PAD - LGED

Project Stakeholder Risks
Stakeholder Risk Rating Substantial
Description:
LGED's planning framework does not have an
adequate approach for more systematic and
rationale distribution of resources.Political
influence over selection of sub-projects and
selection of contractors is a possible challenge
and can lead to biased selections andpoor
performance.
Annex 4: Operational Risk Assessment Framework (ORAF)
Bangladesh: Second Rural Transport Improvement Project (P123828)
Risk Management:
Selection of projects based on an approved selection methodology.
Resp:
Client Stage: Prepar
ation
Risk Management:
Recurrent:
Due
Date:
31-Dec-2015 Frequency: Status: In
Progress
Strengthen information on project provided to stakeholders including on project website
Resp:
Client Stage: Prepar
ation
Risk Management:
Recurrent:
Due
Date:
31-Dec-2012 Frequency: Status: In
Progress
Adopt and operationalize Suggestion and Complaint Mechanism which was built based on consultation with
stakeholders and the experience of RTIP and other projects in Bangladesh.
Resp:
Implementing Agency (IA) Risks (including Fiduciary Risks)
Client Stage: Prepar
ation
Capacity Rating Substantial
Description:
LGED is unable to effectively manage the
project given the large number of contracts
spread over 26 districts (40% of the country
area).
LGED's decentralized nature makes project
monitoring difficult.
LGED does not have sufficient IT infrastructure
to implement the project. IT infra-structure is
improving in Bangladesh but does not cover the
entire country yet.
Risk Management:
Recurrent:
Due
Date:
31-Dec-2012 Frequency: Status: In
Progress
LGED is one of the strongest counterparts in Bangladesh and satisfactorily implemented the RTIP-I project.
However, in order to balance the workload and possible strain on capacity during implementation of RTIP-II, the
project implementation plan will include phasing of various components in order to accommodate project size and
geographic scope. For example, the first year of implementation will only include periodic maintenance works,
and road improvement contracts will not be initiated until the second year of implementation.
Resp:
Client Stage: Prepar
ation
Risk Management:
Recurrent:
Due
Date:
31-Mar-2012 Frequency: Status: Complet
ed
Support rolling-out of transitional Unified Financial Management System (UFMS) to all projects, and
implementation within 3 years of a new comprehensive FMS linked with the planned Integrated Decision Support
System for the whole LGED. Support modernization of IT systems and infrastructure including extension for
coverage of all major field offices and HQ. (Current due date refers to UFMS)
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