BIG RESULTS NOW! (BRN)

General Budget Support Annual Review Meeting

18th November 2013

Julius Nyerere International Convention Centre

Presentation by The President’s Delivery Bureau (PDB)

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Outline

1. Background

2. Implementation Status

3. BRN Financing

4. Challenges

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1. Tanzania Development Vision 2025▪ Transforming Tanzania into a middle-income country imbued

with the following characteristics:▫ high quality livelihood; ▫ peace, stability and unity; ▫ good governance; ▫ educated and learning society; and ▫ competitive economy

▪ Transform the economy from a predominantly agricultural one to a diversified and semi-industrialized economy with a substantial industrial sector

2. Review of TDV2025 in 2010 – 2011 Revealed that: We had succeeded in improving some areas especially in

macro-economic management, e.g.:3

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GDP growth of 7%, Inflation rate of 6%, food self sufficiency index at 100%, respectable progress in improving quality of life by way improving the

delivery of social services (education, health, water) and instituting good governance and rule of law

But there were also significant shortcomings in that There was no significant poverty reduction (Head count index declined

from 35.7 in 2001 to 33.6 in 2007) The achievements fell short of TDV 2025 intermediate targets

Vision is still valid

Need to address prioritisation and M&E in implementation

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3. GoT Response: Resuscitate long term planning Long Term Perspective Plan 2011/12-2025/26 (LTPP

2011/12-2025/26) formulated ▫ Objective:

To ensure that the country’s resources are organized and used strategically to guarantee the realisation of the development aspirations of Tanzania’s Development Vision 2025 (TDV 2025).

Put the country on a rapid, inclusive and sustainable growth trajectory and in so doing position the country on a sure path to realising the development aspirations outlined in the TDV

▫ Implementation :Implementation of LTPP divided into three five year development plans (FYDPs), each with a theme to underpin the thrust and priority interventions.

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The First Five Year Development Plan 2011/12-2015/16 (FYDP I) ▫ Theme:

“Unleashing Tanzania’s Latent Growth Potentials” ▫ Objective:

To unleash the country’s growth potentials in order to fast-track the provision of the basic conditions for high, broad-based and pro-poor growth.

▫ Strategy:Undertaking deliberate interventions that will remove the binding constraints on the country’s ability to exploit its strategic growth opportunities.

The Second Five Year Development Plan 2016/17-2020/21 (FYDP II) ▫ Theme: “Nurturing and Industrial Economy”

The Third Five Year Development Plan 2021/22-2025/26 (FYDP III) 6

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Big Results Now! (BRN) Initiative … local efforts to deliver on Development Vision 2025 … inspired by Malaysian experience – Big Fast Results!

Experience from Malaysia showed that big results can be achieved fast through the “delivery lab” methodology…

▪ Malaysia launched a transformation program in 2009 –known as “Big Fast Results” (BFR) to realize its vision of becoming a high-income country by 2020

▪ The approach was centred around ‘delivery labs’ for priority areas and the Performance Management and Delivery Unit (PEMANDU) was established to run and monitor the programme

▪ The delivery lab methodology has delivered significant results in less than 3 years in Malaysia on 18 national key economic areas, such as– Street crime reduced by 39% from 2010 to 2011– Implementation of a new MRT urban transport system providing >11% of total travel

across Kuala Lumpur

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Big Results Now! (BRN) Programme … local efforts to deliver on Development Vision 2025 … inspired by Malaysian experience

. . . inspired by the Malaysian experience, Tanzania launched its own BRN initiative in February 2013

His Excellency President Kikwete visited Malaysia and was introduced to PEMANDU’s delivery lab methodology

The Government of Tanzania expressed interest in adapting the methodology to and implementing it in Tanzania. This was followed by senior officials’ study tour.

High level Cabinet Retreat on BFR methodology and approval of the same to be adapted and used in Tanzania

High level Cabinet Retreat approved establishment of Delivery Unit, 6 focus areas (NKRAs) and operationalisation of Selected Labs

Launch of the Big Results Now approach and Lab Process.Cabinet endorses lab recommendations and Ministers sign performance contractsBig Results Now Open DayEstablishment of President’s Delivery Bureau and Ministerial Delivery Units (MDUs); Appointment of Chief Executive Officer (CEO) of PDB

Appointment of Deputy CEO for Agricultural Delivery MoU in support of BRN Support System Programme and Project Document of Catalyzing Agricultural Development in Tanzania signed between government and development partners; Recruitment processes for PDB and MDUs initiated.

June 2011

Sept 2012

Aug 2012

Oct 2012

June 2013

Feb 2013

May 2013

Aug 2013

Sep/Oct2013

April 2013

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4. Big Results Now! InitiativeInitiative of the government aimed at establishing a strong and effective system to oversee, monitor and evaluate the implementation of its development plans (particularly the FYDP I) and programmes based on Malaysia’s Big Fast Results approach, which hinges on: ruthless prioritisation; detailed monitoring tools; and accountability for performance.

