IFMIS-Workshop Nairobi/Kenya, November 2004

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IFMIS-Workshop Nairobi/Kenya, November 2004

• Securing ownership
• commitment

Guenter Heidenhof World Bank, AFTPR
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What does commitment mean in the IFMIS context?

• A definition of commitment
• Who should have commitment?
• Why should they commit?
• How to secure commitment?

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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A definition of commitment

• The deliberate act
• of binding yourself (intellectually and
  emotionally)
• to a course of action

Source Hyper dictionary
IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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Who should have commitment for the IFMIS?

• Government but who in government?
• Cabinet
• Ministry of Finance/Acc. Gen.
• Sector Ministries/local governments
• Other stakeholders
• Parliament
• Civil society/NGOs (?)
• Public servants

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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Why should Cabinet commit?

• Need to know status of implementation of
  government policies
• Use of budget as a management instrument
• May want to improve the use of public resources
• Pressure by civil society/NGOs and donors to be
  more efficient and more transparent

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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Why should MoF/AG commit?

• Are under scrutiny from IMF and donors to be more
  efficient
• Are under constant pressure from other sector
  ministries to release resources need to know
  cash and commitment status
• Think that modern technology will solve the
  problem
• Should strive for improved accountability and
  transparency (?)

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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Why should sector ministries/ local governments
commit?

• Are under pressure from donors and civil society
  to be more efficient
• Dont want to exclusively rely on MoF/AG want to
  have more direct access to cash management,
  accounting and commitment control system
• Are sometimes already using modern management
  information technology (i.e. road maintenance or
  health funds)

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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Why should Parliament, civil society/NGOs commit?

• Want to have access to timely and accurate budget
  information
• Want to better control government
• Lobby for improvement of government
  accountability and transparency
• Are concerned about cost implications

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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Why should public servants commit?

• Little incentives for change
• Are concerned about employment impact of IFMIS
• May want to improve delivery of public services

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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How to secure commitment?Overview

• Effectively balance different interests
• Focus on essentials
• Establish credibility by focusing on quick wins
• Remain realistic and match IFMIS reform with
  existing capacity
• Be realistic about timing and costs

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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How to secure commitment?Part 1

• Effectively balance different interests
• Improvement of basic cash management, accounting
  and commitment control typically common
  interest
• Reasonable investment, operating and
  maintenance cost

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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How to secure commitment?Part 2

• Focus on essentials
• Effective use of public resources should be key
  priority expenditure management should
  facilitate service delivery
• Dont forget necessary procedural and
  institutional adjustments (i.e. IFMIS should not
  replicate status quo) process and institutional
  changes need to proceed computerization
• Address the gap between formal and informal
  behavior enforce compliance with formal public
  finance rules

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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How to secure commitment?Part 3

• Establish credibility by focusing on quick
  wins
• Determine key reform priorities (i.e. reduction
  of transaction time costs) and focus on
  tangible results early in the implementation
  process, i.e. cut down approval steps and
  streamline (manual) budget execution procedures
  to accelerate payments and commitments
• Carefully design roll-out strategy select and
  implement credible pilots link IFMIS pilots with
  concrete service delivery functions such as
  health or education services
• Have an exit strategy in case things dont go
  as planned
• Develop effective communication strategy that
  focuses on results

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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How to secure commitment?Part 4

• Remain realistic and match IFMIS reform with
  existing capacity
• Think small rather than big consider
  step-by-step implementation approach
• Consider turn-key approach for implementation
• Set aside sufficient resources for comprehensive
  training and capacity building plan that
  complements IFMIS implementation
• Develop realistic implementation plan and report
  regularly and transparently on implementation
  progress to all relevant stakeholders
• Dont fall in love with IT

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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How to secure commitment?Part 5

• Be realistic about timing and costs
• World Bank finding IFMIS implementation in AFR
  on average 9 years (!!)
• Provide full picture on costing including cost
  for WAN, IFMIS operation, maintenance and
  support, training and capacity building

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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How to secure commitment?Part 6 Failure Factors
World Bank review
IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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How to secure commitment?A final word

• BE AWARE!!
• Commitment is no constant factor and is likely
  change in the course of IFMIS implementation
• As a consequence need to regularly verify if
  IFMIS is still in line with authorizing
  environment

IFMIS-Workshop Nairobi/Kenya, November 2004
Guenter Heidenhof World Bank, AFTPR
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What does ownership mean?

• The right to use, possess, enjoy, transfer, and
  dispose of a thing to the exclusion of all others
• its all about control

Source Hyper dictionary
Guenter Heidenhof World Bank, AFTPR
IFMIS-Workshop Nairobi/Kenya, November 2004
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Who should control and how?

• Control should firmly rest with MoF/AG no
  delegation to outside consultants
• Ensure effective project coordination
• Governance structure of IFMIS reforms should
  actively engage all relevant stakeholders
• Open and transparent information is a key to
  success

Guenter Heidenhof World Bank, AFTPR
IFMIS-Workshop Nairobi/Kenya, November 2004