2007 Wagggs Report And Financial Statements

World Association of Girl Guides and Girl Scouts Association mondiale des Guides et des Eclaireuses Asociación Mundial de las Guías Scouts

World Bureau, Olave Centre 12c Lyndhurst Road, London NW3 5PQ, England telephone: +44 (0)20 7794 1181 facsimile: +44 (0)20 7431 3764 e-mail: [email protected] www.wagggsworld.org Registered Charity No. 306125

Report & Financial Statements

2007

for the year ended 31 December

World Association of Girl Guides and Girl Scouts Association mondiale des Guides et des Eclaireuses Asociación Mundial de las Guías Scouts

Our Mission To enable girls and young women to develop their fullest potential as responsible citizens of the world Annual Report and Financial Statements 2007

Report & Financial Statements

2007

for the year ended 31 December



Trustees’ Report Page Reference and Administrative Details 02 Structure, Governance and Management 02 Internal Control 04 Risk Management 05 Objectives and Activities 05 Progress against objectives set for 2007 08 Financial Review 12 Reserves 13 Investment Policies and Performance 14 The Future 14 Independent Auditor’s Report to Trustees

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Trustees, Officers and Professional Advisors

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Financial Statements Statement of Financial Activities Balance Sheet Cash Flow Statement Notes to the Accounts

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Acknowledgements

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Our Vision for 2011 A growing worldwide Movement – the voice of girls and young women who influence issues they care about and build a better world Annual Report and Financial Statements 2007

Registered Charity No. 306125

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Trustees Report The World Board is pleased to present its Annual Report and audited Financial Statements for the World Association of Girl Guides and Girl Scouts (WAGGGS) for the year to 31 December 2007. These financial statements are prepared in accordance with the Statement of Recommended Practice (SORP) 2005.

Reference and Administrative Details WAGGGS is a charity registered with the Charity Commission of England and Wales under number 306125. The World Bureau serves as the secretariat of WAGGGS and its address can be found on page 17. Details of the trustees, senior staff and external advisors who served during the year are set out on page 17.

Structure, Governance and Management The authority of WAGGGS is exercised through delegates appointed by Member Organizations of WAGGGS, meeting at the World Conference. The World Board acts on behalf of the Conference between its meetings and its members are trustees of the Charity. WAGGGS’ governing instrument is the tenth edition of the Constitution and Bye-Laws dated 1936, revised June 1990, July 1993, June 2002 and June 2005. The World Board consists of 17 members, 12 who are elected by ballot at the World Conference for a term of six years and the five Chairmen of the Regional Committees, who are elected by ballot at their respective Regional Conferences and serve on the World Board for a period of three years. Regional Chairmen may serve for an additional term of three years if elected by their Region for a second term. Member Organizations nominate candidates for election to the World Board, the Regional Committees and other Committees and working groups of the World Board. Prior to elections Member Organizations are circulated with details of experience and specific expertise required from potential candidates so as to have an effective and representative World Board. If the World Board considers there is a lack of a particular expertise, then it may co-opt external expertise to fill the gap. All new trustees are required to undertake an intensive induction programme, which gives them a wide understanding of the various issues facing WAGGGS. Prior to each World Board meeting a programme of training keeps trustees up to date with new practices and other developments applicable to WAGGGS’ work and the requirements of the charity sector within the UK. This is particularly important given the diverse background of the international World Board. The full World Board meets in London at the World Bureau once a year for four days. The main purpose of the meeting is to review performance and monitor progress towards the achievement of objectives and targets set in WAGGGS’ Strategic Plan which has been approved by the World Conference. In addition, the Board meets prior to, and at the conclusion of, the World Conference. The World Board’s responsibilities are detailed in Article VII, Section V of WAGGGS’ Constitution and Bye-Laws.

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Annual Report and Financial Statements 2007

The World Board is committed to achieving best practice in governance and seeks to ensure that WAGGGS is efficient and effective in achieving its Object. A new structure was implemented in 2005 to support the World Board and the delivery of WAGGGS’ Object and Strategic Plan. This structure consists of Coordinating Groups, Committees and Task Groups acting in an advisory capacity to the World Board and the staff. Each group has specific terms of reference and may include specialist co-opted members as well as trustees. The day-to-day running of WAGGGS, its operational decisions, the implementation of approved strategy and the exercise of executive responsibility is delegated to the Chief Executive and her Senior Management Team.

Finance and Business Management – encompassing finance, governance, facilitation and the operational organization of WAGGGS.

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Finance Committee – formulates and reviews financial

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Governance and Constitutions Committee –

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Human Resources Committee reporting to the World Board – comprises trustees and other external

Coordinating Groups report directly to the World Board. The current Coordinating Groups, Committees, and Task Groups are:

Chairman’s Coordinating Group – oversees and monitors the

development, strategy, recruitment and retention, quality of Girl Guiding/Girl Scouting, support for Member Organizations, the ongoing monitoring of performance, exchange of good practice and the work of the World Centres.

looks at issues relating to WAGGGS’ Constitution and Bye-Laws and Policies and Procedures and advises the World Board on governance issues, including elections, induction, evaluation and training of Board members. It also monitors Member Organizations’ constitutions and makes recommendations to the World Board.

advisors. It meets at least once a year to review the general remuneration policy, consider Human Resources policies and procedures to ensure that they keep abreast of best practice in comparable organizations in the countries in which staff are employed and comply with relevant employment practices and legislation. The World Board has delegated the authority for decisions on benefits and salaries to the Human Resources Committee which provides regular reports on these decisions to the World Board for their acceptance.

ongoing work of WAGGGS between World Board meetings. It consists of the World Board Chairman, Deputy Chairman, the three Group Coordinators and the Chief Executive. The group meets prior to the World Board and Committee meetings, and for at least one additional meeting during the year, between Board meetings.

Strategy and Development of Girl Guiding/ Girl Scouting Group – is responsible for leadership

policy and financial plans and maintains financial oversight of the strategies and operations of WAGGGS. The Committee recommends the appointment of WAGGGS’ investment managers and monitors the performance of WAGGGS’ investment portfolio. Each year it advises the World Board on the appropriate level of free reserves and the appropriate asset allocation for WAGGGS’ investment portfolio.

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Audit Committee reporting to the World Board – comprises trustees and other external advisors. It recommends to the World Board the formal approval of the Annual Report and Financial Statements and meets with the External Auditors periodically to review the effectiveness of current processes and practice. Responsibility for overseeing theand management of risk Review 2007 World Association of Girl Guides Girl Scouts Annual within WAGGGS has been delegated by the World Board to the Audit Committee.

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World Centres Committee – has strategic development

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Regional Committees – are responsible for the quality of

WAGGGS/WOSM Consultative Committee –

Girl Guiding/Girl Scouting within their Region, for providing support through agreed activities within the Region to enable Member Organizations to contribute towards the overall achievement of WAGGGS’ strategic objectives.

liaises with the World Organization of the Scout Movement (WOSM).

responsibility for the World Centres, covering all operational aspects, including finance, programme, communications, risk, health and safety.

Communications Group – is responsible for the ongoing development of WAGGGS’ advocacy work, branding and website, merchandising, publications, WAGGGS’ work with the United Nations (UN) and relationships with other non-governmental organizations (NGO). The Group also has a responsibility for the World Conference and Fund Development.

Task Groups – are task orientated and consist of members, who have been selected for their particular expertise in relation to the specific task. The groups report to the relevant Coordinating Group or directly to the World Board, and once their task is completed the Group ceases to exist. Examples of task groups are Leadership Development, Individual Giving, UN/Advocacy and Juliette Low Seminar.

Olave Baden-Powell Society – is an international support group dedicated to the development of Girl Guiding and Girl Scouting all over the world. The President of the Society attends the Communications Coordinating Group meetings and meets annually with the World Board.

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

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Trustees Report continued Statement of Trustees’ Responsibilities

Internal Control

The World Board (as Trustees) is responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and regulations. Under Charity Law, the Trustees have elected to prepare the financial statements in accordance with United Kingdom generally accepted accounting practice (United Kingdom Accounting Standards and applicable law). The financial statements are required by law to give a true and fair view of the state of affairs of the charity as at the end of the financial year, and of its incoming resources and application of those resources, including income and expenditure for the year. In preparing the financial statements, the trustees are required to:

The trustees are responsible for ensuring that WAGGGS has a sound system of internal control to safeguard its assets and will use their best endeavours to ensure that its policies and procedures are implemented and its aims and objectives are met. It is recognized that the systems can only provide reasonable but not absolute assurance that major risks have been adequately managed. Internal control processes implemented by the trustees include:

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select suitable accounting policies and apply them consistently;

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make judgements and estimates that are reasonable and prudent;

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state whether applicable UK accounting standards have been followed, subject to any material departures being disclosed and explained in the financial statements;

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prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charity will continue its activities.

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of WAGGGS and enable them to ensure that the financial statements comply with the Charities Act 1993, the Statement of Recommended Practice, Accounting and Reporting by Charities (SORP) and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and for their proper application as required by charity law and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware:

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there is no relevant audit information of which the charity’s auditors are unaware;

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the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.

