Intervention Summary
Title: The Programme Partnership Arrangement with Oxfam
What support will the UK provide?
The UK, through the Department for International Development (DFID), will invest in a 3 year
Programme Partnership Arrangement with Oxfam between 2011 and 2014. An initial investment of
£11,171,035 for 2011-12 has been agreed. £9,611,367 is allocated for the “General PPA”. This will
support the achievement of outcomes in the General PPA logframe which reflects a broad range of
Oxfam’s work. The remaining £1,559,668 is to support the “Conflict, Security and Humanitarian (CSH)
PPA”. This will support the achievement of specific conflict, security and humanitarian outcomes,
including building resilience to disasters, in the CSH PPA logframe.
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Subsequent disbursements will be performance-based; as assessed through robust monitoring and
evaluation mechanisms.
Why is support from DFID required?
Civil society plays a vital role in supporting citizens to improve their lives. Civil Society Organisations
are central to delivering services, enabling citizens to be more active in their own development and
ensuring that policies benefit ordinary people – especially the poorest.
In order to achieve DFID’s priorities, as set out in its Business Plan (Structural Reform Plan), a multisectoral approach to delivery is required, one in which CSOs, along with governments and the private
sector, play a pivotal role in helping poor people to improve their lives.
The PPA is one of DFID’s main support mechanisms to CSOs. In line with a commitment by the
Secretary of State to support another round of PPAs and following a robust selection process and
implementation of a Resource Allocation Model, partners have been identified for a 3 year PPA to
begin in April 2011. Oxfam is one of these.
What are the expected results?
Through the General PPA, Oxfam expects to achieve:
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Life sustaining, needs-based support provided to 13.5 million people affected by serious
humanitarian crises.
700,000 people effectively supported to reduce their risk to natural hazards, build their
resilience and adapt to current and future climatic variability and uncertainty.
80,000 poor women and men supported to sustainably increase their income via marketfocused value chain development support.
40,000 women supported to gain increased skills and access to and control over income.
80,000 citizens supported to engage with state institutions and capacity building provided to
90 duty bearers.
300 policy stakeholders are meaningfully reached by campaign activities to bring about propoor policy change.
Through the CSH PPA, Oxfam expects to achieve:
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the ‘Good Enough Guide’ and/or associated tools will have been used demonstrably to
measure impact of humanitarian interventions in 10 countries;
3 governments, due to the contribution of Oxfam and their partners’, adapt institutions, budget
allocations and/or the design and implementation of policies and programmes to increase the
adaptive capacity of vulnerable citizens;
25 states refer to Oxfam and/or their partners' research and/or technical assistance in their
official reports to the UN First Committee and/or Review Conference for the ATT1; and
20 civil society organisations in conflict-affected states have an increased mean capacity score,
using Oxfam’s partner capacity assessment tool.
Business Case for: Programme Partnership Arrangement with Oxfam
Strategic Case
A. Context and need for DFID intervention
Civil Society Organisations (CSOs) are accepted as an essential part of the global partnership to
deliver the MDGs and public goods. Internationally, the role of civil society1 is widely recognised - the
Accra Agenda for Action specifically mentioned the need to ‘deepen engagement with civil society
organisations’i. In the UK, the Government has stressed the importance of strengthening the ‘Big
Society’ and developed a ‘Compact’ to shape the relationship between government and civil society.
The National Audit Office states that “Civil society organisations can play a variety of vital roles” and
are “important partners for DFID”ii. The Public Accounts Committee praised CSOs for often
performing better than developing country governments in providing benefits for the poorestiii. Other
donors also emphasise the importance of the sector, such as the European Commission, DANIDA
and SIDA.
Civil society plays a vital role in supporting citizens to improve their lives. CSOs are central to
delivering services, enabling citizens to be more active in their own development and ensuring that
policies benefit ordinary people – especially the poorest. CSOs can extend governments’ and official
donors’ reach with hard to reach groups - such as disabled people, vulnerable children, female
headed households and people living with HIV AIDS - and in hard to reach areas or where, for
example, DFID has no programmeiv.
The Review of DFID’s Support to Civil Societyv and other recent research provide additional evidence
to support the view that Civil Society is an important contributor to poverty reduction and can
demonstrate impact towards achieving the MDGs.
In order to achieve DFID’s priorities, as set out in its Business Plan (Structural Reform Plan), a multisectoral approach to delivery is required, one in which CSOs, along with governments and the private
sector, play a pivotal role in helping poor people to improve their lives.
DFID objectives for its work with CSOs:
(i) Deliver goods and services effectively and efficiently;
(ii) Empower citizens in developing countries to be more effective in holding governments to
account and to do things for themselves;
(iii) Enable civil society to influence national, regional and international institutions including
improving aid effectiveness;
(iv) Build and maintain capacity and space for active civil society;
Benefits of PPA strategic funding
To achieve its objectives, DFID has a broad and flexible range of funding mechanisms for CSOs;
both centrally and through country programmes. In contrast to other donors, it does not exclusively
favour UK-based CSOs. These mechanisms enable DFID to balance a longer-term commitment to
civil society with instruments which allow more opportunistic, flexible and creative approachesvi .
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Civil society includes a wide range of non state actors such as non-governmental organisations
(NGOs), faith and Diaspora groups, community based organisations and others. Some are large and
well established, whilst others are small and informal with limited capacity.
How does DFID support Civil Societyvii:
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Unrestricted grants: 25% of total portfolio
In-Country Funds: 53% of DFID’s total funding to CSOs
Central Funds: 4 centrally run schemes plus humanitarian funds (47%) – including PPAs
Indirect funding: through joint funds such as the Common Ground Initiative (Comic Relief)
and Disability Rights Fund (AusAid)
• Pooled funds: increasing use especially in fragile countries
• Via multilaterals: £160 m through the World Bank, European Commission and UN agencies
The Programme Partnership Arrangement (PPA) is one of DFID’s main support mechanisms to
CSOs. The PPAs are strategic level agreements based around mutually agreed outcomes and
individual performance frameworks against which the organisations report on an annual basis.
Critically, PPAs, subject to performance, provide the CSOs with 3-4 year funding which enables them
to better plan and deliver programmes, including in more difficult, higher risk environments. PPAs
are aimed at CSOs with a global reach and leaders in their field who can add value to DFID’s
portfolio, support realisation of its objectives, achieve real results in terms of poverty reduction and
provide good Value for Money (VfM) as demonstrated through a competitive selection process.
In particular, PPAs contribute to the delivery of the MDGs by playing a vital role in supporting citizens
to improve their lives, delivering services to specific groups of poor people, and holding governments,
donors and others to account. The PPAs have contributed in practical ways to: improving the lives of
women and girls, helping adaptation to and mitigate climate change, and strengthening partnerships
with the private sector in development, evidence of which can be found in the PPA MetaEvaluationviii.
Following NAO recommendations, DFID has strengthened areas such as baseline development and
performance frameworks. An independent external evaluation manager is contracted to oversee the
development of results frameworks, robust baselines, mid term and final evaluations. In the interest
of transparency, DFID will publish all PPA reviews and requires PPA holders to publish too, together
with a management response, as a condition of funding.
Current projections for the PPA budget allow a total allocation of £360m for 2011-2014. For the first
time, funding is performance based. Following the mid-term review, individual allocations to PPA
agencies will increase, decrease or remain the same based on their relative performance
In line with a commitment by the Secretary of State to support another round of PPAs and following a
robust selection process and implementation of a Resource Allocation Model, 39 partners have been
identified for a 3 year PPA to begin in April 2011, from 430+ initial applications and a shortlist of 109.
Oxfam is one of the selected PPA partners and has been assigned £9,611,367 by DFID for the first
year 2011-12. Subsequent disbursements will be performance related.
B. Expected Impact and Outcome of the Oxfam PPA
Impact: Contribute to the alleviation of poverty and suffering in general and reduce the impact of
conflict, state fragility and disasters on progress towards the achievement of several of the
Millennium Development Goals in particular MDGs 1,2,3,6,7,8.
Outcome: Make a substantive and measurable contribution to supporting poor and marginalised
women and men overcome poverty, suffering, and inequality as well as to humanitarian security
policy through quality, cost-effective, and evidence-based humanitarian and development
interventions.
Oxfam will target the following poor and vulnerable groups in the following ways:
Oxfam work across 5 strategic aims (expressed as rights). These are:
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The right to a sustainable livelihood: Oxfam’s specialism is in support to smallholder
agriculture, particularly access to markets; enterprise development; building women’s
livelihood prospects; and supporting agricultural growth in the face of climate change.
The right to basic social services: Oxfam’s focus is on working with governments – north and
south – to: Improve financing of health systems; increase access to basic medicines; improve
access to HIV/AIDS treatment and care); ensure equitable access to education for girls and
marginalised groups; and provide adequate safe water and sanitation services in schools.
The right to life and security; Oxfam has a global reputation as the leader in the provision of
water and sanitation services in emergencies.
