ORGANIZING DATA

Analytical codes are a basis for organizing data

Codes facilitate the organizing of data. The power of relational analysis is maximized by the design of the analytical codes. This is the key to easy analysis, and relatively easy to do for a relational database. Frequently, however, it is ignored and code designs do not follow fully logical rules and easy analysis then becomes impossible.

Account codes

Part of the power of conventional accountancy was the logic of the account codes ... and this will become even more important as a uniform framework for socio-economic performance metrics and breakthrough accountancy emerges.

Budget codes

In government settings budget codes are the codes that control government moneys more than anything else. Many countries use a “single treasury account” financial control framework with all government disbursements controlled by a “vote” of the legislative body. EXPAND

Program codes … Organization codes … etc.

The power of IT for processing data is optimized by a strong code system that allows for easy aggregation of transaction data and easy drill-down from summarized data. EXPAND

Place and time analysis

Place and time analysis are important in the use of TVM … and for easy analysis there must be rigorous systems for coding of place and time.

Analysis Independent of Permissions

TVM does value analysis independent of any permission … the more permission is refused or there are constraints on dataflow, the more it is imperative that value analysis is done and conclusions drawn. The more there is “push back” the more there is a need for the data to be obtained and for the analysis to be done and reports available.

While there are strong laws and rules that require organizations to publish financial data … the way these data are published limits what it is possible to learn from the material rather than being a regime where data about performance are clear and operations transparent. There are good … that is bad … reasons for keeping operational data private! Many business organizations cut corners and private “deals” are going on all the time. These “deals” make the participants a lot of money and are only possible as long as the financial reporting remains opaque.

This is an old idea … that works

If the CFO considers everyone to be a crook … and designs the accounting system so that it is difficult for a crook to steal the company's assets … then the accounting system will control the company's assets. Experience suggests that crooks are everywhere … but most are lazy … so they don't bother with an accounting system that is hard to compromise. Change the internal control system from time to time to keep from making it easy!

Organizations like the World Bank have diminished the role of financial processionals in keeping track of the money … accordingly it is no surprise to have extremely weak financial controls in almost all areas of the relief and development sector, including in projects that are funded by development banks and international donors. These fund flows have been treated like open access ATM machines, and the fact of slow progress in the relief and development arena is not at all surprising.

Changing this is not going to be done “with permission” … it is going to get done because it is right, and the public is entitled to accountability for the use of resources and the outcomes.