The trustees are responsible for the maintenance and integrity of the charity and the financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

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Annual Report and Financial Statements 2007

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an Audit Committee which meets at least twice a year and is mandated by and reports to the World Board. It is responsible for providing the World Board with:



– assurance that sound systems and internal controls are embedded in day-to-day processes which can respond to significant risks, and are capable of responding to external and internal changes;



– evaluation and advice on the effectiveness of the governance arrangements of WAGGGS;



– assurance that WAGGGS’ Risk Management Strategy is relevant and adequate to ensure that the major risks identified have been adequately mitigated where necessary.

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a Strategic Plan approved by the 32nd World Conference, held in Jordan in 2005, covers the aims and objectives of the organization for the 2006-2008 triennium. This is used as a basis for annual planning and progress reviews. A review of performance to date against the strategic plan was undertaken during 2007;

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annual budgets are prepared in accordance with the Strategic Plan, which are reviewed and approved by the World Board;

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financial reports compare the results against budget on a quarterly basis and the Finance Committee reviews these and revised forecasts for the remaining period of the year. Monthly financial reports are prepared and issued to operational managers and budget holders;

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the World Centres’ activities are reviewed quarterly against their annual operating plans and performance indicators by the World Centres Committee;

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WAGGGS’ policies and procedures and its financial controls, are reviewed on a regular basis by the appropriate committees. All the financial policies were reviewed and approved by the Trustees in September 2007;

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delegation of authority from the trustees to the Chief Executive and the senior managers including the segregation of duties within the organization where practical;

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a continuing risk assessment management system.

Risk Management

Objectives and Activities

The Audit Committee oversees WAGGGS’ Risk Management Strategy and monitors the risk management process, reporting annually to the World Board on WAGGGS risk assessment.

WAGGGS is a worldwide Movement providing non-formal education where girls and young women develop leadership and life skills through self-development, challenge and adventure. Girl Guides and Girl Scouts learn by doing.

The World Board has defined a major risk for WAGGGS as any event that may affect the ability of WAGGGS to survive and compete with other youth organizations (or any other group considered to be a competitor to WAGGGS), maintain its financial strength, retain its positive public image and keep up the overall quality of the services that it provides through its volunteers and staff. Risk may arise from failure to exploit opportunities as well as from exposure to loss. It is inevitable that some risks will be taken in order to pursue WAGGGS’ Mission. The avoidance of all risk would ultimately lead to stagnation and the cost of managing every potential risk needs to be balanced against the overall cost to WAGGGS should it arise. It is essential that the process should not lead to added bureaucracy without adding value. WAGGGS’ Risk Management Policy is to accept the risk –

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when it is believed that the cost of managing the risk is

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greater than the cost that would arise if the risk were to materialise or when WAGGGS ability to reduce the incidence and impact is minimal.

proactively manage the risk –

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where the risk is likely to potentially damage WAGGGS’ profile and reputation

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when it is believed that it is cost effective to take some action to manage the risk.

Our Mission is: To enable girls and young women to develop their fullest potential as responsible citizens of the world.

Our Vision for 2011 is: A growing worldwide Movement – the voice of girls and young women who influence issues they care about and build a better world. We aim to do this through the achievement of the three Strategic Goals agreed at the 32nd World Conference:

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Goal 1 – Leadership Development Goal 2 – Strong and Growing Member Organizations Goal 3 – The Voice of Girls and Young Women

by working at many different levels throughout the Movement to meet and support the Member Organizations and Regional needs, by being more aspirational, and by working with some of the best universities to develop our programmes, especially in respect of leadership. The Mission, Vision and the Goals support WAGGGS’ Object* which is to:

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The World Board reviews this strategy and policy each Triennium and last did so in September 2007.

promote, throughout the world, unity of purpose and common understanding based on the Fundamental Principles;

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A risk management culture, which also incorporates health and safety requirements, is firmly embedded within the organization. The Audit Committee reports to the World Board each year providing an update on progress on key areas of risk and the actions to be undertaken in the forthcoming year.

further the aim of the Girl Guide and Girl Scout Movement, which is to provide girls and young women with World Association of Girl Guides and Girl Scouts Annual Review 2007 opportunities for self-training in the development of character, responsible citizenship and service in their own and world communities;

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encourage friendship among girls and young women of all nations within countries and worldwide.

Through the risk management processes that have been established, the World Board is satisfied that the major risks identified have been adequately mitigated where necessary.

To do this it is important to recognize that, in addition to finance, there are enormous resources of volunteer time and talent at every level of the Movement that contribute to achieving our Goals and delivering our Mission. While these resources are hard to quantify, they are critical to WAGGGS’ success.

*per WAGGGS’ Constitution and Bye-Laws in ninth edition, June 1990

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

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Trustees Report continued Highlights of the year Key priorities When setting out our key priorities for 2007 we said we would evaluate each Member Organization’s key performance indicators to assess the quality of Girl Guiding and Girl Scouting within each country, identify areas to be strengthened and share successes. Member Organizations completed their triennial self-assessment, indicating their progress against the six key areas of development of high quality Girl Guiding/Girl Scouting: educational programme, adult training, membership, structure and management, relationship to society and finance. This performance tool helps WAGGGS to monitor the growth and development of its Member Organizations, their strengths and weaknesses and provides guidance on where further support is required. The results of the assessment that was carried out at the end of 2006 have been reviewed during 2007 and compared against the benchmark data from 2003. Looking at our key areas of work overall, we find that there has been an overall improvement in relationship to society – reflecting the greater emphasis on raising their own profile in their country, and also in line with WAGGGS Goal 3 (The Voice of Girls and Young Women). The results from educational programme and adult training have remained stable overall, reflecting very substantial improvements in some Member Organizations whilst still providing ongoing challenges in some areas. The weakest scores overall relate to membership, finance, and structure and management. Whilst there has been a decline in the overall score of 34 associations, we find that 53 associations have improved their overall score. It should be remembered that this assessment was made during the first year of the current triennium and the strategies put in place to address some of these issues will not have had sufficient time to provide an impact.

Measuring success It is important that we measure and evaluate progress against the objectives and outcomes that were set at the 32nd World Conference for the current 2006-2008 triennium and this has been another major exercise that has taken place this year. In doing this, WAGGGS, like many NGOs, recognise that there are difficulties in measuring outcomes and ultimately impact but this has proved a very valuable exercise.

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Annual Report and Financial Statements 2007

New methodologies will be tested in 2008 to ensure that we have a full set of performance indicators to measure progress directly against the Strategic Plan for 2009-2011. This work has helped shape the strategy for the next triennium and reprioritised our activities for 2008. Achievement against the priorities set for 2007 for each Goal can be seen on pages 9 to 13. As of the end of this year we believe we have already achieved our target for 21 outcomes out of a total of 44 which were set for the triennium. We are close to achieving the target outcome for a further 16 with measurable results and/or evidence of a large number of successful initiatives which we believe contribute towards achieving them. There are two outcomes where valuable work has been undertaken, but where there is significant work to do in order to reach the target.

Regional Conferences One of the key focuses for the year has been WAGGGS’ Regional Conferences which were held from May through July in Slovenia, Tunisia, Malaysia, Zambia and Canada. The conferences are a central part of WAGGGS democratic and participative governance structure where members can actively engage in setting the direction for future developments, sharing their views and setting priorities on key issues. The 2007 Conferences were bigger and bolder than before. Collectively, the events attracted more than 600 volunteers and staff. They shared ideas and best practices, planned for the future, building on the results of the performance indicators for their respective regions, and agreed operational plans for the 2009-2011 triennium. These operational plans will form the basis of WAGGGS Strategic Plan 2009-2011. This Plan will be discussed and approved at the World Conference to be held in South Africa in July 2008. Each Conference provided an opportunity to pilot WAGGGS Leadership Development Programme modules, to celebrate successes and to network. New regional committees were elected at the end of each event and we welcomed five new Regional Chairmen to the World Board. At the European Conference, with the theme ‘Celebrate, Motivate, Activate’, delegates looked at how European Girl Guiding/Girl Scouting can develop the leadership skills of girls and young women, focusing on how to empower young people to speak out and to influence issues which affect them. With the theme ‘One Voice, One Hand’ the Arab Region showcased WAGGGS’ advocacy work, giving the delegates the opportunity to decide which of WAGGGS’ seven key messages on adolescent health would define the region’s advocacy focus over the next triennium. They concluded: “discover your potential”, “make healthy food choices” and “it is important to talk about sex”.

