Technology Innovations at Grameen Foundation USA
 |
Free Download - Can Technical Service Providers Add Significant Value? By United Nations Capital Development Fund |
By Michael Eber, Program Officer, Grameen Foundation USA
How will easy, affordable and reliable access for a person in a remote village be provided? When will this person have the ability to make a simple one-minute call, send a complaint to the local government, or make a loan payment without undo cost or travel difficulty? The microfinance industry is answering these questions with technological innovations.
With programs like MIS automation, Mifos, and MTN villagePhone Uganda, the Grameen Foundation USA (GFUSA) supports microfinance institutions (MFIs) to improve their overall effectiveness. Microfinance is often considered one of the most effective strategies in the fight against poverty, yet it currently reaches less than five percent of individuals worldwide who could benefit from such services. As microfinance institutions (MFIs) move to scale up their operations, they recognize the need for accurate and comprehensive information for internal planning and a system that will improve their ability to manage funds, sustain their services and maintain accountability to clients and investors. The existing manual and spreadsheet systems widely employed today do not facilitate this information exchange.
GFUSA's approach to automated MIS focuses on installing systems in months rather than years at costs of hundreds of dollars versus thousands of dollars. Prior to automation, a partner's growth was stagnant, with loan officers carrying documents into the field. Often, these were the sole information linking clients' loan information to the MFI. Revision of daily transactions were non-existent, a system of checks and balances could not be completed in less than two weeks, and the executive director did not receive meaningful information to make timely decisions. With an automated MIS, the organization's processes are optimized and efficient, and enable non-sustainable partners to reach self-sufficiency sooner. As a result, each dollar is invested away from administrative tasks and instead, put in the client's hands. The new system is timely and the data is accurate providing easy access to historical data, and providing greater credit monitoring and reporting. These management systems are impacting MFIs and borrowers' lives.
Mifos is a management information system designed to be used by microfinance institutions globally. It is designed to provide a fast and flexible system to better manage large numbers of borrowers. Open Source development offers a credible response to solution development by third party vendors and in-house developers of microfinance operational systems. The grassroots philosophy, low margins, and innovative tendencies of the emerging microfinance industry make it a good match for Open Source Systems development.
For borrowers like Angilina Wandera, these advances are impacting lives. Angilina lives in Buumulimba where she owns a dressmaking shop. When FOCCAS, a villagePhone Uganda partner, provided the opportunity for Angilina to purchase a village phone kit with a microfinance loan under the MTN villagePhone Uganda Project, the entrepreneur accepted. The village phone has turned her dressmaking shop into the height of social activity and increased sales, allowing Angilina to provide for eleven children. Launched in July 2003, MTN villagePhone Uganda currently has 1,500 phones and plans to have 5, 000 phones within the next five years. For a flat rate per minute, villagePhone users are allowed to call anywhere in the world and receive incoming telephone calls for free. The villagePhone saves time, money, and reduces travel costs. The program is now being piloted in Rwanda.
With initiatives like MIS automation, Mifos, and MTN villagePhone Uganda, GFUSA is answering the call of the future.
Technology Innovations at Grameen Foundation USA - To learn more about this author, visit United Nations Capital Development Fund's Website.
Like this article? Share it with your friends
| Article Tags: |
 | |
 |
No article feedback found. |
| |
Leave Your Feedback |
 | |
| |||
|
To learn more about the Evan Elite Author Program please contact us. |
 | |
|  |
Subscribe to United Nations's articles
 | |
|
|  |
 | |
|
| |
 | ||
 |
||
 |
||
 |
||
| ||
 |
| Have you written articles that would be of value to entrepreneurs? Become an expert on our site by publishing them! Expose yourself to a wide audience, drive more traffic to your website and get more sales! Click Here for details. |
|
|
 |
| Modeling the Masters: Learn the true secrets behind Walt Disney's business success factors & grow your company! Video produced by Phanta Media |
|
|
 |
|
Get advice & tips from famous business owners, new articles by entrepreneur experts, my latest website updates, & special sneak peaks at what's to come!
|
|
 |
 SEO Made Easy Press Advertising Hiring An SEO Expert Website Planning Loyalty Strategies |
|
 | ||
 |
Choose A PR Topic
Press Release Builder | |
 |
Write The PR
Press Release Builder | |
| ||
 | ||||
| ||||
|
 | ||||
| ||||
|
|
 | ||||
| ||||
|
 | ||||
| ||||
|
|
|
||||||||||||
 |
|
|
|
 | ||||||||||||
| ||||||||||||
|
|
||||||||||||