Project Design and Formulation

This section includes frameworks, approaches and tools to assist in the initial stage of the project cycle - project design and formulation.

Project design includes:

The systematic identification and prioritization of problems and opportunities to be addressed through development projects
The identification of a hierarchy of project goals and objectives linked by causal relationships
The planning of solutions in terms of inputs, activities, outputs, effects and impacts, and
The assessment of project outcomes.

Project formulation involves making detailed arrangements for the technical and operational aspects of project implementation such as the costing, financing and scheduling of project activities.

The identification of goals and objectives and the definition of inputs, activities, outputs and outcomes during the project design phase guide implementation and inform the assessment of project performance in terms of the efficiency and effectiveness of project delivery, the achievement of project objectives and project impacts.

Project design methods generally involve the use of project logic to link the resources and actions required to implement project activities to their direct outputs, their flow-on effects and their eventual contribution to the overall project goal. This creates a series of causal relationships. However, the link between each cause and its corresponding effect in project logic cannot be guaranteed as other factors also contribute to project effects. Therefore effects and impacts cannot be attributed to the cause with absolute certainty. Despite this lack of certainty, the causal links are critical to designing a project that is capable of achieving its intended outcomes and identifying activities that will contribute to project goals.

Common problems that arise from poor project design include:

The development of project objectives that are not consistent with the needs and values of intended beneficiaries
Failure to identify stakeholders and involve stakeholders in project design and formulation, implementation and evaluation in a way that empowers them to act and build ownership of project results
The development of project objectives that are not measurable and therefore cannot be used to evaluate project performance and achievements or to communicate project results
Projects activities that do not deliver the desired outcome economically and do not have the desired impact
Project activities have unintended, negative side-effects.

The frameworks, approaches and tools in this section can help to achieve the objectives of project design and formulation and avoid the pitfalls of poor project design and formulation. They can also help to build a multi-disciplinary and multi-sectoral approach to project design and formulation. The tools can be used by project managers and staff to increase internal capacity for project design and formulation, reducing reliance on external consultants for this work. Alternatively, project managers and staff can use these summaries to help them understand project design and formulation undertaken by external consultants. The frameworks, approaches and tools that are summarized for use in project design and formulation are listed in Table 3.

Table 3: Frameworks, Approaches and Tools for Project Design and Formulation

Framework/approach/tool		Description	Related frameworks/approaches or tools
1.	Project Design Handbook	A logical framework for designing development projects including the definition of development problems and their causes, project goals and strategies and monitoring and evaluation requirements.	3: Incorporating Livelihood Security and Human Rights into Project Design 4: Stakeholder Analysis 5: Gender Analysis 13: Grassroots Development Framework
2.	The Social Assessment Method	A framework for incorporating operationally relevant social information and promoting stakeholder participation in the design and implementation of development projects.	4: Stakeholder Analysis 5: Gender Analysis
3.	Incorporating Livelihood Security and Human Rights into Project Design	An approach for incorporating Household Livelihood Security and Human Rights considerations into project design.	1: The Project Design Handbook 4: Stakeholder Analysis 5: Gender Analysis 14: Impact Monitoring and Assessment
4.	Stakeholder Analysis	A framework for identifying key stakeholders and the relationships between them.	1: The Project Design Handbook 2: The Social Assessment Method
5.	Gender Analysis	A framework for analyzing and integrating gender issues into development projects.	1: The Project Design Handbook 2: The Social Assessment Method 4: Stakeholder Analysis 9: Addressing Gender in Development Projects

1 - Project Design Handbook

CARE

A logical framework for designing development projects including the definition of development problems and their causes, project goals and strategies and monitoring and evaluation requirements.

When can the Project Design Handbook help?

Projects do not address problems/opportunities that are important to beneficiaries
Project strategies are not appropriate for the specific project context
Project activities do not address the root cause of development problems
Progress and project impacts cannot be measured
Project goals and objectives are unclear, are difficult to measure and communicate
Projects are not informed by lessons learned from similar projects.

What is the Project Design Handbook used for?

Identifying the underlying causes and effects of development problems
Identifying and defining project activities to address development problems
Identifying assumptions in projects design
Informing the selection of indicators to measure progress and success
Incorporating lessons learned from previous projects into project design.

