Workshop Objectives

Malawi Civil Society Organization Capacity Building Project Workshop on CSO GovernanceApril 5, 2012

Workshop Objectives • Review select information from last technical orientation • Provide an overview of Governance in CSOs • Discuss Governance challenges • Discuss possible areas of technical assistance, our overall approach to capacity building and available governance approaches and tools

Agenda 8:30-9:00 Welcome, introductions, objectives, Norms 9:00-10:00 Quick review of last orientation session 10:00-10:30 Tea Break 10: 30-12:30 Governance 12:30-1:30 Lunch 1:30-4:30 Governance 4:30-5:00 Summary, evaluation

Refresher: Civil Society and Civil Society Organizations • What is civil society? • What are civil society organizations? • What is their role in the health sector?

Refresher: Civil Society and Civil Society Organizations • Civil Society: the space, outside of family, state and the market, where people associate to advance common interests.

Refresher: Civil Society and Civil Society Organizations • Civil Society Organizations: “Non governmental organizations, and nonprofit organizations that have a presence in public life, expressing the interests and values of their members and others, based on ethical, cultural, political, scientific , religious or philanthropic considerations” World Bank 2009

Refresher: Civil Society and Civil Society Organizations • Civil Society Organizations (CSOs) include community groups, non-governmental organizations (NGOs), labor unions, indigenous groups, charitable organizations, faith-based organizations, professional associations, and foundations.

Refresher: Civil Society in Health Role of civil society in health sector: • Direct service delivery • Humanitarian assistance (emergencies, crisis, conflicts) • Advocacy (basic health rights/access) • Exchange of knowledge • Technical expertise • Professional standards for education, practice • Research and technology transfer

CSO partners in AIDSTAR-Two Who are they? What services do they provide? Where are they located?

CSO capacity building • Capacity: the ability or power of an institution to apply its skills, assets and resources to achieve its goals. • Capacity Building: an on-going evidence-driven process to improve the ability of an individual, team, organization, network, sector or community to create measurable and sustainable results. • Organizational Capacity Building: the strengthening of institutional vision, mission, strategy, structures, systems and processes, as well as management, leadership and governance capacity to enhance institutional, team and individual performance.

Framework Development: Anatomy of an Organization Mission: Why do we do what we do? Strategy: How will we get where we want to go? Values: What are our core beliefs and principles Structure: Lines of authority and accountability Roles and responsibilities Decision-making Leadership and Governance Systems Information Management: Data Collection and use Planning Supply Management Monitoring and Evaluation Communications Quality Assurance Human Resource Management Financial Management Revenue Generation

What do these terms mean? • Mission? • Values: • Strategy? • Structure? • Systems?

Anatomy of an organization: Unpacking the terms • Mission: An organization’s purpose, the reason its exists • Values: Beliefs and ethical principles that underlie the mission, values act as a beacon to guide the organization • Strategy: The broad approaches that signal how the organization will realize its mission

Anatomy of an organization: Unpacking the terms • Structure: Programs, projects and offices that make up the organization, how the organization is organized to get the work done and achieve the mission • Systems: The interdependent functions that allow an organization to do its work: Planning, human resource management, M&E, information management, resource generation, supply management

Governance: individual reflection, working in pairs, report out • Based on your experience, what does governance mean? How would you define it? • Think of a person or a body of people you know who governs (or governed). What did the person or body of persons do to govern? • As you think about your own experiences, what are some things that go wrong when there is a lack of adequate governance?

Governance • Good governance is a transparent decision-making process in which the leadership of a nonprofit organization, in an effective and accountable way, directs resources and exercises power on the basis of their mission and shared values. Adapted from Marilyn Wyatt, A Handbook on NGO Governance (2004)

Inter-related Elements of Governance • Accountability, transparency, and regulation: oversight of safety, quality and efficacy of services; oversight of organizational resources and enforcement of guidelines, standards, policies, ethical code • Information and assessment capacity: collection, analysis and use of information for planning and decision making

Inter-Related Elements of Governance • Policy formulation and planning: Assurance that appropriate policies and planning processes are in place, implemented and monitored • Social participation and system responsiveness: Broad range of stakeholders involved in organizational actions and organization is responsive to their inputs

Work in pairs or trios on governance elements What do these terms mean? Provide examples of activities in CSOs in this area • Accountability, transparency and regulation: • Information and assessment capacity • Policy formulation and planning • Social participation and systems responsiveness

Transparency • Transparency is operating in such a way that it is easy for others to see what actions are performed. For example, a cashier making change at a point of sale by segregating a customer's large bills, counting up from the sale amount, and placing the change on the counter in such a way as to invite the customer to verify the amount of change demonstrates transparency.

