European Microfinance Program 2009-2010

INTERNSHIP REPORT

Burkina Faso May-July 2010

Evaluate the social impact and sustainability of two projects of social business supported by microfinance institutions

CAMMARERI Baptiste Internship supervisor : Laetitia RAGINEL

I. A. 1. 2. 3. B. 1. 2. 3. II.

The NGO Entrepreneurs du monde (EdM)

Entrepreneurs du monde France ....................................................................................3 The vision and the actions...........................................................................................3 Sources of funding ......................................................................................................4 Key Figures.................................................................................................................5 Entrepreneurs du monde Burkina Faso...........................................................................5 The partners MFI.........................................................................................................5 The Team....................................................................................................................8 The activities ...............................................................................................................9

Field activities and research results............................................................................13 A. Cost and Impact analysis ..............................................................................................13 B. C. D. 1. 2. 3. E. 1. 2. 3. F. 1. 2. 3. G. Field inquiries Impact of Improved stove ....................................................................16 Impact barometer ......................................................................................................17 The SROI analysis ....................................................................................................18 The methodology ......................................................................................................18 Critics on the methodology........................................................................................20 Results of our analysis (see appendix 3 for more details).........................................20 Sustainability analysis according to McGill methodology...............................................21 Why this methodology? .............................................................................................21 The methodology McGILL .........................................................................................21 The results ................................................................................................................22 SPI audit .......................................................................................................................22 Different steps ...........................................................................................................23 The SPI for LSK ........................................................................................................23 The SPI for Microstart ...............................................................................................23 Research results .......................................................................................................24

III. Professional and personal experience acquired ........................................................24 A. From Burkina Faso........................................................................................................24 B. C. From Entrepreneurs du Monde .....................................................................................25 From my missions .....................................................................................................25

IV. Conclusion ....................................................................................................................26 V. Appendixes ...................................................................................................................27

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Internship report - Entrepreneurs du Monde

2010

I.

The NGO Entrepreneurs du monde (EdM)

A. Entrepreneurs du monde France 1
1. The vision and the actions

Entrepreneurs du Monde (EdM) is a French NGO created in 1998 and is based in Poitiers. Their main goal is to help an increasing amount of very poor men and women, to create or develop an income generating activity and then creating access to employment. They reach their goal by providing access to microcredits, savings and skilled training in 10 countries in south Asia, west Africa and Haiti, serving close to 60 000 people among the poorest. Their key actions are : To encourage economic initiative through microcredit to start or develop small businesses To target the poorest region of the world, especially the slums in Asia and rural area in Africa. To provide a personalized follow up of the beneficiaries, adapting the products to their specific needs To Train people : social trainings as well as economic training to favor the success of micro-enterprises To structure and professionalize the local teams through the hiring of local managers, frequent follow up and powerful information systems. To target the sustainability of each program on the middle term: 5 to 7 years so that the financial aspect dont take over the social aspect.

Entrepreneurs du monde - Annual report 2009 downloadable at :

http://entrepreneursdumonde.org/downloads/RA2009_LANG.pdf

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A particular attention is given to the adaptation of the products to the local needs and capacity, which is ensured by a systematic measure of impact in order to follow the beneficiaries living condition on the middle and long term. In order to reinforce this impact on the families, EdM contribute to the organization and structure of value chains with social or environmental value added, that microcredit can help to spread. Depending on the countries, EdMs approach is different; In south asia, in the area where the poorest where not served, they have set up microfinance institutions. In west Africa, they have supported the creation of two MFI in Benin and Ghana because their was a real lack of services, while in Burkina Faso, which is more served by MFIs, they only provide technical assistance, and financial support to existing MFIs. The team is composed of 17 employees , but the global projects of EdM are hiring more than 500 local employees with local contracts. 2. Sources of funding

EdM is financed through several sources of funding. In 2009, 291 000 came from the general public, 820 000 from corporate foundations, that are selected for their social responsibility. 635 000 come from public subsidies (AFD) , a total of 1,9 million euros are collected, among which 1,3 million are used for the projects as follow:

93 000 are dedicated to seek fundings and 140 000 to general administration

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3.

Key Figures

B.

Entrepreneurs du monde Burkina Faso

1. The partners MFI

Implemented in Burkina Faso in 2008, Entrepreneurs du monde is working with 3 different MFIs : AsIEnA , LSK and Microstart. The choice of supporting existing MFIs rather than creating a new one was justify by the large offer of Microcredit in Burkina Faso, thus there were no need to create a new MFI however, there is a strong need for technical assistance and financial support for the MFI that have a very social vision.

AsIEnA, Association Inter-Instituts Ensemble et Avec , was created in 2003 and is present in Burkina Faso and Niger with a double mission of solidarity and self reliance. AsIEnA has been supported by 3 concrete initiatives: the creation of mutual health group, the creation of savings and deposit institution, and the setting up of economic trainings. AsIEnA is the result of a collaboration between 38 religious women institutes in Burkina Faso especially targeting women and targeting the 2/3 of the population in Burkina Faso that are living with less than 250FCFA per day. Especially in rural areas : Ddougou, Dibougou, Koudougou, Ouagadougou (peri-urban areas) Baptiste CAMMARERI Internship report - Entrepreneurs du Monde 2010 5

