As more and more microfinance institutions scale up their activities, managers are becoming increasingly aware of the need to improve their information systems. For many institutions, methodological issues, staff development, and even financing are no longer the critical constraints to growth. Instead, the most pressing need is often a system to track the status of their portfolios in a timely and accurate manner. The reliability of such systems can make the difference between the success and failure of lending operations—and therefore of an institution.

• BeaconTM has supported and enabled four audit cycles for an MFI providing balance sheets and trial balances enabling compliance
• Beacon^TM’s reliability has enabled MFI to scale from a 20 branch enterprise with a total outstanding of less than Rs. 300,000,000 for 20,000 members to a 200+ branch enterprise with a total outstanding of Rs. 5,000,000,000 for over 800,000 members
• This growth in numbers was possible only on the basis of a reliable system provided by Beacon^TM

A system that performs tolerably at a moderate volume of activity can collapse as it’s fed more and more information. Manual systems may end up with huge backlogs of unprocessed data. Spreadsheet-based portfolio systems can become unwieldy as the spreadsheet grows. An institution unprepared for rapid growth will eventually undermine the quality of its services and its financial health. But an institution that develops a system capable of producing accurate, timely, and comprehensive information on operations, especially on the loan portfolio, will strengthen its financial performance and expand its client reach. Developing a solid management information system is one of the most important tasks facing microfinance institutions, particularly those scaling up.

• Beacon^TM has been running successfully for over 5 years in MFIs where accumulated customers is more than 2 million, and a total disbursement of over Rs. 15,000,000,000 across 200+ branches
• Beacon^TM maintains complete audit and operational history for any amount of data for every disbursement and repayment of all loans across multiple cycles of lending
• This magnitude of data handling capability goes to demonstrate scalability aspects of Beacon^TM

An MIS is not simply a computer program, and it involves more than just calculating numbers. Information management is first and foremost people communicating with one another about events that affect the work of their organization. The chart of accounts, all the forms used by an institution—from receipts to loan applications to staff vacation requests—meetings, reports, policies and procedures, the staffing structure, job descriptions, the planning process, the computer software—all these and more influence the flow of information in an institution and so, together, make up the management information system.

• BeaconTM is not just an Accounting System or a Loan Processing System
• BeaconTM is an Enterprise wide application with workflow engine and collaboration tools that enables communication of information within organisation
• BeaconTM aims at implementing a paperless office for an MFI promoting a greener tomorrow