The Gaza Crisis, UK Mosques & Muslim Charities

The recent Gaza crisis has affected us all. Thousands of civilians have lost their lives in Gaza. The social media and news coverage of women, children and the vulnerable being killed is heart wrenching. Over 2m of the population of Gaza is deprived of water and fuel and face a dire humanitarian crisis as highlighted by independent UN agencies.

In times like this, many feel obliged to act and campaign – this is not only a natural human response, but also embedded within the faith of many Muslims.

In times like this, many feel obliged to act and campaign – this is not only a natural human response, but also embedded within the faith of many Muslims.

The Muslim international relief charities play a crucial role and provide a valuable service in facilitating this donation to the intended population of Gaza.

Recently I have been contacted by concerned individuals asking various questions relating to donating or raising funds to Gaza. In this blog, I provide some answers to three questions:

Question one: Can my charity raise money for Gaza?

It all depends on the charitable objectives and purpose of your charity. If your charity has an objective to provide relief from poverty and / or to provide relief to disaster-stricken people and it does not restrict to a particular location other than Gaza, then your charity can raise funds for Gaza.

The following consideration are important to note:

1. Due diligence of delivery partner – Hamas proscription

Vast majority of Muslim charities, if not all work through a delivery partner in Gaza. Funds are transferred to these partners to deliver the relief projects. Gaza is governed by Hamas and under UK law it is proscribed as a terrorist organisation. Hence it becomes illegal if any funds of a UK charity end up with Hamas. So, UK charities must satisfy themselves on the following:

  • the delivery partner is not controlled by individuals on the UKs sanction lists.
  • The delivery partner does not use suppliers connected to a sanctioned entity or individual.
  • The delivery partner does not pay rent or taxes to the Hamas regime.

Vast majority of Muslim charities, if not all work through a delivery partner in Gaza.

2. The ability to deliver relief

Charities will also need to check the ability of the partner to deliver the projects in Gaza. This can be checked by obtaining the following: Governing documents, Bank statements, past project reports, organisational charts, policies, project proposals and references.

3. Satisfying the banks

Transferring monies to Palestine generally and Gaza especially is not easy. Banks expect charities to have done their due diligence and will often request evidence to confirm this.

Lack of timely evidence after the bank requests information often results in the UK bank or corresponding bank or banks in Gaza blocking or returning the funds.

4. Disclosing the name of the delivery partner

When preparing the annual financial statements, charities are subject to charity accounting rules called (SORP). These rules require charities to disclose the name of the delivery partner used in that period and the amounts paid to them in that year and in the prior year.

I sometimes find some charities attempting to omit this information in their annual statements giving a false impression to readers of the statements as if the charity directly delivers projects in Gaza.

Overheads paid to separate entities that deliver projects on behalf of the UK charity are not disclosed in the UK charity accounts. This is one of the reasons why for transparency purposes the charities are required to disclose the name and total amount paid to the deliver partner in their annual financial statements.

Overheads paid to separate entities that deliver projects on behalf of the UK charity are not disclosed in the UK charity accounts.

Question two: Can my Mosque raise funds for Gaza?

Yes. and this depends on the charitable objectives of the charity that runs this Mosques. Mosque charities often have objectives that are restricted to furthering the religion of Islam by providing a facility to worship – this may not allow fundraising for international relief projects unless a clear link can be made with the act of worship. For example, Mosques may be able to raise Zakat funds and use a delivery partner in Gaza to execute the Zakat funds to the needy.

Mosques can partner with international relief charities and provide them access to their congregation and facilities to directly raise funds for Gaza. Mosques can enter into agreements with these charities to restrict the funds to specific projects and be compensated on any costs incurred in raising these funds.

Question three: Can Mosques carry out political campaigns and activity for Gaza?

Generally, the answer is No. Charity Commission has detailed guidance on this topic. The link to this detailed guidance can be found here.

The general rule is that a charity can carry out campaigns and / or political activities only if it furthers their objectives stated in their governing document. Mosques seldom have human rights objectives in their trust deeds or constitutions. Therefore from Mosque platforms and / or using Mosque resources to lobby local or central government for a foreign policy change in relation to Gaza may not strictly be considered an allowable activity. This does not mean Mosques cannot or should not voice their concerns or carry out activities in responding to this crisis.

