A and B (the organizations) are located in the South and North of Mozambique. The organizations work in the areas education
and of malaria prevention. Both benefitted from interventions under the LCD.
This story (problem, intervention and results) is about the implementation of a accountings system at both organizations.
Both organizations used to record their financial transactions in not so appropriate Excel Worksheets. This involved the risk of mistakes, information being easily changed, and difficulty in tracking changes. A simple addition or elimination of a digit could be costly and hard to notice. There was a high chance that their decisions were based on non-accurate financial information.
This rudimentary way of managing financial information also impacted the file management system. The files were not properly organized: documents were not separated according to the transactions, and some of the documents were not filed by date.
Through the LCD initiative, both organizations introduced a management account software and improved the management and archive
of financial documents. The organizations started recording their financial transactions using Quickbooks.
The Financial Management (FM) staff is now equipped with Quickbooks and – perhaps more importantly – the necessary
skills to record and report financial transactions in effective ways to provide more accurate information.
EUROSIS’ technical assistance team worked with both organizations to: a) establish the organization’s accounting
needs; b) strengthen the SOW to acquire the correct system; c) advise and follow-up with the software provider
on the organization’s needs;
d) define a plan of accounts adequate for the organization; e) develop financial maps to facilitate the data entry; f) provide
over 20 days of on-the-job training to the Admin and FM Staff; g) provide remote support; h) implement a better
accounting file management; i) assist both organizations in closing the first year of accounting reports.
Implementing an Accounting Software in an Organization that never worked with any kind of financial software
requires care for sustainability. To minimize the risk of unsustainability, EUROSIS’ provided on on-job-training
and remote helpdesk for an extended period.
The Organizations’ decisions will now be based on more accurate information. FM staff is now equipped with an adequate management
accounting software, a better file management system and improved financial and organizational skills.
Financial transactions of the two last years (2016 and 2017) were entered into the system and the Financial
Years were properly closed. It is now easier to find a document in the folders. The financial documents are
filed according to their nature and date.
FM staff of both organizations are now able to use Quickbooks to: a) record patrimonial transactions; b) set and monitor
budgets; c) control financial transactions; d) produce financial reports that represent their actual financial
health.
Staff of both organizations are not now organizing financial files in folders according to the following structure:
a) cash payments folder; b) bank payments folder; c) salaries; d) government related transactions; e) bank
reconciliation.