You are on page 1of 18

Project Cycle Management

A logical sequence in which the projects are


identified, prepared, approved and implemented
is called project cycle.

It is an approach in project management used to


guide management activities and decisionmaking procedures during the life-cycle of a
project, from the first idea until the last ex-post
evaluation.

Project Cycle Management


Within all institutions the cycle shares three
common themes:

The cycle defines the key decisions, information


requirements and responsibilities at each phase;
The phases in the cycle are progressive each
phase needs to be completed for the next to be
tackled with success.
The cycle draws on evaluation to build experience
from existing projects into the design of future
projects.
2

Stages in PCM

There are eight broad stages of project cycle:

Project Identification
Project Preparation
Project Appraisal
Project Approval
Project Implementation
Project Monitoring
Project Completion
Project Evaluation

Project Cycle
Evaluation

Identification

Completion

Preparation

Appraisal

Monitoring

Implementation

Approval
4

Project Cycle

Project Identification

To determine demand for projects from


communities or stakeholders perspective,
three key elements are involved;
1.
2.
3.

Needs Analysis;
Situation Analysis; and
Stakeholders Analysis.

Project Identification
At the public sector level the following provides
the basis for project identification;

Sector Surveys;
Development Plans
Immediate Nature/Calamity Projects
Expansion of On-going Programmes;
Elected Representatives

Project Formulation
Projects are usually prepared by the executing
agencies and it consists of two stages:
Feasibility Study
Project Document
Important Considerations:
Survey of the area
Availability of resources
Yearly allocation
Capacity of Implementing agency
8

Project Appraisal

Critical examination of the project from all


aspects is called appraisal.

Analysis of prospective costs and benefits that


leads to desirability for committing resources.

It is carried out at two stages:


Internal Appraisal
External Appraisal

Development Forums
1.
2.

3.
4.
5.

6.

National Economic Council (NEC)


Executive Committee of National Economic
Council (ECNEC)
Central Development Working Party (CDWP)
Provincial Development Working Party (PDWP)
Departmental Development Working Party
(DDWP)
District Development Committee (DDC)

10

APPROVAL FORUMS SETTLED AREAS


Chaired By

Prime Minister

Prime Minister
Powers
Delegated to
Finance
Minister
Dy. Chair PC
Federal
Additional Chief
Secretary, Planning
& Development, KPK
Secretary of a
Department / DCO

Forums

Mandate/ Financial Power

NEC

All Development
Plans & Planning
Policies

ECNEC

Projects Exceeding
Rs 1000 M

Fed. Projects up to 1000


M
(Prov. Projects Rs.1000 M
involving F/Aid or
Federal funding

CDWP

PDWP
DDWP/DDDC

Project up to Rs. 1000 M


Clearance of Projects
requiring approval of
CDWP/ECNEC
Provincial / District
Projects up to Rs. 60 M

Project Implementation

Project implementation entails intense activities


and a variety of physical work.

Implementation of activities and financial


management should be undertaken in accordance
with all the established guidelines, procedures
and regulations guiding the project.

Implementation of the project is the responsibility


of executing agencies through;
Departmental/Organization Staf
Project Staf
12

Project Monitoring
It is the systematic review of development
projects at appropriate intervals during
implementation through well defined indicators.
Benefits of Monitoring
Efective Implementation
Timely Completion
Completion within approved cost
Types of Monitoring
Financial Monitoring
Physical/Quantitative Monitoring
Qualitative Monitoring
13

Project Monitoring

Levels of Monitoring
Internal Monitoring
External Monitoring

Key Monitoring Indicators


Allocation of Funds
Release of Funds
Time Scheduling
Technical Parameters
Physical Progress
14

Project Completion
It is a report submitted immediately after the
completion of the project. Major emphasis of the
report is on the following:

Achievements against Targets/Results of


project;
Actual expenses vs. budgeted for the project;
Reasons for:

the

Under achievement if the desired targets are not achieved;


Delay if the project is not completed within stipulated time.

15

Project Evaluation
Project evaluation examines all aspects of the
project design and assess the overall progress
towards the ultimate objectives.
Types of Evaluation
Ex-Ante Evaluation
Mid Term Evaluation
Ex-Post project completion evaluation

16

Monitoring vs Evaluation
Monitoring

Evaluation

Who?

Internal management
responsibility all levels

Usually incorporates external inputs

When?

Ongoing

Periodic mid-term, completion, expost

Why?

Check progress, take remedial


action, update plans

Learn broad lessons applicable to


other programs/projects, policy
review, etc

Focus on Inputs, activities, outputs

17

Results, purpose, overall objective

Monitoring vs Evaluation

Monitoring
Routine collection of
information
Tracking
implementation
progress
Measuring efficiency

Is the project doing


things right ?
18

Evaluation
Analyzing information
Ex-post assessment of
effectiveness and
impact
Confirming project
expectations
Measuring impacts
Has the project done
the right things?