Below is a list of activities Mosque can and should carry out:

1) Educating the congregation on the current situation in Gaza through religious sermons and lectures.

 

2) Making statements that link back to faith, sanctity of life, religious harmony and coexistence with other faiths.

 

3) Providing facilities and access to congregations to activists for education, petitions, protests all for awareness purposes.

 

4) Providing young people safe spaces to discuss the issues with a faith lens and in the context of the society Mosques operate in.

 

5) Inviting local politicians to address the congregations on their positions.

 

6) Trustees or employees in their personal capacity and personal time campaigning and carrying out politically activities. In conducting these activities, the trustees and staff must ensure the associated charity / Mosque is not brought into disrepute.

 

7) Engaging with local councils, police, and central government to ensure safety of congregation and Mosque facilities and compliance to laws.

 

8) International relief / aid charities can make statements and lobby government on humanitarian grounds. Mosques can provide logistics and congregation support to these charities.

 

Author:

Nasir Rafiq BA, FCA is the Managing Partner of Dua Governance Chartered Accountants, an ICAEW firm specialising in charity financial governance and accounts.

Nasir works and deals with a large portfolio of Muslim charities and Mosques in UK advising them on accounts and governance issues.

Nasir is the former Finance & Corporate Services Director of Islamic Relief Worldwide and holds many senior positions within the Muslim community.

Email: info@duagovernance.com

End –

The Power and Art of Mediation

In the past two decades, I have been involved with many high profile mediation’s. This has become a key feature in many of my past and present engagements.

 

Be it, disputes between trustees, disputes between employee and trustees, issues with regulators or between family business partners. Each time, I came in when all options have been exhausted and there is a stalemate, risk of self-destruction or Charity Commission intervention.

 

With Allah’s blessing, I have always prevailed and have been able to resolve the matter amicably. My suggested solutions and plans achieved satisfaction by all parties and a “win win” solution for all with a clear way forward, Allhumdulillah.

 

Although the outcomes were satisfying, the journey to it was often bumpy with lots of grit, patience, and sacrifice involved.

 

My approach to mediation is not conventional. Often the traditional culture forces the disputing parties to accept each other’s demands. Emotions and Islam is used to exploit each parties guilt and force corporation on moral grounds. This seldom results in long term and lasting solutions.

 

My approach is far, from it.

Mediation should be about justice, fair judgement and agreeing on what is right and fair, in the context of the overall objectives of the organisation and its expected destination.
 

For me, mediation is about justice, fair judgement and agreeing on what is right and fair, in the context of the overall objectives of the organisation and its expected destination.

 

This should not be about personal wins. Mediation or compromise should be about both parties winning, not the strong overcoming the weak which is often seen in traditional mediation.

 

In each mediation, I employ the following same principles:

 

Mediation requires a SMART overall objective

 

I determine the overall SMART objective. Something, I can visualize and touch. Something that makes both parties stronger and win. This is the utmost important part of any mediation. Weak or no objectives, results in outcomes that are weak and at times unfair.

 

Empathy is the ingredient to success

 

I place myself in each parties’ shoes and explore the pressure points. Having empathy is the key ingredient for building trust. Empathy should be the starting point for any mediation.

One must see wood from the trees

 

Once the pressure points are identified, I iron them out against the overall objective. It is at this stage; I separate out the noise and the wood from the trees.

 

Baggage needs offloading

 

People carry baggage that they need help with offloading

 

People carry baggage that they need help with offloading. Sacrifices and compromises must always be for a bigger objective and cause.

 

I make an effort to identify and offload this baggage which is often built up over a longer period based on personal experiences and perceptions. Often brushed under the carpet and ignored – never dealt with and it becomes the monster that stops common sense to prevail.

 

Once I am left with the genuine concerns and risks, I build bespoke solutions, based on my professional judgments and experiences – Again, against the overall objectives of the mediation.

 

Closure needs work

 

The mediation is then “closed” by all parties agreeing to “my solution”. By this time, I have earned the trust, strong emotions are ironed out and the focus for both parties is on the “win win” solution. The details are agreed and then signed off.

 

All the above is accompanied and peppered with hard work, difficult discussions, listening, patience, moments of quiet meditations and a hard resolve from me with no compromise.

