Institutional Reform for Business Development

Report Cover Image
Evaluation Plan:
2006-2011, Viet Nam
Evaluation Type:
Project
Planned End Date:
06/2006
Completion Date:
07/2006
Status:
Completed
Management Response:
Yes
Evaluation Budget(US $):
15,000

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Title Institutional Reform for Business Development
Atlas Project Number:
Evaluation Plan: 2006-2011, Viet Nam
Evaluation Type: Project
Status: Completed
Completion Date: 07/2006
Planned End Date: 06/2006
Management Response: Yes
Focus Area:
  • 1. Poverty and MDG
Corporate Outcome and Output (UNDP Strategic Plan 2018-2021)
Evaluation Budget(US $): 15,000
Source of Funding:
Joint Programme: No
Joint Evaluation: No
Evaluation Team members:
Name Title Nationality
Alf Persson and Nguyen Tung Team Leader
GEF Evaluation: No
Key Stakeholders:
Countries: VIET NAM
Lessons
Findings
Recommendations
1 Follow-up on actual implementation of the Enterprise Law and Investment Law. Passing laws is only the first step; the really difficult part in Vietnam is effective implementation in actual practice. There is thus continued critical need for an effective and dynamic reform champion, with the means and resources to push and monitor the implementation process.
2 The project has also successfully promoted and gained acceptance for consultation and dialogue between government and business, but not achieved institutionalization and professionalization.
3 Monitoring has been informal and rather anecdotal. This has not seriously affected the overall success of the project, but as a consequence it is not possible to assess the direct usefulness and impact of individual project activities and products except in a very general sense.
4 Capacity building in the hard sense has been limited, mainly ad hoc and personal for certain staff.
5 Recommended development, testing and application of a practical but rigorous model and package for implementation and monitoring of the two laws, based on international state-of-the art but adapted to Vietnamese realities.
6 Monitoring, assessment, consultation and advocacy on continuing business regulatory reform, overall but also especially at the sub-law level (eg. actions by ministries, provinces, etc.)
7 Exit strategy: there are assurances and mechanisms to determine and ensure sustained and adequate Government funding for CIEM to fulfil their tasks to a high standard, with progressively less external support
8 Recognize the process aspects more explicitly in the Project design.
9 The 'knowledge management' aspect of the project has not been adequately recognized. Explicit attention to knowledge management aspects should be part of all projects that concern policy studies and reform, advocacy, stakeholder dialogue and consultation, and generally where production and application of information is a major component. This should not only be reflected in design and execution, but also in monitoring and outcome assessment criteria.
1. Recommendation: Follow-up on actual implementation of the Enterprise Law and Investment Law. Passing laws is only the first step; the really difficult part in Vietnam is effective implementation in actual practice. There is thus continued critical need for an effective and dynamic reform champion, with the means and resources to push and monitor the implementation process.
Management Response: [Added: 2006/12/14]

GOVN is working on the implementation of the 2 laws.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
A Task Force was recently established by the Prime Minister to supervise and monitor the implementation of EL and IL. Members of the Task Force include key drafters of both the EL and IL. The Task Force works under the general direction of the Minister of Planning and Investment, and reports to the Prime Minister. It has proposed, as a follow-on to VIE/01/025, UNDP to provide support to the Task Force on law implementation.
[Added: 2006/12/14] [Last Updated: 2006/12/26]
The Task Force for Implementation of the EL and IL 2006/12 Completed
2. Recommendation: The project has also successfully promoted and gained acceptance for consultation and dialogue between government and business, but not achieved institutionalization and professionalization.
Management Response: [Added: 2006/12/14]

The final two years of the Project focused on providing support to institutionalization and professionalization of the dialogue process. During the implementation of the two laws, for example, MPI leads the on-line Q & A on the IL and EL through the E- Portal (based at CIEM) and Task Force organized series of consultations, dialogues, etc.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
The above Task Force will continue the process.
[Added: 2006/12/14]
N.A 2006/12 Completed
3. Recommendation: Monitoring has been informal and rather anecdotal. This has not seriously affected the overall success of the project, but as a consequence it is not possible to assess the direct usefulness and impact of individual project activities and products except in a very general sense.
Management Response: [Added: 2006/12/14]

The project has undertaken monitoring activities as required in the NEX Manual (regular project reviews, reporting, monitoring visits, etc.). A system of indicators for monitoring the progress toward achieving the project outputs and its contribution to the outcome could be developed and used for more systematic monitoring)

