Course Overview
This course is a comprehensive introduction to financial management for NGOs. Designed for people who want to build or increase their skills in financial management and who work or are looking to work with international development and humanitarian organizations, donors and public institutions, NGOs, non-profit and community-based organizations, Government agencies, and anyone interested in a career in financial management.
You will learn the most important concepts in financial management, such as who is responsible for financial management in humanitarian and development organizations? How can development organizations manage their finances effectively and responsibly? Budgeting and budget management, budget monitoring, accounting records, internal control systems and cash flow forecast.
Course Content:
Module 1 – Introduction to Financial Management
- What is financial management?
- 4 Building Blocks of Financial Management
- The Importance of financial management
- Who is responsible for financial management in development organizations?
- Managing Finances Effectively and Responsibly
Module 2 – Budgeting and Financial Planning
- What is a budget? And who needs budgets?
- How do you plan a budget?
- Different types of Budgets
- What are common budget challenges?
- Best practices in Budgeting
- Practical examples in budgeting
Module 3 –Accounting Records
- Why keep accounting records?
- What are the different methods used to keep track of financial transactions?
- Types of accounting records in development organizations
- What kinds of financial statements are prepared from the accounts an organization keeps?
- Depreciation and Shared costs
Module 4 – Internal Controls
- Introduction to internal controls
- Types of internal controls
- Stages of internal control system
- Risk management and risk mitigation
- Practical examples of internal controls
Module 5 – Financial Reports
- Overview of financial reports
- Types of financial management reports
- Benefits of external reports
- Elements to include in reports
- Analyzing financial reports
- Actions to take when variances occur
Module 6– MANAGING AUDIT
- What is an audit?
- Internal audit
- External audit
- Donor (or project) audit
- What does the auditor need?
- Summary
Module 7– FRAUD AND CORRUPT PRACTICES
- What is fraud?
- Top tips on the warning signs of fraud
- How to deal with fraud
- What is corruption?
- Bribery and the NGO sector
- Zero tolerance approach to bribes
The course is asynchronous; the instructor provides learning materials, tests, and assignments that can be accessed at any time. Students are given a timeframe during which they need to complete the assigned activities and submit their exercises in order to receive a grade. Students that successfully complete all course requirements will receive a printed and signed Certificate of Completion.
