Performance measurement an management of paca and led the compass of local competitiveness
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Performance Measurement an Management of PACA and LED: The Compass of Local Competitiveness. Jörg Meyer-Stamer [email protected] A methodology for monitoring and evaluation: The Balanced Scorecard approach. Customers’ perspective. Financial perspective. Learning and growth perspective.

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Performance Measurement an Management of PACA and LED: The Compass of Local Competitiveness

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Performance measurement an management of paca and led the compass of local competitiveness

Performance Measurement an Management of PACA and LED: The Compass of Local Competitiveness

Jörg Meyer-Stamer

[email protected]


A methodology for monitoring and evaluation the balanced scorecard approach

A methodology for monitoring and evaluation: The Balanced Scorecard approach

Customers’

perspective

Financial

perspective

Learning and

growth perspective

Internal business

processes perspective


Key ideas involved in balanced scorecard 1

Key ideas involved in Balanced Scorecard (1)

  • BSC is not an ex-post evaluation tool, but a performance management tool

    • it forces actors to agree on goals and priorities

      • You allow no more than 3 - 4 Critical Success Factors (CSF) per quadrant

      • You allow no more than 2 - 3 Key Performance Indicators (KPI) per CSF

    • BSC creates a concurrent process of action and of reflection, leading to adjustment


Key ideas involved in balanced scorecard 2

Key ideas involved in Balanced Scorecard (2)

  • BSC is organised in a hierarchically structured way

    • a top-level BSC at a programme / policy level

    • more specific BSCs for initiatives that feed into the programme

    • even more specific BSCs for individual projects and interventions


Adapting the balanced scorecard to paca the compass of local competitiveness an example

Adapting the Balanced Scorecard to PACAThe Compass of Local Competitiveness: An Example

External perspective:

* distinctive locational profile

* improved locational marketing

* better standing with funders

* stakeholder relationships

Economic impact:

* business retention

* creation of jobs and income

* generation of start-ups

LED learning:

* LED skills accumulation

* alignment of goals and

objectives

* systematic M+E

LED Process:

* competent public service

* membership-driven Chamber

and business associations

* effective communication

between key players


Possible quick wins with paca

Possible quick-wins with PACA

External perspective:

* distinctive locational profile

* improved locational

marketing

* better standing with funders

* stakeholder relationships

Economic impact:

* business retention

* creation of jobs and income

* generation of start-ups

LED learning:

* LED skills accumulation

* alignment of goals and

objectives

* systematic M+E

LED Process:

* competent public service

* membership-driven Chamber

and business associations

* effective communication

between key players


Context and purpose

Context and purpose

  • Assess the overall progress and impact of a PACA Project or another LED initiative

  • Create an occasion to discuss goals and achieve goal alignment

    • define indicators for each of the four quadrants in a participatory way

      • define critical success factors (CSFs)

      • define key performance indicators (KPIs)

  • Create an occasion for exchange of experience between different subsector / cluster / value chain initiatives.


How to do it practically top level workshop

How to do it practically? Top-level workshop

  • Workshop during first PACA follow-up

  • Repeat the scoring exercise on a bi-monthly basis

  • Start to collect hard data on OVIs as they become available.


Sequence of activities in a compass workshop

Sequence of activities in a Compass Workshop

1Framing: What exactly are we talking about?

2Look back: What have we achieved so far?

3Visioning: What are the overall objectives of the object of the Compass?

4Define Critical Success Factors

  • organise CSFs into four quadrants

  • prioritise them (Pareto)

    5Option 1: Define 2 - 3 KPIs for each CSF

  • obtain a first score for each indicator

    6Option 2: Go directly into definition of activities to address CSFs (with participants with little experience in formulation of indicators


A possible cluster value chain subsector paca compass

A possible Cluster / value chain / subsector PACA Compass

Customers’ perspective:

* what are the CSFs in creating

and maintaining customer

interest (price, quality,

timely delivery, brand,

lifestyle, ...)

Economic impact:

* business growth

* level of investment, rate of

return

* creation of jobs and income

Innovation and learning:

* understanding the 5 forces

* skills development

* R&D

* linkages with support orgs.

* market intelligence

Business Process:

* productivity, quality, design,

upstream and downstream,

technology, market channels,

flexibility, responsiveness,

compliance with standards, ...


The ilembe agriprocessing compass

The Ilembe Agriprocessing Compass

Relationship:

* access to agricultural product markets

* partnership btw. commercial

and emerging farmers

* coop. public/private sector

Economic impact:

* value chain integration

* product diversification

* market-driven demand

* availability of funding

Knowledge and learning:

* effective transfer of skills

* extension

* market analysis

* capacity building in quality

control

Internal organisation:

* land reform

* agri BEE objectives internalised

* effective process

management


Context and purpose1

Context and purpose

  • Assess the overall progress and impact of a value chain / cluster / subsector initiative

  • Create an occasion to discuss goals and achieve goal alignment

    • define indicators for each of the four quadrants in a participatory way

      • define critical success factors

      • define key performance indicators

        • more customer-focused exercise

  • Create an occasion for interaction between private and public sector


How to do it practically

How to do it practically?

  • Workshop during first PACA follow-up

  • Repeat the scoring exercise on a monthly or bi-monthly basis

  • Start to collect hard data as they become available


Some lessons learnt in ilembe pilot exercise october 2004 1

Some lessons learnt in Ilembe pilot exercise (October 2004), 1

  • Crucial to exactly define what the Compass is about (limits of the system, insider / outsider, territory, sector / value chain, LED / local development at large)

  • Build in iterations to check wording and alignment of understanding


Some lessons learnt in ilembe pilot exercise october 2004 2

Some lessons learnt in Ilembe pilot exercise (October 2004), 2

  • The exercise involves an assessment of the overall strategy -- to the surprise of the participants

    • in locations with incipient LED activities, a Compass workshop is a possible alternative to an “LED Awareness Workshop”

    • Option: use Compass for strategy formulation, use Paper Computer for prioritisation

  • The earlier you can introduce the Compass in an LED initiative, the better (baseline data)


Thank you for your attention

Thank you for your attention!


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