TIC International is a trading subsidiary of IRW whose principal activity is clothes recycling. TIC International generates income from this. All profits received from this operation are returned to Islamic Relief. TIC International also provides logistical support in sorting and shipping emergency aid such as tents, food and blankets to areas affected by disaster.

Islamic Relief works with other organisations to achieve common goals. Such organisations include:

• Catholic Agency for Overseas Development (CAFOD)
• Department for International Development (DFID)
• European Commission (EC)
• European Commission Humanitarian Aid Office (ECHO)
• World Food Programme (WFP).

IRW is also a member of the Disasters Emergency Committee (DEC), a body of 13 agencies that coordinates emergency relief campaigns in the United Kingdom.

Islamic Relief is dedicated to alleviating the poverty and suffering of the world’s poorest people, which often means operating in ‘high-risk’ countries. To fulfil our vision and mission effectively, to effectively safeguard our staff and beneficiaries, and to meet the obligations to our donors, risks are managed through the following mechanisms.

The Board of Trustees constantly reviews the risks the organisation faces and plays an active role in both risk assessment and mitigation. The board also implements a risk management policy relating to risks that IRW faces regarding the provision of humanitarian aid.

The process of identifying risks and developing an on-going programme to monitor and mitigate against them is undertaken and reviewed by the Board of Directors and the Board of Trustees. This on-going programme incorporates all aspects of risk faced by the organisation relating to governance, operations, finances and external obligations. Although responsibility for risk assessment lies with IRW management, the Evaluation and Audit Unit facilitates the assessment process. The current key strategic risks are considered to be:

• damage to reputation and public confidence
• the inability to access beneficiaries due to security concerns
• the inability to move funds in a timely fashion to complete projects as planned
• the lack of sustainability of various income
• streams in order to deliver our strategic objectives.

The CEO and the directors are responsible for following up the recommendations of the Evaluation and Audit Unit. The Audit Committee, chaired by Dr Mohamed El-Alfy of the Board of Trustees, monitors the implementation of these recommendations.

Internal controls over all forms of commitment and expenditure continue to be refined in order to improve efficiency. Processes are in place to ensure that performance is monitored and that appropriate management information is reviewed. In 2009, this was carried out by a change management programme and process improvement groups, including the Evaluation and Audit Unit.

The systems of internal control are designed to provide reasonable but not absolute assurance against material mismanagement or loss. They include:

• a strategic plan – which includes an annual operating plan and annual budget approved by the Board of Trustees
• regular analysis by the Board of Trustees and Board of Directors of the results and variances from budgets
• delegation of day-to-day management authority, including segregation of duties
• the identification and management of risks.

The Evaluation and Audit Unit is integral to the internal control processes.

IRW has started the restructuring of its management system. The Board of Trustees is directly involved in assessing the progress of this process and implementing the approved strategy. The trustees are currently consulting with partners to ensure that future governance structures are fit for the purpose of the organisation.

The Board of Trustees receives regular reports on the performance of the organisation and the annual financial reports, along with plans and budgets. The Board also approves any news policies and procedures.

The Evaluation and Audit Unit’s function is:

• to maintain and promote quality standards within the organisation
• to review and improve operating systems
• to evaluate and analyse Islamic Relief’s
• humanitarian programmes.

IRW aims to ensure quality assurance by following a systematic approach to identify and respond to the needs of those who use Islamic Relief’s services, whether beneficiaries or donors.

During 2009, the Evaluation and Audit Unit undertook appraisals of humanitarian programmes to ensure that quality assurance systems were being used effectively.

The unit has also carried out evaluations of partner and affiliates against quality standards and has assisted in the production of relevant action plans.

Islamic Relief provides grants to organisations and individuals if the request meets the charitable objectives and criteria set by IRW. After initial approval, applications are reviewed by a committee of senior personnel. Islamic Relief aims to ensure that all grant applications are treated equally and fairly. It remains at the discretion of IRW to make the final decision as to who is eligible to receive a grant.

Islamic Relief’s strategic plans are developed to ensure that we provide maximum public benefit and achieve our objectives as set out in the Islamic Relief Strategy (available at http://www.islamic-relief.com). These objectives fall under purposes defined by the Charities Act 2006.