The right to be heard (governance, citizenship and empowerment); Oxfam’s overall approach
to programming is to leverage achievement of basic rights through empowering citizens
(including the poor and marginalised) and supporting state/public institutions to be
effective and accountable. Oxfam’s specialism is to support citizens and civil society to
demand better governance and service delivery, and support governments and other
institutions (including the private sector) to improve the quality of their relationships with
poor people and deliver more effective and accountable services.
The right to equity (gender and diversity); Oxfam is seen as a leader on women’s political
empowerment, economic leadership and on gender in emergencies. Oxfam’s strength in
gender derives from their engagement with communities, allowing them both to address
equality and women’s rights at local level and to generate sound analysis for policy and
advocacy.
Under the third right (the right to life and security), for the CSH PPA Oxfam will work on four specific
policy areas to deliver their four specified outcomes given in their CSH logframe. These policy areas
are:
 strengthening the evidence base for humanitarian decision-making and reporting;
 building the evidence base and strengthening policy-making for Disaster Risk Reduction;
 improving the international system’s effectiveness in delivering security; and
 building civil society capacity in conflict-affected states.
Oxfam will work directly in the following 51 countries:
Fragile/conflict affected states: Afghanistan, Angola, Azerbaijan, Cambodia, Chad, Colombia,
Democratic Republic of Congo, Eritrea, Ethiopia, Georgia, Guatemala, Haiti, Honduras, Indonesia,
Kenya, Liberia, Mali, Mozambique, Myanmar, Nepal, Nicaragua, Niger, Nigeria, Pakistan, Occupied
Palestinian Terrorities/Israel (OPT/I), Philippines, Sierra Leone, Sri Lanka, Somalia, Sudan,
Tajikistan, Uganda, Yemen, Zimbabwe.
Least-developed countries (not included in above list): Bangladesh, Malawi, Rwanda, Senegal,
Tanzania, and Zambia.
Middle income countries with large numbers of vulnerable/poor women and men: Albania,
Armenia, Bolivia, Brazil, Ghana, Russia, South Africa, Thailand, Vietnam
Appraisal Case (General PPA Only)
A. Feasible options
There are two options for this intervention:
1. Fund International Oxfam through a centrally managed PPA.
2. Reject International Oxfam’s proposal
B. Appraisal of options
Option 1. Fund Oxfam through a centrally managed General PPA
Costs: DFID will invest £9,611,367 for the General PPA in the first year (2011-12) of the PPA with
Oxfam. Funding represents around 3% of Oxfam’s average annual income and can play a key role in
shaping how Oxfam uses its non-DFID resources.
Subsequent performance-based allocations are provisionally set as for the General PPA:
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2012/13
2013/14
£9,611,367 (provisional)
£9,611,367 (provisional)
DFID will invest £1,559,668 for the CSH PPA in the first year (2011-12) of the PPA with Oxfam
Funding represents 1% of Oxfam’s average annual income.
Subsequent performance-based allocations are provisionally set as for the General PPA:
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2012/13
2013/14
£1,559,668 (provisional)
£1,559,668 (provisional)
PPA round 2011-14
The new PPA round, 2011-14 and for which Oxfam has been selected, challenged CSOs to show
greater effectiveness, results and Value for Money.
2011-14, Key criteria for selection included:
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Niche, expertise, leadership
Strategic fit with DFID objectives and priorities and complementarity
Vision and Impact (what will be achieved)
Transparency & Accountability
Results delivery (demonstrated impact)
Value for Money
Partnership (structure and reach)
Monitoring, evaluation & learning
In addition the selection process included a Resource Allocation Model (RAM). The 2011-14
RAM ensured that appropriate funding levels were attributed to each selected partner. Annual
income, as stated in the CSO's Annual Audited Accounts, was selected as the starting point
(base). In addition, the RAM made full use of the PPA offer document which all applicants were
asked to complete. Offers were scored against specific criteria. Each criterion was allocated a
score, which was used to calculate building blocks. These were added to the base to calculate the
appropriate funding level. It was agreed that in order to reduce dependency, PPA funding should
be capped at 40% of an organisation’s income.
Evidence base for the selected option (PPA with Oxfam):
Benefits:
1.
 Reach; Oxfam works in 63 countries worldwide. Their breadth of experience informs and
enriches the development of their programme policy and advocacy work.
 Tenure in the countries where they work; The trust and authority Oxfam have built up over
work often spanning decades enables them to work on difficult and contested issues, such as
improving the role of women in society and the equitable provision of basic services in
conflict;
 The quality of partnerships with key players such as international donors, the private sector
and civil society worldwide enables them to leverage change beyond what they could achieve
alone;
 Support from the public; Oxfam’s advocacy on development and humanitarian issues is
backed by the support of millions of people, enabling them to influence debates at the highest
levels.
2. Strategic funding via the PPA allows DFID to minimise administrative costs, while recognising
and supporting the significant value organisations such as Oxfam bring to DFID’s work and to the
sector as a whole. As an ‘un-restricted’ funding mechanism, the PPA also leverages value for
money for DFID beyond its gross contribution. In 2009-10, while the PPA represented only 2% of
Oxfam’s gross income, it accounted for over 10% of their net unrestricted income (i.e. what was
available for charitable activities, once fundraising costs had been deducted). Oxfam’s ability to be
‘fleet of foot’ in a changing world, to input to learning in the sector, to innovate, and to build new
development partnerships, all rely heavily on net unrestricted funding. Without the PPA in its
current unrestricted form, partner NGOs like Oxfam would find it harder to do those things. Without
the PPA, the policy and learning dialogue between DFID and the UK NGO sector would be
significantly impoverished, and the combined impact on poverty proportionately reduced.
Partnerships -Oxfam GB works with and through others to take action to achieve common goals for
overcoming poverty and injustice. Oxfam GB’s partner relations are informed by, and managed to, a
set of clear principles: Complementary purpose and added value; Mutual respect for values and
beliefs; Clarity about roles, responsibilities, and decision making; Transparency and accountability;
Commitment and flexibility. Oxfam regularly reviews its performance against these principles, most
recently in 2010. Examples of such successful partnerships are as follows:
Southern CSO partnerships: Oxfam’s default position, in all its development projects and much of
its humanitarian programming, is to work through southern partners. In India, a livelihoods project
with 12 local partners has helped create real and permanent wealth in the textiles industry. Cotton
farmers entered the niche organic market, and have formed co-operatives to reduce costs and
increase their collective bargaining power in the markets. Home-based cotton weavers have
bypassed restrictive market practices by forming their own marketing company, and women workers
in the factories of Bangalore have been empowered to take control of their own working lives through
their greater understanding of the right to free association. Oxfam trained and funded the partners to
enable them to help those farmers, weavers and workers to increase their income and realise their
rights, and who now, in turn, have initiated their own transformative relationships with other poor men
and women in India, helping them to escape from poverty. This model of relationship building is used
throughout Oxfam’s programmes; with clear objectives of making all stakeholders stronger, but with
definitive exit strategies to enable those partnerships to be self-sustaining.
Alliances and consortia: Across the full breadth of its programme, policy and campaigning work,
Oxfam works in alliance with a vast and diverse group of stakeholders. In the run up to the 2009
conference on the UN Framework Convention on Climate Change, Oxfam worked within the Global
Campaign for Climate Action, an alliance of over 150 organisations, to mobilise over 15 million
people in support of a fair, safe deal at Copenhagen. More than 1.5 million people in 35 developing
countries participated in GCCA Climate Hearings, acknowledged to be one of the key ways in which
the opinions of poor and vulnerable people were directly voiced in the UNFCCC process. In Liberia,
Oxfam chairs the national WASH Consortium, an alliance of INGOs, national partners, government
agencies, and donors (DFID, EU, UNICEF). Reaching 12 of the 15 counties of Liberia, so successful
has this alliance been that the outgoing EC Head of the Livelihoods stated that he wished Oxfam and
its partners would replicate the change model in the food security sector. Oxfam is an active
participant in many communities of practice, seeking to promote lessons from its own programmes
and learn from others. Oxfam work within several policy groups at BOND, notably the Disaster Risk
Reduction group (where they contribute towards work on frameworks to measure adaptive capacity),
and the Governance group (where they contribute to work on challenges to governance and
citizenship in fragile states). Oxfam represents BOND at CONCORD’s Financial Regulation SubGroup.
Partnerships with the private sector: Oxfam recognises that credible and constructive partnerships
with private sector stakeholders are essential for transforming the conditions that underpin poverty
and inequality at every level. Hence Oxfam has partnerships with more than 150 companies
worldwide; a portfolio it intends expanding. In its policy influencing work on climate change, Oxfam
recognises that the actions of businesses around the world will be critical to driving down carbon
emissions. Oxfam has worked with the Prince of Wales’ Corporate Leaders Group on climate change
bring the voice of British businesses to bear on international climate change negotiations. At
programme level, Oxfam is working with private sector partners to enable smallholder farmers to take
part in the value-chains of those businesses – whether they are local enterprises or multi-national
companies. The best-developed example of the latter is ‘Project Sunrise’, a partnership with Unilever.
