You are on page 1of 44

SOUTHASIAPARTNERSHIP

PAKISTAN i



SOUTHASIAPARTNERSHIP
PAKISTAN ii




South Asia Partnership Pakistan

Submitted to:
Mr.Shoaib Aslam
Submitted by:
Numera Saleem
Roll No. 12
MSc Accounting & Finance
Session 2012-2014
DEPARTMENT OF COMMERC

SOUTHASIAPARTNERSHIP
PAKISTAN iii




Acknowledgement


In The Name of Allah the Most Gracious and the Most Merciful. I want to show
my gratitude to my loving Parents and teachers who made me able to be at this
position. Also thankful to all the staff members at South Asia Partnership
Pakistan.


SOUTHASIAPARTNERSHIP
PAKISTAN iv

List of Contents
Sr # Description Page #
Department Letter i
Acknowledgement ii
Supervisor Details iv
2 2
nd
Chapter: Review
1 Objectives of Studying the Organization 1
2 Introduction 2
3 Overview of organization 4
4 Vision 4
5 Mission 4
6 Goals 4
7 Strategic Thrust 4
8 Major Stakeholder 5
9 Management 5
9.1 Scope of South Asia Partnership 5
10 Organizational Structure in Bahawalpur 12
10.1 Overview of Department 13
10.2 Current Project 13
10.3 Bahawalpur Area of Work 14
10.4 Financial & Accounting Policies & procedural Manual 15
10.5 Plan of internship Program 34
10.6 3
rd
Chapter : Review
10.7 Summary of Report 37
10.8 Conclusion 38
10.9 References 39
10.00 Annexure 40

SOUTHASIAPARTNERSHIP
PAKISTAN v

Internship supervisor Detail

MrShehzadMushtaq
Designation District Admin & Finance Officer
Education M.Com (Finance)
Institution TheIslamia University Bahawalpur
Contact # Office 0622883080
Cell # 03326053853
Email Bahawalpur@sappk.org
Postal Address House # 6A Johar colony Modal Town B Bahawalpur




SOUTHASIAPARTNERSHIP
PAKISTAN 1

Objective of studying the organization
The Internship Program is intended to provide hands on experience to post
graduate/graduate students (both local and expatriate) in the final year of their
academic studies from a recognized institution. It offers learning/training
opportunities in various aspects of multilateral technical cooperation. The
Internship Program intends to acquaint interested persons in the development
sector with SAP-PK.
Eight weeks internship with SAP-PK Bahawalpur has the following objectives:
To fulfill the internship requirements as set by The Islamia University of
Bahawalpur.
To gain practical experience by combining theories with practical world
To understand the day-to-day working of organizations
To learn the decorum and norms of organization
To develop the habits of working for organization and eliminate
carelessness and lethargy
To become aware of organizational documentation
To make student ready for upcoming challenges of professional life, just
approaching


SOUTHASIAPARTNERSHIP
PAKISTAN 2


Introduction
As member of South Asian civil society movement, is striving to empower
marginalized sections of society and working to influence policies in favor of
people.
SAP-PK derives its name from a regional network, i.e., South Asia Partnership.
This is a volunteer network of participatory development-support organizations
operating under the same name and for the same purposes in Canada and four
South Asian countries, i.e., Bangladesh, Nepal, Pakistan and Sri Lanka. It has
some presence in India as well, through a collective form of three different
organizations. All these organizations and Sri Lanka Center for Development
Facilitation collectively form SAP-International. SAP-PK initiated its work with
the following two-pronged understanding that development was:
A process of enabling people by engaging them in participatory
initiatives.
Helping them realize their full human potential.
In SAP-PKs vocabulary, the meaning of full human potential is not restricted
only to economic development. It has a more holistic significance of livelihood
related wellbeing coupled with social and political betterment. From this flows the
struggle for rights-based concessions, especially for minorities, women and other
under-privileged and marginalized sections of society. This latter is the second
most important component of our philosophy. SAP-PK thus began as a support
organization for rural community projects with funding from CIDA and a number
of other donor agencies. This was like beginning at step two without having taken
the first step, that is, of preparing the beneficiary community or group for the task
expected. Though some of SAP-PKs partners had been working in their
respective communities for several years (in some cases for decades), as noted
above the concepts of participatory development were yet alien to them. It was
quite common in the beginning to hear of a CBO receiving funds for a specific
project but ending up employing them in non-developmental exercises. While

SOUTHASIAPARTNERSHIP
PAKISTAN 3

sincerity of purpose and integrity were never questionable, understanding of the
principles of participatory development was certainly missing.
It was therefore very clear that individuals running community-based
organizations werenot yet ready to start receiving financial aid. SAP-PK
recognized that mere goodintentions on the part of the managers in beneficiary
communities were not going tosuffice, that the greater imperative was the building
of their capacity. This then was theorigin of the Resource Development Program.
Everything else that SAP-PK eventuallyachieved flowed from it.





