Project Development Cycle: Christine Joyce B. Mendoza

PROJECT DEVELOPMENT CYCLE
Christine Joyce B. Mendoza

Assisstant Professor
DCERP, College of Human Ecology
University of the Philippines Los Baños
20 January 2017
Calapan City
Short Course on Environmental Planning 1
DCERP & HUMEIN Phils. Inc.
LECTURE OBJECTIVES
By the end of the lecture, participants are expected to
explain each stage of the project development cycle

2
PROJECT
It is a set of planned activities designed to achieve a
certain objective with given resources and within a
specified period of time.
The following are the attributes of a project:

• Objectives
• Finite duration or time frame
• Specific physical boundary
• Beneficiaries
• Specified and quantified costs and benefits
• Organization and management structure
• Coordinated undertaking of inter-related activities

3
PROJECT CLASSIFICATION (NEDA)

Stand-alone project can produce output on its own
and can be implemented without the need to
implement other projects
Required project provides the enabling mechanism
for another project(s) to produce output. The project
can be analyzed as a stand-alone or as component
of a package of products
Needs-a-companion project - ability to produce
output depends on the success of another project.
The project needs to be packages with other
project(s) that provide(s) the enabling mechanism
4
PROJECT CLASSIFICATION
Sectors: health, education, agriculture, transport
Objectives: economic growth, social equity and
development, ecological integrity
Number of purposes: single vs. multiple

4
Area of coverage or geographical scope:
national, local, regional, integrated area
development projects
Target beneficiaries: communal fishermen,
youth, women, PWDs, farmers

4
Implementation period or duration: short, medium or
long-term project
Methodology and process: BOT or PPP projects

Project Identification
Project Review / Re-planning Project Preparation &

Feasibility Analysis
Terminal and Ex-
post facto
Evaluation Project Appraisal,
Approval & Financing
Monitoring and Formative
Evaluation
Project Operation / Detailed Design/

Implementation Engineering
Project Activation/
Organization
ADB PROJECT
DEVELOPMENT CYCLE 1997
PRE-FEASIBILITY FEASIBILITY
PROJECT DESIGN AND ENGG

CONCEPT
MONITORING AND IMPLEMENTATION

EVALUATION

Starts with Conception
Project Ideas /Identificatio
n
Formulation/
Evaluation
Preparation
Analysis and
Operations
Appraisal
Implementation
and
Short Course on Environmental Planning
Supervision 10
SOURCES OF PROJECT IDEAS
• Development plans and strategies

• Local government units or people’s representatives
• Demand by interest groups or beneficiaries
• Unused or unutilized material or human resources and
opportunities
• Problems or constraints in the development process
• Private sponsors and enterprises
• Need to complement other investments
• Product of a dialogue between a country and international
funding agencies
Before project ideas can be identified
there is a need to organize and analyze. . .
• available information on the desirable

geographic project areas
• economy and the natural resources
• existing technologies, institutions,
human resources and their development potential
• experiences gained from past development projects

1. CONCEPTION / IDENTIFICATION
• Involves preliminary selection of the project

concept and of alternative design approaches
• Indicates the general promise of the project ideas
and the reasons for the choices made
• Might need a pre-feasibility studies or orderly
refinement up to the point where only the most
suitable are retained

Selection criteria to screen and
modify project ideas
1. Technical soundness
2. Risk
3. Financing
4. Adequacy of skills and other inputs
5. Social or environmental costs
6. Commitment of the beneficiary

11
TOOLS IN PROJECT IDENTIFICATION

• Participatory problem analysis
• Problem tree
• Objective tree
• Strategy identification and formulation
• Alternatives formulation and analysis
• Secondary data
• Direct observations
• Consultations and interviews with target groups,
stakeholders, schools, etc.
• Focus group discussions, questionnaires
2. FORMULATION / PREPARATION
Consists of bringing a project defined to the point at

which it can be appraised—whether and how it can
be carried out effectively and at a cost comparing
favorably with its expected contribution to economic
and social development at a cost suitable for
financing
Includes conduct of a detailed feasibility study:

distributional, environmental, other impacts of the
project and prerequisites for successful
implementation
FACTORS TO CONSIDER IN
PROJECT FORMULATION
• what items to produce and in what quantities
• where and how to sell the items
• appropriate type of design
• project location
• what methods of operation and maintenance
are the best
• type of technical and management assistance
needed

3. ANALYSIS AND APPRAISAL
Critical stage of the project cycle because it is the

• culmination of the preparatory work
• comprehensive review of all aspects of the
project
• lays the foundation for implementing the
project and evaluating it when completed