 

Mediation is most relevant at the top

 

People in positions of responsibility often end up carrying lot of baggage – this builds up over time, much depends on them being able to work effectively with each other. This is not always possible, and this inability of being able to work together often risks bringing the whole building down with years of “building” and “achievements” to a dramatic loss.

 

This is where mediation then becomes that tool that can put the train back on its track.

 

Mediation is not about making people love and hug each other – its about achieving objectives and making sure the train gets to its destination.

 

Mediation is not about making people love and hug each other – its about achieving objectives and making sure the train gets to its destination.

 

End –

 

Author: Nasir Rafiq is a widely experienced Fellow Chartered Accountant (ICAEW) and a Charity Financial Governance Expert.

 

He is the Managing Partner of Dua Governance, a Charity Governance specialist accountancy firm.

 

Nasir has held many senior finance positions within the UK charity sector and continues to advise many charities on governance and leadership matters.

 

Email: info@duagovernance.com

Important Lessons from Strawberry Picking

Strawberry picking is a fun day out for all ages. This outdoor activity has it all, sweet fresh berries, a walking exercise and a family fun activity of picking various fruits from their plants.

 

In this innocent activity, one can also “pick” many lessons for individuals and organisations. As I walked through the various fruit lines, I started to pick many of these lessons and came across the following four valuable lessons:

 

Lesson 1: Sweet fruits are on branches that hang down

 

Branches full of fruit are the ones that hang down with the weight of their fruits. This is also true in real life. Individuals that are humble and flexible are the ones that attract people and affection like that branch full of fruits.

Individuals and leaders that are arrogant and inflexible tend to find themselves like those branches pointing in the air with no fruit – nobody likes them or entertains them. Its not the branch that matters but the fruit on it – In real life we forget this.

It’s not the person but the personality and personal conduct matters.

It’s not the person but the personality and personal conduct matters – both define qualities the person and make it so that people benefit.

 

Lesson 2: Size, colour, and design does not matter

 

Many strawberry farms, also grow many other berries as well. From strawberries to raspberries and blueberries. Each berry is different in size, colour, plant, and taste. When ripe and juicy each of them energises the taste buds and gives immense pleasure.

 

The key word here is “ripe” and “ready to eat”.

In real life we focus too much on size, colour, ethnicity, and political affiliations, like the farm the world is full of variety – what should matter is maximising the ability and impact of individuals and organisations.

 

When ready the fruit will taste the best on their own plant – it’s wrong to expect the blueberry to grow and taste good on a strawberry plant or vice versa.

Like plants, individuals are at their best in their own environment and identity – this should be respected, celebrated, and protected for them to “ripe” and excel.

Like plants, individuals are at their best in their own environment and identity – this should be respected, celebrated, and protected for them to “ripe” and excel in all walks of life and organisations. Where this is ignored, it’s the organisations and leaders that lose out from the potential talent and resource those individuals could have offered.

 

Lesson 3: It’s the picking that dictates the quality of the basket

 

The fun in strawberry picking comes with holding the basket and picking the fruit into it. The thousands of plants have thousands of fruits hanging on them at different stages of their life, some ripe and some not as ready. They hang in groups and on different branches. Depending on their position on the plant and branch – they can taste different, sweet, or bitter.

 

It is how and when they are picked determines, the quality of the fruit in the basket. A farm full of fruit that looks unripe may still generate a basket with ripe and colourful tasting fruit. This requires effort and time for the picker to dig deep in finding the ripe fruit.

 

Organisations that have good quality staff have impeccable recruitment practices – they reach out and plan carefully to find and retain the right talent. These organisations then stand out and achieve their objectives – It is then the basket of fruit gives the right pleasure and visuals.

Those that go on a “picking” spree influenced by numbers and digits (nothing more) tend to end up with the wrong mix of fruits in their basket.

Those that go on a “picking” spree influenced by numbers and digits (nothing more) tend to end up with the wrong mix of fruits in their basket. The basket will eventually cost them at the counter and the fruit will be of no use, leaving a bitter taste. I see this often in organisations, especially charities.

 

Lesson 4: Season and gardening make the difference

 

As we are walking out of the farm, we came across some berries out of season – their plants were fruitless and resembled wild bushes with no use.