SOUTHASIAPARTNERSHIP
PAKISTAN 4

Overview of Organization
Vision:
South Asia Partnership Pakistans vision is to create an engendered, critical
society in South Asia based on the universal principles of human dignity, justice,
democracy and peaceful coexistence.
Mission:
The mission of South Asia Partnership Pakistan is to create enabling
environment for participatory governance and sustainable collective action for
peace, human security and regional cooperation at South Asian level, through
organization of the marginalized sections of society and development of their
capacities.
Goals:
Create enabling environment for democratic governance and effective
citizens participation through informed and effective voice of the poor,
especially workers and peasants.
Facilitate pro-people civil society initiatives at national, regional and
global levels promoting collective actions for peace, justice, human
security and livelihood.
Increase sensitivity and harmony among people; actions against structural
violence in our society through peaceful means and movements.
Contribute to pro-people collaborations between and among international
organizations on important international concerns.
Strategic Thrusts:
SAP-PKs initiatives are based on its development philosophy that people are at
the center. This understanding helps SAP-PK design its programs around the basic
and strategic needs and fundamental rights of the people, especially who are

SOUTHASIAPARTNERSHIP
PAKISTAN 5

disadvantaged and unheard. Following thrusts are the basis of SAP-PKs national
and regional programs:
Democratic Governance;
Poverty and Sustainable Livelihood;
Human Security and Safe Environment;
Peace and Regional Cooperation;
Gender and Development;
Major Stakeholders:
Male and Female Workers (including those who are
semi-employed or employed in the informal sector)
Farmers, both male and female
Religious Minorities
Elected Representatives and State Officials
Civil Society Groups, especially Media and Lawyers
Youth Groups
Management





Scope of South Asia Partnership Pak (programs)
The SAP-PK works through direct delivery of services, by creating active
partnerships. The Organization believes that development of programs is a long-
term investment. We recognize that it may take years - and sometimes decades -
Board Member
General Body National Council
Chairperson Treasurer Members

SOUTHASIAPARTNERSHIP
PAKISTAN 6

to achieve significant positive changes in social indicators The SAP-PK is focused
on the following core programmatic areas in thelong term.

Poverty and sustainable livelihood
Gender Justice
Humanitarian Response
Regional Networking
Peace and Human Security
Poverty and Sustainable Livelihood
SAP-PK believes that road to democracy and prosperity passes through rural areas
and unless rural communities have alternative options of livelihood, hardly
anything can be expected from them. And this is why livelihood is a development
priority for SAP-PK. We also believe that poverty in Pakistan is a highly gender
biased phenomenon because when it hits, it is girls and women who have to
compromise their food intake, health, education and social and political mobility
first, and this quagmire soon widens to engulf the entire population. And this is
why womens livelihood is key thrust in SAP-PKs interventions regarding
poverty alleviation and sustainable development.
SAP-PKs Combat Strategies
Form and strengthen peasants and workers groups and networks at district,
provincial and national level
Improve existing sect oral and managerial skills of peasants and workers
groups
Provide financial support for their livelihood schemes
Develop linkages with agricultural research institutions and agricultural
universities
Develop and disseminate info kits, research papers and dossiers on poverty
and sustainable livelihood


SOUTHASIAPARTNERSHIP
PAKISTAN 7

Objectives
Improve well being of poor through formation and strengthening of
peasants and workers institutions and supporting livelihood rights
Demystifying knowledge and Information to benefit informed advocacy
and actions
Pro-Farmers, workers and women legislations
Peace and Livelihood for Rural Poor (PLRP)
South Asia Partnership Pakistan (SAP-PK) has been working to uplift the
socio-economic and political status of the poor communities especially
women, minorities and rural youth for the last twenty years. SAP-PK is very
much interested in building community models in proposed 8 districts. All
proposed interventions of this program will be clubbed together to reflect a
visible change. For this purpose, SAP-PK will adopt the following strategies
and methodologies to keep smooth functioning of the program.
Gender Justice
Gender justice is a core value of SAP-Pakistan (SAP-PK) that cuts across the
organizations entire structures and programs in terms of a theme itself. Apart
from the fact that gender is mainstreamed in SAP-PK, we also have an
independent desk for policy guidance and review of gender aspects in all of our
projects, managements and reporting.
Key Elements of SAP-PK's Gender Justice Approach
1. Womens equal status in family, active participation in public life, and in
the processes of decision making.
2. Women economic empowerment and recognition of social and economic
contribution

SOUTHASIAPARTNERSHIP
PAKISTAN 8

3. Addressing practical needs like health, nutrition, water and sanitation as
well as strategic needs of women including education, awareness,
leadership, political participation
4. Enabling them to combat violations through support structures at
community levels
5. Collective actions on women friendly laws and policies Engendering
governance and politics.
SAP-PKs thrust on the give theme is propelled by the philosophy that
sustainable development is hard to achieve without equal participation of women
and men in political, social and economic life. It is recognition of the fact that
patriarchal structures, attitudes and practices prevailing in our society have created
imbalance and triggered worst forms of violence towards women because of their
vulnerability and unless justice is achieved in approaches, values and models
sustainable development remains farce notion.
Gender Justice Strategy
In order to ensure gender justice, SAP-PK has adopted following strategies:
Development of intellectual and practical capacity of community groups,
NGOs, civil society organizations such as media, lawyers association,
trade unions and political party activists.
Increase in public awareness through electronic and print media, research,
forums and public rallies.
Lobbying and advocacy for pro-women laws, policies and practices.
Provision of moral and legal support to women survivors of violence.
Building of linkages of grass root initiatives with National and Regional
gender justice networks.
Humanitarian Response
SAP-PK is honored to have immense support from local organizations in our
humanitarian response. Besides our provincial offices and partner NGOs, we also