AsIEnA is one of the only MFI in Burkina that is using the principle of MUSO (MUtuelles de SOlidarit). The MUSO technique was designed to address several issues : Make savings Learn how to manage money with exterior need Ensure the safety of their savings Experience solidarity Share experience Experience the democratic model. It is based on 3 boxes and organized among a group of 15 to 40 people (97% women): The green box is used to collect a regular amount of money which is determined in advance by the members and paid every two weeks or every month, during the meetings where all members have to be present. The green box is used as a micro fund so that members can lend money to those who need it, based on their own savings. It is a way for the members to get used to self-management of money. The Red box is the solidarity box: a fixed amount of money is collected during every meeting and put in the red box but this money is not recuperated, the red box is used for emergencies to finance a taxi to go to the hospital, to pay for medicines or help pay funerals. The Blue box is set up only once the green box is managed well. Indeed, the blue box works like the green box, it allows granting credits to those who need it, but this box is funded by external funds, belonging to the MFI. Thus a more accurate and strict management is required. This technique has proved very efficient and adapted to rural areas where the MFIs have difficulties to go. Indeed, the management of a MUSO only need one loan officer that coordinate the meetings every month or every two weeks, train the women at the beginning, and slowly let them manage the money by themselves.

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Women gathered in MUSO group

Up to now, there are more that 100 MUSO that gathers more than 4000 members in Burkina Faso, with fast development partly due to the support of EdM.

EdM is providing technical assistance for accountancy and general management, has made the SPI audit in 2009, has implemented the PAT tool for 60% of the loans, work with them on value chain and provide credit lines to help AsIEnA develop their activities.

Microstart started its activities in 2000, and was created by 10 women that were all previously working in microfinance for 10 years and that wanted to use their knowhow and experience to serve the poor women having a business and seeking adapted financial products to develop their activities. Microstarts objectives is to become a professional MFI that offer financial products, advices and training to help create or develop income generating activities for women, to help them reach financial sustainability providing saving services, to reinforce their management capacity, to create jobs and improve the living conditions of the beneficiaries.

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Up to now, Microstarts credit and savings program has supported the creation or development of 8000 business hold by women. EdM has done the SPI audit 2010, provides financial help to develop social performance, help bring new clients through the selling of products (improved stove) and will set up the PAT tool.

LSK (Laafi Sira Kwieogo) is a young MFI that started its activities in 2008 and target very poor people in peri-urban and rural areas. For now, EdM is providing them new opportunities of clients by granting microcredits for improved stove, and has done the SPI Audit 2010.

2.

The Team

In order to fulfill its mission, EdM-BF is composed of 10 employees that have been recruited locally, a coordinator and a volunteer in charge of the development. Each activity has one manager and can be divided into 4 main branches of activity.

EdM Burkina Faso - Organization chart July 2010

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3.

The activities a) Financial and non financial services

It is managed by a microfinance expert that provides technical assistance to the partners when needed and create training support. The whole training activity relies on this branch and has trained more than 2000 people in 2009. The trainings are as various as business planning, enterprise development (marketing, management), social trainings (VIH/AIDS, Malaria, gender issue, nutrition, alphabetization)

b)

Social entrepreneurship one program that is already running, and one is in

Armel manages 2 programes: process:

1 women, 1 stove, 1 forest : is a program that promotes improved stove, gaz

stove and banco stove that have a multiple benefits and can thus be considered as Baptiste CAMMARERI Internship report - Entrepreneurs du Monde 2010 9

social entrepreneurship products : The improved stove create employment and are a profitable business for the craftsmen, they reduce the expenses of the families on wood consumption, they help fight deforestation, and reduce health problem allowing a better combustion of the wood and charcoal. (with gaz the health is even more improved). EdM is promoting the use of improved stove by providing trainings to poor women, and offering a special financial product to buy it in partnership with the MFIs partners : the Savings-objective : the concept is based on a daily saving of 100FCFA (that can be made on 2 or 3 month if women cannot save everyday), once the saving card is full (= has reached 30 days), the women can exchange their saving card against an improved stove. It is an inverted credit : the beneficiaries dont have to borrow money to have it, they have to save money. For Improved stove that are more expensive or those dedicated to professionals, a special microcredit product has been created to facilitate the purchase of the stove.

Training session on improved stove

One roof for all : The project deals with housing through microfinance in
partnership with an existing association that uses a specific building technique called vote nubienne. This is an ancient technique adapted and standardized to fit local needs. These houses dont need wood or steel to be built, they only use ground earth and water. The advantage of this technique is that is 90% of the price of the house is Baptiste CAMMARERI Internship report - Entrepreneurs du Monde 2010 10

man power, I.e. the owner can gather friends and relatives to build the house. They only need 150 000 FCFA to pay the mason, the door and windows. A project is now running to grant credits to build these types of houses.

c)

Microfinance and health

Gnalou is in charge of the pole microfinance and health, it is working especially on one project :

Spirulina for all

Spirulina is a micro alga with high nutritious power, which is produced locally and can be one solution for people victims of malnutrition. The aim of this project is to promote Spirulina consumption through the training of vendors and consumers. EdM and AsIEnA are providing credits in nature to women (they lend them Spirulina 25g bags), train them to sell these products (1 bag cost 350FCFA and is sold 500 FCFA), Once the women have sold the bags, they can reimburse the loan with 2% interest per month. For the moment, women sell Spirulina as a side activity, but some of the 30 women trained are beginning to specialize in Spirulina selling. The Spirulina is produced by local farms and ordered by EdM according to the vendors need. Besides the traditional commercial way, EdM has implemented a social price for Spirulina, in order to reach the poorest. The Spirulina is bought to the farms at a lower Baptiste CAMMARERI Internship report - Entrepreneurs du Monde 2010 11

price and packed with a different bag, to be sold to the poorest people at 350 FCFA / bag Pilots project are developing now and model should grow rapidly, as every actors benefit from this activity.

