ADU

MASTERS OF BUSINESS
ADMINISTRATION (MBA)

PROJECT ANALYSIS
AND MANAGEMENT

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 CHAPTER 6

PROJECT MONITORING
AND EVALUATION

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 Content

 Project Monitoring
 Project Evaluation
 Project Closing

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 1. Project monitoring
 Monitoring is an internal activity of project
management, the purpose of which is to determine
whether project activities have been
implemented as planned.
 It seeks to oversee whether resources are being
mobilized as intended and products are being
delivered on schedule.
 It involves the provision of regular feedback on
the progress of project implementation and the
4 problems faced during implementation.
 1. Project monitoring (Cont’d…)

 Monitoring consists of operational and

administrative activities that track
resource acquisition and allocation,
delivery of services and cost records.
 It helps to pinpoint problems requiring
corrective and timely action and it is also
important in the context of coping with
uncertainty in implementation.  
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 Basis for Monitoring

 Periodic reports
 Regular project management and staff
meetings
 Observations
 Field visits and inspection.

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 Basis for Monitoring

 All development projects are monitored to

find out and identify:
specific problems as they arise for
corrective measures
whether or not a project continues to
be relevant etc.
 Monitoring is an integral part of every
project, from start to finish.
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 Functions of Monitoring
 provides project managers and other stakeholders
with continuous feedback on implementation.
 identifies actual or potential successes and problems
as early as possible to facilitate timely decision making
and adjustments to project operation
 provides useful information for project managers
focusing on the day-to-day management issues.
 aims at assisting the manager to keep the project on
track in accordance with the planned activities and
outputs.
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 Functions of Monitoring
 provides the kinds of information required by
project managers at each of the stages of a
project.
 If a project is to achieve its objectives against time
and budget, it will need to be carefully monitored
against the key dates and milestones you have
identified in the project plan.
 There are three main domains of information
required in a monitoring system: input, process
9 and output
 Functions of Monitoring
 Inputs— resources going into conducting and
carrying out the project or program. These could
include staff, finance, materials, and time.
 Process— set of activities in which program
resources (human and financial) are used to achieve
the results expected from the program (e.g., number
of workshops or number of training sessions).
 Outputs— immediate results obtained by the
program through the execution of activities (e.g.,
number of commodities distributed, number of staff
trained, number of people reached, or number of
10 people served).
 Cont’d…

 Monitoring addresses the following

questions:
 To what extent are planned activities actually
realized? Are we making progress toward
achieving our objectives?
 What services are provided, to whom, when,
how often, for how long, and in what context?
 How well are the services provided?
 What is the quality of the services provided?
11  What is the cost per unit service?
 Cont’d…

 Purpose of Monitoring: Monitoring is very

important in project planning and
implementation.
 It is like watching where you are going while
riding a bicycle.
 You can adjust as you go along and ensure
that you are on the right track.

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 Cont’d…

 Monitoring provides information that will be useful in:

 analyzing the situation in the community and its project;
 determining whether the inputs in the project are well utilized;
 identifying problems facing the community or project and finding
solutions;
 ensuring all activities are carried out properly by the right people
and in time;
 using lessons from one project experience on to another; and
 determining whether the way the project was planned is the
most appropriate way of solving the problem at hand.
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 Cont’d…

 In a nutshell, the purpose of project monitoring is

to identify and resolve any problems occurred
during project implementation.
 Project monitoring is based on information about
project progress (i.e. inputs, activities and
outputs, compared to implementation schedule).
The three crucial elements of a project which
need to be monitored are time, cost and quality.

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 Cont’d…

 Types of Monitoring Indicators: There are four types

of monitoring indicators, namely;
 Input indicators: describe what goes on in the project
Example: number of bricks brought on site and amount of
money spent
 Output indicators: describe the project activity
Example: number of classrooms built
 Outcome indicators: describe the product of the activity
Example: number of pupils attending the school
 Impact indicators: measure change in conditions of the
community
15 Example: reduced illiteracy in the community
 Cont’d…

 The distinction between outcome and

impact is that outcome is short-term or
intermediate results obtained by the
program through the execution of
activities; whereas, impact is long-term
effects (e.g., changes in health status).

