The UNDP Innovation Facility (SHIFT) Ankara, Turkey 23 – 25 September 2014 MINISTRY OF FINANCE AND PLANNING, JAMAICA BEHAVIOURAL INSIGHTS BASED INSTITUTIONAL DESIGN: A MINISTRY OF FINANCE AND PLANNING, JAMAICA PERSPECTIVE Dr Elsie LAURENCE-CHOUNOUNE DEPUTY RESIDENT REPRESENTATIVE UNITED NATIONS DEVELOPMENT PROGRAMME JAMAICA, BAHAMAS, BERMUDA, TURKS & CAICOS AND CAYMAN ISLANDS Trudy-Ann JAMES LINTON 1 DIRECTOR, STRATEGIC ORGANISATIONAL DEVELOPMENT MINISTRY OF FINANCE AND PLANNING, JAMAICA AGENDA The Jamaican Context The MOFP Context The Change Partnership: UNDP and MOFP Jamaica Applying Behavioural Insights based Design Thinking to MOFP Transformation 2 3 VISION 2030 JAMAICA 4 VISION 2030 JAMAICA … “Jamaica – the place of choice to live, work, raise families and do business”. National Goal 2: The Jamaican Society is secure, cohesive and just. National Goal 3: Jamaica’s economy is prosperous. • RELATED NATIONAL OUTCOME • #6 – Effective Governance • • • • • • RELATED NATIONAL OUTCOMES #7 – A Stable Macro-Economy #8 – An Enabling Business Environment #9 – Strong Economic Infrastructure #11 – A Technology-Enabled Society #12 – Internationally Competitive Industry Structure 5 OUR REALITY DECLINING EXCHANGE LOW RATE LIMITED FISCAL SPACE GROWTH INCREASING ENERGY COSTS LIMITED HIGH PUBLIC DEBT FROZEN PUBLIC SECTOR WAGES SUCCESS WITH REFORM AND CHANGE PROGRAMMES 6 THE MINISTRY OF FINANCE AND PLANNING, JAMAICA: WHERE WE ARE NOW… MOFP STRATEGIC REVIEW PUBLIC FINANCIAL MANAGEMENT REFORM ECONOMIC REFORM PROGRAMME (ERP) WELL ACTION PLAN UNDERWAY STANDBY AGREEMENT ECONOMIC PROGRAMME OVERSIGHT COMMITTEE WITH THE IMF IN PLACE 7 MOFP TRANSFORMATION PROGRAMME High talent workforce in a learning organisation Technologyenabled Improvement of Critical Business Processes A CENTRE OF EXCELLENCE, 2017 Realigned Organisational Structure Customer Centric Service Orientation 8 RETHINKING CHANGE MANAGEMENT 9 UNDP ADDED VALUE UNDP’s Mission: Bringing About Change Capacity Development Niche Technical Assistance •Contributed to debt exchange programme •Change and Culture Management Capacity Development •Innovation in Public Service 10 UNDP/MOFP PARTNERSHIP MOFP SECURED UNDP’S SUPPORT UNDP AddedValue FOR TECHNICAL ASSISTANCE IN CHANGE AND CULTURE MANAGEMENT CAPACITY DEVELOPMENT. UNDP’S RESEARCH FOR BEST TECHNICAL EXPERTISE AVAILABLE APPLYING DESIGN THINKING THROUGH BEHAVIOURAL INSIGHTS 11 VALUE PROPOSITION OF UNDP/MOFP PARTNERSHIP 12 CHANGE MANAGEMENT … PREDICTING HUMAN BEHAVIOUR TRADITIONAL VIEW OF HUMAN BEHAVIOUR However, this Perspective Fails To Explain And Predict A Large Proportion Of Behaviour And Decisions. 13 INTRODUCING BEHAVIOURAL ECONOMICS /BEHAVIOURAL INSIGHTS TO CHANGE MANAGEMENT HTTP://WWW.YOUTUBE.COM/WATCH?V=XH_BZXP8DA&SNS=EM 14 WHAT IS BEHAVIOURAL ECONOMICS (BE)/BEHAVIOURAL INSIGHTS (BI)? SALIENCE MESSENGER INCENTIVES PRIMING INFLUENCING BEHAVIOUR THE MINDSPACE NORMS DEFAULTS AFFECT WAY COMMITMENTS EGO 15 APPLYING BE/BI: PRACTICAL INSIGHTS To encourage behaviour change, make it EAST: EASY, ATTRACTIVE, SOCIAL AND TIMELY. 'Change Minds by Changing Contexts' 16 APPLIED BE/BI: PRACTICAL INSIGHTS IN CONTEXT 17 LINKING BE/BI TO PUBLIC ADMINISTRATION PUBLIC POLICY IMPLEMENTATION involves influencing or changing behaviour via legislation, regulations, taxes and incentives. • RECOGNISES THAT PEOPLE ARE COMPLEX, AND OFTEN TIMES IRRATIONAL. BE/BI: AN INVALUABLE TOOL • Key insights into the psychology of behaviour motivations • Low cost/ low pain option for curbing or motivating behaviour RESULTING IN REDUCTION OF INEFFICIENCIES AND INCREASE REVENUES 18 APPLIED BE/BI AND DESIGN THINKING UNDP/MOFP partners to apply Institutional Design Thinking to build Change and Culture Management capacities DEEPER INSIGHT INTO EMPLOYEE EXPERIENCES, NEEDS AND BEHAVIOURS ARISING FROM MACRO ORGANISATIONAL CHANGE MOFP Vision: To be a High Performing, Centre of Excellence by 2017 19 DESIGN-THINKING MODEL (ADAPTED FROM STANFORD ART INSTITUTE) Empathize Refine/Replicate/upscale Define ROAD MAP FOR UNDP INVOLVEMENT Test Ideate Prototype. 20 APPLYING DESIGN-THINKING THROUGH BE/BI Empathize Conduct Culture Assessment. Refine/repl icate Target critical technical and administrative operations for BE/BI application. Tools and ICT products are refined through feedback and observations and replicated to other Ministries Define ROAD MAP FOR UNDP INVOLVEMENT Test Try out in MoFP change management tools and ICT products Prototype Explore possible solutions in the development and implementation of the change management Strategy Ideate Transform the ideas generated to an actual change management strategy and plan 21 APPLIED BE/BI IN THE MOFP TRANSFORMATION PROGRAMME Value Added to ... 22 BE/BI APPLIED INTERVENTION SUCCESS @ MOFP 23 IN CLOSING… Old ways won’t open new doors… Author Unknown When was the last time you did something for the first time? Author Unknown 25