The Asia Pacific Region’s ‘Many but one’ conference provided participants with the opportunity to learn and share ideas on six topics; Fund Development, Risk Management, Quality Leadership, Selling Girl Guiding / Girl Scouting, Role and Function of WAGGGS Economic and Social Council Liaison Person and Accessing the WAGGGS website. The theme ‘Girls’ voices, Africa’s voice’ set the stage for Africa’s diverse event, highlighting key issues for the region including HIV and AIDS. Keynote speaker, Professor Nkandu P. Luo, a former cabinet minister in Zambia and professor of microbiology and immunology, talked about the social ramifications of HIV and AIDS and how it affects women. At the Western Hemisphere Conference, the theme ‘Strength Through Diversity’ provided the platform for discussion on diversity and the need for girls’ voices to be heard on a number of levels. WAGGGS’ highest award, the World Citizenship Award, was awarded at two of the conferences. Professor Wangari Maathai was recognised in Zambia for her work with the Pan African Green Belt Network, which helped women’s groups plant more than 30 million trees to conserve the environment and improve the quality of life. Stephen Lewis received the award in Canada in recognition of his outstanding work in the fight against HIV and AIDS, and especially for his work in raising awareness about the pandemic and its devastating impact on girls and women. These awards have also helped to raise WAGGGS’ profile in the UN/NGO community.

Working with Member Organizations For the first time representatives from all five WAGGGS regions have attended all the World Organization of the Scout Movement (WOSM) Regional Conferences and representatives from WOSM attended our five Regional Conferences. WAGGGS was well represented and highly visible at the world’s largest Scout Jamboree, held in the UK, to celebrate 100 years of Scouting. It gave us the chance to link up with many of our Member Organizations and to celebrate the diversity of Girl Guiding/Girl Scouting. An initial evaluation of WAGGGS’ new look was undertaken at the beginning of the year which included a survey of Member Organizations and members (via Internet and mail), a focus group in the Africa Region, and consultation with WAGGGS’ Regional directors. WAGGGS also consulted with communications experts across the globe and a variety of like minded organizations. The resultant Repositioning Report is enabling us to build upon the progress achieved so far and at the same time to seek ways to address the concerns that were raised by Member Organizations. World Association of Girl Guides and Girl Scouts

Our successful partnership with UPS has now entered the second phase continuing to work with Mexico, Malaysia and Hong Kong/China where activities focus on ensuring Guiding reaches a more diverse range of girls and young women, and encouraging more women to volunteer their time as leaders or through community service initiatives. South Africa successfully completed the pilot project and Brazil has now been added to the UPS Global Signature Programme. UPS has also provided funding towards WAGGGS Leadership Development Programme and the research project on volunteering.

Global partnerships Developing our global partnership strategy has been a priority for 2007. There have been a number of high level introductory meetings with UN agencies and NGOs exploring areas of mutual interest for future collaboration. Our new Chief Executive Mary Mc Phail was the keynote speaker at a breakfast in London to celebrate International Women’s Day, and the previous evening she participated in a panel on “girls today, tomorrow’s future” as part of International Women’s Day celebrations. Our relationships have been further strengthen with other NGOs through key speeches at the International AIDS Conference, the World YWCA’s Summit on Women and AIDS and the Commission on the Status of Women (CSW).

Our Chalet 75th anniversary More than 400 guests including friends of Our Chalet, volunteers and former staff and business partners came from around Europe and as far away as Chile, Japan, the USA, Canada and Surinam to Adelboden to celebrate the 75th anniversary of WAGGGS’ first World Centre, Our Chalet, in September. In the 75 years since its opening, Our Chalet has hosted a wide range of training activities, seminars and conferences and has developed an outdoor programme, challenging participants to high physical adventure.

Objectives The following pages detail our progress against the objectives we set for 2007 which will also be reviewed at the 33rd World Conference to be held in Johannesburg, South Africa, in July 2008.

Registered Charity No. 306125

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goal

Trustees Report continued

Progress against the objectives we set ourselves for 2007

Leadership – Capacity Building

We said we would –

Hold leadership training in the Arab Region.

We have – We said we would –

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Finalize WAGGGS Leadership Development Programme (WLDP) and train the facilitators, coaches and mentors and pilot the modules at World Centre events.

We have –

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Held a number of seminars trialling the WLDP modules. Sixteen young women leaders took part in a seminar called ‘Leadership Development & Values Today’ held at Pax Lodge. The five-day seminar took these young leaders of the future on a journey through leadership theory, leading teams and personal development. Throughout the seminar, links were made between the leadership process and the core values shared by all Girl Guides and Girl Scouts.

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Held a series of workshops at the Regional Conferences using resource materials from the WLDP modules. In the Arab Region the focus was on personal values and in Africa participants explored personal and organizational values. In the Western Hemisphere discussions centered around diversity while in the Asia Pacific Region workshops were held on values and conflict resolution. The feedback was extremely positive. These workshops on the different aspects of the WLDP have created discussions and a lot of food for thought.

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Focused on leadership development and its link to advocacy at the ‘Lead & Advocate’ seminar held at Sangam, India.

Demonstrated to the 23 participants from 20 countries

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taking part in the Helen Storrow Seminar how leadership and the development of projects on HIV and AIDS is a necessary combination. Brought together a group of experienced trainers/ facilitators to work through the modules to ensure that the elements of values, non-formal education, intergenerational and cross cultural are included in each of the eight modules. This group of trainers/facilitators will form the core pool of people supporting the regions and WAGGGS in the implementation of the leadership modules. Begun working with a PhD student in conjunction with Exeter University to follow and validate the WLDP enabling us to fine tune our leadership development work with young women.

Annual Report and Financial Statements 2007

Held the first round table for young women in Jordan. Delegates from ten Arab countries met to set the guidelines for a programme designed to train young women between the ages of 18 to 25 years in effective leadership skills. The participants were members responsible for training and programme and two young women under the age of 35 from each Member Organization in the Region. The round table gave the delegates the opportunity to express their needs and aspirations as young women and to understand how these are affected by the cultural realities of their home countries.

In addition we have –

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Seen greater participation by young women at regional events with 14 young women from 14 countries attending the Africa Regional Conference, 10 young women from 10 countries attending the Arab Conference and 20 young women from 17 countries attending the Asia Pacific Conference.

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Given 72 guides and leaders from 22 countries from the Western Hemisphere Region the opportunity to develop international leadership skills at the Leaders in Action II event at Our Cabaña.

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Provided networking opportunities and training for Chief Executives of Associations and for International Commissioners in the Europe Region.

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Produced a publication ‘Rural Guiding in Africa’ in 2007.

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Established two new groups, Central Africa and Indian Ocean to the South-South Network supported by the Africa Region.

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Produced a Diversity Toolkit in the Europe Region.

Incorporated a leadership element into all events held at World Centres and the Community Development Programme has been introduced for international volunteers at Sangam.

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goal

Progress against the objectives we set ourselves for 2007

Strong and Growing Member Organizations – Revitalising the Movement We said we would –





We said we would – Successfully implement the UPS Global Signature Programme in Brazil.

We have –

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Launched the ‘Fighting against hunger’ programme in Brazil where the Guides Association is delivering health and nutrition training at grass roots level to support low income families and where improved media and PR skills are raising the profile of the organization throughout Brazil.

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Undertaken two community literacy projects in South Africa, where the Girl Guides Association is also increasing the number of Guides and Guiders involved in literacy initiatives.

Made 61 visits to Member Organizations. Provided a seminar tailored for Associations in CIS countries to have training and facilitate exchanges.

We said we would – Assist nine countries to fulfil the requirements to be recommended for associate or full membership of WAGGGS at the 2008 World Conference.

We have –

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Provide individual support to 40 Member Organizations through tailor made visits.

We have –

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Eleven countries fulfilling the requirements of membership. Eight will be recommended to the World Conference in 2008 as full members with three being recommended for associate membership. Another two countries are working towards membership.

World Association of Girl Guides and Girl Scouts

In addition we have –

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31% of Associations improving their overall score on the performance assessment for adult training from 2004 to 2007.

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Accredited 14 training schemes.

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Provided training for Member Organizations on creating their own micro sites at the Asia Pacific and Africa Regional conferences.

Produced a tool kit to support Member Organizations in the Europe Region to carry out research.

Registered Charity No. 306125

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goal

Trustees Report continued Progress against the objectives we set ourselves for 2007

The Voice of Girls and Young Women – Building a Better World

We said we would –

We have –

• We said we would –

Support and train Member Organizations and regions to deliver WAGGGS’ advocacy strategy at regional and national level.

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We have –

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Published 11 position papers, with guidelines on usage, on issues important to girls and young women.

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Launched the Members’ Area of the WAGGGS website providing Member Organizations and other groups within WAGGGS with their own place to network, exchange information, offer support and share ideas. The dedicated section of the website also acts a repository for projects and initiatives and includes a discussion forum on WAGGGS issues.

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Held several advocacy seminars, particularly at Sangam, which have empowered young women to develop projects on our advocacy issues in their home communities and with their Member Organizations.

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Mapped existing training projects and documented models of good practice on HIV and AIDS projects within WAGGGS Member Organizations and other NGOs. From this research a new HIV and AIDS training toolkit providing training materials for girls and young women to support the development of local level prevention and care projects on HIV and AIDS has been developed. It was piloted at the Helen Storrow Seminar on ‘fight AIDS’ held in April at Our Chalet. The toolkit will be launched at the International AIDS Conference in Mexico City in August 2008.

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Trained regional committees on advocacy by providing training modules for the committee meetings.

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Joined the Coalition for Adolescent Girls and actively contributed to the World YWCA Council and the Commission on the Status of Women, giving us increased visibility for our global voice.

