SOCIAL PERFORMANCE MANAGEMENT (SPM)

Social Performance Management (SPM) is the institutionalized process of effectively translating a Microfinance Institution’s (MFI) social mission into practice. Therefore, the introduction and implementation of an SPM system refocuses MFIs on their initial reason for existence: the client.

In 2012, Al Majmoua structured its SPM framework, based on the Universal Standards for Social Performance Management (USSPM).

The first step in implementing our SPM framework was the launch of Al Majmoua’s SPM Committee in June 2012 to efficiently organize the implementation and monitoring of our SPM strategies. Through quarterly meetings, the Committee follows up on the SPM action plan’s progress whilst setting SPM-related institutional and operational objectives.

MAJOR SPM DEVELOPMENTS

• Formalizing SPM standards and client protection principles in policies and procedures
• Redesigning the loan applications to include measurable output and outcome indicators
• Systemizing the process for client satisfaction and exit assessment
• Integrating SPM-related risks in the institution’s risk matrix
• Standardizing the tools for SPM communication
• Implementing high security measures for digital data privacy