performance budgeting practices - ivor beazley, world bank
TRANSCRIPT
![Page 1: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/1.jpg)
![Page 2: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/2.jpg)
Study background
Middle and lower income countries aspiring to
international best practices in budgeting.
In Eastern Europe early reformers have struggled to
make performance budgeting effective.
What can aspiring countries learn from their
neighbours experiences and those of advanced
reformers in OECD countries?
![Page 3: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/3.jpg)
Methodology:
Common questionnaire
Seven in depth country case studies; Australia,
Estonia, France, Netherlands, Poland, Russia, USA
Studies prepared 2014-15, by national experts and
academics closely involved in reform efforts
Peer reviewers; Neil Cole (CABRI), Teresa Curristine
(IMF), Allen Schick (UMD), Nicola Smithers (WB),
Mark Ahern (WB)
![Page 4: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/4.jpg)
We define performance budgeting by our aspirations
for it
OECD definition: “Performance budgeting is the use
of performance information to link funding with
results with the purpose of increasing efficiency,
effectiveness, transparency and accountability”
The gap between our aspirations and the observed
effects of performance systems are usually large,
resulting in disappointment
![Page 5: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/5.jpg)
Challenges in Performance Budgeting
![Page 6: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/6.jpg)
Setting Objectives: A primary challenge for
governments is to decide the purpose of performance
budgeting
Looking Beyond the Budget: Managers are the most
likely users of performance information
![Page 7: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/7.jpg)
![Page 8: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/8.jpg)
Capacity Constraints: Governments underestimate
the costs of a performance budgeting system
successfully.
Information Overload: Countries typically produce too
many metrics.
![Page 9: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/9.jpg)
Prioritizing Strategic Goals: Metrics for the most
salient service delivery areas are more likely to be
used.
Managing Performance Perversity: Too much
emphasis on performance can motivate gaming
behavior.
![Page 10: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/10.jpg)
Routinizing Performance Information Use: through
program evaluation, audit, and learning routines
![Page 11: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/11.jpg)
Changing Behavior: The pace and ambition of
changes should reflect difficulty of building a
performance culture.
Balancing Political and Bureaucratic Support: A
political champion brings pros and cons
![Page 12: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/12.jpg)
Be clear about the objectives of the reform
Rather than standardized reporting, focus on
most crucial service delivery areas and
strategic policy priorities
Rather than rely on budget process, part of
comprehensive approach to policy analysis &
management
Focus on program managers as most likely
users
NEXT GENERATION APPROACH
![Page 13: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/13.jpg)
Make performance budgeting system
consistent with capacities
Long-term approach values consistency across
multiple reform efforts and incremental
adaptive change based on experience
NEXT GENERATION APPROACH
![Page 14: Performance budgeting practices - Ivor Beazley, World Bank](https://reader030.vdocuments.mx/reader030/viewer/2022021420/58e994961a28ab287d8b54f5/html5/thumbnails/14.jpg)
Thank you