Spirulina vendors, during a training session

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II.

Field activities and research results

The objective of this internship was to evaluate the impact and sustainability of the projects supported by Entrepreneurs du monde (social entrepreneurship projects) This objective has been composed by several missions and steps the value chain cost analysis of the projects, SROI analysis, Sustainability analysis according to the McGill Framework. In addition to these missions directly linked to the objective of the internship, I have had the opportunity to realize two SPI audits: for LSK and Microstart, according to Cerise methodology and in cooperation with them.

A.

Cost and Impact analysis

The aim of the cost analysis is to identify the economic factors of sustainability or nonsustainability of the project. In order to do this cost and impact analysis, I processed with different steps: I gathered all the existing information on the project: market studies, annual reports, reports from similar projects conducted by other actors, national studies, and mission reports, in order to have a global vision of the project and understand the context and potential limits. I interviewed the different actors of the project in order to precise the details of the project itself and its realization. The actors of the project include the members of the NGO, the suppliers of the products, the MFI , the MFI clients that buy products, the other NGO that are involved in the project

For example, on the project 1 women, 1 stove, 1 forest, I interviewed : Baptiste CAMMARERI Internship report - Entrepreneurs du Monde 2010 13

EdMs general manager GUENGUERE

Laetitia RAGINEL + project manager Armel

15 beneficiaries 4 Stove producers GTZ general manager : Andrea REIKAT (train producers) IRSAT Dr SANOGO designer of the stoves

The results of these interviews and data collected before, allowed making a triangulation of the information, and thus establishing a reliable cost analysis study that showed a first set of economic impacts generated by the projects. It showed that producing improved stove is a profitable business, which is a favorable indicator concerning the sustainability of the project It also pointed out that the sustainability of this project depends on several issues: either economic or cultural: Indeed the sustainability of the project depends on: The variation of the price of raw material The difficulty/cost of transport to find raw material (if its too expensive, producing Improved stove is not a profitable activity) The quality of the product % price, thus there is a great need to make producers and consumers aware to produce and ask for good quality products; else it could ruin the image of the improved stove. The financing possibilities offered by the MFI to acquire an improved stove. For personal and professional use The training of the producers: if on the medium term, nobody can train new producers to build improved stove, the sustainability is not ensured The level of communication to promote the improve stove (social training, or marketing) The level of acceptation of the improved stove in rural/traditional areas.

The Final Aim of this cost and impact analysis was to estimate the Impacts generated by the projects which were determined thanks to the data and interviews collected before and gathered in a table taking into consideration a maximum of parameters, in order to make the impact tool the more accurate as possible.

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The results is that up to now, the improved stove that have been sold from January to June 2010 have generated the following impacts : (see appendix 1 for more details)

The same process has been done for the second project : Spirulina for all It allowed us to identify the key elements that can make the project fail or success. The sustainability of the project depends on : The ability of the farms to be profitable : find new clients, reduce their cost The level of acceptation of Spirulina in peoples consumption/habits The ability of the Spirulina promoters to make people aware of the interest of Spirulina

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B.

Field inquiries Impact of Improved stove

For the Value chain cost analysis, all the data were found in statistics, other reports and previously released studies in other countries. So in order confirm the data and update them to the local context, I created a questionnaire to be administered to the beneficiaries. One part of the questionnaire tries to assess the progress that has been made regarding the health improvement. This part has been inspired by an existing analysis made on indoor air pollution, and we considered it was relevant for this analysis. We went on the field to administrate the questionnaire with the project manager and did it on 15 beneficiaries that had an improved stove for at least 6 months. each questionnaire took 10minutes to answer. Back to the office, I created a Google spreadsheet (appendix 2 ) that allow us to seize the data directly and the advantage to automatically generate the graphics , being shared by several people, being host on the internet (no risk of losing data), and gathering all the data at a same place.

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C.

Impact barometer

Besides this cost analysis, I used the data and interviews to estimate the impacts of the project not only in terms of money generated for the producers, but also on : The money saved due to less wood consumption The time saved due to more efficient burning power Amount of wood saved Amount of CO2 saved The revenue generated for the craftsmen

The calculus are based on the national statistics and have been confirmed by the data collected during the field inquiries. Example : How to calculate money saved on wood : = Efficiency of the stove * amount of wood consumed per person per day * nb of persons in the family * price of wood per kg* rate of wood bought vs picked * nb of stove sold * lifetime of the stove In order to follow the real time impacts, I designed a table to be filled every month with the types of stove sold and the location : urban or rural area, and it automatically calculates the theoretical impacts generated by the project on year 2010. (stoves sold in January have more real time impacts than stoves sold in December)

To facilitate the communication of these impact, and the follow up , I created a barometer of the impacts that is advertised in the office and can be seen by everybody showing how many stoves we have sold and the resulting impacts

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Ex : for 1750 stove sold, the impact generated are : More than 100 30T trucks of wood saved 1750 T of CO2 saved 65 000 000 FCFA saved 1250 days of time saved for women

This tool meets a real success and helps motivate the team, showing reel impacts rather than just figures on a table. It will be replicated for the other projects and probably in the other branches of Entrepreneurs du monde.

D.

