MIX SPTF Presentation: Desk Review Workshop

The Premier Source for Microfinance

Microfinance Information Exchange

SP Desk Review WorkshopSPTF Annual Meeting June 3, 2014

The Premier Source for Microfinance

Data and Analysis

This presentation is the proprietary and/or confidential information of MIX, and all rights are reserved by MIX. Any dissemination, distribution or copying of this

presentation without MIX’s prior written permission is strictly prohibited.

Workshop agenda

• Progress of MIX SP reporting

• Current initiatives at MIX: reducing reporting burden and increasing SP data quality

• SP desk review basics

• Insta-poll: do you have what you need to participate?



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• Insta-poll: do you have what you need to participate?

• Structure of the desk review

• Results of 2013-14 round of desk reviews

• How networks can help

• Enhancing desk review value for all stakeholders

The evolution of SP reporting at MIX

Since 2008

• Collect MIX/SPTF SP indicators

• Build buy-in on reporting SP data

Since 2012 Up next . . .



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SP reporting outreach

800

1000

1200

Total number of MFIs with SP profiles

EAP

ECA

LAC



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0

200

400

600

FY08 FY09 FY10 FY11 FY12 FY13 FY14

Total number of MFIs with SP profiles

LAC

MENA

SA

SSA

TOTAL


Since 2008



Since 2012

• Streamline reporting process

• Build trust in SP data quality (desk review)

Up next . . .



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review)

Streamlining MFI reporting

Funders

Networks



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MFIs

Networks

Developed in

partnership with:

The problem: self-reported SP data

Financial data on MIX Market:

� Nearly 7 out of 10 MFIs have recent externally validated financial documents published on their profile.

Social data on MIX Market:



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How can we increase user confidence in MIX’s social data?

� Less than 1 out of 10 MFIs have externally validated social documents (social ratings, social audits, etc.).

The solution: SP document desk review

SP document desk review:

� Collect documents to corroborate SP indicators MFIs report.

� Publish summaries of which data points have been desk reviewed on MFI profiles.



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reviewed on MFI profiles.

Documenting social data builds trust in the data’s reliability, increasing its usefulness for analysis and business decision making.

MFI reports SP data to MIXMFI reports SP data to MIX

MIX or MIX’s partner requests corroborating documents for certain data points

MIX or MIX’s partner requests corroborating documents for certain data points

MIX or MIX’s partner checks documents against MIX or MIX’s partner checks documents against

How does the desk review work?



MIX or MIX’s partner checks documents against SP data reported by MFI

MIX or MIX’s partner checks documents against SP data reported by MFI

MIX publishes a document summarizing the desk review status of each indicator on that

MFI’s MIX Market profile

MIX publishes a document summarizing the desk review status of each indicator on that

MFI’s MIX Market profile

Some institutions become MIX S.T.A.R. (Socially Transparent and Responsible) MFIs

Some institutions become MIX S.T.A.R. (Socially Transparent and Responsible) MFIs

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What does it look like?

http://www.mixmarket.org/about/social_performance_validation



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A solid foundation for social responsibility

Raters, investors, auditors,

etc.

Verify the suitability of products and services, the appropriate implementation of policies and strategies, and the accuracy of datagenerated by an MFI’s surveys/MIS reports.



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etc.

MIX

Provides evidence of the existence of indicators (policies, strategies, procedures, products, services, and outcome data tracking) that an MFI reports.

“But what if we don’t have a social rating?”

• MIX has designed the SP desk review to make use of documents that MFIs already have on hand!

• Every MFI can participate in the desk-review process aslong as it can provide supporting documentation thatverify the existence of an indicator reported to MIX.



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verify the existence of an indicator reported to MIX.Social ratings and audits are not required toparticipate in the desk-review.

Insta-poll!

Do you already have what you need to desk review your institution’s SP indicators?

Insta-poll!



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Insta-poll! (cont’d)



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Current desk review outreach

RegionNo. of MFIs contacted

Percent of MFIs submitting docs

No. of STAR MFIs

EAP 42 10% 2

ECA 87 38% 7

LAC 142 45% 14



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MENA 20 68% 1

SA 129 35% 6

SSA 83 34% 0

All regions 485 41% (198) 30

As of May 2014

MFIs: what do you need?

SP INDICATOR CATEGORY ACCEPTED DESK REVIEW DOCUMENTS*

Outcome data MIS reports; external surveys; PPI certifications

Financial products/services

Detailed information on each (terms, target market, research, etc.)

Nonfinancial servicesDetailed information on each (description, partners, research, etc.)

Governance Board minutes; description of SP orientations



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Governance Board minutes; description of SP orientations

HR policies HR manual; copy of specific policies

Staff incentives Staff incentive policy or summary of policy

Client protection**Smart assessments; Smart certificates; external evaluations

Environmental policies Copy of specific policies; exclusion list

*MIX also accepts social rating and CERISE SPI reports for all relevant categories

**MIX does not accept internal documents to corroborate client protection practices

Is it hard?

RegionTypical number of SP data points reported*

Typical number of SP data points documented*

Typical percent of SP data points documented*

EAP 31 19 61%

ECA 26 13 50%

LAC 26 13 50%



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LAC 26 13 50%

SSA 30 14 47%

MENA 31 12 39%

SA 26 9 35%

All regions 27 12 44%

*Median values; only considers data points subject to desk review; excludes MFIs with no

data points documented; as of May 2014

Does it work?

Poverty

outreach

Enterprises

financed

Credit

productsCPPs

Women's

empowerment

services

Documented 68% 26% 73% 27% 33%

Not

documented27% 43% 14% 64% 43%



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documented

Removed 1% 31% 12% 9% 23%

Added 17% 9% 6% 0% 1%

Changed 6% 13% 1% 1% 0%

Networks: how can you help?

Review documents

Collect documents



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documents

Promote participation among affiliates to online MIX trainings

Facilitate connection between MIX and MFIs


Since 2008



Since 2012

• Streamline reporting process

• Build trust in SP data quality (desk review)

Up next . . .

• Enhance value for all stakeholders

• Begin onsite audits of MFIs



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review)

MFI

Donors and

Investors

Raters

MFI Networks

Regulators

Enhancing desk review value for MFIs

Include “social version” of MIX diamonds in MFI profiles

Add S.T.A.R. icons at top of MFI profile pages



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MIX diamonds in MFI profiles and data reports

Enhancing desk review value for all stakeholders

MIX Premium

Funder

Rater

Network



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MFI submits desk review documents through MRE and indicates which external parties have the

right to view each document

Premium Document

Library

MFI

Other stakeholders?

Public

New round of desk reviews starts in September!

MIX would like to say THANK YOU to the MFIs and

networks that helped make our 2013-14 round of reviews



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networks that helped make our 2013-14 round of reviews

such a success!

MIX partners with a dedicated group of industry leaders:

MIX Global and Project Partners



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Visit us on the Web:

www.themix.org ♦ www.mixmarket.org

Contact us: [email protected]

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Microfinance Information Exchange

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MIX SPTF Presentation: Desk Review Workshop

Government & Nonprofit

Transcript of MIX SPTF Presentation: Desk Review Workshop