Why use the Project Design Handbook?

Make project planning more holistic
Maximize the potential for achieving project goals and objectives
Help project impacts reach the targeted beneficiaries
Improve the sustainability of project impacts and effects
Address the underlying and root causes of development problems
Encourage ‘buy-in’ to project design by staff, partners, community and participants
Incorporate the principles of other development frameworks into project design (see #13).

Key concepts

Project design: The collaborative and systematic identification and prioritisation of problems and opportunities and the planning of solutions and ways of assessing project outcomes, which together will promote fundamental and sustainable change in target populations and institutions. Project designs formulate and describe five elements - inputs, activities, outputs, effects and impacts.

Inputs: All resources (e.g. money, materials, time and personnel) needed to undertake project activities.

Activities: The actions or interventions that convert project inputs into outputs such as communicating, training, construction, organization and management.

Outputs: The goods and services produced through project activities such as trained individuals, physical structures, documents or newly formed institutions. This is the highest level of achievement in the goal hierarchy over which the project has control.

Effects: Changes in human behaviour, practices and systems. Systems changes can include institutional competency (e.g. improved health-care systems), policy change (e.g. new or revised policies or change of enforcement) or service changes (e.g. more effective extension systems). Effects are the result of successful achievement of outputs and their realization is dependent on the sound logic of the project hypothesis. Effects are what others (such as beneficiaries) do on their own (while influenced by project outputs and external factors).

Impacts: Equitable and durable improvements in human well-being and social justice. The ultimate outcomes of development and emergency assistance (e.g. improved health status or well-being) measured at the individual, social, geographic or administrative level. There are various levels of impact, from more tangible and immediate impacts to broader impacts that may not manifest or be discernable until a later time. Projects aim at levels of impact that can be manifested during the project lifetime and programmes aim at ‘higher level’ longer-term impacts.

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Outline of Project Design

The key steps for the five phases of project design are described in Table 1.1 with supporting detail provided in text boxes.

Table 1.1: Outline of the Project Design Method

Phase of Project Design	Key Steps
1. Holistic Appraisal Identify the characteristics of the setting or operating environment in which livelihoods are conducted to inform the understanding of problems and opportunities.	a) Identification of the Target Population The individuals/ institutions directly affected by a problem and that might benefit from the project.
	b) Needs Assessment To help identify problems and their causes that he project will address.
	c) Dissagregation/Differentiation Define the target population in terms of different socio-economic groups and identify the most vulnerable groups.
	d) Stakeholder Assessment (see #5 - Stakeholder Analysis)
	e) Institutional Assessment Identify potential collaborators
	f) Gender Analysis (see #6 - Gender Analysis)
2. Analysis and Synthesis Organization of information collected in the Holistic appraisal to identify problems and their causes and effects in a systematic way	a) Problem Identification (see Box 1.1)
	b) Causal Analysis/Cause-and-Effect Analysis Link problems to their underlying causes and consequences.
	c) Hierarchical Causal Analysis A sequence of factors and conditions that contribute to the problem (see Box 1.2).
	d) Define Problems, Causes and Consequences In terms of the condition that the project is intended to address ("what"); the population affected by the condition and the target population ("who"); and the area or location of the population ("where").
3. Focused Strategy Describe how the projects inputs and outputs will address specific causes and lead to sustainable improvements in livelihoods.	a) Select specific causes for the project to address (See Box 1.3)
	b) Develop interventions for each selected cause Actions and procedures developed to address each cause (see Box 1.4).
	c) Construct a project hypothesis and logic model Hypotheses are presumed correlations between outputs and effects that are either accepted from literature or tested during implementation. Logic models identify the causal linkages between inputs, activities, outputs, outcomes, longer-term strategic impacts and contextual factors (see Box 1.5)
	d) Identify key assumptions and key questions Assumptions are circumstances/conditions important for the success of the project but beyond direct control by the projectKey questions can and should be answered during the design of a project.
	e) Identify and develop responses to unintended impacts
4. Coherent Information Systems Clearly define the project, how progress will be assessed and impacts will be measured.	a) Identify project goals The final project goal is an improvement in the lives of beneficiaries and contributes to broader objectives; effect objectives are changes in behaviour that must occur to achieve the final goal.
	b) Link goal statements and interventions (Box 1.5)
	c) Develop operational definitions Describe goal statements specifically and identify indicators to simplify goals.
	d) Identify indicators for each level in the hierarchy (see #19 - Selecting Indicators)
	e) Set targets and benchmarks (see #19 - Selecting Indicators)
	f) Identify outputs, activities and inputs
	g) Develop a monitoring and evaluation plan Outline information needs to monitor implementation and evaluate progress.
5. Reflective Practice Assess whether projects are on course to achieve goals and adapt the project to changes in the context.	(see Box 1.6)