SOUTHASIAPARTNERSHIP
PAKISTAN 9

have support from District Resource Centers, District Focal Groups, Peasant and
Workers Groups (PWGs) and other community based networks that we have
formed in this decade. There are about 400 PWGs and 43 District Focal Groups
and 43 District Resource Centers which continue to assist us in our work on
voluntary basis. Estimated 10,000 activists and 2,000 volunteer groups currently
support us.
SAP-PK is among the organizations that responded early and deployed its
resources in several flood affected districts since October 2010. We chose 25
districts for our operations on the basis of the estimates of accumulative loss of
life, property and livelihood. Recent floodwaters displaced million of them, ruined
hundreds of thousands of houses, destroyed million hectares of agricultural,
washed away infrastructure including roads, bridges, railway system, irrigation
system, health facilities and livestock. Those who were already living the margins
now face the worst form of hunger, disease and unemployment.
Objectives of SAP-PKs Humanitarian Response
Provide affected people with relief, early recovery and rehabilitation
services/initiatives and facilitate them in linking them with other support channels
and programs Engage and mobilize community based networks and civil society
organizations with advocating restructuring the state institutions and polices
Improve the efficiency of ongoing relief and rehabilitation programs through
implementing an efficient monitoring system
Regional Networking
Regional networking in itself is one of the thematic areas for SAP-PK in its
struggle to strengthen democracy, peace and human security in South Asian
region. To implement this, SAP-PK operates in an autonomous arrangement
developed with SAP International. SAP International is based in Kathmandu. The
network is operational in Afghanistan, Bangladesh, Sri Lanka, India and Nepal. In
Pakistan, it is present in the form of SAP-PK.

SOUTHASIAPARTNERSHIP
PAKISTAN 10

In regional networking, SAP-PK collaborates with a number of civil society
organizations, social movements and networks. We are also a member of
1. South Asian Peace Alliance (SAPA)
2. South Asian Small Arms Network (SASA Net)
3. South Asian Peoples Summit (SAPS)
4. World Social Forum (WSF)
5. Pak-India Peoples Forum for Peace and Development (PIPFPD) and
6. Women Initiative for Peace in South Asia (WIPSA)
SAP-PK is also part of South Asian Peoples Summit. South Asian Peoples
Summit is SAPs initiative parallel to the official SAARC summits to help voices
of the people of South Asia reach the policy formulating bodies. It is an assembly
of activists, social workers and representatives of humanitarian civil society
organization of South Asia to build consensus and solidarity among the civil
society organizations, social workers and activists of South Asia.
SAP-PK along with other SAPs through SAP-International has been taking policy
level initiatives for major reforms in the region. The agenda includes:
i. democratic process within the political parties;
ii. independence of Election Commission for greater participation of
marginalized sections, women and religious minorities in the political
process;
iii. free and fair elections and
iv. Representation of excluded sections in the elected parliaments.
Peace and Human Security
The political instability in Pakistan for the past many decades is the parent of all
evils. From liberal and progressive point of view, it is certainly the absence of
democracy due to which insecurity, conflict and extremism have spread out their
tentacles and made Pakistan a hostage. In a bid to make Pakistani secure, it is
irony that we have become insecure.

SOUTHASIAPARTNERSHIP
PAKISTAN 11

SAP-PK is of the considered view that peace and human security serve as plinth
for any society to grow at if it has to grow at all. A lot of efforts are in fact now
required to reboot the state and reclaim governance from the myopic
establishment and minion zealots in the interest of the 170 million people and
billions of people living in the region. We believe that education on peace,
democracy and accountability and transparency feature central in any attempt to
regain Pakistan. This is why SAP-PK has been mobilizing communities and
national civil society to be part of peace and human security agenda in their
individuals and collective capacities since we started off.


SOUTHASIAPARTNERSHIP
PAKISTAN 12

Organizational Structure and Its Implementation In
Bahawalpur
In my very short stay at South Asia Partnership Pakistan Bahawalpur I come to
know that, the organization is organized as per the describe structure. It is consists
of following department


























District Coordinator
MrsTabindaJabeen
ACCA

Finance &
Admin
Department


Mr.ShehzadMus
htaq
M.com
Finance
managmmaMan
ager


Mr. Saeed
Office Atended

Mr.Shehzad
Security Guard
Program
Department
Mr. Hafeezulhaq
M.A Political Sci
M.A General Sci


Mrs. NadiaRasool
M.A Media
Studies


Mrs. HinaUsmani
M.A English
M.A Education

Monitoring &
Evolution
Department
NumanNaseer
M.A Political
Science


SOUTHASIAPARTNERSHIP
PAKISTAN 13


Overview of Department

Finance and Admin
In this department there is 3 people involve Finance manager responsible for the
all financial service like payment, receipt, deal with the bank, prepare monthly
report. Day to day cash reconciliation statement, voucher posting in oracle
Weismann.Maintain the advance to the employees, maintain daily time sheet,
prepare all necessary document relates to the project, get approval from
headquarter for any new purchase of asset and also claim for the expense in the
office.
Admin include an attended and security guard attended responsible for maintain
the attendanceregister. Call register .generator and bike log book and also
responsible for provide all vouchers to the finance manager.

Program Department
It is consists of three people they are arrange all meetings and seminar for the
purpose of awearnace of any issue. They are work according to the order given by
the district coordinator. They also prepare event report which is submitted to the
headquarter. They also visit to different forum for collecting data and maintain
their documentation.

Monitoring & Evolution Department
It is consists of 1 person which is responsible for monitoring the overall activity of
the office and give report to the main office. This department also evaluates the
activities of the office. This department coordinates with the district coordinator
and mail to head office for all the activities done by the regional office.
Current Project
The AAWAZ program is a five-year Voice and Accountability program to
strengthen civil society, funded by DFID and managed by DAI. It will work to

