2: Communications – Communicate Clearly and Avoid Surprises
Several groups of people will be impacted by your decision to transition from cash to digital bulk payments. The best way to make sure that your transition goes smoothly is to communicate clearly with all stakeholder groups.
The key objective of all communications should be to communicate clearly, communicate often and thereby avoid surprises. Miscommunication and lack of clarity can pose one of the biggest challenges in making a transition to digital bulk payments.
2.1: Communications – Key Strategic Partners (i.e., Board, Funders)
Businesses and not-for profits alike have multiple strategic partners. Examples include members of the board of directors, investors, or funding partners. It is often advisable to inform these individuals about your decision to transition to digital payments before the transition takes place.
The following is a sample document that may be helpful in communicating your decision.
2.1 SAMPLE LETTER TO STRATEGIC PARTNERS
Dear [insert recipients],
This is to inform you that [insert name of organization] is changing our payment policy for [insert type(s) of activity]. Instead of cash payments, [name of organization] will now be making payments using mobile money. We are making this change in order to meet a number of key objectives.
Cash payments create a number of challenges for both our payees and for us, including: [edit list as necessary]
- Personal safety risk due to large amount of cash being carried
- Risk of fraud or loss of funds
- Lack of an audit trail
- High cost due to need for security, enhanced accounting, and other measures
- Highly time-consuming for finance, administrative and field staff
- No guarantee that payment is made to the correct person
It is anticipated that transitioning to digital payments will result in a number of benefits to our organization, including:
- Much lower risk to personal safety for our staff
- Reduced risk of loss and fraud
- Increased visibility due to the availability of real-time reports following each payment
- Less time-consuming to disburse payments (i.e., no queues or signatures)
Payees will also experience direct benefits, including:
- Fewer delays in receiving payments
- Increased certainty that the payment goes to the correct individual
- No inconvenience of queuing up and waiting for a payment
- No risk of carrying cash from a workshop to home
- Additional benefits of having a mobile wallet and greater financial inclusion
Training sessions will be conducted for both our staff and our payees. The first payment is planned for [insert date of first payment] and will be piloted with [insert activity name]. We will be undergoing a vendor selection process in the coming weeks to select a firm to support our digital bulk payments.
The Board of Directors will be asked to pass a resolution in support of this change.
For further information please contact [insert contact person and contact information].
Best wishes,
[insert name and title]
2.2: Communications – Staff
Your staff will play a central role in successfully transitioning from cash to mobile money. Some organizations find that staff are worried or confused by the transition to mobile money. Communicating early with staff can lessen their concerns and create the right environment for a successful transition.
In your communication with staff, you should include key dates and any other factors they need to be aware of.
The following is a sample document that may be helpful in communicating your decision.
2.2 SAMPLE LETTER TO STAFF
Dear [insert staff recipients],
This is to inform you that [insert name of organization] is changing our payment policy for [insert type(s) of activity]. Instead of cash payments [name of organization] will now be making payments using mobile money. Training will be provided to members of the staff as well as to payees to make sure everyone has a full understanding of the new system before it is implemented.
We are making this change for a number of reasons, primarily to reduce the challenges that result from using cash. The challenges of using cash include: [edit list as necessary]
- Personal safety risk to members of our staff
- Risk of fraud and lack of an audit trail
- High cost due to need for security, enhanced accounting, and other measures
- Highly time-consuming for finance, administrative and field staff
- No guarantee that payment is made to the correct person
We anticipate that transitioning to digital payments will result in a number of benefits, including:
- Reducing the risk to personal safety for members of our staff
- Reduced risk of fraud or leakage
- Increased visibility due to the availability of real-time reports following each payment
- Less time-consuming to disburse payments (i.e., no queues or signatures)
We are pleased that payees will also experience benefits, including:
- Fewer delays in receiving payments
- Increased certainty that the payment goes to the correct individual
- No inconvenience of queuing up and waiting for a payment
- No risk of carrying cash from a workshop to home
- Additional benefits of having a mobile wallet and greater financial inclusion
Training sessions will be conducted for all staff who handle cash payments, as follows:
Office staff: [insert date and location]
Field staff: [insert date and location]
The first payment is planned for [insert date of first payment] and will be piloted with [insert activity name].
We look forward to working together with you to make this transition to digital bulk payments successful. Your co-operation as we introduce digitalized cash payments will be much appreciated as the benefits outweigh the risks associated with cash transactions.
We are eager to answer any questions you may have. If you would like any additional information as we prepare for this transition, please contact [insert contact person name and contact information].
Best wishes,
[insert name and title]
2.3: Communications – Payees
Mobile bulk payments will increase the certainty that payees get paid in a timely manner, and minimize the risks of fraud or theft. Despite these benefits, payees may initially be nervous about the transition to mobile money. You should have a plan to communicate with them about mobile money, and to provide adequate training to ensure they understand and accept mobile payments.
In your communication with payees, you should include key dates and any other factors they need to be aware of, such as the need to register for mobile money, charge their phones, and clear their inbox before receiving their mobile payment. This will ensure that payees are notified when they receive a payment.
The following is a sample document that may be helpful in communicating the decision to transition from cash to mobile payments. You should distribute this to all payees, and also post key information anywhere you normally post information for payees (such as a bulletin board at your central payment location).
2.3 SAMPLE LETTER TO PAYEES
Background:
[Insert organization name] will be changing our payment policy from cash to mobile money. The use of mobile money will reduce the risk of theft and fraud for you and for us alike. We will provide training and mobile money registration events to make sure you understand the process.
Challenges with using cash: [edit as needed]
- There is a personal safety risk to you and to staff who carry cash
- You must wait in long queues to get paid with cash
- [other reasons as needed]
How digital payments will work:
- We will hold training sessions
- You will need to register for mobile money:
- To register for mobile money, please visit a mobile money agent in [insert location]
- When you visit the mobile money agent, please take [insert list of KYC documentation as provided by your bulk payment provider] with you
- Once you have registered for mobile money, please give your name and number to the [name of organization] staff
- Before you receive payment, please:
- Clear your inbox of messages,
- Charge your phone
- Check your mobile money balance
- Before [name of organization] makes a payment, we will check that the number you gave us is correct. If you gave us a number that belongs to someone else, please let us know
- You will receive your money directly on your phone
- You can cash out at a mobile money agent in [insert agent location], or you can use the money to pay bills or make purchases
Digital payments means:
- Fewer delays in receiving your payments
- No need to queue up for a payment
- No risk of losing cash
Timing:
- The free mobile money training and registration event will take place on [insert date and time] at [insert location]
- The services available at the [insert name of event, for example training or registration event] will include [insert benefit, for example free SIM cards from an MNO partner]
- The first payment using mobile money will take place on [insert date]
We are happy to answer any questions you may have. If you would like more information please contact [insert contact person name and contact information].
Best wishes,
[insert name and title]
2.3 SAMPLE POSTER TO INFORM PAYEES
You may wish to put up posters in the workplace about training and registration sessions.
MOBILE MONEY TRAINING AND REGISTRATION
A free mobile money training and registration meeting will be held.
Date: [insert date]
Time: [insert time]
Location: [insert location]
At the event, you will receive [insert benefit if any, such as free SIM card]
Please bring your phone with you to the training session. Make sure the phone is charged before you attend the training.
If you are not yet registered for mobile money, please bring:
[Insert list of KYC documents as provided by your vendor]