A SACCO like any other financial institution is faced with myriads of challenges. These challenges range from managerial, to dispensation of services. In this article I will share with you the benefits of a SACCO management system.
In summery:
- Streamlines record keeping.
- Improves efficiency in service dispensation.
- Automates some tasks.
- Brings services closer to members.
- Improves accuracy in reporting and data capture.
- Reduces paperwork in the office.
- Saves office space.
- Reduces costs of managing a SACCO.
Point 1. Streamlines record keeping.
A SACCO management system helps to streamline the process of record keeping. An accurate system makes record keeping efficient. The process of searching for records and data also becomes easy and less time consuming. For instance if one wants to pull out a Trial balance for the previous financial year, it takes a matter of seconds and he/she has their trial balance on the screen. This is where system beat humans.
Point 2. Improves efficiency in service dispensation.
Having a SACCO management software improves service dispensation. A member who needs their statement for the last 2 years can easily get it in a minute. Rather than a SACCO employee digging deep into traditional books to create a 2 year statement, a process that would last for over 20 minutes, they simply make a few button clicks and the statement is ready. Services such as USSD, self-service portals, mobile apps improves service dispensation.
Point 3. Automation Of Tasks
A SACCO management software automates heavy tasks thus making managing a SACCO easy. SACCO employees do not need to run to their calculators to compute loan interests, penalties, and fees. The software takes care of such stuffs. Sending reminders of loan repayments becomes an easy task because systems can be programmed to do such activities without human intervention.
Point 4. Brings Services Closer To Members.
USSD services, self-service portals, mobile applications, agency banking and ATM services not only improve service dispensation and delivery but also helps a SACCO bring services closer to her members. Such services play a key role in the growth of a SACCO.
Point 5. Improves accuracy in reporting and data capture.
When given same sets of input computer systems give out similar and consistent output. When dealing with financial data, accuracy is key. You can’t give inconsistent and inaccurate reports/statements to members, auditors etc. A SACCO management system helps solve this problem. Also, once programmed, a SACCO management system will expect certain conditions to be met before saving your data.
For instance, if a system was programmed to demand for a national ID, alien ID, driving license or passport number when registering a member, this condition will have to be met before one becomes a member of a SACCO in the system.
Point 6. Reduces paperwork in the office.
A SACCO Management Software helps reduce paper work to a greater extent. Some activities could be accomplished via the system thus eliminating the need of paperwork. For instance, members could send their loan applications through USSD services, Self-service portals or Mobile Apps and SACCO employees could approve & process those applications without necessarily touching a single piece of paper.
Point 7. Saves office space.
Since a lot of data capture and record keeping could be done through the system, a SACCO needs fewer drawers and file cabinets to store their files and records thus using their office space for other beneficial purposes.
Point 8. Reduces costs of managing a SACCO.
Not only does the SACCO save on stationery but also on staff. One member of staff can not only serve more clients but also multi-task between activities. Since some tasks could be fully automated, fewer human beings would be needed thus cutting on staff salaries.
Thank you for reading this article up to here. If you’re planning to automate your SACCO, we have shared some key points to keep in mind when choosing a SACCO management system. Click here to read on how to choose a SACCO Management System.
These are some of the benefits of a SACCO management system. Has a key point been left out, please feel free to drop those points in the comments section.
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