Procurement

Prompt procurement and consultant recruitment create an early strong momentum for disbursement and delivery of physical works. Applying the lessons from earlier water resources and irrigation interventions in Cambodia, this project identified the implementation delay triggers and undertook advance actions to demobilize them. One such advance action was the prompt procurement and recruitment of consultants, which created a momentum for early and sustained disbursements and execution of civil works. water resources and irrigation in Cambodia. The project design identified

Project preparatory and startup activities should be synchronized to avoid wastage of time and resources. The implementation of subprojects in multiple geographic locations and the need to manage the storage of equipment delivered years before installation added to the challenges in managing this project. Furthermore, consultant recruitment was not aligned to implementation progress.

Unsynchronized consultant recruitment, procurement of goods, and facility upgrades could create inefficiencies and lead to a wastage of time and resources and delayed delivery of project benefits. While overall the project proceeded smoothly, it encountered some challenges that offer valuable lessons to future projects. First, as the timing of consultant inputs and procurement of laboratory facilities and equipment were not synchronized, i.e., consultants would arrive early while facilities were not yet ready, less-than-efficient inputs were obtained.

Appropriate contract packaging, stakeholder involvement in project preparation, and reliable cost estimates are of particular importance to successful project implementation. This project encountered several weaknesses in design and preparation that made implementation challenging.

Advance actions, supported by retroactive financing arrangements, can help minimize or avoid startup delays. The project faced start-up delays in both countries. It took more than two years from project effectiveness in each country for the first civil works contracts to be awarded. Recruitment of project implementation consultants, preparation of bidding documents, and preparation of the detailed designs were accomplished only after the project effectiveness. Such start-up delays could have

The use of the forced account works procedure for civil works and request for quotations and direct contracting for goods and equipment saved time in procurement for this project. The
maximum use of the flexibilities inherent in these procedures, which accords with ADB’s Disaster and Emergency Assistance Policy, boosted project effectiveness and efficiency.

Foreseeable delays in procurement and disbursements may be overcome by (i) including project readiness measures such as advance actions; and (ii) ensuring dedicated, full-time) and qualified staff with relevant experience for key project management positions. Amounting to 1.5 years in this project, these delays were attributable to the complexity of procedures in Viet Nam, the COVID-19 pandemic, and the large number of project facilities involved.

Lack of capacity and experience in executing/implementing agencies as well as lack of reference projects can negatively impact project implementation. This project encountered delays because the executing agency and project management unit (PMU) lacked capacity and prior experience with international financial institution–financed procurement and management of large projects. Moreover, there were no reference projects with similar legal and regional setups to provide lessons and guidance to the executing agency and PMU.

Detailed project preparation and feasibility studies carried out and included in the periodic financing request strengthen project readiness in procurement and safeguards implementation. This could entail conducting comprehensive field investigations and site assessments conducted during the detailed project reporting stage. Monsoon and weather conditions and project readiness for physical works should be considered in drawing up implementation schedules—for both onshore and offshore projects.

Engaging capable design institutes, backed by sufficient budget and time allocations, will result in better quality technical designs that in turn will facilitate construction progress, reduce the need for contract variations, and optimize construction costs. There were significant variations in some of this project's civil works contracts. These variations resulted mainly from poor quality of technical designs, with errors and omissions in the construction drawings.