organizational and project related activities. The Executive Director materialized the direction and decision of EB and day to day activities.

Internal Audit System:

ISDE Bangladesh has taken a good step in doing regular monitoring of its activities. Its internal audit department reviews the operation of the internal control system which keeps the management informed about the ongoing circumstances. The internal audit system also examines the different aspects of financial management such as checking bill vouchers, books of accounts, rules and regulation of accounts are properly followed or not. This internal audit system identifies the problems; root causes of the problems and finds the ways to resolve those problems.

External Evaluation:

External evaluations were conducted to the overall performance and effectiveness of progress of ISDE Bangladesh. Most recent external evaluation of ISDE Bangladesh was carried out by reported chartered & audit firms of Bangladesh.

Advocacy and lobbying in regional and international level:

The present stage of globalization, ISDE Bangladesh believes that establishing the equal rights in the society, it is important to make advocacy and lobbying in the local and national level. This would create an opportunity to form a pressure group that can influence the policy planners process national and regionally, which in turn will contribute to ease the ISDE Bangladesh movement in the national level. In purview of this ISDE Bangladesh involve activity with following network/alliances.

Management Information System (MIS) of ISDE-BD:

A well defined, well structured and well tired Management Information System is considered as one of the key organizational strengths that facilitate in understanding the ongoing organizational activities and interventions and in achieving the goal and mission of an organization. Keeping the said theme ahead ISDE Bangladesh has introduced a two tire Management Information System, i.e. to and from field to headquarter directives Information Collection System. ISDE Bangladesh has a separate MIS unit headed by a qualified and experienced 2 Program Coordinator’s (Program & Micro Credit) being supported by three other staff. The MIS unit of ISDE-BD is well equipped with required computerized database system for storing all sorts of information covering each and every program areas. The MIS unit has developed reporting formats for both programmatic and financial report from its entire branch offices including headquarter. The program wise monthly reporting system has been introduced for management information of the organization. All of the units, field stations of ISDE-BD generally fill up reporting formats along with analytical information and send the same to the MIS unit of ISDE-BD for preparing consolidated reports, either program wise and/or in general. The MIS unit of ISDE-BD after receiving reports from respective program head/unit offices enters information/data in the computer under a sophisticated database system for analysis and feedback to all concerned. After necessary analysis the program wise/ consolidated reports are furnished to the respective Program Coordinator’s and top-level management including members of the policy makers of the organization, donor agencies, and concerned departments of Govt. and related other stakeholders. The recipients of the reports take seven to ten days time to review the reports and send the same back to MIS Unit with their comments, recommendations, modifications and edition as and where required. The MIS Unit on receipt of the feedback brings needed edition and/or modification on the reports and sends back with feedback along with recommendations for further improvement of the report as well as to bring changes in the implementation plan of respective program/activities.

As part of monitoring, progress report is prepared at the field level and submitted to all concerned. The monitoring staff/concerned head of each program analyses the reports and dispatch to the ISDE’s MIS Unit and for getting more analytical feedback for all relevant stakeholders. Progress reports are consolidated by MIS Unit and assess the qualitative and quantitative achievements. The follow-up visits are also given as per reports and feedback of MIS Unit. Periodical evaluation is also undertaken based upon the feedback and reports of the MIS Unit.

Risk Management:

It is anticipated that the project may encounter significant unpredictable events due to which progress may be hampered. One of the few reasons that are attributed for such hamper in progress has been listed below:

Natural Calamities:

Natural Calamities are quite frequent in Bangladesh especially in the monsoon season when heavy rainfall, storms and depressions are common events. Carrying outdoor activities under such a condition is very difficult and anticipated progress cannot be achieved. Apart from this with frequent spell of floods, landslides etc. transportation may be disrupted which can cause unscheduled delays in the project activities.

Political Instability:

Political disturbances are also very unpredictable events, which may be hampering the project activities. Outdoor activities may be hampered under such lock out situation, lack of transportation force and also carrying out program under such threatening situation is not a wise decision. Under the circumstances these issues should be accounted accordingly to address the progress of the project and due considerations.

Unforeseen Law & Order situation:

Unforeseen law & order situation has nowadays become a common fact that widely influences the day-to-day activities. Localized events of such dimension can postpone project survey activities and lead to unpredictable delays. These unexpected events should be accordingly recognized and due consideration accorded for carrying out the project.

Financial Management:

ISDE Bangladesh has an administrative and finance section equipped with a computerized system of accounting. For financial accounts & book keeping, supporting vouchers for receipts and payments are maintained. The books of accounts are subject to regular annual audit. Periodical financial reports, such as the balance sheet and receipt and payment statements are prepared and submitted to the Executive Board (EB), NGO Affairs Bureau and the relevant donors. The EB keeps track and reviews the income and expenditure of ISDE regularly. The Finance Manager recommends and refers all financial matters to the Executive Director for decision and approval. However, in cases, where financial power exceeds his delegated authority, approval is required from the EB. Both accountability and transparency thus characterize the financial management. This unit also responsible for following activities:

• Financial reporting to the donor and others concern GOB authorities.
• Reviewing the accounting manual
• Expenditure/cost control
• Budget preparation for the project
• Internal audit at the branch level

Accounting & Auditing: It has been maintaining the good substantial accounting system. International Accounting Standard (IAS) are followed in accounts keeping and as per IAS and BAS are used to meet up the requirement for its International Reporting Standard.

Appointment of External Auditors: ISDE Bangladesh appoints External Audit Firm for consecutive 2 (two) years in its AGM followed with relevant rules of MOA, having made an agreement for audit between ISDE-BD and Audit Firm.

Taxation: Submission of income tax return is mandatory under income tax ordinance 1984 as per the government rules. It may be noted that the government has exempted the non-profit organization dealing with micro finances from paying any taxes. However, if there is any income from other than microfinance activities; it will be subject to the relevant rules of taxation.

However, ISDE-BD has taken initiative with the technical assistance of the Concern Bangladesh & VSO Bangladesh to computerize the accounting system. In spite that CDF also provides technical assistance to develop the accounting and financial management system in micro-credit.

In addition that ISDE-BD every year audited its all accounts by the external audit firm.

Banking Arrangement:

Banks’ Name:                            Eastern Bank Ltd

Address:                                  Jublee Road Branch

Chittagong, Bangladesh.

Account No.:                           0003107000-5950.

Bank Signatory:          

The Chairperson, Executive Director and Treasurer. The transaction made with the Executive Director with anybody of the Chairperson or Treasurer.

Externatal Financial Audits