PERSONNEL POLICY

Mentioned below are some of the necessary policies that are included in a personnel policy

1. Employee Benefit Policy
2. Recruitment Policy
3. Performance Evaluation Policy
4. Gender Policy
5. Sexual Harassment Policy
6. Grievance Settlement Policy
7. Disciplinary Action Policy
8. Conflict of Interest Policy

1. EMPLOYEE BENEFIT POLICY

Essential ingredients of the Employee Benefit Policy include;

1. Staff remuneration packages.

b)      Clearly defined rules for long term and contractual positions (these can also be both short and long term) are there to avoid or minimise any employee grievances.

Determining Increments and Bonuses

Salary and bonuses are dependent on financial results from the organisation. When there are losses organisation will halt increments and salary rise.

Increments will be based on performance and are not automatic.

Employees rating will be tied to a percentage against his/her basic salary after the appraisal cycle is over. Percentage would be from 5 to 10 % of an employee’s basic salary.

Bonus is awarded as a lump sum payment should be granted in increments of Rs 1000 up to a maximum of 10% of an employee’s basic salary. Bonuses may be granted at any time during a fiscal year or it is awarded upon successful completion of special assignment / project.

Performance management or performance appraisal system is necessary to help organisation achieve its strategy in the best possible way to help the organisation survive, thrive and compete. Strong and improving performance by staff and excellent performance management of the staff is usually the effective and important resource of the organisation to excel.

NGO’s are under increasing pressures to become accountable against corporate performance measurement criteria. NGO’s deliverables to the end user or beneficiary communities is according to its promises and commitments or not, performance measurement would provide authentic proof. The NGO must be transparent and accountable to its Donor. Major issue is concerned with the impact of NGO’s projects and expenditures, if it is below expectation it would raise questions about the effectiveness of performance evaluation or appraisal system.

ROSP has the required performance evaluation policy in section (3.) given below.

2. RECRUITMENT POLICY       

The most important element of the recruitment process is to ensure transparency and fairness without any bias and favouritism in the hiring process.

Some of the standard practices for recruitment include proper hiring mechanisms through advertising, indiscriminate head hunting and using the databases of credible recruitment agencies or references.

Once applications are received short listing through independent sources or cross checking through reference checks and under an already laid down eligibility Performa, followed by tests and interviews by a panel.

This would ensure fair recruitment policy and transparency.

 (Appointment letter is attached as Appendix-A to this manual)

APPOINTMENTS:

Mentioned below is a brief overview of how various hierarchical positions can be appointed within ROSP.

The operational head of the organisation i.e. the President is appointed by the Governing Body of the Organisation[1] (The Board of Trustees).

All managerial level positions e.g. Administration, Finance, Operations, Policy & Research etc are finally made by the Head of the organisation in consultation with the Chairperson of the Governing Body and CEC.

RULES:

1. For recruitment at any mid-level managerial position it is mandatory that an advertisement is posted at any one of the National Dailies.

2. Short listing will be done against a laid out criteria and tests/interviews need to be conducted by a panel of officials’ senior than the positions advertised.

3. It is preferred to have at least one board member on the interviewing panel along with the head of the organisation.

4. For entry level/junior positions selection can be made through head hunting, posting the position on the web, through circulation of posts to various relevant organisations etc.

5. The interview panel for such positions should constitute at least one managerial level position.  The idea is to ensure that the process is transparent and fair.

6. All appointments should be made, clearly indicating the terms of reference and conditions of employment. The letter of employment has to be addressed to the employee and a copy signed by the employee has to be kept in official record.

7. Probationary period is from 3 to 6 months. In case employee fails to perform in accordance to the expectation of Board, she/he will be given notice of terminating the contract at the end of the probationary period.

3. PERFORMANCE EVALUATION POLICY

Performance evaluation policy seeks to promote professional growth and development and assures quality performance from all staff members.

1. It is the supervisor’s continuing responsibility to improve employee’s work through regular evaluation of their performance.

2. It is important to have all appraisals in written form and a record need to be maintained on yearly basis.

3. These evaluations will be based on the performance parameters of each employee vis-à-vis his or her Terms of Reference (ToRs). ToRs are well defined and mutually agreed upon by both the employee and the employer. The ToRs also serve as parameters against which appraisals can be made.

4. Similarly committees can be formed to assess for various positions based on the hierarchy of the organisations.

5. There is an essential need for close monitoring and scrutiny of staff members on yearly basis and a similar criterion need to be adopted for promotions, internal transfers and increments within the organisation.

