Holistic Procurement Reform in Post-Conflict Liberia

HOLISTIC PROCUREMENT REFORM IN POST-CONFLICT

LIBERIA

BY

WINTER CHINAMALE – PROCUREMENT SPECIALISTWORLD BANK, LIBERIA COUNTRY OFFICE

Procurement Innovation Challenge Case Story:

Presentation Outline

Background to the Case StoryDescription of the InnovationInnovative Procurement ReformsResults of the Reform EffortsLessons Learnt and SustainabilityCan this be replicated?

Background to the Case Story

Liberia’s 14 years of civil war (1999-2003) destroyed Liberia’s infrastructure, professional workforce and institutional capacity.

At the end of the civil war, the public procurement system had disappeared and the country was left without skilled procurement practitioners.

Free from the constraints of adequate institutional oversight, corruption was rampant

Yet, with its physical infrastructure in tatters, the country needed an effective procurement system more than ever as it tried to rebuild

Description of the Innovation

Reform started with the traditional way of establishing a Regulatory Framework, resulting in the Public Procurement and Concessions Act (2005), later revised and restated in 2010

Faced an overwhelming lack of capacity, Procurement was carried out by civil servants without the necessary training and experience

As a result, procurement lacked efficiency and transparency, and was not cost-effective.

To drive the massive reconstruction effort, the government adopted a three-pronged approach to procurement reform, aiming to ensure that all stakeholders (regulatory monitors, practitioners and suppliers) had the right knowledge and systems to play their part fully in the new framework :

Innovative Procurement Reforms

The institutional capacity of PPCC was assessed to define the commission’s immediate needs so it could be strengthened

A short-term in-service training program, was begun through an existing institution, LIPA, to train public sector practitioners in basic procurement.

A school was established to deliver an intensive one-year procurement training course to 25 students per year, for deployment in the public sector. The program uses a curriculum adapted from a successful program run by the Millennium Challenge Corporation (MCC) in Ghana.

World Bank staff also deliver monthly Procurement Clinics for both Government and Project Procurement Staff.

The PPCC began regular training sessions to teach private sector staff how to submit strong competitive bids through Workshops and Sensitization Campaigns

Graduation of Intensive Procurement School Students

Private Sector Workshop

Results of the Reform Efforts

The reforms have strengthened the PPC Commission, enabling it start procurement monitoring expected of a regulatory body. The commission now has a website open to the public where it publishes information including procurement plans and opportunities. It has also prepared Manuals and SBDs to assist government procurement entities to comply with the PPC Act.

Procurement staff capacity has improved, resulting in better quality documents and reduced lead times for procurement processes. Skills gaps in procurement practitioners has reduced especially with first graduates of intensive school deployed in Ministries

The percentage of government budget spent rose nine points to 58 percent for the year 2010-11 with these efforts

Competition among suppliers has also improved over the past 2 years

Lessons Learnt and Sustainability

Strong collaborative effort from both the government and donors underpinned the entire process

The reforms were well-balanced across key procurement stakeholders, so that the PPCC, procurement staff and the private sector were involved

Capacity building should also be accompanied by improved incentive schemes for retention of skilled staff in public institutions

As an incentive, the government is developing a procurement cadre system which will define the minimum training and qualifications required for a particular procurement role

Sustainability of the Program is key. Using LIPA and planned Transfer of intensive Procurement Program to the University are part of this sustainability effort

Can this be Replicated?

Existing in-Country Training institutions can be used for in-service Training

An MOU has now been signed with MCC allowing the World Bank to share world wide with Bank member countries using the same approach and curriculum materials from Ghana

MCC, World Bank, MiDA: Collaborating to strengthen procurement | Millennium Challenge Corporation

End of Presentation

Thanks for your attention!!!

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