Unilever, with its extensive supply and processing networks globally, have committed to buying a
significant percentage (from 5%-20%) of Knorr’s global requirements of key vegetables from the
smallholders involved in ‘Project Sunrise’. This in turn will influence Unilever’s business model by
showing the viability of smallholders’ engagement in large-scale supply chains, and will help Unilever
achieve its stated commitment to advocating for pro-poor change in the wider private sector.
4. Oxfam is an independent organisation affiliated to Oxfam International, a global confederation of
14 independent Oxfams. They have partners, volunteers, supporters and staff of many nationalities;
they are all part of a global movement to build a just and safer world. To achieve the greatest impact
they work on three mutually-reinforcing fronts: humanitarian, development and campaigning.
Beneficiaries/partners: Oxfam estimated that, in 2009-10, its programme activities benefited over 17
million poor and vulnerable people in 63 countries. In the same year, Oxfam funded 1,021
partner organisations, many of which also received skills development training and other forms of
non-financial support.
Support from the UK public: Oxfam is one of the largest and best-known NGOs working in
international development and humanitarian relief in the UK today. Some 900,000 UK citizens are
active supporters of Oxfam, either giving them money, volunteering for them or supporting one of
their global campaigns. With 730 shops on almost every major high street in the country, Oxfam is
one of the UK’s most recognised ‘brands’.
International constituency of support: As part of Oxfam International and other global affiliations, their
work on global issues such as climate change, economic justice, basic services and the impact of
conflict and insecurity was actively supported by 12 million people worldwide in 2009-10.
5. The rigorous review of DFID funding mechanisms to CSOs and the thorough appraisal of the
Oxfam proposal demonstrated that central funding through a PPA would realise the most potential
benefits in terms of poverty reduction and provide the best value for money for DFID. Oxfam
demonstrated its strength in reaching out and supporting the poorest groups, aiding countries most in
need, demonstrating results and providing good value for money.
6. At the highest level of impact, Oxfam will contribute to sustainable improvement in the lives of poor
and vulnerable groups through progress in 6 Millennium Development Goals:
 Eradicate extreme poverty and hunger (MDG1)
 Access to education (MDG2)
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Promote gender equality and empower women (MDG3)
Curbing the HIV/AIDS epidemic (MDG6),
Access to safe drinking water (MDG7c)
Effective and accountable governance (MDG8)
Relevant indicators appear in the Oxfam logframe.
7. In particular, the investment under a PPA with Oxfam will support innovative programming models
from across the Oxfam organisation in the following policy priorities:
 Humanitarian assistance - people affected by serious humanitarian crises provided with lifesustaining and needs-based support
 Adaptation and risk reduction - people effectively supported to reduce their risk to natural
hazards and adapt to current and future climate variability and uncertainty
 Livelihood/market access - poor women and men supported to sustainably increase their
income via market-focused value chain development support
 Women’s empowerment - women supported to gain increased skills, and access to and
control over income
 Citizen’s voice/governance - citizens supported to engage with state institutions, and
capacity building support provided to 90 duty bearers
 Influencing and policy - governance stakeholders meaningfully reached by campaign
activities to bring about pro-poor policy change
8. Work will focus on a small number of priority countries where with Oxfam’s innovative programmes
are best placed to benefit from strategic support and have the potential to scale up to reach large
numbers of beneficiaries. It also aims to affect change beyond the reach of with Oxfam through its
members and existing partnerships with a broad range of institutions (CSOs, governments, INGOs
etc). Investment in a PPA with Oxfam has the potential of (directly and indirectly) reaching a high
number of resource-poor beneficiaries, includingix:
 17 million women and men assisted by their global activities, 9 million of whom were
women
 460,000 people (mostly smallholders) provided with support to develop their businesses;
 480,000 people assisted through Disaster Risk Reduction / resilience building activities
 3 million people assisted through activities increasing access to health and education
services
In addition, benefits of funding through the PPA mechanism include:
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Reduced administrative burden
Shared management resources across all PPAs
Opportunity to achieve economies of scale by supporting interventions best placed to
Leverage results across Oxfam, its partners and beyond
Enhanced DFID reach and results on shared strategic areas
Enhanced DFID reach in countries where the Oxfam works.
Strengths and capacity of Oxfam to implement a PPA:
Vision: Oxfam has a clear vision and strategic objectives which frame its work. These fit well within
DFID’s Business Plan objectives related to a) supporting actions to achieve the MDGs; b) improving
the lives of girls and women; and c) boosting economic growth and wealth creation.
Oxfam works across five strategic aims, expressed as rights, each with focused strategies that
prioritise their work.
The right to economic justice: Oxfam’s economic justice work focuses on: creating fair and
sustainable markets; enabling agricultural growth in the face of climate change; building women’s
livelihoods, resilience and leadership; addressing urban poverty and rural-urban linkages; and
engaging with multinational and national companies to develop business models that are pro-poor
and inclusive. It also entails advocating globally for food justice, to ensure poor people can access
sufficient food to eat now and in the future.
The right to essential services: Oxfam strengthens civil society organisations to engage on issues
of health, education and water. It also holds governments to account for policy and financing and
securing targeted changes in national and international policies, provision and resource allocation.
Oxfam is extending its work supporting government capacity to deliver essential services, especially
in fragile states.
The right to life and security: Oxfam is a global leader in WASH, food security and emergency
livelihoods. Oxfam’s priority strategies are to: extend its ability to lead responses by building local
humanitarian capacity, both in Oxfam country/regional centres and its national-level partner
organisations; improve systems of emergency preparedness and disaster risk reduction working with
local communities, partner organisations and their governments to improve risk analysis, adaptation
and contingency planning; campaign on the rights of individual women and men to assistance and
protection in emergencies, working at the international level and in selected exemplar countries, to
improve the humanitarian system’s collective performance.
The right to be heard (governance, citizenship and empowerment): All of Oxfam’s work is
grounded in strengthening the ability of people living in poverty to secure their rights, and ensuring
that governments and institutions respect and protect those rights. Their key strategies are:
empowering active citizens by building the effectiveness of CSOs, especially those focussing on the
rights of women, marginalised and vulnerable people; building the capacity of governments
(particularly those in fragile states) at local, national and international level to fulfil poor people’s
rights and deliver minimal standards of good governance and effective services; facilitating
constructive dialogue between citizens and states, creating new interfaces between government, civil
society and other actors (e.g. private sector).
The right to gender justice (gender and diversity): Oxfam is a sector leader on women’s political
empowerment, women’s economic leadership and gender in emergencies. The priority strategies
here are to: work to secure the implementation of existing political and legal provisions for women’s
rights; to extend innovative programming aiming to reduce violence against women both in
humanitarian and development contexts; and, to build their capacity within the organization and
partners to ensure that all programmes directly contribute to improving women’s rights and
opportunities.
Governance: Oxfam (also known as Oxfam GB) is a member of Oxfam International, a separate
legal entity registered in the Netherlands as a charitable foundation Trustees and members make up
the Association of Oxfam. Oxfam has several subsidiaries, three of which are consolidated into their
group accounts; these subsidiaries are Oxfam Activities Limited (trading subsidiary), Finance for
Development Limited (a microcredit institution in Azerbaijan) and Frip Ethique SARL (a private-sector
enterprise in Senegal).
Human resource capacity: In 2009/10, Oxfam employed 4,371 Full Time Equivalent (FTE) staff.
Details of how staff were employed across the organisation are listed below.
Office Structure: Oxfam is headed by a Chief Executive. The Chief Executive reports to a Board of
Trustees, which governs the organisation. Oxfam is organised into seven Divisions, each headed by
a Director, who sits on the Corporate Management Team. These are:
International Division: Responsible for the management of all global, regional and country
programmes, and programme performance and value for money functions (3,039 FTE staff in
2009/10, 2,836 employed outside the UK)
Campaigns and Policy: Responsible for the management of Oxfam’s strategic campaigns, public
policy and advocacy and development of programme policy around Oxfam’s strategic aims (169 FTE
UK staff in 2009/10, split with Human Resources)
Communications: Responsible for media/public relations and digital communications; (see above
for staff numbers)
Trading: Responsible for Oxfam’s network of 750 shops and 20,000 shop volunteers, online trading
and other retail activities; (817 FTE staff)
Fundraising and Supporter Marketing: Responsible for raising money from the general public,
private companies, major donors and trusts and foundations; (153 FTE staff)
Finance and Information Systems: Contains Oxfam’s corporate finance and IT systems teams, the
legal team and internal audit; (193 staff, split with Human Resources)
Human Resources: Responsible for Oxfam’s corporate HR policies, learning and development,
knowledge management, and HQ facilities
The directors of Oxfam are the Trustees, collectively known as Oxfam’s Council. This Council,
Oxfam’s governing body, comprises a minimum of ten and a maximum of 12 Trustees. The members
of the company are known as the Association, which comprises all the Trustees plus a number of
other members up to a maximum of 32. Members are appointed by Council and ratified by the
Association.
