Chapter Three

Project Implementation and Procurement

1 Rationale
• Inadequate implementation planning leads to frustration towards the end
of
the project & poor project performance
• People should do the right things with the right resources in the right place
at the right time.
• Critical Thinking & Outcomes of a Purchase or Procurement(.ie the need
• Why does your agency purchase goods and services?

People Time Money

Resources

Project Start Project End

• Purchasing goods, services and works (procurement) is a critical
element of
project implementation. . .
 Inefficient or ineffective procurement may have serious
consequences:
• expected project results and impacts not achieved
• delays in project implementation
• higher cost of implementation
 Procurement is a sensitive activity:
• can be conducive to corruption and fraud
• complexity of certain procurement actions
 Project Implementation: Procurement Regulatory Framework
• Must adhere to regulatory framework . . .
• Procurement rules and procedures applicable to a particular project
come from different sources:
• national procurement rules and regulations Companies/project
Procurement Guidelines
 2 What is Project implementation(PI)
• Process whereby “project inputs are converted to project outputs”.
• PI focuses on installing or delivering the project's major deliverable
in the organization.
• The PI process involves a series of activities, which need to be planned,
operated and controlled, and which will inevitably involve the
utilization of resources.
• The execution/implementation phase is the longest phase of the project
in which the deliverables are physical built and presented to the customer
for acceptance.
• Implementation is the most important part of a project cycle because it
is a process that brings the project into reality.
• Sometimes a project document has been very well and carefully prepared
but implementation can be poor and the project as such a failure.
• Implementation starts from the moment the project has been
approved for funding
 Project Implementation(Cont)
In the case of project implementation the starting point is the resources
provided to carry out certain activities. Through activities, outputs are
produced, objectives achieved, and the problem is solved.

Project input project activities project output project

objectives
problem solved: target group
OR
RESOURCES Provided to purchase inputs

ACTIVITIES Carried out by certain inputs

OUTPUTS produced by certain activities

OBJECTIVES Achieved through certain outputs

3 Project planning and Implementation: Are they separate issue?

• Success of project implementation often depends on the quality of

project planning before the project begins.

• The preparation of a work plan to implement the project is the first

and most essential part of this stage because all decisions included in
the work plan will affect the project in the future, even if it is
possible to change them later.

• Implementation is the most important part of a project cycle

because it is a process that brings the project into reality. Sometimes
a project document has been very well and carefully prepared
but implementation can be poor and the project as such a failure.
 Project implementation plan
include
During proposal writing stage you state details of the logistics of putting your
proposal into effect i.e Implementation
(i) Activities by phase
(ii) Time it will take;
(iii) ) Staff needed;
(iv) Special skills outside your organization that may be contracted;
(v) Participation of different stakeholders
Project implementation plan also include:-
A. The project implementation schedule
B. The role of implementer agency
C. Beneficiary participation
D .Organizational structure and staffing
E. Financial management
F. Reporting system
G. Sustainability
 Preparations for Implementation: Action
• Action Plan: The operational presentation in a simple tabulated form of
Plan
a project document broken down in annual, biannual, or quarterly basis
depending on the life span of the project.
• Basic Components of Action Plan:-
Description of activities:- As much as possible it should be detail.
Quantity:- Planned/target activities described in their unit of
measurement.
Location:- Site/s where the planned/targeted
activities are to be executed.
Time:- The specific period when the planned activities
are implemented.
Finance:- The amount of finance required for each and
specific activity.
Material:- Material requirement of the planned
activities.
 The Project Managers Role In Procurement cont..
• 1. A project manager should be able to read and understand the
contracts
• 2. A project manager should ensure that scope of work and
project management requirements should be included in the
contract
• 3. Identify risks and create appropriate risk response plans for risk
mitigation
• 4. The project manager should tailor(shape) the contract to the
unique needs of the project
• 5. The project manager should be involved during contract
negotiations to maintain the relationship with the seller
• 6. The project manager should protect the integrity of the
contract
• 7. The project manager should ensure all work such as reporting,
inspections and legal deliverables are met. The release of liens and
ownership of materials is another critical activity of the project
manager
• 8. The Project Manager works with the procurement manager to
 Project Manager Role cont....
• A Good Project Manager
– Takes ownership of the whole project
– Is proactive(i.e active, positive) not reactive(sensitive )
– Adequately plans the project
– Is Authoritative (i.e influential) (NOT Authoritarian i.e
dictator)
– Is Decisive
– Is a Good Communicator
– Manages by data and facts not uniformed optimism
– Leads by example
– Has sound Judgement
– Is a Motivator
– Is Diplomatic
– Can Delegate
 Project manager cont...
• Levine (2002), states that project manager has a very special role,
which requires very special talents.
• The project manager acts as an integrator, channels conflict and
aggressiveness, pays attention to the stakeholders, creates a structure for
project planning and control, initiates practices to minimize possible
failure, makes sure that risks have been evaluated and that risk mitigation
plans have been prepared.
• Project managers have the responsibility to satisfy the needs: task
needs, team needs, and individual needs.
• Project managers have several tasks and responsibilities. Those
several tasks had get all key players on the project team, manage task
interfaces; assure clear identification of task completion, assure
communication of task completion manage responsibility interfaces, and
when necessary, a devil’s advocate, promote effective communication
and wide participation in decision making, manage conflicts
4 Reasons for Project Failure/Factors affecting project implementation
1. Poor project and program management discipline
2. Lack of executive-level support
3. No linkage to the business strategy
4. Wrong team members
5. No measures for evaluating the success of the
project
6. No risk management  Factors and problems
7. Inability to manage change that lead to failure of
projects
 Financial Problems
 Management problems
 Technical problems
 Political problems

