RIFT VALLEY UNIVERSITY,HARAR CAMPUS

PROJECT MANAGEMENT

Debela Tezera (PhD)candidate

Address :[email protected]
Phone 0911299581/0913928367
Course objectives
Upon the successful completion of this
course, you will be able to:
 Explain the basic concepts of project,
management, programs, and projects;
 Identify the main stages of the project
cycle and their characteristics;
 Play an active role in project identification,
preparation, monitoring, and evaluation of
projects
 Apply the main tools of project
management in relation to project
planning, monitoring and control;
 Design project and implementation;
 Appraise projects using financial and
economic cost-benefit analysis;
 Implement and manage projects efficiently
and effectively; and
 Monitor and evaluate the performance of
projects.
Assessment Techniques
 Project work 20%
 Presentation 20%

 Attendance 20%

 Final exam 40%

# Suggestions on Assessment from you

 Reflection
1. What is a Project?
2. What is management ?
3. What is project management ?
4. What characteristics do projects
have?
 Concept of Project

 Different scholar define project in different perspectives.

 Projects exist in every sphere of business, markets, and industry.
 It come in a myriad of types, sizes and complexity from small
initiatives.
 such as fundraising drives; advertising campaigns, capital
acquisitions, business re-engineering, restructuring, information
systems; through to mega-projects such as hydro-electric dams and
military campaigns.
 In the world in general and in developing countries in particular,
there have been signs of a widening gap between the development
objectives set by states and national authorities and the results
obtained in terms of implementation of projects.
 concept of Project
 A project is an undertaking to accomplish a specific objective or goal
which requires resources and effort.
 A project is a well­defined ad hoc activity with clear and specific
objective and has beginning and end dates.
 It requires allocation of resources and it should be completed on
schedule and within budget with specified quality standards.
 A project is a planned undertaking of interrelated and
coordinated activities designed to achieve certain specific
objectives within a given budget and period of time
concept of Project
 In short, project is a temporary endeavor involving a
connected sequence of activities and a range of
resources, which is designed to achieve a specific and
unique outcome, which operates within time, scope,
cost and quality constraints and which is often used to
introduce change.
 Project Management is the application of
knowledge, skills, and techniques to project
activities in order to meet stakeholder needs
and expectations from a project
Key concept in project
 Purpose
 Temporary
 Sequences of Activities
 Unique Outcome
 Time
 Cost
 Quality
 Introduce change
Key concept in project
 Purpose-the basic reason for the existence of a project- to solve a
problem, address a need or take the advantage of opportunity.
 Temporary: means that a project is something that has a specific
start date and a specific end date.
 Sequences of Activities: the works and the steps we perform and
the methods and knowledge we use to achieve the project
objective.
 Unique Outcome: A project brings about a unique product or
service - something that has not existed in the organization here-
to-fore
Key concept in project
 Time: any project should be time bounded-it has a
start and end time.
 Cost: activities consume human, financial and
material resources.
 Quality: the project needs to produce quality
products to maximize the satisfaction of the users.
 Introduce change: A project is often used as an
instrument for change - change for the betterment of
the society.
Characteristics of a project

 A project has a unique purpose.

 A project is temporary.
 A project has a definite beginning and a definite end.
 A project is developed using progressive elaboration or in an iterative fashion.
 A project requires resources.
 A project should have a primary customer or sponsor.
 Have definite location and target group (beneficiaries
 project requires a budget
 A project is a unique undertaking
 A project has a customer
 Principles of Project

