The Need

1. CMS Towards Good Governance The Need

2. RHD’s Central Management System and its role towards Good GovernanceWebsite Presentation CMS Management Team Dick Langford-Johnson The System Roger Goodwin Finance Md Serajul Islam Contracts Md Salim Software Md Abdul Rahman Mir Accounts The Chief Engineer’s CMS Implementation Working Group Chairman Md Adam Ali Gazi ACE Bridge Management Wing

3. CMS Towards Good Governance Introduction

4. E-Governance “E-Governance refers to the use of information and communications technologies to improve the efficiency, effectiveness, transparency and accountability of Government”. Quote from World Bank E*Governance Website efficiency effectiveness accountability transparency

5. Databases on Website

6. Current PMS available on Internet

7. Current PMS Useful system but: • It is not transparent • Does not check against the cash book • Does not truly show physical progress • Does not show current liability • Does not show current commitment

8. The Chief Engineer and his staff are responsible and accountable to the People of Bangladesh through the MoC for the maintenance and development of the National, Regional and Zilla Road Network within the limited funds allocated to them

9. Scale of RHD operations • 21,000 Km of roads • over 20,000 bridges and culverts • Annual Budget in excess Taka 3,000 Crore Press to Convert to £ and US$

10. Duty to the People It is the duty of RHD to demonstrate to the People of Bangladesh and donors that it is: • Effective, • Efficient, • Transparent and, • Accountable in carrying out its duties

11. Wastage • Choice of projects • Poor quality materials • Poor quality workmanship • Poor Financial Management • Lack of control of construction time • Lack of control of available funds • Lack of Control of Contracts • Poor Management • Money not effectively used • Money inefficiently used CMS Will assist RHD in reducing thesewastages The remaining 2 are being dealt with by other RHD initiatives

12. The beauty of CMS lies in its transparent links Project Estimate Tender Contract Physical Progress Monthly Measure Payment Certificate Payments Cashbook Budget Management Reporting

13. At October 2005 The system is now fully operation in all RHD’s 64 Field Divisions – with monthly accounts being submitted on CMS It is also fully operational on 1 Foreign Aided Project – the rest will follow early 2006 Mandatory from July 2005

14. Press to see CMS a working tool RHD Presentation Press to see Critical Appraisal Presentation CMS a working tool in RHD Today March 2006 Vision beyond March 2005 Critical Appraisal What needs to be in place to meet the Government and donors goals on good governance Value of Earned Value Analysis Short demonstration of value of EVA Value of EVA Presentation

15. CMS Towards Good Governance End of the presentation on RHD’s Management Tool CMS Towards Good Governance Thank You

16. £ and US$ Equivalents

17. CMS Towards Good Governance CMS a working tool in RHD The System

18. Field Package Planning Module Contracts Module Finance Module Core Module (Reporting)

19. Finance Module Core Module for reports to CE, MOC and website Field Package C M S Planning Module Contracts Module Provides the financial monitor at field level Provides the plan budgets and allocation Provides link between physical and financial progress Provides the link from Project to Contract Provides co-ordinated reporting of physical and financial progress and historical records for future planning

20. Construction and Maintenance history Bridge Maintenance Management System BMMS Road Maintenance Management System RMMS HDM Road Asset Management System (RAMS) and other GIS mapping CMS Network Control Press to see RAMS map

21. Budget Allocation Monitoring the Project The Works Contract Physical Work Measured At the HEART of RHDs expenditure is the WORKS Contract Expenditure Locked into CMS

22. To Effectively Manage we must MONITOR PROGRESS Both physical and financial

23. Method RHD has adopted Earned Value Analysis(EVA)as the method of Monitoring progress of it’s works.

24. There is Room For Improvement • Most of contracts are behind schedule • Many contractors are not paid promptly – resulting in under-financing and slow works progress • Some contracts, after large investments of time and money, are simply never complete

25. EVA • An industry standard way to: • measure a project’s progress, • forecast its completion date and final cost, and • provide schedule and budget variances along the way.

