1. Foreign Aid and LDC Administration
Comparative and Multilateral Aid:
The Intersection of Policy, Projects and Implementation

2. Five Page Proposal/Overveiw
Introduction and Project Statement
Literature Review
Major Hypotheses
Methodology
Due: November 18, 2009

4. Foreign Aid As Foreign Policy?

5. The Shift to Projects
Review- The Legacy of 1975

6. Quote:
‘AID!’ the farmer cried. Look at you.... He pointed, sweeping his finger from one charred remembrance of a home to another. ‘Here is your American AID!’ The farmer spat on the ground and walked away.[i]
[i] Neil Sheehan, A Bright Shining Lie: John Paul Vann and America in Vietnam (New York: Random House, 1988), p. 562.

7. Vietnam: My Lai Massacre

8. CORDS: Origins of Project Mode in Bilateral and Multilateral Activities
In May 1967 an organization known as CORDS—Civil Operations and Revolutionary Development Support—was formed to coordinate the U.S. civil and military pacification programs. A unique hybrid civil-military structure directly under general William C. Westmoreland, the COMUSMACV, CORDS was headed by a civilian, Ambassador Robert W. Komer, who was appointed as Westmoreland’s deputy.
Current Version: COINS- Counter-Insurgency Strategy, the “Three D’s” or Whole of Government Approach to Foreign aid.

9. Winning Hearts and Minds: Gun Purchase Program

10. Domestic Management Systems and International Influences
Historical periods of budgetary and fiscal management:
: Basic Needs: CONDUCIVE TO PROJECTIZATION
: Structural Adjustment
After 1991:
Collapse of the Soviet Union
“Clash of civilizations”
September 11, 2001

11. Review: Second World as New Debtors- Structural Adjustment
Chad vs. Russia
Transitional States
Rise of Asia and blocks
Crisis in Asia and the return to debt management
Debt Crisis in U.S. and Europe: Different Rules
Projects Supplement Conditionality

12. Chad: A Symbol of Ethnic Conflict

13. Foreign Aid and Technical Assistance: Factors to Consider
The utility of the rational actor model for foreign aid
Impact of culture and values on Foreign Aid
Impact of Intellectual systems and ideologies influences and beliefs
Impact of Standard Operating Procedures
The Impact of the Project Model on the Foreign Aid Process

14. The Context of Project Management: Debates
The Importance of the Market The end of the Command Economy? The concepts of market and productivity (1989)
International systemic hegemony and competition within international markets
Complementarity problem and origins of capital
Fear of Market failure?

15. Market Failure Models

16. The Debate The World Economic Regime World Market: Only game in Town?
Questions of conflict: pluralist vs. hegemonic models in the post-war world
Economic change vs. political development
Governance (democracy) a pre-requisite?
Impact of world economy on Domestic Economies
Projects focus on Entrepreneurialism and credit (micro)

17. World Markets

18. Development of Underdevelopment
Reminder-
Changing Terms
Non-Western World
Developing areas or nations
Third World
Southern Tier States
LDCs
UDCs
Transitional States?
Immerging Markets

19. Foreign Aid vs. Technical Assistance: The Project Mode
Economic Projects: Current bias to Security and international trade
Democracy and Governance Projects and Nation Building
Sectoral Projects: Back to the future- Get the LDC economy back to the 1950s (Agriculture, Health Food, Education)
Dependent development/Emerging Markets- Is it dependent and is it development?