 

We were so wrong.

 

Given the right season, care and effort the farmers will put into them, they are to taste better than the sweet berries in season we were tasting today.

 

In real life, the same mistake is made with individuals and organisations. We are trigger happy to right them off not realising that we may be meeting them in the wrong season or all they require is care and effort to blossom.

Instead of waiting for the right season or investing in care and training, we judge them and leave them with wrong labels. Hence losing out from the ability and impact they could have shown.

 

Like sweets berries, individuals and organisations require the right environment, care, training, mentoring and guidance to grow and bear fruits for many to enjoy.

End –

 

Author: Nasir Rafiq is a widely experienced Fellow Chartered Accountant (ICAEW) and a Charity Financial Governance Expert.

 

He is the Managing Partner of Dua Governance, a Charity Governance specialist accountancy firm.

 

Nasir has held many senior finance positions within the UK charity sector and continues to advise many charities on governance and leadership matters.

 

Email: info@duagovernance.com Website: www.duagovernance.com

 

Charity Leaders: Why personal conduct matters

The charity sector represents public benefit. Leaders of charity offices often preside over limited resources in the context of the job required of them. They also take decisions on donor funds and their decisions can have a far-reaching impact on the people that work in charities and / or the beneficiaries.

 

Staff may be asked to sacrifice for the greater good, for beneficiaries sometimes this can be a matter of life and death or economic survival.

 

Charity leaders must be able to lead an effective team; their success depends on it.

Charity leaders must be able to lead an effective team; their success depends on it. In doing so leaders often have to take difficult decisions to bring the best out of them. The team must be able to trust and respect the leader. Leaders can train future leaders only when their followers can see them as role models and mentors.

 

In this context the personal conduct of a leader especially in the charity matters. It becomes the difference between success and failure. A leader may move mountains, people and followers will forget that – however the conduct on how those mountains were moved is what becomes the legacy of that leader.

 

It’s the personal conduct that touches people and followers and becomes part of the human memory and emotional history of the leader.

Below are some common leadership characteristics and conducts that I have experienced in the charity sector that are proven to make a difference:

 

Trust requires building

 

People and followers must be able to trust their leader. It is only through the trusting, it becomes easier for the people, followers and teams to sacrifice and backdown at their personal cost. Trust is created by being able to follow through on promises without compromise. Trust must be earned and does not automatically come with positions – The leader can build it or break it.

 

Trust must be earned and does not automatically come with positions – The leader can build it or break it.

Trust is built by being transparent in public and private communications. Consultations promote trust especially when the followers / team members know that they will be consulted – this builds trust within the team. Trust grows in humility by accepting mistakes when they are made, and all leaders make them. All this requires consistency and patience by the leader.

 

Fairness come what may

 

Leaders enjoy powers entrusted to them over those that follow them. How they use these powers for the greater good of the office they represent identifies their conduct.

 

Those leaders that don’t compromise on fairness tend to be more powerful and effective than those that compromise to benefit family, friends, or personal business interests – A leader may have favorites on a personal level – this must not skew the balance of fairness in the organisation.

Nepotism eats personal conduct like termites eating wood

Nepotism eats personal conduct like termites eating wood. One the face of it the wood has structure, the termites eat it from within. The wood sound then becomes hollow when tapped, just like the leaders that constantly compromise on principles over nepotism. When these leaders are tested, their teams abandon them over their hollow rhetoric.

 

Being fair and more importantly the perception of being fair (as important) is a crucial conduct that effective leaders often display. This requires the leader to stick to policy and process and become a role model in doing so.

 

Justice is not for the weak

 

Humans are not angels – they make mistakes or do wrong. Teams and followers are not immune from it. An effective leader when confronted with wrong, deals with it. As not dealing with it promotes it, grows it, spreads it – there is always a limit on how much dust can be swept under the carpet. Whenever (and it will) the carpet is removed, all is laid bare, and it is then reflected on the conduct of the leader.

 

Justice has its value when it can be felt and seen. This sets the standards and creates an environment where mistakes and wrongs are less made and discouraged. It becomes the moral compass for leaders and their followers / teams – with this compass they cannot go astray.

 

Being just becomes the moral compass for leaders and their followers / teams – with this compass they cannot go astray.

