A Guidebook on Capacity Development Agenda Formulation

(2010 Revised Edition)

(2010 Revised Edition)

ContentsForewordPrefaceAcronyms1234Managing Knowledge for ImprovedPerformance in Local GovernanceCapacity Development : A New Perspective7 Steps in Capacity DevelopmentAgenda FormulationTaking Up the Challenge toInstitutionalize Change13253559Annex in a CD

AcronymsCBMSCDCDP-ELACIDACLUPDILGGeRL Ka Ba?KCOKMLGALGOOsLGPMSLGRCLGNRCLGSP IILGUSCALOGSLGRTWGUNDPCommunity Based Monitoring SystemCapacity DevelopmentComprehensive Development Plan- Executive and Legislative AgendaCanadian International Development AgencyComprehensive Land Use PlanDepartment of the Interior and Local GovernmentGender Responsive LGU Ka Ba?Knowledge Centric OrganizationKnowledge ManagementLocal Government AcademyLocal Government Operations OfficersLocal Governance Performance Management SystemLocal Governance Resource CenterNational Local Governance National Resource CenterPhilippines-Canada Local Government Support Program Phase IILocal Government UnitSystems on Competency Assessment for Local GovernmentsState of Local Governance ReportTechnical Working GroupUnited Nations Development Programme

1NanManaging Knowledge for Improved Performancein Local Governanceet ipsa scientia potestas est.Knowledge is powerOscar Sir Francis Bacon

10A Word on Knowledge Management and Good Local GovernanceKnowledge Management or KM is theacquisition, storage, retrieval, creation,sharing, use, application and review of agroup or organization’s explicit and tacitknowledge in a systematic manner to achieveorganizational goals.Knowledge is information that isprocessed with experience andassumptions and applied foreffective action.Knowledge Management is about gettingthe right knowledge to the right peopleat the right time.KM is not only about information in itsvarious physical forms. It also includestacit knowledge, which is intangibleand resides as intellectual capital ofindividual experts and practitioners. KMis therefore also about connecting those whoknow with those who need to know.KM offers a direction for organization to:- manage information andknowledge that it knows italready has- manage knowledge that itdoes not yet know that it has- create new knowledge orinnovateWhat is the value ofmanaging knowledge inpromoting excellence inlocal governance?One of the key principles in goodgovernance is promoting a culture of selfassessmentfor improved local governmentmanagement and performance. The localgovernance sector should increasingly have

1Managing Knowledge for ImprovedPerformance in Local Governance11Figure 1Knowledge Management(in the context of actual governance and public administration processes)the capacity to learn from itself andharness the incremental lessons learnedfor more effective, efficient andresponsive governance. And knowledge,when created, shared, applied andused, has a far-reaching influence indeveloping a culture of learning in localgovernance.Capacity Development Planning is aprocess that involves the utilization ofknowledge for improved LGUperformance. It is about acquiring,analyzing, sharing and using vitalknowledge in order to strategicallyaddress competency gaps andorganizational weaknesses so thatimproved capacity is able to input orlead to strengthened LGUperformance.M/EParticipationSituationalAnalysisKnowledgeImplementationPerformancePlanningPolicy DevelopmentProgrammingBudgetingPartnershipFor a more comprehensive information on knowledge managementin local governance, refer to the Annex with CD version ofCommunities that Learn! A Local Governance KnowledgeManagement Framework.

12DILG and LGA as Knowledge-Centric Organizations:Synergy, Convergence and InnovationThe support of the Department of theInterior and Local Government (DILG) tothe local government sector hasconsiderably evolved over the last few years. Theoverall common thread, however, has been one ofDILG taking a stronger leadership role in thecoordination of issues affecting local governancewith a general shift from regulation andsupervision to coordination and facilitation. Infulfilling its mandate as a catalyst for excellencein local governance, DILG has been practicingKnowledge Management through its numerousinitiatives without necessarily labeling it as such.The use of LGU performance data, theidentification, documentation and replication ofexemplary practices, the enhancement of localplanning system based on the feedback andexperiences of local governments and otherstakeholders, the establishment of the LocalGovernance Resource Centers (LGRCs) across thecountry, and the convergence and synergy of localgovernance initiatives within the DILG and withother national government agencies are allexamples of KM in action. As the training arm ofDILG and the National Local Governance NationalResource Center (LGNRC), the Local GovernmentAcademy (LGA) is a knowledge hub as it plays alead role in building capacity developmentprograms and strategies for local governments andDILG personnel.KM is a way of doing things. DILG as anorganization effectively integrating KM in itsoperations becomes a Knowledge CentricOrganization (KCO), one that values people andthe organized use of existing experience andinformation to reach its goals. Ultimately, KM isnot exclusively about tools and technology butabout people and what they can and want to dowith their knowledge. KM is also a mindset thatin anchored on a culture of learning andknowledge sharing where there is no monopoly of