3.1       Rationale for Evaluation

The rationale for evaluation is as follows;

a)         To encourage employee to participate actively in improving operations and standard of work around the office.

b)         To provide incentives for exceptionally high quality work performance by the individual and to maintain the quality of performance.

c)         To encourage and subsequently reward new ideas and suggestions which eventually would lead to more efficient office environment.

• To reward major accomplishment acquired by an individual assisted in achieving the organisation’s objectives, recognising commendatory and outstanding work performances.

3.2       Performance Evaluation Officer

The performance evaluation officer should be the immediate supervisor, head of section or any such officer who is specifically assigned to undertake the task of evaluation. His/her responsibilities include but are not limited to;

a)         To ensure thoroughness, impartiality, objectivity and soundness during the evaluation process and comply with the laid down criteria of the evaluation instructions.

b)         To ensure whether the employee has received adequate information of the evaluation process and guidelines.

c)         To clarify to the employee the duties of the position and the requirements for satisfactory performance at the beginning of the rating period.

d)         To discuss the strengths, weaknesses, and ways to improve performance with each employee at the end of the rating period and on as and when need basis. 

e)         To register his/her observations/comments, duly signed and forwarded to the head of the section/organisation for his/her signature and information in a sealed envelope.

f)         The report after being signed by the Incharge/supervisor of the department is forwarded to the President in a sealed envelope marked “Performance Evaluation Report” to ensure confidentiality of the report.

3.3       Evaluation Review Panel

The function of the Panel is to review all performance evaluation reports that are termed “unsatisfactory” and also review employee appeals if any, against the overall rating of the evaluation.

The Panel should include the Evaluating officer, the Head of the organisation and one other senior level officer to ensure transparency.

HR department verifies performance review process and supports supervisor/managers recommendations.

• Employee Appeals

Appeals are limited to the overall rating in the performance evaluation report. If after discussing the disagreement with the reporting officer, the employee is still dissatisfied, the employee will submit a written appeal to the head of his/her section, and in case where the head of section is the reviewing officer the appeal should be submitted to the head of the personnel section or the head of the organisation within seven calendar days following receipt of copy of the performance evaluation report.

3.5     Performance Evaluation Framework

The performance evaluation framework draws the guidelines against which evaluation needs to be done. It contain benchmarks3 for the four category ratings (see section 3.2), which is a quantitative process of evaluation. Similarly it contains various parameters and sub parameters (e.g. personal abilities, attitudes and performance outputs) against which a quantitative evaluation can be made. Comments from the evaluating officer at the end would summarise the whole evaluation exercise.

(A Performance Evaluation form is attached as Appendix-B to this manual)

3.7 LEAVE POLICY

Employees have to submit application for leave to the Secretary General / administrator/ human resource department, even it is for one day otherwise absence will be counted subject to deduction from salary.

An unpaid leave of absence is available to all full-time employees for no less than four weeks and no more than ten weeks.

(A leave application form is attached as Appendix-C to this manual)

 Use of leave of absence must comply with the following:

– The human resources department must authorise the leave of absence. Authorisation is done on a case-by-case basis by considering the needs and circumstances of the employee and the impact that the employee’s absence will have on the workplace.

An employee must have one year of continuous employment with Organisation.

–  The request must be submitted in writing and will include proposed starting and ending dates for the leave period.

 – A request for an extension of the leave of absence must be made in writing and requested at least five working days before the end of the approved personal-leave period.

– Maternity leave shall be for 2 months with pay. Further leave may be availed up to 2 months without pay.

– The employee will not accrue benefits while on leave of absence.

 – An employee who takes an authorised leave of absence is guaranteed reinstatement to his or her job or to an equivalent position upon return from leave.

 – Monthly record of all leaves must be maintained. Salaries to be adjusted according to this record every month.

 4. HARRASMENT POLICY

Presence of both genders requires policy for management of working environment.

Employee Responsibilities

Any employee who believes that she/he has been subjected to any form of prohibited discrimination/harassment, including sexual harassment, or who witnesses others being subjected to such harassment or discrimination is encouraged to promptly report the incident(s) to either their supervisor or manager or directly to the head of the organisation. All employees are expected to cooperate with investigations undertaken and failure to cooperate in an investigation should result in disciplinary action, up to and including termination.

Supervisor Responsibilities

Supervisors will make every effort to maintain a work environment that is free from any form of prohibited discrimination/harassment. Supervisors are expected to take all allegations of discrimination/harassment, including sexual harassment, seriously, and to immediately refer the matter to the head of section or organisation.

Complaint Process

The organisation can designate an individual or individuals to receive complaints of discrimination/harassment, including sexual harassment, investigate such complaints, and recommend appropriate remediation of such complaints.

