ARDCI - Agricultural and Rural Development for Catanduanes, Inc.

Virac, Catanduanes 4800 Philippines

Exploring,
Expecting,
Expanding Possibilites
 and getting there...
   

About Us

Agricultural and Rural Development for Catanduanes (ARDCI) is an offshoot of a medium scale development project...

ARDCI starts off at 10 with E’s
After ten years since the Agricultural and Rural Development for Catanduanes, Inc. was transformed into an independent microfinance organization from a European funded project propelled by Department of Agriculture and the government of the Philippines, a fresh and visionary philosophy emerges into its horizon.

 

The three E’s - Exploring, Empowering and Expanding possibilities.

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On Microfinancing Catanduanes: ARDCI guest of honor Gov. Joseph “Boboy” Cua acknowledged in his speech the effort of ARDCI in its objective to help Catandunganon alleviate poverty by providing financial and non-financial services for microenterprise, microinsurance and other related livelihood activities during the 10th year ARDCI foundation day held on September 11, 2008 at CSC covered court.
Microfinancing is now being recognized in the world for its outstanding contribution in alleviating poverty and scaling up the capacity of community to survive from the external shock done by multi-dimensional poverty. The basic products of microfinance are mostly credit services and savings that aim to help members invest in micro enterprises and provide financial security savings, which the conventional financial institutions could not directly offer. Some of the microfinance organizations are already incorporating the insurance benefits to better the services it offered for members. ARDCI is not an exception and new to this trend.

Although there is no patent research that will validate the claim on the impact to the poor of the microfinance, the general patronage satisfaction is being sized up by their stay in the organization for years. The low premium insurance, secured savings and the delivery scheme of all these products are quite encouraging to convince members to avail the better alternative banking system. Besides, the loans provided by the microfinance organization are being protracted on its usage through credit evaluation thus, helping them to manage their funds prudently as they engage in microenterprises.

 And finally, ARDCI is members and members are ARDCI. The unique framework of the organization with general–members’ ownership of clients who stay in ARDCI separates itself from a commercialized concept of banking as mere profit generator that interestingly makes the organization as organization by the people, for the people and to the people.

Exploring

In its effort to improve its services, ARDCI is halfway adopting the microfinance plus plus scheme where several trainings are included wit the provision of credit services provided for the members. This is the conjoined concept that ARDCI formulated that provides higher percentage to the service of the products than profitability factors that will be gained by the organization.

Since 2007, the organization has already established a Lasa Marketing and Development Enterprise that aimed to help local lasa (tiger grass) producers to market their products at reasonable price, a pivotal step towards building business development unit.ARDCI, through the Production and Marketing Officer played an important role as middlemen between the local producers and buyers. ARDCI does not sit contentedly advertising through local buyers but also prospecting possible exporters. The organization has also repacked in its service the trainings needed by the producers to hone their craftsmanship in softbroom making and designing other novelty items with lasa, this in support with long time partner-agencies like DTI, DA and LGUs.

ARDCI believes that one way of developing a sustainable livelihood projects for the members is to support, improve and benchmark their existing microenterprise products to compete in local, national, or even international market. Objectively, this timely intervention of the ARDCI in marketing lasa helps develop industry image that softbrooms are originally manufactured in Catanduanes not from other provinces as to the reported tampering of products coming from the province.

The presence of the active competitors are always expected for coming years but in order to capitalize the operations, ARDCI is streamlining its services and designs a fit strategy to haul more members who will stay in the organization by giving them the satisfaction they wanted.

One of the innovations now being implemented is the two weeks loan processing that fast track the transactions of the members and providing instantaneous availability of the funds at their doorsteps. It was the recurring complains of the members that was addressed in this strategy and is quite effective thereof. On the other hand, the “Tiwala Loan” was also designed to recognize client outstanding repayment for years of staying in the organization. Members can avail higher loan ceiling without subjecting to a rigorous cash flow analysis; however, this will always be under the provision of good repayment performance for benchmarked years.

To address the protests from the rank in file brought about by the transfers to different areas, the managment deemed it appropriate to commensurate their sacrifices of leaving their love ones for the sake of operations by implementing a resolution providing them adequate relocation allowance. It is the thrust of the organization to provide financial and moral supports in strengthening its workforce and developing a satisfying environment to work for. The management always find elbowroom to utilize the potentials of Community Development Officers labor force but providing corresponding incentives in collecting written off accounts. With the trust given to the organization and the sound operations, other business company like PetNet (money transfer) is signifying their intention to establish partnership with the organization for a joint business project. It only means additional services to be catered by ARDCI to the community.

ARDCI does not merely circles around the area where members and possible market are abounded. It always extends its service to the community as its major perspective and beneficiary. In fact, it has already set the initial plan by this coming year to conduct a community development survey to all barangays and assist residents to come up a livelihood projects to be funded through ARDCI’s linkages and partners who are providing grant funds.