5. Mainstreaming BRNThe impact of the Big Results Now initiative will be felt as resulting initiatives are implemented through the Annual Development Plans for the years 2013/14, 2014/15 and 2015/16 which are the channels through which FYDP I is also being implemented.

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10101010

• Overarching development goals• Launched 2000

MKUKUTA

Long Term Perspective Plan (LTPP)

FYDP I FYDP II FYDP III

BRN BRN BRN

Catalytic projects with big fast results

• Education NKRA• Water NKRA• Energy NKRA• Agriculture NKRA• Resource Mobilization NKRA• Central Corridor Transport NKRA

2013/14 Annual Dev. Plan

2014/15 Annual Dev. Plan

2015/16 Annual Dev. Plan

BRN…an integral part of TDV 2025

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1. Identifying and working on National Key Results

BRNRoadmap

Labs2

Open Day

Annual Report

3

4

KPI targets5

Imple-mentation

6

IPR/Audit

7

…6 out of 8 steps in BFR have been undertaken in BRN

Imple-mentation

6

8

4

Strategic Direction

1

Establish in detail what needs to be done; conducted in White Sands Hotel, 22/02 – 5/04/2013

Shared lab output with general public and got feedback- 24/05/2013 at National Museum Grounds

Inform the public by publishing what is going to get done in tiny detail (getting pregnant!)

Informing the public delivery over the period.

Setting KPIs for the managers of the process (6 Ministers), available POPC website (www.mipangotz.go.tz).

Problem solving, on the ground implementation

External validation on results achieved

Done through Multiple Cabinet retreats, finally 6 NKRAs picked

Lab ProcessWhat? ▪ An iterative process for addressing difficult issues and accelerating solution development

▪ Key stakeholders (20-30 people) from the relevant public, private and civil society organisations relevant to solve the defined problem

Who?

▪ A “3-feet“ level (detailed) implementation programme, including agreed solutions, detailed execution plan with responsible stakeholders, targets, and delivery mechanisms to ensure implementation

Output

▪ Cross-organizational team works full-time in one location (6-8 weeks)▪ The lab involves intense problem-solving, supported by a facilitator team through:

Learning (fact finding, research, identifying best practices and success stories); Analysis (Data analysis

and number-crunching, Stakeholder analysis, root cause analysis) Brainstorming for solutions (Intervention design, follow-up on outstanding Issues, documentation and data entry); and Discussions and debriefs (outcomes from external meetings and discussions, syndications)

How?

Why? ▪ To solve complex issue / problems;▪ To syndicate to ensure alignment: Key stakeholders are engaged early and continuously (~every 2

weeks)

▪ To create transparency and remove silos in resolving bottlenecks and implementing solutions▪ To secure commitment: Critical stakeholders sign off on plans and are accountable for the implementation

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13131313

First wave of labs were conducted from February 18 to April 5, at the White Sands Hotel WEEK 1

(Feb 18-22)Lab

preparation

WEEK 5(Mar 18-21)

10,000 ftimplementati

on programme

writing

WEEK 6(Mar 25-28)

1,000 ftImplementa-

tion programme

writing

WEEK 7(Apr 2-5)

3 ft implementa-

tion programme

writingDetail budget

WEEK 8(Apr 8-12)

Finalisation &

documentation Detail budget

WEEK 2(Feb 25-Mar 1)Problem

definition and prioritisation

WEEK 3(Mar 4-8)

Key challenge

identification

WEEK 4(Mar 11-16)Big ideas

brainstorming and solution identification

The lab output increased delivery capabilities for participants and momentum for initiatives

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Agriculture

Water

Energy

Transportation

Resource mobilisation

Education

Big Results by 2015▪ 25 commercial farming deals for paddy and sugarcane▪ 78 collective rice irrigation and marketing schemes▪ 275 collective warehouse-based marketing schemes

▪ Pass rate of 80% for primary and secondary school students▪ Improve students’ mastering of 3R in Standard I and II by

implementing skills assessment and training teachers ▪ Increase generation capacity from 1,010 to 2,260 MW▪ Access to electricity to 5 mil more Tanzanians▪ Eliminate EPP reliance▪ Passage of 5 mil tons per year through the Central Corridor▪ Increase port throughput by 6 mil tons, rail by 2.8 mil tons▪ Reduce road travel time from 3.5 to 2.5 days▪ Sustaining water supply to 15.2 mil people▪ Restoring water supply to 5.3 mil people▪ Extending water supply to 7 mil new users

▪ Increase tax revenue by Tsh 3 trillion▪ Implementation of PPP projects valued at Tsh 6 trillion

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1. Identifying and working on National Key Results

BRNRoadmap

Labs2

Open Day

Annual Report

3

4

KPI targets5

Imple-mentation

6

IPR/Audit

7

…6 out of 8 steps in BFR have been undertaken in BRN

Imple-mentation

6

8

4

Strategic Direction

1

Establish in detail what needs to be done; conducted in White Sands Hotel, 22/02 – 5/04/2013

Shared lab output with general public and got feedback- 24/05/2013 at National Museum Grounds

Inform the public by publishing what is going to get done in tiny detail (getting pregnant!)