 

The good practice that is practiced

 

Leaders that tend to take personal conduct seriously, often lead organisations with:

  • effective HR and operational policy and processes that are followed,

  • good and consistent performance management processes,

  • effective organisational structures that achieve good quality consultation and accountability,

  • fair and effective recruitment policy and processes – the right person the right job,

  • a skillful rotating board that appoints the leader on merit and holds the leader accountable.

 

End –

 

Author: Nasir Rafiq is former Interim Finance & Corporate Services Director of Islamic Relief Worldwide (2016-2019). He has held many senior finance positions within the UK charity sector and continues to advise many charities on governance and leadership matters.

 

Nasir is the Managing Partner of Dua Governance Chartered Accountants and Business Advisors. A firm specialising in the charity sector.

 

He is a widely experienced Fellow Chartered Accountant (ICAEW) and a Charity Financial Governance Expert.

 

Email: info@duagovernance.com

The Nightmare of Reporting

As I woke up one day, the strangest event had occurred. Suddenly and permanently the requirement to report audited financials had been lifted and no longer required. Just like that, no more annual accounting protocols, costs, or deadlines, no regulators, no fines and no shaming in red.

 

As I switched on the TV news, there was chaos all over the world. The Stock markets had crashed as investors were pulling out. Investments had been made based on guesstimates and bias representations from companies that did not materialise. Safe businesses were suffering huge losses and companies were running out of cash and being forced to close.

 

As legal disputes between shareholders and company managements were being drawn up by expensive lawyers, masses were being made redundant and risked losing their homes and livelihoods.

 

The Government was up in arms as suddenly there was a huge hole in their coffers as many companies understated their results for tax purposes. Hence, the public finances took a hit with many hospitals and schools now risked facing closure.

 

I frantically went online to assess the situation in the charity sector and was taken back by the result. Although there was no shareholding or profit making, the impact was equally severe.

 

Many Institutional funders pulled out from funding charities to implement their projects. These charities had failed to pass the minimum due diligence that came with annual audited accounts. As charities pitched for funding, they overstated their ability to deliver and ended up wasting and losing funds meant for beneficiaries in dire need.

 

The public trust on charities took a hit as there no longer was a credible mechanism to assess if these charities kept their accounts in proper order and if their accounts were true and fair.

What shocked me the most was the sudden holes in the finances that many charities were reporting. As if cash had disappeared. I had considered these charities to be strong in financial governance. These charities were now facing significant error or fraud in their accounts and there was no easy answer as there was no reference to an independent professional check. Consequently, many Trustees and CEO’s were removed from their positions in disgrace.

 

The World had ended up in chaos and it seemed no one was left immune, the rich and poor were equally and adversely impacted. All organisations were paying the price of this catastrophic change in the World.

 

As my confusion and shock peaked, I felt a tap on my head, and it was my wife waking me up for the morning prayer. She was waking me up from this never-ending nightmare.

 

As I sat on my prayer mat after my prayer, it dawned on me how important the annual financial reporting process is to the current World order and trust when dealing with finances. Organisations that take the annual financial reporting seriously not only fulfil a regulatory need they contribute to today’s World order and transparency.

 

I also learnt that preparing and compiling year end accounts process not only fulfils external reporting needs, it also has an effect of providing assurances internally that the accounts are free from any material misstatement, error or fraud.

 

Humans make mistakes and are susceptible to greed or quick wins. If gone unchecked this can accumulate significant harm in finances in the short and the long run. The role of external scrutiny of the accounts is to keep this in check and have a credible reference for internal and external stakeholders.

 

The external reporting process is important to financial governance and therefore requires priority, investment, and attention by those charged with governance of their organisations. They can either treat it as a box ticking exercise or an exercise that keeps their nightmares at bay.

 

End –

 
 

Author: Nasir Rafiq BA FCA is a widely experienced Finance Professional and Governance Expert. He works with business and charity organisations of all sizes and complexities.

Nasir is the Founder Director of Dua Governance Chartered Accountants and Business Advisors. A firm that specialises on governance advisory services to the charity and business sector

Succession – When is the best time to let go

Its hard to let go when you have grown an organisation, be it a business or a charity with personal sacrifice, commitment and / or investment

Sometimes this question leads to breakdown of relationships, disagreements and even legal fights or regulatory action. Humans are mere mortals, and this question always hangs over every Leader, Founder and Owner. This question can be answered in many ways successfully and sometimes unfortunately by force.