A sub-committee of Council, the Recruitment and Development Group (RADG), is responsible for the
recruitment and training of Trustees and Association members. Trustee appointments are based on
the need for Council to have the appropriate skills and experience to determine Oxfam policies, and
to monitor the implementation of those policies. Oxfam’s Trustees are responsible for everything that
Oxfam does. However, to ensure Oxfam is managed efficiently and effectively, the Trustees have
delegated a range of day-to-day decision-making powers to the Corporate Management Team
(CMT), which reports directly to Council. Trustees have also established appropriate controls and
reporting mechanisms to ensure that the CMT operates within the scope of the powers delegated to
it.
The Trustee Audit and Finance Group (TAFG), Oxfam’s audit committee, chaired by the Treasurer,
meets regularly with the external auditors, both with and without the presence of management. The
group agrees the external audit plan, reviews the external auditors’ management letter, and monitors
implementation of actions required as a result. The TAFG also has the responsibility of ensuring that
the audit, risk management and control processes within Oxfam are effective.
One further committee that carries out specific functions on behalf of the Council is the Remuneration
Committee, chaired by the Chair of Oxfam. This committee monitors the implementation of Oxfam’s
rewards policy (i.e. the remuneration and benefits for Oxfam staff).
Risk management - The Council of Trustees has overall responsibility for Oxfam’s system of internal
control. Such a system of control can provide only reasonable, and not absolute, assurance against
inappropriate or ineffective use of resources, or against the risk of errors or fraud.
Results, Monitoring and Evaluation
Oxfam has identified three key areas for investment in Monitoring, Evaluation and Learning (MEL).
1. Developing coherent, measurable programmes and systems:
a) Setting strategy at country level: Oxfam has developed National Change Strategies (NCS) for
each country where it works. NCSs help ensure that Oxfam’s work in each country is aligned to
organisational aims. Each NCS is the result of participatory planning with staff, partners and
communities, and is informed by detailed situational analysis into the particular challenges and
opportunities facing poor people. An NCS is expected to outline a clear theory of change, showing
what impact-level and high level outcome-level results Oxfam expect to bring about.
b) Clear Monitoring, Evaluation and Learning plans: All programmes must have clear, credible
and resourced MEL plans, showing what data will be collected, when and how, and commitments on
evaluation. Specialist MEL and thematic staff are in place in Head Office and Regional Management
Centres to support the development of high quality MEL plans.
c) Improving data collection: Increasingly, data on the performance of Oxfam’s programmes is
collected under controlled conditions by specialist Oxfam and partner staff working with trained
enumerators. Improved toolkits have been developed to help project staff collect, analyse and
interpret data on complex development processes. Outcomes related to Governance and
empowerment, for instance, are notoriously difficult to measure and Oxfam has developed a partner
assessment tool specifically to assess the influence of its capacity-building activities on partners’
local advocacy capacity, and a new tool to measure women’s empowerment at household level.
d) System improvements to support this: Improved project design tools have been developed,
along with a new Programme Framework manual for all staff. OPAL, the online project database, was
significantly re-designed in 2010 to place more emphasis on monitoring and evaluation and the use
of Logic Models, with further upgrades due in 2011. OPAL Programme Implementation Plans (PIPs)
are developed for each thematic area of work at country or regional level. Each PIP is based on a
‘logic model’, demonstrating a logical link between activities through to outcomes, with indicators
detailed at Outcome level. PIP managers report quarterly, commenting on performance. Under each
PIP, Projects are drawn up, and demonstrate clear links to the outcomes of their associated PIPs,
with Output-level indicators clearly identified and a list of key implementation milestones. Project
managers must input data against Output-level indicators on a quarterly or monthly basis to show
implementation progress and to allow organisational Output data to be extracted and aggregated.
2. Increasing emphasis on rigorous evaluation of outcomes and impact:
a) Effectiveness audits: A new tool, Effectiveness Audits will be rolled out from 2011. Carried out
every year on a sample of 42 programme interventions (7 under each Outcome indicator in the
Global Performance Framework), data will be collected both against Oxfam’s corporate Outcome
indicators and against the programme’s specific Outcomes. Value for money metrics will also be
developed, as will performance data against organisational partnership and beneficiary accountability
indicators. Where particularly successful approaches are identified, Oxfam will use qualitative
methods to ‘drill down’ on how and why they worked. The learning derived from this process will
provide a valuable basis for evidence-based decision-making for Oxfam programme managers.
b) Programme evaluations: Oxfam is increasing the number of evaluations it undertakes. Under its
2009 Evaluation Policy, all programmes over £1m in value, all major campaigns, all high-profile
programmes or those with an element of risk must carry out mid-term and final evaluations at least
every five years. Furthermore, all major humanitarian interventions undertake Real-Time Evaluations
(on average four RTEs per year) within 6-8 weeks of the programme starting to recommend
corrective action needed immediately, and inform organisational learning. The Climate Change
Campaign evaluation was an ambitious but successful test of a new approach that the organisation
will adopt in future. Under their open information policy, evaluation reports along with management
responses are being published in full on Oxfam’s external website.
3. Feeding learning into decision making: Oxfam invests significant resources in capturing learning
and feeding it into decisions from at all levels within the organisation. At strategic level, decisions
about programme direction are articulated through Aim Strategies. Oxfam’s strategy for sustainable
livelihoods, for instance, was the result of formal evaluations and meta-evaluations of livelihoods
programmes over several decades, best practice captured from within and outside the organisation,
and deep consultation with those expected to deliver results on the ground (staff and partners) and
other stakeholders (including DFID). As a result of all of these learning processes, Oxfam’s strategy
was re-orientated to focus on building more effective alliances amongst producer organisations,
increased engagement with the private sector on value chains, and on building better understanding
of rural-urban linkages. Oxfam continually captures and synthesises best practise to support staff and
partners in making programme-level decisions, through Programme Policies, learning companions,
analytical tools and case studies. A practical example is the community-based accountability toolkits
developed by Oxfam under the Emergency Capacity Building Project (ECB), which have been
downloaded by thousands of users. Oxfam is increasingly investing in web-based peer-to-peer
learning, evaluation and programme decision-making processes across multiple locations, recent
examples including on fragile states, women’s economic leadership, and within multi-country
programmes. Much of their programme learning is freely available to anyone via the internet, and this
will become increasingly the case as their policy and practice website becomes live in early 2011. For
country programmes and the projects they implement, their formal systems for using learning to
adjust project implementation include mandatory Programme Monitoring Reviews, in which partners
and Oxfam staff meet to reflect upon data gathered through monitoring, analyse what it is saying
about their programme and the context in which it operates, and decide what adjustments
accordingly need to be made to programme strategy. In addition, each year a country programme
must undertake a Country Learning Review in which Oxfam staff, partners and others (government,
donor and other NGO) meet for 2-3 days to ‘drill-down’ on country-based learning on a specific
programme area. Finally, Significant humanitarian responses often conduct ‘Real Time Evaluations’
to identify and rectify issues in the first few weeks of a humanitarian crisis
Transparency & Accountability
Accountability is at the core of Oxfam’s values. Oxfam works to help people in poverty to know and
demand their rights and to hold to account those in power. Oxfam’s accountability is based on four
dimensions: transparency, participation, learning and evaluation, and feedback mechanisms. Oxfam
holds itself primarily accountable to people living in poverty, but takes its accountability to all
stakeholders seriously. Oxfam is at the forefront of efforts to strengthen the accountability of actors in
the development sector. But in calling for greater accountability from others, Oxfam recognises the
need to be accountable itself. It was the first British INGO to produce an annual Accountability
Report, adopting the standards of both the Global Reporting Initiative (GRI) and the INGO
Accountability Charter. In addition to GRI, and the NGO Charter, Oxfam is a full member of the
Humanitarian Accountability Project International (HAPI), and is a signatory to the People in Aid
Code, the InterAction Protocol and the Red Cross Code of Conduct, and has advised the Disasters
Emergency Committee on the development of its own open information policy. Oxfam is fully
supportive of the IATI Accra Statement, and has engaged with IATI as part its own influencing work
on aid effectiveness, and is part of the Open Forum for CSO Development Effectiveness.
Ensuring transparency in governance and programming: Oxfam is committed to being open with its
organisational procedures, structures and processes, providing stakeholders with the information
they require to make informed decisions, and being open with its own decision processes. Oxfam’s
Open Information Policy and Programme Evaluation Policy set out its commitment to make
information about its finances, programmes and other work available to stakeholders. These
commitments are assured through Oxfam’s Complaints Policy and Disclosure of Malpractice in the
Workplace (“whistle-blowing”) policy, which detail mechanisms by which beneficiaries, partners, staff
and other third parties can raise concerns. Systems are in place to ensure that, where breaches are
verified, appropriate corrective action is taken. Following the Haiti earthquake, Oxfam worked in
partnership with local mobile phone companies to run a telephone help-line. Affected people were
able to dial ‘400’ and record their requests for assistance, comments and complaints. Feedback was
then channeled through to the relevant staff, with serious complaints being rapidly escalated through
the management line and subsequently addressed. Complaints about malpractice are taken
particularly seriously. Oxfam has developed a Preventing Sexual Exploitation and Abuse (PSEA)
policy to cover all its operations A 2009-10 UN inter-agency survey on implementation of PSEA
policies found that Oxfam ranked well above average and was outstanding in some areas.
