Managing for Results in Public Organizations: Issues and Challenges

1. Managing for Results in Public Organizations:Issues and Challenges Jagadish C. Pokharel, Ph D Nepal Administrative Staff College December 12, 2018

2. The objective of this Session • Understand underlying dynamics in an organization • Emerging trends and approaches in managing public organizations • Understand underlying issues and Challenges to move from process to result orientation of an organization • Identify key factors to promote result orientation in an organization

3. Contents of this presentation • How to manage organizational dynamics and delivery in changing context? • What are some of the emerging trends in managing public sector organizations? • What are the issues and challenges when we try to orient the organization from process orientation to result orientation? • What are some of the key factors to promote result orientation?

4. Understanding the Concepts • Management? • Organization? • Public/ Private? • Result, Output, Outcome etc?

5. Understanding the …. • Management • Act of managing something • Result • Describable, measurable change due to cause and effect relationship • Output • Immediate product/ result • Outcome • Mid term result/ seen after some time • Impact • Long term result/ permanent • Process • Action taken to achieve certain goal • Planning • Thinking of activities to be taken to achieve certain goal

6. Elements of Management A process that involves designing, maintaining environment, in which individuals together produce result with given available resource. It includes: • Organizing • Planning • Coordinating/ monitoring/ controlling • Controlling resource • Getting output

7. Public Organizations • Public Organizations are governed by laws, rules and structural bureaucratic checks and balances • The public organization is severs public and works for its interests • Employees are hired and fired following lengthy legally defined process • Procurements has set laws to ensure public money • Accountable to public and public scrutiny • Has to address multiple interests and legislations (UFC)

8. Result Orientation and Process Oriented • Result orientation : begin with the output and then go back and start outlining the process, tools and measure to achieve the result. • It supports better performance, greater accountability, clear logical framework of plan, manage and measure intervention with focus on result • Process orientation: thinking in sequence of activities to achieve desired goal.

9. Result Oriented Management • A management strategy where the process, output and services contribute to result. • UN defines it as “as “a management strategy by which all actors, contributing directly or indirectly to achieving a set of results, ensure that their processes, products and services contribute to the achievement of desired results (outputs, outcomes and higher level goals or impact). The actors in turn use the information and evidence on actual results to inform decision-making on the design, resourcing and delivery of programmes and activities as well as for accountability and reporting.”4  (UNDG)

10. Guiding Principles of Result Oriented Management • Encourage dialogue on results (outcomes/outputs) at all phases of implementation process. • Align actual programming, monitoring, and evaluation activities with the agreed expected results. • Keep the results reporting system as simple, cost-effective, and user-friendly as possible. • Manage for, not by, results. • Use results information for management learning and decision making, as well as for reporting and accountability.

11. Genesis RBM/ MfDR • Originated in developed country where they felt need for efficient administration to address fiscal crisis and maintain level of development. • In developing countries it was introduced as a tool to accelerate development process and called Management for Development Results • Inspired by private sector reform it is used in developing countries for enhancing development pace . Public sector as focal point of management. • Reform tool

12. Management we are used to • Keep following the set process and result will be ensured • Basically keep the process on track • Monitor process • Monitor spending • Evaluate at the end to see if the result has been delivered

13. Why change? • Process is completed but expected results are not there • Money is spent but expected output is not there • Process is completed but the outcome is not delivered • Learning loop is weak or non existent • Lack of accountability on the part of managers • Lack measurable output • Among other

14. Result Oriented Organization Needs • Good information base and analytical capacity • Allow open debate and goal setting • Strategy • Business plan • Activities • Resources • Capacity • Willing and motivated leadership to perform and learn

15. Management Cycle Analysis at each stage

16. The Results Chain Panning Implementation

17. Result Management through Planning in Nepal • The GON has been making efforts to operationalize MfDR • Since 2002/03 to reorient planning, budgeting and M&E with results focus, • PRSP/Tenth Plan used features of logframes and focus strategies/ policies on key outcomes • Business plan as a sectoral strategy • Medium Term Expenditure Framework (MTEF) prioritize interventions and rationalize expenditures to achieve plan outcomes; orient budget achieve them through sectoral strategies • Immediate Action Plan (IAP)- reform agenda with milestones • M&E frameworks • Developed layers of indicators and triangulate information sources for monitoring- streamlined households & facility surveys; strengthen MISs • Periodic progress reporting and communication & advocacy to ensure transparency and accountability.

18. Planning for ROM in Nepal

19. GON Agencies Exercising MfDR • NPC: • Streamliningthe MfDRprinciples in itsproject entry and supervisionsystems. • MoLD: • Updating and operationalizing for municipalitymanagement division • MoE: • Updatingoperationalizing in the 10+2 Level (HSEB). • MoPPW: • UpdatingworksatDORand DWSS and internalization • MoAC: • Macro levelplanning and programmingin Department of Agriculture (DoA). • MoEn: • Macro levelplanning stratagyatthe ministrylevel and programin DoED. • MoF: • PilotingResultBasedBudgetingin DOTM and VTPO, • Also DOR and DWSS – subject to committment and demand

20. Sector Business Plan • The business plan is a rolling plan usually with three years perspective which emphasizes on themes not projects. • It is linked with the sector results frameworks of development priority • It contains vision, mission and strategies of the sector. • It includes result based targets and indicators to facilitate result monitoring on annual basis. • Normally itidentifies three- years core business and outcomes along with the annual business and outcome of the first year of the plan period.

21. Challenges of Implementing ROM • Some of the major challenging in implementing ROM are: • Organizational culture • Resistance to change • Tendency to make things complicated • Inadequate incentives • Training and organizational support • Financial resources

22. How can these issues Addressed? • Discuss • Institutional reforms • Better governance • Accountable institutions • Resource availability • Capacity development • Evidence based planning and monitoring • other