Accountability • Accountability often used synonymously with responsibility and answerability. The acknowledgment and assumption of responsibility for actions, decisions, and policies. Encompassing the obligation to report, explain and be answerable for resulting consequences

CSO Law in Malawi What is the law here? Every NGO shall register with the NGO Board. An application for registration shall be in prescribed form & accompanied by i) a certified copy of the constitution of the NGO ii) such registration fees as may be prescribed by the Board from time to time.

CSO Law in Malawi iii) a plan of the activities which the NGO intends to undertake iv) approval from the Ministry responsible for the activities to be undertaken by the NGO in the form of a memorandum of understanding or any other agreement between the Ministry and the NGO; v) proof that the NGO is a member of CONGOMA

CSO Law in Malawi vi) a statement that the NGO shall not engage in partisan politics including electioneering and politicking; and vii) the source of funding for the NGO

CSO Law in Malawi Necessary to submit: 1) the full names, addresses, occupations and nationalities of all Trustees, Directors and other executive Board members 2) the name and address of the NGO's auditors, who are acceptable to the Board; 3) the latest available audited annual financial statements and annual report, in respect of existing NGOs.

CSO Laws in Malawi • What else do we know?

What do these terms mean? • Constitution of the NGO • Board

Board of Directors • Boards fulfill a legal requirement • Boards provide oversight functions • Boards promote the organization’s mission • Boards help to raise funds

Ten Basic Responsibilities of Boards 1.Determine the organization’s mission and purpose 2. Select the executive director 3. Support and evaluate the executive director 4. Ensure effective planning 5. Monitor and strengthen programs and services

Ten Basic Responsibilities of Boards 6. Ensure adequate financial resources 7. Protect assets and provide financial oversight 8. Build a competent board 9. Ensure legal and ethical integrity 10. Enhance the organization´s public standing • Source: Ingram, Richard T. Ten Basic Responsibilities of Nonprofit Boards. 2nd edition.

Three types of board governing -Fiduciary governing -Strategic governing -Generative governing

Three types of board governing Fiduciary governing: -understands trustee as one who holds assets for benefit of another -ensures assets are conserved & optimized to support mission -ensures resources used effectively & responsibly -focus on oversight and accountability

Three types of board governing Strategic governing: -strategic thinking and planning-primary mode/focus - Quest for organization’s primary focus - Board organizes around strategic priorities,not administrative operations - Balanced budgets important but ask too if resources used for right or wrong purposes

Three types of board governing Strategic governing: -Balanced budgets important but ask too if resources used for right or wrong purposes -Board members/trustees ask: what business are we in? what do customers/clients want? Where do we have comparative advantage? What are our core competencies?

Three types of board governing Generative governing: • Focuses on framing problems/issues and making sense out of something • Generates create processes of mission setting, strategy development, problem solving • Provides new frame for understanding the organization & its environment

Three types of board governing Generative governing: -the creative foundation out of which goal setting and decision making originate Source: Governance as Leadership. Richard Chait, William Ryann & Barbara Taylor

A lot of responsibility! -Being a board member requires dedicated volunteer time -Not a ceremonial position -Not just discussing, visioning -Considerable responsibility

Senior Management • Director and senior managers of the organization • May include Financial Director, M&E Officer, Program/Services Coordinator and/or Medical Director

Ten Basic Responsibilities of Directors of CSOs 1.Commit to the mission 2. Lead the staff and manage the organization 3. Exercise responsible financial stewardship 4. Lead and manage fundraising 5. Follow highest ethical standards, ensure accountability, comply with the law

Ten Basic Responsibilities of Directors of CSOs 6. Engage the board in planning and lead implementation 7. Develop future leadership 8. Build external relationships and serve as an advocate 9. Ensure the quality and effectiveness of programs 10. Support the board Source: Moyers, Richard L. The Nonprofit Chief Executive´s Ten Basic Responsibilities. Washington, DC:

Does any one else in the CSO govern?

Common governance challenges What types of governance capacity building challenges might we encounter in the CSOs? Why? How will we know what challenges they have?

Mr Mwangi and The Board: Case

Possible areas of technical support • Board trainings/orientation: roles & responsibilities, distinguishing roles & responsibilities from senior management, action plan • Board manual • Board Self assessment • Work on governance with senior management

Possible areas of technical support • Financial management • Strategic planning • Resource generation • Other

AIDSTAR-Two Approach Principles of capacity building from technical brief -Ownership and leadership -Demand-driven technical assistance -Participation -Context-specific

AIDSTAR-Two Approach Principles of capacity building from technical brief -Evidence-based capacity building -Results-oriented capacity building -Learning and knowledge exchange

AIDSTAR-Two Approach • Moving from “right answers, pre-packaged tools” to a “best fit, co-created solutions” – requires a better understanding of country and organizational contexts, identifying sources of locally-owned change and knowledge, designing appropriate forms of support and sharing lessons learned

AIDSTAR-Two Approach

AIDSTAR-Two Approach Three roles of consultants: -expert -facilitator -extra pair of hands

Workshop Objectives