5 Resource mobilization(RM)
• RM: is the process by which an organization acquires and
manages the financial, human and logistical resources it needs
to fulfil its mission[accomplishment of a project].
• RM can be de fined as a management process of identifying
people who share the values of your organization and take
steps to manage this relationship.
• RM is often wrongly considered as fund raising. In fact, fund
raising is a component of the resource mobilization refers to
a variety of resources.
• Therefore, RM involves the development of capacity to"
steal
the donors ‘heart‖.
 6 Five Implementation options/ Models
1.In-house Implementation: A company creates an internal department or unit to
work directly with communities to design and implement the projects.

2.Company Foundation: A company establishes an independent foundation as a

separate legal entity to carry out its project. Foundations can have grant-making
authority (i.e., financing of projects implemented by others) or serve an
implementing function (implementing their own projects and programs).

3.Third-party Implementation: A company engages a third party, such as a local or

international NGO, to work with local communities in designing and implementing
projects, or it supports an existing initiative being implemented by others.

4.Multi- Stakeholder Partnership : A company establishes or joins a voluntary or

collaborative alliance, network, or partnership. This implies cooperation between
two or more actors in a manner that shares risks, responsibilities, resources, and
competencies, and involves a joint commitment to common tasks and goals.

5.Hybrid : A company utilizes a combination of two implementation models to

deliver various components of the project.
  Which one is best implementation model ?
• The choice of implementation model is guided by distinct variables, such as the
company‘s objectives, project time horizon, budget, and the characteristics of the
local operating context—including availability of partners.
• Because different implementation models have different advantages and
disadvantages (that may serve one set of objectives over another), it helps to
understand the various options when determining the best fit for delivering your
project.
 Key Questions for Implementation Options/models
• When thinking about how to implement a project , there are certain
fundamental questions that are applicable regardless of the type of model
selected. These include:
• Does your implementation model support your objectives?
• How will you maintain ownership, visibility & oversight(omissions)?
• How will participatory decision making and governance be fostered?
• Should you pilot before scaling up?
• How will transparency, accountability and sustainability of funding
arrangements be ensured?
• What capacity building is needed to support the chosen
model/encourage local delivery?
• What is the exit or handover strategy for the chosen model?
7 Ten steps to implement successful Project Procurement
Management
• Whenever we encounter procurements on any project, and certainly
major complexity procurements, it is recommended that we take the
following ten steps to successfully conclude this work:
• 1. At the time the initial project scope of work is being defined, a
"make or buy" analysis must take place, isolating what tasks/effort will
be performed in-house, and what tasks will be procured from other
companies. Thus, at the conclusion of project scope definition, we
should know precisely which items we are going to procure from
another company.
• 2. The items which will be procured from another company should be
analyzed, and placed into "three generic categories" as was described
earlier: (1) Major- complexity procurements, items which do not exist;
(2) the Minor-complexity procurements, which exist according to the
seller's product specification; and (3) All other routine Commercial-
Off-The-Shelf (COTS) buys, which will represent the largest category of
purchased items, but are low risk.
• 3. Each (1) Major Complexity procurement must have a
"designated team leader" identified and given both
responsibility and commensurate authority to manage each
defined procurement, as a sub-project, reporting directly to
the project manager. In most cases these individuals should
be the technical person responsible for preparing the product
specification.
• 4. A "multi-functional team" should be designated to assist
the identified leader in the management of the (1) Major
Complexity procurement. An important deputy to the
designated team leader will be the assigned buyer, the
contracts person, that individual who has delegated
procurement authority and who will enforce company
procurement policies.
• 5. Each (1) Major Complexity procurement will have an
"independent cost estimate" prepared of the estimated required
costs, which will be used to compare to the solicited proposals
when they are received.
• 6. All project procurements must be "scheduled" so as to support
the project master schedule.
• 7. Each (1) Major complexity procurement must have a "risk analysis"
performed so as to identify the associated risks. All high risk
procurements should also have a risk mitigation plan prepared to bring
the identified risks down to acceptable levels.
• 8. Each (1) major complex procurement should be assessed to
determine the appropriate "contract type" to be employed, on a
case by case basis.
• 9. The "management oversight requirements" including formal
reporting, and project status reviews must be determined and
specified in the Request for Proposal and resulting contract.
• 10. In all cases, a formal "Procurement Management Plan" should be
developed and published and implemented to support the
procurements on the project.