SOUTHASIAPARTNERSHIP
PAKISTAN 14

strengthen democratic processes in Pakistan to make them more open, inclusive
and accountable to citizens. The AAWAZ program is facilitated by a Management
Organization Office, established by DAI, responsible for ensuring coordination
among the implementing partners; consistent, high-standard technical quality
backstopping that meets program objectives and deliverables; and, overall
financial management and compliance with DFID procedures. The program has
three distinct components in Consortium A; Gender, Conflict Resolution and
Citizens Engagement, to be implemented in 45 districts across Punjab and
Khyber-Pakhtunkhwa provinces.
AAWAZ will work with civil society and governments at local, provincial and
national levels. The areas of activity under the first three outputs will be closely
linked to each other, to ensure that women and other marginalized groups become
more strongly encouraged in community processes and decision making, gain
political voice and are able to articulate priorities.
The goal of AAWAZ is a stable, tolerant, prosperous and democratic Pakistan
which meets the basic needs of its people and achieves the MDGs. The outcome
of the program is that democratic processes in Pakistan are more open, inclusive
and accountable to citizens by 2017.
AAWAZ aims to achieve this by reducing violence against women, and increasing
the safe participation of women and other excluded groups in politics and
governance structures and government. AAWAZ aims to enhance tolerance of
diversity and strengthen the capacity of communities to resolve disputes
peacefully without resort to violence, and work constructively together to solve
local problems and improve service delivery.
BahawalPur Areas of Work
In Bahawalpur SAP-PK work on the AWAAZ Accountability Program . In
Bahawalpur it works in different areas of Bahawalpur which include
KelaDrawar,ChananPeer,YazmanCity,JamraniKona, JamalChannar,Marri Sheikh
Shajra ,7/BC,SajidAwanTow,Islami Colony .

SOUTHASIAPARTNERSHIP
PAKISTAN 15



Financial & Accounting Policies and Procedural Manual
Objective & Scope:
Procure to Pay is the process of ordering, receiving and paying for goods/
services from a financial perspective. It is one of the key activity cycles which
initiate the operating activities of the entity. Procure to Pay process have the
following main objectives:
To provide an uninterrupted flow of materials and services for operations
To find reliable alternative sources of supply
To buy the best value: a combination of right quality at the best price with the
best supplier service.
Requisition & Procurement To maintain beneficial relations with vendors
To make timely payments to vendors and obtain volume and early payment
discounts.
Procure to Pay cycle includes the following activities:
Sourcing & Contracting: This includes developing a procurement plan,
identifying sourcing requirements identifying vendors and implementing and
managing contracts.
: This is the process of requesting and ordering goods and services. Key
activities include:
i). Request and approval of requisitions,
ii). Creation and management of Purchase Orders.

SOUTHASIAPARTNERSHIP
PAKISTAN 16

Receiving: Receiving encompasses physical receipt of goods and services,
documentation of receipt, and research and resolution of exceptions.
Accounts Payable: This includes receiving the invoice for goods and services
requisitioned and purchased, validating the invoice, approving the invoice,
managing exceptions and paying the invoice.
Receiving & Rejection:
Fixed Asset:
Inward Gate Pass (IGP)
Gate Keeper will create IGP on arrival of assets at the SAP-PK office and will
send copy of IGP to finance department.
Goods Acceptance Report (GAR)
After the preparation of IGPs goods will be transferred to Manager Admin /
Admin Officer at regional office.
After examination of the asset with respect to Quality Quantity and
Specification Goods Acceptance Report (GAR) will be issued by MA.
Admin Officer can take help of Regional Finance coordinator / Regional
Manager while quality testing.
Goods Receipt Note (GRN)
After receiving Asset and issuance of GAR, Manager Admin (MA) / Admin
Officer at regional office will issue Goods Receipt Note (GRN) GRN,
GAR and Invoice (if Available) will be forwarded to Finance and Admin
Department for invoice processing and Asset Booking.
For Partial Receipts separate GRNs will be issued and Asset will be booked
according to the GRN date.


SOUTHASIAPARTNERSHIP
PAKISTAN 17

Printing & Publishing:
Inward Gate Pass (IGP):
On receipt of materials at gate, the gate keeper will prepare an inward gate pass
which shall be approved by the Admin Officer (AO). A copy will be sent to the
Admin Department for record purpose.
Goods Acceptance Report (GAR):
The gate keeper shall inform the CP about Items that have been received at gate.
An inspection report shall be generated after the detailed inspection and shall be
initialed by the CP. A copy of the report shall be submitted to the Manager
Admin (MA).
Goods Received Note (GRN):
On receipt of inspection report MA shall verify the items physically and match
them with the relevant PO, and issue GRN immediately.
The GRN shall be approved by Finance Manager (FM) / Regional Finance
Coordinator. PO log book shall be updated immediately after the issuance of
GRN.
Stationery & Small IT Equipments:
For details procedures on receiving and rejection please refer to Inventory
Management Section- Material/Goods Receipt Sub-section Stationery
items.
General Office Supplies & Janitorial Items:
On receipt of items, inward gate pass-Office Supplies shall be prepared by the
gate keeper which will be initialed by the Admin Officer (AO).
The items will be handed over to AO who will keep them in safe custody. No
GRN shall be prepared for the General Office Supplies & Janitorial Items.


SOUTHASIAPARTNERSHIP
PAKISTAN 18

Invoice Processing and Payable Booking:
Fixed Asset:
Booking of Accounts Payable:
Accounts payable shall be booked on receipt asset i.e. GRN date, Manager
Admin (MA)/ Admin Officer (AO) shall submit GRN to Finance Manager
(FM) / Regional Finance Coordinator (RFC) along with the copy of supporting
documents. The supporting documents shall comprise the following:
Asset Procurement Proposal (APP)
Quotations
Comparative Statement (CS)
Purchase Order (PO)
Goods Acceptance Report (GAR)
Vendors Invoice (if available)
Finance Manager (FM) / Regional Finance Coordinator shall examine the
supporting documents thoroughly and in case of any discrepancy the payable shall
not be booked unless the objection is removed.
Settlement of Accounts Payable:
A Bill payment request form shall be raised by the Manager Admin
(MA)/Admin Officer (AO). For details of the procedure for payment refer to
Cash & Bank- Section Cheque payments.
Advance to Suppliers:
Refer to Cash & Bank- Section Advance to Suppliers for details.