1Managing Knowledge for ImprovedPerformance in Local Governance13Figure 2Convergence in DILG Operations*knowledge and people are recognizedfor the value of their own contributionsand encouraged to share and utilizeknowledge. With KM as a strategy, DILGis building convergence and synergy inits operations to maximize itscontribution to the local governmentsector. Figure 2 illustrates how thenotion of KM is central to DILGoperations as well as how many DILGfunctions and programsrelate to each otherand can be situated ina yearly cycle of interdependence.ValuesCulture of PerformanceParticipatory ProcessesStrategic LeadershipQUALITYSERVICESDELIVERYPARTICIPATORYPROCESSESPartnerships& ResourceProgramsManagementLGU Performance ManagementCapacity DevelopmentReplicationAdvocacy & Public EducationDevelopment PlanningLocal Governance Resource CenterPerformanceManagementCULTURE OFPERFORMANCESTRONGENABLINGENVIRONMENTINNOVATION& LEARNINGLEADERSHIPStrategic FunctionsPerformance ManagementPolicy & LGU OversightPartnership &ResourceManagementPolicy & LGUOversight Key ContributionsExcellence in LocalGovernanceInnovation and LearningQuality and Effective Service DeliveryStrengthened Local GovernanceEnabling Environment*SOURCE: Philippines-Canada Local Government Support Program Phase II (LGSP II), Sustaining theGains of LGSP’s Support to the DILG and Partners, August 2006, Pasig City, Philippines

14In keeping with the thrust to buildconvergence in its operations, DILGdeveloped an integrative strategy in itsvarious program designed to buildingcapacities of local governments forimproved performance.The objectives of the framework are:Harmonize capacity developmentinterventions for local governmentsEnsure integrated programimplementationMaximize the impact of DILGinterventionsThe integrative framework in buildingLGU capacities is underpinned on keyKM principles of harmonization andconvergence. It promotes establishingsynergy in the implementation ofvarious programs and in the utilizationof the wide range of tools andprocesses. It encourages the vigorousutilization of performance management andinstitutional competency assessment tools andsystematic weaving of the results for a morein-depth and meaningful analysis.The components of the IntegrativeFramework are the following:1234Assessment of LGU Performance andInstitutional CompetenciesCrafting of the Executive andLegislative AgendaProvision of Capacity DevelopmentInitiatives via the DILG LocalGovernance Resource CentersSupport ProgramsThe State of Local Governance Report (SLGR)using the Local Governance PerformanceManagement System (LGPMS) and CommunityBased Monitoring System (CBMS) resultsprovide the invaluable technical inputs to theprocess of formulating the Executive andLegislative Agenda (ELA) and the CapacityDevelopment Agenda (CD Agenda). Further,assessment tools, such as the System onCompetency Assessment for LocalGovernments (SCALOG) and GeRL Ka ba?, areharnessed in Capacity Development Planningand formulating a Capacity DevelopmentAgenda.With the establishment of the LocalGovernance Resource Centers (LGRCs) inDILG, a dynamic venue has been established tofacilitate the provision of capacitydevelopment for local governments moreefficiently and strategically. It is also seen asthe mechanism that would assist and facilitatethe implementation of the CapacityDevelopment Agenda of LGUs through its fourdynamic services:1) Multi-media Knowledge and information2) Capacity Development3) Linkage and4) Public Education and Citizenship Programs.For more information on the LGRCs, visitwww.lgrc.lga.gov.ph

1Managing Knowledge for ImprovedPerformance in Local Governance15Figure 3LGU Capacity DevelopmentDILG Integrative StrategyDILG Training ProgramsOther NGA Initiated ProgramsAccredited Training ProgramsOverseas Assistance Development ProgramsAssessment of LGUPerformanceandInstitutionalCompetenciesLGPMS, CBMS,SCALOG,GeRL Ka Ba?Other toolsProvision ofCapacityDevelopmentInterventionLGRCSLGRLGUCompetencyProfileELACDAGENDAPreparationof theExecutive-LegislativeAgendaCDP Review ELA Coaching

16Locating the DILG Local Government Operations Officers(LGOOs) in Knowledge Managements catalysts for excellence in local governance,LGOOs have a key role in promoting the cultureAof learning for excellence in local governance as they buildlinkages and networks, and facilitate the process ofknowledge sharing and utilization in their respectiveareas. LGOOs are strategic knowledge brokers who canhelp transform and apply data and information foreffective and responsive action.As a knowledge-centric organization, there is a need forDILG to generate knowledge, be able to share it and ensurethat knowledge is utilized to produce results. This willstrengthen DILG’s role as a primary catalyst, knowledgebroker and facilitator of capacity development towardsexcellence in local governance.

1Managing Knowledge for ImprovedPerformance in Local Governance17Figure 4Knowledge Management in DILGLGExcellenceLearn and InnovateEvaluateKnowledge Providers(LGU, NGA, Experts, Practitioners)CreateKnowledge BrokersDILG, LGOOs, LGAUtilizeKnowledge Users(LGU, Citizens, NGOs, CSOs)Share

18About the <strong>Guidebook</strong>: A Knowledge Tool in Capacity Development PlanningThis <strong>Guidebook</strong> is a simple, step-bystepguide for formulating a genderresponsive and competency-basedLocal Government (LGU) CapacityDevelopment Agenda.It is a reference for LGOOs in coaching LGUsand their ELA teams in developing a CapacityDevelopment Agenda to more effectivelyand meaningfully address LGU priorities andprogram, as defined in the LGU localdevelopment plans such as the ELA.Capacity Development Planning is not new toLGUs. It is an important aspect of localdevelopment planning, which includes theformulation of the Comprehensive Land UsePlan (CLUP), the ComprehensiveDevelopment Plan (CDP) and the Executiveand Legislative Agenda (ELA). While thereare guides for all these various plans, therewas a need for a tool that would systematicallyassess organizational competencies of localgovernments. The LGA, with support from theUnited Nations Development Programme(UNDP), developed the Systems on CompetencyAssessment for Local Government (SCALOG),which enables LGUs to evaluate theirorganizational competencies. The SCALOGallows the LGUs to systematically conduct aself-assessment and analyze strengths andweaknesses in terms of the LGUs set of workprocesses, structures, systems andtechnologies in order to sustain or furtherimprove performance and organizational orinstitutional capacity.

