Pilot action on Frontloading Administrative Capacity-Building

1. Pilot action on Frontloading Administrative Capacity-Building Brussels, 9 October, 2019 European Week of Regions and Cities Organisation for Economic Co-operation and Development (OECD)

2. Presentation outline The project methodology Common capacity challenges and potential actions 8 Key findings Some recommendations

3. Project methodology

4. Diagnostic Framework • Multi-level governance framework • Regulatory framework/conditionalities • Procurement • Budgeting & financing • Transparent financial management Framework conditions • Priority setting • Internal & external coordination • Stakeholder engagement • Private sector mobilisation, etc. • Monitoring and evaluation Strategic planning & coordination • Leadership, governance • Processes • Structures • Tools Organisation • Abilities • Motivation • Opportunities People

5. Template Roadmaps for Administrative Capacity Building

6. Common capacity challenges and potential actions

7. Common Capacity Challenges among Pilot MAs in People and Organisational Management • Build an evidence base on skills gaps and employee engagement • Develop longer-term strategies around learning and career development. • Make greater use of relevant European Commission tools to facilitate exchange of good practice between MAs (e.g. peer-to-peer) and of the Competency Framework as a benchmark for skills gap analysis. • Conduct a training needs assessment as an input to development and/or updating learning and development strategies • Develop and pilot employee engagement surveys. • Trial mobility programmes to move staff around within the MA. Potential actions Challenges • Strategic approach to workforce development and management • Taking a more systemic perspective to jobs and career paths • Flexible HR allocations to match supply with demand • Attracting and recruiting necessary expertise • Aligning training with longer term development strategy • Engaging and motivating staff • Improving knowledge management and information sharing • Ensuring organisational structures and procedures are fit-for-purpose

8. Common Capacity Challenges among Pilot MAs in Strategic Planning and OP Implementation • Capturing synergies and complementarities among Priority Axes and programmes • Setting OP investment priorities that reflect national, regional and local development needs • Promoting active stakeholder engagement in OP design and delivery processes • Aligning project calls and selection with beneficiary capacity • Taking an outcomes-oriented approach to performance measurement • Ensuring timely, effective, clear and consistent information flows and knowledge exchange • Ensuring effective communication with beneficiaries and citizens Potential actions Challenges • Experiment with identifying and structuring incentives for inter-municipal and cross-sector cooperation in project development • Create information material for beneficiaries that articulates OP aims, objectives, community value, and access to funds. • Conduct a survey or analysis of municipalities, counties and enterprises, using the information as an evidence base to design future programming and calls • Develop and launch a “knowledge workshop” series for beneficiaries on a specific theme, sponsored by the MA or group of MAs

9. Common Capacity Challenges among Pilot MAs in Framework Conditions • Unclear, complex and changing regulations at the EU and national levels • Inconsistent control, verification and audit interpretations • A one-size-fits-all approach in Management and Control Systems • Limited capacity to manage public procurement processes Potential actions Challenges • Introduce a Management and Control System Thematic Network of MAs, the Certifying Authority and other national/regional bodies to service as an information/experience exchange platform. • Publish a reference of “control and audit precedents” – electronically and/or on paper – and make these available to IBs, beneficiaries, consultants, etc. • Support the active participation of regional MAs in current or newly created networks dedicated to identifying common challenges and speaking to national and EU authorities in negotiation, legislative, regulatory and other rule-setting processes

10. Key findings andA few recommendations

11. 8 Key Findings • MA staff is professional and committed but there is scope to manage as a strategic asset • Learning and development training modules could be more strategic and better utilised • There are real or perceived constraints in recruiting and retaining top talent • Challenges in the strategic approach to OP implementation affects spending effectiveness • There is room for stronger partnerships among OP stakeholders, particularly beneficiaries • Framework conditions place significant pressure on OP implementation and affect absorption capacity • There is room for greater innovation in how MAs operate and in the practical implementation of OPs • Initiatives to build the administrative capacity of MAs should be undertaken at the appropriate scale

12. A Few Recommendations Develop an evidence base for organisational improvement initiatives through more systematic employee engagement surveys Review internal communication tools and processes, to ensure that employees have the information they need and a common understanding of business processes Assess organizational design and explore internal mobility options for staff, i.e. short-term ‘rotation’ in different parts of the MA Identify desired competencies and orientate business processes such as recruitment, learning and development and performance management to improve and reward those competencies. Design a pilot to test new approaches to call processes and project selection Undertake training programmes or workshops dedicated to designing robust output and outcome indicators, data and action-evaluation techniques, and their application Develop a strategy and action plan for capacity building tailored to different types of local authorities involved in the OP in a participatory approach (dialogue with local authorities and relevant national bodies) Set OP investment priorities that reflect national and regional development needs by including OP stakeholders in the definition and validation investment priorities

13. Thank you Daniel.GERSON@oecd.org MariaVarinia.MICHALUN@oecd.org