All investigations of discrimination/harassment claims should be conducted in a way that respects, to the extent possible, the privacy of all the persons involved. Investigations should be conducted in a prompt, thorough and impartial manner. The results of the investigation should be forwarded to the head of section or organisation to make a final decision as to whether a violation of the policy has been substantiated.

Where discrimination/harassment is found to have occurred, the organisation should take prompt and appropriate remedial action to stop the discrimination/harassment and deter its reoccurrence.

The remedial action taken may include counselling, training, intervention, mediation, and/or the initiation of disciplinary action up to and including termination of employment.

The organisation should maintain a written record of the discrimination/harassment complaints received. Written records will be maintained as confidential records to the extent practicable and appropriate.

Confidentiality

All complaints and investigations should be handled, to the extent possible, in a manner that will protect the privacy interests of those involved. All persons interviewed should be directed not to discuss any aspect of the investigation with others in light of the important privacy interests of all concerned. Failure to comply with this confidentiality directive may result in disciplinary action.

Disciplinary Action

Any employee found to have violated this policy might be subject to appropriate disciplinary action, which may include; suspension, reassignment, or termination of employment.

5.  Complain Policy

If someone is dissatisfied with a service provided by us, he/she should in the first instance consider speaking directly with the staff member/s he/she has been dealing with. If someone is uncomfortable with this or consider the relevant staff member is unable to address his/her concerns he/she can lodge a complaint with us in one of the following ways:

• By writing to us.

• By emailing us.

• In person by speaking to any of our customer service staff.

If we receive your complaint verbally and we consider it appropriate, we may ask you to put your complaint in writing.

In this policy a complaint means an expression of dissatisfaction by a customer relating to any service provided by us.

ATAS – Sample Complaints Handling Policy and Procedures. Version 1.1 – 4 April 2014 Page 1 of 6

6. GRIEVANCE SETTLEMENT POLICY         

The purpose of adopting this policy is to promote the internal settlement of any controversy or claim pertaining to employment actions, which may arise between salaried employees and management. It is intended to provide an equitable and timely method for the final disposition of such issues.

Definition

A “grievance” is defined as an employee’s expression of alleged unfair or inequitable treatment with respect to the application of policies, procedures, and regulations, which he/she has been unable to resolve with his/her immediate supervisor.

Examples of staff grievances include failure to receive eligible vacation, holidays, or overtime compensation as specifically mentioned in the HR Policy. Judgments such as salary increases, salary range, or classification assignments to jobs are not considered violations of human resources policies

Procedure

An employee filing a grievance shall have at every “step” the right to present witnesses and evidence to support his/her grievance. A representative or a panel appointed by the Head of the organisation will investigate the allegations and make arrangements to hear the employee’s complaint and the departmental charges if any. He/she shall provide a written response to the employee within five (5) working days of the receipt of the grievance.

7. DISCIPLINARY ACTION POLICY    

The purpose of this policy is to provide a fair, open, uniform, and objective means of correcting and improving employee behaviour and work performance in the unlikely event that such is required

Rationale

Disciplinary action is intended to correct improper employee behaviour and improve employee work performance.  To be effective, a policy of this nature must consider the nature of the offence, the past record of the offending employee, and the penalty appropriate to the offence. Dept heads should exhaust every means at their disposal to improve behaviour and unsatisfactory work performance.  In the few instances where employees exhibit no interest in improving their work behaviour or work performance, discharge is appropriate.

Procedures

Acts or omissions on the part of employees which are symptomatic of behaviour or work habits which can be corrected or improved (for example; absenteeism, tardiness, poor work performance, etc.) should be dealt with through a series of reprimands which should include:

1) At a minimum, a verbal warning,

2) And a written warning prior to dismissal.

Acts or omissions on the part of employees, which are symptomatic of incorrigible and intolerable behaviour, should, when recognised would result in suspension without pay, pending investigation.  Such acts, include, but are not limited to;

a)         Disorderly conduct within organisation’s premises.

b)         Falsification of organisation’s records, improper disclosure or use of organisation’s records.

c)         Refusal to accept instructions including failure to perform work assigned.

d)         Being under the influence of charas, alcohol or illegal drugs within organisation’s premises (including refusal to submit to drug testing after suffering an accident or injury on the job).

e)         Theft or commission of any other crime within organisation’s premises.

f)         Unauthorised possession of firearms within organisation’s premises.

• Acts of moral turpitude, significant employee error, breach of civil or criminal law which tends to bring discredit to the organisation.  

Policy Action

When the investigation confirms employee guilt, discharge is appropriate. In case of suspension, the unit head should notify the Finance & Administration Office of the circumstances surrounding the disciplinary action.

