Disha Microfin

 

 


Methodology

 

Disha with its in depth market knowhow and business acumen, efficiently operates the entire gamut of activities in Base of pyramid financial services delivery under full compliance, to bring affordable financial services to the customer.

Disha methodology for credit products is broadly as follows:

  •  Sourcing of customers and Field & legal verifications
  •  Documentation and Underwriting
  •  Disbursements
  •  Post disbursal follow ups
  •  Collection

Due to the nature of the product, the flagship credit offering, Microfinance loans, follows certain sub processes which are part of the Joint liability Group (JLG) method of lending as listed below:.

  •  Village level promotion activity
  •  Group Formation
  •  House hold visit
  •  Cash flow analysis
  •  Continuous Group Training
  •  Credit Evaluation (Group Recognition Test & Credit bureau check)
  •  Centre meetings

Key Differentiators

Our business operations are supported by three key differentiators that enable us to maintain an efficient, scalable and profitable business model.


A robust front end

  • Our front end or our field operations is characterized by diligent and scientific market mapping for operations and lead generation.We have efficient field based controls in place to monitor sourcing, disbursements, collections etc which leads to high portfolio quality.We have standardized all processes from sourcing to disbursement and collections leading to elimination of redundancies.

State-of-the-art Credit Back Office( CBO)

  • For microfinance portfolio we have a centralized credit back office handling all the documentation and underwriting processes associated with loan disbursal. The documentation process is digitized end-to-end including credit bureau verification. The centralized nature of our underwriting processes helps in having uniformity across geographies and a high control on the portfolio quality. Our secured loans portfolio has a branch based credit appraisal process that helps in accurate validation of loan assets from the front-end
  • Our CBO is characterized by 1)Automated Work flow for better efficiencies and error elimination 2) Digitised Score cards for better performance and 3) Centralized tele-calling for better customer connect and grievance redressal leading to completely streamlined operations with high process and quality controls.

Fully Integrated Technology Network

  • We have a fully integrated technology network integrating all the functions and processes from sourcing to disbursement and collection. Our comprehensive technology network enable all functions to deliver real time reports, highly enhancing our decision making capabilities.
  • Loan Management:.
  • Disha prides itself on a state of the art IT infrastructure which helps us in managing our operations in an efficient and cost effective manner.Disha manages its loan process through 3 distinct technology systems during each phase of loan sourcing and origination, processing and post-disbursal.
  • CAMS- Loan origination and documentation system for automation of loan processing & credit check to approval phase.
  • Financial Accounting & Management Information System (e-FIMO)- Web based technology solution for process and operations management adding to the operational efficiencies and improving our bottom-line.
  • Mobile based field force automation system (m-FIMO)- m-FIMO, a mobile phone based field force automation system is integrated into the core business applications, thereby enabling fully integrated work flow automation at the company. m-FIMO removes manual accounting of collections and renders the process more efficient and error free. Loan transactions are automated through an mFIMO enabled mobile phone integrated with a bluetooth printer used for generating and issuing instant loan repayment receipts to the customer. In addition to this, details of center and group meeting start time & end time, member attendance, exceptional transactions like advance, OD collection, pre-payments etc. are also captured using this device. This fully integrated technology platform enhances our operations and processes enabling greater control on the sales, collections and credit processes.
  • m-FIMO is one of the main efficiency enabler in the field process and has also emerged as the main differentiator for Disha vis-à-vis other microfinance players.
  • Mobile based Origination System (MLOS) - Designed as a mobile based loan origination application that would handle the loan process end-to-end through a hand held, spanning entire gamut of processes from origination to disbursement. The application is enabled with a module for UIDAI based customer enrollment through eKYC process, seamlessly integrated into a credit bureau check process for instant decision on the loan application. The application also captures customer demographics, KYC images and lat-longs as added information.
  • Field Risk Monitoring System (FRMS) - Online mobile based risk monitoring system enabling end to end field and internal audit management. The system assesses through pre-defined audit checklists and periodic audit schedules performed real time on field. The system is fully equipped to enable recording of audit assessment, reporting deviations in internal and external compliance, tracking responses from branches, reviewing responses and approval of audit findings.
  • Oracle Business Intelligence Tool:
  • In addition to the core loan management systems, Disha uses a business intelligence tool for data mining for informed decision making. The BI-tool helps mine data, converts raw data to useful information and has become a strong catalyst in helping capture new market and new product opportunities, which the organization is aspiring for.