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The effectiveness of the earned value management system : a case for local economic development projects.

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The purpose of this study was to explore public sector monitoring and evaluation (M&E) and to determine whether local economic development (LED) projects can be monitored and evaluated using project control techniques such as the Earned Value Management (EVM) method. The research found that an effective monitoring and evaluation system was critical to assessing whether the government was achieving its strategic goal.

  • Introduction
  • Overview of Local Economic Development (LED)
  • The Problem Statement
  • Main Objective of the Study
  • Overview of Monitoring and Evaluation and Earned Value Management
  • The Critique of Project
  • Overview of Strategic
  • Overview of Research
  • Limitations of the Study

Monitoring and evaluation are part of the strategic management process, but they are often overlooked. The main aim of this study is to explore the underlying challenges of the public sector in terms of monitoring and evaluation of its development programmes.

LITERATURE

Introduction

Therefore, the "Local Economic Development Strategy or LED" (Nel) is seen as a means of improving economic growth and employment. Tomlinson says that "the way in which LED is placed on the country's economic policy agenda has led to its increasing insignificance. .” It is important to note the importance of M&E in public sector performance management.

Both monitoring and evaluation (M&E) and project management have been explained in the context of being critical to the performance of the public sector, its projects and programs. According to the PMI, project management is “the application of skills, knowledge, tools, and techniques to project activities to meet project requirements.” The introduction of the GWMESPF was a step in the right direction in improving the monitoring and evaluation of government programs.

From the literature review, it is concluded that EVM is one of the tools for monitoring and evaluation for development programs. The study aimed to investigate monitoring and evaluation of the public sector and to determine whether local economic development (LED) projects can be monitored and evaluated using project control techniques such as earned value management (EVM). Earned Value Project Management as an Alternative Framework for Monitoring and Evaluation in the Public Sector.

The Fundamentals of Local Economic Development

Putting LED and other Developmental Agendas Together

  • Local Economic Development and Agriculture
  • LED and Integrated

According to Rives and Heaney (1995) the relationship between infrastructure and local economic development is well established. There is a need for a proper review of the impact of infrastructure investment on economic development and poverty reduction.

Towards Monitoring and Evaluation of Programmes

Tourism development is another important example of integrated infrastructure that creates local economic activities that contribute to local economic growth. This confirms that there is a positive effect and that prosperous sustainable local economic development comes from tourism development (Daniels, 2007). Daniels (2007) states that local authorities must improve the quality of life in local communities through infrastructure development.

Complicated interventions and complex interventions pose a challenge for monitoring and evaluation and for reaching agreement on methods and data collection. There are too many variables to monitor and formulate as contributing to an educational quality at any one time (Roger 2008). The change can be expressed in a simple causal model or logic, but the change can be complex or complicated to follow the causal path.

Roger (2008) also states that a cause-effect relationship can be traced for both complicated and complex interventions by using a logic model.

Performance Management in the Public Sector

Earned Value Management as a Monitoring Tool…

  • Definitions of EVM
  • What is earned value?
  • Why Earned Value Management is Important
  • Advantages and Disadvantages of EVM
  • Challenges of EVM

This study is an exploratory study aimed at assessing the extent of monitoring and evaluation (M&E) in the public sector. Monitoring and evaluation were ineffective due to a lack of policy guidance from the central government. There was no system for monitoring and evaluation of LED projects in all municipalities consulted.

The purpose was to investigate whether EVM could be a tool for monitoring and evaluating LED projects. This chapter reflects on the results of the monitoring and evaluation systems in the public sector. There is much to do to contextualize both LED and monitoring and evaluation in the South African public sector.

Monitoring and evaluation of LED was also investigated and it was found that monitoring and evaluation in the public sector is not well established.

A Perspective of Strategic Management

Programme and Project Management in the Development Arena

  • Project Management Processes
  • What project success or failure means

Lack of coordination of result information for monitoring and evaluation at program and sub-programme level. It was clear that there was no monitoring and evaluation system in place and coordination of the LED was not convincing. One of the main reasons for the lack of effective monitoring and evaluation of LED was that most municipalities in KwaZulu-Natal were poorly resourced and lacked capacity.

The study took monitoring and evaluation one step further by looking at one of the monitoring and evaluation instruments, namely EVM. Therefore, EVM is a highly recommended tool for monitoring and evaluating different types of projects. Treating monitoring and evaluation as one process will not help the government assess progress.

The public sector needs to invest in crucial skills such as project management, financial management, research and monitoring and evaluation.

RESEARCH METHODOLOGY…

Introduction

In this study, the public sector is represented by the province and local government. The public sector plays an important role in driving the development agenda and LED is an example of development programs. The purpose of selecting these public sector organizations was that each sector has an LED component that deals with LED projects.

The selection of respondents was done through the purposive sampling technique, because M&E in the public sector is under development. Since a case study approach is considered to be unable to provide generalization, both qualitative and quantitative approaches can be used to enhance reliability and trust (Tellis, 1997). In this study, senior managers in the public sector and LED managers from various municipalities were purposefully identified as main respondents.

