#2. Adopt revisions to procurement diagnostic frameworks, specifically the review and revision of diagnostic tools (MAPS, CPARs and procurement related elements of PEFAs).abc
During the period of mandatory CPARs, there was more systematic attention to the issue of procurement in country strategies. CPAR guidelines addressed areas intended for Bank country dialog, notably pointing out differences relative to the Bank, as required for project lending, and incorporating flexibility to address country specific issues, and including action plans for improving procurement. Yet CPARs sometimes had scattered treatment of subjects.
Although MAPS exercises had more consistent structure, they were deemed to provide a "snapshot" of the system, rather than a roadmap for reform. Their limitations in terms of describing the functioning of a procurement system partly reflect the limited use of the MAPS performance indicators - possibly reflecting their complexity in environments of limited data availability. The recent integration of MAPS into CPARs in some countries is perhaps the most useful diagnostic tool, acknowledging the positive features of each. MAPS assessments benefited from their rigid framework as a tool for benchmarking and comparison. Yet they have also had limitations, in terms of tracking reform progress over time, partly reflecting the limited use of MAPS compliance and performance indicators, in view of their complexity.
WB: Agree #2. The diagnostic framework will be revised in the context of the proposed new framework for Procurement in World Bank Investment Project Finance. The Bank is engaged with OECD on a review of the MAPS methodology and will seek to positively influence its development. Similarly the Bank is also working closely with the PEFA secretariat to enhance the PEFA framework for better measurement of country systems. Internally, Management will review and revise the procurement diagnostic framework ensuring that the assessment leads to reforms that are sustainable, and seek to obtain value for money.
Action 2: Development of a consolidated tool which incorporates elements of MAPS, CPARs as well as other diagnostic tools.
Indicator: Tool developed that meets, inter alia, the criteria of:
- Providing a holistic view of structure, function and performance
- Are easily measurable and enable tracking over time
- Help prioritization of future country actions to be taken towards strengthening procurement.
Baseline: The tools currently available focus on components rather than take a holistic view of function, structure and performance. The CPAR is not standardized. The MAPS emphasizes form rather than function. Neither facilitates tracking over time.
Target: Consolidated tool developed.
Timeline:
Draft developed by FY15. Consultation with other development partners finalized by FY16.
Implementation started in FY16
Management's Action Plan proposed to develop a consolidated tool, which incorporates elements of MAPS, CPARs as well as other diagnostic tools, and provides a holistic view of the structure, function and performance of public procurement, and is measurable to enable tracking over time. The Bank has co-led an international initiative to upgrade and expand MAPS. MAPs methodology has been revised in June 2016. A first draft of revised MAPS (core indicators) was developed and made available for consultations on OECD governance website. A global event was held in Dakar, Senegal, in November 2016, to ensure broader dissemination and obtain feedback. Supplementary modules on Agency Level Assessments, Professionalization, Public Private Partnership (PPP), Sector Market Analysis, and Sustainable Public Procurement have been produced. Additionally, three test assessments using the revised draft MAPS were conducted (December 2016 - May 2017) in Chile, Norway and Senegal. Findings and lessons learned from these tests were discussed in a technical meeting held in Washington DC, June 2017. The Revised MAPS has been finalized and will be implemented from January 2018 onwards. The Revised MAPS indicators broadly meets the requirements posed by this recommendation. In addition, the review of the procurement indicator of PEFA has already been finalized in 2016 and the management has aligned the new version of procurement indicator (PI-24) with the revised MAPS.
Unchanged from 2016. All actions identified in the Action Plan have been completed. Further information on status of MAPS is provided in Ref. 323. Please note that, contrary to IEG Update FY16 (see MARs 323 and 324), methodologies for assessing public procurement systems (either for the approval of alternative procurement agreements (APA) or for diagnosing public procurement systems) do not require World Bank Board of Director's approval. Under the current legal architecture of the Procurement Framework, Management, and not the Board, issues, interprets and revises specific forms of agreements required for procurement, including APA methodology and other methodologies for assessing public procurement systems. As explained in Management Updated 2017 related to the MAR 323, the Bank and partners committed in 2005 to use mutually agreed standards and processes to carry out diagnostics to define sustainable reforms and monitor implementation. To that end the Methodology for Assessing Procurement Systems (MAPS core methodology) has become the globally recognized common methodology for the assessment of national procurement systems. This methodology was recently revised and a final version of the MAPS core methodology, already shared with IEG, has been finalized and it is about to be launched in January 2018.