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 The steps of Project Monitoring

 Setting standards: standards are set based on

cost, schedule, and performances.
 Monitoring progress: Monitoring is the
measurement through time that indicates the
movement toward the objective or away from it.
  Evaluating progress: Evaluation is the process
of comparing the actual cost, time and
performance information with the estimated cost,
time and performance set during the first step of
17 controlling.  
 Cont’d…

 Taking actions: based on the results

of the evaluation, there are three
options of decisions:
maintain the existing performance.
modify the standards.
increase momentum

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 2. Project Evaluation

 This is a process of determining systematically

and objectively the relevance, efficiency,
effectiveness and impact of the project in light
of its objectives.
 The comprehensive review, assessment and
critical analysis not only of the project results,
but also the initial assumptions underlying the
project elements including the relevance of the
problem statement.
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 Cont’d…

 Evaluation is an assessment that refers to

design, implementation and results of completed
or on-going projects.
 Evaluation is not something that happens at the
end of a project. It is a process that begins when
the project begins with the development of goals
and objectives, and it continues throughout the
life of the project.
 It is through the evaluation process that we learn
whether projects are meeting their goals and
20 having an impact on the beneficiaries.
 Cont’d…

 The aim of the evaluation is to determine the

efficiency, effectiveness, impact, sustainability
and relevance of the project.
 Evaluation is the use of social research
methods to systematically investigate a
program’s effectiveness.

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 Cont’d…
 Evaluation
 requires study design.
 sometimes requires a control or comparison group.
 involves measurements over time.
 involves special studies.
 Evaluation entails a systematic examination of a
planned, on going and/or completed project. It aims to
answer specific management questions, judge the
overall value of an endeavor, and supply lessons
learned to improve future actions, planning and
22 decision-making.
 Cont’d…

 Project evaluation is usually carried out by

external consultants to examine the
successes of the project in relation to its
objectives.
 It is research based to determine major
problems that encountered through the
project cycle and provide lessons for future
projects.

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 Purpose of Evaluation
 to identify the constraints or bottlenecks that hinder the
project in achieving its objectives.
 to assess the benefits and costs that accrue to the intended
direct and indirect beneficiaries of the project.
 to draw lessons from the project implementation experience
and using the lessons in the planning of other projects in that
community and elsewhere. 
 to provide a clear picture of the extent to which the intended
objectives of the activities and the project have been
realized.
 to provide feedback on project outcomes and successes to
24 the community involved.
 The Process of Evaluation
 Evaluation can and should be done: before,
during, and after implementation.
a) Before project implementation, evaluation is
needed in order to:
 assess the possible consequences of the planned
project(s) to the people in the community over a period
of time;
 make a final decision on what project alternative should
be implemented; and
 assist in making decisions on how the project will be
25 implemented.
 Cont’d…

b) During project implementation: Evaluation

should be a continuous process and should
take place in all project implementation
activities.
 This enables the project planners and
implementers to progressively review the
project strategies according to the changing
circumstances in order to attain the desired
activity and project objectives.
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 Cont’d…
C) After project implementation: This is to retrace the
project planning and implementation 
process, and results after project implementation. This
further helps in:
 identifying constraints or bottlenecks inherent in the
implementation phase;
 assessing the actual benefits and the number of people
who benefited;
 providing ideas on the strength of the project, for
replication; and
 providing a clear picture of the extent to which the
27 intended objectives of the project have been realized .
 Types of Evaluation