1Managing Knowledge for ImprovedPerformance in Local Governance19This tool is a companion piece of theSCALOG Manual and the Manual on LocalPlanning Process: Focus on the CDP andELA. The steps in this guidebook take offfrom the SCALOG process and results,which are informed and guided by theLGPMS. LGPMS and SCALOG provide usefuldata and information that can be utilizedfor an in depth analysis of an LGU’s stateof local governance, its developmentadministration program and institutionalcapacity.In addition to LGPMS and SCALOG, theformulation of a capacity developmentagenda also takes into considerationresults of other tools that may be used toassess organizational competencies andenrich the results in undertaking SCALOG.The range of tools, when utilized together,will be beneficial to the local governmentsin determining capacity developmentprioritiesAssessing organizational competencies is acrucial aspect in the process offormulating an LGU short term plan suchas an ELA. Thus, this guidebook is also animportant and useful material in thecontext of local development planning,specifically in formulating a CDP or anELA, which provides the strategic basis foridentifying priority capacity developmentagenda. In particular, this guidebooksupports the section on DeterminingCapacity Development Needs for PlanImplementation or Step 6 in the ELAprocess. The Capacity DevelopmentAgenda will help define the necessarycapacity requirements for effective andefficient implementation of the priorityLGU programs and projects.This learning tool is primarilydesigned for Local GovernmentOperations Officers LGOOs of theDILG at the regional, provincial, cityand municipal levels as they play therole of knowledge brokers andfacilitators of capacity developmentin local governance and as theyengage in coaching local governmentsfor improved performance.The samples cases illustrated in this<strong>Guidebook</strong> are actual results of theprocess undertaken by an LGU andfor purposes of this <strong>Guidebook</strong> islabeled as LGU XYZ (located inRegion 3).

Capacity Development: A New Perspective2Theonly way to make sense out of change is to plungeinto it, move with it, and join the dance.Alan W. Watts

22Capacity Development DefinedWhat is capacity and capacity development?It is important to better understandcapacity development to contextualizeCapacity Development Planning in localgovernance. The evolving definition ofcapacity development includes thefollowing:· Capacity development is “… any system,effort or process… which includes among itsmajor objectives strengthening thecapability of elected chief executiveofficers, chief administrative officers,department and agency heads andprogramme manager in general purposegovernment to plan, implement, manageor evaluate policies, strategies orprograms designed to impact on socialconditions in the community.” (Cohen,1993).· Capacity strengthening is an ongoingprocess by which people and systems,operating within dynamic contexts,enhance their abilities to develop andimplement strategies in pursuit oftheir objectives for (Lusthaus et al.for IDRC, 1995).· Capacity building is any support thatstrengthens an institution’s ability toeffectively and efficiently design,implement and evaluate developmentactivities according to its mission(UNICEF Namibia, 1996).· Capacity building is a process by whichindividuals, groups, institutions,organizations and societies enhancetheir abilities to identify and meetdevelopment challenges in asustainable manner. (CIDA, 1996)

2Capacity Development:A New Perspective23· Capacity development is a process bywhich individuals groups,organizations, institutions andsocieties increase their abilities toperform functions, solve problemsand achieve objectives; tounderstand and deal with theirdevelopment need in a broadercontext and in a sustainable manner”(UNDP, 1997)· Capacity development is a conceptwhich is broader than organizationaldevelopment since it includes anemphasis on the overall system,environment or context within whichindividuals, organizations andsocieties operate and interact (andnot simply a single organization).(UNDP, 1998)· Capacity is the combination ofpeople, institutions and practicesthat permits countries to reachtheir development goals …Capacity building is... investmentin human capital, institutions andpractices (World Bank, 1998)· Capacity is a condition of a systemthat emerges out of a combinationof attributes. It refers tocollective capabilities to act andsurvive, generate developmentresults, relate, adapt and selfrenew,and achieve coherence(Peter Morgan, European Centerfor Development PolicyManagement (EDPM) May 2006)· Capacity is the power to performtasks and produce output, todefine and solve problems, andmake informed choices (RealLavergne, CIDA)In its culminating publication Trekkingthe Good Local Governance Terrain:The LGSP Capacity Development Way,the Philippines-Canada LocalGovernment Support Program Phase II(LGSP II), the flagship governanceprogram of the Canadian InternationalDevelopment Agency (CIDA) from2000-2006, offers the view of capacitydevelopment as a complex, holisticprocess that takes place at differentlevels of the system in a web ofinterconnectedness. It describes anopen system with the local governancestakeholder terrain at the individual,organizational and institutional levels.