Source: Caldwell, R. 2002. Project Design Handbook, CARE, Atlanta

Box 1.1:		Problem identification
To identify the problems/opportunities to be addressed, consider:
•	The degree to which resolving the problem (or seizing of the opportunity) fundamentally change the lives of the target group
•	The significance and scope of the problem (the degree to which society considers it to be a serious problem and the number of people it impacts)
•	Problems that are a priority for the affected community
•	Organizational principles and objectives
•	The comparative advantage of the organization (ability to address the problem)
•	Donors interests and available resources.

Source: Caldwell, R. 2002. Project Design Handbook, CARE, Atlanta

Box 1.2: A hierarchy of causes and consequences for a development problem

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Box 1.3:		Criteria for selecting a cause to address through a development project
Select causes that:
•	Have good potential to make a significant difference when eliminated
•	Make the most significant contribution to the problem
•	When addressed, can have a positive impact on eliminating other, related causes
•	The organisation has the skills, experience and other resources to address
•	Are of potential interest to partner organizations
•	Make sense to participants.

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Box 1.4:		Selection of project interventions
The selection of project interventions should involve the following 3-step process:
(i) Develop alternatives, based on:
•	Current best practices
•	Lessons learned from previous projects (including evaluation reports)
•	Individual and institutional experiences
•	Inputs from communities on desired solutions
•	The review of research and secondary literature.
(ii) Selection criteria for determining the best intervention
•	Cost-effectiveness
•	Social acceptability
•	Required management support
•	Community support
•	Sustainability
•	Technical Feasibility
•	Political sensitivity
•	Level of risk
(iii) Choose the best intervention

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Box 1.5: Example of project hypothesis and casual linkages

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Box 1.6:		Reflective practice strategies
Strategies to encourage reflective thinking to inform project design:
•	Recognise barriers to behavioural or systematic change, including changes in the operating environment
•	Respond to barriers by recognising both similarities in other situations and the unique pattern of the particular situation
•	Experiment with alternatives to discover the implications of various solutions
•	Examine the intended and unintended consequences of an implemented solution and evaluate whether the consequences are desirable
•	Question what, why and how one does things and ask what, why and how others do things
•	View conditions from various perspectives
•	Ask for others ideas and viewpoints.

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Further considerations

Project design should also take the following considerations into account:
- Broader programme and organizational objectives and goals
- Other frameworks and principles used in project design (see #15)
- Cost effectiveness
- Strategies to minimize negative impacts and maximize positive impacts.
A full scale Holistic Appraisal may not be feasible at the individual project level.
Project design should be reviewed on a regular basis to adapt projects to changing contexts.

Background

This tool was developed for use within CARE's administrative framework and provides practical guidance for project design in general. While the terminology is consistent with CARE’s own internal standards, it may vary from other models for developing a logical hierarchy of goals for development projects. The principles behind the framework can also be applied in conjunction with other approaches to project design.

Information presented in the boxes in this summary has been extracted from CARE’s Project Design Handbook. In some cases, the material has been summarized but there has been no intent to change the meaning of the original source material.

Other relevant frameworks, approaches and tools

# 3: Incorporating Livelihood Security and Human Rights into Project Design
# 4: Stakeholder Analysis
# 5: Gender Analysis
# 13: Grassroots Development Framework (also informs project design)

References

Caldwell, R., 2002. Project Design Handbook (Working Draft Full Version 1.0 July 2002), CARE International, Atlanta
http://www.kcenter.com/care/dme/CARE%20Documents%20PDF/Project%20Design%20Handbook%20(Publis hed%20Version).pdf

2 - The Social Assessment Method

The World Bank

A framework for incorporating operationally relevant social information and promoting stakeholder participation in the design and implementation of development projects.