The SROI analysis

1. The methodology

The SROI methodology was created in 2002 in the USA, it was first design for investors and projects managers. Indeed, the SROI allow clearly identifying the activities and the related impacts of each stakeholder of a project, then monetizing the final result in order to evaluate the social value created. For the investors, the monetization is useful to estimate if the project create a strong social value or note, in other words, the SROI is an attempt to show the investors how for each euro invested in a project, what is the social value created. Une analyse SROI se fait en 10 tapes clef : 1. Introduction of the project 2. Theory of change : how the project will create social value

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3. The stakeholders: who are the actors of the project or the people impacted by the project: partners, beneficiaries, funders? 4. The inputs: what are the inputs provided by the stakeholders in money, in benevolent time or in kind donation? 5. The activities: what is the role and activity of each actor in the project? What does he do? 6. The outputs: What are the effects of the project on each stakeholder (a stakeholder can have an output even if they have no input, for example the government can benefit from the program because it will induce less expenses on healthcare. 7. The impacts et their attribution : we are supposed here to determine for each activity the ratio of impact :i.e.: what is the REAL impact on the project (Vs what would have happened without the project). And determinate the attribution: to what extent the impact is due to your project. This part is very difficult to determinate because it is very subjective and influence a lot the final result. 8. The indicators: accurate and measurable units to measure the outputs. 9. The monetization : a monetary value is given here to all the data found (ex: money saved by the beneficiaries thanks to the improved stove, money saved on health expenses, monetary value of the wood saved (very subjective), value given to time saved for women (hard to monetize..) represent the social value created 10. Projection of the results on 2 to 5 years, in order to plan the evolution of the impacts. these monetized value

The result is a ratio : (example: SROI = 1,973) which means that for 1 invested in this project, we estimate that 1,973 are generated in social value

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In order to do the SROI analysis, I

have used a tool inspired by the website:

www.socialevaluator.eu that helped me understand and interpret the results.

2.

Critics on the methodology

However, it is worth noticing concerning SROI that : The decomposition of each activities and stakeholders and their impacts on the actors is very interesting and rich of teachings However, the mandatory monetization of the impacts is controversial, indeed sometimes, some indicators cannot be monetized, how to give a monetary value to increase in self esteem or increase life expectancy on certain ethical questions, the monetization is not always appropriate.

Thus it is important to be cautious about the results after monetization. First because everything is not monetizable, second because the rate of impact and attribution is very subjective, third, because the SROI has no certification by external auditors yet. Hence, the result depends a lot on the accuracy of judgment of the internal auditor (the tendency is often to over estimate the impacts)

3.

Results of our analysis (see appendix 3 for more details)

The intermediary results of the SROI analysis on the project improved stove revealed the following SROI :

The SROI has been calculated her from the data collected on the field and from the IRSAT and GTZ data. Baptiste CAMMARERI Internship report - Entrepreneurs du Monde 2010 20

It is made on a 4 years projection including 2 years without financial support of EdM It estimates a sales progression per year of 2000 to 5000 stoves in 4 years A sales repartition of 50% for Gaz, 40% for Multi stove, 10% for the other stoves

Several data need to be analyzed more in depth but the source of information are missing or are too subjective to be accurate : how to calculate the impact attribution of an activit?

E.

Sustainability analysis according to McGill methodology

1. Why this methodology?

EdM asked me to measure the sustainability of their projects, so I looked for an appropriate methodology and throughout my research, I realized that very few tools existed. Finally I found one, developed by the university McGill in Canada. They have created a toolbox2 to help auditors estimate the process leading to sustainability (prennisation), and the level of sustainability of a project. This toolbox was first conceived to evaluate the sustainability of public health programs but can be applied to other kind of projects. We have decided to test this method for EdMs projects : 1 woman, 1 stove, 1 forest, and Spirulina for all Ive contacted the researchers that have created this method and have obtained all their support and advice. We even had to opportunity to meet Valery Ridde, PHD on project evaluation and co-author of this method, that is working in Ouagadougou and gave us more insights on how to conduct the surveys and how to interpret the results. 2. The methodology McGILL

The method is composed of 2 inquiries: One concerning the process leading to sustainability (10 questions)

This toolbox is downloadable for free on http://www.cacis.umontreal.ca/perennite/index_fr.htm

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One concerning the level of sustainability of the project (15 questions)

The evaluation of sustainability is based on the evaluation of the routines that are : o The memory (Financial, human, material, other) o The adaptation (to the context, to the effect, to the barriers) o The values (Objectives, symbols, specific language) o The rules (supervision, planning, tasks, regulation) These two inquiries have been administrated to the 6 key persons have been interrogated : EdM: Laetitia (Coordinator West Africa), Jonathan (Manager), Modeste (Coordinator Burkina) GTZ : M. KERE (project manager) Microstart : (Operation manager)

3.

The results

Once their answers has been collected, a sum up has been done in order to draw an overview of the different perceptions of the same issues, seen by different actors that are either internal or external to EdM. (see appendix 4) Time was missing to write the final report during the internship, but further exchanges will probably be made after the internship.

F.

SPI audit

EdM is working with Cerise for long and is offering to conduct an SPI audit to all its partners. During my internship, two new contracts were signed with 2 MFI partners, thus we offered them to conduct an SPI audit during the month of July.

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Before my internship in addition to the course we have had on the SPI, I followed a training session with Florent Bedecarrats at Cerise, thus I had all the tools and methodology to conduct the SPI analysis properly. 1. Different steps

Both SPI analysis were conducted with the following steps : 1. Meeting with the MFI director to explain what the SPI will consist in, define a schedule, and ask to prepare the required of documents 2. Meeting with all the employees (or at least a maximum of person) to introduce the notion of social performance and explain which kind of question will be asked. 3. Conducting of the survey at the MFI , field visit of beneficiaries and loan officers (3 days) 4. Data collection and report on the excel files 5. Analysis of the results and redaction of the SPI report 6. Restitution of the results and insights on the strengths and weaknesses of the MFI regarding social performance 2. The SPI for LSK

See conclusions from the SPI analysis in appendix 5

3.