24New Ways of Thinking on Capacity Development*According to LGSP II, capacitydevelopment promotes excellence inlocal governance by enhancing the abilityof people to improve processes,maximize opportunities, harness andmanage resources, and develop potentialfor sustainable growth 1New ways of thinking on capacitydevelopment has expanded beyondstaff training to include thedevelopment of public organizationsand the enabling environment, apartfrom building individual capacities anddeveloping leadership capacities inlocal governance.Element Old NewChange Unit Individual Individual, Organization and SystemMethod Build knowledge and skills Apply knowledge and skillsDesign Basis Individual Needs Organizational and System PrioritiesEmphasis Learner’s Abilities Learning EnvironmentAnalysis Strengths and Weaknesses Performance and ResultsIntervention Series of Activities Change processBeneficiaries Beneficiary Participation Beneficiary ownershipExpertise Externel solutions Local solutionsScope Organization Specific Sector SpecificPrinciple Consultation Coordination and Collaboration*Source: Trekking for Good Local Governance Terrain: The LGSP Capacity Development Way, The Philippines-CanadaLocal Government Support Program Phase II (LGSP II), 2006, Pasig City, Philippines.For more comprehensive information on the LGSP Capacity DevelopmentFramework, CD strategies that worked, lessons learned and results, seeenclosed CD on Trekking the Good Local Governance Terrain:The LGSP Capacity Development Way.1Red Batario, et al. Trekking the Good Local Governance Terrain: The LGSP Capacity Development Way, Philippines-CanadaLocal Government Support Program, 2006, Manila, Philippines, p.20.

2Capacity Development:A New Perspective25Why a Capacity Development (CD) Agenda?Who is it for? What is it for?apacity Development becomesstrategic if it is based on a Cstrategic plan of an LGU such as aComprehensive Development Plan (CDP) oran Executive and Legislative Agenda (ELA).Any effort to improve LGU capacity shouldbe geared towards contributing to theattainment of its development objectivesand goals. 2A Capacity Development Agenda outlinesthe capacity development strategies,programs and initiatives that need to beundertaken to address identifiedorganizational competency gaps, indicatingthe target groups, specific recommendedapproaches, resources required andtimeline.The development of a gender responsive andcompetency-based LGU Capacity DevelopmentAgenda aims to:Define the necessary capacity requirementsfor a gender responsive, effective andefficient implementation of the priority LGUprograms and projectsHelp rationalize and strategically focuscapacity development efforts of the LGUProvide DILG/LGA and other localgovernance stakeholders with necessaryinformation that will facilitate delivery ofnecessary technical assistance and supportto LGUsFacilitate knowledge capital planning andbuild- up in the LGU and the DILG LocalGovernance Resource Center, providing aresponsive, efficient and accessibleenvironment for addressing LGU knowledgeand capacity requirements1Maria Concepcion Pabalan, et al. How to Formulate an Executive and Legislative Agenda for LocalGovernance and Development: Facilitator’s Guide, Philippines-Canada Local Government SupportProgram, 2004, Manila, Philippines.

26In undertaking the process of capacitydevelopment planning and informulating a capacity developmentagenda, it is important to take intoconsideration the following principles:12Maximize the utilization ofappropriate performancemanagement and institutionalcompetency assessment toolsDo not limit analysis with the useof one tool or process. Correlateand validate results with othercompetency assessment tools for amore in-depth and accurateanalysis.Mainstream gender andparticipatory governanceprocesses in capacity developmentplanning.SCALOG integrates participatoryprocesses such as dialogues,consultations and consensusbuildingin identifying34organizational strengths and weaknesses ofLGUs. The use of “GeRL Ka Ba?”, alongsideSCALOG, as a capacity development selfassessmenttool allows for a systematicintegration of gender in the CapacityDevelopment Agenda.Include all five (5) LGPMS and SCALOGPerformance Areas in Capacity DevelopmentPlanning.All fourteen (14) Service Areas under thefive (5) Performance Areas should beassessed. A Capacity Development Agendamay include all performance and serviceareas, including both areas of strengths andweaknesses. The CD Agenda will be good forthree years, aligned with the LGU’s shortterm plan such as the ELA and will also bethe basis for the annual priorities of the LGUas articulated in the annual investment plan.Integration and Convergence are importantin Capacity Development Planning.Capacity Development planning andformulation of the CD Agenda is not to betaken separately from other institutionalized

2Capacity Development:A New Perspective27Figure 5Knowledge Management and Capacity Development Planninglocal governance programs such as5LGPMS, ELA,GO-FAR and LocalGovernance Knowledge Management.Integration is key in the process ofdeveloping a meaningful and relevantCapacity Development Agenda forimproved performance of an LGU.Disjointed plans will most likely leadto waste of resources and problematicgovernance and development results.Build consensus among developmentpartners in defining the kind andextent of capacity developmentIt is important in capacitydevelopment planning to determinethe answers to the followingquestions:EvaluateELA Report BackCD Agenda M/ELGExcellenceLearn and InnovateKnowledge Providers(LGU, NGA, Experts, Practitioners)Knowledge BrokersDILG, LGOOs, LGACreateLGPMSSCALOGWhat capacity is needed by whomand for what purpose?How will the capacities be developedand exercised over time?UtilizeCDP-ELACD AgendaKnowledge Users(LGU, Citizens, NGOs, CSOs)ShareSLGR

28The Role of DILG Local Government Operations Officers inCapacity Development Plannings facilitators of capacity development in local governance, the DILG LocalGovernment Operations Officers (LGOOs) play a central role in theAformulation of a Capacity Development Agenda for local governments. The followingare important considerations for LGOOs in order to maximize their role effectivelyin undertaking and facilitating the process:1LGOOs must have a working knowledge of a whole range of local governancemanagement and planning systems, processes and tools such as LGPMS, CDP,ELA, LGU Organizational Competency Assessment, CBMS and Gerl Ka Ba?234LGOOs must be well versed with problem analysis tools such as Problem Tree,Objective Tree, Fishbone and Force Field Analysis among others and able toundertake and facilitate data analysis and validationLGOOs must have a solid grasp of capacity development and its emergingprinciples and strategies as applied to local governanceTake the lead in facilitating the preparatory steps for the conduct of theCapacity Development (CD) Planning and Agenda Formulation.