 Encouraging collaboration
 Analyzing the situation
 Adopting with the setting
 Approving the Success Plan
 Informing stakeholders
 Overseeing the implementation
 Evaluating the whole process
 Reporting
Principles of Project
1. Encouraging collaboration
 Before undertaking any action concerning the project, it is
worthwhile to establish a work plan that will encourage the
collaboration of all persons concerned.
2. Analyzing the situation
 Analysis of the prevailing situation is essential.
 The more care taken with it, the greater the chance of the
Project will target the right goals.
 Tools can be varied: opinion polls, round table discussions,
statistical data collection, etc.
Principles of Project
3. Adopting the Project
 Adoption of the Project is a critical time in the process.
 It should have the assent of the greatest possible number if it
is really to become part of school life.
4.Approving the Success Plan
 The success Plan that serves to implement the
Project is prepared by the managers/ staff and
submitted by the principal to the Governing Board
for approval.
 Before giving its approval, this board must ensure
that it will allow the project to be implemented.
Principles of Project
5. Informing Stakeholders
 The Project and the success plan must be

made public, that is, made accessible if not

widely distributed.
 As a rule, it is required that the any project

and the evaluation of the implementation of

the success plan be distributed to public
and staff in a document that the governing
board deems to be clear and accessible.
Principles of Project
6.Overseeing the implementation
 The Governing board must follow the

development of the Project and the success Plan.

 It should expect periodically to receive

information about them and it may include these

items in the agenda of its meetings.
7. Evaluating the whole process
 The success plan is reviewed each year.

 Any modifications are approved by the governing board.

 The board must also periodically review the project to ensure

that its aims and objectives still suit or the situation.

Project may differ
 Projects range in terms of
1. size
2. scope
3. cost
4. Time
from mega international projects
costing millions of dollars over many
years to small domestic projects with a
low budget taking just a few hours to
complete
Examples :

 Build low cost houses/ condominium

 Build a dam for hydroelectric/irrigation
 Improve the standard of a road
 Develop training program on about human rights
 Redesigning the IT system
 Establishing Network system

More examples from your experiences?

 Reflection

1. What is the difference between

programs and projects ?
Project Vs program
 Project is a group of activities to produce a project
Purpose in a fixed time frame.
 A “program” a series of projects whose objectives
together contribute to a common overall objective,
at sector, country or even multi-country level.
 Programs may also contain elements of ongoing
operations.
 Since programs comprise multiple projects, they are
larger in scope than a single project.
Project Vs program
 Generally, the word program refers to a series of planned
ongoing activities with a broader scope than a project.
 However, a project is a temporary investment activity where
resources are used to create assets, which produce benefits
over time and has a beginning and an end with specific
objectives.
 Project Program
Narrow in scope Wide in scope; can comprise
many projects as components.

Specific and detail Comprehensive and general

Differences

More precise and accurate in Broader goal related to

its objectives and features sectoral policy

Possible to calculate the Difficult to calculate costs

costs and returns and returns
• Have purpose/ objectives
Similarities

• Require input (financial, manpower, material)

• Generate output (goods and/or services)
• Operate over space and time
Example cont’d …
Government Strategy:
Agricultural Development Led Industrialization.
Government plan: PASDEP(Plan for Accelerated and
Sustained Development to End Poverty)
GTP
Government Program:
Human Rights Education, Human Rights protection ,
Human Rights monitoring, Democratic institution
stakeholders in Project
 Project stakeholders are individuals and
organizations who are actively involved in the
project,
 or whose interests may be positively or negatively
affected as a result of project execution or successful
project completion.
The key stakeholders on every project

1. Project manager
2. Project beneficiaries/Customer/
3. Performing organization
4. Sponsor
5. Suppliers and contractors
6. Project team members and their families
7. Government agencies
8. Community representatives and organizations
The key stakeholders on every project include:

1. Project manager - the individual responsible for managing the

project.
2. Project beneficiaries/Customer /- the individual or organization that
will use the project product.
3. Performing organization—the enterprise whose employees are most
directly involved in doing the work of the project.
4. Sponsor - the individual or group within or outside the performing
organization who provides the financial resources, in cash or in kind,
for the project.
5. Suppliers and contractors – e.g. Construction companies, Skills
development and education and training organizations, legal firms,;
6. Project team members and their families;
7. Government agencies – e.g. local municipality.
Chapter TWO: The Project Life Cycle
 It is the stages through which the project passes from
inception to its completion.
 It is a continuous process made up of separate and
complementary stages (phases) each with its own
characteristics and each setting a ground for the next
one.
The Project Life Cycle