Although this study is not an impact evaluation study, the M&E concept is related to impact evaluation.

A Case Study Approach

The case study is described as a method for learning about complex issues such as project monitoring and evaluation in order to develop a comprehensive understanding of this complex project activity. It is further argued that the case study includes an extensive description and analysis of the development of the project and its elements. A case study is not limited to observing what is happening, but is a systematic method for gathering qualitative information and analyzing it to produce a quality product (GAO, 1991).

A case study is often referred to as a research strategy to investigate or explore a specific phenomenon or event within its life cycle. A qualitative case study provides an in-depth study based on a diverse set of data collection materials” (McCaslin & Scott. Since this research study focuses on the monitoring and evaluation system in the public sector, it was necessary to introduce the concepts in related to the project management tools as the management system of the acquired value in this debate.

It was therefore useful to examine LED projects to assess whether they had monitoring and evaluation plans in place.

In-Depth Interviews

Books (1997) argues that the strength of in-depth interviewing is that it is typically as close to the natural process as possible and that it facilitates effective collaboration. He further argues that in-depth interviews can be used in cases where the potential participants may not engage in a focus group discussion, or when the research intends to discern or explore individual opinions or perceptions of the research topic. The research approach recognized that the in-depth interview is prone to bias due to the fact that respondents may have a vested interest.

However, this was taken care of in the survey by creating open-ended questions and prompting the respondents to express their own perceptions freely in their own words (World Bank, 2007). This approach has key characteristics that distinguish in-depth interviews from other types of interviews, which is that the respondent must give an account of the subject.

Data Analysis

The Council found it essential to have an effective monitoring and evaluation mechanism for LED. It was therefore expected that the interdependence between these areas would extend to monitoring and evaluation. However, processes and mechanisms were in place to develop the framework for a monitoring and evaluation system.

Against the background of these challenges, it is crucial that the staff can be monitored and evaluated. The purpose of this chapter was to explore the critical issues that emerged during the study in relation to public sector monitoring and evaluation in KwaZulu-Natal. This requires consideration of a monitoring and evaluation tool such as EVM in the planning phase.

Singapore: The McGraw-Hill Companies, Inc. Towards a Monitoring and Evaluation System for Sustainable Development in South Africa.

Table 1: Emerging Themes
Table 1: Emerging Themes

Critical Findings of the Study

Conclusion

LOCAL ECONOMIC DEVELOPMENT IN SOUTH AFRICA

  • Introduction
  • The Importance of IDPs in Local Economic Development…
  • The Importance of LED in KwaZulu-Natal
  • Monitoring and Evaluation of LED
  • Local Economic Development and Earned Value Management
  • Conclusion

The findings of the investigation also revealed that the management of LED and its programs and projects was not satisfactory. This was not surprising, as most LED projects were run without an LED strategy in place. Monitoring and evaluation of LED was seen in the context of providing information to monitor the progress of the programs and assess whether the intended objectives have been achieved.

This confirms that there was no difference between provincial and local government in terms of monitoring and evaluation (Binns & Nel, 1999). One of the shortcomings of the LED has been a lack of information to assess the performance of LED programs and projects. Furthermore, the adoption of EVM will not necessarily only improve the monitoring and evaluation of LED projects or programs, but can also be a useful monitoring and evaluation tool for all projects that municipalities undertake.

Because of these challenges, the consulted municipalities lacked understanding of LED, and the majority of LED projects were about agriculture and tourism.

MONITORING AND EVALUATION SYSTEM IN THE PUBLIC SERVICE IN

Introduction

This was also evident during the case study, as one of the development managers interviewed stated that "monitoring and evaluation were ad hoc". This hampers the implementation of systems such as the government's new Assessment System Monitoring and Evaluation Policy Framework. It is necessary to develop an effective monitoring and evaluation system with tools for the implementation of programs and projects in order to improve the sustainable provision of services in the public sector.

The study provides an overview of institutional monitoring and evaluation (M&E) within the context of public sector development program evaluation. The Government-Wide Monitoring and Evaluation System Policy Framework did not provide for the implementation or review of monitoring and evaluation at the local government level. The other critical point was that in the Whole of Government Monitoring and Evaluation Systems Framework Policy, M&V is considered as a single process.

However, it is important to reflect on why EVM has been found to be a suitable tool for monitoring and evaluating development projects or programmes. This requires a specific focus on the capacitation of public sector personnel in project management techniques and monitoring and evaluation techniques. Mainstreaming monitoring and evaluation in wealth creation strategies: Lessons for government, civil society and the private sector.

The Status of Monitoring and Evaluation Systems in South Africa …

Gambar

Table 1: Emerging Themes
Table 3: LED Funding and Process to Access Funding by Municipalities  PROJECT CONSOLIDATE   Qualifying municipalities submit their
Table 4: Challenges in the Public Sector (Provincial Departments)
Table 5: Challenges in the Public Sector (Municipalities)  EThekwini

Referensi

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