CAPACITY DEVELOPMENT :

POLICY & APPLICATIONS

Kanni Wignaraja
December 2007
 From Technical Assistance to a Capacity
Development Approach: Human Capabilities

Facilitating access
to knowledge
Supply Driven Demand Driven
Facilitating multi-
stake-holder
engagement Capacity
Technical Participatory Development
Assistance policy dialogue &
advocacy
Integrated
approaches to
local development
Creating space for
learning by doing

HD/MDG/IDT
Input-based Outcome-based Framework
(Transformative)
Definitions Related to Capacity

Capacity Development: The process through which

individuals, organisations and societies obtain,
strengthen and maintain the capabilities to set and
achieve their own development objectives over time

Capacity Assessment: An analysis of current

capacities against desired future capacities; this
assessment generates a diagnostic of capacity assets
and needs leading to the formulation of CD strategies
A Systems Approach: Three Layers of
Capacity Development

Individual
Individuallevel
level
(experience, knowledge,
(experience, knowledge,
technical
technicalskills)
skills)

Organisational level
(institutional framework,
systems, procedures)

Enabling environment
(policies, legislation,
power relations; social norms)
Why Capacity Development?

• CD is about endogenous transformations based on

national priorities, policies and results
• CD is about the power and politics of who makes
the development decisions – national ownership
• A systematic approach to CD is more than training
& the use of national expertise
• The spotlight is on the ‘How’: CD is sector,
institution and location neutral and is about
processes of change that work across them
• CD becomes tangible in its application contexts
(the “What”)
• CD responses can be costed and results monitored
 What Have We Learnt?

• There are a core set of CD strategies that work in

most contexts; however, they must be adapted locally
• Capacity assessments provide a systematic starting
point for a) dialogue and negotiation; and b) defining
and designing the CD response
• A technical fix is not always the solution. The political
or organisational environment is often the constraint
• Individual skills building is easy win; organisational
and societal capacity change happens incrementally
• There are both short term and long term CD results
• Letting go is the hard part. Need to focus on
incentives and disincentives (external and internal)
CD on the UN Agenda

• CD emphasis in TCPR resolutions and

Paris Declaration

• UN Reform – CD as a common UNCT

platform for advocacy and action

• CD as ‘core contribution’ in UN Agency,

Funds and Programmes Strategic Plans

• CD criteria in UNDAF and CCA guidelines

 TCPR Resolution 2005
Resolution adopted by the General Assembly (A/RES/59/250)
Part III. “Capacity-building”:

• 26. Recognizes that capacity development and ownership of national development

strategies are essential for the achievement of the MDGs, and calls upon United
Nations organizations to provide further support to the efforts of developing
countries to establish and/or maintain effective national institutions and to support
the implementation and, as necessary, the devising of national strategies for
capacity-building.

• 27. Urges all organizations of the United Nations development system to intensify
sharing of information at the system-wide level on good practices and experiences
gained, results achieved, benchmarks and indicators, monitoring and evaluation
criteria concerning their capacity-building activities;

• 30. Calls upon United Nations organizations to further strengthen the capacity of
developing countries to better utilize the various aid modalities, including system-
wide approaches and budget support;

• 31. Also calls upon United Nations organizations to adopt measures that ensure
sustainability in capacity-building activities, and reiterates that the United Nations
development systems should use, to the fullest extent possible, national execution
and available national expertise and technologies as the norm in the
implementation of operational activities;
 Increased attention in TCPR 2007
TCPR/Report of the Secretary-General (A/62/253)
Part IV. “Contribution of United Nations operational activities to national capacity development
and development effectiveness”:
16. The United Nations development system has a direct role in capacity development at the
country level, and its efforts are embedded in national processes. […]
• 19. The United Nations system contributes to the capacity of developing countries to optimize
the utilization of various aid modalities, including budget support. […]

Recommendations:
20. The General Assembly may wish to:
• (a) Endorse the definition of capacity development, proposed by UNDG, as the process
whereby people, organizations and society as a whole unleash, strengthen, create, adapt and
maintain capacity over time, and the definition of capacity as the ability of people, organizations
and society as a whole to manage their affairs successfully;
• (b) Emphasize that capacity development and national ownership of national development
strategies are essential for the achievement of internationally agreed development goals,
including the Millennium Development Goals;
• (c) Underscore that the United Nations development system has a central role to play to provide
further support to the efforts of developing countries to establish and/or maintain effective
national institutions and to support the implementation and, as necessary, the devising of
national strategies for capacity development;
• (d) Call for the development of a system-wide policy, and concrete strategies and measures and
related oversight mechanisms on capacity development […].
• (e) Invite countries benefiting from support of the United Nations system to take appropriate
budgetary and institutional measures to ensure sustainability and mainstreaming of results of
United Nations operational activities through domestic resource mobilization and/or with other
forms of external support.
CD and Paris Declaration Indicators
Indicator 2: Reliable country systems —
Number of partner countries that have procurement and public financial
management systems that either (a) adhere to broadly accepted good practices or
(b) have a reform programme in place to achieve these.

Indicator 4: Strengthen capacity by coordinated support –

Percent of donor capacity development support provided through co-ordinated
programmes consistent with partners’ national development strategies.

Indicator 5a: Strengthen public financial management capacity –

Use of country public financial management systems – Percent of donors and of
aid flows that use public financial management systems in partner countries, which
either (a) adhere to broadly accepted good practices or (b) have a reform
programme in place to achieve these.

Indicator 5b: Strengthen national procurement capacity –

Percent of donors and of aid flows that use partner country procurement systems
which either (a) adhere to broadly accepted good practices or (b) have a reform
programme in place to achieve these.

