Operations
Human Resources
Akhuwat has well defined recruitment policy. Vacant
positions are filled with suitable candidates possessing
requisite qualifications. The academic level required
for Unit Managers is Matriculation or Intermediate,
for Branch Managers Bachelor in Commerce or equivalent
degree is required. It has been relatively easy to
find suitable candidates and retain them in their
jobs. Staff turnover has been very low which reflects
a high degree of commitment and motivation among the
staff members. Akhuwat has over a period developed
a comprehensive Manual covering areas like operations,
administration, human resource, finance, audit, fund
mobilization etc. New clauses emerging from policy
decisions are added to it from time to time. The manual
has clearly defined job responsibilities for all positions
and also provides guidelines for branch management.
New hires start as interns and go through an intensive
three month training in microfinance before they are
inducted as regular staff members. Staff members are
also provided with various incentives and medical
facility.
Competition and Expansion
Strategy
Akhuwat is not in competition with other MFIs. It
is a completely different model which is free from
interest and commercial considerations of all nature
and dimensions, including sources of funding. Akhuwat
closely follows the principle that success is not
confined to sustainability of figures; how widely
the model is replicated, how effectively and efficiently
the poor are served, is more important. Numbers overwhelm
but saving the life of one person is akin to saving
the entire mankind. Akhuwat emphasis in replicating
the model, looking for local partners and like minded
people to start a branch in their own cities. In case
a partner organization is found Akhuwat provides training
to the local staff, helps in setting up the branch.
Leaving the operations to the partner organization,
Akhuwat acts as monitoring organization. A team from
Akhuwat head office regularly visits the branches
for monitoring and training purposes.
Policy Environment
Akhuwat enjoys tax exemption granted by the Commissioner
of Income Tax under section 2(36) of the Income Tax
Ordinance 2001. Akhuwat is also registered with Pakistan
Centre for Philanthropy (PCP) under certificate no.
PCP-R1/2008/0104. Akhuwat is also a member of Pakistan
Microfinance Network (PMN).
Audit System
The organizational structure is
well defined and the hierarchies provide various checks
briefly indicated here below:
-
The Area Managers spend one
day every week in the branches under his control.
-
The Credit Operations Manager
visits the branches ones in a month.
-
The Finance Manager monitors
the funds inflows and outflows, he also visits
the branches every month.
-
The Internal Auditor carries
out audit of the branches quarterly.
-
An External Auditor carries
out an appraisal of the branches annually.
-
Every year social audit is
also conducted in which 80% credit cases are physically
verified during field visits.
-
External Audit is conducted
by a reputed Chartered Accountant Firm annually.
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