edcil, technical support group (ssa), new delhi presentation on financial management assessment tool...

EdCIL, Technical Support Group (SSA) , New Delhi

Presentation on

Financial Management Assessment Tool

30th Quarterly Review Meeting of Finance Controllers

4th – 5th August 2011 ( New Delhi)

By : U.K. Verma ,Consultant (Financial Management)

Financial Management Assessment under SSA



MHRD intends to introduce a system of Financial Management Assessment Tool based on the belief that an efficient and effective financial management system depends on clear, well-understood policies and procedures that well-trained staff follow to accurately record and report all financial transactions and make sound, timely decisions to manage Financial Resources under SSA

We hope, Financial Management Assessment Tool to help Finance Controllers to assess the current capacity of their State, District and Sub-district level offices to manage their finances and identify steps that they can take to improve that capacity


Financial Management Assessment under SSAWhy it is needed?• Financial Management System needs to be improved in view to huge volume of Financial outlays;• Audit Report of SISs indicates needs of scrutinizing chronic deficiencies of Financial Management System under SSA;• Identifying weak areas and preparation of need based remedial inputs to be injected;• Preparing effective FM Action Plan at all levels of implementation



How to be beneficial?• Assess the current status of your capacity to manage financial resources; • Identify changes that you can make to manage your finances more effectively• Make a specific action plan to implement these changes• Monitor for resulting improvements;• Include need based areas to impart intensive training to the finance people at district and sub-district level;



Areas identified under SSA Financial Management:• Accounting System;• Maintenance of Books of Accounts;• Managing Bank Accounts and available funds• Bank Reconciliation Statement• Internal Audit System• Completion of Audit and rendering audit reports and audited accounts• Adjustment of outstanding Advances• Staff Strength and Capacity Building Exercises• Submission of Annual Report



Status Data Collection Format : MHRD to provide a Data Collection Format to all SISs; SISs, after a thorough assessment of status in its State, District and Sub-district level offices under respective fields, will furnish the data within a month; MHRD, after scrutiny of state’s data and to consolidate for its inclusion in National FM Action Plan; Intensive Monitoring of readdresses and progresses.

Now let us see the Data Collection Format and simultaneously explore strategies on availability of Data :



1.1 No. of District Units (DPOs)

1.2No. of Block / Urban Resource Centres (BRCs / URCs)

1.3No. of Cluster Res. Centres (CRCs)

1.4 No. of Schools / SMCs:

PrimaryUpper

Primary

Schools

SMCs

1.5No. of Kasturba Gandhi Balika Vidyalaya (KGBVs)

Sanctioned Opened Yet to Open

1. General Profile :



2.1 Double Entry System on Accrual Basis

( No. of Units Covered)

SPO DPOs BRCs

2.2 Computerized System of Accounting

( No. of Units Covered)

SPO DPOs BRCs

2.3 If Computerized, Name with version of the Accounting Software adopted. Is the same customized as per requirements of SSA or not?

2.4 No. of Licensed Copies of Accounting Software already procured for use at various level

SPO DPOs BRCs

2.5 No. of Licensed copies proposed to be procured for various level during the current year

SPO DPOs BRCs

2. Accounting System



3.1 Indicate the No. of Units where Cash Book, Ledger, Journal, Cheque Issue Register, Advance Register, Bill Register, Stock Register, Fixed Assets Register are maintained and updated