ARDCI has also shown its cultural value for the beauty of Catanduanes by sponsoring candidates in one of the prestigious events of the Catandunaes Festival, the Bb. Catanduanes 08’. It also sponsored for this school year four scholars who are children of members in Catanduanes State Colleges with full package benefits from monthly allowance for their educational facilities to their boarding house rental fees. Providing education will benefit the members most and could be the best services it can offer that’s why it has been programmed as part of its services and now being developed.

Empowering


"An empowered organization is one in which individuals have the knowledge, skill, desire, and opportunity to personally succeed in a way that leads to collective organizational success." --Stephen Covey


ARDCI is an organization of the people like a miniature government in its structure with a democratic aspirations rooted from its people. Knowing the owner of this organization are the clients itself who majority came from marginalized sectors; it is not a surprise that it will be represented by the board with inadequate professional background on corporate governance and technical knowledge on administration.


Yet it’s a big challenge for the organization to overcome some hurdle like this, it was also addressed appropriately. The organization hired a consultancy and mentoring firm, the SEDPI, to assist and evaluate the overall organizational structure of ARDCI and conducts programmatic revamp from the very top officers to the members. This resulted some episodic and somewhat historical and drastic changes which is also being complemented by the reverse of the previously P10M net loss to P10M income as of October 2008. Trainings like Lakbay-Aral, deployed strategies and educational overview on management had been given to the board, members and staff which reaped the maturity of the ARDCI constituents. It’s a good sign of effective resiliency and learning from the fall during the previous critical years that needs to be sustained.


The CASA/LMS system, a computerized accounting and bookkeeping was also adopted in the operations which prevent the staff lag behind the development of technology and for them to be efficient at their work fields. In this era of advanced technology, ARDCI believes that giving the staff the opportunity to be accustomed to modern facilities is the same as investing in greater production in the workforce. Equipping them with the best tools in the field is assuring the good performance in the operations.


The ARDCI is also planning to approve a Training Officer position on the onset of 2009. The position will be responsible for trainings of board staff and SLS members. It will focus on technical aspects, ethics, community development activities, capability building and the likes. This will be in close coordination of the SEDPI, being ARDCI consultant. While the financial status of the organization is soaring, another big leap to empower its constituents – board, management and members – must coincide to sustain its momentum.


Expanding


Year 2006 was the most crucial year of ARDCI. The dramas have brought a head turning events and every sideline story was likened to an omen of falling Troy.


The Mutual Benefit Association that caters the insurance of 14, 000 members was ordered by the Insurance Commission for closure, the top management drastically change its administration that resulted NLRC cases, the branches had been downsized from 21 to 14, and worst the financial net loss had ballooned to P10 million.


But after two years, the drama has been supplemented with a fairy tales that every member would be proud to hear.  It does not only recovered from P10M loss but also registered a P10M income as of October, a very resilient recovery which earned the commendations of other lending institutions for them to open window for new credit line just a short period of time.


The “Midas touch” of its partners like SEDPI through its incessant mentoring and trainings, the trust given by PCFC and other lending agencies, the unfaltering faith of staff and members who continued adhering and believing ARDCI, the rigid but effective internal management policy are all creditable for this team achievement.


Social responsiveness of ARDCI is now strengthened after crossing the transitional period. Maturity from the board and top management to the rank in file and members is now observed in their decision making; micromanaging for SLS chairpersons.


Community Development Officers stand now for the meaning of their position, as community development broker by delivering services through soon to be implemented program on business development services. The significant increase of members per CDO with almost 300 each just the start of the 2008 manifested the maturity and development of the frontliners in outreach and the quality of services delivered.


The defunct MBA after its closure order from IC does not affect the insurance benefits it offered when the Country Bankers Life Insurance Corporation assumed the functions of the MBA, though a private company yet the ARDCI benefits from its offered strong partnership. Hopefully, by year 2009, the new MBA will be re-established once the registration with Security and Exchange Commission and requirements from Insurance Commission are complied.


The management recovery plan implemented for 2006-2009 and the strategic plan designed by the SEDPI successfully addressed the problems in operations like poor outreach and high drop outs incidence, ballooning delinquent accounts, increasing expenses, inconsistency in implementation of policies, internal control and level of compliance. These overcame changes led to the proposal of expanding the organizations outlook and making a cautious step through community emersion. Foremost, being visible to the community and letting them feel that the objective of the organization is not only as monetary lender, ARDCI can establish stronger market output as it jointly aims to recruit members who will stay in the organization for long.


On the first quarter of the year 2008, the board approved a resolution on creation of technical working committee that will be composed of the board and management selected representative and ARDCI’s corporate consultant.  This committee is assigned to review the existing structural organization of the ARDCI not limited to its by laws, organizational and administrative functions, affiliates, enterprise development services, and other technical aspects that are institutional needs of the organization like ARDCI.


After recuperative measures adopted to traverse the obstacles the organization encountered and streamlining all operational structures, strategies, manpower and even delineating the mission, vision and objectives into specific just to fit ARDCI thrust, its time now to make a big statement.


ARDCI stands against all odds. It will always remain advocate in fighting against poverty in Catanduanes, mainland Bicol and beyond.

 
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