Activity and Cash Plans in Project Planning & Monitoring

2. Activity and Cash Plans in Project Planning & Monitoring By; Engr, Attaullah Shah BSc Engg ( Gold Medlaist), MSc Engg ( Strs), MBA, MA ( Eco) MSc Envir Design, PGD Computer Sc, PhD Scholar UET Taxila Tel: 051-9250100 E-mail: pdaiou@yahoo.com.

3. Project Planning • Networking: The process of developing the logical sequence of activities involved in a project so that the project is completed in rational manner. Tools: PERT, CPM, GERT, PDM • Scheduling: The process of allocating time and budgetary allocation to the project. Tools: Bar charts, GANTT Charts, Line of Balance method, Project master schedule, Milestone charts.

4. Predecessor and Successor Activities

6. PROJECT IDENTIFICATION • -        Sources of Project Identification • -        Plan Priorities/Plan Documents • -        Sectoral Analysis and Current Situation • -        Special Policy Directives • -        New Ideas/Areas of Investment • -        Potential Projects

7. FEASIBILITY STUDY • -       Why Feasibility Study Needed • -       Dimension of Feasibility Study • -       Preparation/Processing of PC-II • -       Appointment of Consultants

8. PROJECT APPRAISAL -     Purpose • -        Various Aspects of Appraisal • -       Technical Analysis • -       Institutional/Organizational/Managerial Analysis • -       Social Analysis • -       Commercial Analysis • -       Financial Analysis • -       Economic analysis • -       Pricing of Project Inputs and Output • -       Identifying Project Cost and Benefits

9. Appraisal Methods/Techniques • -       Pay Back Period • -       Value Added • -       Capital-Output Ratio • -       Proceeds per Unit of Outlay • -       Average Annual Proceeds Per Unit of Outlay • -       Discounting Techniques • -       Net Present Worth (NPW) • -       Benefit-Cost Ratio (BCR) • -       Internal Rate of Return (IRR) • -       Net Benefit-Investment Ratio (NBIR = N/K Ratio) • -       Sensitivity Analysis • -       Choosing Among Mutually Exclusive/Alternate Projects • -       Domestic Resource Cost (Modified Bruno Ratio)

10. Project Preparation PC-1 • General • -        Linking Projects to Resources • -        Location, Area and Population Coverage • -        Project Description • -        Project Objectives and Targets • -        Project Scope • -        Change in Scope of Projects • -        Cost Estimates • -        Revised Cost Estimates • -        Financial Plan • -        Financial Phasing • -        Physical Scheduling of Activities • -        Period of Implementation • -        Appointment of Consultants for Project Preparation, Detailed Designing and Tender Documents • -        Economic Benefits • -        Economic Benefits • -        Inter-Agency Coordination • -        Preparation of PC-I/Project Document

11. PROJECT APPROVAL Approval Stage • Project Approving Bodies -  National Economic Council (NEC) -   Executive Committee of National Economic Council (ECNEC) -  Economic Coordination Committee (ECC) of the Cabinet -  Central Development Working Party (CDWP) -   Departmental Development Working Party (DDWP) - Provincial Development Working Party (PDWP) • Sanctioning Powers of Approving Authorities • Submission of Schemes to the Competent Authority • Processing of Schemes

12. Procedures for Meetings of Various Bodies • -        Time Limit for Approval of Projects • -        Anticipatory Approval • -        Anticipatory Approval of Communication Projects • -        Administrative Approval • -        Issuance of Administrative Approval • -        Concept Clearance for Foreign Aid Negotiation • -        Provincial Projects • -        Federal Ministries/Attached Departments Projects • -        Public Private Partnership Projects

13. PROJECT IMPLEMENTATION AND MONITORING • -               Project Management & Supervision • -               Appointment of Project Director • -               Increase in Scope of Work and Delay in Execution of Projects • -               Project Execution/Supervision-Development of Management Information System (MIS) • -               PERT/CPM Techniques • -               Steps in Project Formulation/Implementation • -               Listing of Activities • -               Acquisition of Land • -               Tendering of Civil Works and Award of Contracts • -               Procurement of Machinery and Equipment • -               Local Purchase/Fabrication • -               Foreign Procurement/Utilization of Foreign Aid • -               Submission of Completion Report • -               Project Review and Monitoring • -               Progress on PC-III Proforma • -               Progress Review by the Ministries/Divisions • -               Project Review Groups • -               Review of Foreign Economic Assistance and Problematic Foreign Aided Projects by the Committee • -              