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Annual Report and Financial Statements 2007

Strengthen UN teams and increase WAGGGS’ intervention in and participation at international events and platforms.

Grown WAGGGS’ voice at the United Nations with more representatives joining all the teams in Nairobi, New York, Vienna, Paris, Rome and Geneva. There are currently 26 representatives with coordination through team coordinator meetings. Lobbied successfully through the UN team, Paris, with the Youth Programmatic Commission at UNESCO for a day on non-formal education and took a leading role at the event. The Paris team attends all big UNESCO events to promote WAGGGS’ key issues. Supported girls and young women through its UN teams to represent directly their own interests and contribute to advocacy activities in many different fora. Strategic partnerships with UN agencies and with key NGOs have been strengthened across the world as well as at national level. Provided two young women with the opportunity to speak out on violence against women at the UN Commission on the Status of Women. They participated in a joint event with the European Women’s Lobby, European Youth Forum and Plan International, attended the UN youth caucuses and ‘girls speak out’ events during the Commission and spoke as panellists at WAGGGS events with a number of other NGOs and government officials in the audience. Become an official supporter of relevant UN campaigns, for example an international partner of Fight Hunger – Walk the World, organized by the UN World Food Programme, a launch partner of the UNIFEM ‘say no to violence against women campaign’, and an official supporter of the global peace petition launched by AFS. Effectively encouraged our members to participate with us in relevant UN International Action Days through calls to action on our website, for example on World Health Day, World Food Day, International Women’s Day, Children’s Day, International Youth Day, International Day of Peace, and World AIDS Day. Enabled 25 young women from five Member Organizations in Africa Region to attend an international leadership summit for women and girls organized by the Vital Voices Global Partnership in January 2007 in South Africa. They engaged in debates that affected them such as empowerment, participative democracy and leadership. Enlisted four young women from Kenya and Burundi to represent WAGGGS at the International Women’s Summit and the Young Women Leadership Forum in Kenya. Sent young delegates who spoke at the Women Deliver conference and the International Women’s Summit.

We said we would –

Undertake further research into what girls worldwide are saying.

We have –

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Supported the launch of Plan UK’s ‘Because I am a girl’ report that includes research on girls.

•

Conducted with the support of UPS, a global survey on volunteering which will help WAGGGS develop strategies to respond to the needs of the young women who are our volunteer leaders. The survey is addressing, for example, aspects of volunteering such as what motivates young people to join organizations and what inspires a young person to become a young leader. The Survey is aimed at 11 to 24 year olds and is available online in English, French and Spanish and on paper in Arabic, Portuguese and Mandarin. The results will be used to help inform WAGGGS about how it can meet the needs of girls and young women in the future.

In addition our voice is being heard through –

•

The Pakistan Girl Guides Association, which held training workshops in 30 locations in Punjab to orientate Guides and non-Guide students of Hamjoli groups in Life Skills Based Education, Child Rights and HIV and AIDS. About 1,800 girls have been trained as Agents of Change to disseminate messages on prevention, control and treatment of HIV and AIDS to the girls and women in their areas through community camps and fora. District Health Offices and related NGOs are collaborating with the Girl Guides in this venture.

•

Malawi Girl Guides, the Association Nationale des Guides de Guinée and the Association des Guides du Burundi are working with UNICEF on girls’ education campaigns.

•

Girl Scouts of the Philippines, working in partnership with Unilever, conducting projects for girls on self-esteem.

•

The Western Hemisphere Region, which has strengthened its partnership with regional youth platforms by supporting strategies for a plan of cooperation and integration of youth in Latin America.

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

11

Trustees Report continued Financial Review Where did our total income come from? There was an increase of 8% (£409K) in the total income of £5,464K from all sources in 2007 compared with £5,055K in 2006. Although total voluntary income is marginally higher than 2006, general donations were significantly lower than 2006. World Thinking Day income was particularly disappointing at £177k (2006: £234K) but donations received by the World Centres increased by 75% from £246K in 2006 to £431K in 2007. Investment income grew by 16% (£52K) over 2006. Increased activity at the four World Centres generated additional income of £175K (15%). Grants for specific projects including the second phase of the UPS Global Signature Programme increased by £152K. As approved at the 32nd World Conference the total membership fees (quota) collectable for the year remained the same as that of 2006 and 2005 therefore reducing the overall reliance on quota to 30% of total income.

WAGGGS’ income from all sources amounted to £5.5 million and came from: World Centres Operating Income, £1,362K, 25%

Donations (including sales of materials & goods), £798K, 15%

Investment Income, £375K, 7% Olave Baden-Powell Society, £261K, 5% Quota, £1,669K, 30%

How the money was used to support WAGGGS’ Goals: Expenditure on all activities was £5,386K (2006: £4,910K), 10% higher than in 2006. The proportion of the total expenditure in direct support of WAGGGS’ three strategic goals remained at 74% with a further 17% being spent on operational support for these activities. Direct support amounted to £3,978K (2006: £3,636K) with operational support amounting to £920K (2006: £897K).

Grants, £822K, 15%

World Thinking Day, £177K, 3%

£5.4 million was spent on the following activities: Goal 1 Leadership, £1,496K, 28%

Goal 2 Membership, £1,561K, 29%

Goal 3 Advocacy, £921K, 17%

Governance, £191K, 4%

12

Annual Report and Financial Statements 2007

Cost of Generating Funds, £297K, 5%

Operational Support Services, £920K, 17%

There was a deficit of income over expenditure of £187K (2006: surplus of £316K) in unrestricted income, a surplus of £189K in restricted income (2006: deficit of £232K) and £76K to the Endowment Fund (2006: £61K). The overall surplus for the year amounted to £78K (2006:£145K). After taking into consideration the gains and losses on investments and exchange rate movements of £104K (2006: £476K) there has been an increase in total funds of £182K compared to an increase of £621K in 2006. As at 31 December 2007 there was an unrealized gain of £77K on the value of WAGGGS’ Investment portfolio (2006: £483K). This is the amount that WAGGGS would have realized had the entire investment portfolio been sold on 31 December 2007. This value will fluctuate depending on the performance of the investments and the economic conditions affecting the UK Stock Market at a particular point in time. During the year a small loss of £12K was incurred on the sale of investments (2006: profit of £143K). The revaluation and exchange movements on the translation of assets at the World Centres into pounds sterling were £39K compared with losses of £150K in 2006.

Fundraising Activities Generating unrestricted voluntary contributions to support WAGGGS continues to be a challenge with income for 2007 falling well below expectations. In part this has been due to the strength of Sterling against the currencies of those countries which continue to be significant supporters of World Thinking Day. Changes in the Fund Development department have meant there have been resources available for fundraising activities for only half the year. Consultants have been engaged to work with us to develop a compelling case for support and to identify required resources for the future. Task groups on individual giving and major donor strategy have been hard at work and more than 30 Friends groups around the world continue to generate significant voluntary support for the World Centres.

Reserves WAGGGS aims to retain sufficient free reserves to ensure that contractual commitments to staff, for premises and programme work can be made with reasonable confidence. The appropriateness of the Reserves Policy is reviewed each triennium in conjunction with WAGGGS’ Strategic Plan and the degree of risk associated with each of WAGGGS’ target income sources and the level of the Endowment Fund. For the 2006-2008 triennium, the World Board has concluded that the overall level of WAGGGS’ unrestricted free reserves should be maintained at a level of three to six months of annual unrestricted expenditure. The continued appropriateness of the policy is reviewed annually by the Finance Committee throughout each triennium. Free reserves available for use by WAGGGS are those that are readily realizable, less funds whose use are restricted or have been designated for particular purposes. As at 31 December 2007 WAGGGS’ free reserves amounted to £2,232K (2006: £2,448K) represented by Investments and Net Current Assets (see Note 14). This is approximately 49% of the total anticipated expenditure in 2008.

Designated Funds These reserves are shown in note 13 on page 31 and are allocated against specific activities scheduled to take place over a period of time and are expected to be used within the next two years. Although funds were set aside in 2006 to carry out major upgrading of facilities at Our Chalet which took place in 2007 a significant part of this expenditure was funded by the Our Chalet Foundation. Funds were used in support of the five Regional Conferences during the year. Further funds have been set aside towards the 33rd World Conference to be held in South Africa in 2008. World Association of Girl Guides and Girl Scouts Annual Review 2007

Olave Baden-Powell Society The Olave Baden-Powell Society continues to be a very significant supporter of WAGGGS through its individual members. With 48 new members in 2007, OB-PS members donated £153K to the endowment fund, £108K to the operating fund, and £70K for specific projects, including the Juliette Low Seminar. The Princess Benedikte Award, which recognizes donors who have made cumulative gifts of £25,000 or more to WAGGGS, was presented to six generous supporters in 2007 making the total awardees to date to nine. Details of the awardees can be seen on page 33.