20. The Project Mode
Limited Time
Limited Tasks
Limited Funding

21. The Project Mode: Not Simple

22. The Goal?

23. Foreign Aid: Change of Focus
THE PROJECT CYCLE:
THE PROCESS

24. What will you be doing two years from now?
Mini-Discussion
What will you be doing two years from now?

25. Monday Morning 8:15 1. Get a cup of coffee (If you drink it)
Start your computer
Check your
What then?

26. The U.S. Foreign Aid Process: Development Assistance Programs (DAPs)
Planning
Budgeting
Ongoing
Projects
Office of
Management
And Budget
(OMB)
Design Approval
Legis-
lation
Foreign
Policy
Implementation
Evaluation
LDC
Needs
Reporting
Budget
Submissions
Congressional
Presentation
(CP)
Appropriation
Operational
Year Budget
(OYB)
Host
Country
Agency Policy
Global Sector Strategies
Regional Strategies
Research Strategy
Management Objectives
Project
Identification
Document
(PID)
Project
Review
Paper
(PRP)
Project
Paper
(PP)
Pre-
Implementa-
tion
Implementa-
tion
Evaluation
Country
Program
Strategy
(DAPI)
Field of
Concentration
Strategy
(DAPII)
Project Reporting
Project Performance
Tracking (PPT);
Financial Reporting
Ex-Post
Facto
Evaluation
Prior
Evaluation
Financial MANAGEMENT
Programming INFORMATION Management Reports
Implementation SYSTEM External Needs
Program Support Data Bank (CPDB, PAIS, DIS, ESDB)
Personnel Administration Support Database for Future Decisions, Policy
Lessons Learned
Evaluation Criteria

27. Blueprint Approach to Development Planning
Pilot Project
Researchers
Tested Models
Planner
Project
Blueprints
Actual Change
Versus
Targeted Change
Administrators
Evaluation
Researchers
Actions
Before-After
Surveys
Target
Population

28. The Project Cycle Analysis--collection of:
Social Analysis targeted groups: women, minorities, indigenous peoples
Economic Analysis--Cost Benefit
Institutional Analysis
Sustainability
Organizational Requirements
Recurrent Cost Implications
Human Skills Needed
Social Acceptance

29. The Project Cycle Project Objectives Achieved 3. Evaluation
2. Execution
1. Design
Source: Project Management System, Practical Concepts, Inc., Washington, DC

30. The Project Cycle Design Appraisal
Identifying nature of problem and possible solutions--specific needs and desired changes
Appraisal
(Mandatory) data needed to prepare project plan

31. The Project Cycle Analysis--collection of: Prediction
Selection of preferred alternatives

32. The Project Cycle The Logical Framework: (LOGFRAME)
Analysis--collection of Information:
If-then conditions
AID moved away from logframe but not the Logical Model
Was replaced by a system based on identifying Strategic Objectives, Intermediate Results, Measurable Indicators, etc.
That system was recently "de-emphasized.“
AID mission requests for funds were tied to promises of specific results
-Baseline Analysis
-Benchmarks
Results Framework system now is "under review."

33. Ten Minute Break

34. Project Management System Provides Tools to Support all Stages of the Project Cycle
Logical Framework
Performance Networks
1. Design
Networks display performance plans over time
Project
Objectives
Achieved
3. Evaluation
2. Execution
Evaluation System
Reporting System
ACHIEVEMENT
EXCEPTION
Evaluations assess performance against plans and analyze causal linkages
Progress indicators and formats for communicating project information
Practical Concepts, Incorporated

35. Preparation of Documents: Donor – USAID-A Paper Mill
Country Strategy Paper (DAP)
Concept Paper (Sector:
Country Context Paper
Technical Proposal
Project Identification Document (PID)
Project Paper (PP)
Program Agreement

36. Implementation Documents
PP (USAID)
(PP = Project Paper)
Program Agreement
(Donor to Country)
Technical Proposal
(Contractor to Donor)
Country Context Paper
(Contractor to Country)

37. The Project Cycle: Redeux

38. The Project Cycle Implementation Carrying out actions planned
Personnel: local (and foreign)
Physical and organizational Needs
Budget

39. Fragile Support Systems

40. The Project Cycle Monitoring and Evaluation:
Linked to End of Contract and Verification of Objective indicators
Understanding what has happened and assessing changes and quality of change
Issue: sustainability regarding follow-on within the country and replicability from one country to another

41. Monitoring and Evaluation
Nature of Data:
Interview vs. survey
Impact vs. Delivery
Seat of the pants observation
"the old quick and dirty"

42. The problem of Measuring Project Goals:
Goals are to be limited and bounded
Specific activities are to be clearly defined and achieved
Short run success leads to successful evaluation
Short-term loop is five years
Implementation may not be Success

43. Monitoring and Evaluation
Nature of Data- Judgment: Evaluation vs. Assessment
Two views:
a. Learn from experience
b. Judge performance
Problem: judgment requires clear goals, in contradiction with learning
Problem: power of the expert