 Project design and development requires a commitment to a

systematic, iterative process of assessment, design,
implementation, and evaluation.
 Whether the process is described using a flow chart or
through text, it is important to remember that the process is
not linear.
 These steps overlap and interrelate; they provide a dynamic
and flexible guideline for developing effective projects
efficiently.
 Project development life cycle is a cyclical process in which
the results of one phase become the starting products for the
next phase.
Baum Cycle
 Baum Cycle (World Bank Project Cycle) WBPC
 In this regard, the first basic model was

developed by Warren C. Baum in 1970, which

was by then adopted by the World Bank as a
project cycle. Initially, this model had
recognized only four main stages in the project
cycle, namely:
1.Identification;
2.Preparation;
3.Appraisal and Selection; and
4.Implementation
Cont...

Identification:
(Resource, Market and/or Need Based)

Preparation:
Evaluation:
(Technical, Financial, Economic, etc.)
(Past, Future, Feed Back)

Implementation:
Appraisal:
(Technical, Financial, Economic, etc.)

 Baum’s Project Life Cycle

THE UNIDO Project Cycle
 The UNIDO has established a project
cycle comprising the following three
distinct phases:
1.The pre - investment phase
2.The investment phase, and
3.The operating phase
cont....

Pre-Investment Phase:
(Opportunity Study; Pre-
feasibility Study; Feasibility Study;
Appraisal)

Operation Phase:
(Expansion and Innovation; Replacement
and Rehabilitation; Commissioning and
Start-up)

Investment Phase:
(Negotiation and Contracting; Engineering
Design; Construction; Pre production marketing;
Recruitment and training; etc)
Pre-investment Phase

 According to the UNIDO, Manual for Industrial

Feasibility Study, the pre-investment phase
comprises several stages. These are:
 Identification of investment opportunities
(opportunity studies);
 Analysis of project alternatives, preliminary
project selection, and
 project preparation (pre-feasibility and feasibility
studies);and
 Project appraisal, selection, and investment
decision (specialized appraisal reports)
Opportunity Studies

 Natural resources,
 The existing agricultural base (it may be the basis for agro-
industries),
 Future demand for consumer goods,
 Imports substitution and export possibilities,
 Environmental impacts (mandatory or non-revenue
producing projects), Expansions of existing capacity,
 Manufacturing sector (benchmarking from other countries),
  Diversification
 Industry studies to identify opportunities in delimited
industrial branch; and
Pre-Feasibility Studies

 The project idea must be elaborated in a more

detailed study.
 However, formulation of a feasibility study that
enables a definite decision to be made on the
project is a costly and time-consuming task.
 Therefore, before assigning larger funds for such a
study, prior assessment of the project's idea might
be made in a pre-feasibility study. This helps to see
if:
 All possible project alternatives are examined,
 The project concept justifies detailed study,
 All aspects are critical and need in-depth
investigation, and
Support /Functional/ Studies

 Support or functional studies cover aspects of an investment

project, and are required as prerequisites for, or in support of,
pre-feasibility and feasibility studies, particularly for large-
scale investment proposals.
 This may include:
 Market studies of products,
 Raw material and factory supply studies, Laboratory and
pilot plant tests,
 Location studies,
 Environmental impact assessment,
 Economies of scale studies, and
 Equipment selection studies
 ! The contents of a support study vary, depending on the
type and nature of projects
Investment phase

Investment phase
 Project design stage

 Construction stage

 Pre-production marketing stage

 Training

 Start-up stage
Operational phase

 Replacement of equipment
 Development,and invasion
 Before dealing with pre –investment phase, the various stages
of the investment and operational phases are considered
since these impacts on the nature and scope of pre-
investment studies. The project investment or implementation
phase for a large industrial business project will be different as
compared to that of a small non- industrial project.
 Assuming that a projected industrial activity involves the
construction of a factory and the installation of machinery and
equipment, the project investment phase could be divided in
to the following stages:
 Project engineering designs
 Negotiations and contracting
 Construction and training and
The project cycle
Identification