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

13

Trustees Report continued Investment Policies and Performance WAGGGS’ Constitution enables the World Board to invest any funds which are not immediately required for its purposes in such investments as may be thought fit, subject to any conditions and consents as may be required by law. The World Board has set a clear ethical investment policy which is driven by WAGGGS’ principles. This policy is reviewed annually and is consistent with Trustees’ responsibilities under the Charities Act. Our Investment Managers, Merrill Lynch Portfolio Managers, are instructed to take all reasonable measures to avoid investing in companies where it is possible to determine that a material proportion of their revenues are derived from the following activities: tobacco, alcohol, illicit drugs, gambling, armaments or war producing items. In addition, our investment managers are aware that WAGGGS wishes to avoid investment in regions or companies that have material dealings that breach human rights, particularly those of women and girls. In setting the performance criteria against which the performance of the investment portfolio is managed, consideration is given to achieving capital growth for WAGGGS’ Endowment Fund and the need to provide up to 5% of WAGGGS’ total income requirements in the year. The actual allocation of assets is reviewed each year taking into account advice from the Investment Manager and the degree of risk considered appropriate for WAGGGS’ investments. The current asset allocation has been set as equities 50%, fixed income/ cash instruments 40%, and property/cash 10%. The performance of the portfolio is measured against the following criteria:

14

•

Fixed income return is measured against the FTA Government Under 15 Years Index;

• •

Equity return is measured against the FTSE All - Share Index;

•

The current performance target is set at 100 basis points above the Indices over a five-year period.

The total portfolio’s return is measured against the indexed returns of the underlying asset classes weighted by the asset allocation percentages established by the Finance Committee;

Annual Report and Financial Statements 2007

The portfolio rose by 6.55% on a total return basis compared to the benchmark rise of 5.70% during the period. The US subprime mortgage crisis, the recognition of slowing GDP growth, the threat of inflation from food and energy price rises and the weakening US dollar, supporting higher commodity prices have all contributed to 2007 being one of the more unsettled years for investors as market volatility reached extremes, particularly in the second half of the year. Over the past five years the cumulative the total return on the portfolio has been 70% against the benchmark of 53%. As at 31 December 2007 there was an unrealized gain on the portfolio of £77K (2006: £483K).

The Future Our key objectives for 2008, which support the overall achievement of the three Goals as part of WAGGGS’ Strategic Plan for the 2006-2008 triennium, are set out on page 15. Our priorities for the 2006-2008 triennium were set at the 32nd World Conference in 2005. As part of this overall strategy our prime objectives for 2008 are shown below.

•

Implement a revised fundraising strategy to create a sound income stream to support the work of the 2009-2011 triennium.

•

Hold the 33rd World Conference in South Africa enabling Member Organizations to agree the strategic direction for the next triennium 2009-2011.

•

Build and strengthen relationships with corporate partners and other NGOs.

•

Build upon the monitoring and evaluation work to assess the impact of WAGGGS’ strategy.

Goal 1:

Goal 3:

•

Launch WAGGGS Leadership Development Programme (WLDP) at the World Conference.

•

•

Finalise WAGGGS Leadership Development Programme material for implementation in 2009-2011.

•

Develop trainers expert in delivering international leadership training.

Test the concept of a Global Day of Action by piloting on World Health Day. The six UN teams will be active in the cities where they are based and will reach out to Member Organizations through the website. This will serve as a forerunner to Global Action Days in 2010 and 2012 marking the Guiding centenary.

•

Launch the new HIV and AIDS training toolkit at the International AIDS Conference in Mexico City in August 2008. This will enable WAGGGS to increase its capacity to train girls and young women to be peer educators on HIV prevention and stigma reduction.

•

Undertake research on the trafficking of girls and young women with an aim to forging strategic alliances and securing resources for the planned global Tackling Trafficking project. Member Organizations will initially work in teams to deliver the project.

•

Continue to work on developing advocacy plans with Member Organizations to develop advocacy plans and we will provide them with a toolkit to enable them to develop their own advocacy work.

Strong and Growing Member Organizations – Revitalising the Movement

•

Increase networking with relevant NGO coalitions that support our advocacy priorities, including the Alliance of Youth CEOs (“Big 6”) and the Leadership Council of the Global Coalition on Women and AIDS.

•

Building upon the outcome of the volunteerism survey, undertake more research in order to inform recruitment, retention and educational programmes within Member Organizations.

•

The Africa Region will be furthering its partnership with the African Union.

•

Launch of twinning between Girl Scouts USA and five Latin American Member Organizations.

• •

The Europe Region to hold a round table on membership.

The Voice of Girls and Young Women – Building a Better World

Leadership Development – Capacity Building

•

Ongoing strategic leadership work – providing tailor-made training at regional, sub-regional and national levels. The Africa Region will develop a mentoring programme for young women in leadership.

•

Hold the Juliette Low Seminar in Africa focusing on international leadership, encouraging more participants from under-represented countries.

•

Exchange of best practices at the Central American gathering in Panama and the Caribbean Link Conference for the Western Hemisphere Region.

Goal 2:

Hold a dynamic event for 14-16 year-olds, to explore new and attractive ways of recruiting and retaining members of this age group in Asia Pacific Region.

The achievement of WAGGGS’ Mission, enable World Association of Girl Guides andtoGirl Scoutsgirls Annual Review 2007 and young women to develop their fullest potential as responsible citizens of the world, depends upon the dedication and hard work of all our volunteers and other supportive individuals as well as the professionalism of its entire staff throughout the world.

Approved and authorised for issue by the Board of Trustees on 15 May 2008 and signed on its behalf by:

Elspeth Henderson (Chairman of the World Board)



World Association of Girl Guides and Girl Scouts

Della Salway (Treasurer)

Registered Charity No. 306125

15

Independent Auditor’s Report to Trustees Independent Auditor’s Report to the Trustees of the World Association of Girl Guides and Girl Scouts We have audited the financial statements which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and related notes. This report is made solely to the charity’s trustees as a body, in accordance with the Charities Act 1993. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Respective responsibilities of trustees and auditors The trustees’ responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) are set out in the Statement of Trustees’ Responsibilities. We have been from as auditors under section 43 of the Charities Act 1993 and report in accordance with regulations made under section 44 of that Act. Our responsibility is to audit the financial statements in accordance with relevant legal and regulatory requirements and International Standards on Auditing (UK and Ireland). We report to you our opinion as to whether the financial statements give a true and fair view and are properly prepared in accordance with the Charities Act 1993. We also report to you if, in our opinion, the Annual Report is not consistent with the financial statements, if the charity has not kept proper accounting records, or if we have not received all the information and explanations we require for our audit. We read other information contained in the Annual Report, and consider whether it is consistent with the audited financial statements. This other information comprises only the Trustees’ Report. We consider the implications for our report if we become aware of any apparent misstatements or material inconsistencies with the financial statements. Our responsibilities do not extend to any other information.

16

Annual Report and Financial Statements 2007

Basis of audit opinion We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued by the Auditing Practices Board. An audit includes examination, on a test basis, of evidence relevant to the amounts and disclosures in the financial statements. It also includes an assessment of the significant estimates and judgments made by the trustees in the preparation of the financial statements, and of whether the accounting policies are appropriate to the charity’s circumstances, consistently applied and adequately disclosed. We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or other irregularity or error. In forming our opinion we also evaluated the overall adequacy of the presentation of information in the financial statements.

Opinion In our opinion the financial statements give a true and fair view, in accordance with United Kingdom Generally Accepted Accounting Practice of the state of the charity’s affairs as at 31 December 2007 and of its incoming resources and application of resources in the year then ended and have been properly prepared in accordance with the Charities Act 1993.

BAKER TILLY UK AUDIT LLP Registered Auditor Chartered Accountants 1st Floor, 46 Clarendon Road Watford, Herts WD17 1JJ 15 May 2008

Trustees, Officers & Professional Advisors World Board

Substitute Members

Chairman Elspeth Henderson

Lida Jacob Thérèse Hode

Deputy Chairman Mary Lynn Myers

Treasurer

Finance & Business Management Group Coordinator Della Salway Chairman, Governance and Constitutions Committee Liesbeth Lijnzaad

Communications Group Coordinator Margaret Treloar Rehana Banoo Magda Murr Marjorie Samudzimu

Della Salway

Senior Management Chief Executive Mary Mc Phail (appointed 28/2/07) Communications Director Charlotte Barran Human Resources Director Lorraine Dixon Finance Director Vi Jensen Strategies for Growth Director Lydia Mutare

Development of Girl Guiding/ Girl Scouting Group

Regional Operations Director Sally O’Neill

Coordinator Mette Grønvold

Olave Baden–Powell Society

Chairman, World Centres Committee Linden Edgell

Patron HRH Princess Benedikte of Denmark

Fatimah Mohamed Lucía Piñerio Gastañeta

President Charlotte Christ-Weber

Regional Chairmen

Bankers & Professional Advisors

Africa Region Honorine Kiplagat (until 17/6/07) Marie-Anne Tofani-Fofana (from 17/6/07)

Bankers National Westminster World AssociationBank of Girlplc Guides and Girl Scouts Annual Review 2007 141 Ebury Street, London SW1W 9QP

Arab Region Zeina Kfoury (until 22/5/07) Essia Fathallah (from 22/5/07)