The SPI for Microstart

At the time of writing of the internship report, the SPI analysis and synthesis for microstart were not available yet.

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G.

Research results

The different missions were all related to impact and sustainability analysis, which is not exactly the topic of my thesis, however, it allowed me to collect a lot of information and data on the projects of social entrepreneurship and all their stakeholders that have been useful for the thesis. Indeed, all the projects supported by entrepreneurs du monde are based on the support of social entrepreneurs: Improved stove, Spirulina and Vote Nubienne. Each project has a different approach and use of microfinance, thus it allowed me to compare them and analyze it in the thesis.

III.

Professional and personal experience acquired

A. From Burkina Faso

This internship was a first opportunity for me to go and live in Africa, so it was a fruitful experience, especially because Ive been able to go in the countryside, meet beneficiaries and talk with them, as most of them were speaking French. Living in Burkina was also an occasion for me to learn more about African culture. I realized and understood how important the relationships within the group and within the family are in African culture. How important are the greetings and good relationships with neighbors. Discussing with local people, I began to understand how money is circulating within the family members: those who success have to give money to those who have difficulties, thus it is quite hard to acquire personal assets as everything is shared: the houses, the wages, the meals In Burkina there is a strong issue on women: they are doing everything and working from dawn to dusk while men are more often idle. Children and especially girls are very used by their mother and aunt to do housekeeping or small selling in the streets.

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B.

From Entrepreneurs du Monde

This internship was my first experience with the world of NGOs and with microfinance. It was a chance to be able to take an active part of a small NGO , so that Ive been able to see quickly the different levels of organization: from funds seeking, to accountancy, from project management to training manager, from logistician to branch manager. The EdM Team has welcomed me very quickly and easily as one of theirs, after 1 week of adaptation to the local uses and to the way of communicating. Working for Entrepreneurs du Monde has been a great experience because it is indeed, led by a group of managers that have strong personalities and a strong social view, trying to always target the poorest in the most efficient way. They dont hesitate to try innovative schemes or products, they follow their impacts on the beneficiaries very accurately and they dont count their time and efforts to increase their outreach on the poor.

C.

From my missions

My missions were very directed towards social impacts and social performance among an NGO that is supporting MFIs, so I have had only few opportunities to see the daily life of an MFI because I was there only as a partner. However, I took all the opportunities that were offered to me to go on the field, meet beneficiaries, attend training session or make a follow up of the beneficiaries. Meeting beneficiaries allowed me to realize their real level of poverty, which is something that has to be felt once. Meeting people that earn less than 1 USD per day despite their hard working, entering in their house and seeing them laughing, joking and living quite happily was a rich immersive experience that I had the opportunity to reproduce several times in urban as well as in rural areas. I was lucky to assist to several meetings of APIM Burkina Faso , that were providing trainings on social performance and transparency. Thus I have been able to better understand how social performance is understood and how transparency is still a taboo among the MFI in Burkina. I had the opportunity also to do two SPI audits at LSK and Microstart, which were by far the best way for me to understand these two MFI in depth. In terms of experience It Baptiste CAMMARERI Internship report - Entrepreneurs du Monde 2010 25

gave me the first chance to pilot a complete audit: I created the slides for the training on social performance and SPI audit (based on Cerise slides), I organized and did the interviews in collaboration with one colleague but that had no experience on SPI, so I was considered as the expert and thus given the tasks to coordinate the audit, compile the data, write the reports and do the restitution. A full collaboration of the MFI directors was very helpful and showed a great transparency, which helped a lot. From this experience I better understood the role of an auditor and the different steps that required an audit. I realized the importance of pedagogy in the audit and began to learn how to teach to adults. Especially in this strange relationship of a white bringing a new tool to the local people But as I chose to make participative audits, it helped me to be accepted as an expert to help and not to control.

IV. Conclusion
This internship was a great opportunity to discover West Africa, and in particular Burkina and Togo, their cultures in rural and urban areas thanks to local people that invited me in their families. Working with entrepreneurs du Monde was a great first step in the world of NGOs because they are particularly pro active in terms of efficiency, outreach to the poor and innovative products, thus I learned a lot on the mechanisms that rule an NGO but also the limits it has, to rely on donors and to spend hours writing reports to justify the use of the money I wasnt doing my internship in an MFI, so I saw less microfinance than what I was first expecting, but what I experienced with microfinance institutions was still very interesting because, realizing an SPI audit allow to go in depth into the organization and probably help to understand more accurately an MFI that if I was doing an internship among this MFI. Meeting different MFIs, I also discover innovative products and methodologies that deserve to be tested and replicated in a close future in other contexts: MUSO methodology, savings-objectives, Spirulina, Vote Nubienne and all the work done considering social entrepreneurship. Baptiste CAMMARERI Internship report - Entrepreneurs du Monde 2010 26

Concerning the work I did, I was happy to learn that the Impact analysis, the SROI methodology and the sustainability analysis will be kept and re-used to measure the impact of the other projects of the NGO maybe even in the other countries. So I think my contribution was useful to the EdM Field experience was what I needed to realize the real outreach and power of microfinance. It is a complementary step to the master and I feel now much more prepared to start working in microfinance knowing what it is in theory and now in practice

V.

Appendixes
1. Appendix 1 Cost and Impact analysis (abstract)

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2.