Evaluation Preparation

Proposal
development

Implementation Appraisal

Financing
decision
Identification Potential projects emerge from specialists, local leaders and
national development strategies.
Identification of potential stakeholders, particularly primary
stakeholders.
Carry out problem assessment and decide upon key
objectives. Assess alternative strategies for meeting objective.
Preparation The technical, institutional, economic, environmental, and financial
and analysis issues facing the project studied and addressed —including whether there are
alternative methods for achieving the same objectives.
Assessing feasibility as to whether and determining whether to carry out
more advanced planning.
Project plan developed which can be appraised.

Appraisal Critical review or independent appraisal of project plan.

Implementation The project plan is implemented over a specified time period.
and Monitoring of project performance with a management information
monitoring system to enable correction of implementation problems as they arise.

Evaluation On-going and final assessment of the success of the project against
original objectives, to learn lessons to help improve future projects.
Identification
 Potential projects emerge from specialists, local
leaders and national development strategies.
Identification of potential stakeholders,
particularly primary stakeholders.
Carry out problem assessment and decide

upon key objectives.

Assess alternative strategies for meeting

objective
Steps of Project Idenfication
 Generating new idea
 Screening new idea
 Feasibility study
 Selection of project/ appropriate /
 Implementation
Point should be consider in project
idenfication

 Market need
 Business need
 Technological issues
 costumer request
 Legal issues
 Social need
 Ecological considerations
Who are the potentional identify of the
project

 Government agency
 Experts
 Researchers
 Non –organization
 Private organization
 Top management
 Streaming committee
 Users of the project
Types of Project
idenfication
1. Top down Idenfication
 Senior management

 Global need of the organization (top

management )
 Cross-functional focus (streaming

committee)
2. Bottom up Identification
 users
 experts
Sources of project

 New technology
 Materials issues
 Political changes
 Social need
 Market demand
 Economics need
 Stakeholders demand
 Business process
 Current issues /global/
Sources of project cont.….
 Sources of Project Ideas
1. Macro sources
2. Micro sources
Preparation and analysis

The technical, institutional, economic, environmental, and

financial issues facing the project studied and addressed including
whether there are alternative methods for achieving the same
objectives.
 Markets and Demand Analysis

 Raw Materials and Supplies Study

 Location, Site and Environment Impact Assessment (EIA)

 Production Program and Capacity

 Technology Selection

 Organizational and Human Resource

 Financial and Economic Analysis

Appraisal

 Critical review or independent appraisal of project plan.

 It is a process of estimating the cost and benefits of a
project to on investment
Element of project appraisal
 Techniques analysis

 Economic analysis

 Financial analysis

 Management analysis

 societal analysis

 Environments analysis
Project Appraisal additional considerations

 Past and current demands trends

 Past and current supply positions
 Imports and exports
 Nature of compitation
 Production possibility and problems
 Cost issues
Financial evaluation

Reading Assignment Financial evaluation

1. Net present value (NPV)
2. Internal rate of return (IRR)
3. Benefit cost ratio (BCR)
4. Payback period (PBP)
5. Accounting rate of return (ARR)
6. Break – even analysis (BEA)
Implementation

 The project plan is implemented over a specified time period.

Monitoring of project performance with a management

information system to enable correction of implementation

problems as they arise; Resources are applied in this stage
Time

Money

People

 Organization( Line and Staff Organization ,

Divisional Organization and Matrix Organization)

Evaluation

 On-going and final assessment of the success of the project

against original objectives, to learn lessons to help improve
future projects.
 Two types of evaluation
 Formative
 Summative
As a Project Manager -What do you Manage
PM?