SOUTHASIAPARTNERSHIP
PAKISTAN 19


Services:
Booking of Account Payable:
Accounts payable for services shall be booked on the basis of the service
providers invoice along with the supporting documents. The supporting
documents shall comprise the following:
Quotations
Comparative Statements (CS)
Purchase Order (PO)
Contract/Agreement
Finance Manager (FM) shall examine the supporting documents thoroughly and
in case of any discrepancy the payable shall not be booked unless the objection is
removed.
Settlement of Accounts Payable:
A Bill payment request form shall be raised by the Manager Admin (MA) /
Admin Officer (AO). For details of the procedure for payment refer to Cash &
Bank- Section Cheque payments.
Advance to Suppliers:
Refer to Cash & Bank- Section Advance to Suppliers for details.




SOUTHASIAPARTNERSHIP
PAKISTAN 20


Printing & Publishing:
Booking of Accounts Payable:
Accounts payable for printing and publishing shall be booked on receipt of goods
and preparation of Goods Receipt Note (GRN). Manager Admin (MA) / Admin
Officer shall submit GRN along with the supporting documents to Finance
Manager (FM) for invoice processing and booking. The supporting documents
shall comprise the following:
Quotations
Comparative Statement (CS)
Goods Acceptance Report (GAR)
Purchase Oder (PO)
Vendors Invoice (if available)
Finance Manager (FM) shall examine the supporting documents thoroughly and
in case of any discrepancy the payable shall not be booked unless the objection is
removed.
Settlement of Accounts Payable:
A Bill payment request form shall be raised by the Manager Admin (MA)/
Admin Officer. For details of the procedure for payment refer to Cash & Bank-
Section Cheque payments.
Advance to Suppliers:
Refer to Cash & Bank- Section Advance to Suppliers for details


SOUTHASIAPARTNERSHIP
PAKISTAN 21


Stationery & Small IT Equipment:
Booking of Accounts Payable:
Accounts payable for Stationery & Small IT equipment shall be booked on the
basis of Stationery Receipt Form along with the supporting documents from Asst.
Finance Officer (AFO). The supporting documents shall comprise the following:
Quotations
Comparative Statement (CS)
Purchase Order (PO)
Vendors Invoice
Finance Manager (FM) / Regional Finance Coordinator (RFC) shall examine
the supporting documents thoroughly and in case of any discrepancy the payable
shall not be booked unless the objection is removed.
Settlement of Accounts Payable:
A Bill payment request form shall be raised by the Asst. Finance Officer (AFO).
For details of the procedure for payment refer to Cash & Bank- Section Cheque
payments.
Advance to Suppliers:
Refer to Cash & Bank- Section Advance to Suppliers for details.




SOUTHASIAPARTNERSHIP
PAKISTAN 22


General Office Supplies & Janitorial Items:
Booking of Expense:
The general office supplies and janitorial items shall be expensed in the
accounting system immediately. Expense shall be booked by the finance and
admin department on receipt of goods and invoice.
Advance for Expense:
Refer to Cash & Bank- Section Advance for expense.
Responsibilities of Key Management Positions
Executive Director (ED)
Signatory authority on the transfer letter to bank.
Approve leaves in excess of leave policy.
Approves advance salary as per the policy.
Approve reimbursement of the medical expenses and hospitalization expense
in excess of the policy.
Approve salary increments.
Approves leave application of the high rank officials (Manager and above).
Deputy Director (DD)
Sign Bank Transfer Letter and Salary Cheque in the absence of any of the
other two authorized signatories.
Acts as acting Executive Director in the absence of Executive Director.
Controller Finance (CF)
Review and approve the salary sheets of the organization.
Sign off bank transfer letter and cheque for disbursement of salaries.

SOUTHASIAPARTNERSHIP
PAKISTAN 23

Approve advance salary as per the policy.
Approve leaves of Finance Staff.
Finance Manager (FM)
Check salary sheets and salary reconciliation prepared by HR.
Dispatch approved/signed cheque and salary details to bank for disbursement
of salary.
Human Resource Manager (HRM)
Update employees record in case of new hiring/transfers in payroll module of
accounting software along with supporting documents.
Update employees record in case of retirement, termination or separation in
payroll module of accounting software along with supporting documents.
Update employee database in payroll module of accounting software in case of
changes in salary structure.
Update employees personal information in case of any change.
Enter monthly attendance record of employees in payroll module of
accounting software.
Maintain complete master data of the head office and regional office
employees.
Prepare monthly payroll of employees for National Office/Regional Office
employees.
Calculate the payroll deductions as per the policy and applicable laws.
Process payroll of employees in payroll module of accounting software.
Generate salary sheet and payroll reconciliation for review and approval of
designated authorities.
Carry out all the related activities for hiring or firing employees.
Approved staff advance salaries, medical and hospitalization cases as per
policy.
Advertise new positions and conduct interview.


SOUTHASIAPARTNERSHIP
PAKISTAN 24

Regional Finance Coordinator (RFC)
Act as bank signatory at regional office level.
Responsible for disbursement of salaries.
Approve leaves for regional office staff.
Note: In case of absence of any one of the two signatories (Program Manager/
Regional Finance Co-ordinator), program officer is authorized to sign the cheques.
Finance Officer (FO)
Prepare and send bank transfer letters of employees salary along with account
details to the relevant bank for transfer of salary.
Admin Officer (AO)
Maintain and update the daily attendance record of employees.
Maintain and update leave record of employees.
Gate Keeper (GK)
Record daily attendance of employees on gate register.
Detailed Procedures and Process Flows for:
Updating Employee Database
A comprehensive database of all employees and internees will be prepared by
Human Resource Manager based on the information available in payroll
module of accounting system.
For every new employee, the Human Resource Manager will create new
employee in payroll module of accounting system by posting following
necessary information:
1) Personal Information (Employee Name, Fathers/Husbands name, CNIC,
DOB, Gender and Home Address etc.)
2) Allocation of Staff code in payroll module of accounting system.