In my professional capacity, I have worked to answer this question in the business and charity sectors. My starting position has always been to question and understand the motive of the question as the answers lies therein.

Succession should be about success of the business or charity

Succession must always lead to success – this is when it becomes utmost important to define what that “success” actually looks like.

Does success mean becoming a bigger business or profitable one? Is it about becoming a larger charity or better governed one? Is it about changing the way the organisation is run or just about retiring and passing the mantle?

In defining the parameters of success, the timing matters as it focuses the minds and rewards.

When the question of “succession” is considered without working out the question of “success”, it risks leading to the wrong answer. Not all business successes require successions. And if not careful, unnecessary successions can lead to disasters and failures due to losing history, commitment, and profile of the leader internally and externally. Artificial term times don’t always work, especially when copy / pasted from other organisations.

What success looks like may even require other solutions other than succession. For example, advisors / new positions under the leader, more delegation or just good and better business planning or resources.

However, when the succession discussion is underpinned by the need of a clearly identifiable success then difficult discussions become easier to digest and problems turn the mind to “win-win” solutions. Succession planning becomes meaningful and desirable.

 

Good strong successors don’t grow on trees

In a family business or a family / friend run charity, the perceptions of control can dominate the succession discussion over the need for real organisational success. Not all seats on the board table mean control – the wrong successor can compromise success – without the real success, control means nothing.

However once succession is on the cards, finding the right successor can become an impossible task. The identified success parameters should determine the type of successor required – Leaders don’t grow on trees and may not be just plucked out of thin air. Promoting an amateur and / or choosing an untried hand can be a risky affair – this is why a timely succession planning is always a cornerstone of good governance.

Below are some examples of how succession planning works in good governed organisations:

  1. Delegation nourishes leadership. This can be achieved in a controlled and a phased manner. The delegation matrix should be meaningful and there should be succession planning thought behind it – This should not just be a HR tool to use when things go wrong.

  2. Input leads to outputs. Every great leader started from a junior position and worked their way up. Never underestimate a good effective recruitment strategy at junior grades. These are the stones that can be carved into eye-catching statues of tomorrow. Graduate recruitment of great corporates is designed with this in mind.

  3. Mentoring should not be accidently achieved – it should be planned. This is a fruit that can be produced through an effective HR function and through good performance management protocols. Effective leaders budget their time for mentoring – these are the seeds that can grow into the trees of tomorrow.

  4. Nepotism can be costly. It comes at the cost of achieving real success. It suppresses real leadership and opportunity. Organisations that keep nepotism in check make succession planning work effectively. These are the organisations that are designed to succeed in their organisational objectives. Those that don’t, lose in the long run.

 

End –

 
 

Author: Nasir Rafiq BA FCA is a widely experienced Finance Professional and Governance Expert. He works with organisations of all sizes and complexities.

 

Nasir is the Founder Director of Dua Governance Chartered Accountants and Business Advisors. A firm that specialises on governance advisory services to the charity sector.

Governance – When it goes pear shaped

Dominic Cummings, the former senior strategy advisor to the then newly elected Prime Minster Boris Johnson was at the heart of government when the Covid 19 crisis folded and was privy to all that went on.

After being forced to leave government, he appeared before the MPs committee on 26 May 2021 to answer questions on how government responded to the Covid19 crisis, this was a fascinating and a shocking viewing.

 

This reminded me of issues I regularly experience in charity and business organisations.

 

I have never been a fan of the politics of Dominic Cummings but his fascinating insight and views on how the government machine worked really hit a nerve. He had many golden nuggets to share for those that understand the practicality of good governance in large and complex organisations. In crisis the cracks are all laid bare. 

 

In this blog, I will share some of these golden nuggets:

 

 1. The role of corporate planning

 

Yes, its important to have crisis management plans and risk registers. These should be regularly tested. A government can have all that in place at department level, however this is still not effective unless there is a central plan that brings it all together. 

 

In my line of work, often I see a silo working culture in large organisations. In this culture, staff in each department and division become inward looking and start to tick the box for their own sakes. They do not realise that when the organisation hits a crisis, it is not the department plans that matter anymore – the plan has to make sense in the context of corporate priorities and defense, led by the central leadership.