When can the Project Design Handbook help?

Projects do not achieve their intended objectives
Projects are not adapted to particular social and institutional contexts
Project activities marginalize particular stakeholder groups
Projects have negative social impacts, particularly on vulnerable groups
Project objectives are not acceptable to beneficiaries and other stakeholders
Stakeholder capacity to participate in project design and implementation is limited
Project implementation is not supported by key stakeholders
Stakeholder awareness of project objectives and activities is limited.

What is Social Assessment used for?

Identifying key stakeholders and designing processes for stakeholder participation
Aligning project objectives with stakeholder needs, interests and capacities
Identifying, prioritizing and addressing social and cultural factors that affect stakeholders’ ability to participate in and benefit from development projects
Assessing the distribution of impacts across different stakeholder groups
Developing strategies to minimize or mitigate social risks and adverse impacts
Identifying institutional arrangements for project delivery and stakeholder participation
Assessing capacity building needs and building stakeholder capacity
Involving stakeholders in project design and formulation, implementation and evaluation
Identifying meaningful indicators of the success of development projects
Obtaining continuous feedback from stakeholders and beneficiaries.

Why use the World Bank Social Assessment Method?

Avoid over-or under-emphasis of any particular social issue
Prioritize social variables and focus on operationally useful social information
Build stakeholder trust, mutual understanding and ownership
Promote equitable distribution of benefits across marginalized and vulnerable groups.

Key concepts

Social factors: Include demographic (e.g. population and population distribution), social (e.g. ethnic, tribal, gender, regional, caste, class and language), economic (e.g. risk aversion and access to markets), social organization (e.g. relationships and institutions) and socio-political (e.g. resource control) factors and stakeholder needs and values (e.g. attitudes and conflicts).

Operationally important social factors: Social factors that affect project implementation and impacts.

Source: (adapted from) McPhail, K. and Jacobs, S., 1995. Social Assessment, Social Development Notes, Note No. 13, September 1995, The World Bank, Washington D.C.

Outline of the Social Assessment Method

The key steps in the Social Assessment Method are outlined in Box 2.1 with supporting detail provided in text boxes.

Box 2.1:		The Social Assessment Method
1. Initial overview
•	Identify stakeholders, giving particular attention to ‘at risk’ groups such as the poor, landless, women, children, indigenous people and minority groups (see # 4 – Stakeholder Analysis)
•	Identify stakeholder interests, influence and power relating to the project (see # 4)
•	Identify social factors and processes that may affect project delivery and impacts.
2. Assessment design
•	Define the population to be studied, representative sampling methods and control groups (or other methods to ensure rigor)
•	Define a research hypotheses for social analysis
•	Identify units of analysis (e.g. intra-household, household or community levels)
•	Design data collection methodologies that are appropriate for stakeholders and data collectors and that are sensitive to social differences such as gender, ethnicity and language groups
•	Plan stakeholder participation in Social Assessment
•	Determine when Social Assessment is to be incorporated into the project.
3. Data collection
•	Identify and train local researchers and interviewers to participate in data collection
•	Ensure data collection instruments are appropriate for stakeholders and data collectors
•	Use a mix of qualitative and quantitative methods, using qualitative methods to analyse stakeholder relationships, describe multi-dimensional interpersonal interactions and non-income-related dimensions
•	Supervise local researchers participating in data collection.
4. Data analysis and dissemination of findings
•	Analyse data to answer questions that are operationally important to project design (see Box 2.2)
•	Disaggregate data according to social groups such as gender
•	Ensure data analysis is consistent with the country and organizational context
•	Discuss findings and recommendations for project design with stakeholders to ensure that they are appropriate and acceptable.
5. Incorporation of data into project design
•	Develop a social development strategy identifying social development outcomes and recommend social measures and institutional arrangements to achieve them. The strategy could include measures to strengthen social inclusion, empower stakeholders and minimise and manage social risks
•	Clarify project objectives and the means to achieve them in light of social data
•	Outline how to incorporate social development issues into project design and implementation including action plans to address specific social issues, monitoring and management in response to changes in the social context or unintended impacts
•	Develop a strategy for ongoing stakeholder participation
•	Develop a strategy to mitigate adverse social impacts
•	Use the results of the Social Assessment and participatory approaches to inform the development of a monitoring and evaluation plan.