8. CONFLICT OF INTEREST POLICY:

A conflict of interest is simply a situation in which an individual has two separate and competing interests and it is unclear which interest will win out if it comes down to it. Another term we can use for this, which is equally descriptive but without the negative connotation is “duality of interest”. An example of a conflict of interest is a board member whose brother runs a print shop that could potentially print materials for the organisation.

Similarly conflict of interest also applies for organisations, where duality of interests may arise. It is therefore pertinent that organisations do not promote any interest or agenda other than laid down in their declared charter/ deed. Examples may include but are not limited to:

1. Promoting any such messages that is harmful to the society in large and creating disharmony among the people. (Disseminating political agenda of some group or promoting messages of any religious sect).
2. Undertaking any such activity, to derive any specific profit or gain, directly or indirectly, under the umbrella of a Non-profit Organisation.

8.1       Avoiding Conflict of Interest in Individual Cases

When anyone joins the board or staff it should be mandatory that the individual completes a duality of interest form that lists any individual or organisation that the non-profit might be dealing with and the individual has an outside relationship with. Better yet, discuss possible conflicts during the recruitment process. Conflicts need not prevent from joining, but they should be transparent from the start. A new board member or staff must sign a pledge that she will disclose any conflicts of interest and keep the best interests of the organisation in mind as long as she serves the organisation.

8.2       Avoiding Conflicting of Interest in Organisational Cases

It is mandatory that the Non-profit Organisation make public its charter as well as all activities it wishes to undertake. ROSP’s has a documented Vision and Mission Statements. The Organisation has a Trust Deed stating that all its functions would be limited to its charter and open for public scrutiny at all points in time. That the organisation will not undertake any such activity as mentioned above in section 8.

ADMINISTRATION POLICY

Mentioned below are some of the polices that need to be included in an Administrative Policy;

1. Procurement Policy
2. Travel Policy
3. Asset Disposal Policy

1. PROCUREMENT POLICY

Procurement policy deals with the procedures for procurement of office essentials and equipment. Two main principles that apply are;

1. The requirement for impartiality and fairness across all stages of the tendering and purchasing process, and

2. The necessity for obtaining the best possible value for money.

The first criterion in choosing a supplier shall be the lowest bid. However, if a supplier does not provide the required level of service or an adequate guarantee, then other criteria shall also be considered. Organisation shall specify in the purchase file the reasons the lowest bid was not chosen.

 3. All purchases and expenditures should be in the knowledge of the President /secretary general and done with prior approval from the above (the President/ Secretary General).

a.1       Methods of Procurement

Goods or services may be acquired through one of the following options;

1. Direct Purchase from a company/supplier. This includes cash transactions, quick orders and cheque payments.
2. Written quotation.
3. Call for Expressions of Interest.

a.2 Direct Purchases.

Purchases less than Rs. 25,000 may be purchased to the best advantage without quotations subject to the following conditions;

1) Rates should be reasonable and consistent with normal market rates for items of a like nature

2) Requirements should not be split into components or succession of orders for the same goods or service for the purpose of enabling the goods or service to be obtained under the Rs. 25,000 limit

3) Procurement should be approved by Secretary Finance.

4) For purchases under_Rs_20, 000, a price survey by telephone of two suppliers will be sufficient for determining the supplier.

5) For purchases above Rs_20000, a quotation/invoice shall be obtained from three local suppliers.

6) Purchases from a sole source shall be explained in the purchase file.

The purchase file shall contain all the documents pertaining to each transaction, i.e. the purchase requisition, quotations, contact information of suppliers purchase contracts or orders, invoices, delivery slips and any other pertinent documents.

a.3 Purchases Mechanism.

Employees making purchases as part of the project activity or organisational work shall follow these mechanisms:

1). Make Invoices.

2). Recipient’s signature on invoices. Or

3). Delivery slip – After the purchase has been made, a delivery slip will be issued by the finance division for the supplier, who will sign it and give it back to the finance division.

a.4 Written quotation

For purchases greater than Rs.25,000 but less than Rs 50,000 at least one written quotation should be obtained subject to the following conditions;

1.      Rates should be reasonable and consistent with normal market rates for items of similar nature.

2.      Requirements should not be split into components or succession of orders for the same goods or services for the purpose of enabling the goods/service to be obtained under the Rs. 25,000 limit.

3.      For purchases greater than Rs.25,000 but less than Rs. 50,000a minimum of three written quotes[1] must be obtained and must be based on a written outline of specifications which has been provided to the suppliers. Purchase of this size should be approved by the head of the Organisation.

