Overview Module 3 Project FormulationPreparation Sidaroth KONG September

Overview Module 3: Project Formulation/Preparation Sidaroth KONG; September 2016

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 2

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 3

1. What is Project Formulation/Preparation (PFP)? Project Formulation/Preparation (PFP) is the second phase of Project Cycle Management (PCM), which covers: v The scoping and exploring possibilities define broad parameters of project and provide the foundation for subsequent analysis. A clear scope sets boundaries for what the project will attempt to do. 4

1. What is Project Formulation/Preparation (PFP)? v The risk assessment and management identify what are potential risks and obstacles the project will likely encounter and how to manage them. v The objective analysis facilitates the systematic identification and prioritization of objectives and opportunities in a hierarchy or relationship of means-ends. 5

1. What is Project Formulation/Preparation (PFP)? v The planning and organizing of project framework in the Logframe through the analysis of inputs, activities, results, purpose or outcome, and overall objective or goal as a result of strategy analysis and selection. v The communication plan which describes how the project team is going to effectively communicate with each other within the project and to those who engage with the project externally. 6

1. What is Project Formulation/Preparation (PFP)? v The monitoring and evaluation plan which develops a clear plan for monitoring and evaluation. v The work plan and budget plan which lay out detailed arrangements for technical and operational aspects of project implementation such as the scheduling of project activities and budget planning. v The consolidation of the above results into a complete project document namely a project proposal which is used to communicate with stakeholders and potential donors. 7

1. What is Project Formulation/Preparation (PFP)? Scoping the Project and Explore Possibilities Communication Plan Formulation of Monitoring and Evaluation Plan Risk Assessment and Management Logframe Work Plan and Budget Plan Objective Tree Analysis Project Strategy and Goal Elements of Project Proposal 8

2. Why is PFP Important in Project Cycle Management (PCM) v According to Project Cycle Management, PFP is the second phase after the Problem/Project Identification (PPI) phase. v This phase uses results of analysis – project viability, context, stakeholders, and identified problems – from the PPI as inputs for the next analysis in order to create a coherent and convincing project proposal and to outline necessary plans for the Project Implementation phase. 9

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 10

2. Why is PFP Important in Project Cycle Management (PCM) The importance of PFP to PCM includes v Set a strong foundation for the implementation phase through systematic and comprehensive analysis. v Formulate a project that is capable of achieving its intended purpose/objective, of addressing identified problems, of managing potential risks, of designing activities and realistic time frame. v Maintain effective communication with internal and external stakeholders. 11

2. Why is PFP Important in Project Cycle Management (PCM) The importance of PFP to PCM includes v Provide an estimate project cost. v Prepare the project for monitoring and evaluation which is vital in assessing change or impacts of the project at local and national level. v Develop a strong project proposal through incorporating the principles of relevant techniques, tools and contexts. 12

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 13

3. How to Ensure Obtaining Effective PFP? v PFP uses information or analysis results obtained from Problem/Project Identification (PPI) phase such as project viability, situation or context, stakeholders, and identified problems. v In addition to that, majority of information in PFP is generated from discussion or meetings with project team and stakeholders. It is important, therefore, to maintain effective and two-way communication with them in order to obtain necessary information or ideas or cooperation for relevant analysis of PFP. 14

3. How to Ensure Obtaining Effective PFP? v A good analysis normally requires enough time and the process is highly iterative. That is why going back to a previous questioning or analysis step reveals necessary most of the time. v Although analysis in PFP can rely a lot on stakeholder consultation or participation, the analysis should be evidence based – using observed or documented facts. 15

3. How to Ensure Obtaining Effective PFP? In some cases, the project team can consult more information, secondary data, obtained from original and reliable sources in electronic/printing format: v Improving the understanding on how to use relevant techniques and tools. v Looking for examples on how various techniques or tools are used, in similar areas, to formulate and prepare their projects. v Looking for opportunities for funding or calls for proposal or potential donors. 16

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 17

4. Objectives of the Module v Participants understand the importance of PFP in Project Cycle Management. v Participants understand in depth how various techniques and tools are used in: v v v scoping the project and explore the possibilities assessing and managing risks analyzing objective tree forming and selecting project strategy and goal developing Logframe 18

4. Objectives of the Module v v Participants understand in depth how various techniques and tools are used in: v developing communication plan v formulating of monitoring and evaluation plan v developing work plan and budget plan v examining elements of project proposal. Participants are able to conceptualize and apply these techniques and tools in formulating and preparing a project. 19

