PURPOSE
Caritas Zambia (CZ) is seeking an external consultant or consulting firm to provide technical assistance in reviewing and revising its cost structure and policy. The goal is to ensure the appropriate classification of costs as either direct or indirect. CZ aims to establish a standard procedure for allocating direct and indirect costs to project contracts and document this process in the Indirect Cost Recovery (ICR) and Cost Allocation policies. These policies are intended to enable Caritas Zambia to recover full overhead costs, strengthen the organization’s financial management and viability, secure adequate funding for unrestricted income, enhance resilience, and ultimately improve long-term sustainability and preparedness. The implementation of the ICR and Cost Allocation policies and procedures will enhance Caritas Zambia’s financial management, transparency, and accountability, while also increasing compliance with international and local donor requirements. This will assist the organization in fulfilling its mandates more effectively and efficiently. The policies will standardize finance and accounting practices related to cost allocation and recovery, ensuring consistency and providing guidance to management and finance staff in achieving full recovery of both direct and indirect costs. Additionally, the policies will encourage a high level of compliance with established procedures. Any analysis of the cost structure, as well as the ICR and Cost Allocation policies and related documents produced, will be the property of Caritas Zambia. The organization reserves the right to make modifications, amendments, and additions as needed without requiring external permission or approval.
Download the entire Terms of Reference (ToR) for the Review of Caritas Zambia Financial and Administration Manual here: https://caritaszambia.org/phocadownload/general/ToR-Caritas-Zambia-ICR-Cost-Allocation-Policy.pdf