IRW supports and develops the skills of its employees. All employees are encouraged to engage with the strategy and objectives, and to give their suggestions and views on performance and strategy. Islamic Relief is committed to the People in Aid (PIA) Code of Good Practice.

We are an equal opportunities employer and have a policy of recruitment and promotion based on aptitude and ability without discrimination in any way or form. The policies at IRW are set to focus on training and career development for the majority of employees. For this reason, employees are assessed with supervision and an annual appraisal.

Islamic Relief considers volunteers as the heart and soul of its operations and relies on them to be able to deliver its services. IRW undertakes the management of all its volunteers.

During 2009, between 400 and 450 volunteers in the United Kingdom alone contributed around 35,000 hours of work to IRW operations by donating their time in the shops, through administration and by being involved in fundraising activities. (Because of the many varied aspects of work that volunteers do across several regions, it is difficult to estimate a precise number of volunteers and hours.)

The trustees extend their gratitude to all volunteers who helped Islamic Relief in the United Kingdom and elsewhere in achieving its goals and objectives. Furthermore, the trustees extend their gratitude to the public who have been generous in providing clothing for resale in the shops or through the textile recycling services provided by TIC International Limited.

The directors and trustees, who constitute the executives, are elected by the Annual General Meeting of members. The executives have the authority to appoint additional directors to fill a casual vacancy. Directors appointed in this manner are eligible for re-election at the Annual General Meeting. The conduct of such formalities is governed in general by the Companies Act 1985. The following directors/trustees have held office since 1 January 2009:

• Dr Mohamed El-Alfy (chair)
• Dr Essam El-Haddad
• Mr Nader Al-Nouri
• Mr Ibrahim El-Zayat
• Mr IftikharAwan
• Mr TahirSalie
• Dr AbdelwahabNourwali
• Dr Mohamed Attawia

The directors and trustees, who constitute the executives, are elected by the Annual General Meeting of members. The executives have the authority to appoint additional directors to fill a casual vacancy. Directors appointed in this manner are eligible for re-election at the Annual General Meeting. The conduct of such formalities is governed in general by the Companies Act 1985. The following directors/trustees have held office since 1 January 2009:

• Dr Mohamed El-Alfy (chair)
• Dr Essam El-Haddad
• Mr Nader Al-Nouri
• Mr Ibrahim El-Zayat
• Mr IftikharAwan
• Mr TahirSalie
• Dr AbdelwahabNourwali
• Dr Mohamed Attawia

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law, the directors have elected to prepare the group and parent company financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom accounting standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and company, and of the profit or loss of the group for that period.

In preparing those financial statements, the directors are required to:

• select suitable accounting policies and then apply them consistently
• make judgements and accounting estimates that are reasonable and prudent
• state whether applicable United Kingdom accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements
• prepare the financial statements on the going-concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group, and enable them to ensure that the financial statements comply with the Companies Act 2006 and the Charity Commission Statement of Recommended Practice (SORP) 2005. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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

In accordance with Section 418, directors’ reports shall include a statement, in the case of each director in office at the date the directors’ report is approved, that:

• So far as the director/trustee is aware, there is no relevant audit information of which the company’s auditors are unaware, and
• He has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company’s auditors are aware of that information.

Company and charity law require the trustees to prepare financial statements for each financial year that give a true and fair view of the state of affairs of the charity and the group, and of the surplus or deficit of the group for that period. In preparing those financial statements, the trustees confirm that they have:

• selected suitable accounting policies and applied them consistently
• made judgements and estimates that are
• reasonable and prudent
• stated whether applicable accounting standards have been followed
• disclosed and explained any material departures in the financial statements
• prepared the financial statements on a going-concern basis.

The trustees are responsible for ensuring that proper accounting records are kept, which disclose with reasonable accuracy at any time the financial position of the charity and the group, and enable the trustees to ensure that the financial statements comply with the Companies Act 2006 and the Charity Commission SORP 2005. They are also responsible for safeguarding the charity’s and the group’s assets and therefore for taking reasonable steps to prevent and detect fraud and breaches of law and regulations.