Improving Project Implementation
A Joint Presentation by
Devesh Mishra and Henry Kerali
January 2010
Background & Objectives
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Follow-up to ECA RMT Retreat of July 8-9, 2009
Delivering better services to the Client and finding
innovative ways of meeting Client demand
Working better as a task team on project implementation
and procurement
Increasing our internal fiduciary capacity with the right
control
Increasing procurement capacity of the Client
Working better with donors on project preparation and
implementation
Responding to the crisis and improving disbursement and
results on the ground
Actions Taken Since July 2009
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Consultations with ECA staff in HD, SD and procurement and
their feedback obtained
Discussions held with Chief Procurement Policy Officer of the
Bank, Procurement Manager of LAC
Issues discussed with few country units and sectors to get
feedback and way forward (Example: HD, ECCU1, ECCU3,
ECCU8)
Existing Procedures and Practices
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Existing OP11.0/BP11.0 on Procurement (under revision)
ECA VP Regional Procurement Management Guidelines of
May 02, 2003
ECA Regional Guidelines on Integration of FM and
Procurement Staff in project teams (December 11, 2003)
Agreement with European Commission on key differences
in EC and Bank procurement procedures (April 2005)
A best practice review of procurement, FM and QA in the
six regions of the Bank (ECSPS report of January 2006)
Use of Country System in Bank funded operations (June
2008)
Details available on Procurement websites of OPCS and of
ECA Procurement
Feedback and Voices
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Need to understand the capacity and control environment
in different Regions: Russia and Kazakhstan are different
from Brazil and Mexico
Same policies and practices in all regions
LAC places emphasis on:
 good communication between the procurement and country
units; and
 dissemination of good practices and customizing AAA services
for MICs
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But, new control environment in the Bank: Sanctions
Regime, Volcker Panel, IDA-14 Control Review
Effects of Albania and India DIR: “extra” due diligence
Feedback and Voices (contd.)
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Put our clients/customers first–Apply procurement
guidelines and procedures to the benefit of our Client
Bank task teams work better when procurement staff is
well integrated in the team
Work overload: staff hiring to be expedited (use 3-5-7 GG
rotation as well) and experienced international staff to be
field-based
Our Clients say that “the Bank is too slow”–in certain cases
reviews take longer than business standard due to:
 Weak client capacity and therefore poor documentation;
 Inadequate project preparation;
 Client insists on award of contract to unqualified firms
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Feedback and Voices (contd.)
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Examples from ECCU3 (Azerbaijan portfolio review of
October 2009)
With few outliers, procurement response time is within
business standards–but we also need to monitor overall
turn-round times
Long project durations from the identification (design) to
the end (contract completion) with several changes in Bank
staff.
Is this the intended purpose of a
4-lane highway (in South Asia)?
Feedback and Voices (contd.)
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Bring services closer to the Client—decentralization: It has
been observed that fewer issues arise from projects in
countries with field-based PAS. This is a clear sign that
taking procurement reviews closer to the Client has
positive outcomes. Good examples:
 Central Asia Team
 South Caucasus team
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Increase threshold for prior review for faster response
Feedback and Voices (contd.)
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More delegation to TTLs or more procurement
accreditation to TTLs (with agreed framework for RPM
review)
Some TTLs are not experienced and there are
“experienced’” TTLs who ask for exceptions all the time
Technical capacity lacking in some cases; power engineers,
equipment specialists, bridge engineers
In few cases TTLs and Procurement Specialist do not talk
with the same voice to the client
Areas of Improvement and Next Steps
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Better Integration of procurement staff into the task team:
a challenge for managers
Building client capacity at the project preparation stage, in
particular of the key members of the client’s project team
Meeting service standards and avoid “churning”; monitor
overall turn-round time
Manage client expectation upfront and explain how the
review process works and to factor the time in our
procurement plan
To say “Yes” or “No” with speed and clarity
Areas of Improvement and Next Steps
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Tighter joint monitoring of procurement and
implementation
For several projects, procurement staff had zero
interaction with the Client and they never went on a
supervision mission – if this due to budget constraints?
Regular meeting with the Client – a structured approach
that made a real difference in Russia
Active use of procurement plans: to be used as a tool of
project implementation
Statistics on response time to be kept and disseminated
Areas of Improvement and Next Steps
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Fiduciary training of TTLs: minimum two day training and
ensure that all TTLs have taken this training
More training of Borrower staff in early stages of project
preparation based on real case studies
Intensive six week training by RPM office to field-based
procurement assistants and analyst should continue
Sharing of information on INT investigations to task teams
and country units
Areas of Improvement and Next Steps
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Expedite use of Country Systems with more Risk based
reviews of procurement tasks within a project
Good examples: Poland Odra river, Renewable Energy II in
Turkey
The report of January 2006 on the best practice review of
procurement and financial management concluded that
ECA is at the top of the game in terms of volume of work
and quality of results (based on comparative data)
Need to review and benchmark with other region
Hold briefing sessions with TTLs and project teams to
disseminate the findings( including Ten Do’s and Don’ts to
Improve Effectiveness of Task Teams)
Ten Do’s and Don’ts to Improve
Effectiveness of Task Teams
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Involve procurement staff in the project team prior to the
Project Concept (PCN) stage
Give priority to the needs of the Client - take stock of
project implementation and procurement capacity at preappraisal and identify steps to mitigate any lack of
Borrower capacity
Use the procurement plan as a tool for project
implementation and monitoring disbursement progress
Have an agreement among the team members on issues
and rules of engagement (e.g. response times) before
conveying these to the Client
TTLs should be the focal point and voice for any
interaction with the Client
Ten Do’s and Don’ts to Improve
Effectiveness of Task Teams
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Teams should not commit to procurement decisions during missions
without clearing this with the relevant procurement authority (PAS,
RPM or OPRC)
Teams should take joint responsibility for project decisions and should
not pass the blame on to individual team members. Refer matters to
your manager and to the RPM if there are differences of opinion
within teams
Do not criticize the Bank’s procurement policy and procedures to the
Client. We all belong to the same Bank.
Bring issues on Conflict of Interest or Fraud and Corruption quickly to
the attention of Sector and Country Managers and the respective
Country Directors
Pay attention to "Readiness for Implementation" during preparation.
An early start of the procurement process prior to effectiveness will
build the capacity of the Borrower and expedite project
implementation
Procurement is an integral part of the project
implementation team - work with the client to achieve
results on the ground
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We are in the same boat with the client and let us work
with a renewed relationship and vigor
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And share the joy of winning
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