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FY15 Annual Country Operational Plan

(ACOP)Guidance Note

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Introduction

Like all organizations, Africare works in a world of scarce resources. These resources must be used as efficiently as possible by both headquarters and all of our country offices. To help country offices most effectively allocate their resources to high priority areas that will help both the country office and organization as a whole achieve their goals, Africare’s IP and BD teams have created this guide [and associated template] to developing an Annual Country Operating Plan (ACOP).

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Overview• Annual Country Operational Plans (ACOPs) are to be designed

around five focus areas of activity for each country office:– Business Development– Implementation– Financial Management– Compliance– Human Resources Management

• Within each focus area, the ACOP approach will be to:– Conduct an analysis to identify priority areas for intervention– Use this analysis to develop goals for the year– Develop a detailed plan for meeting those goals

• The final step of the ACOP is to prioritize across focus areas which are the most high-risk areas that need the most immediate attention

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General Guidance

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SWOT Analysis

• Each section of the ACOP will be based on a Strengths Weaknesses Opportunities and Threats (SWOT) analysis for each focus area.

• The most important thing to remember when conducting the SWOT analysis is:– Strengths and Weaknesses should address what you are

capable of controlling, considering both internal and external issues;

– Opportunities and Threats should address issues outside of your control, again both internal and external, that you need to take into consideration when setting goals;

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Goal Setting

• Using the SWOT analysis, the second step of developing an ACOP is to set goals for your country office across each of the five focus areas.

• These goals should flow clearly and obviously from the results of the SWOT analysis.

• Each country office should not set more than 2-3 goals in each area.

• Goals should be SMART: Specific, Measurable, Attainable, Relevant and Time-Based

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SMART Goals• Specific: Goals should include detailed targets, not

generalizations about where the country office is heading;• Measurable: As much as possible, goals should be set

which can be measured with quantitative data;• Attainable: Goals should be achievable within the fiscal

year;• Relevant: Country office goals should link clearly to the

results of the SWOT analysis and organization-wide targets;

• Time-Based: Each goal should have a corresponding timeframe for completion;

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Developing a Plan

• Once the SWOT analysis and goal setting are complete, a plan must be developed to achieve the goals.

• Plans should be specific to assigned roles and responsibilities within each country office to achieve objectives, and include realistic timelines for each step.

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Focus Area Specific Guidance

We offer guidance for each focus area, including suggested/sample questions for reflection. It is

expected that country offices will go beyond the sample questions provided to conduct a more

thorough analysis

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Business Development Intro

• Organization-wide BD goals for the year are:– $60M in new business– Average effective overhead rate for new awards of 15%– Improve win rate to 40%

• To achieve these goals, each country office’s BD efforts will be evaluated according to the following metrics:– FY15 BD Target Achievement;– Size of pipeline (as a percentage of target);– Average overhead rate for new wins;– Win rate;

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Business Development SWOT Analysis(Sample Questions to Consider)• Strengths: In what sectors and sub-sectors do we offer the

strongest value proposition? Do you have staff in country who are good proposal writers?

• Weaknesses: In what sectors and sub-sectors do we regularly struggle to meet donor expectations and project targets? Do we have a bad reputation in country with certain funders?

• Opportunities: Which donors, sectors, and geographic locales are receiving the most funds? What is the strategic positioning of your largest partners/competitors?

• Threats: How competitive are we relative to other iNGOs in the focus sectors and geographic locales of the largest donors? How conducive is the government climate to continued funding from donors?

