Planning framework

The Results Framework is the basis for implementation, monitoring and review of the BOS, ensuring accountability in accordance with standard principles of UN Results Based Management (RBM). It captures the joint priorities of common business operations for cost avoidance and quality enhancement. It supports the joint planning and budgeting of the OMT and its working groups.

The information added during the stock take and the Opportunity Analysis contributes to the completion of the Results Framework.

Key Performance Indicators (KPIs) are a powerful tool for monitoring the continued added value (cost avoidance) and standards of quality over time, especially when compared to previous years (trend analysis).

Each common service category has two mandatory KPIs for each common service: one measuring cost avoidance and one measuring quality improvement. OMTs are also able to select additional KPIs from a list of pre-drafted KPIs or add specific ones based on country context. Sources of verification are different depending on the type of KPIs selected:

• Quantitative KPIs are monitored using verifiable data sources identified in the BOS Results Framework.

• Qualitative KPIs are monitored utilizing a client or agency satisfaction survey circulated at the time of annual reporting.

KPIs are the means to measure that a target has been reached, i.e. what the cost avoidance and quality enhancements have been.

OMTs are strongly encouraged to select specific KPIs monitoring progress towards environmental sustainability. These are clearly marked in the online platform.

When developing context specific KPIs, it is important to remember these points:

• KPIs need to be SMART: Specific, Measurable, Attainable, Relevant, and Time-bound.

• KPIs should use plain language, and not indicate the direction. For example, do state ‘staff time spent on a procurement activity’; do not state ‘reduced staff time spent on a procurement activity’. The intended direction is set in the difference between the baseline and the target.

• Beware that KPIs should only be added if there is a real need to monitor progress on a specific aspect. OMTs should avoid selecting/developing too many KPIs as this can result in heavy reporting duties for the country office.

For all mandatory and additionally selected KPIs, OMTs must establish:

• A baseline that indicates the reference point against which progress is assessed;

• A target that indicates the goal to be achieved annually; and

• The source of verification that will be drawn on to provide the data to measure results

The successful implementation of the BOS is conditioned by risks and assumptions. Risks are potential future events that are fully or partially beyond control and may (negatively) affect the achievement of the results. Assumptions are the variables or factors that need to be in place for results to be achieved.

Risks and assumptions relate to different elements such as: operational, financial, political, reputational, etc. They can be internal (e.g. staff capacity, management capacity, delegation of authority etc.) or external to the organization (e.g. country context, political environment etc.). Once identified, the response and likelihood of risks and assumptions need to be classified to ensure the appropriate level of management by the UNCT.

OMT Chairs are asked to define one set of risks and assumptions for their BOS and specify their respective mitigation plans.

Risk mitigation involves the development and implementation of plans designed to manage, eliminate, or reduce risk to an acceptable level. Mitigation plans should be continually monitored, and if necessary adjusted, for maximum efficacy. Risk mitigation handling options include:

• Accept: Acknowledge the existence of a particular risk and make a deliberate decision to accept it without engaging in special efforts to control it. Approval of the UNCT is required.

• Avoid: Adjust operational requirements or constraints to eliminate or reduce the risk. This adjustment could be accommodated by a change in funding, timeframe, or technical requirements.

• Control: Implement actions to minimize the impact or likelihood of the risk.

• Transfer: Reassign organizational accountability, responsibility, and authority to another stakeholder willing to accept the risk.

• Monitor: Monitor the environment for changes that affect the nature and/or the impact of the risk.

The implementation is one of the most important parts of the BOS. This is when UN Agencies start collaborating and moving towards more efficient and environmentally sustainable operations. The BOS implementation is led by the OMT and supported by the OMT working groups and task teams. An implementation plan is created to facilitate the definition of activities and budget for the implementation of each common service as well as monitoring their status.

To complete the implementation plan OMT working groups need to define:

• The actions needed to implement each common service or follow up on unmet targets;

• The timeframe in which activities need to be completed;

• The roles and responsibilities of OMT working group members or others to coordinate and implement each specific task;

• The specific budget requirements for investments in equipment or technical support needed that require joint budget commitment from the agencies involved; and

• An overview on whether budget requirements are covered or whether there is a gap and the UNCT would need to mobilize resources accordingly.

The implementation plan tracks the progress made towards each activity and is reviewed and updated on a regular basis.

The BOS budget is managed by the OMT and includes any costs required to coordinate, implement, monitor, and review common services as outlined in the Implementation Plan.

The budget is administered by one UN entity or the OMT on behalf of all participating and contributing UN. The way in which the budget is administered is the decision of the UNCT. In some cases, UNCTs may seek financial resources from other sources to fund specific common service opportunities.

The budget is set up by the OMT working groups at activity level when completing the implementation plan. It can be reviewed and updated on a regular basis. Once the implementation plan and budget have been completed, the OMT can present it to the UNCT for discussion and financial support. Joint resource mobilization strategies are discussed at this time. Some OMTs use a common services account to manage pooled joint resources for BOS implementation.

At the sign-off step, the OMT presents the budget to the UNCT for endorsement.

The BOS online platform automatically generates the budget from the planned cost figures added to the implementation plan.

[1] These costs are already factored into agency budgets and, therefore, are not an ‘additional’ cost for BOS.