Management's Action Plan proposed to develop a consolidated tool, which incorporates elements of MAPS, CPARs as well as other diagnostic tools, and provides a holistic view of the structure, function and performance of public procurement, and is measurable to enable tracking over time. The timeline to develop and start implementation of this tool was FY'16. IEG is happy to note that while an earlier version of MAPS has been already used by the Bank as the country-level analytical tool that enables the formulation of best fit procurement reform programs, the Bank has been actively collaborating with other donors and countries as an active partner in the global agenda to update the MAPs indicators. A first draft of revised MAPS (core indicators) has been developed and is available for consultations on OECD governance website. A global event is planned in Dakar, Senegal, in November 2016, to ensure broader dissemination. The draft of revised MAPS indicators broadly meets the requirements posed by this recommendation to develop a consolidated tool providing a holistic view of structure, function and performance, and which is easily measurable and enable tracking over time. IEG awaits the outcomes of ongoing consultations and the approval of the Board by the end of FY'17. In addition, the review of the procurement indicator of PEFA has been finalized and management has made effort to align the new version of the procurement indicator (PI-24) with the revised MAPs. It focuses on transparency of procurement arrangements, with emphasis on open and competitive procedures, monitoring of procurement results, and access to appeal and redress arrangements.
MAPS is a global methodology envisaged as an important diagnostic instrument to support the GPP development agenda in public procurement. The Bank has continued its engagement with OECD on the review of the MAPS methodology. Following a Bank-sponsored global event in Manila in the spring of 2015 and building on broad demand, a representative group of stakeholders convened a working group to provide guidance in the development of the revised MAPS. The Bank is currently co-chairing this working group with a diverse representation of countries, multilateral development banks, and bilateral donors. It was agreed that the OECD would initially coordinate the initiative and host a Secretariat, pending agreement on a permanent arrangement." The first draft of the revised MAPS (core indicators) is available for consultation on the OECD governance website (http://www.oecd.org/gov/ethics/public-consultation-methodology-assessin…), and a global event to ensure broader dissemination and promote feedback and buy-in is scheduled for November 8-10 in Dakar, Senegal. The revised methodology is expected to be launched later in November 2016, and implementation will follow. The revised MAPS provides a more holistic view of the structure, function, and performance of procurement systems. It is a universal tool to catalyze and accelerate the implementation of modern, efficient, sustainable and more inclusive public procurement systems in all countries. MAPS assessments highlight where reforms are most needed and indicate how they can best be implemented. As part of the NPF, Management has drafted a methodology (based on MAPS and PEFA, and therefore consistent with them) to assess and diagnose the procurement systems used in borrower agencies and to inform decisions about using such systems as Alternative Procurement Arrangements (APA). The APA methodology is being fine-tuned after being tested in two borrowers' agencies (India Power Grid and the Kingdom of Bhutan Thrimphu Tromde). As agreed with the Bank's Board of Directors, technical discussions will be held with ED advisors before Management finalizes this methodology.
As regards discussions with OECD, IEG is informed that the task of updating MAPs-OECD is being led by the OECD ,with active participation from the WB and several countries. Over the last 10 months 3 meetings have taken place towards mobilizing this agenda. A working group has recently been created led by WB, France and Senegal. Next technical meetings are scheduled for December 2015. IEG looks forward to the outcomes from these meetings and at least a draft proposal of a revised methodology.
As regards the PEFA secretariat, the procurement indicator was updated late in 2014 and recently reviewed to respond to some findings from a pilot implementation. Correspondence with the PEFA secretariat is attached regarding the pilot and final methodology on public procurement measurement is attached.
Based largely on the progress with PEFA, IEG considers the progress to be substantial.
Since these MARs were approved, Management has been engaged in the following activities:
1. Close discussions with OECD and country members to update the MAPS indicators to better describe the performance of the procurement system. The Bank has assisted OECD to finalize a terms of reference for the review of MAPS to assist in driving this agenda.
2. As part of the new Procurement Framework, Management has drafted a methodology (based on OECD MAPS and PEFA) for assessing and diagnosing public procurement systems in borrower agencies to progress decisions on alternative procurement arrangements and to further inform capacity building activities. The approach has been discussed with other development partners.
Management has worked with the PEFA Secretariat and other partners to enhance the existing PEFA methodology and indicators to include new measures that focus on procurement performance. Early feedback is that the new indicators have been well received by stakeholders and are considered positive enhancements to the PEFA Framework. The measure will now be tested and refined.