2Capacity Development:A New Perspective29567This includes the following important tasks:Organization of the LGU Technical Working Group (TWG) responsible for the CDPlanning and Agenda FormulationData management, which requires that relevant and up-to-date data for theprocess is available, secured and validatedCompletion of SCALOG processFacilitate the actual conduct of the CD Planning and Agenda FormulationLGOOs may act as the facilitator in some casesor as a coach to the LGU Technical WorkingGroup when it takes the lead in conductingthe processEnsure that a debriefing takes place with the LGU Technical Working Group (TWG) atthe end of the process to validate results.Facilitate the dissemination of the LGU Capacity Development Agenda as appropriatewithin the LGU and to external partners, such as the Local Governance Resource CenterLGRC.

7 Steps in Capacity Development Agenda Formulation3Tobe prepared is half the victory.Miguel de Cervantes

9 Steps in Capacity Development3 Agenda Formulation33Before You Start!The following are prerequisites in undertaking the 7 steps:1. The LGU should have completed their:o State of Local Governance Report (SLGR) as anoutput of the Local Governance PerformanceManagement System (LGPMS) tool.o SCALOG: LGU Organizational CompetencyAssessment result with the LGU OrganizationalCompetency Profile as an output.2. It may also help to make readily on hand results of otherperformance assessment tools (e.g. CBMS, GeRL Ka ba?) as theinformation they offer may be crucial in successfully completing theprocess.3. An LGU Technical Working Group (TWG) has been organized andoriented with the new ways of thinking on Capacity Development.Together with the MLGOO, they should also have with a solid graspof the result of these assessment tools.4. The Comprehensive Development Plan (CDP) – Executive andLegislative Agenda (ELA) must also be reviewed as the CapDevAgenda represents the Institutional Capacity Sector of the CDP-ELA.Some considerations in organizing themembers of an LGU Technical WorkingGroup :LCE to issue an Executive Ordercreating the LGU Technical WorkingGroup preferably composed of thefollowing:oooooHead of Human ResourceDepartment, as CapacityDevelopment AgendaFocal Person and Head ofthe TWG;City/Municipal PlanningDevelopmentCoordinator, as LGPMSand SCALOG Focal Person ;City/MunicipalAdministratorOther Department HeadsELA Coordinator

34There is no “one way” to formulate a CD Agenda. The following are suggested steps with corresponding tools inconducting Capacity Development Planning and Agenda Formulation.7 Steps in Capacity Development Agenda FormulationStep 1Determine the Current SituationClosely review the LGU Organizational Competency Profile (Appendix B of SCALOG-LOCA) and compare results with the indicators forconsistency. It is important that the data entered herein is validated.Focus on the list of competency strengths and gaps as summarized in the LGU Organizational Competency Profile. Form No. 1 as illustrated,indicates the list of competency strengths and gaps per competency area.Form 1: Organizational Assessment ResultORGANIZATIONAL ASSESSMENT RESULTMunicipality XYService AreasHigh competencyCompetency Assessment Result (7 competency areas)Low CompetencyNote:High Competency- 3.5 - 5.0Low Competency- 1.0 - 3.49SOCIAL GOVERNANCEPeace, Security and DisasterPreparednessOrganization & staffingLegislative & otherenabling mecTransparencyMngt. SystemCustomer ServiceThe LGU streamlines its peace, security and disaster preparednessservices in terms of reduction in:3.4.7.2.1 processing/transaction time3.4.7.2.2 number of requirements3.4.7.2.3 number of signatories3.4.7.2.4 number of stepsThe LGU solicits feedback from its clients regarding its services throughinformal means (e.g., spontaneous feedback from clients, interviews andother methods that are unstructured or done randomly)ParticipationLesser participation of the community in planning, projectimplementation,monitoring & evaluation.

37 Steps in Capacity DevelopmentAgenda Formulation35Step 2Validate LGU Competency gaps with reference to othertools that generate LGU data and information.The intention in undertaking this step is to establish theconsistency of SCALOG results with other analysis.It should be noted that the LGU Capacity Development Agenda is an integral part of the Executive-Legislative Agenda. This undertaking should have considered the following Calendar in administeringassessment tools and instruments and the formulation of the plan:• LGPMS Data Gathering and Analysis - January to end of February• Presentation of LGPMS Result - on or before March 31• SCALOG Administration and Analysis - April• ELA Preparation Steps 1-5- July to AugustSome of the tools and processes that may be used to correlate SCALOG results and enrich the qualitativeanalysis further are CBMS, GeRL Ka Ba? and other tools focused on assessing child-friendly LGUs,environmental impact and evaluating LGU financial management, among others.Form No. 2Performance IndexLOCAL GOVERNANCE PERFORMANCE MANAGEMENT SYSTEM (LGPMS) ResultMUNICIPALITY XYForm No. 2 illustrates the performancegaps as captured under the LocalGovernance Performance ManagementSystem and describes the factorsaffecting low performance.Service AreasPerformanceRatingPerformanceIndex (AdjectivalRating)Factors Affecting PerformanceSOCIAL GOVERNANCEPeace, Security andDisaster Preparedness3.60 FairPartial functionality of POCPOC does not meet as often as necessaryLesser quality of IACPSPPartial participation in IAPSP formulationPartial participation in IASCP formulationNo M & E for IAPSP