Appendix 2 : Questionnaire to Improved stove beneficiaries

QUESTIONNAIRE IMPACT FOYERS AMELIORES RECHAUDS No : Lieu : IMF de rfrence : Date ..//.
UTILISATEURS Nom et prnom. Zone : Rurale Priurbaine Urbaine Pour combien de personnes cuisinez vous chaque repas ?........................ Combien de repas faites-vous par jour ? 1 repas 2 repas 3 repas AVANT davoir le FA / Rchaud : combien de temps passiez-vous prparer les repas par jour ?............ La prparation du repas avec les FA ou gaz est elle moins longue ? oui non Environ combien de temps gagnez vous par jour ? 5min 15 min 30 min 45min 1h autres : Comment utilisez-vous le temps gagn ? Soccuper de : enfants Tches domestiques AGR champtres tudes (pr les jeunes filles) repos/visite des amis ou des parents

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FOYERS AMELIORES (NON GAZ) Quel Foyer Amlior avez-vous ? Burkina mixte Multi-marmite Banco autres : Ouaga mtallique

Quelle taille ?................ Quel est le prix : Dun tas de bois : . Pour combien de jours ?: Soit :../Jour Dun paquet de charbon : Pour combien de jours ?: .. Soit :../Jour A combien estimez vous les conomies par jour en bois ? Pas dconomie 25F 50F 75F 100F 125F 150F plus:.

Comment vous procurez vous du bois ? Ramassage ..% Achat % Allez-vous chercher plus ou moins de bois quavant ? plus quavant Moins quavant AVANT les FA, combien de temps passiez vous ramassez ou aller acheter du bois ?.......................... MAINTENANT, combien de temps passiez vous ramassez ou aller acheter du bois ?......................... RECHAUDS A GAZ Combien de jours dure la bouteille de gaz ? .. Combien de temps mettez-vous pour aller chercher la bouteille de gaz ?................ A quelle frquence allez vous chercher du gaz (tous les 3 jours, 15jours, tous les mois)?.............. Quel est le prix de la recharge dune bouteille de gaz ? 6kg : . 12kg :..

QUESTIONNAIRE SANTE

AVANT davoir le foyer /rchaud ?

Est-ce que vous toussiez ? jamais au rveil pendant la journe Est ce que vous avez touss pendant plus de 3 mois par an ? Oui Non

APRES utilisation du foyer/rchaud :

jamais au rveil pendant la journe

Oui

Non

Est-ce que vous avez des glaires ? Jamais au rveil pendant la journe est ce que vous avezeu des glaires pendant plus de 3 mois par an ? Jamais au rveil pendant la journe

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Oui

Non

Oui

Non

Avez-vous eu de lasthme (sifflement dans la poitrine) ? Jamais Au moins 5 fois au cours de lanne dernire lanne dernire Tous les jours Tous les jours Jamais Au moins 5 fois au cours de

Avez-vous des problmes aux yeux ? Yeux rouges (qui pleurent) Irrits (qui font mal) Gonfls Sensibles la lumire Ne voit pas bien Nez qui coule Prcisions : .. Yeux rouges (qui pleurent) Irrits (qui font mal) Gonfls Sensibles la lumire Ne voit pas bien Nez qui coule Prcisions :

3.

Appendix 3 SROI analysis

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4.

Appendix 4 sustainability study McGill methodology

EVALUATION DU PROCESSUS DE PERENNISATION ET DE LA PERENNITE DU PROJET : 1 FEMME, 1 FOYER, 1 FORET

valuation base sur la mthode de luniversit McGILL Montral CANADA

pierre.pluye@mcgill.ca

Evaluation par : Baptiste CAMMARERI baptiste.cammareri@gmail.com

Contexte : Au Burkina Faso, 85% de la consommation de bois sert la prparation des repas, or , la dforestation(5% de la surface forestire en 15 ans) menace le Burkina de dsertification, constituant une crise cologique majeure et entrainant une crise conomique et sociale. Problmatique/domaine dintervention : laugmentation du prix du bois rduit le budget des familles les plus pauvres et empche leur dveloppement conomique. Les foyers amliors, en rduisant la consommation de bois, constituent une solution pour rduire les dpenses des familles ainsi que la pression sur les ressources naturelles. Objectif : Amliorer les conditions de vie des populations et lutter contre la dforestation grce des produits dpargne et de crdit adapts pour la production et lquipement en foyers amliors et en foyers gaz. Rsum des activits : EdM, avec ses partenaires (institutions de microfinance = IMF) proposera des sessions de sensibilisation et mettra en relation des producteurs, et distributeurs de foyers amliors bois et/ou gaz afin de rduire la

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consommation de bois et ainsi les dpenses lis la cuisson. Lorsque cest ncessaire, des microcrdits seront propos par nos partenaires afin de soutenir le dveloppement de cette filire. Rsum des ressources : subventions provenant de 4 bailleurs diffrents : Poweo, fondation Ensemble, fondation Amisse, Fondation Terra symbiosis

OUTIL 1. Processus de prennisation

Concernant le programme/projet

vnements (p. ex. actions entreprises)

Favorab le

Dfavora ble

vnements spcifiques la prennisation

Quelles actions ont t entreprises pour Fin : logique budgtaire sur 3 ans, cration de SA : finance solidaires fonds dispo sur plus long terme stabiliser les ressources organisationnelles Fond de crdit plac dans les IMF (source dargent (financires, humaines, matrielles, dont on reste proprietaire et tourne sur plusieurs formation) consacres au projet cycles) recherche multi bailleurs avec engagement sur plusieurs annes Ngociation avec plusieurs compagnies gazires pour pouvoir ngocier les prix des rchauds et ne pas tre dpendant dun fournisseur RH : Armel en CDD , logique CDI + 1 rfrent chez chaque partenaire Mat : Achat dun 4x4, Partenariat avec Compagnie gaziere + ngociation des prix Formation : Renforcement des capacits de gestion des IMF, formation des diffrents acteurs dans une logique de prennisation et dautofinancement a terme , veille technologique par le responsable + formation des formateurs par un organisme extrieur Quels risques organisationnels avez-vous pris en faveur du projet Le projet a t commenc avant davoir tous les fonds Risque detre instrumentalis par les gaziers et/ou GTZ FA (Foyers Amliors) et rchauds convoys + stocks par EdM risque de vol et incendie

Quelles incitations avez-vous dploy pour encourager les acteurs effectuer les activits du projet ?