SPO DPOs BRCs

3.2 Indicate the No. of Units where all the above books of accounts are not maintained

SPO DPOs BRCs

3.3 If not maintained, indicate the time line for its maintenance

SPO DPOs BRCs

3. Books of Accounts :



4.1 No. of Units having only one Saving Bank Account each for SSA, NPEGEL & KGBV

UNITs SSA NPEGEL KGBV

SPODPOsBRCs

4.2 No. of Units having more than one Saving Bank Accounts under SSA, NPEGEL, KGBV


SPODPOsBRCs

4.3 Indicate the time line to close the multiple bank accounts


SPODPOsBRCs

4.4No. of Units where Current Bank Accounts are still operative


SPODPOsBRCs

4.5If so, indicate the time line to close the current bank accounts


SPODPOsBRCs

4. Bank Accounts :



4. Bank Accounts :

4.6No. of Units having SSA fund under any Short Term / Fixed Deposit


SPODPOsBRCs

4.7 If so, indicate the time line to close the Term/ Fixed Deposit


SPODPOsBRCs

4.8 No. of Units having SSA fund under single signatory Bank A/c


SPODPOsBRCs

4.9 Indicate the time line to convert the Single Signature to Joint Signature Bank Accounts


SPODPOsBRCs

4.10 No. of Units where action has been taken / being taken to close Non-operational Saving Bank Account(s) if any


SPODPOsBRCs



5. Bank Reconciliation Statement :5.1 No. of Units carrying out Bank

Reconciliation on monthly basis in respect of all Bank Accounts

UNITs SSA NPEGELSPO

DPOsBRCs

5.2 No. of Units where Bank Reconciliation is not being carried out on monthly basis in respect of all Bank Accounts

UNITs SSA NPEGELSPO

DPOsBRCs

5.3 Indicate the no. of units where Bank Reconciliation Statement is not prepared on monthly basis

UNITs SSA NPEGELSPO

DPOsBRCs

5.4 If so, indicate the time line to prepare all outstanding Bank Reconciliation Statement

UNITs SSA NPEGELSPO

DPOsBRCs



5. Bank Reconciliation Statement :5.5 Indicate the No. of Stale cheques

available in each unit UNITs SSA NPEGEL KGBVSPO

DPOsBRCs

5.6 Indicate the time line to cancel these stale cheques

UNITs SSA NPEGEL KGBVSPO

DPOsBRCs

5.7 Have you imparted any training on the preparation of Bank Reconciliation Statement at each unit?


DPOsBRCs

5.8 Indicate the time line to impart training at each unit


DPOsBRCs



6. Internal Audit :6.1 Is Internal Audit System in place? If

yes, through which agencies internal audit is conducted (CA / State Govt. Dept./ In-house Internal Audit Cell)

6.2 No. of Units covered under Internal Audit for the financial year 2010-11

SPO DPOs BRCs CRCs/ SMCs

6.3 Has the SIS engaged agencies for Internal Audit for 2011-12? If yes, No. of agencies engaged.


6.4 No. of units where Internal Audit is carried out on Concurrent basis (Quarterly / half yearly )


6.5 Do you think the existing system of Internal audit is satisfactory and effective in commensurate with the size of financial transactions in your state. If not, what steps the SIS has planned to make it more effective.



7. External Audit :7.1 Has Statutory Auditor(s) for the year 2010-11 been appointed; if not,

when the processes of such appointment are expected to be completed.

DPOsBRCs

7.2 Has proposals for Appointment of Statutory Auditors for 2010-11 placed before the State Executive Committee for approval?

7.3 Are the Audit objections included in the Statutory Auditor’s Report / Accountant General Audit Reports being entered in the register to be maintained in the Format given in Annex XXIV of the FMP Manual?

7.4 Is Compliance with the objections being reported to the Auditors and verified by them at the time of subsequent years audit?

7.5 Is the progress made on the settlement of audit objections as well as outstanding audit objection for settlement being reviewed by the SPD on a regular basis?

7.6 Is the compliance of audit objections being reported by SIS to MHRD, GOI regularly on quarterly basis in the format given in Annex XXV of the FMP Manual

7.7 No. of SMCs receiving more than Rs. 1 lakh per year covered under CA Audit up to 31st March 2011

2008-09 2009-10 2010-11SMCs eligible for AuditNos. of SMCs covered under Audit



8. Outstanding Advances :8.1 Total amount of

outstanding advances as per the Audited Accounts as on 31st March 2010 (Rupees in lakh)

StaffGovt. agencies

Non-govt. agencies

BRCs/ CRCs/ SMCs

Civil Works

Teachers Salary

Total

SSA

8.2 Total Outstanding Advances (Un-Audited figures) as on 31st March 2011 – (Rupees in lakh)

StaffGovt.

agenciesNon-govt. agencies

BRCs/ CRCs/ SMCs

Civil Works

Teachers

SalaryTotal

8.3 Has SIS prepared action plan to make adjustments of all outstanding advances

8.4 If not, indicate the time line to adjust the outstanding advances



9. Staff Strength & Capacity Building :9.1 Staff strength in

Finance & Accounts unit at various level;

SPO DPO BRCsTotal sanctioned strength in Finance /Accounts No. of Finance & Accounts Staff in position

9.2 Has SIS prepared any action plan for recruitment of Finance & Accounts staff against the vacant positions

9.3 If not, by when such recruitments are expected to take place

9.4 Has SIS imparted Accounts Training to all Finance & Accounts Staff during the Financial Year 2010-11? If yes, furnish the various subjects on which training was imparted.

9.5 No. of Man-Days Training imparted to Accounts Staff during 2010-11

SPO DPO BRCsMan- Days Accounts Training imparted Nos. of Finance & Accounts Staff to whom training given



10. Annual Report :10.1 State the financial year up to

which Annual Report was submitted to MHRD

10.2 State the status of pending Annual Report indicating the expected date of its submission to MHRD

Years for which

Annual Report is pending

Expected date of

Submission to MHRD

Remarks, if any on actual

status of preparation

2005-06

2006-07

2007-08

2008-09

2009-10

Signature Signature

Finance Controller State Project Director



Now Its our

RIGHT !Put the Resources at correct places

…..

Thank You ….

edcil, technical support group (ssa), new delhi presentation on financial management assessment tool...

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