Accountability to beneficiaries and partners: Oxfam holds itself primarily accountable to people living
in poverty, and commits to: Ensuring beneficiaries and partners are knowledgeable about and have
access to all relevant information, in order that they can hold them to account; Ensuring feedback
channels exist so that beneficiaries are increasingly able to give them their views on what they do
and how they do it; Actively seeking out feedback from partners, using this to influence policy and
practice; Encouraging shared decision-making with partners in the design and delivery of
programmes, and enabling beneficiaries to be active in all aspects of its work; Incorporating partner
opinions in MEL activities, and ensuring the active participation of beneficiaries in all MEL initiatives
that seek out and document people’s judgment on their performance.
A ‘three step’ self-assessment framework, conducted with beneficiaries and partners, has been
developed to report against these commitments, and will be rolled out to programme teams over the
coming year. This framework first examines accountability in the context of the relationship with the
partner through a partner survey (step 1). Then, through focus groups and surveys, accountability to
communities is explored (step 2). Finally, lessons are extrapolated and turned into an action plan for
programme managers (step 3).
Going Forward: Oxfam will continue to enhance its accountability in the next 3 years, its key priorities
being to: review its Open Information Policy, finding ways to more proactively make information
available; use the GRI NGO sector supplement to report in 2010/11 and promote use of the GRI
reporting framework in the sector; and, deliver on its commitment to monitor the effectiveness of its
work through global outcome indicators. At a programme level, Oxfam will: continue to roll out the
three step accountability self-assessment framework; research and pilot a beneficiary survey
methodology; adapt and implement Partnership and Accountability standards in Oxfam’s
campaigning; and roll out a set of minimum accountability standards across Oxfam International.
Cross cutting issues (Gender, Climate Change, Conflict and Fragile States)
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Conflict and fragile states: As a leading provider of humanitarian as well as development aid,
much of Oxfam’s work takes place in fragile or conflict-affected states – and in situations of
equally fragile citizenship. In Afghanistan, Oxfam works to support good governance under
the National Solidarity Programme, supporting both locally accountable institutions to provide
basic services and working with communities to increase participation and accountability.
Role of women (Gender): With women’s equality one of Oxfam’s 5 key aims, all Oxfam
programmes are expected to demonstrate how they positively influence development
outcomes for women. Oxfam has a significant portfolio of programmes specifically targeting
women, including a range of projects focused on Women’s Economic Leadership as well as
projects building women’s political empowerment.
Climate change: A key policy priority for Oxfam in the run-up to Copenhagen, Oxfam has a
growing portfolio of projects focused on livelihood adaptation as well as disaster risk
reduction. Oxfam has worked extensively to support the strengthening of southern civil
society voice in climate change negotiations.
Alternative Option 2 (no PPA for Oxfam): Reject Oxfam’s offer
The choice not to provide PPA funding will limit the capacity of Oxfam. The rigorous assessment of
Oxfam’s proposals against the agreed commitment to fund CSOs through PPAs makes a good case
for the fit with Oxfam objectives over that of other CSO PPA applicants.
Summary - Value for Money Justification:
For the reasons summarised below, Option 1 offers good value for money and is proposed for
approval.
The overall theory of change for the PPA investment with Oxfam, is that by providing strategic
support for Oxfam to test and refine its most promising evidence-based development models,
connect this evidence to policy-makers to influence best practices and attract funds from other
donors, and support governments and other agencies to adopt innovative approaches where they
prove relevant and effective, the PPA will leverage the local-level impact of Oxfam’s best initiatives to
influence national and international development policy and effect much wider change in the lives of
poor people. Oxfam’s logframe reflects how the intended activities link to outcomes.
Oxfam’s choices of specific programmes to support and report on under the PPA reflect its areas of
expertise well, and have been carefully assessed by Oxfam as the most promising in relation to
scaling up and learning. The benefits outlined earlier, past evaluations of Oxfam’s work and its broad
reach beyond the scope of programming alone all contribute to a strong case for supporting a PPA
with Oxfam and it providing good VfM.
Oxfam’s approach to change
Oxfam works to overcome poverty and suffering and understands that the core drivers in achieving that aim are
capable, accountable states, and active citizens. At national level, the right state-citizen combination can
ensure inclusive growth, access to essential services and resilience to shocks. International institutions, policies
and financial flows can either facilitate or hinder this process at a national level. At all levels, the private sector
can create inclusive economic growth or entrench existing inequalities. Oxfam has identified their areas of
comparative advantage as:
Working at local, national and global levels
At a local and national level Oxfam acts as a convenor and facilitator, bringing together actors that are not used
to working together, such as the state, civil society and private sector, to identify and implement ways to reduce
poverty. In Ethiopia, for example, Oxfam works with Accenture and a union of coffee co-operatives to improve
their ability to access international markets on more favourable terms. Oxfam invests in innovative approaches
and seeks to highlight successful initiatives, taking these to scale where appropriate, and use the experience to
influence the policies and practices of others to leverage broader change, as with their work in Vietnam on girls’
access to education in ethnic minority groups.
At an international level Oxfam recognises that international institutions, policies and financial flows can either
facilitate or hinder positive change. As part of the Oxfam International confederation, Oxfam uses its unique
global reach (it operates in 17 of the G20 countries) and its ‘insider-outsider’ combination of research, advocacy
and public campaigning, to seek and promote pro-poor development outcomes in areas such as aid, climate
change, access to medicines or arms control.
Working with partners and allies
Oxfam’s preferred modus operandi is to work closely with partners at country level, recognising that this is
essential for building effective, accountable, and sustainable civil society organisations. They also invest in
building relationships with local and national governments, as well as with “non-traditional actors” such as the
private sector.
Oxfam also delivers services in specific contexts, most often humanitarian emergencies when this is judged the
most appropriate form of assistance. In fragile, conflict affected states Oxfam supports state (or other ‘duty
bearers’) capacity building wherever possible. Where this is not possible, Oxfam uses a combination of the
most appropriate humanitarian approaches, ensuring it promotes and develops active citizenship and
opportunities to strengthen local organisations, including governments.
Taking a holistic view of poverty and vulnerability
Oxfam makes best use of its “One Programme Approach”: using humanitarian preparedness and response
tools, long term development initiatives, and policy / campaigning in a coherent way to be mutually reinforcing.
For example, in Northern Kenya and Bangladesh work on building resilience to protect against future shocks in
disaster-prone areas links with long-term livelihoods initiatives and influencing local and national level policy
and practices.
Theories of change for priority thematic areas
The following theories of change provide a more detailed analysis of the change models Oxfam has developed
within its key programmatic areas of work. These areas reflect organisational priorities and Oxfam’s distinctive
competence and comparative advantage. It should be noted that these are generic models capturing broad
strategies, and desired outcomes and impacts. Specific inputs and outputs are defined at a programme and
project level within the country contexts in which they work. Programme strategy at country level is defined in
national strategies, which Oxfam has had in place for each country where it works since 2008. These are now
developed jointly with all of the other Oxfam International affiliates present in each country so that affiliates
have a shared analysis as well as coherent and complementary programming which is aligned with
organisational priorities. Country strategies are the result of participatory planning with staff, partners and
communities, and are informed by detailed situational analysis into the particular challenges and opportunities
facing poor people. Country strategies are expected to outline a clear theory of change, showing what impactlevel and high level outcome-level results Oxfam expect to bring about.
Theory of change for Humanitarian Assistance
Oxfam works to ensure that people affected by conflict and natural hazards are provided with timely,
accountable services that meet established quality standards of Sphere, and the Humanitarian Accountability
Partnership.
They support this outcome by contributing to cost effective, high quality and rapid humanitarian responses. This
is achieved by prioritising the following areas. The first, and increasingly important element, is that both Oxfam
and partner staff possess skills in key areas of humanitarian response, i.e. WASH, emergency shelter,
livelihoods, and protection. This capacity provides the most cost-effective and speedy response when it is a
standing, in-country presence that can be deployed immediately where and when it is needed (e.g., quality
needs assessments will be carried out within 24 hours of the start of rapid onset emergencies). Creating this
capacity means having people within Oxfam and their partners with the skills, knowledge and experience of
responding to humanitarian situations to the established standards. The second element is that Oxfam can
mobilise and efficiently deploy funds to support humanitarian responses. Oxfam’s Catastrophe Fund (resourced
from its unrestricted funds) is a key tool, alongside well-developed fundraising and financial management
strategies which enable Oxfam to recover costs from donor contracts and allow its finite unrestricted funds to
be re-deployed elsewhere. The third element is ensuring that risk assessment, contingency planning, and
humanitarian assistance are coordinated amongst relevant actors. Oxfam will work to promote effective
coordination with other actors, e.g. national government institutions, UN agencies, and other NGOs, to avoid
duplication of effort and ensure that each actor responds on the basis of their comparative advantages. Finally,
Oxfam will work with the UN, host government and other actors to ensure that IDPs, refugees and other
affected persons are protected from armed violence, harassment, gender-based violence and other
infringements of their basic rights.
For larger emergencies, Oxfam will deploy skilled staff to work alongside local Oxfam and partner staff, and will
maintain a readily deployable pool of such staff.
