IFAD’s Action Plan aims to improve development effectiveness

IFAD is implementing an Action Plan to increase its development effectiveness, efficiency and relevance in helping its member countries reduce rural poverty.

Approved by IFAD’s Executive Board in December 2005, the Action Plan embraces the recommendations of the 2005 Independent External Evaluation of IFAD, the views of the Executive Board on change priorities, and IFAD management’s own recommendations on ways to improve how IFAD does business.

The Action Plan document defined more than 40 deliverables in the three broad areas of: strategic planning and guidance; project quality and impact; and knowledge management and innovation. These were to be prepared, approved and, in large measure, implemented during 2006 and 2007. During 2008, changes and reforms were to be consolidated and mainstreamed in line functions.

As of the end of 2007, the Action Plan was very much on track: all 14 of the deliverables to be presented to the Executive Board had been, a majority of the other deliverables had been completed, and the outputs of the Action Plan were already starting to transform the way IFAD goes about its business.

The Action Plan’s comprehensive new directions are bringing real and substantive improvements in the quality of IFAD-supported projects. In most key areas, it is well on track to achieve its targets.  For the organization, the focus is now shifting to mainstreaming the systems and tools established and sustaining the momentum of change.

A Management for Development Results approach

As part of its commitment to aid effectiveness, IFAD has adopted a management for development results (MfDR) approach.  IFAD’s MfDR agenda focuses above all on establishing coherent, linked systems and tools to plan, monitor and assess development results. The approach is underpinned by a number of simple principles:

• The organization’s strategic objectives are clearly defined and stated.
• All systems, processes and resource use (human and financial) are focused on, and geared towards, the achievement of those strategic objectives.
• All systems, processes and resource use are managed to be consistent and aligned with each other.
• Progress in achieving the strategic objectives is proactively monitored, and this information is used in decision-making and learning.

IFAD’s approach to MfDR has provided the framework for the design and subsequent delivery of the Action Plan.  In turn, by ensuring that the deliverables have all been aligned with strategic objectives and are mutually supportive, and by establishing systems for progress monitoring, the Action Plan has made a significant contribution to the mainstreaming of MfDR in IFAD and provides at least part of the basis for sustaining these results.

On track for development and organizational effectiveness

By January 2008 IFAD had carried out a range of reforms in the following broad areas:

• It had developed and was implementing its Strategic Framework 2007-2010, which defines IFAD’s development goals and objectives, its key principles, and the thematic areas in which it will focus its work. The Strategic Framework has provided the starting point for all initiatives under the Action Plan and it guides the work of all IFAD staff members.
• It had developed a mutually-supportive set of tools and organizational processes aimed at improving IFAD’s country- and project-level operations.  These cover the new Results-based COSOP, guidelines for project design, a new quality enhancement system, an arms-length quality assurance system, and guidelines for project supervision.  Staff have been trained, and implementation has started in all of these areas.
• It had evaluated its Field Presence Pilot Programme, on the basis of which it had brought its country presence initiatives on budget, and prepared an action plan for country presence for 2008.
• It had developed and started implementing new policies and strategies, to ensure consistent, organization-wide approaches on issues critical for delivering IFAD’s mandate.  These include a new targeting policy, an innovation strategy and a knowledge management strategy.
• It had developed a series of corporate systems aimed at ensuring that IFAD’s financial and human resources are aligned with the organization’s objectives and are effectively managed. These include the Results-based Programme of Work and Budget and a range of measures in human resource management and alignment.
• It had developed new tools and systems to report on the progress being achieved.  These include the annual Report on IFAD’s Development Effectiveness, and the Results Measurement Framework to report on country and project-level achievements against the Strategic Framework.

Results are improving

The reporting tools confirm that there has substantial improvement in project performance.  Project relevance continues to be high, and there is improvement in project effectiveness, efficiency, rural poverty impact and innovation. Project sustainability remains a concern, though it is improving, and it is being given particular attention at all stages of the project cycle. 

Past weaknesses in IFAD’s country programmes, in terms of engagement in policy dialogue, the development of strategic partnerships, and investment in broader lesson-learning and knowledge management, are now addressed under the new results-based COSOPs.  Where applicable, country presence facilitates improved performance; implementation of the knowledge management strategy also contributes.

According to the 2006 Survey on Monitoring the Paris Declaration, undertaken by OECD-DAC, IFAD is performing well on most of the commitments of the Declaration.

Continuing to reform

The Action Plan was originally expected to wind up at the end of 2007.  In December 2007, it was agreed that it should continue, so as to:

• Support the mainstreaming of deliverables into the day-to-day work of the line units
• train staff both to implement the new processes and develop new skills
• pursue the change agenda, focusing on further reforms as they are identified 

During 2008 the critical area will be human resource management and alignment: building on the work started last year, to get the organization to a point where it has the right staff, in terms of numbers, skills, quality and distribution around core priority areas, to deliver a high quality and relevant work programme. 

Led by IFAD’s senior managers

IFAD’s Action Plan Management Team (APMT) provides guidance and oversight to working groups that prescribe and implement changes. The team is led by Gunilla Olsson who, as Executive Director of the Action Plan, reports to the President. Team members are:

• Kevin Cleaver, Assistant President responsible for the Programme Management Department
• Jessie Mabutas, Assistant President responsible for Finance and Administration
• Matthew Wyatt, Assistant President responsible for External Affairs
• Gary Howe, Director for Strategic Planning

Specific deliverables are developed by flexible, cross-departmental working groups, which report to the APMT members.   

An Action Plan Secretariat, headed by Gunilla Olsson, supports the implementation of the Action Plan. The Secretariat members are Richard Aiello (seconded to the Human Resources Division), Monica Bugghi and Edward Heinemann. They participate in the working groups, support the Action Plan Management Team and help to communicate about Action Plan implementation.