MYRADA

No.2, Service Road
Domlur Layout
BANGALORE 560 071. INDIA.

phone

:

5353166, 5354457, 5352028

Fax

:

091 - 80 - 5350982

E-mail

:

myrada@blr.vsnl.net.in

Website

:

http://www.myrada.org

Rural Management Systems Series
Paper 31

BUILDING INSTITUTIONS

Aloysius P. Fernandez
January 1999


PART - 1

1. The Core of MYRADA's Mission:

The core of MYRADA's Mission is enshrined in the first 5 lines of the Mission statement that was first pulled together in 1984-85. This part of the Mission statement has remained unchanged since it was conceived. Subsequent parts of the Mission statement, however, have been marginally revised. The core of MYRADA's Mission is contained in the following lines:

"To foster a process of on-going change in favour of the rural poor in a way in which this process can be sustained by them through building and managing appropriate and innovative local level institutions rooted in values of justice, equity and mutual support".

2. The Key Words : The key words are APPROPRIATE INSTITUTIONS. This Paper will reflect on the content and significance of these key words.

2.1. Institutions: Why does MYRADA focus on fostering INSTITUTIONS of the POOR?

First, because from MYRADA's experience with poverty alleviation programmes, it became clear that these programmes were conceived and delivered in a package to people. They did not respond to a specific situation and were not flexible enough to cope with the diversity of needs of the poor. Where the Government brought in peoples organisations (and NGOs) as "partners", it was clear that these bodies were used to implement programmes; they quickly became "contractors"; they were the last link in the delivery chain. No investment was made in helping these bodies to develop their own vision and mission and to take ownership and control of these programmes. The result was that the impact of these interventions was limited and usually faded out after the project was over. Sustainability, which requires a long term perspective did not enter into the picture.

Second, because MYRADA believes that functioning institutions (established by people) at the village, form one of the major pillars of a healthy and sustainable democracy. These are the civic institutions at the base. MYRADA's experience indicates that          " participation", which like God is interpreted differently by each one depending on his or her needs and biases, is necessary but not enough; it must lead to institution building. Participation is a means to build an appropriate institution with a vision and mission of its own; it is also an end in itself, since people are empowered in the process. MYRADA believes that if participation does not foster these institutions it can make people vulnerable to manipulation by intervenors who promoted participation so that they in fact can conform to their own agenda, and pursue their own objectives and interests. Participation like religion easily becomes the "opium" used by development intervenors. Implementers who are under pressure to implement a project within the budgeted period and to show quick results, and others who hold positions of power in society and whose primary intention is to remain in power have all used participation to justify their own ends.

Third, because MYRADA's experience in rural areas provides sufficient evidence that a "people's institution" which is structurally appropriate to the resource to be managed, (be it credit, forests or milk) provides an instrument through which people can acquire, increase and sustain ownership of any investment from outside (e.g. the project). It is necessary, therefore, to foster "appropriate" institutions as will be explained later in this paper. This is why effective participation is so critical; it questions the tendency to standardise and to overload every institution. Evidence also indicates that the sense of ownership derived from an "appropriate institution" provides the basis for SUSTAINABILITY of the objectives of the intervention which are increases in productivity and in equity . "Appropriate" Institutions without a vision/mission also quickly fade out. To achieve sustainability of impact, requires that appropriate institutions develop their own vision and a mission strong enough to promote the other essential features required for an institution to survive and grow namely: organisational and financial accountability, learning, financial management and linkages.

Fourth, because equity is one of the core objectives that MYRADA seeks to pursue. MYRADA believes that in a society where class divisions(and conflicts) are sharpening, in many cases supported by a configuration with caste relationships, and where the official system (service, credit) is unable to reach the poor and when it does, is often inappropriate, it is necessary to foster institutions of the poor over which they have control and which in turn provide space for their growth and a basis to network and link up with other institutions in a sustainable manner. Hence MYRADA's interventions start by directly focusing on the poor particularly in the rural areas where caste and class work in synergy (particularly at the middle levels) to confirm relationships which are exploitative. For the poor to change this set of relationships they must first build a base - this base is an institution which they feel is their own.

