1 Accountability structures in NGO’s and CSO’s A self instructive PowerPoint presentation useful for CSO and NGO practitioners Picture from accountability workshop in India, March 2010

2 Accountability structures in NGO’s and CSO’s  Take note that this presentation also exist in a version without text-explanation useful for the facilitator  Find it here

3 Why Accountability?  A Civil Society Organisation without proper accountability systems is fragile and open to rumours about mismanagement and abuse of power. Picture from accountability workshop in India, March 2010

4 Why Accountability  Worst of all, it will prevent it from enjoying respect and full legitimacy in the eyes of its stakeholders including those duty bearers whom they intend to engage with advocacy. Picture from accountability workshop in India, March 2010

5 Why Accountability  Further more, sound accountability structures is the most important aspect of prevention and detection of corruption. Picture from accountability workshop in India, March 2010

6 Accountability Structures – a definition  Accountability is the ability to account for your actions and performance to your stakeholders  Accountability includes that someone (your stakeholders) are willing and able to hold you accountable With the willing and able aspect of the definition we have an operational understanding of accountability which can guide us in asking questions to accountability structures in our organisation

7 The sport club or a Community Based Organisation The simplest accountability structure:

8 The sport club or a Community Based Organisation The simplest accountability structure : Football entusiasts from a small town come together – they form their own small club or association – and they become members

9 The sport club or a Community Based Organisation Members Football enthusiasts – or poor market venders - from a small town come together – they form their own small club or association – and they become members

10 The sport club or a Community Based Organisation Members Among themselves they elect a board and they develop the necessary rules of the organisation

11 The sport club or a Community Based Organisation Members Board Resources from members – e.g. membership fees are channeled through the board

12 The sport club or a Community Based Organisation Members Board Resources Resources from members – e.g. membership fees are channeled through the board to....

13 The sport club or a Community Based Organisation Members Activities Board Resources

14 The sport club or a Community Based Organisation Members Activities Board Resources -Hiring a coach, renting a playing field. -Organising a market cleaning mechanism,

15 The sport club or a Community Based Organisation Members Activities Board Resources Accountability - feed back It is easy for members to hold the Board accountable – did the training take place? Did the market become clean? Have they spent the resources in an efficient way? Etc.

16 The sport club or a Community Based Organisation Members Activities Board Resources Accountability - feed back It is easy for members to hold the Board accountable – did the training take place? Have they spent the resources in an efficient way? Etc.

17 The sport club or a Community Based Organisation Members Activities Board Resources Accountability - feed back …and they are very willing to hold the Board accountable since the resources invested is their own.

18 The typical NGO or CSO Members Board Management The typical NGO or CSO has a similar structure

19 The typical NGO or CSO Members Board Management The levels might be called different names… but still… The owners, the patronages Executive committee, steering group, management group, board of directors Administration, direction, daily leader,

20 The typical NGO or CSO Members Board Management Most often the organisation has a member base consisting of appointed prominent persons from the area of operation or influential in other ways. The number of members often is limited to members

21 The typical NGO or CSO Members Board Management Maybe the organsations was started by some of these members as in the football club / CBO case

22 The typical NGO or CSO Members Board Management Or maybe it was rather founded by a specific person who is still central at Board or management level?

23 The typical NGO or CSO Members Board Management Anyway, strong accountability structures between these levels are important

24 The typical NGO or CSO Members Board Management Anyway, strong accountability structures between these levels are important And we can ask: ”Is there ability and willingness to fulfill accountability functions?”

25 The typical NGO or CSO Members Board Management We can ask questions like: How often does the Board meet? Is the Board elected by the member base through General Meetings? Do management report properly to the Board? * Are members of the board capable of understanding financial and narrative reports? etc.

26 The typical NGO or CSO Members Board Management Management leads activities with the help from staff or volunteers activities, operations, staff,

27 The typical NGO or CSO Members Board Management Management leads activities with the help from staff or volunteers activities, operations, staff, Also here accountability matters…

28 The typical NGO or CSO Members Board Management Does our management promote open, inclusive and respectful behaviour within the staff team? Is staff capable of reporting back to management ? Etc etc activities, operations, staff, Also here accountability matters…

29 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants Staff or volunteers work directly with the communities

30 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants And we can ask: Is the community ready and capable of holding the organisation accountable? What can staff and management do to secure this?

31 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants Sometimes a CBO is between the organisation and the community CBO

32 The typical NGO or CSO Members Board Management Activities, operations, staff, Community Participants Producing a even longer accountability chain CBO

33 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants When funds for activities come from outside the organisation the accountability chain becomes longer again CBO

34 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants Sometimes funds come through an international partner CBO

35 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants Who has got the funds either from private sources or public sources CBO Govern- ment Private donations

36 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants The accountability structures are: CBO Govern- ment Private donations

37 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants The accountability structures are: COMPLEX! CBO Govern- ment Private donations

38 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants And if we only look at the money flow chain CBO Govern- ment Private donations

39 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants And if we only look at the money flow chain – We see how LONG it is! CBO Govern- ment Private donations

40 The typical NGO or CSO Members Board Management activities, operations, staff, Community Participants …but hold on! What happened to these two levels – are they still in the loop? Or have they become disconnected? CBO Govern- ment Private donations

41 Comparing the two models we find at least three things:

42 Comparing the two models we find at least three things:  The money chain in the NGO / CSO model with international funding is very long – and accountability is complex  In many NGO’s the members are not equal to the end users as is the case with the football club (or the Peoples Organisations and many CBO’s)  In the football club model there is an obvious owner to the resources, namely the members. The other model lacks such obvious owner!

43 The ”Aid Chain” invites to corruption!!  Dramatically speaking we can conclude that the ”Aid Chain” actually invites to corruption!!  The fact that corruption is NOT everyday matter is probably due to: 1.High moral standards of people involved 2.Good accountability structures with proper checks and balances put in place in spite of the challenges