Source: (adapted from) McPhail, K. and Jacobs, S., 1995. Social Assessment, Social Development Notes, Note No. 13, September 1995, The World Bank, Washington D.C.

Box 2.2:		Questions that Social Assessment should address
1. Social diversity and gender:
•	What are the different groups within the target population (e.g. ethnicity, clans, gender, locality, language, class, occupations, income levels)?^A
•	What are the social and power relations between groups and the implications for access, capabilities and opportunities?^A
2. Institutions, rules and behaviour:
•	What are the characteristics of intra-and inter-group relationships?A
•	What are the relationships of social groups with public and private institutions?A
•	What are the formal and informal organizations that may affect the project and what are the informal rules and behaviours among institutions?A
•	What are the possible institutional constraints and barriers to project success and methods to overcome them?A
•	What institutional arrangements are required for stakeholder participation and project delivery?B
•	How will institutional capacity be built at different levels?B
3. Stakeholders:
•	Who are the groups, individuals and organizations that have an interest in the project, including those likely to be affected by the project and those that may influence the project?A
•	What groups, individuals and organizations may be directly and indirectly affected by the project?A
•	What are the characteristics, interests and likely influence of the stakeholder groups?B
•	Are project objectives consistent with stakeholder needs, interests and objectives?B
4. Participation:
•	What are the opportunities and conditions for participation, in project design, implementation and evaluation, particularly for the poor and vulnerable?A
•	How will otherwise-excluded groups participate?A
•	What social and cultural factors affect the ability of stakeholders to participate or benefit from the proposed project?B
5. Social risk:
•	What are the social risks (e.g. country risks, political economy risks, institutional risks) to project implementation and success?A, B
•	How are the stakeholder groups vulnerable to stress and shocks and what are the factors that contribute to this vulnerability?A
•	How can social risks be managed?A
•	What will be the impact of the project on stakeholders, particularly women and vulnerable groups?B
•	How can negative impacts on stakeholders be managed or mitigated?B

Sources:
^A The World Bank - Social Development Department, 2003. Social Analysis Sourcebook: Incorporating Social Dimensions into Bank-Supported Projects, The World Bank, Washington D.C.
^B McPhail, K. and Jacobs, S., 1995. Social Assessment, Social Development Notes, Note No. 13, September 1995, The World Bank, Washington D.C.

Further considerations

Social Assessment should build on existing data and analysis relevant to the project.
More formal and sophisticated Social Assessment is required for more complex, significant or uncertain social conditions, impacts and risks.
The nature of stakeholder participation (information dissemination, consultation, collaboration or empowerment) required for an effective Social Assessment will vary.
Social factors should be incorporated as early as possible in project design.
Build the in-country capacity to participate in Social assessment to improve the effectiveness of Social Assessments in the future.
The identification, analysis and development of responses to social impacts should be a participative and an iterative process.
Social scientists should have experience with the stakeholders and social assessment tools.

Background

The Social Assessment Method was established by the World Bank Policy Thematic Team for identifying and using operationally useful social information and involving stakeholders in project design and implementation.

Other relevant frameworks, approaches and tools

# 4: Stakeholder Analysis
# 5: Gender Analysis

References

McPhail, K. and Jacobs, S., 1995. Social Assessment, Social Development Notes, Note No. 13, September 1995, The World Bank, Washington D.C., http://wwwwds.worldbank.org/servlet/WDSContentServer/WDSP/IB/2003/12/09/000160016_20031209175833/Rendered/P DF/273710sdn130see0also018199.pdf

Rietbergen-McCracken, J. and Narayan, D., 1998. Participation and Social Assessment: Tools and Techniques, The World Bank, Washington D.C., http://wwwwds.worldbank.org/servlet/WDSContentServer/WDSP/IB/1996/04/01/000009265_3980624143608/Rendered/P DF/multi0page.pdf

The World Bank - Social Development Department, 2003. Social Analysis Sourcebook: Incorporating Social Dimensions into Bank-Supported Projects, The World Bank, Washington D.C., http://wwwwds.worldbank.org/servlet/WDSContentServer/WDSP/IB/2004/11/04/000090341_20041104150135/Rendered/P DF/304420PAPER0So1urcebookFINAL2003Dec.pdf

The World Bank, 1996. The World Bank Participation Sourcebook, The World Bank, Washington D.C., http://www.worldbank.org/wbi/sourcebook/sba108.htm

3 - Incorporating Livelihood Security and Human Rights Considerations into Project Design

CARE

An approach for incorporating Household Livelihood Security and Human Rights considerations into project design.

