Training in Project ManagementWorkshop 1

From Problem to Solutionby COWI A/S

Introduction

• Political Science.• MBA

• COWI + Danish FA• Midtdjurs Municipality• European Commission• County of West Zealand

• Married• 3 kids• Randers

The test

• 45 minutes.• Multiple chioce.• Allows for me to

establish level.• Results by end of week.

Five Reasons Why Projects Fail(getting funded)

• The evaluators did not believe in your project logic (justification).

• Your motives were not clear.• Your project team was too weak • Your budget stinks.• Competetion was too strong.

Project Characteristics

• Specific objective• Time bound• Action plan controlled

– Milestones.

• Seperate budget• Own management

structure

Projects in Local Authorities

• The concrete way to make plans (strategies) happen.

• Popular way of branding all non-routine activities.

• Widely used way of distributing funding.

• EU Accession countries key concept, since projects is the way the various EU programmes are made operational.

The Project Cycle Introduced

• Method for project development and management.

• Breaks project management process into phases.

• Integrated with Logical Framework Approach. • Mainly aimed at management of larger scale

programmes (country or regional level).• Adapted to local authority reality.

• European Commission official approach since 1992.

The Project Cycle.

Programming

Identification

Appraisal

Financing

Implementation

Evaluation

Objectives of the Project Cycle Approach

• Clear and realistic objectives for projects and programmes.

• Focus on quality factors and consistency in use of methodology to ensure long term project results.

• Ensures consistency with and contribution to ”overarchning policy objectives”.

Project Cycle Principles

• LFA as main support tool.• Productionn of key documents in each phase.• Stakeholder involvement.• Quality concern

Project Cycle Outcome

• Compliance to overarching policy objectives of funding sources.

• Compliance to own strategy.• Criteria of feasibility.• Criteria of sustainability.

The Project Cycle.

Programming

Identification

Appraisal

Financing

Implementation

Evaluation

The strategic context of a project.

• ”The establishment of general guidelines and principles for EU co-operation with a country”.

• Structural Fund ”SPD Latvia”.

• Local Authority context:– Your own strategy.

• Taking overall priorities (EU and national) into account defining your priorities.

• Projects the way you make your strategy operational.

– Normally revised at least once for each election period.

– Covering 2-5 years.– Allignment with Structural Fund programming

documents essential.

Strategy examples

• Hamburg– The metropolis– German Region– 4.5 mio inhabitants

• Midtdjurs– The rural municipality– Danish local authority– 8.500 inhabitants

Strategy Definition

• Broad and general plan developed to reach long term objectives, focusing on actions for each of the functional areas.

• Strategy expressed by:– Vision.– Objectives.– Strategies.– Tactics.

Why strategy ?

• Communication.• Prioritisation.• Basis for monitoring

performance.• Formal requirement.

Strategy and the public sector

• Where does public sector differ ?– No bottom-line, hence no clear criteria of success.– Board elected to disagree.– Press / public interest.– Public responsibility.– Board no formal / trained background.– Short termed perspective.– Dual responsibility: Region and Organisation.

Programming phase: Outcome

• Local authority strategy:– Fit with EU, national and

regional strategies.– Analysing region.

• Strenghts.• Weakinesses.• Opportunities.• Threats.

– Setting out priority areas.

– Establishing performance indicators.

– Establishing a time-table.

Exercise 1: Groups

• Please undertake a draft SWOT analysis of a local authority of your choice represented in your group by a group member.

• Based on the analysis plaese identify one key subject you would like to work with.

The Project Cycle.

Programming

Identification

Appraisal

Financing

Implementation

Evaluation

The project identification phase

• Or how a project is born……

• What triggers a project:– An analysis by the applicant showing the importance of a

given activity to meet a strategic end ?– The sheer existance of money you may get your hands

on ?

• Long term sustainability of regional development effort needs projects to depart from a strategic basis.

Project identification

• ”Within your overall strategy, problems, needs and interests of possible stakeholders are analysed and ideas for projects are identified.

• Process supported by use of Logical Framework tools.

• Outcome of stage:– Pre-feasibility study.– Project identification

sheet.

Pre-feasibility study

• A chance to qualify your decision of a go or a no-go.

• Mainly larger projects (cost-benefit consideration:– Analysing your situation.– Suggest options.– Recommend option.