36Form No. 3 correlates existingCDP-ELA sectoral objectivesvis-à-vis performance areas/service areasForm No. 3CDP-ELA ObjectivesSECTORAL OBJECTIVES (REVISITING EXECUTIVE-LEGISLATIVE AGENDA (ELA))MUNICIPALITY XYPerformance Areas /Service AreasGoals (Performance Areas)ELA Dev’t. Goals/ObjectivesSectoral objectives (Service Areas)SOCIAL SERVICESPeace, Security & Disaster Prep.A peaceful and safe community

37 Steps in Capacity DevelopmentAgenda Formulation37Form No. 4CDP-ELA-LGPMS-SCALOG COMPLMENTATIONForm No. 4 establishes relationships andprovides for the complementation of theresults of the different tools andprocesses to enrich the qualitativeanalysis for each performance area/service area.CDP-ELA-LGPMS-SCALOG COMPLMENTATIONMUNICIPALITY XYPerformance Areas /Service AreasCDP/ELA (SectoralObjectivesPerformance Index(Weak performance areas)Low CompetencySOCIAL GOVERNANCEPeace, Security & Disaster Prep.Peaceful andsafe communityFairPOC does not meet as often asnecessaryPartial participation in IAPSPformulationPartial participation in IASCPformulationCustomer ServiceThe LGU streamlines its peace, security anddisaster preparedness services in terms ofreduction in:3.4.7.2.1 processing/transaction time3.4.7.2.2 number of requirements3.4.7.2.3 number of signatories3.4.7.2.4 number of stepsNo M & E for IAPSPThe LGU solicits feedback from its clientsregarding its services through informal means(e.g., spontaneous feedback from clients,interviews and other methods that areunstructured or done randomly)ParticipationLesser participation of the community inplanning, projectimplementation, monitoring & evaluation.

38Step 3Undertake analysis of theidentified problemsUse one or a combination oftools and processes in analyzingthe problem/s. The suggestedtools are Problem Tree Analysis,Fishbone Analysis, Strength,Weaknesses, Opportunities andThreat (SWOT) Analysis,Alternative Analysis Approach,Participatory IssueIdentification, Pairwise RankingThe Problem Tree Analysis isdiscribed in the suggestedtool #1.Suggested Tool #1PROBLEM ANALYSISUsing “metacards,”list all problems. Onecard per problem.Formulate eachproblem as anegative condition.The convergence pointfor all the problemsidentified is referredto as the “coreproblem” & becomestheoverriding concernthat will have to beaddressed.How to undertake Problem analysisSTEP 1Identify theproblemsSTEP 2Establish the cause andeffect relationshipamong the problemsidentifiedSTEP 3Establish aconvergencepoint/sSTEP 4Review thediagram asa whole.From amongthe listedproblems, try& agree onwhich is thecause &which is theeffect.Verify the cause andeffect relationshipand agree on thesoundness andcompleteness of theproblem tree.See Illustration #3 for a sample of an actual case.

39Suggested Tool # 2B. Sample Case Using SWOTSuggested Tool # 3C. Sample Case Using Fishbone AnalysisHow to do a SWOT· Step 1 – Information collection - In the here and now…List all strengths that exist now. Then in turn, list allweaknesses that exist now. Be realistic but avoid modesty!oooYou can conduct one-on-one interviews. Or get agroup together to brainstorm. A bit of both isfrequently best.You’ll first want to prepare questions that relateto the specific company or product that you areanalyzing. You’ll find some questions and issuesbelow to get you going.When facilitating a SWOT - search for insightthrough intelligent questioning and probing· Step 2 – What might be…List all opportunities that exist in the future. Opportunitiesare potential future strengths. Then in turn, list all threatsthat exist in the future. Threats are potential futureweaknesses.· Step 3 – Plan of action…Review your SWOT matrix with a view to creating an actionplan to address each of the four areas.References:http://rapidbi.com/created/SWOTanalysis.html#Definitionhttp://www.mindtools.com/pages/article/newTMC_03.htmhttp://web2.concordia.ca/Quality/tools/18pairwise.pdfFollow these steps to solve a problem with a Cause and Effect Diagram:1. Identify the problem:Write down the exact problem you face in detail. Where appropriateidentify who is involved, what the problem is, and when and where it occurs.Write the problem in a box on the left hand side of a large sheet ofpaper. Draw a line across the paper horizontally from the box. This arrangement,looking like the head and spine of a fish, gives you space todevelop ideas.2.Work out the major factors involved:Next identify the factors that may contribute to the problem. Drawlines off the spine for each factor, and label it. These may be people involvedwith the problem, systems, equipment, materials, external forces, etc. Tryto draw out as many possible factors as possible. If you are trying to solvethe problem as part of a group, then this may be a good time for somebrainstorming.Using the ‘Fish bone’ analogy, the factors you find can be thought ofas the bones of the fish.3. Identify possible causes:For each of the factors you considered in stage 2, brainstorm possiblecauses of the problem that may be related to the factor. Show these assmaller lines coming off the ‘bones’ of the fish. Where a cause is large orcomplex, then it may be best to break the it down into sub-causes. Showthese as lines coming off each cause line.4. Analyze your diagram:By this stage you should have a diagram showing all the possiblecauses of your problem that you can think of. Depending on the complexityand importance of the problem, you can now investigate the most likelycauses further. This may involve setting up investigations, carrying out surveys,etc. These will be designed to test whether your assessments are correct.