When can this approach help?

Projects are designed from a technical or sectoral perspective and not a holistic one
Projects do not address the underlying causes of poverty
Project impacts do not reach intended beneficiaries.

What is this approach used for?

Identifying the causes and effects of development problems to inform project design
Identifying project activities to address specific problems and their causes
Undertaking holistic appraisal as a discrete step in project/ programme design
Defining project inputs, activities and outputs to achieved desired effects and impacts.

Why incorporate Household Livelihood Security and Human Rights considerations in project design?

Enable the evaluation of impacts on Household Livelihood Security and Human Rights
Address the underlying causes of poverty and injustice
Have an impact at the household level
Account for the interdependence of individual human rights and livelihood security
Put stakeholder priorities and goals at the centre of analytical and planning processes
Help project impacts reach the targeted beneficiaries.

Key concepts

Household: The units in which resources are organized and allocated to meet basic needs.

Livelihoods: The stocks and flows of food, cash and other resources to meet basic needs including on-farm and off-farm activities for the procurement, storage, utilization and management activities required to meet those needs. Needs also include nutrition, potable water, health services and facilities, education, housing, social freedom, and so on.

Household Livelihood Security: Households have secure ownership of or access to resources, including reserves and assets and income-earning activities and can maintain their capability to satisfy basic human needs, off-set risks, cope with and recover from stress and shocks and meet contingencies and provide sustainable livelihood opportunities for the next generation.

Source: (adapted from) Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Household Livelihood Security and Human Rights in Project Design
Specific actions and considerations to incorporate Household Livelihood Security and Human Rights considerations into project design are outlined below for the five phases of Project Design (see # 1).

Box 3.1:		Steps for incorporating Livelihood Security and Human Rights in Project Design
Project Design Phase 1: Holistic Appraisal (Identification of problems and opportunities and their context.)
•	Define the context in which livelihoods are conducted in terms of the social, cultural, institutional, economic, political, historical and physical factors and risks
•	Identify strategies used to make a living and cope with stress
•	Determine the financial, physical, social, human and natural assets that are used to make a living and how these assets are differentiated and disaggregated across ethnic groups, households and individuals
•	Identify the poverty or livelihood status, institutional affiliation and geographic area of the target group
•	Identify vulnerable and marginalized groups with consideration of how gender roles relate to these groups
•	Maximize the impacts for vulnerable households by clearly defining the intended beneficiaries
•	Identify stakeholders' responsibilities for the rights of the intended beneficiaries
•	Assess how other institutions affect the rights of target population
•	Identify local perceptions of institutions.
Project Design Phase 2: Analysis and Synthesis(Identification of cause and effect relationships and selection of factors to address through project activities.)
•	Consider the impact of different actors in society on the fulfillment of people's rights
•	Consider how different actors are meeting their responsibilities to address human suffering and poverty
•	Focus on the root cause of poverty beyond the immediate causes of livelihood insecurity
•	Ensure no cause is considered too political, sensitive or complex to address.
Project Design Phase 3: Focused Strategy(Development of a strategy to address a specific cause of a problem, a project hypothesis and logic model.)
•	Assess the hypothesis for unintended impacts, including the full range of impacts on human dignity
•	Identify unintended impacts through dialogue on rights, responsibilities and power relations
•	Ensure interventions maximize positive impacts and avoid or minimize harmful impacts.
Project Design Phase 4: Coherent Information Systems (Identification of goals and development of a monitoring and evaluation plan to measure impacts and contributions to achieving goals.)
•	Goals should contribute to human rights and refer to the minimum standards required to meet them
•	Inclusion, participation and empowerment should be essential program objectives in their own right
•	Employ various accountability mechanisms, including ongoing, open engagement with program participants
•	Evaluate the impact of addressing rights and responsibilities
•	Understand and document impact at the household-level.
Project Design Phase 5: Reflective Practice (Reflection on project design throughout project implementation to promote learning and change management to improve project outcomes.)
•	Monitor overall positive and negative impacts and respond to unintended impacts
•	Monitor impacts on marginalized groups
•	Incorporate learning into future analysis and strategy development
•	Supports the consideration of human rights at an organizational level.