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Country Office BD Goals

• Based on your SWOT analysis, what are realistic BD goals for your country office for FY14 across each of the following areas?– BD Target (broken down by sector and donor)– Pipeline Size– Win Rate– (Average OH rate is non-negotiable goal of 15%)

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BD Target Setting Resources

• In order to help you better plan your BD activities for FY15, HQ recommends utilizing the following resources to see what our key donors are forecasting in your country:– http://www.usaid.gov/work-usaid/get-grant-or-con

tract/business-forecast– https://www.devex.com/projects– http://www.gatesfoundation.org/How-We-Work/G

eneral-Information/Grant-Opportunities– http://www.fundsforngos.org/category/latest-fund

s-for-ngos/– https://www.ungm.org/– https://www.gov.uk/browse/citizenship/internatio

nal-development

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Country Office BD Plan

• To achieve the BD goals you’ve set, develop a plan with detailed activities to plot a course of action:– What are our focus sectors?– What is our value proposition in each focus sector

or sub-sector?– Which donors will we target?– Provide one idea or activity for each of the goals

listed above that the country office will take to meet that goal.

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Implementation Intro• Organization-wide implementation goals for the year are:

– 80% of projects rated “on-track” based on analysis of indicator achievement relative to budget expenditure and time elapsed

– 80% of projects maintain “on-track” status with respect to the stakeholder analysis (as reported in 3PRs)

– 80% of projects maintain “low risk” status with respect to the subjective risk analysis (as reported in 3PRs)

– 100% of project reports (narrative and financial) submitted on time• To achieve these goals, each country office’s implementation efforts

will be evaluated according to the following metrics:– % of projects rated “on-track” based on analysis of activities vs. budget vs.

time;– % of stakeholder management rated “on-track” in 3PR;– % of projects rated “low risk” in 3PR risk rating;– % of project reports submitted on-time;

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Implementation SWOT Analysis(Sample Questions to Consider)• Strengths: In which sectors and sub-sectors do you regularly

meet or exceed indicator targets and donor expectations? Do you have strong chiefs of party who require little to no supervision?

• Weaknesses: Which commonalities exist across projects that regularly fail to meet targets? Do you have a weak finance or admin team incapable of supporting project needs?

• Opportunities: Which regions of the country provide the most support to project implementation, increasing the probability of achieving successful outcomes? Are staffing changes occurring in key donors that we can leverage?

• Threats: Is the political environment in the regions we operate supportive of successful project implementation?

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Country Office Implementation Goals

• Based on the above SWOT analysis, what are realistic implementation goals for your country office for FY15 across each of the following areas:– % of projects on track comparing target

achievement vs. time vs. budget– % of projects with “on-track” stakeholder

management– % of projects with “low risk” risk rating– (On-time reporting is non-negotiable goal of 100%)

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Country Office Implementation Plan

• To achieve the implementation goals you’ve set, develop a plan with detailed activities to plot a course of action:– What are your weakest projects in need of the

most attention?– What is your plan, project-by-project, for

addressing your portfolio’s biggest weaknesses?– How will you engage donors and message the

identification and implementation of these corrective activities?

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Financial Management Intro• Organization-wide financial management goals for the year are:

– Timely and accurate utilization of Quickbooks for book-keeping – Post batches accurately by the 15th of each and every month– Eliminate internal borrowing– Clean bank reconciliations for each bank account every month

• To achieve these goals, each country office’s finance and compliance efforts will be evaluated according to the following metrics:– 100% use of Quickbooks for posting batches;– % of months with hardcopy and electronic batches posted on time;– $-value of internal borrowing (note – no internal borrowing without HQ

prior approval is allowed – the goal here is the reduction of previous internal borrowing allowances);

– % of reconciliations that fully reconcile each month (i.e. there should be no unexplained difference between book balances and cash balances);

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Financial Management SWOT Analysis(Sample Questions to Consider)• Strengths: From which part of your financial management

program does your country office derive the most value (i.e. effective processes, strong staff, etc.)?

• Weaknesses: Which areas of financial management in your office generate the most concern among partners, HQ, and country office staff?

• Opportunities: What resources are available to improve your financial management systems and capacity?

• Threats: Which donors create the greatest financial management challenges due to slow disbursements and what can be done to mitigate against this?