1. Schedule
 The project timeline, identifying the dates (absolute
or relative to a start date) that project tasks will be
started and completed, resources will be required
and upon which milestones will be reached.
2. Scope
 Project scope involves identifying and describing the work
that is needed to produce the deliverables of the project in
sufficient detail to ensure that:
 All the appropriate work is completed
3. Resources
 Team Members who perform project work
 Executive Sponsor and Guiding Team expectations
Roles of the Project Manager

Lead

Communicate

Define Plan Monitor Complete

Communicate

Re-Plan

The role of the project manager is to direct,

supervise, and control the project from
beginning to end.
Project success
1. Schedule for formative evaluation
2.Cost (Cost management)
3.Quality (well defined as standard of
project )
4.Stakeholders satisfaction
(time,cost,quality)
5.Alignment to business case
 Reflection

 Why project are fail?

 How we tackled project fail?
Area of Project Management Knowledge

1. Integration managment
2. Scope of project managment
3.Time management
4.Cost managment
5.Quality managment
6. Procurement Management
7. Human resource managment
8. Communication managment
9. Risk management
10. Stakeholders management
Chapter Three :Scope of Project Management

 Project scope is a precise explanation of

the expected result of the project or
product for the customer from an
external as well as from an internal
point of view in a specific, tangible, and
measurable way.
 Under the joint direction of the project
manager and customer.
Cont.…
 The project manager is responsible for an
agreement with the customer on project
objectives, deliverables at each stage of the
project, technical requirements etc.
 Component of Project Scope

 A project scope should contain the following

components :
1. Project objective
2. Deliverables
3. Milestones
4. Technical requirements
5. Limits and exclusions
6. Reviews with customer
 The ‘Triple Constraint’ Triangle

 Understand the ‘Triple Constraint’

Tim
rce
1. Resources (people, Budget) are

sou

e
available for the project,

Re
2. Time allotted to complete the project,
3. Quality expectations involved forQuality
the success of the project

 Identify what outside influence could change the

scope of the project
 Understand what is meant by scope creep – is this always
Identify resources, Scope, and
timeline

•Operational •Deadlines

(co rces

Tim
Staff •Milestones

st)
sou
•Volunteer effort

e
•Funds Re

Scope/
Quality

•Degree of user
involvement
•Deliverables
•Scope
•Approach
Determining Project scope

 Work Breakdown Structure (WBS)

 Project Communication Plan (PCP)
 Activity Resource Estimating
 Project time management
 Estimation of project cost
 Chapter Four : Project Planning
and Risk

“ If you don’t plan for the

project, you are planning for
failure”
“ Plans act as a road map of
complicated process to
manage project”
The Project Plan
 The project plan sets out:
1. The work breakdown
 Breaks down the project into activities,
 identifies milestones,
 deliverables

2. A schedule for the work

 Activitydependencies,
 estimated milestone time,
 people allocation

3. The resources available to the project

 Human, materials, and FR
Planning
 a project plan
 a resource plan
 a financial plan
 a quality plan
 a risk mgt plan
 a communication plan
 a procurement plan
 Contact the suppliers
 Issue a statement of work
 Planning Project
Project planning is about:
 Confirming the project scope and objectives-
 What do you want to achieve?
 What are the boundaries; what is to be included or
excluded?
 Determining the expected outcomes/results
 Determining resources /inputs needed to carry out activities
in order to deliver the outcomes
 Assessing risks
Steps to planning a project

 Break the work down into manageable tasks, according to objectives

(these must have a clear sequence)

 Set the outcome /deliverable expected from each stage

 Set milestones- key points that show whether project is going according to
plan( act as measure of progress)

 Identify the resources to be used at each level/ for each deliverable.