SOUTHASIAPARTNERSHIP
PAKISTAN 25

3) Hiring Information (date of joining, branch office, gross salary, probation
period)
4) Assign salary group to the Employee as per agreement/contract.
Any update or change in the database of existing employees will be made by
the Human Resource Manager on receipt of written approval of from the
relevant Regional Manager, Manager, Project Coordinator or any other
relevant authority along with the supporting evidence of such modification.
Employee Attendance
All employees irrespective of their grades shall mark their attendance on
biometric device using thumb/finger impressions.
Access to attendance record of this biometric device shall be only available to
Human Resource Manager, Manager Finance and Controller Finance.
Attendance marked till 9:30AM will be considered as On Time and after this
time system will mark late attendance of that employee.
Manual punching of attendance should also be in place other than biometric
system and manual attendance should be recorded by the admin officer for all
the employees.
Attendance Reconciliation
A formal reconciliation of manual attendance register with the attendance
record of biometric system shall be performed by Admin Officer, so that the
payroll should be calculated according to the actual working days of the
employee.
Admin Officer will prepare the final attendance sheet in excel after
reconciliation of both records (register and biometric) and get it signed by
Human Resource Manager.
HR Department will be responsible for preparing Payroll Trend Analysis
Report on 26
th
of each month. This report will contain amount of payroll of an
employee for the last 12 months, total no. of employees on payroll in these
months and average monthly salary per employee. This report shall be

SOUTHASIAPARTNERSHIP
PAKISTAN 26

circulated to Controller Finance, Executive Director and Deputy Director for
review and analysis.
Payroll Processing
Salary Period
The Salary period for the purpose of payroll preparation will start from the 26
th

day of the preceding month and end on the 25
th
of the current month. CF can
decide a different salary period with the approval of ED that should be
followed consistently.
Payroll Preparation
Human Resource Manager will enter employee attendance in the payroll
module of accounting system on the basis of that reconciled attendance report
prepared by the Admin Officer.
The HR department will prepare the salaries of the employees on the basis of
updated attendance record in the payroll module of accounting system by
Human Resource Manager.
The HR manager shall calculate the amount of deductions required to be made
while finalizing payroll. These deductions will include EOBI, Income Tax,
advances and unpaid leaves (if any).
Once the payroll is finalized by the HR manager, a salary sheet shall be
generated from payroll module of accounting system and will be sent to
Finance Manager to check all calculations/deductions and forward to
Controller Finance along with the Trend Analysis Report for verification. CF
shall verify unusual monthly variance in Trend Analysis Report before signing
off salary sheet.
After sign off from Controller Finance, Finance Officer (FO) will prepare bank
transfer letter for direct transfer of salary into their respective bank accounts
and cheques for the employees without bank accounts and get approval from
Controller Finance and Executive Director or Deputy Director. Cheques shall
be signed by any two of the above designated authorities.

SOUTHASIAPARTNERSHIP
PAKISTAN 27

At the time of payment of salaries in cash or through cheques, receipt
acknowledgement should be taken on Salary slip from every employee
receiving salary who is getting salary in aforementioned way.
Tax withheld from the salaries of employees should be deposited in the
treasury in accordance with the income tax laws in the country.
Payroll for the regional offices shall also be prepared at National office. All
Regional offices will send daily attendance to HR department. HR department
will record it in payroll module of accounting system. Payroll for regional
office will be processed and approved as described before. Approved salary
sheets will be generated from payroll module by RFC at regional office.
Regional Manager and Regional Finance Coordinator shall sign off the
cheques for disbursement of salary in the capacity of authorized bank
signatories.
Payroll Deductions (Income Tax, EOBI, Advances, Canteen)
Advances against salary
Any advance given to employee against salary will also be adjusted against the
monthly salary of the employee as per the terms of HR policy.
HR manager shall enter the deductions of advances into the payroll system for
the employees who have taken advances against salary.
Deductions against Un-paid Leaves
HR Manager shall deduct the salary of employee for the number of days he is
on unpaid leaves.
Income Tax
Income tax will be deducted in accordance with the rates prescribed by the tax
authorities in the respective tax year and the same will be deposited to tax
authorities within seven days after the closure of week in which salary is paid.


SOUTHASIAPARTNERSHIP
PAKISTAN 28

Following Tax Rates are applicable as per the Income Tax rules for the year 2013.
Sr. # Income Slab Tax Rate
1 Up to Rs. 400,000 0%
2 Rs. 400,000 to Rs.
750,000
5% of amount exceeding Rs.400,000
3 Rs. 750,000 to Rs.
1,500,000
17,500+10% of amount exceeding Rs. 750,000
4 Rs. 1,500,000 to Rs.
2,000,000
95,000+15% of the amount Exceeding
1,500,000
5 Rs. 2,000,000 to Rs.
2,500,000
175,000+17.50% of the amount Exceeding
2,000,000
6 Rs. 2,500,000 and
above.
420,000+20% of the amount exceeding Rs.
2,500,000
Canteen Expenses Deduction
SAP-PK will provide lunch facility to all team member(s) at Provincial and
National Office(s) and Rs. 1,000/- per head per month will be charged.
This aforementioned amount shall be deducted from the gross salary of
employee if employee has enrolled himself to avail this facility.
Payroll Disbursement
At the inception of the each month the bank should be notified to transfer the
salaries to the bank accounts of the respective employees by Finance Manager not
later than 5
th
day of every month. Cash shall be Disbursement to those employees
who are not able to operate bank account and their salary is below Rs. 10,000, for
Employees having salaries more than Rs. 10,000 cheque shall be issued to them,
signed by designated authorities.