Through innovation (e.g., in urban response), monitoring and evaluation (e.g., real time evaluations),
synthesising and sharing learning with partners and other actors, Oxfam contributes significantly to building
local response capacity, and to improving the quality, speed and cost-efficiency of humanitarian assistance.
Theory of Change for Climate Change Adaptation and Disaster Risk Reduction
Oxfam’s change model for increasing the capacity of households and communities to adapt to climate change
and reduce their vulnerability to shocks employs strategies at community, national and international levels.
At the community level, Oxfam and their partners work with communities to increase understanding around
which of the changes they experience are long-term trends, and the potential risk from shocks. In their
experience, a critical ‘moment’ occurs when communities realise that they can be active protagonists in
responding to trends and risks rather than passive victims of change and events. Participatory assessment and
planning is a key part of this process. Oxfam and their partners support the effective leadership and capacity
within communities, and facilitate and broker the access to rights, services and technology necessary for
vulnerable people to adapt their livelihoods, take risk reduction measures, and manage the natural resources
that underpin their livelihoods and reduce their exposure to risk. Together, these activities result in households
and groups possessing the information and access to resources and services which allow them to make
appropriate decisions on how they should respond to climate change and disaster risk.
At the national level, Oxfam and their partners work with national governments and local government
institutions to build their capacity to understand, assess, plan and implement measures to support vulnerable
people to adapt to climate change and reduce the risk of disasters. Internationally, Oxfam and their wide
network of allies advocate powerfully for adaptation finance, of sufficient quantity and ready availability. With
allies and through networks they also advocate for strengthening of international, national and local systems of
Disaster Risk Reduction associated with the Hyogo Framework for Action. The anticipated outcome of their
local/national and international work with governments is that adequate capacity and resources are available
for government institutions to be able to put the plans, policies and resources in place to support the most
vulnerable people to adapt to climate change, build resilience at community and household level and reduce
the risk of disasters.
Finally, because climate change and its impacts are constantly evolving, they prioritise piloting innovative
interventions, research, monitoring and evaluating the outcomes of their work in this priority area, and
synthesising and communicating learning. Their preference is for evaluation processes that involve all relevant
stakeholders, so that successful interventions are understood, and can be replicated at scale.
Theory of Change for Sustainable Livelihoods
Oxfam will increase the income of women and men living in poverty. Oxfam’s intermediate outcomes for
bringing about this change will be increased resilience of women’s livelihoods, increased agricultural production
in the face of climate change; SMEs and market chains (local, national or international) that drive greater
employment and provide increased income for small producers; and reduced vulnerability of women with
precarious livelihoods in urban areas.
Increasing the resilience, participation and leadership of women, especially in agricultural contexts, will depend
upon women facing fewer barriers to participation in economic activities. Oxfam and their partners will work at
several levels to reduce these barriers, including forming women’s or mixed producer organisations, working
with these organisations and the women in them to ensure that women have the skills to participate and lead,
influencing these organisations and those that they deal with (business and state institutions) on the right (and
advantages) of women to participate in decisions, and working in alliances and with small women producers to
secure the productive assets and the market services they require.
Growing agriculture in the face of climate change will depend on state institutions and companies seeing and
participating in developing and implementing strategies which are helping farmers to adapt to climate change.
This will require input from Oxfam, partners and involved actors (farmers and their organisations, companies
and state institutions) co-developing, piloting, evaluating and communicating strategies for adaptation.
Increasing the capacity of smallholders to work collectively, increasing their access to and control over assets,
and their power in markets, underpin these outcomes.
Achieving Small and Medium Enterprises (SMEs) and market chains that create greater employment and
increased income for small producers depends upon overcoming several critical barriers. Most SMEs with
which Oxfam and their partners work are in reality ‘pre-commercial’ micro-enterprises. Moving them towards
economic sustainability first requires significant input to build technical capacity and business management
skills, with as specific emphasis on how to include women equitably within business models. SMEs also face
the challenge of accessing appropriate finance and Oxfam and their partners will continue to create innovative
financial models to address this ‘missing middle’. Oxfam will also convene and broker market linkages between
local, national and international companies and smallholder producers, supporting the smallholders in being
able to meet demand (quality, quantity, timeliness and reliability) and companies on mechanisms for
incorporating smallholders fairly into their supply chains. Oxfam’s reach is critical in both spotting potential
opportunities and convening the relevant actors.
Finally, mid-term outcome of reducing the vulnerability of women with precarious urban livelihoods will rely
upon Oxfam, their partners and other actors gaining greater understanding of the issues faced by vulnerable
women in urban context and the mechanisms that can reduce this vulnerability. Oxfam will undertake research,
pilot interventions to find and communicate viable solutions.
Theory of Change for Gender Equity
Oxfam will work with partners and allies to empower women economically and politically. Their change model
depends, firstly, on supporting women to gain enhanced skills, negotiating power and leverage, so they are
empowered to claim their rights, and greater control over economic activities and opportunities. This entails
influencing policies and laws and their implementation to give greater protection to and investment in women.
They do this by working with, mobilising and developing the capacity of women’s organisations. It also means
communicating the impact of gender inequality on poverty to development actors (traditional and nontraditional) so that men in particular adopt more equal gender roles and behaviours, and work towards gender
equality in all institutional settings.
Secondly, Oxfam works to change popular attitudes, beliefs and behaviour perceptions with respect to the roles
and value of women, which are key barriers to women’s access to critical decision making processes. This
includes ensuring that fewer women and girls experience gender based violence, by supporting men and
women to recognise that violence against women is unacceptable, and to prevent gender-based violence. It
also includes promoting women being accepted and valued participants in community and economic
institutions, by working with producer organisations, the private sector and governments to promote women’s
rights in their policies and practices.
Theory of Change for Citizen’s Voice and Governance
Oxfam understands that a critical path out of poverty lies in the combination of active citizens and effective,
accountable states. State institutions are more effective at providing services and protecting rights when they
are effectively engaged with, and responsive to, empowered citizens.
A key pre-condition for state-citizen accountability is that citizens can productively interact with state duty
bearers. To achieve this, there are two basic mid-term outcomes that Oxfam and their partners prioritise.
Firstly, too few citizens and the organisations that represent them are aware of the rights that they hold and the
responsibilities of duty bearers to uphold these rights. Oxfam and their partners invest in increasing awareness
of these rights and responsibilities at a grass-roots level. Secondly, the ability of civil society organisations
(CSOs) and community-based organisations (CBOs) to advocate for these rights is often constrained by the
skills, knowledge, and management of these organisations. Oxfam and their partners therefore directly support
organisations in their advocacy for citizen’s engagement in decision-making, supporting their organisational
development, and facilitate linkages between organisations, which allows learning to be shared and a more
cohesive and powerful voice advocating for citizen’s rights to be created. In the coming period, a particular
emphasis on this strand of work will be in fragile and conflict-affected states.
However, empowered and active citizens and their organisations are only one side of the equation: it is also
necessary for the state and other duty bearers to be open to engagement. The third area that Oxfam, their
allies and partners invest in is creating the ‘space’ for citizen’s voice within decision-making processes. This
entails facilitating dialogue between the different actors (right’s holders and duty-bearers), raising awareness
and capacity of duty bearers on how to engage with citizen’s voice. Finally, they are able to bring pressure to
bear on the state, nationally and sometimes internationally, when citizen’s rights are abused or ignored.
Theory of Change for Public Policy Influencing
Oxfam contributes to critical policy changes at the international and national levels, where such policy change
can bring about the alleviation of poverty and suffering. The first link in the impact chain is to ensure that there
is an increased and increasingly visible constituency of support for policy change on particular issues. This in
turn relies on three critical intermediate outcomes. Firstly, there should be a broad, capable and coherent
alliance for change. To this end, Oxfam convenes, facilitates and participates in the creation and working of
alliances nationally and internationally. Examples of such coalition-building include Oxfam’s work on early
marriage in Yemen and its work alongside DFID to build multi-national support for an international treaty to
regulate the arms trade. Secondly, publics need to be aware of, and take actions about the targeted issues.
Oxfam, their allies and partners work to create visible public action (conventional and digital) around specific
policy issues at key moments (such as G8 and G20 meetings). Thirdly, and in support of the preceding
elements, Oxfam invests significant resources in ensuring that issues gain coverage via conventional and new
media.
The second condition required for pro-poor and gender equitable policy change to occur is that policy-makers
have a clear understanding of the implications of policy on people living in poverty and are exposed to possible
solutions. For this to occur, decision makers have to engage directly on the issue. Oxfam and their partners
may negotiate and lobby directly with relevant decision-makers (e.g., state institutions or companies). They
support such advocacy by commissioning credible research and policy analysis which exposes bad practice
and vested interests and provides clear, pro-poor, evidence-based demands and solutions.
Both DFID and Oxfam want to ensure that these results are delivered in the most cost-effective way
and represent value for money. Oxfam have already worked with Coffey International Development
to design a logframe that includes baselines, milestones and targets for the PPA period. This will be
used to track performance, to which future funding instalments are linked, and ensure that the
stipulated results will be delivered.