4)      For purchases that are considered high risk and over Rs. 2,00000 considerations should be given to undertaking a Competitive Tendering and Contracting (CTC) process. This should include documentation of a written brief or outline of specifications for the purchase. Such purchases should be approved by the Chairman of the Board/ the President.

a.5 Call for Expressions of Interest

Expressions of Interest / Request for Proposals (Competitive Tendering and Contracting) Procedures. Expressions of Interest (EOI) and Requests for Proposals (RFP) consist of procedures that are intermediate between obtaining written quotations and seeking tenders. Generally, such purchases fall in the Rs.2,00000 and above categories; 

1)      In the case of requests for Proposals or Expressions of Interest, a detailed overview of the product or service concept that is required is prepared and forwarded, (through telephonic inquiry and Internet).

2)      Similarly, requests for Proposals/Expressions of Interest can be announced in a variety of advertising mediums to invite potential contractors and tenderers.

3)      Under this arrangement, the Organisation is subsequently able to negotiate variations to the specification with a preferred supplier.

2. TRAVEL POLICY:        

The objective of having a clearly laid down travel policy is to minimise the programme expenditure incurred on travel and to have an effective system in place so as to prevent misuse of funds and official transport.

• Domestic Travel

1. Air travel should be on economy class only.
2. Prior approval of Manager Finance & Administration or Head of the organisation should be obtained for all travel/tour schedules on the prescribed form before the commencement of the tour.
3. All travel requests should be through the Travel Authorisation Form /application.
4. Availability of funds within the appropriate budget line must be ensured before approving the travel authorisation.
5. Travel advance should be taken from the office up to three days before commencement of travel.
6. All travel expense claims should be made through a memo and addressed to Finance Department and shall be supported by original receipts. Used tickets and boarding card stubs should be handed over to Admin. Department within five working days of returning to the office.
7. Account should be settled within five working days of returning to the office. In case the accounts are not settled within the stipulated time then the advance will be settled against the salary of the employee for that month.

2.2       International Travel

a)         Travel authorisation should be submitted to the Administration & Finance Section at least 14 days before actual travel dates, after obtaining approval of the President /chairperson of the board.

b)         Travel mode should be Economy Class.

c)         The Section should explore for all possible routes available from destination to destination.

d)         All travel expense claims should be made through a memo and addressed to Administration & Finance Section and shall be supported by original receipts. Used tickets and boarding card stubs should be handed over to the section within five working days of returning to the office.

e)         Account should be settled within ten working days of returning to the office. In case the accounts are not settled within the stipulated time then the advance would be settled against the salary of the employee for that month.

f)         All donor requirements relating to international travel should be adhered to.

2.3       Office Transportation & Vehicle Maintenance

1. Office transportation should be used for official purposes only.
2. Private/unauthorised use should be strictly prohibited and any staff member found guilty will be warned / penalised.

c)         All vehicles should maintain separate log books in which travel details and distance should be logged by the driver and verified by the requester. The logbook should be closed daily, signed by the driver and verified by the Administration Department.

• Administration department should also prepare monthly consumption report indicating average monthly consumption and charging to the respective projects at a specified rate.

2.4       Vehicle Inspection and Maintenance Procedure

• The primary responsibility of maintaining the office vehicle would be of the assigned driver
• All office vehicles should be checked on weekly basis.
• Details along with receipts of all repairs and maintenance of each vehicle should be duly entered in the Vehicle Maintenance Record Sheet.   

 (A Vehicle Maintenance form is attached as Appendix-D to this manual)

3.         ASSET DISPOSAL POLICY:       

AssetDisposalPolicy deals with the procedures for disposal of office essentials, equipment and vehicles. The purpose of this policy is to ensure that financial honesty is assured by prescribing a range of appropriate methods for disposal of assets, including, where appropriate, a competitive tendering and contracting process. Two main principles that apply are; the requirement for impartiality and fairness across all stages of the tendering and purchasing process, and; the necessity for obtaining the best possible value for money. Details about Fixed Asset policy is given below.

Fixed Assets Policy

  Purpose:

To carry out its activities, ROSP needs material resources. The quality of these resources is dependent upon how they are used. Material resources are in large part durable goods, which need to be well-managed to be maintained in good condition.

These goods include tables, chairs, shelves, computers and related accessories.

The Fixed Assets Policy will aim for:

• Precise identification of goods that are part of the asset base;

• Sensible use of goods;

• Periodic taking of physical inventory;

• Effective maintenance of goods;

• Replenishment of goods when required.

. Physical check of assets and numbering of goods

Procedures

At ROSP, the management of material resources is the responsibility of the administrative /project manager and administrative / project assistant. The procedures involved in managing these resources are:

• receiving and recording goods;

• using goods properly;

• maintaining goods;

• taking inventory of goods;

• disposing of goods.

Material resources are managed by means of records or files.

