International Training Centre

Programming and Project

Formulation Wokshop
Manila
Sep 30-Oct 4, 2002

International Training Centre

Day Two:

Methods and Tools

for Project Formulation

Methods
and Tools

Methods and Tools for Project

Formulation

Problem Tree Analysis

Stakeholder Analysis
Logical Framework Analysis
Goal-Oriented Project Planning
(ZOPP)

Methods
and Tools

1. The Problem Tree

Purpose:

to identify major problems and

their main causal
relationships.

Output:

a graphical arrangement of
problems differentiated
according to causes and
effects

Methods
and Tools

Core Problem Approach

1.

Identify a core or central problem

2.

List all the problems related to or stemming from

the core problem

3.

Determine which related problems are causes and

which are effects of the core problem

4.

Arrange the problems in a cause-effect heirarchy

around the core problem

Methods
and Tools

Problem Tree Example

Methods
and Tools

From Problems to Objectives

The Problem Tree provides the basis for:

a) the identification of specific project
objectives (by converting problems or
constraints into specific objectives)
b) the definition of project activities and
outputs (by substituting cause-effect
relationships with means-end relationships)

Methods
and Tools

Problem Tree Analysis

Relies on:
Group-based inter-action eg. Workshop
format

Participation of key stakeholders

Process facilitation
Achieving consensus on problems,
causes and effects

Methods
and Tools

2. Stakeholder Analysis

Purpose:
to identify those groups who, directly or indirectly,
will affect or be affected by a project.
To determine, through consultation, the issues,
concerns and information needs of different
stakeholders
To estimate the probable impact which various
stakeholders will have on the project
To identify measures to enhance stakeholder support
for the sustainable development objectives of the
project.

Methods
and Tools

What is a Stakeholder?

Any group within or outside a

project that has a stake in the
projects activities and/or
outcomes.

Categories of Project Stakeholders

Methods
and Tools

Government
Local Authorities
Vulnerable groups
Employers
Workers
NGOs

Methods
and Tools

Importance of Stakeholder Analysis

Stakeholder Analysis promotes the three necessary

conditions for the effective implementation of a project.

1. Awareness/Comittment: that stakeholders

understand and believe in the objectives and
implementation strategy of the project.
2. Capability: that stakeholders believe they can
cope with and benefit from the changes which the
project is intended to bring
3. Inclusion: that stakeholders feel they are valued,
consulted and part of the change process which
the project represents

Methods
and Tools

Conducting a Stakeholder Analysis

Step 1: Identify and Categorize Project

Stakeholders:

Identify project stakeholders (including

local institutions, community interest
groups, suppliers etc.) and then divide
them amongst the categories mentioned
earlier.

Methods
and Tools

Step 2

Create a Probable Character Profile

for each Stakeholder by seeking
answers to questions like:
What is the importance of the stakeholders
for the project?
What does the stakeholder demand of the
project?
What are the expected goals of the
stakeholders?

Methods
and Tools

Step 3

Identify the Strengths, Weaknesses,

Opportunities and Threats of the
Stakeholders to the Project (SWOT)
What are the strengths and weaknesses
of the stakeholders?
As a consequence, what are the
opportunities and threats of the external
environment?

Step 4

Methods
and Tools

Identify the main individuals/groups of

Stakeholders who need special attention
and propose specific measures in a
summary table:
Stakeholder

Stakeholder
Interest(s) in the
Project

Assessment of
Impact

Potential Strategies for

Obtaining Support or
Reducing Obstacles

Methods
and Tools

a)

Alternative Stakeholder
Analysis Technique

(Draw up a Chart on a whiteboard or flipchart)

Draw up a chart

Att=attitude

Inf=influence E=estimate C=confidence

Methods
and Tools

b) List stakeholders

Identify and list the stakeholders

(individuals, or stakeholder groups, or
both)