Auditors Baker Tilly UK Audit LLP Registered Auditor Chartered Accountants 1st Floor, 46 Clarendon Road, Watford, Herts WD17 1JJ

Asia Pacific Region Cristina Lim-Yuson (until 8/6/07) June Cameron (from 8/6/07) Europe Region Diane Dixon (until 9/5/07) Fabiola Canavesi (from 9/5/07) Western Hemisphere Region Angela Dawson (until 10/7/07) María Elena Murillo Echeverría (from 10/7/07)

Investment Managers Merrill Lynch Portfolio Managers Limited 2 King Edward Street, London EC1A 1HA Solicitors Bircham, Dyson Bell LLP 50 Broadway, Westminster, London SW1H 0BL

World Bureau Olave Centre 12c Lyndhurst Road, London NW3 5PQ

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

17

Statement of Financial Activities

for the year ended 31 December 2007

Notes

Unrestricted Funds

Restricted Endowment Funds Fund



£’000

£’000

Total Funds 2007

Total Funds 2006

£’000

£’000

£’000

INCOMING RESOURCES Voluntary income

2

846

193

153

1,192

1,188

Investment income

2

375

–

–

375

323

Incoming resources from generated funds

1,221

193

153

1,567

1,511

Incoming resources from charitable activities 3

3,236

661

–

3,897

3,544

Total incoming resources

4,457

854

153

5,464

5,055



RESOURCES EXPENDED Cost of generating voluntary income 4 243 – – 243 193 Investment management costs

4

13

–

41

54

51

Costs of generating funds

256

–

41

297

244

Charitable activities

4

4,197

665

36

4,898

4,533

Governance costs

4

191

–

–

191

133

Total resources expended

4,644

665

77

5,386

4,910

189

76

78

145

–

–

–

NET INCOME/(EXPENDITURE) before transfers and other gains & losses Transfer between funds Other gains

(187)

13

36

(36)

6

47

7

50

104

476

160

126

182

621

4,468

5,198

13,434

12,813

–

–

–

5,324

13,616

13,434

NET MOVEMENT IN FUNDS

(104)

Total Funds at 1 January 2007

3,768

Reclassification of opening balances

13

14

Total Funds at 31 December 2007



3,678

The notes on pages 21 to 32 form an integral part of these financial statements.

18

Annual Report and Financial Statements 2007

(14) 4,614

Balance sheet

as at 31 December 2007

Notes 2007

2006



£’000

£’000

FIXED ASSETS Tangible Assets

7

3,924

4,006

Investments

8

8,069

7,118

11,993

11,124

Total fixed assets



CURRENT ASSETS Stocks 9 129 73 Debtors

10

410

255

Short Term investments

1,895

2,829

Cash at Bank and in hand

59

51



2,493

3,208

CREDITORS - amounts falling due within one year

11

(870)

(898)

Net Current Assets

1,623

2,310

NET ASSETS

13,616

13,434

FUNDS of the Charity Endowment Fund

12

5,324

5,198

Restricted Funds

12

4,614

4,468

13

2,232

2,448

13

1,446

1,320

Total Unrestricted

3,678

3,768

13,616

13,434

UNRESTRICTED General Funds Designated

TOTAL FUNDS

World Association of Girl Guides and Girl Scouts Annual Review 2007

14

Approved and authorised for issue by the Board of Trustees on 15 May 2008 and signed on its behalf by

Elspeth Henderson (Chairman of the World Board) The notes on pages 21 to 32 form an integral part of these financial statements.

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

19

Cash Flow Statement

for the year ended 31 December 2007

Notes 2007 £’000

2006 £’000

Net cash (outflow)/ inflow from operating activities

A

(387)

Returns on investments and servicing of finance

B

375

323

Capital expenditure and financial investment

C

20

(383)

Increase/(Decrease) in cash

D

8

(38)

78

145



22

NOTES TO THE CASH FLOW STATEMENT A) Reconciliation of net incoming resources to the net cash (outflow)/ inflow from operating activities Net incoming resources Exchange and revaluation movements

43

(77)

Less Investment income

(375)

(323)

Depreciation

106

102

(Increase)/Decrease in stock

(56)

29

(Increase)/Decrease in debtors

(155)

103

(Decrease)/Increase in creditors

(28)

43

Net cash (outflow)/inflow from operating activities

(387)

22

Dividends received

279

248

Interest received

96

75

Total

375

323

B) Returns on Investments and servicing of Finance

C) Capital Expenditure and Financial Investment



Purchase of tangible fixed assets

(24)

(12)

Purchase of investments

(2,440)

(2,149) 2,254

Sale of investments

1,550

Decrease/ (Increase) in short term investments

934

(476)

Total

20

(383)

D) Reconciliation of Net Cash Flow to Movement in Net Funds Increase/(Decrease) in cash

20

8

(38)

(Decrease)/Increase in Short Term Deposits

(934)

476

Change in Net Funds

(926)

438

Net Funds brought forward

2,880

2,442

Net Funds carried forward









1,954

2,880

E) Analysis of changes in Net Funds







1 January

31 December









2007

Cash Flow

2007









£’000

£’000

£’000

Cash at Bank and in Hand Short Term deposits

51 2,829

8 (934)

59 1,895

Total

2,880

(926)

1,954

Annual Report and Financial Statements 2007

Notes to the accounts

for the year ended 31 December 2007

1. ACCOUNTING POLICIES

1.3 Incoming Resources

1.1 Basis of accounting

All incoming resources are included in the accounts when the charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies apply to categories of income.

The financial statements have been prepared under the historical cost convention, with the exception of listed investments, which are included on market value basis. The financial statements have been prepared in accordance with the Charity Commission for England and Wales Statement of Recommended Practice on Accounting and Reporting by Charities (SORP 2005), the Charities Act 1993 and applicable United Kingdom accounting standards. The particular accounting policies adopted by the Trustees are described below and have been applied consistently throughout the current year and preceding year.

•

Quota income relates to the annual fee payable by Member Organizations as a condition of membership. This is accounted for on a receivable basis, net of provisions.

•

Legacy entitlement is taken as the earlier of the cash being received or estate accounts being settled.

•

Donations are accounted for where there is adequate certainty of receipt.

•

Grants for specific purposes are recognized as income when received and are shown as restricted income. The exception to this rule is where grants are received with preconditions attached, and where the preconditions have not been met by the balance sheet date. Such grants are included in creditors.

•

Investment income, primarily from dividends and interest, is included gross and accounted for when receivable.

•

Charitable trading income includes the sale of publications, uniform and other items purely for charitable purposes by the World Bureau.

•

World Centres Operating Income consists primarily of receipts for board and lodging. This is accounted for on an accruals basis.

1.2 Fund Accounting Restricted Funds - these funds are subject to specific conditions imposed by the donors.

Endowment Fund - this is an expendable endowment fund established by a resolution of the World Conference in 1999. Its aim is to provide a fund, the income of which can be used to safeguard the continuing development, promotion and expansion of WAGGGS.

General Funds - these are funds which are available for use at the discretion of the World Board in the furtherance of WAGGGS’ Object.

Designated Funds - these funds have been set aside out of General funds, at the discretion of the World Board, for specific purposes. The Finance Committee reviews the status and adequacy of the individual designated funds in relation to the achievement of WAGGGS’ Strategic Goals and the need to provide for activities which are held at different stages of sthe Triennium.

World Association of Girl Guides and Girl Scouts

•

World Association of Girl Guides andmeasurable Girl Scouts Annual Review 2007 Donated services, where material, and readily identifiable are included at the value of the service received by the charity.

Registered Charity No. 306125

21

Notes to the accounts 1.4 Resources Expended

1.6 Tangible Fixed Assets and Depreciation

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category, inclusive of any irrecoverable VAT.

Freehold properties are stated in the balance sheet at cost, net of depreciation with the exception of ‘Our Cabaña’ in Mexico which is based on the net book value of the building at 30 September 1999. Freehold land is not depreciated. Other tangible fixed assets are stated at cost, net of depreciation.

The allocation of staff salaries and overheads not directly attributable to a particular functional activity are apportioned over the relevant categories on the basis of management estimates of time spent by individual staff on various activities in support of WAGGGS’ goals. Cost of Generating Funds includes those expenses which are directly attributable to the generation of funds. These include Investment Managers fees and the salaries and overheads of the staff that directly undertake fundraising activities plus allocated support costs. Charitable Activities expenditure is allocated against goals and activities on the basis noted above. Activities include:

•

•

Operational Support Services represent the central costs not directly attributable to WAGGGS’ goals but are in support of WAGGGS’ charitable activities. Further details of items included in operational support are included in the notes to the financial statements. Governance costs include the direct costs of the administration of WAGGGS and compliance with constitutional and statutory requirements including an appropriate share of support costs. These costs include audit, legal advice for trustees and costs associated with Board meetings, the governance element of the World Conference and the preparation of the statutory accounts.