Informing the public delivery over the period.

Setting KPIs for the managers of the process (6 Ministers), available POPC website (www.mipangotz.go.tz).

Problem solving, on the ground implementation

External validation on results achieved

Done through Multiple Cabinet retreats, finally 6 NKRAs picked

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2. Establishing the Delivery System Objectives

▫ Problem-solving and solution generation:­ critical first step in the overall delivery process where action plans are

developed and implementation ownership is assigned. ­ Takes place both during the labs and throughout the process of

implementing lab initiatives.▫ Implementation and execution support:

­ Additional support and capacity to ensure execution of lab initiatives on a line by line basis

▫ Performance management:­ monitoring and evaluation as well as performance reporting to ensure

the accountability and delivery▫ Design and implementation of special projects

­ these are specific issues and/or requests in the overall delivery system that can be investigated or solved without the intensity and rigour of a lab environment.

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BRN Delivery Structure

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MDU

The resulting delivery system is designed to support these principles, achieve early wins, and be sustainable over the long term

President

Delivery labs

Ministers

PDB CEO reports to President

PDB runs labs

PDB supports NKRA Steering

Committees

MDU sends updates on lab implementation

MDU reports to PS / Minister

Performance dialogue

Transformation & Delivery Council

NKRA Steering Committees

MDU

Delivery SystemExisting structures

President’s Delivery Bureau (PDB)

Lead Ministries

MDU

Level 1: Leadership, governance and prioritisation

Level 2: Performance management and problem-solving

Level 3: Implementation and delivery

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1. Implementation in NKRAs:NKRA Big Results by 2015/16 Big Results

by 2013/14 Current Status

▪ 25 commercial farming investments for paddy and sugarcane

▪ 78 smallholder rice irrigation and marketing schemes

▪ 275 smallholder warehouse-based marketing schemes

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Education

▪ Pass rate of 80% for primary and secondary school students

▪ Improve students’ mastering of 3R in Standard I and II by implementing skills assessment and training teachers

64%

Relevantafter 2013

Energy

1,010

1, 200,000

▪ Increase generation capacity from 1,010 to 2,260 MW

▪ Access to electricity to 5 mil more Tanzanians

▪ Eliminate EPP reliance

1,073

124,567

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1. Implementation in NKRAs:NKRA Big Results by 2015/16 Big Results

by 2013/14 Current Status

Standard Operating procedures for all Agents working in port almost finalized, all agents, all agents (incl. TPA, TRA, TICTS) working 24/7 except banks.

Remanufacturing 18 locos, procuring 13 new locos (downpayment made), payment for 274 wagons being prepared.

TRA has started installing electronic tracking system in some vehicles; 3 out required 28 brigdes at various stages of construction

Transport-ation

Passage of 5 mil tons per year through the Central Corridor▪ Increase port throughput by 6 mil tons,

▪ Increase rail tonnage by 2.8 mil tons▪ Reduce road travel time from 3.5 to 2.5

days

1

0.6

3.1

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1. Implementation in NKRAs:NKRA Big Results by 2015/16 Big Results

by 2013/14 Current Status

Drafting of amendments to PPP Act completed, awaiting presentation to Parliament

Discussions on Dar Chalinze Expressway (100 billion Tshs) initiated, PDB soliciting funding for Transaction Advisors

▪ Sustaining water supply to 15.2 mil people

▪ Restoring water supply to 5.3 mil people▪ Extending water supply to 7 mil new

users

22.7

2.24.9

16.34

0.111.03

Water

Resource Mobilisation

▪ Increase tax revenue by Tsh 3 trillion

▪ Implementation of PPP projects valued at Tsh 6 trillion

1.26 trillion

950 billion

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2. Implementation in Delivery Structure

PDB Leadership in place.

6 MDUs established.

3 NKRA Steering Committees operational.

3 Problem solving meetings chaired by Prime Minister.

BRN approach rolled out to MDAs and LGAS

TDC has met once

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Funding for Implementing NKRAs Analysed budget gap:

▫ Total for 3 years: - TZS 17.3 Trillion (USD 10.3 BN)▫ Of which requirement in

2013/14: - TZS 4.862 Trillion (USD 2.9 BN)▫ Available in budget (GOT

+ DPs): - TZS 1.957 Trillion (USD 1.17 BN)▫ Budget Gap 2013/14: - TZS 2.905 Trillion (USD 1.73 BN)

Strategies to address the gap:▫ Identifying internal savings (limited scope).▫ Invite private sector (PPP) for suitable projects.▫ Reach out to DPs to align programmes.

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Budget alignment and resource mobilisation

Procurement

Regulatory Permits▫ Environmental and Social Impact Assessment (ESIA)▫ FDA Permits▫ TBS Certificates

Legal and Court Processes

Skilled Staff

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Asanteni Sana!!