 Identify who will carry out the work involved In each deliverable
cont..
 Projects as tasks involving creation of
outcomes with predetermined objectives
(qualitative and quantitative) involve use
of resources.
 These resources are: Human, material,
Financial and Time resources.
 Achievement and realization of set
objectives will depend on clear
management and control of these
resources.
Project control:
 The processes which are required to ensure that
projects are completed with in the approved
limits /boundary.
 Involves budgeting (cost control), proper timing/
scheduling and human resource management
(performance control)
Project control:

Project planning Project Scheduling Project

• Project Definition Control
·Avail resources
• Set objectives ·Direction of operation ·Review performance
• Team organization ·Management techniques ·Evaluate operations
• Set time / schedule -Gantt Chart ·Problem
• Cost Estimation identification
-PERT
• Performance ·Decision making
specification - CPA
·Corrective Action
·Performance
specification
Project Planning, Scheduling, and Control Techniques

These include:
1. The Gantt chart
2. The Logical Framework.
3. Work breakdown structures
4. Budgets
5. Time and resource schedules
6. Procurement plans
 The Gantt chart

 Mainly used in Project scheduling.

 Gantt Charts are useful at low levels of

complexity, however many projects have higher

degrees of sophistication and methodology

which needs complex analysis methods

Activity organization
 Activities in a project should be organised to produce
tangible outputs for management to judge progress
 Milestones are the end-point of a process activity
 Deliverables are project results delivered to
customers
 PMP Process Summary
Define Project
g State need, problem or
opportunity Monitor & Control
g Define project objectives
g Identify success criteria
Progress
g Establish progress reporting
g List assumptions, risks and
system
obstacles g Set up change control process
g Define project scope and work g Define problem escalation
breakdown structure
We are here Feedback process
g Monitor progress vs. plan
g Revise project plan
Develop Detailed Plan
g Identify project activities
g Estimate activity duration
g Determine resource
requirements
g Construct / analyze project
network Close Out Project
g Prepare project schedule g Obtain client acceptance
g Install project deliverables
g Complete project
Launch Plan documentation
g Recruit and organize project
g Complete post-implementation
team audit
g Establish team operating
g Issue final project report
rules
g Level project resources
g Assign work
Risk Management
 A Risk is characterised by the combination of the
probability that a program or project will experience:
 an undesired event and the consequences,
 impact, or severity of the undesired event
 Risk is an inherent property of any change activity and is
considered exclusively as a future phenomenon.
 Risks may happen in project work but it is very difficult to write
down any specific universal rules for managing all risks.
 Risk management is important because it enables to minimize or
even avoid the ‘show-stoppers’ that can cost huge money to
correct.
Risk Management
What is Risk Management?
 An organised, systematic decision making process

that efficiently identifies, analyses, plans, tracks,

controls, communicates, and documents risk to
increase the likelihood of achieving
program/project goals
Importance of risk
Management
 Predict the serious threats to the project before they
happen
 Enable mitigation actions to be implemented immediately
 Enable contingency plans to be derived in advance
 Improve decision making in managing the project
portfolio
 Help to create a good environment for the project
 Risk management of a project is a vital and fundamental
part of the project management process that impacts the
probability of success.
Risk Management Process

 Step 1: Risk Identification

 Step 2: Risk Assessment
 Step 3: Risk Response Development
 Contingency Planning
 Contingency Funding
 Step 4: Risk Response Control
 Change Control Management
Risk Identification

Business risk
 Market risk

 Shifts in business strategy or senior

management
Technical risk
 Design and development problems

 Testing and maintenance problem

Project risk
 Budget

 Schedule

 Personnel

 Requirements problems
Risk Management
Strategies
1. Risk Reduction: For example, if a lack
of experienced staff has been identified
2. Risk transference: Insurance,
contracting
3. Risk avoidance: Redefine project to
exclude the risk area, canceling
implementation as an extreme measure
if risks will be unacceptably high
4. Risk acceptance: through constant
monitoring
5. Contingency plans: Backup plans
 Chapter 5:Project contract
and Project Termination
Project contract is the process of establishing a
relation between the owner and the contractors to
execute the project work
 The following are the usual steps in contracting:

1. Work packaging and scheduling

2. Preparation of Tender Documents
3. Determination of Contractor's Qualifications
4. Tender Invitation
5. Tender submission
6. Tender Opening
7. Evaluation and recommendation
8. Award of contract
9. Signing of Agreement with detailed contract conditions.
 Project contract-Cont’d
 Bid security:
 Incash or bank guarantee/CPO/ letters of
credit
 shall be returned to unsuccessful bidders

immediately after signing of the contract with

the winner.
 Performance Bond/ Contract security:
 Is produced by the successful bidder
 is a guarantee to fulfill the contract in regard

to completion of work, workmanship, defect-

free working of the plant and the quality and
the quantity of the output.
Project Auditing
 Project Auditing
 Project Auditing is the process of detailed
inspection of the management of a project,
 its methodology,

 its techniques,

 its procedures,

 its documents,

 its properties,

 its budgets,

 its expenses and its level of completion.