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 20

5. Contents of the Module Scoping the Project and Explore the Possibilities Scoping v What is project scoping? v How important is project scoping? v How to conduct project scoping? v Recommended tools for project scoping 21

5. Contents of the Module Scoping the Project and Explore the Possibilities Exploring the possibilities v What is the exploring possibilities? v How important is exploring possibilities v How to conduct exploring possibilities? v Recommended tools for exploring possibilities 22

5. Contents of the Module Risk Assessment and Management v v What is risk assessment and management? Why the risk assessment and management is important in PFP? How to conduct risk assessment & management? Recommended tools to be used in risk assessment 23

5. Contents of the Module Objective Tree Analysis v v What is an Objective Tree Analysis? Reformulating problem statements into objective statements Steps in formulating an Objective Tree Examples of Objective Tree 24

5. Contents of the Module Project Strategy and Goal v v Analysis of project strategy Criteria for choosing a project strategy Examples of project strategy selection SMART goal 25

5. Contents of the Module Logframe v v What is Logframe? Why Logframe is important for PFP? How to develop Logframe? Recommended formats and tools for Logframe 26

5. Contents of the Module Communication Plan v v v What is communication plan Why communication plan is important? How to develop communication plan? 27

5. Contents of the Module Formulation of Monitoring and Evaluation Plan v v v What formulating M&E plan is? Why is it important formulating M&E plan? How to formulate M&E plan? 28

5. Contents of the Module Work Plan and Budget Plan v v v What is a work plan? What types of work plan and its elements? Benefit of work plan Examples of different work plan formats What is a budget plan? How to develop a budget plan? 29

5. Contents of the Module Elements of Project Proposal v v v What are elements of project proposal? Why is it important to know about the elements of project proposal? How to develop a project proposal? Project proposal checklist Planning for project report 30

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 31

6. Recommended Techniques and Tools to Be Used in the Module The following techniques, and their tools, are recommended to be used in PFP: v Scoping the Project and Explore the Possibilities v v Tools: project scoping framework, expectations and alignment analysis framework, exploring possibilities framework, possibilities identification framework Risk Assessment and Management v Tools: risk analysis matrix, risk analysis and management framework, and risk management plan. 32

6. Recommended Techniques and Tools to Be Used in the Module The following techniques, and their tools, are recommended to be used in PFP: v Objective Tree analysis v v Project Strategy and Goal v v Tool: objective tree Logframe v Tools: Problem Tree and Objective Tree 33

6. Recommended Techniques and Tools to Be Used in the Module The following techniques, and their tools, are recommended to be used in PFP: v Communication Plan v v v Formulation of Monitoring and Evaluation plan Work Plan and Budget plan v v Tools: communication analysis, communication activity, communication budget and communication monitoring. Tools: work plan and budget plan Elements of Project Proposal 34

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 35

7. Reviewing Summary Report and Prioritized Problems from PPI v The results of analysis in Problem/Project Identification (PPI) allow the project team to see viability or alternatives of a project, to understand national and local situation around which a project evolves, to examine involvement or influences or interests of varying stakeholders, and to appropriately select a main problem and its sub problems. v These results are inevitable inputs for subsequent analysis in PFP in which we will scope and explore possibilities of the project, analyze and manage risks, turn problems into objectives, select strategy and formulate project goal, develop a logical framework matrix (Logframe) and other relevant plans in order to create a coherent and convincing project proposal. 36

7. Reviewing Summary Report and Prioritized Problems from PPI The information obtained in PPI that is useful for PFP is: v Potential geographic areas of a project. v Understand the context, demography and situation of those geographic areas. v Enabling factors that can contribute to the success of a project. v Existing strengths of a project that can be used to address the problem. v Opportunities to improve a project. v Stakeholders who have interests in and influence the project. v Identified main problem, including its causes and effects. 37

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 38

8. Module Pre-Test and Post-Test v The pre-test is a test that will assess the existing knowledge of participants at the beginning of the training. v The post-test is a test that will assess the knowledge that participants will have acquired after the training. 39

Contents 1. 2. 3. 4. 5. 6. 7. 8. 9. What is Project Formulation/Preparation (PFP)? Why is PFP important in Project Cycle Management (PCM)? How to ensure obtaining effective PFP? Objectives of the module Contents of the module Recommended techniques and tools to be used in the module Reviewing summary report and prioritized problems from PPI Module Pre-Test and Post-Test Conclusion 40

