Performance Based Contracting

Despite the existence of effective interventions, there are many developing countries which are not on track to achieve the Millennium Development Goals (MDGs) for health. In many countries the delivery of health services is inadequate and one way of improving the situation is to contract with non-state providers. Contracting is a mechanism for a financing entity to procure a defined set of services from a non-state provider. Performance-based contracting is a type of contracting with: (a) a clear set of objectives and indicators; (b) systematic efforts to collect data to judge contractor performance; and (c) some consequences for the contractor, either rewards or sanctions, based on performance. Effective contracting for health services can be facilitated by using a systematic approach, described in this toolkit, that addresses key issues, including how to: 1. have a constructive dialogue with all stakeholders; 2. define the health services in terms of what services are to be delivered, where, the quantity of beneficiaries to be served, equity, and quality of care; 3. design the monitoring and evaluation to judge the performance of contractors; 4. select the contractors in a fair and transparent way; 5. arrange for effective contract management; 6. draft the contract and bidding documents; and 7. carry out the bidding process and successfully manage the contracts. The toolkit also includes a review of 14 evaluated examples of contracting in developing countries which concludes that the current weight of evidence indicates that contracting improves the coverage and quality of services rapidly. The six cases with controlled, before and after evaluations demonstrated large impact with themedian double difference (follow-up minus baseline in the experimental group minus follow-up minus baseline in the control) ranging from 9 to 26 percentage points.

Scientific and Technical Report No. 24 Performance-Based Contracts (PBC) for Improving Utilities Efficiency: Experiences and Perspectives is a compendium of articles written by members of the PBC taskforce. It focuses on new approaches without delegated management to private operator i.e. service contracts, consulting contracts, Alliance approach, public-public partnership. It also mentions new design and generation of more traditional PPPs, (MC, lease, concession), where a larger proportion of performance-based design is being applied. List of Contents: Performance Based Contracts – Setting the scene; PBC and Results Based Financing: the inverse approach; PBC and Energy Efficiency; Internal Performance Contracts: A Case of the National Water and Sewerage Corporation in Uganda; Performance-Based Service Contracts in Navi Mumbai; Financial Comparison of PBCs and Conventional Approach; Tegucigalpa PBC Case Study; Performance Based Contracts – Key Design Issues; NRW Reduction Optimization Framework; How to improve water services performance? Performance Based Contracts (PBC) and Regulatory issues; Peer-to-Peer Partnerships Operational for sustainable water services; Performance Based Contracts in Malawi: Teamwork Works; Performance based affermage contracts; Performance based Contracts, The Aroona Integrated Alliance Experience; Experience from Eastern Europe; NRW Performance Contract – Kingdom of Bahrain; The way forward and perspectives/trends

Road asset management is one of the top priorities of the Central Asia Regional Economic Cooperation (CAREC) Transport and Trade Facilitation Strategy 2020. The implementation of performance-based road maintenance contracts (PBCs)—an essential element of road asset management—promotes effective and efficient maintenance of road networks. Well-designed PBCs keep roads in predefined good condition at relatively low cost. This guide aims to help policy makers in CAREC member countries understand and implement PBCs. After a brief history of the development of PBCs, it discusses the various types of PBCs and their relative advantages and disadvantages. It highlights PBC implementation in selected developed, developing, and transitional countries, including CAREC member countries, to illustrate best practices.

Working with partners is the future of business. In this timely and original work, Vitasek and Mandrodt show companies, through a series of high-profile global examples, how to create a vested agreement that brings success and create a better future for everyone involved.

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The report is a comprehensive and objective presentation of methods that government agencies can use to improve the efficiency and effectiveness of public-sector project delivery.

A fascinating journey into the hidden psychological influences that derail our decision-making, Sway will change the way you think about the way you think. Why is it so difficult to sell a plummeting stock or end a doomed relationship? Why do we listen to advice just because it came from someone “important”? Why are we more likely to fall in love when there’s danger involved? In Sway, renowned organizational thinker Ori Brafman and his brother, psychologist Rom Brafman, answer all these questions and more. Drawing on cutting-edge research from the fields of social psychology, behavioral economics, and organizational behavior, Sway reveals dynamic forces that influence every aspect of our personal and business lives, including loss aversion (our tendency to go to great lengths to avoid perceived losses), the diagnosis bias (our inability to reevaluate our initial diagnosis of a person or situation), and the “chameleon effect” (our tendency to take on characteristics that have been arbitrarily assigned to us). Sway introduces us to the Harvard Business School professor who got his students to pay $204 for a $20 bill, the head of airline safety whose disregard for his years of training led to the transformation of an entire industry, and the football coach who turned conventional strategy on its head to lead his team to victory. We also learn the curse of the NBA draft, discover why interviews are a terrible way to gauge future job performance, and go inside a session with the Supreme Court to see how the world’s most powerful justices avoid the dangers of group dynamics. Every once in a while, a book comes along that not only challenges our views of the world but changes the way we think. In Sway, Ori and Rom Brafman not only uncover rational explanations for a wide variety of irrational behaviors but also point readers toward ways to avoid succumbing to their pull.