 Project Closing
 Project Closure
• Project completed and results delivered
• Lessons learned captured

• Documentation completed

• Final payments made and account closed

• Project Close Out Report completed

 Closing a project involves the review of the

entire Project Lifecycle to date

 A project can be said to be closed

successfully only when it has a proper final

report in place
Project Closing-Cont’d
 The key elements of project close:
 Verifyacceptance of final project
deliverables
 Conduct post project assessment on lessons

learned
 Conduct post-project review and evaluation/

Post implementation review. Or Audit

 Recognize and celebrate outstanding project

 Compete and final products

 Ensure transfer of knowledge

 Social Cost Benefit
Analysis
Social Cost Benefit Analysis (SCBA)

 Rationale for SCBA is for the

improvement of th society
 Enviromental considarations
 Net Benefit in Terms of Economic Prices
 Savings Impact =negative or positive
inflence
Financing and Policy

Source of Project Finance

 Equity
 Loan financing
 Leasing
 Cost of Capital
Public Policy and Regulations on Financing

Financing Institutions
Project Financing conti
 Equity is another name of capital or
owner of individuals
 Loan financing long term liabilitites
(above 2 year ( Banks)
 Leasing process of considing to lease
form of Agreement
 Cost of Capital the total cost of the
project or for the complemention a
given project
Public Policy and Regulations on Financing

 What is Policy ? it is an overall plan and direction that

embraces the general goals and acceptable procedures
of a government body or authoritative group.
 A policy defines the area in which decisions are to be
made
 changing directives as to how tasks should be
interpreted and performed”
 Policy

 Whatever governments choose to do or not to

do”
 “General directives on the main lines of action to
be followed
 Decisions giving direction, coherence and
continuity to the course of action for which the
decision-making body is responsible
Policy

 A purposive course of action followed by an actor or

set of actors in dealing with a problem or matter of
concern
Policy usually provides a general guide that facilitates
decision-making.
 Policy
 In short , concept of policy, as a guide to function
may take the form of:
 A declaration of goals and objectives;
 A declaration of courses of action;
 A declaration of social values
 Its making is a state activity
 Its implementation is never straight forward
Public policy

 as in other fields of human attempt, every official

action of an organization must have a backing or a
basis of public interest
 Public policies provide the direction for public
activities.
Public policy

 It is a system of laws, regulatory measures, courses of

action, and funding priorities concerning a given topic
publicized by a governmental entity
 Public policies are one of the main means through
which order is set in societies and systems are
governed in the given county .
 Public policies also play a key role in introducing
changes to societies and in guiding individual and
collective behavior.
Public policy
 Public policy focuses on ‘the public and its problems’
it is also concerned with:
1. How are problems and issues defined and
constructed?
2. How are they placed on political and policy agenda?
3. How policy options emerge?
4. How and why governments act or do not act?
5. What are the effects of government policy?
 Current Govermant Policies
in Ethiopia
Environmental and Natural Resource
Policies
Environmental Policy
Wildlife Policy and Strategy
Water policy
Rural \Land Administration and Land Use policy
and Strategy
Environmental Impact assessment Proclamation
Govermant Policies in
Ethiopia
 Agriculture and Rural Development
Policies
Rural Development Policy
Agricultural Development-led Industrialization
(ADLI)
Decentralization Policy
Financial Policy

Educational Policy
Education and Training Policy
Education Sector Strategies
Financing Institutions
 What are Financing Institutions for
project ?
Thank you very
much!