Salaris :salaire assur, pas de prime dobjectif mais embauche en CDI la clef stimulation par limpact social des activits, augmentation des frais

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de dplacements pour rpondre aux ralits du terrain, tarifs prfrentiel pr achat de FA, motivation mission sociale. IMF : Incitation financire : EdM octroi des fonds de crdits et finance certains salaires des IMFs. FA = Produit dappel microcrdit = + de clients , + de revenus gratuites, Bnficiaires :sensibilisations avantages conomies Economies en bois, meilleure sant (%fumes), conomie de temps Artisans : formations gratuites, Projet rentable, + de revenus St gazires : + de revenus, +de parts de march

Avez-vous essay dadapter le projet au contexte local en fonction des comptences de votre quipe et des besoins des bnficiaires ?

Oui : approche participative, multi acteurs et quipe locale appui sur des rseaux existants, Adaptation des produits aux beneficiaires (peu cher) + financement adequat (microcrdits) + produits localement Choix de ne pas dvelopper les fours solaires car ne correspondent pas aux habitudes et attentes locales. Travail avec les fournisseurs de gaz locaux pr ne pas changer les habitudes des bnficiaires Pas de subvention lachat des foyers pour ne pas crer de dpendance et favoriser lappropriation. Non : Besoin de la filire (pas besoin spcifique des bnficiaires)

Avez-vous mis en place le projet en lien avec les objectifs dEdM ?

La communication entre EDM et les partenaires du projet a-t-elle t de nature transparente ?

Quel est le niveau de partage dune culture de lartefact (mythes, symboles, mtaphores, rituels, normes, valeurs) entre EdM et ses partenaires

Oui : les objectifs dEdM sont : fournir des produits gnrant des impacts sociaux positifs sur les familles et favorise les emplois locaux par la microfinance et la formation. EDM partenaires : Oui car EdM veut montrer lexemple Partenaires EdM : parfois non car reporting prennent du temps partenaires ne sont pas tjrs volontaires transmettre les informations Ne souhaitent pas toujours tre transparent % comptition Parfois manque de comprhension les IMF ne connaissent pas les fonds allous EdM pour le projet Les bnficiaires ne savent pas que lIMF prends une marge sur les FA.. Langage/culture communs : Moor-Mossi Mme outils : SPI, PAT, Loan performer, Norme de gestion du portefeuille Mais : diffrentes conceptions de la solidarit/humanitaire Europen/africain Nom du projet : 1 femme, 1 foyer, 1 fort utilis par EDM mais pas par ses partenaires Augmentation des remboursements de frais de dplacement mais pas spcifique au projet , rponse

Avez-vous cherch intgrer les rgles relatives au projet dans celles dEdM?

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une demande globale Avez-vous effectu des investissements dans des ressources adquates pour raliser le projet Est-ce que les pratiques ou techniques lies au projet taient compatible avec les activits dEDM? Achat dchantillons Embauche Armel Formation du charg de projet

Oui : appui sur des acteurs existant localement, et savoir faire dEdM Le projet a t rendu compatible avec les activits dEdM par une tude pralable de faisabilit et lembauche dun responsable nouveaux produits apportant les comptences techniques spcifiques, lies au projet.

OUTIL 2. Degr de prennit

Concernant programme/projet Ressources financires lorganisation Ressources humaines Ressources matrielles Autres ressources le

Oui Non Indicateurs (justifier vos rponses oui / non)

Dpendance aux bailleurs de fonds exterieurs, une part attribue la gestion globale, le reste au projets Contrats plein temps, en CDD et CDI, petite quipe, logique de progression, formation du personnel EdM est propritaire de tout le matriel et des vhicules utiliss pour le projet Location des locaux Dpendance aux partenaires : Coordination des artisans, centralisation des commandes et livraisons assures par la GTZ et les cies Gazires Adaptation constante, ralit du terrain qui prime (sur les demandes des financeurs) Projet li aux cultures locales, trs adapt au contexte (quipe locale) Suivi mensuel, rapport trimestriel, annuel, tude dimpact outils de collecte dinformations et de suivi des bnficiaires (PAT) Les projets ou ralisations non adaptes ne sont pas retenues, tous les projets repondent un besoin identifi EDM accepte le choix des IMF mme si ce nest pas pertinent dans tous les cas : Microstart est uniquement avec Oryx, LSK uniquement avec Sodigaz, alors quil serait plus pertinent detre mutli fournisseur

Mmoire (indicateurs spcifiques)

de

Adaptation (indicateurs spcifiques)

Adaptation au contexte

Adaptation aux effets

Barrires ladaptation

Valeurs (indicateurs spcifiques)

Congruence avec les objectifs de lorganisation Prsence de symboles dans lorganisation Reunions mensuelles, cadre logique, objectifs definis, suivi des indicateurs Charte graphique de tous les documents Pas de log spcifique, existance du nom 1 femme, 1 foyer, 1 fort , mais pas utilis dans toutes les IMF et peu utilis au quotidien. Prsence de rituels Rencontres annuelles avec tous les acteurs, rencontres mensuelles avec partenaires