3. ANALYSIS AND APPRAISAL
Decision in this stage are based on:
• overall feasibility and soundness of the project

• priority of the project area
• cost-benefit analysis
• cost effectiveness analysis

4. IMPLEMENTATION / SUPERVISION
• Involves final review of the design and timetable
• Establishment of schedules and time frames,
feedback and communication systems, MIS, etc.
• Allocation of tasks to groups within the project
organization
• Decisions about procurement of equipment,
resources and manpower (mobilization, training)
• Exercise in collective problem solving, i.e., Identifying
and dealing with problems that arise during
implementation
A sound project identification and
preparation will pave way for smooth
implementation of projects.
Flexibility in implementation is important.

5. OPERATIONS
• Stage when the project is in full swing on-going
• Production and marketing activities are performed
• Takes into account the changing patterns that
occur during the project’s life (monitoring) e.g.
changing personnel and patterns of inputs
• Needs continuous monitoring and control
• Produces plans that need to be reviewed and
updated to meet the changing situation
• Reallocate resources to behind-schedule activities
5. OPERATION
Project execution system aims to oversee the actual

construction/installation operations carried out according to
plan, specifications, work programs and schedules
Implementation schedule can be depicted through bar or

Gantt chart indicates the project’s chronological sequence
Network diagram is advised for large and complex projects

to cope with the inherent complexity of activity linkages in
the projects showing sequential interrelationship among
activities
Sample GANTT Chart
24
Sample Network Diagram
25
6. EVALUATION
• To determine what went well/poorly and why
and how future efforts can be improved on the
basis of the knowledge gained
• Review or reappraisal which provides a
feedback mechanism to maintain high
standards of performance for the project itself
• Serves as a basis for improved project planning
and implementation
• Audit of project to insure resources accountability
6. EVALUATION
• Result in a careful documentation of experiences

• Can be done by the implementing body, other
interested group, and funding organization
• Assesses the worthwhileness of the project, i.e.,
whether it can be replicated
• Takes into account the aspects of project which
are unique, non-repeatable as well as success
and problems which have wider applicability
• Feedback from project output users and
beneficiaries are obtained
6
NEDA Project Project

Development Feedback to
Identification
Cycle New Project
Project
Formulation
Pre-
investment
phase
Ex-post
Post- Appraisal,
Evaluation investment Negotiation &
phase
Approval
Investment
phase
Project
Completion
Project
Inception
Project
Implementation

7
PHASES OF PROJECT
DEVELOPMENT
Pre-investment • Alternatives are screened
phase eliminations are done projects are
scrutinized
Investment • Detailed engineering and costs
phase are determined
• Progress and performance are
supervised
Post- • Structure constructed, services
investment delivered
phase • Project benefits and impacts are
evaluated
REFERENCES
CERP 152: Environmental Project Planning and Administration Lecture
Materials
NEDA (1984). Project Development Manual.

NEDA (2014). Project Development Training

THANK YOU!


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PROJECT DEVELOPMENT CYCLE

Christine Joyce B. Mendoza

Short Course on Environmental Planning 2

The following are the attributes of a project:

Short Course on Environmental Planning 3

PROJECT CLASSIFICATION (NEDA)

Short Course on Environmental Planning 5

Short Course on Environmental Planning 6

Short Course on Environmental Planning 7

Project Review / Re-planning Project Preparation &

Project Operation / Detailed Design/

PROJECT DESIGN AND ENGG

MONITORING AND IMPLEMENTATION

Short Course on Environmental Planning 9

• Development plans and strategies

• available information on the desirable

Short Course on Environmental Planning 12

• Involves preliminary selection of the project

Short Course on Environmental Planning 13

Short Course on Environmental Planning 14

TOOLS IN PROJECT IDENTIFICATION

Consists of bringing a project defined to the point at

Includes conduct of a detailed feasibility study:

Short Course on Environmental Planning 17

Critical stage of the project cycle because it is the

Short Course on Environmental Planning 18

Decision in this stage are based on:

• overall feasibility and soundness of the project

Short Course on Environmental Planning 19

Flexibility in implementation is important.

Short Course on Environmental Planning 21

Project execution system aims to oversee the actual

Implementation schedule can be depicted through bar or

Network diagram is advised for large and complex projects

• Result in a careful documentation of experiences

NEDA Project Project

Short Course on Environmental Planning 28

NEDA (1984). Project Development Manual.

Short Course on Environmental Planning 30

Short Course on Environmental Planning 31

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