Transfer them to the left hand column of

the chart in order of (perceived)
importance

Methods
and Tools

c) Estimate Attitude and

Confidence

Column 2: Record your best estimate of

the stakeholder's attitude, from fully
supportive to fully opposed. eg. from +5
to 5
Column 3: Record your level of
confidence in this estimate eg. From 1
(fully confident) to 5 (wild guess)

Methods
and Tools

d) Estimate Influence and

Confidence

Repeat (3) for Stakeholders perceived

influence on the project

Methods
and Tools

e) Plan Strategies

Plan your strategies for approaching and

involving each person or group.
The estimates in columns 2 to 5 help you to
do this.
Your strategy is written in column 6. It
usually takes the form of obtaining more
information, or of involving the stakeholder
in the planning of project activities

Methods
and Tools

Q:
A:

3. Logical Framework Analysis

What is Logical Framework Analysis?

An analytical tool to assist project specialists
and stakeholders in conceptualising:
the objectives of a project;
the means whereby these objectives will
be achieved
how progress towards achieving
objectives will be measured and,
the underlying assumptions and risks
which will be faced

Methods
and Tools

The LogFrame Matrix

The Logical Framework Approach uses a matrix

or LogFrame to present information about project
objectives, outputs and activities in a concise,
logical and systematic way.

The basic Log Frame matrix contains 16 cells

organized into 4 columns and 4 rows, as
indicated in the next slide:

Methods
and Tools

The LogFrame Matrix

Objectives
(Narrative Summary)
Goal:
(Development Objective)
Purpose:
(Immediate Objectives)
Outputs:
Activities:
.

Verifiable Indicators

Means of Verification

Important Assumptions

Contents of the LogFrame Matrix

Objectives
(Narrative Summary)
Goal:
(Development
Objective)

Purpose:
(Immediate Objectives)

Outputs:
Indicate each of the
outputs that are to be
produced by the project
in order to achieve
project purpose

Activities:
Indicate each of the
activities that must be
undertaken in order to
accomplish the outputs.

Verifiable Indicators

Means of Verification

Important Assumptions

What are the quantitative

ways of measuring, or
qualitative ways of judging,
whether these broad
objectives are being
achieved? (estimated time)

What sources of information

exists, or can be provided
cost-effectively?

What external factors are

necessary for sustaining
objectives in the long run?

What are the quantitative

measures or qualitative
evidence by which
achievement and distribution
of impacts and benefits can be
judged (estimated time)

What sources of information

exists or can be provided
cost-effectively? Does
provision for collection need
to be made under inputsoutputs?

(Purpose to Goal):
What conditions external to the
project are necessary if
achievements of the projects
purpose is to contribute to
reaching the project goal?

What sources of
information?

(Output of Purpose):
What are the factors not within
the control of the project
which, if not present, are liable
to restrict progress from
outputs to achievements of
project purpose?

What are sources of

information?

(Activity to Output):
1) What external factors must
be realised to obtain planned
outputs on schedule?
2) What kind of decisions or
actions outside the control of
the project are necessary for
inception of the project?

What kind and quantity of

outputs, and by when will
they be produced? (quantity,
quality, time)

VIs should be included

against all activities. This is
essential for projects
reporting and monitoring
against the Logical
Framework.

Methods
and Tools

The LFA Process

Logical framework analysis is an iteritive

process which seeks to promote clear
conceptual thinking on what a project
intends to do and how it intends to do it.
It is logical in the internal relationship
between project objectives, outputs,
activities (and inputs)
It is based on a consultative process
between project authorities, beneficiaries
and stakeholders

Methods
and Tools

Steps in Constructing a LogFrame

Step 1: Define the Overall Goal to which

your project contributes ie. Development
Objective
Step 2: Define the Purpose(s) to be
achieved by the project (Immediate
objectives)

Step 3: Define the Outputs for achieving this

Purpose

Methods
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Step 4: Define the Activities for achieving each

Output
Step 5: Define the Assumptions under which
success in achieving the objective of one level will
contribute to achieving objectives at the next level
Step 6: Define the Objectively Verifiable Indicators
(OVI) at Goal, Purpose, Output and Activity levels.