Coffey International Development are acting as the Evaluation Manager for the PPA and continue to
ensure robust and independent evaluation is applied - developing evaluation strategies and
implementation plans. The Evaluation Manager will also provide six-monthly reports to DFID on the
performance of the contract and the evaluation function.
The Evaluation Manager will advise Oxfam on how to generate usable data on costs, benefits,
success rates and lessons learned to make sure the approach delivers increasing value for money.
In the past there has been a lack of data on the costs and benefits of civil society intervention, both
absolutely and relative to alternatives. The approach to evaluation and driving value for money taken
in this PPA provides an excellent opportunity to analyse and ensure the increasing cost-effectiveness
of civil society programming, whilst making sure that the evaluation process itself is proportionate to
the value of the grant funding provided.
In addition, due diligence checks have been carried out on Oxfam. DFID is confident that in addition to
yielding results on the ground, Oxfam has strong and efficient mechanisms in place for monitoring and
evaluating its work, focusing on results and delivery, and ensuring good Value for Money and transparency in
all decision making. Due diligence checks help to show how each organisation is approaching value
for money.
Through performance monitoring, DFID will assess that Oxfam’s organisational systems are used to
deliver value for money of the PPA investment (see next section). DFID will emphasise the
importance of learning lessons and disseminating these more widely through the partnership to
reflect innovative programming aspects of Oxfam’s approach. Oxfam’s efforts to share learning would
benefit from regularly assessing impact on its and partners’ work. DFID will encourage this through
its learning and management support to PPA partners.
In addition we are also supporting Bond’s Effectiveness Programme which will have a major focus on
improving value for money within UK CSOs.
Cost:
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2011/12
2012/13
2013/14
£11,171,035
£11,171,035 (provisional)
£11,171,035 (provisional)
C. Measures to be used or developed to assess value for money
Value for Money
The PPA mechanism is efficient, as set out in previous sections (administratively efficient 0.2%
pooled resources on monitoring and evaluations, outreach, scaling up etc).
Oxfam as an institution has its own systems in place to ensure value for money. Oxfam is committed
to achieving the greatest impact with the fewest resources: running itself as a business with effective
and appropriate controls and processes for spend and procurement, and undertaking value for
money analysis, identifying and replicating best practice in the process. It does so through best
practices in the following areas:
Controlling administrative expenditure: Oxfam invests significantly in support functions to enable
more effective and accountable delivery of results. Oxfam’s ratio of administrative to programme
expenditure has fallen to just over 9% in 2009/10, compared to 11% in 2007/08. This ratio is
reviewed as part of the annual planning process. Periodically, Oxfam undertakes more fundamental
reviews of its support structures with the aim of improving effectiveness and efficiency. For example,
in 2008 Oxfam embarked on ‘Fit for the Future’, an initiative taken in early response to the global
economic crisis, with the key aim to protect field activities, while ensuring support functions were
made as lean as possible. Some 128 posts were cut both in the UK Head Office and the Regional
Management Centres, representing about 12% of headcount, and leading to savings of around £3m
per year.
Cost effective programming: Oxfam’s programme planning and implementation processes work to
assess and optimise the ratio between projects’ estimated costs and their expected results, and to
assess whether expenditure is necessary for successful implementation. Oxfam’s corporate
tendering and procurement processes are more exhaustive than those expected by many institutional
donors. The EU’s tendering guidelines for development programmes require three quotes for
purchases of goods with value of between €10,000 and €60,000 (£8,700 & £52,300), whereas
Oxfam’s rules insist that four quotes are required for purchases up between £5,000 and £20,000. On
completion, programme evaluations return to the question of whether the ratio between costs and
results was satisfactory, adapting (or developing) methods to assess the cost effectiveness and/ or
cost efficiency of their programme as appropriate. The Basic Efficiency Resource (BER) model,
which draws on quadrant analysis and social return on investment, was developed for the evaluation
of OGB’s Climate Change Campaign in 2010, to consider the question of cost efficiency, and assess
the unique contributions of numerous interrelated intervention units to its overall success.
Looking forward: As part of its Global Performance Framework, Oxfam is developing metrics to
allow it to assess and compare value for money of different project interventions. Collecting and
comparing this data during Project Effectiveness Audits will enable Oxfam to show how efficiently
project inputs generate outputs and outcomes, lessons that help improve project design.
Value for money in procurement of goods and services: Oxfam has recently helped develop the
HELIOS system (supported by DFID) to improve its procurement processes, enabling it to track
supply requirements for a project, which are then met from existing stock or through procurement.
This results in reduced wastage of stock and more efficient and transparent purchasing. HELIOS is
being rolled out across Oxfam with a completion date of September 2011.
Financial systems: Oxfam uses PeopleSoft, an internet-based system, enabling central monitoring
of overseas activities in close-to real-time. PeopleSoft’s finance module contains the General Ledger
and Accounts Receivable. People soft drives Oxfam’s programming database (OPAL) and donor
contract management database (CRIMSON), all of which are linked and available worldwide, giving
Oxfam an integrated system that promotes efficiency and maximises knowledge management.
Audit: Oxfam’s organisational external auditors are Price Waterhouse Coopers, and also have an inhouse Internal Audit team of 20 that reviews all operations in the UK and overseas, providing support
in loss prevention. Many of these audits lead to tangible recommendations on savings and efficiency.
Future efficiencies: In addition to the further development of the metrics and other systems, Oxfam
GB, through Oxfam International, will be rationalising how it manages its international programme.
Developing countries where there are multiple Oxfam International Affiliates present will be integrated
to reduce costs. Reducing the number of offices and staff in each country will make savings, which
will in turn be used to enhance the reach and quality of Oxfam’s programmes. Further savings will be
made as Oxfam expands into digital practice; making use of online learning platforms (e.g.
Elluminate) reduces travel costs, with a positive impact both on both spend and carbon footprint.
Details on procurement can be found in the following section.
At the 18 months point of the PPA with Oxfam, an external mid term evaluation will be carried out. It
will be reviewed by DFID’s external evaluation managers and used as the basis upon which to decide
future funding allocation. The Value for Money of the PPA with Oxfam for DFID will be reassessed
and performance related funding released accordingly.
Commercial Case
Indirect procurement
A. Choice of funding mechanism that demonstrates value for money through
procurement
As part of the application process for a Programme Partnership Arrangement (PPA) all applicants
were asked to provide evidence to show how they ensured value for money in their day to day
operations. Using a pre-determined scoring system each applicant was marked between 1 and 4
(with 4 being the strongest scoring) for the response they provided. Each was asked to provide
concrete examples to support the narrative provided. This score was then added to scores
allocated to other issues such as transparency and accountability and results delivery. These
scores were then added together to provide an overall score for the applicant and a decision
taken on PPA partners based on this overall score and the level of funding calculated using the
scores.
All of the successful applicants for PPA had to be able not only to describe how they achieved
value for money but also to say how they would achieve further value for money savings over the
lifetime of the PPA funding.
Each PPA partner was asked to complete a Procurement Questionnaire which posed a wide
range of questions aimed at giving a detailed overview of each organisation’s procurement
practises and policies. This completed questionnaire was forwarded to KPMG who were
contracted to undertake a Due Diligence check of all successful PPA partners.
The reports which KPMG produced focused on each PPA partners Internal Governance, their
Financial Management and other areas and included a substantial section entitled ‘Value for
money and procurement capacity and effectiveness’. This section described each PPA partner’s
primary measures of value for money and its baseline procurement capacity in relation to its
organisation. The section tabled the PPA partner’s Primary Objectives, Key performance
indicators, set a baseline for performance for the start of the PPA and set targets for
improvements over the lifetime of the PPA.
Each PPA partner, once finalised, was issued with a Memorandum of Understanding (MOU)
which laid out the generic terms and conditions of the PPA support but also included any specific
conditions which arose as a result of the Due Diligence checks. All of these conditions were
allocated timescales within which agreed improvements had to be made.
Only if we were confident that the PPA holder either already had the relevant processes,
systems, staffing and practices in place to deliver value for money or had agreed to timed
conditions relating to improvements in these areas, would we agree to continue with PPA funding.
Section B: Value for Money through Procurement
The Procurement Questionnaire and the Due Diligence check undertaken by KPMG have shown
that Oxfam does go to some lengths to ensure procurement procedures follow best practice
around authorisation levels, full tenders and preferred supplier lists.
Description of Primary
Objectives
Key Performance
Indicators
Baseline at
start of the
proposed grant
Targets and dates
To ensure that the
organisation utilises the
resources on hand to
achieve outcomes in the
most effective and
efficient manner through
use of limited resources.
Internal audit
assessments and
Partner reviews test the
consistent application of
procurement policies
throughout the global
organisation.
Non Pay
estimate in the
International
Division is 35%
of total spend.
The Grantee aims to develop
a globally utilised
Procurement system over the
course of 2013.
This system will allow for
consistency in application of
procurement policies. It will
also allow for a more
substantial review by regional
and UK bodies for costs
incurred to demonstrate
value for money.
