Presentation to the Development and Cooperation EuropeAid

Christopher W. MacCormacSenior Advisor (Knowledge Enterprise)

Asian Development Bank

4 October 2013

Scope and Structure of the Presentation

Part 1Background and Rationale for New KM Directions and

Action PlanNew KM Goals and Directions Implementing New KM Goals and DirectionsSummary

Part 2Operational Implications for ADB’s Knowledge Solutions

2

Background & Rationale for New KM Directions and Action Plan

(Development)

● New, larger, and more complex development challenges in Asia require more regional and global knowledge.

● Asia aspires to become a “knowledge economy/society” in a more integrated and connected regional and globalized world.

● Asia’s development experience and own knowledge can contribute significantly to global economic, social and environmental progress.

3

Background & Rationale for New KM Directions and Action Plan

(Organization)

“Knowledge Solutions” − a driver of change in Strategy 2020.

“Finance++”. Knowledge and investment operations are inseparable, and must be leveraged for development effectiveness.

The organization structure for strengthening KM across the Asian Development Bank is in place – recent IED results provide guidance to improve incentives and systems for more effective KM.

4

Goals for New KM Directions and Action Plan (Development)

“Development Effectiveness” is the ultimate Goal. Thus, the new KM Directions and Actions must ensure ADB’s knowledge solutions achieve these specific development goals:

1) Support the DMCs - Always respond to the priority needs of the DMCs and involve them in planning , implementation, and evaluation.

2) Produce and deliver usable knowledge to the DMCs.

3) Contribute toward their actual application and use in DMCs.

4) Strengthen DMCs’ capacities to perform similar knowledge operations going forward.

5

Goals for New KM Directions and Action Plan (Organization)

1) Strengthen ADB-wide prioritization and effective implementation of knowledge operations.

2) Enrich the quality of ADB’s and DMCs knowledge capabilities in relation to Strategy 2020’s areas of operations and drivers of change.

3) Modernize and make more effective use of ADB’s knowledge assets, and information and communication systems to support KM.

4) A more favorable and demanding organization environment for knowledge solutions at ADB.

6

Goals and Directions (1)Goal:

ADB-wide prioritization, implementation of knowledge operations.

Directions:

◊ Management/HoDs/CoP Forum for KM progress and planning knowledge solutions. Create ADB “signature knowledge” areas.

◊ ADB’s operations cycle as the principal context for planning and implementing knowledge solutions, including RETAs. Greater RM responsibility for decision-making on choice and implementation of knowledge solutions. RDs develop more KM plans in individual DMCs.

◊ Plan multi-year programmatic assistance for knowledge solutions.

◊ Strengthen coherence across ADB/ADBI work plan.7

Goals and Directions (2a)Goal:

Enrich the quality of ADB’s and DMCs knowledge capabilities in relation to Strategy 2020’s areas of operations and drivers of change.

Directions:

◊ Strengthen the roles and contributions of ADB’s sector/thematic Communities of Practice (CoPs).

◊ Create more knowledge solutions through partnerships with “Centers of Excellence”/”Knowledge Hubs” – mobilize regional and global knowledge.

8

Goals and Directions (2b)

Directions (cont’d):

◊ Expand operations including innovation and pilot-testing.

◊ Increase collaboration with ADBI for implementing ADB’s knowledge solutions in DMCs.

◊ More systematic/structured ADB-wide knowledge sharing and support services through the Knowledge Sharing and Services Center (KSSC).

◊ More robust, more formal reporting of the results of ADB’s knowledge solutions. Develop a unified ADB-ADBI results framework for knowledge operations.

9

Goals and Directions (3)Goal:

Modernize and make more effective use of ADB’s knowledge assets, and information and communication systems to support KM.

Actions:

Upgrade, rationalize and integrate ADB’s databases on the economic and social development of DMCs/region, and ADB operations.

Under ISTS-3 upgrade/expand ADB’s ICT architecture (including cloud-based systems) to support KM processes, knowledge solutions, and unified communications with greater mobility across the region.

Use more ‘open’ ICT platforms for collaboration on knowledge solutions and sharing more data and information.

10

Goals and Directions (4a)Goal:

A more favorable and demanding organization environment for knowledge solutions at ADB.

Directions:

Formalize/document expectations and the performance achieved of all units and staff contributing to knowledge solutions, in annual work plans and performance assessmentsincluding specialized knowledge units, operations units, and administrative units.

Examine options for: more systematic staff rotation across operations and specialized knowledge units; internal ‘mini-sabbaticals’ to upgrade sector/thematic expertise; time-bound recruitment/deployment at ADB for highly specialized knowledge areas; more systematic mentoring of staff in specialized knowledge areas.

11

Goals and Directions (4b)

Directions (cont’d):

Develop a more robust resource base for knowledge operations: e.g., longer-term and programmatic external resource mobilization; cooperation with corporate-social responsibility (CSR) and philanthropy programs of the private sector, and with global funds.

Improve the cost-effectiveness of knowledge operations through implementation of other “new directions’ (e.g., improved planning and prioritization, partnerships with “centers of excellence” and “knowledge hubs”).

12

Implementation of New Goals and Directions

‘Actions’ are underway on a number of the ‘Directions’:

Revised Terms of Reference for the Communities of Practice

“Knowledge” indicators included in the revised DEfR. Initiating design of the unified results framework for ADB/ADBI knowledge operations.