26. Picture at a Glance Is a means of recording and presenting: • Planned work • Value of Work Done • Expenditure

27. Contract Module Contract Level

28. To Monitor There must be a PLAN There must be Work Done

29. The Contract Plan June 03 Fill 20 cu m @ 60 Fill 200 cu m @ 60 July 03 Piles 200 m @ 600 Basecourse 200 cu m @ 1000 Monsoon

30. The Plan Progress – Contract level

31. Work donePhysical Progress Contract Module

32. Monthly Measure Rates measure To Accountants for payment Present measure of Work Done BoQ Schedule of Items in the Standard Contract Measurement Book Running Payment Form

33. Monthly Measure Rates To Accountants for payment through Financial Module measure Field Module measure of Work Done BoQ Schedule of Items in the Standard Contract Running Payment Form Measurement Book

34. 6 weeks behind programme Variance -70 Lac Taka Plot Physical Progress against Plan Planned 2.0 Crore Taka i.e. 71% Generated from Monthly Measure Actual 1.3 Crore Taka i.e. 46%

35. Outstanding Commitment Current Liability Plot Physical Progress against Plan and Expenditure Generated From Finance Module

36. CMS Field Package Administered by the engineering staff Administered by Accounting Staff Financial Module (Accounts Package) Contract Module

37. Field ModuleDesigned to be useful • By reducing the workload in the field • By easy to use screens • By its clear reporting • By a reporting chain requiring each link to be complete

38. Field Module ContractsHow it helps the Field Staff • Prepare Engineer’s Estimate and Tender Documents • Prepares Contract Documents for signing • Prepare Interim Payment Certificate (IPC) • Provides a DIRECT LINK to Financial Module • Facilitates reports for Engineer and his staff and the Employer’s Representative • Record monthly field tests including their performances

39. Field Module FinanceHow it helps the Field Staff • Full accounts package for the field offices • Monthly and yearly account returns • Accounts analysis of receipts and expenditure • Analysis against budget and release of Funds • Direct Link to Authorised Payment Certificates produced on Field Contracts Module

40. Not simply a recording databaseA Working Tool • Forces the use of the system to produce • All official estimates • All tender documentation – except drawings • All contract documentation for signing • All payment certificates • No contract can be paid without having a payment certificate prepared on the system • Accounts can only be supported by cash books generated on CMS • Accounts are only acceptable to RHD HQ and CGA if prepared on CMS Press to see example Press to see example Press to see example

41. At the heart of the Monitoring System is the Contract Circle ER & QC Reports Zone Length Width Etc Type of Work RMMS GIS BoQ Total RHD Measure Division Link(s) INCL. CHAINAGE Road Contract Budget Head Project Component Bridge Contractor Loan %age Funding Agency Project BMMS GIS

42. WHY IS CMS REQUIRED ? Management make Decisions Decisions should be based on ACCURATE information

43. ACCURATE INFORMATION Shortcomings of manual system A - Accurate Clerical Error and Duplication entries All information required for decision making may not be available C - Complete C - Clear Too much confusing information U - Understandable No unified form of report R - Relevant Reports are not produced specific to the user. A - Appropriate Can not be amended quickly Reports produced late. Compilation takes time. Tracing data difficult T - Timely & Traceable E – Easy to use Manual so can not be sorted and filtered

44. How can CMS help CMS is a tool for Management of RHD Which gives easy and free access to ACCURATE information Anytime Anywhere

45. How can CMS help CMS can help!! Shortcomings of manual system A - Accurate Clerical Error and Duplication entries Most errors eliminated through correct arithmetic and system checks All information required for decision making may not be available Data transferred electronically. Latest information available C - Complete C - Clear Clear and concise reports Too much confusing information U - Understandable No unified form of report Unified form of report across RHD R - Relevant Reports are not produced specific to the user. Reports can be tailor-made specific to user. A - Appropriate Electronic. Can be traceably amended quickly Can not be amended quickly Reports produced late. Compilation takes time. Tracing data difficult Compilation is automated. Instant and transactions easily traceable T – Timely & Traceable E – Easy to use Electronic so can be sorted and filtered Manual so can not be sorted and filtered

46. TRANSPARENCY inPhysical & Financial Progress

47. The system that was replaced in July 2005 Progress Report Physical Progress (Notional) Financial Progress Work Plan

48. CMS Progress Report Physical Progress Measurement Book IPC Works Abstract Register of Works Financial Progress Voucher CashBook Dockets & Schedule Work Plan

49. CMS is Live and Operational CMS is LIVE and fully operational in 64 Field Divisions After 15 months of piloting, training and national trials CMS became operational in all Field Divisions as from July 2005

50. Chief Engineer’s CMS Implementation Working Group Md. Adam Ali Gazi ACE Dhaka Zone Md Abdus Salam SE Monitoring Md Abu Taleb SE MIS Circle Md Helal Uddin SE Planning and Data Circle (BMW) Md Asif-Uz-Zaman Director Audit and Accounts Md Delwar Khan Maintenance Division 1