Depreciation is provided in equal annual instalments over the estimated useful lives of the assets as follows:

• • •

Freehold Buildings – 50 years

• • • •

Fixtures and fittings – 5 years

Leasehold Buildings – the length of the lease* Leasehold improvements – 20 years or length of remaining lease if shorter

Office equipment other than computers – 5 years Computer equipment – 3 years Database management system – 5 years

All tangible fixed assets are capitalised subject to a cost threshold of £1,000. *Where the length of the lease is in excess of 50 years an impairment review is carried out each year to ensure fixed assets are not overvalued.

1.7 Investments

•

Triennial Expenditure The cost of the World Conference and Regional Conferences which take place on a triennial basis, are met from designated funds built up by annual transfers from General Funds.

Investments listed on a recognized stock exchange are stated at market value. Unrealized gains and losses arising from the revaluation of the investment portfolio are shown in the appropriate section of the Statement of Financial Activities.

•

Pensions are provided through money purchase schemes and costs recognized when payments into those schemes are due and payable.

1.8 Stocks

1.5 Foreign Currencies Assets and liabilities denominated in foreign currencies and the results of overseas operations are translated at the rates of exchange ruling at the balance sheet date. Exchange differences arising from the retranslation of opening net investment in overseas operations are dealt with as a movement in the funds. Transactions in foreign currencies are recorded at the rate ruling at the date of the transactions and exchange differences are dealt with through the Statement of Financial Activities.

22

for the year ended 31 December 2007 continued

Annual Report and Financial Statements 2007

Stocks are valued at the lower of cost and net realisable value. Cost comprises purchase of materials.

1.9 Taxation No taxation is payable due to the charitable status of the organization.

2. Analysis of income from generated funds

Unrestricted Funds

Restricted Funds

Endowment Fund

Total Funds 2007

Total 2006



£’000

£’000

£’000

£’000

£’000

Donations

37

–

–

37

120

World Thinking Day

177

–

–

177

234

Olave Baden-Powell Society

108

–

153

261

272

Voluntary Income

Regions

286

–

–

286

316

World Centres

238

193

–

431

246

Total voluntary income

846

193

153

1,192

1,188

Investment income Dividend income

279

–

–

279

248

Interest

96

–

–

96

75

Total investment income

375

–

–

375

323

3. Analysis of income from charitable activities

Unrestricted Funds

Restricted Funds

Endowment Fund

Total Funds 2007

Total 2006



£’000

£’000

£’000

£’000

£’000

Quota (Fees payable by Member Organizations)

1,669

–

–

1,669

1,669

World Centres Operating income

1,362

–

–

1,362

1,187

Sale of materials and goods

44

–

–

44

18

Grants for specific programmes

161

661

–

822

670

Total income form charitable activities

3,236

661

–

3,897

3,544

4. Analysis of total resources expended

Unrestricted Funds

Restricted Funds

Endowment Fund

Total 2007

Total 2006



£’000

£’000

£’000

£’000

£’000













Direct cost of generating funds

62

–

–

62

11

Fundraising management and support

181

–

–

181

182

Investment Manager’s Fees

3

–

41

44

41

Management of investments

10

–

–

10

10

Total cost of generating funds

256

–

41

297

244

Cost of generating Funds

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

23

Notes to the accounts

for the year ended 31 December 2007 continued

4. Analysis of total resources expended continued

Unrestricted Funds

Restricted Funds

Endowment Fund

Total 2007

Total 2006



£’000

£’000

£’000

£’000

£’000

Charitable Activities Goal 1 – Leadership Supporting and working with Member Organizations

167

68

–

235

233

Workshops/Seminars and Training

130

–

–

130

127

World Conference

30

–

–

30

12

Triennial Theme and Publications

9

–

–

9

1

Supporting and working with Regions

7

–

–

7

8

Regional Conferences

67

–

–

67

5

World Centres - Operating Costs

807

67

–

874

681

Supporting and working with World Centres

103

–

–

103

92

Promoting WAGGGS

41

–

–

41

45

Total



1,361

135

–

1,496

1,204

Goal 2 – Membership













Supporting and working with Member Organizations

378

393

–

771

1,100

Workshops/Seminars and Training

139

–

–

139

158

World Conference

29

–

–

29

12

Supporting and working with Regions

35

–

–

35

23

Regional Conferences

20

–

–

20

-

World Centres - Operating Costs

346

41

–

387

279

Supporting and working with World Centres

47

–

–

47

45

Promoting WAGGGS

112

–

–

112

87

Charitable Trading

21

–

–

21

23

1,127

434

–

1,561

1,727

Total



Goal 3 – Advocacy













133

55

–

188

121

Workshops/Seminars and Training

18

–

–

18

23

World Conference

10

–

–

10

12

Supporting and working with Member Organizations

24

Triennial Theme and Publications

–

–

–

–

–

Supporting and working with Regions

7

–

–

7

5

Regional Conferences

39

–

–

39

4

World Centres - Operating Costs

461

27

–

488

396

Supporting and working with World Centres

62

–

–

62

55

Promoting WAGGGS

109

–

–

109

89

Total

839

82

–

921

705

Annual Report and Financial Statements 2007



4. Analysis of total resources expended continued

Unrestricted Funds

Restricted Funds

Endowment Fund

Total 2007

Total 2006



£’000

£’000

£’000

£’000

£’000













Supporting World Board

130

–

–

130

136

Regional Committees support

165

–

–

165

162

Regional Conferences

207

–

–

207

39

Operational Support Services

Olave Baden-Powell Society

45

–

36

81

72

General and Financial Management

323

14

–

337

488

Total



870

14

36

920

897

Total Expenditure on Charitable Activities



4,197

665

36

4,898

4,533

Governance World Board and Committees

48

–

–

48

37

World Conference

25

–

–

25

10

Statutory Costs

116

–

–

116

84

Strategic Direction

2

–

–

2

2



191

–

–

191

133

Total Resources Expended

4,644

665

77

5,386

4,910

Total

Support costs not directly attributable to the charitable activities, generating funds and governance, have been allocated to each of the categories shown below on the basis of estimated time and number of staff employed during the year on each of the relevant activities.

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

25

Notes to the accounts

for the year ended 31 December 2007 continued

4. Analysis of total resources BY CATEGORY OF EXPENDITURE

Direct Costs

Direct Staff Costs

Support Costs

Total 2007

Total 2006



£’000

£’000

£’000

£’000

£’000

Cost of Generating Funds

117

134

46

297

244

Goal 1 – Leadership

927

485

84

1,496

1,204

Goal 2 – Membership

1,053

405

103

1,561

1,727

Goal 3 – Advocacy

487

360

74

921

705

Operational Support Services

66

629

225

920

897

Governance

123

50

18

191

133

2,773

2,063

550

5,386

4,910

Total Resources Expended



The support costs shown above comprise the cost of management time in overseeing these activities, office costs cover the cost of the World Bureau and the Europe Office including maintenance and running of the offices, personnel costs include staff training and other central staff related expenses and IT and communication costs include all general IT support and other communication costs.

4. Analysis of support costs Management Office Personnel IT and Total BY functional expenditure Costs Costs Costs Communication Support Costs Costs 2007 £’000 £’000 £’000 £’000 £’000 Cost of Generating Funds

5

14

17

10

46

Goal 1 – Leadership

10

26

31

17

84

Goal 2 – Membership

12

33

36

22

103

Goal 3 – Advocacy

9

23

27

15

74

Operational Support Services

27

66

84

48

225

Governance

2

5

7

4

18

65

167

202

116

550

Total Resources Expended

26

Annual Report and Financial Statements 2007



5. EMPLOYEES Total staff costs

2007 £’000

2006 £’000

Wages and salaries

1,926

1,828

Social security costs

228

194

Pension costs

93

76

2,247

2,098

Total









Remuneration policy and benefits The Association bases its reward polices and strategies on the needs of the organization. Salaries are benchmarked against other comparable organizations to ensure that it pays a suitable rate of pay to all the staff in relation to the environment in which they work. The Association has a separate Group personal pension plan set up in 1998 with Norwich Union Life, which is a contributory money purchase scheme to which the majority of staff belong. A small number of staff contribute to the money purchase pension scheme with Save & Prosper Group Ltd., which commenced in 1984. The assets of both schemes are in independently administered funds. Contributions totalling £2K (2006:£2K) were payable at the year end and are included in the creditors. Where appropriate the World Centres contribute to local pension arrangements for senior staff. Average number of Full-Time Equivalent Employees

2007

2006

Number World Bureau

46

47

World Centres

46

46

Total



92

93



2007

2006









The number of employees whose emoluments as defined for taxation purposes Number amounted to over £60,000 £80,001 - £90,000

1

–

£70,001 - £80,000

–

1

£60,001 - £70,000

3

–

Pension contributions of £22K were paid in 2007 (2006:£5K) to employees earning more than £60,000 within the year. The trustees did not receive any remuneration or benefits in kind, other than the reimbursement of expenses. During the year 17 (2006:17) trustees were reimbursed for travelling and accommodation expense incurred on the Association’s business which amounted to £43K (2006:£35K). Auditors’ Remuneration Audit fees payable for the year ended 31 December 2007 were £33K (2006: £35K). No fees were payable for non audit work in the year (2006: nil).