1. Oxfam appears to hold value for money as a core factor in its activities. They will aim to
balance sourcing locally to boost the target economies against any potential economic
benefits to be gained from purchasing in bulk.
2. Visits by a variety of Head Office staff, Donor Audits, International body audits and local
regional reviews are all utilised to analyse expenditure in relation to donations and grants,
ensuring that any expenditures outside of the norm are reviewed and supported
throughout the process.
3. They have a globally recognised brand and network and will aim to continue to build on
this reputation by continually reviewing value for money to ensure that maximum
monetary and non monetary benefits are obtained through the utilisation of limited
resources.
4. Standardised policies are documented throughout the organisation with the aim of
ensuring value for money is wholly ingrained throughout the Charity. The Governance at
the organization appears robust and as a body, leadership appears to be aware of public
focus on overhead costs – in the past year, they haves undertaken a cost saving exercise
to ensure a more efficient organisation. Internal reviews have highlighted that support
costs (11% of funds received) are close to the generic recommended level suggested by
DFID.
Financial Case (General PPA)
A. How much will it cost?
The overall PPA budget for the three year period beginning 1 April 2011 has been set at £120m per
financial year (April to March). Of this amount £20m has been ring-fenced for applicants requesting
support under our Humanitarian and Conflict criteria with the balance of £100m per year available to
support CSOs active in any other area of the development arena.
Approval for this overall funding allocation was agreed at ministerial level following a submission to
Ministers on the future of strategic level unrestricted support to CSOs.
To set appropriate funding levels, the Resource Allocation Model (RAM) took account of the size of
the successful CSO (in terms of annual income) as well as the scores allocated to produce a final
breakdown of the PPA budget amongst all successful applicants.
In the case of Oxfam the RAM produced a proposed PPA funding level of:
 2011/12
£11,171,035
 2012/13
£11,171,035 (provisional)
 2013/14
£11,171,035 (provisional)
The level of funding for year one is set but the exact funding level for years two and three will be
dependant on the outcome of an independent evaluation of Oxfam PPA after 18 months.
B. How it will be funded: capital/programme/admin
All of the funding for the PPAs will be paid from programme funds.
Over the three year period of PPAs £300m will be paid from Civil Society managed programme funds
with a further £60m paid from CHASE managed programme funds.
C. How funds will be paid out
All of the PPA holders are civil society organisations who do not, as a matter of course, hold large
reserves of funding. To address this issue DFID has secured Treasury approval to pay CSOs in
advance for up to three months. In order to receive this advance payment approval all PPA holders
will be required to, when returning their signed Memorandum of Understanding, request that they be
paid in advance and explain why an advance payment in necessary.
All PPA holders who provide this request and justification for advance payment will be paid quarterly
(in advance) on receipt of a signed request for release of PPA support. Those not requesting
advance payment or providing no supportable justification for such a payment will be paid quarterly
in arrears.
All payments will be made by the Civil Society Department.
D. How expenditure will be monitored, reported, and accounted for
The funding provided through PPA is unrestricted. This means that when we transfer the funds to
the PPA holder they are free to use them for any purpose in support of their objectives. As a result
we do not ask them to say where the funds were actually used nor are we able to trace them through
their accounting system.
However, we do ask that the PPA holder provide us with a copy of their certified Annual Audited
Accounts (AAA) and that they clearly show the PPA funding as a distinct line of income.
We also hold the right, at any time, to access the PPA holder’s financial records through either our
own Internal Audit team or the National Audit Office (NAO).
Oxfam PPA will follow these same arrangements.
Management Case
A. Oversight
Before entering any formal agreement with Oxfam, DFID carried out a full due diligence check to
ensure that Oxfam has both the systems and process and staffing at an appropriate level to
successfully manage the funding being provided.
The PPA Manager, within DFID’s Civil Society Department, retains oversight of all PPA partnerships
within DFID.
DFID contracted an external evaluation manager to work with all PPA holders to ensure robust
logframes, which have achievable outcomes, realistic and measurable milestones and sensible
baselines against which progress can be measured. A logframe has been produced for the Oxfam
PPA covering the full 3 year period and can be found with other published documents on DFID’s
website.
B. Management
Within DFID, Civil Society Department (CSD) will be responsible for the day to day management of
this partnership with Oxfam. More specifically it will be the Relationship Managers within the CSD
team who will have lead responsibility.
The relationship manager will work closely with Oxfam, to ensure that it is given support to achieve
the agreed outcomes and to act as a broker to help foster relations between Oxfam and any relevant
DFID country offices and policy teams. The relationship manager will be responsible for ensuring the
terms and conditions as laid down in Oxfam PPA Memorandum of Understanding (MOU) are
adhered to by both partners.
The MOU is the official signed document which lays down the terms and conditions which govern
DFID PPA support to Oxfam. The MOU covers all areas of the partnership including details on
payment processes, audit requirements, financial commitments and fraud.
In order to maximise learning and knowledge from the PPA partners, Civil Society Department has
allocated one member of staff the role of Learning and Knowledge Adviser for the PPA portfolio.
Through this role the Adviser will work closely with all PPA partners in order to ensure that lesson
learning is shared widely amongst the PPA portfolio of partners, wider civil society and across DFID.
C. Monitoring and Evaluation
The monitoring strategy for each PPA grantee is individually designed (underway) as a response to
their specific logframe requirements for indicator evidence collection.
Monitoring and Evaluation will be integrated into PPA partners’ approach to managing the funding
they receive through the PPA mechanism. There is a strong onus on each PPA to develop a Results
Framework which will allow for a transparent evidence-based assessment of the results and value for
money achieved through the grant they receive. An externally contracted Evaluation Manager has
been put in place to ensure that the monitoring and evaluation strategies adopted by the
organisations are adequate for providing such information and to allow for an overarching fund-level
evaluation to take place.
A Results Framework has been designed by Oxfam, including a comprehensive logframe, which will
be assessed against the theory of change and throughout the evaluation cycle. To date, the
evaluation manager has assessed the logframe of Oxfam. Specific technical advice and guidance
has been provided to Oxfam with a view to strengthen the framework in so far as possible.
Oxfam logframe will provide the core framework for monitoring progress against the planned results
for the grant. A baseline will be collected for each indicator articulated in the logframe (at the latest
baseline information will be included 3 months after funding has been agreed, unless otherwise
agreed). This will articulate, either qualitatively or quantitatively, the situation at the outset in the
areas in which Oxfam proposes to use PPA funding. For advocacy work it is likely that the indicators
and baseline information will be qualitative and provide descriptions of current knowledge,
awareness, understand, attitudes and behaviours.
Monitoring information will be collected regularly by Oxfam and updated on an Annual basis; it will
also be disaggregated by gender where appropriate.
Oxfam will commission independent mid-term and final evaluations of its PPA spend. A template
Terms of reference for the mid-term and final evaluations will be developed by the Evaluation
Manager for the Fund and agreed by DFID. These independent reviews will form an evidence base
for the mid-term and final evaluations of the PPA fund as a whole. The evaluation will use the
milestones and proposed outcomes within the agreed Oxfam PPA logframe to measure success.
Indicatively the mid-term and final evaluation focus will be to undertake an overall assessment of
Oxfam’s progress towards Outputs, Outcomes and Impact (where data is available). They will also
seek to make an assessment of the effectiveness and efficiency of delivery, the Value for Money, test
the theory of change and identify key lessons learnt and applied.
D. Risk Assessment
Risks have been preliminarily assessed, and mitigation will be further addressed throughout logframe
development. As they stand, risks to the programme appear manageable.
Risks identified to the CSH element of the PPA include:
 humanitarian emergencies over the key period do not present good opportunities for testing
tools;
 relationships with key government and other stakeholders decline, key agents for change do
not remain receptive and accessible, or insufficient, appropriate civil society partnerships can
be identified and sustained;
 insufficient political space exists at national/international level and potential coalition partners
do not remain engaged/interested;
 political and security conditions do not remain conducive to Oxfam's work;
 a lack of demand for guide from humanitarian practitioners;
 environmental factors affect data collection; and
 being unable to recruit appropriate staff.
Better Aid – Civil Society and Aid Effectiveness (2009) OECD, p 151
Committee of Public Accounts – HC 64 – 22 March 2007
iii
ibid.
iv
REVIEW OF DFID SUPPORT FOR CIVIL SOCIETY- Paper to DFID Development Committee, London (March 2010),
Andrea Ledward, Roy Trivedy
v
REVIEW OF DFID SUPPORT FOR CIVIL SOCIETY- Paper to DFID Development Committee, London (March 2010), Andrea
Ledward, Roy Trivedy
vi
REVIEW OF DFID SUPPORT FOR CIVIL SOCIETY- Paper to DFID Development Committee, London (March 2010),
Andrea Ledward, Roy Trivedy
vii
Supporting results, value for Money and Transparency: DFID’s work with Civil Society, Presentation to Funding the Future,
London (March 2011) Nick Dyer, Director of Policy DFID
viii
PPA Meta-evaluation, London (January 2010), Neil MacDonald
i
ii
ix
All references in box from Oxfam additional info , Feb. 2011