Indicator 6: Capacity to avoid parallel implementation –

Number of parallel PIUs per country. Target for 2010: Reduce by two-thirds the
stock of parallel PIUs.
UNDG Position Statement on CD
18 Dec 2006
 UNCT Focus and Support to Capacity
Development
1. Facilitate capacity assessments
2. Enhance analytical capacities to support policies
and progs for inclusive growth & pro poor services
3. Support capacities for inclusive decision-making
4. Strengthen national capacities to implement and
monitor international conventions and standards
5. Support national capacities to manage dev finance
6. Deepen state and public capacities for access and
use of development data & information
7. Support technology & knowledge acquisition/mngt
8. Provide international standards and good practice
UNDP Capacity Development Process

Step 1:
Step 4: Assess
Evaluate CD Capacity
Strategies Assets and
Needs

Capacity
Developmen
t Process

Step 3: Step 2:
Implement CD Formulate CD
Strategies Strategies
UNDG Capacity Assessment Framework

Technical Functional Capacities

Capacities Situation
Policy Resources
Design and and Budget
Implemen-
Monitor &
Evaluate and
Analysis tation
Strategy Allocation Learning
Formulation

T
Human Resources

F
Public Sector Accountability
Core Issues

A
Access to Information

R
Multi-stakeholder Inclusion

D
Financial Resource Management

Material Resources

try
Environmental Resources

f E n
ts o
External/International Relations
ual
n iv id
Poi ’l
I nd
Org
ing t
abl n
E n nm e
v i ro
En
Assess Capacity Assets and Needs:
Mobilize and Design
Functional Capacities*
Assess a
Situation & Formulate Budget,
Engage with Monitor &
Create a Policies & Manage &
n tr y ua l
Stakeholders
Vision and Strategies Implement
Evaluate

ofE In d
ivid Mandate
s
o int Org’l
P bling t
a n
En onme
v ir Institutionall
En Development

Core Issues
Leadership

Knowledge

Mutual Accountability
Mechanisms
 CD Strategies into Programmes
Core CD Strategies that work across sector/theme applications,
adapted locally:

• Institutional Reform and Incentives: process facilitation for change

management, functional reviews, salary reform, project
management and procurement capacities
• Leadership Capacities: negotiation & visioning skills, coaching and
mentoring for ethics and values, advocacy and media campaigns
• Education, Training and Learning: diversity of training methods,
tertiary education curricula & investments, vocational education,
on-the-job skills
• Accountability and Voice Mechanisms: peer review mechanisms,
citizen watch, M&E, stakeholder feedback, public information
campaigns
 Capacity Development in the
Country Programming Cycle
Engage partners; Develop detailed CD
Build consensus; strategies; Define
Assess capacity outcome level results, Implement and track CD Evaluate for CD
assets/needs indicators; Cost CD strategies result at outcome
strategies level

Programme Cycle

Defining a Running a Evaluating a

National Analyzing National/UN National/UN National/UN
Priorities Country Situation Framework Framework Framework

Project Cycle

Justifying a Defining a Initiating a Running a Closing a

Project Project Project Project Project

Conduct capacity Develop CD strategies

assessments and activities in projects; Implement, monitor and
specify CD output evaluate for CD results at
results output level
The use of Indicators for CD
Evaluating
Defining desired
capacity
levels of required
development Step 1:
Step 4:
Assess capacities
results Evaluate CD
Capacity Assets
Strategies
and Needs

Capacity
Development
Process

Step 3: Step 2:
Implement CD Formulate CD
Strategies Strategies
Monitoring
implementation of Defining indicators
capacity for capacity
development development
programmes and strategies and
applications
projects
18
 Measuring Capacity Development

TYPE WHAT IS MEASURED INDICATORS

Development A development impact, not a capacity Sustained positive

(Impact Level) development impact. Capacity development
development may be a contributing factor change

Capacity Development effectiveness, or results in Sustained

Development terms of access, usage and stakeholder production of
(Outcome Level) satisfaction from products and services benefits
generated by projects and programmes

CD Strategies Effort, or products and services generated Implementation of

(Output Level) by capacity development projects and activities
programmes

Source: UNDP Handbook on Monitoring and Evaluating for Results, June 2002.
Key CD Applications Across Regions
• Capacities for improved development planning,
public policy analysis and review

• Capacities for integrated local development and

effective municipal administration

• Capacities for sustainable management of natural

resources and climate change

• Capacities to redress gender inequalities

• Capacities to manage post conflict transitions

• State and non state capacities for pro poor service

delivery at local level
 Implementation Challenges
• The ‘middle income country’ syndrome – niche areas

• Investing in CD at the start up of post conflict engagement –

capacities for security vs capacities for long term development

• Including and costing CA & CD responses within sector plans and

institutional budgets

• Avoiding stand-alone PIUs and generic training regimes

• Linking capacity response strategies to public policy, PAR, wage

reform and education reform

• Addressing the ‘distortions’ - brain gain/retention, competing

conditionalities, parallel systems, no exit strategies, different
accountability and transparency standards, salary supplement
schemes…

• Developing internal capacities to support and monitor CD strategies

UNDP Offer of CD Support:
CD Service Areas

• Advocate and Advice on CD Policy

• Assess Capacity Assets and Needs

• Formulate and Cost CD Response Strategies

• Support CD Programme Implementation

• Monitor and Evaluate CD Strategies and Results

Refer Supporting CD: The UNDP Approach, March 2007

www.capacity.undp.org
• UNDP CA methodologies, adapted to needs

• Global & regional expertise trained in CA/CD support

• CD Practice Notes and Action Briefs for UNDP

approaches, with analysis of evidence

• CD indicators for monitoring and evaluation

• CD learning workshops and training modules

• Global and regional partnerships and networks