Key Actions:

Key Action Responsible DueDate Status Comments Documents
This issue will be considered carefully when designing subsequent Project.
[Added: 2006/12/14]
N.A 2006/12 Completed
4. Recommendation: Capacity building in the hard sense has been limited, mainly ad hoc and personal for certain staff.
Management Response: [Added: 2006/12/14]

The capacity of beneficiaries have been, at great extent, strengthened though their participation into the debates and improving the draft IL and EL. Particularly CIEM as the direct beneficiary has strengthen their "organisational confidence" in leading such difficult and complex task as drafting and implementing the IL and EL. Capacity building could be more systematic based on thorough capacity assessment/ capacity building needs assessment.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
Capacity assessment/ capacity building needs assessment will be done and capacity building strategic plan will be developed, implemented in the new project.
[Added: 2006/12/14]
N.A 2006/12 Completed
5. Recommendation: Recommended development, testing and application of a practical but rigorous model and package for implementation and monitoring of the two laws, based on international state-of-the art but adapted to Vietnamese realities.
Management Response: [Added: 2006/12/14]

Regulatory impact assessment (RIA) is acknowledged by government agencies as one of effective tools to strengthen the implementation and monitoring. RIA is recommended (by government officers) to be used to measure impact of the IL and EL implementation

Key Actions:

Key Action Responsible DueDate Status Comments Documents
Future project will focus on providing such model/package including RIA
[Added: 2006/12/14]
N.A 2006/12 Completed
6. Recommendation: Monitoring, assessment, consultation and advocacy on continuing business regulatory reform, overall but also especially at the sub-law level (eg. actions by ministries, provinces, etc.)
Management Response: [Added: 2006/12/14]

This recommendation is both valid and congruent with the decentralization policy of the Vietnamese Government. Efforts are made by MPI/TF on monitoring the licensing process in ministries and provinces, including issuance of sub-law regulations.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
New project will address this including developing mechanisms for monitoring at sub-law levels as well as for showing best practices in laws implementation.
[Added: 2006/12/14]
N.A 2006/12 Completed
7. Recommendation: Exit strategy: there are assurances and mechanisms to determine and ensure sustained and adequate Government funding for CIEM to fulfil their tasks to a high standard, with progressively less external support
Management Response: [Added: 2006/12/14]

This requires (i) defining clear roles, mandates and functions of the government agencies involved in drafting and implementing the laws and (ii) clearly defined TA and CB roles of the UNDP-supported project

Key Actions:

Key Action Responsible DueDate Status Comments Documents
The new project will help strengthen the capacity in implementing the two laws including through regular organizational systems and mandates of government agencies.
[Added: 2006/12/14]
N.A 2006/12 Completed
8. Recommendation: Recognize the process aspects more explicitly in the Project design.
Management Response: [Added: 2006/12/14]

Agreed. To ensure achievement of the project's ultimate goal (adoption of EL & IL) that involved several government bodies and attracted support from many donors like Vie/01/025, the smooth operational process is equally important as achieving intended outputs

Key Actions:

Key Action Responsible DueDate Status Comments Documents
This recommendation should be considered when designing the subsequent Project by UNDP.
[Added: 2006/12/14] [Last Updated: 2006/12/26]
N.A 2006/11 Completed
9. Recommendation: The 'knowledge management' aspect of the project has not been adequately recognized. Explicit attention to knowledge management aspects should be part of all projects that concern policy studies and reform, advocacy, stakeholder dialogue and consultation, and generally where production and application of information is a major component. This should not only be reflected in design and execution, but also in monitoring and outcome assessment criteria.
Management Response: [Added: 2006/12/14]

The importance of knowledge management of the project products is fully recognised by both project management and UNDP. Findings from studies carried out by the project were shared through workshops with the law drafters and then with other stakeholders. However, we recognised that (1) reports of background studies should be consolidated and shared widely with the public through not only workshops but also in the form of set of studies on specific themes/topics (2) UNDP organised an information sharing session on this issue with all UNDP staff and share knowledge on law drafting with other programs

Key Actions:

Key Action Responsible DueDate Status Comments Documents
This important issue will be borne in mind when designing the subsequent Project with UNDP, and in their subsequent assessment.
[Added: 2006/12/14] [Last Updated: 2006/12/26]
N.A 2006/11 Completed

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