40Step 4 Formulate the Competency Objectives .Obejctives are specific measures used todetermine whether or not we are successfulin achieving a goal.When sitting down to formulate your objectives,it would help to have a very clear ideaof what you want to be in the future andwhat you are going to do to get there. yourobejctives therefore should be SMART!S Specific Not a vague aspiration but a cleardescription of where you want to beM Measurable So that you can demonstrate thatobjective can be achievedA Achievable Within your control of influenceR Resourced Clearly linked to the resources neededto get you where you want to beThe objective analysis will facilitate theidentification of the Core CompetencyObjective for Capacity Development (CD).Hence, it is strongly suggested that the useof Problem Tree Analysis be undertaken toidentify the problems as suggested underthe Step 3.What is Objective Analysis?It is a tool to:- describe a situation that would existafter solving a problem or problems- Identify means-ends relationship tomeet the objectives- Visualize the relationships in a diagram.See Tool # 2 and follow the processdescribed in stepsT Time-bounded Deadline!

9 Steps in Capacity Development3 Agenda Formulation46 41OBJECTIVE ANALYSISThe process takes offfrom the problemanalysis undertakenearlier (see SuggestedTool #1). Instruct theteam to go through thefollowing steps:Step 1: Reformulate allnegative statements in theproblem tree into positivestatementsStep 3: Reformulate CoreObjective into a CoreCompetency ObjectiveStep 2: Form a diagram showingmeans-ends relationship in theform of an objective tree.Step 4: Reformulate all MEANSstatements into appropriatestrategies, and END statements intoappropriate goalsStep 5: Add or do away withstrategies as appropriate.Step 6: Review the diagram as awhole and verify its validity andcompleteness.How do you identify the Core Competency Objective for CD?Translate the core objective as stated in the Objective Analysis to a specificcompetency that needs to be developed. See Illustration # 4 for sample ofan actual case.

42Developing Core Competency Objective for CD and Strategies Using Objective AnalysisIllustration No: 4Sample Case Using Objective TreeENDSAppropriate systems inplace that make use ofstaff time & resources tothe maximum &efficientlyAvailability offunds tofinancedevelopmentprojectsTaxpayers areaware ofpaymentobligationsExpansion ofrevenuegenerationbaseCitizens havemotivation topay their taxesEstablishmentof a one-stopshopWillingness oftaxpayers to payTO DEVELOP A LOCAL REVENUE PLANWITH AN UPDATED REVENUE CODECORE OBJECTIVECommunication Strategydeveloped to convincecitizens of incentives andbenefits of paying taxesEfficient systems on:-Assessment-Collection-Business registrationPolitical will tocollect taxesMEANSThe public are informedof their responsibility topay their taxesLGU systemstreamlinedPresence of competentstaff complement tosupport tax collectioninitiativesTax campaigndeveloped &implementedLGU hasa public serviceorientationPenalties arestrictlyimplementedFinancialmanagementsystemimplemented

9 Steps in Capacity Development3 Agenda Formulation43GOALSCore CompetencyObjective for CDSTRATEGIES1. To convince citizens that paying taxes will improve the quality of their lives.2. To establish a one-stop shop to enhance local revenue generation.3. To strengthen citizenship in the area of revenue generation in local governance.4. To expand the local revenue generation base and identify traditional & non traditional sourcesof income.5. To ensure that local revenue are allotted for development oriented & enhanced servicedelivery programs & projects.ENHANCE LGU CAPACITY TO STRENGTHENLOCAL REVENUE GENERATIONSTREAMLINING OF LGU SYSTEMINDIVIDUAL-Build capacity of staff to provideappropriate support to tax collectioninitiativeORGANIZATION-Develop & implement systems in place interms of assessment, collection, &business registrationSYSTEM / INSTITUTIONAL-Formulate & implement local policies,i.e. Executive Order on streamlining andimplementation of incentives andpenalties.BUILD CAPACITYOF LGU STAFF IN DEVELOPING THE LOCALREVENUE PLANDEVELOPMENT OF A COMMUNICATIONSTRATEGY aimed at:Increasing awareness of citizens and LGUleaders on the benefits of paying taxes(External & Internal buy in)Developing a public service orientation of LGU(Internal buy in)Strengthening citizenship & public participationTips- Add new strategiesif there are relevantones that come upduring thediscussion andwould benecessary toachieve anobjective at ahigher level- Delete strategiesthat do not seem tobe necessaryas a result of thediscussion

44Step 5Prioritize gaps for Capacity Development intervention.Reconcile Core Competency Objectivefor CD with the priority developmentagenda and capacity developmentrequirements as stated in the LGUSLGR, if available. Also refer to theLGU CDP-ELA and list the CDP-ELApriorities per performance area, ifavailable.This step is crucial and its purpose is toestablish the link of the identifiedcompetency gaps with the prioritydevelopment agenda of the LGU.Key Questions to Ask!. Are the capacity developmentrequirements identified in the SLGRconsistent with the Core CompetencyObjective for Capacity Development?. Are the identified core competencyobjective/s for CD aligned with thethrust of improving the state of localgovernance of the LGU?. Would addressing the competencygaps contribute in accomplishing thepriority program, projects andactivities of the LGU as articulated inthe CDP-ELA?. Would efforts to address thecompetency gaps potentially lead toinstitutionalizing change in the LGU?