9. Conclusion Scoping the Project and Explore the Possibilities v Defining broad parameters of a project that provide the foundation for subsequent steps or analysis, and setting approximate boundaries for what the project will attempt to do. v Defining what resources will need to be mobilized: staff, equipment and materials, information technology, local documents, and finance. v Designing a project framework that responds to particular problem with clear objectives, expected results and activities. 41

9. Conclusion Scoping the Project and Explore the Possibilities There are two main purposes of conducting project scooping and explore possibilities: v When there is a need to respond to particular funding opportunities or call for proposals from donors. v When there is a need to explore more possibilities that can be aligned with key priorities of donors’ areas of work. 42

9. Conclusion Risk Assessment and Management v Identify all potential risks that will negatively impact project implementation. v Analyze the level of each risk and its effect on the project. v Identify what to do in order to manage those risks in a risk management plan. 43

9. Conclusion Objective Tree Analysis v Before being able to work an Objective Tree, we need to have a Problem Tree and problem statements from Problem/Project Implementation phase. v The analysis of Objective Tree is important for a number of reasons: v Reformulate problem statements into objective statements. v Verify the hierarchy of objectives. v Illustrate the means-ends relationships in a diagram. 44

9. Conclusion Objective Tree Analysis v Once complete, the objective tree provides a summary picture of the desired future situation. v As with the problem tree, the objective tree should provide a simplified but robust summary of reality. It is a tool to aid analysis and presentation of ideas. v Its main strength is that it keeps the analysis of potential project objectives firmly based on addressing a range of clearly identified priority problems. 45

9. Conclusion Project Strategy and Goal Project Strategy v It is a very important step in PFP because “project strategy is a direction in a project that contributes to success of the project in its environment. ” (Artto, Kujala, Dietrich, & Martinsuo, 2008). v During the strategy analysis, a decision is being made on which objectives can or will and which objectives cannot or will not be pursued within the frame of the project. v The starting point for strategy analysis is the objective tree. 46

9. Conclusion Project Strategy and Goal Project Strategy The choice of one ore more strategies is made on the basis of criteria which have to be agreed upon with the stakeholders and/or project team, which could include, but not limited to: v v v Expected contributions to a broad or national policy; Provide benefits to target groups including women and men, young and old, disabled and able people; Financial and economic cost-benefit: costs produce deserving benefits; 47

9. Conclusion Project Strategy and Goal Project Strategy v v Capital and operational cost implications, and local ability to meet recurrent costs; Technical feasibility: strategy that is technically doable. In the strategy selection, objectives responding to the agreed strategy selection criteria are selected while others will be dropped. The selected objectives will then be used for Logframe development. 48

9. Conclusion Project Strategy and Goal Project Goal v v v A Goal is very important for a project because it is a broad statement of the overall purpose or outcome that the proposed project is expected to achieve. A project goal derives from objective(s) at “ends” level of the objective tree. It should explain why the project is important to society in terms of the long term benefits to beneficiaries and of the wider benefits to other groups. 49

9. Conclusion Project Strategy and Goal Project Goal v A project goal cannot be achieved by the project alone or directly but through contribution of other projects. v The goal should be SMART as it is specific, measurable, appropriate, realistic and time-bound. 50

9. Conclusion Logframe v The Logframe consists of a table which usually has four columns and four rows v A vehicle for organizing a large amount of information in a coherent and concise manner, assisting with the formulation/preparation, implementation, monitoring and evaluation of projects. v The Logframe helps in connecting overall objective, purpose, results, activities, indicators, means of verification, and important assumptions in one framework, and presents the tight relationship among them. 51

9. Conclusion Logframe is important for PFP for a number of reasons: v The use of Logframe or shared terminologies facilitate common understanding and better communication among project staff and stakeholders. v It provides systematic information and logical analysis, which constitutes a well-designed project. 52

9. Conclusion Logframe is important for PFP for a number of reasons: v It is the core reference document to be used throughout the entire Project Cycle Management. Project team normally uses Logframe in order to know what were planned, what have to be implemented, what are the expected results, and to monitor whether implementation follows the planning. v Some donors require a summary of project information in Logframe to be submitted with the project proposal. 53