45. Monitoring and Evaluation
Nature of Data
Evaluation is a donor requirement
External activity
Targets blueprint activity (CPA)
Critical path analysis (Time based action)
PERT chart (Project Evaluation Review Technique) very technical, programmed
Evaluation often the need for more action

46. Monitoring and Evaluation
Nature of Data:
Evaluation as an end product:
Separate from implementation
Action pre-determined in design prior to evaluation
Separates evaluation from the on-going activity

48. Monitoring and Evaluation
Issues
Problem with Evaluation concept
Implementation suggests a finished product
Bureaucratic action is ongoing
Part of larger system with ambiguous boundaries
Assessment
Ongoing, part of implementation process

49. End of Project Status (EOPS)
Are of great importance and are primary target of project efforts and discussion
Projects are usually very complex
It is common to find that no single indicator is sufficient to describe the project achievement completely

50. End of Project Status (EOPS)
In determining EOPS we apply following principle:
If all EOPS conditions are satisfied, then there would be no credible alternative explanation
Except the purpose of the project (and the contract) has been achieved
Good project design will include the conditions that demonstrate successful achievement of the Project Purpose

51. End of Project Status (EOPS)
Example
PROJECT PURPOSE IN THE DEVELOPMENT OF AN OIL FIELD:
Export oil
EOPS
50,000 Barrels of crude/day transferred to tankers at nearest port;
Quality of crude produced is competitive with that currently sold on world market. To verify, one needs a) the purity of oil, b) the world price, c) price sold, d) amount sold

52. Oil Field

53. M&E During Project Execution
M & E Plan
PHYSICAL EXECUTION PLANS (PEP)
LOGFRAMES
Design
FINANCIAL EXECUTION PLANS (FEP)
Purpose
Evaluation
Execution
MONITORING & EVALUATION
REPORTS
PERIODIC & MID-TERM EVALUATIONS
SPECIAL
RESULTS
ALERT

54. The Logical Framework NARRATIVE SUMMARY INDICATORS MEANS OF
VERIFICATION
ASSUMPTIONS
GOAL
PURPOSE
OUTPUTS
INPUTS

55. Example of Project Objectives
GOAL
Illnesses caused by impure drinking water reduced.
PURPOSE
Hygienic practices adopted by the rural population.
OUTPUTS
Clean water provided to 60% of villages in Northwest Region.
Health workers trained.
ACTIVITIES [or Inputs] Measured in Money

56. Example of Project Objectives
ACTIVITIES
1.1. Choose sites for wells.
1.2. Organize village workers
2.1. Develop curriculum.
2.2. Recruit health workers.
2.3. Conduct training.

57. The Logical Framework NARRATIVE SUMMARY INDICATORS MEANS OF
VERIFICATION
ASSUMPTIONS
GOAL
PURPOSE
OUTPUTS
INPUTS

58. Horizontal Logic of the Logframe
NARRATIVE
SUMMARY
INDICATORS
MEANS OF
VERIFICATION
ASSUMPTIONS
GOAL
PURPOSE
COMPONENTS
ACTIVITIES

59. The Means of Verification
Objectives
Observable
Verifiable
Indicators
Means of Verification (MOV)
Hierarchy of Objectives
Indicators
Sources of information
Method for data collection
Agency responsible for data collection, analysis, and dissemination (information producer)
Method for analysis of data
Frequency
Application (expected uses)
Reporting format (letter, written report, oral presentation, etc.)
Circulation (expected information users)

60. Physical Execution Plan
Component/ Activities/Tasks
Time
Product
Responsibility
1. Component
a. Activity
b. Activity
c. Activity
2. Component a. b.
c...
7 units
3 units
Construction Unit
Technical Support Unit

61. Appropriate Technology

62. Next Week
Foreign aid
Dealing with Donors
Coping with Clients

63. Tamryn Klitgaard, Sri Sri, Kristen Klitgaard, and President Robert Klitgaard Claremont Graduate School

64. Discussion of Books: Klitgaard, Tropical Gangsters
Short Precise of book
Strengths, weaknesses, critique
Compare to earlier reading
What else have you been reading?
Picard, Groelsema, et. al.
Picard and Buss, A Fragile Balance?
Lancaster