14. Project Monitoring • -               Role in the Project Cycle • -               Conceptual Definition • -               Kinds of Monitoring-Internal Vs External • -               Monitoring Indicators • -               Institutional Arrangements • -               Progress Monitoring Proformae • -               ECNEC Decisions • -               NEC Decisions • -               Monitoring Methodology - Methods and Techniques • -               Project Selection Criteria • -               Collection of Monitoring data • -               Monitoring Teams • -               Progress Monitoring Reports • -               Inter-Agency Meetings • -               Performance Auditing

15. Project Control Cycle. Monitoring Collect the performance Data. Establish the Standards Feedback Evaluation Compare with the standards Take the corrective actions Resolve

16. Project Management & Supervision • The objective of any effort in project planning and analysis is to have a project that can be implemented to the benefit and socio-economic uplift of the society. • The Project Director is appointed, staff of all categories arranged, the detailed designs got prepared, if need be, with the assistance of consultants, contractors pre-qualified and short-listed, tenders floated for civil works, equipment, and their installation, contracts awarded, all in timeliness with the objective of initiating the operations and getting them fully underway for achieving the goals envisaged without any time and cost over-run, in order that the economic benefits accrue according to the promises made in the scheme. • For achievement of the stipulated targets and tangible returns, however, it is imperative to entrust the management and supervision of the project during the implementation stage to capable and competent hands of required qualifications, experience and calibers.

17. CASH PLAN • General • The Cash Plan has to be prepared on the basis of allocations made in the PSDP for the next financial year. • Provide name of the ministry/division along with Project and PSDP allocations. The serial number of the project as reflected in the PSDP may also be provided. • The actual expenditure are the expenditure actually incurred on the project. The funds transferred to PWD/C&W department are not expenditure rather it is deposited with the department to be spent on behalf of executing agency. The expenditure incurred by PWD/C&W department may be shown as an expenditure. • Object/Functional Classification • The classification and head of expenditure as given in the chart of account of PIFRA • Items of Expenditure • The major components of expenditure have been identified in the Cash Plan. However the items of expenditure may vary from project to project. The executing agency may incorporate any additional item of expenditure as per approved items of expenditure given in the PC-I • The executing agencies can further bifurcate an item of expenditure if required.

18. Approved Cost as per PC-I Provide item-wise approved cost as reflected in the PC-I. Cumulative Expenditure Provide item-wise, cumulative expenditure up to the end of last financial year. Quarterly Financial Targets The cash requirements be worked out on the basis of quarterly physical activities proposed to be undertaken in the next financial year. Ensure a relationship between items of Work Plan and cash requirements of different items of work.

19. WORK PLAN General • The Work Plan has to be prepared on the basis of activity chart annexed with the Work Plan. • Identify the activities to be undertaken on the basis of PSDP allocations for next financial year. • The activities have to be developed in line plan or bar. • In case, PSDP releases are not lapsable, the executing agency is required to prepare a separate Work Plan for the unspent releases. • Items of Work • The items of works are the same as indicated in the Cash Plan. In case of addition of any item in cash plan, it may also be added in the Work Plan. • Unit • Please indicate the Unit of measurement. It can be kanals, acres, hectare for land and sq. ft. for civil works etc. • Scope of Work • The approved scope of work in quantifiable terms as per PC-I be provided. • Physical targets/items of work be provided in absolute figures and not in percentages.

20. Cumulative Physical Progress • Item-wise cumulative Physical progress up till 30th June of the last financial year be provided. • Quarterly Physical Targets • The quarterly physical targets are developed on the basis of activities identified and time allocated for each activity in activity chart. • The activity-wise targets developed be reproduced under quarterly Physical targets. • Out Put Indicators • Indicate output of the project in quantifiable terms (if applicable) during the financial year. • ACTIVITY CHART • Activity charts have been developed to identify the time required in undertaking an activity. • Relationships between different activities have to be developed. An activity can be undertaken after completion of previous activity or a number of activities can be undertaken simultaneously. • Time required to undertake an activity can be identified by line or bar. • Activity chart will not be developed for • POL, repairs and maintenance. • Stationery utilities etc. • Contingencies.