9. Conclusion Logframe v The development process of Logframe starts from problems in the problem tree, then to objectives in the objective tree, after to strategy selection through the use of the objective tree, and finally to the Logical Framework Matrix. v Although the format of Logframe usually has four columns and four rows, the number of columns and rows can be added or removed according to the practical use and necessity of each organization. 54

9. Conclusion Communication Plan In order to implement a project successfully, it is very crucial to get all key stakeholders to actively engage during the entire project implementation period. They will be interested in involving in the project when they understand it well. Therefore, there is a need to communicate all project aspects to internal and external key stakeholders: 55

9. Conclusion Communication Plan v It is important to develop internal and external communication plan. v Communication plan should be reviewed regularly in order to keep everyone updated and to improve whenever needed. v The four tools can be used to develop communication plan: communication analysis, communication activity, communication budget and communication monitoring. 56

9. Conclusion Formulation of Monitoring and Evaluation Plan A clear monitoring and evaluation plan enables a project team to know: v How far a project can achieve its goal and objectives. v Challenges they have encountered and how to deal with them. v Relevant measures that a project should do or change to become more effective and efficient in utilizing time, money and resources. v How to mitigate and manage crises, and ensure smoother implementation. 57

9. Conclusion Work Plan and Budget Plan: Work Plan v Work Plan or a project plan outlines in specific detail how a project will be conducted. v There are several types of a work plan: weekly, monthly, and annually. v A work plan provides the following benefits: v Define required resources in terms of persons and time: who are required to do the tasks or activities, how many persons or team members are needed, how much time is needed or can be allocated. 58

9. Conclusion Work Plan and Budget Plan: Work Plan v v A work plan provides the following benefits: v Define roles and responsibilities: who is doing which tasks and therefore s/he is responsible for their tasks. v Clarify expectations: which results can be expected and from whom. v It can be used as a monitoring tool to check whether the project is ontrack, once it has started. To do a work plan: activities from the Logframe are needed. 59

9. Conclusion Work Plan and Budget Plan: Budget Plan A budget plan outlines planned and estimated expenditures of a project for a specific period of time. A budget plan is important because: v A plan that reflects on project activities and resources required in order to implement a project. v A proper and well planned budget is required to convince project donors – when there is a need to request for funding. 60

9. Conclusion Work Plan and Budget Plan: Budget Plan A budget plan outlines planned and estimated expenditures of a project for a specific period of time. A budget plan is important because: v A principle document that project team needs to use at the project implementation phase before making any actual expenditures as they have to check whether the items were included in the budget and for which amount. To develop a work plan: look for budget information at “inputs” of the Logframe, if available, and use activities from Logframe or a work plan as budget items. 61

9. Conclusion Elements of Project Proposal v It is very important to incorporate all project aspects in one document that can be used to communicate with supporters and donors: elements of project proposal. v In addition to focusing on identified problems, contexts, and stakeholders, the project aspects should also include, other issues in elements of project proposal, cross-cutting issues: gender, climate change, natural resources management, and people with disability. 62

9. Conclusion Elements of Project Proposal There are three main steps in developing elements of project proposal: v Pre-proposal writing: formulating a project that responds precisely to a problem and its context. v During proposal writing: putting all project aspects together and explain how the project will be implemented successfully. v Post-proposal writing: communicate the project proposal to supporters and donors. 63

9. Conclusion Elements of Project Proposal It should be noted that when a project proposal is successful to secure funding support from donors, you will be asked to submit a project report so that they can learn how well the project has been implemented. v A project report is a brief description of achievements of a project within a specific period of time and to be developed according to the agreement with the project donors. v Information contains in the project report has to respond precisely to the project proposal submitted to donors, particularly the results, purpose/outcome and goal stated in the Logframe. 64

9. Conclusion Elements of Project Proposal v There are different types of project report, depending also on the time frame of the project, which can be quarterly report, mid-year report, annual report, mid-term report, and final project report. v The common elements to be included in a report, in spite of different types, are report title, author(s), table of contents, executive summary, introduction, achievements, operation, and annexes. 65

References • Constantini, G. , & Quinti, G. (2004). SARD Project Toolkit: a Resource Guide for Promoting SARD in Projects and Programmes. Food and Agriculture Organization of the United Nations. • Artto, K. , Kujala, J. , Dietrich, P. , & Martinsuo, M. (2008). What is Project Strategy? International Journal of Project Management(26), 4 -12. 66