Step 7: Define the Means of Verification (MOV) ie. the

source(s) of information for each indicator

Methods
and Tools

Why Use Logical Framework Analysis?

Because it demands clear thinking at the

conceptual stage of project formulation
Because it brings together in one place a
statement of all the key components of a
project
Because it presents them in a systematic,
concise and coherent way

Methods
and Tools

Because it separates out the various levels in the hierarchy of

objectives, outputs and activities helping to ensure that they are not
confused with each other

Because it identifies the main factors related to the success of the

project

Because it provides a basis for monitoring and evaluation project

success

and because 9 out of 10 donors prefer it!

Methods and
Tools

Limitations of the LFA

It is not a substitute for other technical,

economic, social and environmental
analyses. It cannot replace the use of
professionally qualified and experienced
staff.

Rigidity in project management may arise

when objectives and external factors
specified during design are over emphasised.

 It requires a team process with good

leadership and facilitation skills to be
effective.
The whole culture of the Logical
Framework can be alien in some
societies.

Methods
and Tools

Tips When Filling in a LogFrame

start at the top and work down the first

column (what do you want to do?)
then think horizontally: how can I measure
the progress of what I want to do and what
sources of info do I need?)
then reflect back up (under what
assumptions will success at one level
contribute to (or detract from) success at the
next level?

Methods
and Tools

4. Goal Oriented Project

Planning: ZOPP

Zopp is a systematic structure for

identification, planning, and management of
projects
Applied through iterative workshops with
project authorities, beneficiaries and
stakeholders

Utilizes problem analysis and stakeholder

analysis to create a project planning matrix
or logical project framework

Methods
and Tools

Stages in the ZOPP Process

Pre-ZOPP: in-house exercise by agencies in preparation for a

project.
Appraisal ZOPP: in-house appraisal for preparing Project TORs
Partner ZOPP: in-country; presentation and discussion of previous
phase conclusions and recommendations with staff of project
country
Take-off ZOPP: in-country; preparation of the plan of operations
with personnel responsible for project execution and counterpart
authorities.

Re-planning ZOPP: prepared in-country; adjustments during

project implementation.

Methods
and Tools

Zopp Workshops

last from 1 day to 2 weeks (avg. 1 week)

participants selected to represent all
interest groups
basic premise: main interest groups must
be represented from all levels
exercise requires a facilitator with a high
degree of experience and skill

Methods
and Tools

WS Content and Methodology

Based on a series of analysis and

planning exercises comprising:
i)

Analysis

Participant analysis: (interests, motives, attitudes

and implications for project)
Problem analysis: major problems grouped into a
problem-tree with cause and effect and identification
of the core problem
Objectives analysis: a restatement of the problems
into realistically achievable goals;
Alternatives analysis: assessment of alternative
objectives according to resources, feasibility, costbenefit ratio, social risks, sustainability and other
factors as decided by group. Prepared on charts.

Methods
and Tools

ZOPPs Project Planning Matrix (PPM)

The PPM is a Logframe Matrix. It is central to ZOPP-based

project work because the process of building it relies on
repeated, collaborative stakeholder input. The PPM It is a
one-page summary of:

why the project is carried out,

what the project is expected to achieve,
how the project is going to achieve these results,
factors crucial for the success of the project,
how can success be measured,
where data is needed to assess project success,
what the project will cost.

Methods
and Tools

ZOPPs
Workshops
ZOPPsIterative
Iterative
Process

ZOPP is not a oneshot exercise;

Each plannng phase has a specific goal
Each goal is the subject of a workshop
Each workshop comprised of different
stakeholders
Participants analyse key issues throughout
the project cycle.
No set formula for successful workshop.
All need to create common language and
understand one another divergent views

Methods
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Conclusion

Conclusion

Collaboration is not "automatically" part of

the ZOPP process. The project team,
borrower/donor, and stakeholders must
commit to adopting a participatory stance
for the overall project; otherwise, the
ZOPP process is merely an organizing
tool.