Asset inventory

Inventory is done once a year and is the responsibility of the finance department.

Procedures

The inventory procedure is composed of the following steps:

a. Creation of record cards on which is found:

• Type of item

• Description of item

• Identification code

• Service user or name of manager

• assigned location

• Previous placement of item

• Notes on condition of item

• Record updates

• Minutes of physical inventory

b. Final removal of an item

c. Replacement of an item

d. List of annual needs

Removal of items

The inventory procedure described above permits the identification of dilapidated or defective goods whose presence in office presents more inconveniences than advantages, for various reasons:

• Steep rise in operating or maintenance expenses;

• Excessive cost of repair;

• Any other objective reason.

The Vice Chairman will give the authorisation to take out of service, transfer or disposal of any items and that will be noted in the book of assets.

NPO seeking Tax Exemption

For all NPOs seeking tax exemptions it is mandatory that they have a clearly laid out policy on disposal of assets. If an NPO is being dissolved it should transfer all its assets, after clearing its liabilities, to another approved NPO. The dissolved NPO under the law has three months within which the transfer of assets should be completed under intimation to the Commissioner Income Tax. Disposal/transfer of assets can therefore only take place when policy is in place. 

ROSP shall abide by this Law, it is written in ROSP’S Deed.

 

FINANCIAL POLICIES AND PROCEDURES

Sound internal control is best achieved by a clearly defined process.

Finance Policy.

Fund Receipts and

Sources of Funds

ROSP receives funds from the following sources:

i. Dollars /pounds supported project fund (in rupees).

ii. Income from sale proceeds of Village Embroidery Program products from selling outlets and from sale through exhibitions.

iii. Grants, Donations received from philanthropic organisations and individuals (includes Zakat).

 iv. Consultation fees / special program fees and others.

ROSP Core Fund

The following are identified as Organisation’s core programme:

Trust’s administrative expenses (utilities, administrative officer, staff including peon and drivers)

Any programme coming to our Organisation must allocate some funds to support this core programme.

Signatories to Cheque Books:

Three trustees one office bearer will be signatory to Trust’s cheques. Money can be released by any two signatures of these signatories.

(1) Central Account/ current account is maintained.

All income accrued to ROSP will be deposited in the Current Account. The Vice Chairman and Secretary Finance are authorised to operate the bank account. Two signatures of either of these officials will be required for fund disbursement.

(2) Petty Cash Fund

A petty cash fund of Rs 10,000__is kept to cover payments. The Finance Department will handle this account.

The Vice Chairman and Secretary Finance will ensure proper handling of petty cash fund through surprise checks from time to time.

Payment Procedures:

Fund Disbursement

All payments are made either by cheque or cash.

Payment by Cheque

(1) Payment for Purchases

Payment against purchases exceeding Rs 25000 shall be made by cheque.

(2) Payment for Services Rendered

(3) Payments for Staff Salaries

i. Payment Calendar

Staff salaries are paid within seven days following the completion of the month. Individual cheques / cash are to be issued to the employee concerned.

ii. Staff payroll

Staff payroll (salary sheet) is prepared by the Secretary Finance as the basis of payment. The staff payroll contains information on the employees’ basic salary for the month, allowances if any, deductions and net salary payable. The staff payroll is checked by the Secretary Finance and/or Secretary General.

iii. Advance Pay

ROSP’s employees may take advance payment of up to 1 months (after completion of 3 months probation), if urgently required. The advance must be returned / reimbursed before the end of that particular fiscal year.

For travel purposes, ROSP employees shall be given cash advances for expenses covered on official trips. Request for cash advances is prepared by the personnel concerned, recommended by the SF or Secretary General and is approved by the President. All cash advances for travel are to be liquidated within a week following the completion of the trip.

iv. Tax Deduction at Source

ROSP will deduct tax at source where applicable as per Government rules.

(4) Payment for Contractual Services

Payment for contractual services is done through cash. The schedule of payment depends on the Terms of Reference (TOR) agreed upon by the personnel concerned and ROSP management.

 Procedures for Fund Disbursements

• All requests for payments are to be made through vouchers.

• Requests for payments are done through vouchers, to be properly substantiated with bills/receipts and essential documents.

• Requests for payments are prepared by Accountant and submitted to Secretary Finance for checking and approval.

(An Expanse Approval form is attached as Appendix-E to this manual)

 Book Keeping and Record Keeping

 Book Keeping

The recording system of ROSP’s financial transactions allows monitoring bank balances, status of funds receipts and expenditures, and a comparative statement of budget vs. actual expenditure on a regular basis.

ROSP will maintain records of fixed assets, petty cash disbursements, supplies, inventory, the use and maintenance of office equipment. Maintain record in computer.