Alignment of ISTS-3 to support ICT-based knowledge platforms and improve ADB databases.

Preparation of guidelines/practices for systematic engagement with private sector CSR and philanthropy for knowledge operations.

Preparation of KM Plans in some individual DMCs.

13

14

The New Directions and Action Plan for KM will enable ADB to achieve and demonstrate greater development impact from knowledge operations under the framework of Strategy 2020.

●ADB-wide coherence in prioritization and implementation of all knowledge-related operations.

●Development of ‘signature knowledge’ areas of excellence.

●A superior capability to successfully combine/relate ‘knowledge’ to investment operations.

●Improved ICT-architecture to support knowledge management across ADB and with partners.

●A new results framework for knowledge operations.

●Stronger organization support and recognition for KM.

Operational Implications for ADB’s Knowledge Solutions

15

16

Money and Knowledge are Essential for Development Effectiveness

Slkfjd;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;jjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjj

FinanceFinance + Leverage+ Leverage + Knowledge+ Knowledge

Innovation

Inclusion

Integration

Observable Practice:

Designing and implementing projects that embody improved approaches

Example: •PHI: E-Trike•IND: Bangalore Metro•THA: Solar Projects

Observable Practice:

Projects benefit and engage with targeted communities on jobs, services, social protection

Example: •PHI: Philippines CCT Program•REG: Rural Electrification Projects

Observable Practice:

Financing sub regional and regional projects

Example:•REG: CAREC Improvement of Regional Border Services Project•LAO: Thein Hinboun Hydropower

Observable Practice:

Using innovative ways to tap into other investors

Example: •LTSF 2020 target 1:1, Current 1 - 0.37•Climate Funds GCF, GEF, CIF•PPP Projects

Observable Practice:

Engagement of private sector/ community as finance partner

Example: •BAN: Grameen phone •AFG: Roshan Telecom•REG: Energy for All

Observable Practice:

Cross boundary financing

Example:•ASEAN Infrastructure Fund•LAO: Nam Theun 2 Hydropower•AFG/ UZB: Transmission Interconnection

Observable Practice:

Piloting and scaling up and replicating from other successful experience

Example: •REG: Solar Energy Initiative•REG: Inland Waterways Workshop•BHU: E-Governance/ E-Health

Observable Practice:

Tapping regional and global knowledge strengthening DMCs ownerships, or scaling up outreach in local beneficiaries

Example: •REG: Energy For All•REG: Small Piped Water Initiatives

Observable Practice:

Sharing knowledge across boundaries

Example:•REG: Asian Bonds Online •SPI Index•REG: GMS Infrastructure Planning•REG: Study of Knowledge Based Economies

17

Planning Priority Knowledge Solutions

● Office of VPKM&SD is taking an multi-sector and ‘integrated knowledge’ approach to identifying priority Knowledge Solutions.

● Approach will draw on a range of knowledge and experience from across several units at ADB and ADBI.

18

Identify New Focus Areas (1)

Cities Focus on secondary cities. Why?

~ 600 urban centers account for 60% of global GDP, of which ….~ Secondary cities will be account for around 50% of global GDP until

2025 Integrated multisector approach to city planning

Sustainable transport systems Develop low-carbon transports systems Intermodal transport systems

19

Identify New Focus Areas (2)

Climate Change Adaptation ADB made significant progress in mitigation KS to support more investments in climate

change adaptation

Water Urban water supply Sanitation Water-food-energy nexus

20

Identify New Focus Areas (3)

Disaster risk financing

Education and skills development Application of ICT solutions for education Approaches to developing centers of excellence in

DMCs

Governance Modernizing governments through ICT solutions

(e-government)

21

Identify New Focus Areas (4)

Developing a strategy on how to transform Asia into a knowledge–based economy

Provide guidance to DMCs on how they could move forward on being knowledge-based economies

22

Enhance Flagship Publications

● Better coordination among KM Departments on the contents and timing of flagship publications

● 2-year rolling research plan for ERD to improve quality of publications

● OREI to focus on (i) global rebalaning; (ii) South Asia-East Asia cooperation; and (iii) regional financial stability

23

Strengthen COPs

● Make COPs strong and relevant

● COPs as a source of knowledge within ADB

● Best practice documents to support operations

● Better quality of technical (peer) reviews

● More active participation of COPs in project processing (e.g., MRMs and SRMs, mission participation)

● Access to cutting edge knowledge through external centers of excellence and knowledge hubs

24

Improve Knowledge Sharing and Use by Clients

● Integrating databases and establishing a knowledge platform

ICT solutions for improving internal and external knowledge sharing

ISTS III to be aligned with KPS strategy Extranet or information hub platform Linking various information and knowledge

assets in ADB

25

Improve Operational Relevance and Knowledge (1)

● At least 30% of research work of KM&SD Departments to support operations

● KM&SD Departments as source of relevant knowledge and technology for operations primary resource of expertise for operations

departments

26

Improve Operational Relevance and Knowledge (2)

Operational knowledge to be increased through rotation of specialists SD Departments, RDs and PSOD Target experienced experts for recruitment Improved knowledge sharing mechanisms

Mainstream country diagnostic studies

Strengthen scenario building capacity to support management and operations (ERD and OREI)

27

Thank you!