Source: (adapted from) Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Further considerations

Ensure project design is still informed by conventional project diagnostic work and project design methodologies.
Household livelihood security and human rights considerations also need to be incorporated into the implementation and monitoring and evaluation phases of the project cycle.

Background

This tool was developed for use within CARE’s administrative framework, where Household Livelihood Security and Human Rights-based a\Approaches have been adopted at an organizational level. It also provides practical guidance for the process of project design generally (see # 1).

Other relevant frameworks, approaches and tools

# 1: The Project Design Handbook
# 4: Stakeholder Analysis
# 5: Gender Analysis
# 14: Impact Monitoring and Assessment

References

4 - Stakeholder Analysis

A framework for identifying key stakeholders and the relationships between them.

When can Stakeholder Analysis help?

Stakeholders are marginalized or excluded from development project activities
Stakeholders resist/oppose development projects
There is conflict or commonalities between stakeholder groups
Project objectives are not consistent with stakeholder needs and interests
There is an uneven distribution of power between stakeholder groups
Project success requires the ongoing contribution of stakeholders.

What can Stakeholder Analysis be used for?

Identifying stakeholders
Identifying stakeholder interests and differences and commonalities in their priorities
Analyzing the relationships and power distribution between stakeholder groups
Analyzing the relative importance and influence of stakeholder groups and implications for project design and formulation and implementation
Identifying ‘key’ stakeholders.

Why use Stakeholder Analysis?

Identify problems and opportunities to be addressed through development projects
Identify project actions that meet the needs of intended beneficiaries
Form partnerships and leverage additional resources for project delivery
Develop ownership of project outcomes and commitment to project implementation
Build on local knowledge
Raise awareness of projects and their outcomes
Maximize the potential for project benefits to reach intended beneficiaries
Mitigate potential resistance to the project and maximize support for implementation.

Key concepts

Stakeholder: Those affected by and who can affect (positively and negatively, directly and indirectly) the process and outcomes of development projects.¹

Key stakeholders: Stakeholders with high importance and/or high influence. ²

Sources:
¹ McPhail, K. and Jacobs, S., 1995. Social Assessment, Social Development Notes, Note No. 13, September 1995, the World Bank, Washington D.C.
² Howlett, D., Bond, R., Woodhouse, P. and Rigby, D., 2000. Stakeholder Analysis and Local Identification of Indicators of the Success and Sustainability of Farming Based Livelihood Systems, Sustainability Indicators for Natural Resource Policy, Working Paper No. 5, Research Project No. R7076CA, Department for International Development (UK)

Outline of Stakeholder Analysis

The four major steps in stakeholder analysis are identified in Box 4.1 and linked to additional detail in the following text boxes.

Box 4.1:		Steps for conducting stakeholder analysis
•	Identify principal stakeholders (see Box 4.2)
•	Investigate their interests, roles, relative power and capacity to participate (see Box 4.3)
•	Identify relationships between stakeholder groups and not potential for cooperation or conflict (see Box 4.4)
•	Interpret findings of the analysis and determine how this will affect project design and success (see Box 4.5)

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Box 4.2:		Possible stakeholder groups
•	Individuals and families – beneficiaries, those negatively affected and others likely to be affected or able to influence the project
•	Government, government agencies and policy-makers
•	Community-based organizations
•	Non-government organizations
•	Donors
•	Religious organizations
•	Local authorities
•	Business and industry
•	Utility organizations
•	Research institutions and researchers
•	Farmers
•	Women
•	Indigenous peoples
•	Science and technology community
•	Trade unions and workers
•	Consumers
•	Small farmers
•	Rural poor
* This list is not presented in any order of priority and is not intended to be exhaustive. There may be some overlap in the groups listed as this list has been compiled from multiple sources.