Accounting

The following sets of financial reports will be prepared by ROSP:

A. Quarterly financial reports will be prepared for review by each individual project manager of specific projects as well as of its core activities. This quarterly report will be reviewed by the Board. Financial reports to donors will be submitted as prescribed in the agreement between donors and ROSP.

B. Annual Balance Sheet and Statement of Income and Expenditures will be prepared for each fiscal year.

 Auditing

*Books of Accounts shall be audited annually by an independent auditor or firm.

*ROSP may hire internal auditor in order to streamline its accounting systems and procedures.

CASH RECEIPTS:

1. Each day the Administrative Assistant/volunteer opens, sorts, and date-stamps all mail. Cheques are endorsed and given to Secretary Finance (SF). Monthly review.

2. The (SF) copies the cheques and posts all receipts regularly into accounting software.

3. A deposit slip is made up from the daily receipts and taken to the bank within 3 working days or if the amount of receipts exceeds Rs 10,000, whichever comes first. A copy of the deposit is kept along with the corresponding check copies and initialed by the (SF).

4. Monthly Cash Receipts Journal is printed from accounting software and reconciles with the deposit slips the assistant to SF then initials the correct amount and keeps a copy.

5. The (SF) then deposits all cash and cheques into the organisation’s operating bank account immediately.

6. Funds received electronically for contributions and grants must be posted in accounting software by (SF) within a week.

7. Bank reconciliations are performed monthly by the (SF). Original bank statements are reviewed.  

8. Cash is disbursed only with receipt or prior approval, or for making change. Petty cash is reimbursed when necessary throughout the year and at fiscal year end. Replenishing petty cash is done through a request form with allocations of all expenses paid and is approved by the Vice Chairman.

PAYMENT PROCEDURES:

1. All original invoices will be stamped with the date of payment, check number, amount paid, and the SF initials. Cheques and accompanying remittance are mailed the same day. The approved Cheque Request and paid stamped invoice are placed in a folder and filed weekly in the vendor’s file after posting.

2. Office supplies: The majority of office supplies are purchased through accounts that are established by either the SF. A list of Vendor accounts will be maintained by the SF and a catalogue and order list are available for all staff requiring supplies. The items requested are reviewed by the SF for cost-effectiveness and need based on supplies already in the inventory. The list is then sent to the Vice Chairman to initial for approval. The supplies are ordered by the SF and all possible discounts taken. Invoices are processed as stated above.

3. Large purchases: For large or one-time purchases such as office equipment, telephone system, or software, the SF researches all information available. The information is then gathered and the best options are proposed to the President, for review and authorization. The order is then placed with invoice being the preferred method of payment.

4. Employee reimbursements expense: Reimbursements are submitted by the employee to the accounts department on a Travel and Expense (T&E) form (for out-of-town travel) or Expense Reimbursement. Record is maintained.

ACCOUNTING REVIEW:

1. A monthly review of all revenues and expenses should be performed by the SF in addition to reviewing the monthly bank reconciliation.

2. A monthly detailed trial balance of all revenue and expense accounts will be generated by the SF and forwarded to the President.

OTHER OPERATIONAL POLICIES:

Communication Policy

Guidelines

Organisation provides the following guidelines to its staff to control telephone use.

a. Telephone users are requested to keep their conversations short in order to keep the cost down and to keep the lines open for other people in and outside the office that need to use the telephone.

b. In general, employees should avoid using phones for non-official calls and are encouraged to use STD/ISD facilities available outside the office. However, the non-official calls will be billed to employees at prevailing rates. To keep track of such calls, a record sheet is provided to each employee working in the office in order to make it easier to remember to record the long distance calls (STD / ISD). All long distance calls should be recorded on this sheet along with all required information and submit to the finance division each month.

c. In order to minimise communication costs as much as possible, email should be used rather than fax or direct long distance calls.

d. Copies of all in-coming and out-going official communications (fax, letters sent or received) should be filed. The employees sending / receiving important e-mails should be responsible to print and file such e-mails. A copy should go in the central file system.

e. Efforts should also be made to keep fax messages short and to send long documents by fax only in urgent cases.

f. Regarding international phone calls, the need for the official call should be discussed verbally with the Executive Director, unless exceptional circumstances make this impractical.

g. Mobile cards given to the employee shall be recorded.

Computer Policy for Office Management

Purpose

ROSP seeks to effectively manage the computer system for guiding the use, maintenance and security of the computer equipment.

a. At least two backups of all important documents will be maintained. One copy shall be on the hard disk of the computer assigned to the concerned employee and a second copy on a USB.

d. The computers will normally be used by its employees. Consultants and volunteers will seek prior permission of ROSP employee before using his/her computer in the office.

e. No misuse of equipment. Not meant for personal use.

