PARCEL Standards – Asset Management
Defining your Assets
A clear definition for an Asset is in place, which defines a value threshold and also includes ‘attractive’ items of a lower monetary value but which are at high risk (e.g. laptops, digital cameras, GPS, VHF and other electronic equipment according to a risk assessment). The threshold meets or exceeds the majority donor minimum requirement of $300 and above. Assets also include any items that incurr running costs such as mobile phones and satellite phones.
Asset Information and Reporting
Information on Assets is recorded centrally in a tool (e.g. Asset Register / Spreadsheet). Records are maintained regularly and include as a minimum:
- Asset Description (including brand / make / model)
- Date of Purchase
- Purchase value and currency
- Contract and Funding Source (e.g. Donor contract)
- Asset Tag / Reference number
- Serial Number(s)
- Name of Individual Responsible / person to whom asset is assigned (name and job title)
- Asset Status
This information is compiled into a short report at least quarterly and main points are reviewed at a management level and decisions taken to improve performance / reduce risk.
Asset Tracking and Control
Each Asset is physically labelled / ‘tagged’ with a unique reference number which clearly identifies the asset as the property of the organisation. Asset movements are controlled enabling accurate and timely tracking and reducing the risk of asset loss / damage.
Physical Verification of Assets
All Assets are physically verified at least once per year, or more frequently if required by a specific donor contract, or where the environment and levels of risk require it.
Asset Registration and Licensing
All Assets are registered and / or licensed in accordance with any applicable national / international requirements.
Asset Accounting and Depreciation
Written and communicated procedures are in place to account for Assets across multiple funding sources, for instance expensing, charging, depreciating (where applicable) by financial year. These procedures are in accordance with international finance standards and sector best practice.
A written procedure for Asset Disposal is in place, which includes, as a minimum:
- Clear authorisation roles, (internal and external)
- Handling of specific donor requirements
- Disposal method decision (Donate / Transfer / Sell / Destroy)
- Details of which documentation to keep on file
- Specific process steps for the Sale of Assets
Staff can explain these processes and paperwork supports current process compliance.