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Langage spcifique ou jargon

Vocabulaire spcifique de la microfinance, MUSO (mutuelles de solidarits), langue locale parle par 90% de lquipe : Moor ,

Rgles (indicateurs spcifiques)

Nomination dun superviseur de lorganisation Inclusion dans la planification Description de tches Procdures crites 1directrice en CDI avec engagement minimum sur 3 ans + 1 responsable programme (burkinab) Respect des chronogrammes, des plannings et des cadres logiques Fiches de postes, + mise jour 1 fois par an pas de manuel de formations/sensibilisations procdures, sauf pour les

Standards institutionnels (indicateurs spcifiques)

Correspondance avec politiques publiques des Par rapport la dforestation , et la promotion de la microfinance. + IRSAT (Public) Ministre de lenvironnement : discussion rgulire en rponse appels projets Microfinance : EdM : inclus dans la stratgie nationale : fait appel des IMF existantes. Non, ce nest plus dactualit, les FA taient mis en avant en 1983 % dforestation mais plus maintenant

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5.

Appendix 5 : SPI audit conclusions for LSK

Synthse SPI pour LSK

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Les rsultats obtenus par LSK au questionnaire SPI sont assez htrognes avec une forte disparit selon les dimensions, cependant en considrant la taille et lanciennet de lIMF (5 ans), ces rsultats sont honorables et confirment que LSK est engage dans une dmarche proactive concernant la performance sociale, qui a besoin dtre structure en fonction des priorits de lIMF. Aprs une rcapitulation des points forts, nous voquerons quelques mesures damlioration de la performance envisageables.

1.

Un engagement fort de LSK pour la participation de ses clients

Depuis son origine, LSK a inclus ces clients comme partie intgrante des dcisions prises par lIMF. Ainsi pour chaque agence, le conseil dadministration, le comit de crdit et le comit de contrle sont composs uniquement de clients lus en assembl gnrale. Nanmoins labsence dun conseil dadministration pour lensemble de la structure ne permet pas aux clients davoir un pouvoir de dcision sur des questions stratgiques comme la mise en place de nouveaux produits ou limplantation de nouvelles agences.

2.

Une bonne adaptation des produits et des services

Un des points fort rside dans la diversit des produits quoffre LSK. En effet, en insistant sur lpargne, tout en proposant des produits tels que lpargne-objectif, les prts durgence, les prts long terme et les divers produits financiers standards, LSK obtient un trs bon score sur cette dimension. Toutefois, les prts de groupe et les dpts vue qui reprsentent respectivement 83% du nombre de crdits octroys et 93% de lpargne collecte ne laisse que peu de place aux autres produits.

3.

Un ciblage des pauvres non formalis

Dans les faits, LSK travaille dans des zones de march o la majorit des commerants sont pauvres et issus du secteur informel. Cependant, lIMF ne dispose pas dun outil et dune mthodologie qui permettraient de justifier ce positionnement et de mesurer les bnfices pour les clients (outils type PAT). Par exemple, louverture dune nouvelle agence se fait, aujourdhui plus par des donnes informelles que par une tude formelle identifiant une zone particulirement pauvre.

4.

Amliorer la fidlisation des clients

Le taux de clients inactifs (ou dabandon) de LSK est significatif et doit tre analys par lIMF. La mise en place pour les clients dune procdure de plainte et la mise en place denqutes de satisfactions pourraient permettre de comprendre les raisons du nombre lev de comptes inactifs des clients et daugmenter ainsi leur fidlit en mettant en place des mesures correctives adaptes. De manire gnrale, un recueil dinformation utilis de faon plus systmatique, permettrait de formaliser et de rendre plus objectif ladaptation des produits en fonction des besoins des clients. 5.

Amliorer la protection du consommateur

Le grand nombre de produits propos par LSK, et le manque de documents dinformations sur ces produits (transparence du TEG, conditions gnrales,) peut entrainer un manque de clart pour les

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clients. Ainsi la mise en place dune communication adapte et cible permettrait daugmenter lattractivit et la bonne comprhension de chaque produit. Par ailleurs, la redfinition du manuel de rfrence crdit permettrait aux agents de crdit de proposer des produits standardiss et de transmettre ces informations en toute transparence auprs de la clientle dans un souci de protection du consommateur. En outre, pour lutter contre le surendettement croissant au Burkina Faso, LSK pourrait inclure dans le montage du dossier un calcul de la capacit rembourser des bnficiaires qui est faite aujourdhui de manire informelle.

6.

Amliorer la responsabilit sociale vis--vis des employs

LSK en raison notamment de sa petite taille, na pas encore mise en place un manuel de gestion formelle du personnel. Le dveloppement potentiel de son quipe ncessitera terme une formalisation de la politique de ressources humaines incluant la mise en place dune grille salariale, des entretiens individuels annuels dvaluation, une participation des employs dans les dcisions stratgiques et une couverture sant pour tous. Ladquation entre les objectifs de la direction et ceux du personnel pourrait tre renforce par la mise en place de prime sur objectifs. Ainsi, le taux dimpays et le taux de comptes inactifs relativement lev pourraient tre rduits par la mise en place de ce type de prime sur la qualit de ces portefeuilles. Pour rappel, ces recommandations ont pour objectif damener lIMF explorer les pistes envisageables damlioration de la performance sociale. Elles doivent tre adaptes la politique gnrale de la structure et au contexte local.

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