The Logical Framework

• Developed 1960’ies in the USA.• Used by all major donor agencies.• Compulsory in most EU funding applications.• Tool and method for project identification,

design and management.• A method ensuring use of a systematic and

logical approach.• Common language.• Two stages:

– Analysis.– Planning

• Project Matrix final outcome.

The Project Matrix

Goals Indicators Assumptions

Purpose Indicators Assumptions

Outputs Indicators Assumptions

Activities Inputs Assumptions

Formulate problems / Analyzing situation (LFA)

• Problem analysis (problem tree).• Objectives analysis (objective tree).• Alternatives analysis.

Develop the problem tree

• Identify substantial and direct causes of the focal problem

• Identify substantial and direct effects of the focal problem

• Construct a problem tree showing the cause and effect relationships between the problems

• Review the problem tree, verify its validity and completeness, and make necessary adjustments

Exercise 2: Groups

• Please undertake a problem analysis for the subject selected by your group.

• Prepare to present it to the class (max 10 minutes presentation).

Project IdentificationPartnerships

• Partnership a key principle in the Structural Funds.

• Normally need partnerships in projects to demonstrate cooperation.

• Commit your key partners to the project early.

• Look for a project ambassador.

Beginning of the Solution: Develop the Objectives Tree

• Reformulate all elements in the problem tree into positive, desirable conditions

• review the resulting means-ends relationships to assure validity and completeness of the objective tree

• If necessary, revise statements, delete objectives which appear unrealistic or unnecessary

• add new objectives where necessary• Draw connecting lines to indicate the means-ends

relationships

Exercise 3: Objectives analysis

• Please undertake the objectives analysis for the subject selected by your group.

• Prepare to present your findings to the class (mav 10 minutes).

SFA Analysis

• Way to evaluate various strategic / project options.

• Suitability.– Does the project actually solve your problem ?

• Feasibility.– Will you be able to implement the project: ?

• Finances.• Human ressources.• Time wise• Technology

• Acceptability.– Will your key stake holders accept the project ?

Stakeholder analysis

Interest

Low High

Power Low Minimal effort Keep informed

High Keep satisfied Key players

Alternatives analysis

• Purpose– To identify possible alternative options, assess the

feasibility, suitability and acceptability of these and agree upon one project strategy.

• Process– Identify different ”means-ends” ladders as possible

alternative options or project components.– Eleiminate options which are not desirable.– Eliminate options which are pursued by other

projects in the region.– Discuss the implications for afffected groups.– Assess the feasibility, suitability and acceptability

of the options.– Select one option.

Exercise 4: Groups.

• Please undertake the alternatives analysis for the subject selected by your group.

• Prepare to present your findings for the class (max 10 minutes).

Project GenerationThe Outcome

• A project synopsis (project generation sheet) – your project business card.– 2-3 pages.– Project aim.– Partnership basics.– Output.– Budget idea.– Format fx Log Frame PM

The Project Cycle.

Programming

Identification

Appraisal

Financing

Implementation

Evaluation

The appraisal

• Where you actuallly begin writing in the application form….

• Writing of the project draft based on a process including:– Feasibility study (if relevant).– Stakeholder consultation (partnership)– Logical Framework

• Allows for you to select your project

Feasibility.Qualifying your project idea.

• Hard projects:– A necessity, allowing for you to establish budget

and action plan.– Demonstrating seriousity.– Requires investment of own money.

• Soft projects:– Developing your project logic.

• F.x. through survey testing hypotesis.

Project Description.Writing the application

• READ THE GUIDELINES:– Technicalities lead to high casualities:

• Language.• Eligibility of project theme.• Eligibility of partnership.• Eligibility of costs.• Co-financing.

Project DescriptionDemonstrate you are SMART

• Specific.• Addressing a clear and justifiable problem.

• Measurable.• Concrete output. Project will make a difference.

• Achieveable.• Log frame demonstrate build on logic, assumptions.

• Realistic.• Financial side allows for project to meet objectives in time.

• Time bound.• Clear and detailed action plan.

Project DescriptionBest Practice

• Aim of project / Project begins.– Clarity begets clarity.– Make your case – demonstrate your project logic:

• What is the problem.• Why is it a problem (justify).• How can you solve the problem.• What will be the result.

Project Description

• Project organisation:– Local partnership.

• Maximise local impact.• Signal local unity.

– International partnership.• Build a network.• Continuity builds mutual trust.