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

27

Notes to the accounts

for the year ended 31 December 2007 continued

6. other gains

Unrestricted Funds

Restricted Funds

Endowment Fund

Total Funds 2007

Total 2006



£’000

£’000

£’000

£’000

£’000

–

(10)

17

–

60

77

483

32

7

–

39

(150)

47

7

50

104

476

7. TANGIBLE FIXED ASSETS Freehold Leasehold Land & Land & Buildings Buildings £’000 £’000

Furniture & Equipment £’000

Data Management System £’000

Total £’000

(Loss)/Profit on Sale of Capital Investments

(2)

Unrealised Gains on Investments Exchange and Revaluation Movements Total Other Gains



(12)

143

Cost or Valuation Brought forward 1 January 2007 Additions

715

4,354

592

130

5,791

–

–

24

–

24

–

14

–

(1)

4,354

630

130

5,814





Exchange difference

(15)

Carried forward 31 December 2007

700



Accumulated Depreciation









Brought forward 1 January 2007

465

710

527

83

1,785

Charge for year

14

31

35

26

106

Exchange difference

(11)

–

10

–

Carried forward 31 December 2007

468

741

572

109

1,890



(1)

Net Book Value:













31 December 2007



232

3,613

58

21

3,924

31 December 2006

250

3,644

65

47

4,006

There were no disposals in the year. The total value of land that is not depreciated is £55K.

28

Annual Report and Financial Statements 2007

8. INVESTMENTS Total 2007 £’000 Market value at 1 January 2007

7,118

Total 2006 restated £’000 6,623

Purchases at cost

2,440

2,149

Disposals at book value

(1,562)

(2,110)

Exchange difference

(4)

(26)

Net unrealized gain on revaluation

77

482

8,069

7,118

UK Equity shares

3,352

3,538

Market value as at 31 December 2007













At the balance sheet date, the portfolio was invested as follows:

UK Fixed Interest Bonds and Deposits

2,823

1,908

UK Unit Trusts

214

–

Property Unit trusts

532

731

Overseas Mutual Funds

230

230

Overseas Fixed Interest Bonds and Deposits

13

10

Money Market Instruments

905

701

8,069

7,118

9. STOCK Total 2007 £’000

Total 2006

Market value as at 31 December 2007









There are no restrictions on the realization of any of the investments. Investments listed on the UK Stock Exchange amount to £6,921K (2006:£6,178K )

£’000

Uniforms, publications, badges and souvenirs

119

64

Other

10

9

129

73

10. DEBTORS Total 2007 £’000

Total 2006

Total Stocks









£’000

General debtors

307

214

Prepaid expenses

103

41

Total Debtors

410

255









Outstanding quota payable by Member Organizations of £108K (2006: £96K) is included within general debtors. The World Board has agreed rescheduled payment schemes with some Member Organizations in respect of their outstanding quota.

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

29

Notes to the accounts

for the year ended 31 December 2007 continued

11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Total 2007 £’000

Total 2006 £’000

Accounts payable

131

95

Owed to Member Organizations

14

71

Employees’ salaries provision

63

60

Deferred Income

167

246

Tax and Social Security

52

51

Other creditors

443

375

Total Creditors

870

898









Employees’ salaries provision reserve represents monies set aside in lieu of pension contributions for employees who are not European Union nationals, and which will be paid to them on termination of employment. Deferred income relates to potentially refundable income received for future events.

12. ANALYSIS OF MOVEMENTS OF FUNDS Balance Incoming Outgoing 2006 Funds Funds £’000 £’000 £’000 WAGGGS’ Endowment Fund

5,198

203

(77)

Transfer between Funds £’000

Balance 2007

–

5,324

£’000

Restricted Funds – comprise of the following unexpended balances on donations and grants given for specific purposes. The purpose of each fund can be found on page 32. World Bureau





Property

1,753

–

(14)

Goal 1 – Leadership

94

68

(68)

Goal 2 – Membership

56

47

(22)

Goal 3 – Advocacy

13

42

(55)

UPS Signature Programme

7

422

(334)

Tsunami and other disaster funds

37

9

(37)

World Conference and other travel grants

–

67

Other Donations

11

6

– –

Europe Region

14

–

–

1,985

661









(530)





– – – – – – – –

1,739 94 81

– 95 9 67 17

(14)

–

(14)

2,102

World Centres 1,891

–

(18)

Pax Lodge – Other donations

41

20

(7)

Our Cabaña – Property

359

–

(9)

Our Cabaña – Other donations

20

60

(37)

Our Chalet

118

32

(18)

Sangam

54

88

(46)

Pax Lodge – Property

30

– (36)

– – – –

1,873 18 350 43 132 96





2,483

200

(135)

(36)

2,512

Total Restricted Funds



4,468

861

(665)

(50)

4,614

Annual Report and Financial Statements 2007

ANALYSIS OF MOVEMENTS OF FUNDS Balance Incoming Outgoing continued 2006 Funds Funds £’000 £’000 £’000 13. UNRESTRICTED FUNDS







General



2,448

3,960

Transfer between Funds £’000



Balance 2007 £’000



(4,058)

(118)

2,232

Designated Funds - comprise of the following funds which have been set aside to cover specific costs. The purpose of each fund can be found on page 32. Conferences and Roundtables

338

–

–

Regional Funds

395

401

Property Maintenance

279

143

Specific Goal related activities

148

–

IT enhancement

24

–

-

4

28

Others

136

–

–

141

277

16

354

(356)

14

454

(230)

1

193

(8)

140

-

Total Designated Funds



1,320

544

(586)

168

1,446

Total Unrestricted Funds



3,768

4,504

(4,644)

50

3,678

The transfer of funds from Restricted to Unrestricted of £36K in the year relates to expenditure which has been supported by restricted donations. The reclassification of opening balances of £14K between Restricted and Designated Funds within the Europe Region is due to grant classification which has been clarified in 2007.

14. ANALYSIS OF net assets between funds Tangible Fixed Assets Investments £’000 £’000

Net Current Assets

Total

£’000

£’000

Endowment

–

5,324

–

5,324

Restricted

3,924

527

163

4,614

General

–

877

1,355

2,232

Designated

–

1,341

105

1,446

3,924

8,069

1,623

13,616



World Association of Girl Guides and Girl Scouts





Registered Charity No. 306125

31

Notes to the accounts

for the year ended 31 December 2007 continued

The prime purpose of the Restricted and Designated funds shown on pages 30 and 31 and the estimated timeframe in which these funds are expected to be utilised are shown below.

Name of Fund

Purpose

Period to be used

Restricted Funds Property

To be used for the up keep of the World Bureau.

Over the period of the remaining lease

Goal 1 – Leadership

Primarily for workshops, seminars and training.

Within 1 to 2 years

Goal 2 – Membership

Primarily for workshops, seminars and training.

Within 1 to 2 years

Goal 3 – Advocacy

Primarily for workshops, seminars and training.

Within 1 to 2 years

UPS Signature Programme

Major project on volunteerism.

Within 1 year

Tsunami and other disaster funds

Specific funds to aid disaster areas.

Within 1 year

Other Donations

Includes an amount to deal with emergencies and other strategic related issues not specifically in relation to Goals.

Within 1 to 2 years

World Centres Pax Lodge and Our Cabaña - Property To be used for the up keep of the Centres.

Over the period of the remaining lease or life of the property

World Centres other Restricted funds

Between 1 and 3 years

Primarily for the provision of scholarships and support for training events held the Centres.

Designated Funds

32

Conferences and Roundtables

These funds cover events such as World and Regional Conferences which may take place only once in the triennium and the fund is built up evenly over the triennium for use in the triennium.

Regional Funds

These are funds given to support WAGGGS activities Between 1 and 3 years and have been allocated to specific regions to use within the region.

Property Maintenance

Funds set aside for major maintenance of the World Bureau and World Centres.

Between 1 and 5 years

Specific Goal related activities

Funds set aside for approved activities within the Strategic plan which span more than one year.

Within 2 years

IT enhancement

Provision to upgrade IT equipment etc.

Within 1 to 2 years

Annual Report and Financial Statements 2007

Between 1 and 3 years

Thank you The Princess Benedikte Awardees Vibeke Riemer Lars Kolind Helen Laird Ole Nørregaard Elinor Ferdon Martha Smith Irene Graevenitz Kata Jouhki Sheikha Jawaher Bint Mohammed Al-Qassimi

Our many supporters including Many volunteers serving on Committees, task groups, training pools etc. Friends of the World Centres, Regions and WAGGGS International Scout and Guide Fellowship Member Organizations Olave Baden-Powell Society World Foundation for Girl Guides and Girl Scouts Inc.

And our many partners including Academy for Educational Development Cambridge University Carpe Vitam Design Group International Exeter University Food and Agricultural Organization of the United Nations International Community of Women living with HIV/AIDS (ICW) John Ellerman Foundation Lord Cozens-Hardy Charitable Trust Soroptimist International UPS Foundation UNAIDS UNIFEM UNFPA Vital Voices Global Partnership Regional Centre for Quality of Health Care (Uganda)

World Association of Girl Guides and Girl Scouts

Registered Charity No. 306125

33