Time allocation or task sequencing

ADB project teams need to have a realistic understanding of how long it takes host governments to secure internal approvals to avoid delays in completion thatcould impact project performance. Loan effectiveness took place about 5 months after loan signing, some 3 months behind schedule, “due to prolonged government approvals and parliamentary ratification procedures.” This put the project behind schedule almost from the beginning. Subsequent review missions “emphasized the need to accelerate implementation of all planned activities.

Climatic constraints, available working seasons over the year, difficult terrain, availability of experienced local labor, and availability of construction materials need to be adequately considered in deciding the construction completion period. As this was not the case under the project, the Public Works Department was forced to extend the contracts' duration to be able to complete the civil works contracts.

As they can lead to time and cost overruns, wide time gaps between the finalization of the estimate, initiation of the bidding process, and awarding of contracts should be avoided. Significant time gaps of 4–5 years between the finalization of the detailed project reports, including cost estimates and the completion of the bidding process were incurred in this project. This led to higher contract costs in comparison to the engineering estimates.

Timelines for policy changes and major reforms should also be realistic, knowing that building understanding and ownership can take time and the passage of legislation can be a lengthy process. Two municipalities declined to participate in the project because of their objection to the transfer of ownership and management of assets to a state government agency.

Outcome indicators that do
not measure the achievement of outcomes and that are only indirectly linked to the desired
outcomes weaken the attainment of objectives.

Assessment of project impacts critically depends on the collection and analysis of project and other data. Establishing a project performance management system as part of project administration and covenanted in the loan agreement is crucial.

Immediately prior to project approval, a final assessment of the project environment can help identify potential changes or revisions affecting the implementation of subprojects and their components. While scope changes may be unavoidable, the challenge is to proactively identify areas of concern where project circumstances may have already substantially changed prior to implementation affecting coverage of subprojects or components. For example, the higher performance standards brought in after approval for the wastewater treatment plant impacted its financial sustainability.

Cost overrun can potentially result in a decrease of intended benefits and lower achievement of project outcome. Appropriate estimation of project costs, including contingencies, at appraisal helps in reducing the cost overrun during implementation that could have serious implications on project implementation, given limited funding resources. For instance, a more rigorous consideration of design, including alternative designs and least-cost options, are important to help improve a project’s financial planning and accuracy of cost estimates.