Back–ups of Documents

In order to safeguard important documents and other work done by the staff, the back-up directory of the employee shall be backed up on USB once every week (every Saturday) and the USB stored by the employee.

Changes in policies and access of employees to these changes

From the time of hiring each employee will have access to the policies.

The Policies may at any time be subject to modification if the Board of Trustees deems it necessary. In such case employees will be fully informed of the changes made.

Appendix-A: Appointment Letter

Date:

Ms __________

_____________

_____________

Dear Ms________,

With reference to your application and subsequent interview with us, we are pleased to appoint you as __________________ in our organization on the following terms and conditions.

Date of Joining: You have joined us on Date_________________

Salary: Your per month salary would be ___________________

Place/Transfer: Your present place of work will be at ______________

Probation/Confirmation: You will be on a Probation period for 90 working days. Based on your performance your services will be confirmed with the organization in written after a period of 90 working days.

During the probation period your services can be terminated with seven days notice on either side and without any reasons whatsoever. If your services are found satisfactory during the probation period, you will be confirmed in the present position and thereafter your services can be terminated on one month’s notice on either side.

Absence for a continuous period of ten days without prior approval of your superior, (including overstay on leave / training) would result in your losing your job which will automatically come to an end without any notice or intimation.

Leave: You will be eligible to the benefits of the organizations Leave Rules on your confirmation in the organizations Service.

During the period of your employment with organization, you will devote full time to the work. Further, you will not take up any other employment or assignment or any office, honorary or for any consideration, in cash or in kind or otherwise, without the prior written permission of the organization (ROSP).

1. You will not publish any article or statement, deliver any lecture or broadcast or make any communication to the press, including magazine publication relating to the Organizations products or to any matter with which the Organisation may be concerned, unless you have previously applied to and obtained the written permission.

2. You will be required to maintain utmost secrecy in respect of Project documents, commercial offer, design documents, Project cost & Estimation, Technology, Software packages license, organization’s polices, organizations patterns & Trade Mark and organization’s Human assets profile.

3. You will be required to comply with all such rules and regulations as the organization may frame from time to time.

4. Any of our technical or other important information which might come into your possession during the continuance of your service with us shall not be disclosed, divulged or made public by you even thereafter.

5. If at any time in our opinion, which is final in this matter you are found non- performer or guilty of fraud, dishonest, disobedience, disorderly behaviour, negligence, indiscipline, absence from duty without permission or any other conduct considered by us deterrent to our interest or of violation of one or more terms of this letter, your services may be terminated without notice and on account of reason of any of the acts or omission the organization shall be entitled to recover the damages from you.

6. You will not accept any present, commission or any sort of gratification in cash or kind from any person, party or firm or Company having dealing with the organization and if you are offered any, you should immediately report the same to the Management.

7. This appointment letter is being issued to you on the basis of the information and particulars furnished by you in your application (including bio-data), at the time of your interview and subsequent discussions. If it transpires that you have made a false statement (or have not disclosed a material fact) resulting in your being offered this appointment, the Management may take such action as it deems fit in its sole discretion, including termination of your employment.

8. You will be responsible for safekeeping and return in good condition and order any of organisation’s property, which may be in your use, custody or charge.

Please sign and return to the undersigned the duplicate copy of this letter signifying your acceptance.

We welcome you to ROSP and look forward to a fruitful collaboration.

With best wishes,

Designation:       _______________________

Signature:           _______________________

Appendix-B           ROSP PERFORMANCE REVIEW 2022-2024
EMPLOYEE NAME			DEPARTMENT
EMPLOYEE ID			REVIEWER NAME
POSITION HELD			REVIEWER TITLE
LAST REVIEW DATE			TODAY’S DATE
CHARACTERISTICS
QUALITY		UNSATISFACTORY	SATISFACTORY	GOOD	EXCELLENT
Works to Full Potential
Quality of Work
Work Consistency
Communication
Independent Work
Takes Initiative
Group Work
Productivity
Creativity
Honesty
Integrity
Coworker Relations
Client Relations
Technical Skills
Dependability
Punctuality
Attendance
GOALS
ACHIEVED GOALS SET IN PREVIOUS REVIEW?
GOALS FOR NEXT REVIEW PERIOD
COMMENTS AND APPROVAL
COMMENTS
EMPLOYEE SIGNATURE			REVIEWER SIGNATURE

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Three written quotations do not have to be obtained where the goods or services are proprietary (held under patent, trademark or copyright), or are only obtainable from fewer than three suppliers.