 

In my line of work, often I see a silo working culture in large organisations.

 

Organisations that often have an effective corporate strategy and plan backed by a corporate risk register are the ones that ensure work done at individual and department level is most effective for the wider organisation, its stakeholders and its beneficiaries.

 

There is no point of having a star performing individual or department, if it does not save the overall organisation from sinking.

 

There is no point of having a star performing individual or department, if it does not save the overall organisation from sinking.

 

2. Decision making in crisis

 

Cummings in his appearance talked about finger pointing of key roles and government departments at each other. He spoke about some great work and talent at junior levels that were being ignored. All this accumulated to a culture of chaos, as the government formulated a response to the pandemic.

 

In normal times, large and complex organisations can have conflicting priorities and policies between departments and official positions. However, in a crisis these can become a hurdle and hold back when there is culture of silo working.

 

The one strong leader needs to become the pilot taking over the reins while switching off the auto pilot.

 

It is at these times; the one strong leader needs to become the pilot taking over the reins while switching off the auto pilot. Those that have the titles may no longer be suitable anymore – others may need to be upgraded to speed up the decision making. Policies that governed the organisation in normal times, may now need to be flexed, removing red tape to create breathing space. All this is needed to respond to the crisis and to save the ship.

 

 

Consultation for decision making is good but it is a means to achieve a greater good not the end goal. Consultation should be meaningful in a crisis, not just for sake of it to please individual egos.

 

The leader and the wider executive may be appointed through a robust and fair recruitment process – these are for normal times. When the crisis hits the fan, the leader is expected to rise to the challenge taking difficult decisions and making most of the tools at his / her disposal. There is no time for hiding behind or blaming others.

 

An important consideration for those that appoint leaders and CEOs is this question: “Does this leader have the ability to steer the ship in a crisis”. Such focus can have an effect of changing the selection criteria and the value of the leader to the organisation.

 

The leader must be a leader for all times, not just for the happy times.

 

3. Data does not float in air

 

Having worked on data quality audits in the NHS and local government, I recognise the mechanism by which data is generated and checked. Data is not born from thin air, it requires fit for purpose systems, people and infrastructure.

 

The use of data for normal times can be different from its use in abnormal times. To make the data available in abnormal times, it is not always easy to train people, install systems and infrastructure at short notice – these changes require time and investment.

 

In my experience, organisations that invest in their IT and data infrastructure in good times are the ones that have readily available information to take the right decisions at the right time in a crisis as well as normal times.

 

Often organisation neglect the value of investing for the bad times and end up “stop” and “searching” for solutions during a crisis – this is the worst time for investing.

 

Often organisation neglect the value of investing for the bad times and end up “stop” and “searching” for solutions during a crisis – this is the worst time for investing.

 

A good leader needs to be able to “see” to navigate through the storm, using the tools at his / her disposal. This is only possible with advance planning and investing.

 

4. Be careful on who your advisor is

 

A strong leader will attract strong advisors. The leader will respect them and will know how and when to use their advice, maxmising their value to the whole organisation. Whereas weak leaders either disrespect their advisors and their advise or are led and controlled by them.

 

When the going gets tough, these advisors are not the ones taking responsibility for the decisions their leaders take. The buck will always stop with the leader. If a leader has to rely on the advisors to look good then the foundations are on shaky grounds.

 

If a leader has to rely on the advisors to look good then the foundations are on shaky grounds.

 

Leadership is about the grand plan, vision and strategy – the role of the advisor is to fill in the gaps on how this is best achieved.

 

If the leader lacks what it takes to lead than you can’t blame the advisor when it goes all wrong and the carpet is pulled under the feet when it was most needed.

 

Many lessons are to be learnt from this controversial advisor of a controversial Prime Minister during one of the most controversial times in British history.

 

Author: Nasir Rafiq is a widely experienced Fellow Chartered Accountant (ICAEW) and a Charity Financial Governance Expert.

He is the Managing Partner of Dua Governance, a Charity Governance specialist accountancy firm.

Nasir has held many senior finance positions within the UK charity sector and continues to advise many charities on financial governance matters.

Email: info@duagovernance.com