1. IPA Funds Programme Management 12-19 sept. 2011 1 Bölgesel Rekabet Edebilirlik Operasyonel Programı’nın Uygulanması için Kurumsal Kapasitenin Oluşturulmasına Yönelik Teknik Yardım Technical Assistance on Institutional Building for the Implementation of RCOP in Turkey This project is co-financed by the European Union and the Republic of Turkey LFA Objectives, indicators, assumptions Ankara, 14 September 2011 sacha.koppert@ecorys.com

2. 2 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Contents 1. LFA and indicators 2. Risks and assumptions: Risk Management for projects Exercise

3. 3 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 LFA and indicators

4. 4 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Measurable indicators that will show whether or not objectives have been achieved at each level of the logframe hierarchy and at defined times Indicators provide the basis for designing an appropriate monitoring (and evaluation) system Sources of Verification: the means by which the indicators or milestones will be recorded and made available to project management or those evaluating project performance. Indicators

5. 5 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Programme operations Output Result Impacts Global objectives Specific objectives Operational objectives Programme objectives Inputs Types of indicators

6. 6 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Output-indicators aim at measuring activities directly realised by the activities. Result-indicators aim at measuring the results and direct effects of the projects and show whether the project purpose has been achieved. Impact-indicators refer to the consequences of the programme beyond the immediate effects on its direct beneficiaries, and are linked to the overall objectives of the programme Quantification of my results

7. 7 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Quantification of results

8. 8 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Bottom-up approach Check the budget Estimate the output targets and if the outputs are consistent with the budget (cost per output obtained) Estimate the results targets based on the outputs Check if impact assessment reports are availaible and if yes gather the impacts. If no, estimate the impacts based on the targets and results (impact – results ratio?) NB Budget might be leading here and the impact might not be in line with the need or scale of the problem! Steps in quantification of indicators

9. 9 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Baseline is o m2 technical and social facilties established Budget: 10 million euro Cost per m2: 10000 euro Output: 1000 m2 area of technical and social facilities established Result: 10 artisans and SMEs benefiting Impact: 30 number of people employed NB the need might be for 10.000 m2 Example bottom up (business environment)

10. 10 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 1)Assess the scale of need or problem 2)Set the impact targets (the amount of need to be serviced by the project) 3)What results have to be achieved to achieve the impacts 4)What outputs have to be achieved to achieve the results 5)NB Danger top down: the outputs might not be feasible given the budget (cost per output)? Steps in quantification of indicators (Top down)

11. 11 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Unemployment in the region is 10.000 persons Project aims at reducing unemployment of 4000 persons with low skills (impact) Results: 5000 trainees received diploma in occupational skills and CV writing (1/5 is not accepted in new job offers) Outputs: 6000 low skilled unemployed trained (1/6 does not qualify) But is this possible with a necessary budget of 1000 euro per unemployed person? Example top down approach

12. 12 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Identify the indicators for your project and quantify them (and indicate the budget needed)

13. 13 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Assumptions

14. 14 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Conditions necessary for the success of the Programme Purpose of specifying assumptions: to assess risk of projects to allow for monitoring during implementation Pre-conditions: these have to be met before Starting the project Assumptions

15. 15 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Risks- uncertain events which influence the success of the project Risk – negative statement Assumption – positive statement Purpose of specifying risks: 1.To assess risks of project failure in an early planning stage 2.To adapt project design when risks are unacceptable 3.To adopt a risk management plan 4.To allow for monitoring during implementation Project appraisal and Risks

16. 16 This project is co-financed by the European Union and the Republic of Turkey Project PhaseRisk factor 1. Preparation phase Project identification - Project preparation - Project appraisal Financing - 2. Implementation phase Procurement & Contracting Monitoring & Supervision Financial Management Finalisation&closure 3. Operational Phase Ex-post evaluation - Risks in all phases of a project!

17. 17 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Categories of risks (RISMAN)

18. 18 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 1)Identify key project risks according to RISMAN categories in all phases Before and after contracts Asking questions with below matrixes will help with this! 2) Assess the importance of these risks Risk assessment for projects

19. 19 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Risk value = probability * impact Impact: effect on costs, time schedule, organisation and quantity and quality (of outputs) of the priority axis Impact on the priority axis LowMediumHigh Probability 0.65 - 1.0MediumHighUnacceptable 0.3 - 0.64LowHighUnacceptable 0.0 - 0.29LowMediumHigh Prioritisation of risks

20. 20 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Project relevant for the need of the target group Project potentially effective and efficient (optimal scope, scale, achievable targets and impacts and optimal budget) Experience and competence of beneficiary and contractor Careful planning and preparation Established contacts & involvement of project partners Risks are when these successfactors are not met Starting point: key success factors for projects from practice

21. 21 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Indicators are necessary to monitor and evaluate projects Risk assessment and risk management are essential tools for the success of projects Critical risks: redesign the project Check if the design of projects is critical risk proof Check if risk management is incorporated in the process (procedures, ToR, project management) Conclusions

22. 22 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Groups define a project For the project make a(n): 1.Assumption/risk assessment: identfy at least 10 risks for your project (in different stages and different categories) 2. What to do about the critical risks? Exercise 1

23. 23 This project is co-financed by the European Union and the Republic of Turkey IPA Funds Programme Management 12-19 sept. 2011 Asses the project logframe of another group and prepare advice Exercise 2