SOUTHASIAPARTNERSHIP
PAKISTAN 29


Payroll Reconciliation
The payroll module of accounting system shall be used for payroll calculation,
processing and generating salary sheets. After preparation and disbursement of
payroll, Manager Finance / Regional Finance Coordinator shall book JV of payroll
in GL module of accounting system.
After posting the JV in the GL, Finance Manager shall prepare a reconciliation of
the amount of payroll calculated by the payroll module of accounting system and
the amount posted in the GL module on monthly basis. Any reconciling items
shall be highlighted and resolved. This reconciliation shall be reviewed and
approved by the Controller Finance on monthly basis.
Allocation of Payroll
Salaries of the employees working on a project shall be allocated to the concerned
project according to the project budget approved by the donor.
Where the donor has approved less amount of budget for payroll, the excess
amount shall be paid by SAP-PK from its own resources.
Where the donor has approved a budget for payroll which is not fully utilized, by
the end of project the excess amount shall be taken to the surplus funds. If the
donor requires the unallocated portion of budget back then it shall be paid back
otherwise it shall be made a part of SAP-PK funds.
Personal Advance or Advance against salary
Under normal circumstances an employee can avail advance to the extent of
current period salary due. Such advance is to be deducted from salary of
current month. Such advance can be approved by the HR manager within the
given limits on simple advance form.
In case of urgent need, an employee can avail advance 3 times of his/her
monthly salary reimbursable on equal partial deductions from his/her monthly

SOUTHASIAPARTNERSHIP
PAKISTAN 30

salary with in the period specified at the time of sanction of advance (not more
than 8 months). Such advance can only be approved by Executive Director
(ED) on Advance against Salary form.
Advance and loans for the approved applications shall be disbursed to the
claimant through bank transfer.
Dr. Advance against Salary
Cr. Cash in Hand/Bank
Support Staff Allowance
Any colleague from support staff, who will serve during workshops or on other
official assignments will be compensated as followings:
Overnight stay in the office Rs. 400/- during the week.
Weekends / holidays Rs. 200/- per day.
During Eid Holidays the person(s) will be paid as double equal to amount paid
during the service on week end(s) and other holiday(s).
The Security Guards will be compensated against their services during Govt.
Holidays other than Eid holidays. They can claim adjustment leave or Rs. 200/-
per day will be paid otherwise.
All Support staff (Security Guard, Cook, Office boy and Driver) will be paid Eid
allowance @ Rs. 2,500/-per person on both festivals Eid-ul-Fitar and Eid-ul-Azha.
The Christian colleagues from minorities will be awarded the same on their
festivals like; Christmas; Divali& Easter.


Overtime

SOUTHASIAPARTNERSHIP
PAKISTAN 31

Drivers
Drivers will be paid Rs 400/- per night, in case of overnight stay in the field and in
case of stay at head office and regional offices at times of need.
Managers/ Coordinators/ Officers/ Assistants
No overtime will be given to managerial staff.
Employee eligible for overtime shall fill Overtime Claim Sheet and get it signed
by the relevant AO and submit it to HRM. HRM shall incorporate Overtime in the
payroll module of accounting system.
Bonus
All employees of SAP-PK who completed one year of service as on December
31, will be paid one gross salary as bonus irrespective of their grades keeping
in view the available funds.
If any employee period of service is less than a year but probation is complete
then bonus will be calculated on the basis of number of working days
including probation period.
Employees on probation shall not be entitled to receive any bonus.
This fund shall be audited by the external auditors on annual basis and report
on its operations shall be included in the auditors report.
Hospitalization Benefit Policy

All SAP-PK Staff members (Casual, Interns, Consultants/Advisors are not
eligible) are eligible for medical assistance within Pakistan.

a) This facility is for the indoor/hospitalized treatment at any hospital and
subject to maximum limits set for this purpose.


SOUTHASIAPARTNERSHIP
PAKISTAN 32

b) Prior approval from HR Department for hospitalization is necessary and
shall be allowed on the nature of case.

c) Pre and Post Hospitalization coverage is 30 days each.

d) All such claims shall be submitted by the employee through the Manager
HR for reimbursement by the SAP-PK under the procedure set by the SAP-
PK.

e) The SAP-PK shall reimburse the eligible employee.

f) SAP-PK staff members are responsible to submit claims to Manager HR
with in time limit as specified by the SAP-PK for this purpose.

g) A newly appointed staff member is required to provide a medical fitness
certificate from qualified medical doctor/clinic before joining the
organization. The fitness certificate shall also be required for the purpose
of insurance policies, especially group life insurance.

h) The group excess loss cover of Rs. 300,000 for hospitalization, maternity
and dread diseases for the all staff members and shall cease to exist on
total consumption.

i) Equal medical facility shall be provided to all the eligible SAP-PK staff
members, within the allocated budget as below.






SOUTHASIAPARTNERSHIP
PAKISTAN 33


Standard Documents
Process of payroll is supported by the following standard documents:
Sr. No. Form Name Form No.
1 Advance Against Salary
Form
SAP-PK-FRM-24
2 Loan Form SAP-PK-FRM-37
3 Overtime Form SAP-PK-FRM-38
4 Salary Sheet SAP-PK-FRM-39
5 Bank Transfer Letter SAP-PK-FRM-40
6 Salary Slip SAP-PK-FRM-41




SOUTHASIAPARTNERSHIP
PAKISTAN 34

Plan of Internship Program
It was June 16, 2014, the first day at South Asia Partnership Pakistan Regional
Office Bahawalpur .
Mr. Shehzad took me at every department for formal orientation.
On the first day, my supervisor MrsTabindaJabeen gave me Job Descriptions.
Shetold me to read carefully. On the same day, an assistant guided me following;
o Vouchers and Filling System
o Routine Work
I have not been given a concrete daily time sheet on my training; instead, I have
been given Job Descriptions. The tasks were on daily basis.
Besides, Assistant provide me the check list of the Ngo in which we check that
each and every document is attach to a form or not.
A snapshot of my Training is below.

