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The Matrix System at Work - Independent Evaluation Group - World ...

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4. Delivering Quality Services<br />

Highlights<br />

Although outcomes of Bank-financed oper<strong>at</strong>ions improved significantly over the past two decades,<br />

there has been a significant decline in outcome r<strong>at</strong>ings since FY06.<br />

Quality assurance systems are more effective for lending than for ESW and are weakest for NLTA.<br />

<strong>The</strong> focus on reput<strong>at</strong>ional risk has crowded out <strong>at</strong>tention to other aspects of quality of lending<br />

oper<strong>at</strong>ions.<br />

Accountability for quality is highest for task team leaders and nonexistent for sector directors.<br />

Regional sector units, responsible for oper<strong>at</strong>ional delivery, are receiving a decreasing share of<br />

regional budgets.<br />

Messages from senior management, control over task budgets, and desires for promotion and<br />

salary increase are the primary incentives for meeting lending targets.<br />

Job s<strong>at</strong>isfaction and recognition by peers are the primary incentives for “m<strong>at</strong>rix behaviors”<br />

designed to improve development outcomes, including focusing on results, collabor<strong>at</strong>ing across<br />

sectors, and mobilizing Bank-wide expertise.<br />

Disincentives arising out of budgetary and inform<strong>at</strong>ion management rules discourage cross-sector<br />

collabor<strong>at</strong>ion.<br />

Introduction<br />

4.1 <strong>The</strong> m<strong>at</strong>rix system was designed to strengthen the Bank’s ability to deliver<br />

quality services th<strong>at</strong> combine relevant local solutions with global knowledge. This<br />

was to be achieved by the combin<strong>at</strong>ion of country priorities articul<strong>at</strong>ed by country<br />

management and global technical expertise brought to bear by sector management<br />

and the Bank-wide networks.<br />

4.2 <strong>The</strong> key question this chapter seeks to answer is “Are incentives and<br />

accountability mechanisms aligned in a manner th<strong>at</strong> rewards high quality in<br />

client services and results?” To answer this question, the evalu<strong>at</strong>ion assesses the<br />

extent to which:<br />

incentives and accountabilities are clearly defined to assure quality.<br />

financing and budget incentives influence the quality of outputs and promote<br />

effective knowledge and technical services.<br />

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