2. Learning objectives Participants will gain insight into: Elements to take into account when designing a support strategy: different entry points of support to decentralisation sequencing of support approaches to capacity development; How to use and reinforce national procedures and mechanisms in designing support strategies; Incentives and obstacles within each others’ organisations and within partner country governments that might help or hinder harmonisation and alignment.

3. Session overview Intro: designing coherent support strategies Group work: lessons learnt on support to decentralisation & local governance Presentations on DPs experience with sequencing of support modalities Preconditions and action points for improving alignment and harmonisation Fishbowl discussion on incentives for harmonisation and alignment

4. Introducing strategic options Group work: Defining lessons learnt Overall recommendations

5. How to determine adequate support strategies? Applying an “open systems” perspective Mapping and understanding the actors Understanding the country context Direct support to decentralisation ‘Classic’ sector support programmes Identifying strategic options

6. Identifying concrete strategic options for supporting decentralisation Supporting decentralisation: Focus Entry points Sequencing of support Capacity development approach

7. Focus Should the support have a multi-actor and/or network focus? Which relevant players to involve? Choosing a single-layer or multi-layer focus? Which levels are appropriate to intervene at? Should it be a country-wide or a regionally focused intervention? Which processes do we want to engage in? Which other partner processes should we link up with?

8. Entry points Central government institutions Regional governments Local governments Local economic actors, private companies Civil society, non-governmental organisations, associations Supervisory bodies, such as parliaments, audit courts and ombudsmen

9. Choosing the right sequencing Invest in a shared vision on decentralisation Avoid trying to do too much too quickly Incorporate the various dimensions (political, administrative, fiscal) throughout the process Prioritise reforms with the greatest possibility of achieving results in a relatively short period of time Transfer powers before capacity building Provide modest funding to be used in a discretionary manner (‘learning by doing’) Create incentives for improved performance

10. Capacity development approach To ensure sustainability, strengthening of capacities needs to be considered, as well as how capacity building should occur: How feasible is an intervention? How sustainable will it be after the support is ended? What are the options for coordination and management by partners? How can we strengthen capacities?

11. The UNDP Approach to Capacity Development Step 1: Engage stakeholders on capacity development Step 2: Assess capacity assets and needs Step 3: Formulate a capacity development response Step 4: Implement a capacity development response Step 5: Evaluate capacity development Capacity Development Process

12. Levels of capacity building Capacity needs to be build at three levels: System level (enabling environment) Organisational level Individual level It’s crucial to understand the relationship between all three levels in designing a coherent support strategy for decentralisation.

13. Capacity development and sustainability concerns An OECD-DAC evaluation points out that there seems to be great potential for ensuring longer-term sustainability through: Better institutionalisation or up-scaling of pilot programmes. Formulation of exit and/or mainstreaming strategies in every support programme from the initial stages.

14. Small group exercise Try to come up with examples of decentralisation strategies that - in your opinion – were successful Why do you think were they successful? Make a list of lessons learnt from these examples, try to group the examples according to four steps of the identification process: Focus Entry points Sequencing of support Capacity development approach (ca. 25 minutes) One group member presents the findings in the plenary

15. Overall recommendations for managing the identification process Invest time to produce clear terms of reference Promote and facilitate a multi-actor dialogue throughout the process Make sure that government stays onboard Mobilise existing sources of local knowledge Coach the consultants Be transparent and communicate about outputs

16. Participants’ experiences Lessons learnt on harmonisation

17. Harmonisation of responses The DPWG-LGDs country specific guiding Principles call for DPs to: “Build on and strengthen nationally driven DLG policies with harmonised strategic responses from DP according to different degrees of and commitment to decentralisation and local governance”.

18. Country typologies (1) Actively decentralising countries: DPs are invited to fully align their strategies, approaches, funding instruments and procedures to the national framework. Advanced intermediate decentralising countries: Stimulate the emergence and consolidation of a coherent national policy on decentralisation while providing support for policy experiments with selected national and local stakeholders

19. Country typologies (2) Early intermediate decentralising countries: response strategies will have to build on existing windows of opportunities (in sectors or at local level) and support drivers of change Non-decentralising / (post-) conflict countries: Focus first on creating a basic legitimacy (i.e. rule of law) and invest then in shaping the pre-conditions for a decentralisation vision through a variety of entry points and instruments. It is of critical importance to act jointly as donor community.

20. Steps to be considered for counties with limited commitment If you cannot align, then harmonise Although only few advances may be made within the five critical pillars for decentralisation, these few advances could be used as the first “building blocks” for harmonisation

21. Steps to be considered for countries with stronger commitment One or more roundtables should be promoted for dialogue A road map for alignment and harmonisation should be agreed The principles from the General Guiding Principles on alignment and harmonisation should be applied.

22. General steps to be considered Start up a dialogue with stakeholders without waiting until all DPs commit themselves to A&H Evaluate periodically the progress made by DPs toward harmonisation Require each DP to draw up A&H strategies including coordination between general DLG support and sector programme support Harmonise support to civil society participating in DLG processes Try to develop a common technical assistance plan Establishment of joint monitoring, evaluation and audit mechanisms a key issue

23. Participants experiences with sequencing of support modalities How applicable are the country typologies in practice: To what extent does the case follow the response strategies suggested? What was the rationale behind the choice for this sequencing of support modalities? To what extent has the support reinforced and used national procedures and mechanisms?

24. DP Alignment to country strategies Alignment to non-coherent national strategies can lead to conflicting and contradictory support strategies, therefore integration of decentralisation into overall national strategies essential. Gradual alignment to key elements of a national framework can facilitate the development of a comprehensive overall support programme with joint funding mechanisms. Overall strategy for development cooperation and partnerships (Joint Assistance Strategy) will facilitate alignment and harmonisation

25. DP Coordination Mechanisms Make coordination more comprehensive horizontally and vertically to be able to address all dimensions relevant to the DC process in a coherent manner Ensure government commitment for its leadership role for the DP coordination Set-up road map with specific milestones for enhancing coordination and harmonisation within the DP group, moving towards joint missions, common funding mechanisms and partnership and representation arrangements.

26. Challenges of harmonisation and alignment OECD-DAC (2004): It is widely recognised that development partner coordination is crucial for cost-effective utilisation of scarce resources. Changing the traditional way of operating has proved to be a challenging and lengthy process. DPs and partner governments should examine obstacles to effective DP co-ordination and endeavour to make sure that DP programmes in this field are better co-ordinated.

27. Fishbowl discussion When designing support strategies, what are the obstacles for effective donor harmonisation and alignment: within development partners’ organisations? within partner governments? And (how) can these be altered?

28. Fishbowl discussion: process Circle of five chairs, four occupied, one empty The four “fish” briefly present their (organisations) experiences and view on the statement Any member of the audience can, at any time, occupy the empty chair When this happens, an existing member of the fishbowl must voluntarily leave The discussion continues with participants frequently entering and leaving the fishbowl