 As mentioned earlier, project evaluation is

the assessment of the extent to which the
project has met its objectives (i.e. has been
effective, economical and efficient).
 There are two evaluation types:
– summative and
– formative.
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 Cont’d…
 Formative Evaluation: Formative evaluation is a
method of judging the worth of a project while the
project activities are happening.
 Formative evaluation assesses the project as it is
being put in place and during its early operation.
 Formative evaluation assesses current, ongoing
project activities, provides an internal process
that compares the planned project with the actual
program, and measures the progress made
29 toward meeting the project goals.
 Cont’d…
 This evaluation type helps identify problems
threatening the project's viability, enabling the
project manager and planning group to make mid-
course corrections. Formative evaluation focuses
on the process.
 The objectives of formative evaluation are:
– to find out the extent of program implementation;
and
– to determine improvements and adjustments
30 needed to attain the project objectives
 Cont’d…
 Summative Evaluation: Summative evaluation is a method
of judging the worth of a program at the end of the program
activities.
 It is used to access the projects success after the project
has ended and to make decisions about the future of the
project.
 Summative evaluation will attempt to determine: the success
of the project, goals being met, participant satisfaction and
benefit, effectiveness, end results versus cost, and whether
the program should be repeated or replicated. The focus of
summative evaluation is on the outcome .
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 Cont’d…
 Questions appropriate for a summative evaluation
include:
 was the project successful? What were the strengths
and weaknesses?
 to what extent did the project or program meet the
overall goal(s)?
 did participants benefit from the project? In what ways?
 what components were most effective?
 were the results worth the costs?
 how will you share what you have learned?
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 Cont’d…

 The objectives of summative evaluation are to

find out the extent to which project objectives are
achieved; and to help you decide whether a
project activity or any of its parts should be
revised, continued, or terminated.
 Finally, a close examination of the formative and
summative evaluation results is necessary to
understand the successes and failures of the
project.
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 3. Project Closure Phase

 The last major phase of a project's life cycle is

project closeout.
 Project closeout is performed once all defined
project objectives have been met and the
customer has accepted the project’s product.
 In this phase, you will formally close your
project and then report its overall level of
success to your donor.
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 Project Closing (Cont’d…)
 A successful project can be closed either by extinction
or by addition or by integration; whereas an
unsuccessful project can be terminated by starvation.
 A project can be said to be closed successfully only
when it has a proper final report in place.
 A final report contains all the knowledge gained from
the processes of the project.
 Project final report along with the project records is the
best source to gain experience from previous projects
and improve the way future projects are handled.
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 Cont’d…

 The main functions of the project closeout

process are:
– to formalize project completion and disseminate
information to project participants;
– to assess the project and derive any lessons learned
and best practices to be applied to future projects;
and
– to verify that all work has been accomplished as
agreed and that the client or customer accepts the
36 final product.
 Cont’d…
 The project manager must ensure that the project is brought
to its proper completion. The closure phase is characterized
by a written formal project review report containing the
following components:
 completion and closeout of any contractual agreements with
suppliers or providers
 formalizing customer acceptance
 closeout of any financial matters
 preparation of the project’s final performance report
 conducting a project review
 documenting lessons learned
 completing, collecting and archiving project records
37  Celebrating project success.
 Cont’d…
 There are two processes that occur during
project closeout. These are contract closure and
administrative closure.
 Contract closure involves checking the work
for completeness and accuracy and
documenting formal project acceptance.
 In other words, contract closure involves
verification that all work has been completed
correctly and satisfactorily, updating of contract
records to reflect final results, and archiving
38 information for future use.
 Cont’d…

 Among other activities contract closure includes:

 Confirming the project has addressed the terms
and conditions of the contracts
 Confirming completion of exit criteria for contract
closure
 Formally closing out all contracts associated with
the completed project

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 Cont’d…
 Administrative closure involves gathering and
disseminating project closure information to
relevant parties, archiving files, and documenting
lessons learned. Among other activities
administrative closure includes:
 confirming the project has met all sponsor,
customer, and stakeholder requirements
 verifying that all deliverables have been
delivered and accepted
40  validating exit criteria have been met
 Cont’d…

 A final project report contains a section on performance

of the project wherein the delivered output is compared
with the planned output, a section on the performance
or the administration of the project, a section on the
organizational structure adopted and its implications on
the performance of the project and finally a section on
the confidential information to be reported to the top
management and the recommendations of the project
manager on ways of improving the processes.
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Any Questions