9 Steps in Capacity Development3 Agenda Formulation50 45Matrix 1Validation MatrixLGU XYZLGU Priority Development Agenda, CDP-ELA Goals and Priorities and CoreCompetency Objective for Capacity DevelopmentLocal GovernancePerformance AreasLGU Priority DevelopmentAgenda as stated in the SLGR(Outcomes/Outputs)CDP- ELAPrioritiesCore Competency Objective forCapacity Development (Step 7)GovernanceAdministration -Revenue GenerationEnhance tax collection efficiency andRevenue Generation Activities· improve the city’s coffers· computerize payment and taxcollection system· invest in local economic revenuegenerating enterpriseUpdate theLocal revenue Code· conduct tax mapping operationstoestablish the tax base and identifyadditional taxable properties andbusinesses· expand economic activitiescovered by a new tax scheme· offer better incentives toUpdate theRevenueCodeDeveloptraditionaland nontraditionalsources ofrevenueEnhance LGU capacity tostrengthen local revenuegenerationService Deliveryprospective investorsEconomicDevelopmentEnvironmentalManagement

46Step 6Develop the Capacity Development Agenda6.4. Prioritize the capacity developmentinitiatives as High, Medium and Low toindicate which one should be implementedfirst6.1 Organize the Capacity Development Agenda accordingto Local Governance Performance Areas6.2 Indicate Core Competency Objective for CD6.3 Identify specific and appropriate capacitydevelopment strategy/approach/initiative that needsto be taken to meet the specific objective.At this point, review results of Step 7- ObjectiveAnalysis - and look closely at the identified means to beable to meet the objectives. This section will provideideas on specific and appropriate capacity developmentstrategies and approachesRemember, capacity development is NOT just about trainingor staff development and may involve a whole range ofstrategies and approaches e.g. learning by doing, peer topeer mentoring, work place learning , on-site coachingamong others.Core Competency Objective for CDand corresponding initiatives that arealigned with the Priority DevelopmentAgenda, Capacity DevelopmentRequirements identified in the SLGRand CDP-ELA priorities should bemarked as high in the priority list.Review Matrix 1.6.5. Identify target outcomes or milestonesthat would be the basis for monitoring andevaluation of the results of implementingthe CD Agenda.6.6. Identify target individual, divisions,systems, structures and policies thatshould be primarily involved in and/orshould be addressed by the proposedcapacity development initiatives. Thesemay also include specific structures,systems and/or processes that may beinfluenced by the capacity developmentagenda and process

9 Steps in Capacity Development3 Agenda Formulation52 476.7. Assign specific roles and responsibilities to achieve the capacityobjectives and targets6.8. Indicate target deadline for the completion of each capacitydevelopment initiative6.9. Draw up realistic resource requirements and indicate fundingsources, if able to identify.Resource requirements may take various forms: human, material and monetary.Sources may be internal (from within the LGU budget) or external.6.10. Identify potential sources of support or technical assistance.For example, the Local Governance Resource Centers may be tapped tofacilitate specific capacity development initiatives. Similarly, nationalagencies, academia or NGOs may be harnessed. It would be helpful if theplan will indicate these potential sources of assistance.

48Remember, capacity development is NOT just about training or staff development and may involve a whole range ofstrategies and approaches e.g. learning by doing, peer to peer mentoring, work place learning, on-site coaching amongothers.This is how a CapDev Agenda Looks like:PerformanceAreas /ServiceAreasCompetencyObjectivesCapacityDevelopmentResponses(Strategies/ Approaches/P/P/As)EXPECTEDOUTPUTTARGET BENEFICIARIESNo.TypeLevelofPriorityTimeFrameFunding Requirement2010 2011 2012OfficeResponsibleSource ofSupport/TechnicalAssistance

Taking Up the Challenge to Institutionalize Change4Thebest way to predict the future is to create it…Peter Drucker

52or any local capacity development initiative to be strategic and effective, it is imperative for it to be basedon the strategic plan of an LGU. Efforts to enhance LGU capacities for improved performance should bealigned with the LGU development goals and priorities. Conversely, LGU plans and priorities should beFsupported by organizational and institutional competencies for its successful implementation.Here lies the challenge of capacity development planning. Given its crucial place in the local developmentmanagement process, it should be prioritized and integrated meaningfully and systematically in local developmentplanning. At present, capacity development planning is a less prioritized task in many LGUs. Issues around time andresources tend to set capacity development aside. Moreover, the view of capacity development as limited to trainingremoves the creativity from the process and tends to marginalize the whole range of CD strategies.Promoting the culture of learning in pursuit of good local governance entails the need to address organizational andinstitutional competency gaps. LGUs should not ignore or deny any shortcomings. Rather, the opportunity to build aculture of self-assessment could not be more real and possible than now. Capacity development planning as aknowledge process is a way to improving LGU performance.It is important for an LGU to prioritize vis-à-vis a whole gamut of programs and projects when formulating a CDAgenda. For example, the Core Competency Objectives for Capacity Development that align with LGPMS results andCDP-ELA priorities must be high in the list of priorities. Moreover, the CD Agenda may also address areas that wouldhelp sustain a particular performance area and make it even better. What would it take to sustain effective systemsand make them even more responsive? How can it be institutionalized?The Local Government Operations Officers (LGOOs) play a pivotal role in promoting a culture of learning and selfassessmentin local governance. The key is to understand what it takes to broker the knowledge created and madeavailable so that LGUs may be able to use it effectively to address their own needs and priorities. Knowledge capitalbuild-up or organizing the relevant data, information and knowledge needed to respond to the LGU CD Agenda is akey result of capacity development planning. The LGOO is in the best position to facilitate this process incoordination with the DILG Local Governance Resource Center. LGOOs have within their reach a wealth of tools andstrategies that would support LGUs craft a gender responsive Capacity Development Agenda.One must not want to institutionalize change. One must choose to.