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Country Office Financial Management Goals

• Based on the above SWOT analysis, what are realistic financial management goals for your country office for FY15 across each of the following areas:– Utilization of QB for bookkeeping;– On-time submission of batches;– $-value of internal borrowing between projects;– 100% of bank accounts reconciled every month

(non-negotiable target);

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Country Office Financial Management Plan

• To achieve the financial management goals you’ve set, develop a plan with detailed activities to plot a course of action:– What are your highest risk financial management

areas?– What resources will you use to address these

areas?– Which staff members will be responsible for

designing, consulting, and implementing the changes?

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Compliance Intro

• Organization-wide compliance goals for the year are:– 100% of audit findings are being considered or

addressed in some way;– 50% of audit findings are completely resolved;

• To achieve these goals, each country office’s compliance efforts will be evaluated according to the following metrics:– % of audit findings addressed;– % of audit findings resolved;

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Compliance SWOT Analysis(Sample Questions to Consider)• Strengths: Which areas of compliance typically generate the

least audit findings in your office (consider equipment management and inventory, procurement, financial controls and separation of duties, HR compliance, petty cash management, vehicle and fuel management, etc.)

• Weaknesses: Which areas of compliance are managed by staff who have unclear job descriptions or are trying to manage too much?

• Opportunities: What resources are available to improve your compliance systems and capacity?

• Threats: What external pressures create incentives to not properly implement compliance procedures?

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Country Office Compliance Goals

• Based on the above SWOT analysis, what are realistic compliance goals for your country office for FY15 across each of the following areas:– % of audit findings addressed or considered;– % of audit findings completely resolved;

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Country Office Compliance Plan

• To achieve the financial management goals you’ve set, develop a plan with detailed activities to plot a course of action:– What are your highest risk non-compliance areas?– What resources will you use to address these

areas?– Which staff members will be responsible for

designing, consulting, and implementing changes to compliance processes?

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Human Resources Intro• Note: This section does not pertain to HR compliance, which

is covered in the previous section, but rather to the motivation and engagement of our staff members.

• Organization-wide human resources goals for the year are:– Improve the morale and engagement of our staff– Build positive, healthy work environments where all staff can thrive

• To achieve these goals, each country office’s HR efforts will be evaluated according to the following metrics:– Number of “unwanted” staff departures;– Frequency of regular formal and informal performance review

meetings for all in country staff;– % of new staff having received a proper orientation program;

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HR SWOT Analysis(Sample Questions to Consider)

• Strengths: What do staff currently report as being a reason they are committed and motivated to work for Africare?

• Weaknesses: Which existing factors do staff say demotivate them & lead to poor performance & low retention?

• Threats: Are there any staff-retention related challenges outside the control of the country office that need to be considered?

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Country Office HR Goals

• Based on the above SWOT analysis, what are realistic HR goals for your country office for FY15 across each of the following areas:– Number of unwanted staff departures;– Frequency of regular formal and informal

performance reviews conducted for ALL staff;– % of new staff having received a proper

orientation;

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Country Office HR Plan

• To achieve the HR goals you’ve set, develop a plan with detailed activities to plot a course of action:– What other motivating factors can you add to create

& maintain a positive working environment & staff success?

– What positive employment & staff retention practices do in-country competing organizations use and how can Africare adopt them?

– Does the country office use regular staff satisfaction surveys to accurately track staff motivation issues?

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Overall Prioritization Guidance

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Overall Prioritization

• The previous exercises analyzing country office operations by area ultimately creates priorities within each area to focus on.

• However, to effectively manage a country-office operation, priorities also need to be clarified across areas of operation to guide decision making and resource allocation

• To guide this priority setting decision, a risk analysis needs to be completed

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Country Office Holistic Risk Analysis• How would the country office rate the different operational areas

(BD, implementation, financial management, compliance, and HR) in terms of representing the greatest risk to running the country office successfully (all 5 areas must be ranked)?

• What evidence is the country office using to support this ranking?• Are the challenges associated with the highest risk areas within

our control (i.e. would be considered weaknesses in a SWOT analysis, not threats)?

• For the highest prioritized operational areas supported by evidence and within our control, identify how the CD will help staff focus resources on this particular operational area while continuing to carry out their daily operations and achieve goals in other areas.