1. Receiving of Transaction Documents

a. Payment Requisitions from internal / external sources
b. Mails and couriers

2. Maintaining Petty Cash Register
3. Preparation of vouchers
4. Preparation of Cheques
5. Data Entry in Oracle Wisman
Receiving of Transaction Documents:
Performance Measures/ Expectations:

Checking Accuracy, finding out different errors
Entries in Daily Oracle Software
Updating Status on Daily basis
Timely Disbursing Payments


SOUTHASIAPARTNERSHIP
PAKISTAN 35


Transaction documents including following,

Payment Requisitions
Travel Requisitions
Advance Adjustment/ Claims

All these documents were describing total amount requesting, purpose, Items/
services, unit price/ wage rate etc. I had to be concentrated keep on
abovementioned performance measures.
Moreover, I have to follow the financial policies of Organization while scrutiny
the
transaction documents, for instance, in any payment to creditor payment request
form and copy of the ledger , to be attached with purchase order.
Maintaining Petty Cash Register.
Performance Measures/ Expectations:
Completion of Authorized Petty Cash Vouchers
Daily updating MS excel Sheet
I recorded daily expenses in the Petty cash statement
Preparation of Voucher:
Performance Measures;
Describing correct account title
Describing correct project (class) in Oracle Software
Saving the voucher
I was responsible for preparation of, Bank Payment Vouchers, Cash Receipt
Vouchers and Bank Receipt Vouchers. In other words, this Voucher is actually,
General Entry/ General Journal.
Since, the voucher is the primary data entering into a financial data base, it must
be entered carefully. The account head is reflecting each item of Chart of
Account.
This part of maintain an accurate financial data base is very crucial, because a
mistake in this part may leads to miss-statement of the feedback needed by the

SOUTHASIAPARTNERSHIP
PAKISTAN 36

management.
I maintain cash reconciliation statement on daily basis to check that how many
cash were in hand at the end of day.
I also maintain time sheet on daily basis on the oracle software.
I also maintain Monthly Budget variance Report.

Admin Duties

I also prepare generator and bike log books to check the avg of petrol consume in
one month.
I also check the stock like stationory, utilities item in stock register.
E:\Daily Arrival Time Staff JuLY 2014 - - Copy.xlsx
E:\Daily Cash In Hand Reconciliation - Copy.xls


SOUTHASIAPARTNERSHIP
PAKISTAN 37

Summary of Report

In this report first of all I thanks to god who blessed me to complete my internship
in a dynamic organization which is work for the development of the country.
The Internship Program is intended to provide hands on experience to post
graduate/graduate students (both local and expatriate) in the final year of their
academic studies from a recognized institution. It offers learning/training
opportunities in various aspects of multilateral technical cooperation.
I give a short introduction of the SAP-PK. SAP-PK derives its name from a
regional network, i.e., South Asia Partnership. This is a volunteer network of
participatory development-support organizations operating under the same name
and for the same purposes in Canada and four South Asian countries, i.e.,
Bangladesh, Nepal, Pakistan and Sri Lanka. It has some presence in India as well,
through a collective form of three different organizations. All these organizations
and Sri Lanka Center for Development Facilitation collectively form SAP-
International and then I give information about the vision, mission and goals,
stake holders, strategic thrust etc and then I give information about the programs
of the SAP-PK which is done by the organization it includes different program
like
Poverty and sustainable livelihood, Gender Justice, Humanitarian Response,
Regional Networking, Peace and Human Security and then provides information
about the board members of the organization. And know I start the introduction of
my work area SAP BWP office there is three departments work Finance, Program
and Monitoring they work according to their polices and procedure given by the
head office. I also include all manual given to me by the organization for further
reading and then I include the plan of training which includes what work I done in
the organization during the internship program.


SOUTHASIAPARTNERSHIP
PAKISTAN 38

Conclusion
I conclude that SAP-PK is work for the development and also for the rights of the
human it has proper structure and management which is very good and according
to the policies and procurement. It is also know that this organization is funded by
international donor who provide fund for the sake of development. It has a proper
management and strategy which is work properly beside the organization all
programs promote and support the pursuit of greater financial independence and
self reliance of individuals, families and communities.
The organization vision is an ethical, equitable, inclusive and progressive society
in which people live with dignity and have power over their own lives. We are
committed to serve humanity by undertaking the challenges that our world is
facing; suffering keeps increasing day by day, poverty is on the rise, global
turmoil, and natural and man-made disasters taking precedent. Under such huge
disturbances, there is an increased need for civil society organizations to take
additional responsibilities and strive to improve governance to ensure
transparency and benefit from the funds available globally both privately and
publicly.
South Asia Partnership Pakistan has designed innovative and empowering
programs to further the cause of improving the quality of peoples life, so they can
live in peace. The Organization achieves this by creating opportunities for
communities to become economically independent. Yet, these improvements rely
on developing synergies between partners and stakeholders with a key focus on
obtaining sustainable results and a quality benchmark.
The Foundation in the end leaves human with a message of hope and pray for
Peace in the world.


SOUTHASIAPARTNERSHIP
PAKISTAN 39


References

Internship report on hashoo foundation
http://sappk.org/