MYRADA is often challenged: Are the Panchayat Institutions not enough to achieve this objective of equity? MYRADA's, analysis indicates that the systems introduced by the Panchayat Raj Act continue to reflect the relations that dominate in society; they do not change them; in most cases the Panchayat Raj leaders do not have any interest or vision to change them. The Panchayat Raj institutions do not provide space for the poor to participate effectively in decision making; it is because of this that MYRADA endeavours to foster institutions of the poor, which will empower them sufficiently to participate in Panchayat Raj institutions. The election of over 600 members of the Self Help Groups promoted by MYRADA to Panchayat Bodies is one indicator of the success of this strategy.

At the same time, MYRADA endeavours to transfer its vision and Mission to the Panchayat Raj institutions in its projects areas particularly with regard to concern for the poor and marginalised. Proponents of the strategy to give importance to "civil society" as a key component of a democratic society, need to keep in mind that society is conditioned by vested interests which resent any initiative for social transformation. The efforts of politicians to weaken institutions, the dominance of patriarchal attitudes and customs in civic institutions and the nexus between classes that dominate the various spheres of life -economic, political social and religious - provide adequate evidence that for equity to be achieved it is necessary to intervene directly to build institutions of the poor. The proponents of "community organisation" a strategy that relates to groups where the entire village in a body, decides plans and implements programmes also need to take into account that decentralisation of power does not automatically promote equity; rather it could strengthen inequitable relationships at the village/local level, and has done so repeatedly.

 

2.2. Types of Institutions : MYRADA fosters several types of institutions. The Self Help Groups focus on the poor; the watershed associations and Joint Forestry Management Committees have representatives from all groups with interests in the watershed or forest; however even in this case, the poor are first organised into SHGs so that they have a power base which can support their effective participation at village and watershed level meetings. The SHGs also provide a credit source which the poor can easily access; this, as will be later discussed, helps to decrease their dependence on the more powerful families who dominate village institutions. There are also Apex bodies which function according to the requirements of the SHGs that constitute them and not according to MYRADA's requirements; the number of SHGs in an apex is determined by the SHGs themselves; they are in effect controlled by their constituent SHGs; no Apex Body has been permitted by the SHGs to channel loans received from other sources or to operate as a micro-credit organisation.

The following table gives a consolidated list of institutions within MYRADA's projects. MYRADA has also trained other organisations to form SHGs, Watershed Associations, Forest Management Committees and Apex Bodies. Prominent among these organisations are the UP Land Development Corporation, UNDP Myanmar, PADEK in Cambodia, several Regional Rural Banks, and over three thousand Bankers from all over the country, Womens Development Corporations in several states and hundreds of NGOs. Besides MYRADA has also deputed its senior staff to the Mewat Development Agency in Haryana, to one Zilla Parishad (Belgaum) and to the Karnataka Women's Development Corporation. They are all  in fostering peoples institutions of various types. In Uttara and Dakshin Kannada Districts MYRADA staff who are posted permanently in the area have trained Joint Forest Management Committees on a regular basis over the past several years.

Project 

SHGs 

WDAs 

Apex
Bodies

VDCs 

SBCs 

VWSC 

VPFA 

Child
Clubs

VFC 

VHC

Gulbarga 

201 

10 

 

 

 

 

1

 

Chincholi 

64 

2

 

 

 

 

 

 

 

DEVI 

63

 

 

 

 

 

 

 

 

 

Western Ghats 

15 

 

 

 

 

 

 

 

302

 

Challakere 

170 

4

 3

 

 

 

 

 

Holalkere 

280

 18 

6

 

 

 

 

 

 

 

Molakalamuru

 

 

 

 

 

 

 

 

 

 

Kamasamudram 

130

 4 

6

 8 

 

 

2

 

 

 

H.D.Kote 

679 

 

50 

108 

 

96

 

 

Huthur 

133 

13 

12 

23

 

 

 

 

 

Madakasira 

673 

23 

 

 

25

 

 

 

 

 

Kadiri 

132 

16

 1 

6

 

 

 

 

 

 

Dharmapuri 

640 

15 

24 

 

34 

 

 

106 

 

8

Germalam 

86 

12 

2

 

 

 

 

 

Talavadi 

146 

6

 7

 9 

 

6

 

 

 

Kattery 

54 

13

 1

 

 

 

 

 

 

 

TOTAL 

3466 

141 

61 

41 

146 

110 

202 

303  8

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