Sources:
Caldwell, R., 2002. Project Design Handbook, CARE, Atlanta
McPhail, K. and Jacobs, S., 1995. Social Assessment, Social Development Notes, Note No. 13, September 1995, The World Bank, Washington D.C.
Neely C.L., Priorities of Stakeholder Decision Makers
The Unit for Social and Environmental Research at Chang Mai University
(USER), 2004. Sustainable Production-Consumption Systems, Chiang Mai, Thailand

Box 4.3:		Stakeholder analysis profile matrix
	Stakeholder		Interests in the project	Effect of project on interest(s)	Capacity/motivation to participate	Relationship with other stakeholders (partnerships or conflict)?

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Box 4.4:		Relative influence and importance of stakeholders
	Influence of Stakeholder		Importance of Stakeholder to Project Achievement
	Influence of Stakeholder		Unknown	Low	Moderate	Significant	Critical Importance
	Unknown
	Low
	Moderate
	Significant
	Highly Influential

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Box 4.5:		Stakeholder analysis participation matrix
	Stage in Project Planning		Type of Participation
			Inform (one-way flow)	Consult (two-way flow)	Partnership(joint involvement; potentially includes co-planning, decision-making, shared resources, joint activities)

Source: Caldwell, R., 2002. Project Design Handbook, CARE International, Atlanta

Other considerations

The identification of stakeholders can be informed through personal knowledge, prior experience, literature and participatory methods involving stakeholders.
A systems analysis identifying inputs, processes and outputs of farming systems, can also be used to inform stakeholders identification.
The matrices presented here can be adapted to include additional or different information about stakeholders.
Stakeholder analysis should be reviewed and updated throughout project design and implementation as new information about stakeholders becomes available.

Background

This tool has been compiled by the SARD Initiative from several references providing advice on the identification of stakeholders. The matrices, which form the basis of the tool, are a component of CARE’s Project Design Handbook (see # 1).

Other relevant frameworks, approaches and tools

# 1: The Project Design Handbook
# 2: The Social Assessment Method

References

Caldwell, R., 2002. Project Design Handbook (Working Draft Full Version 1.0 July 2002), CARE International, Atlanta,
http://www.kcenter.com/care/dme/CARE%20Documents%20PDF/Project%20Design%20Handbook%20(Publis hed%20Version).pdf

Howlett, D., Bond, R., Woodhouse, P. and Rigby, D., 2000. Stakeholder Analysis and Local Identification of Indicators of the Success and Sustainability of Farming Based Livelihood Systems, Sustainability Indicators for Natural Resource Policy, Working Paper No. 5, Department for International Development (UK)

McPhail, K. and Jacobs, S., 1995. Social Assessment, Social Development Notes, Note No. 13, September 1995, The World Bank, Washington D.C.

Neely C.L., (no date). Priorities of Stakeholder Decision Makers
http://www.sanrem.uga.edu/sanrem/conferences/nov2801/Neely.htm

The Unit for Social and Environmental Research at Chang Mai University
(USER), 2004. Sustainable Production-Consumption Systems, Chiang Mai, Thailand,
http://www.cid.harvard.edu/events/papers/lebel_jie_2004.pdf

5 - Gender Analysis

UNDP Sustainable Livelihoods Unit

A framework for analysing and integrating gender issues into development projects.

When can Gender Analysis help?

Access to and control of resources and labour conditions are influenced by gender
Project impacts are not equitable distributed between men and women
Assumptions about gender roles are incorrect
Activities are not appropriate for gender roles
Gender differences limit human capacity and present costs to society

What can this Gender Analysis be used for?

Identifying and understanding differences in gender roles
Identifying and understanding the relationships between men and women
Designing project activities to accommodate and influence gender
Assessing project impacts on men and women
Supplementing statistical comparisons with qualitative data for a more comprehensive insight into gender roles and relationships.

Why use Gender Analysis?

Integrate gender considerations into development projects
Design and implement development projects that meet both women’s and men’s needs and deliver benefits for both men and women
Incorporate institutional considerations alongside household issues in gender analysis, recognizing the impact of institutional capacity on achieving project outcomes relating to gender.

Key concepts

Gender: Refers to the social roles and relations between men and women. This includes the different responsibilities of women and men in a given culture or location. Unlike the sex of men or women, which is biologically determined, the gender roles of women and mean re socially constructed and such roles can change over time and vary according to geographic location and social context.

Gender analysis: Helps to frame questions about women and men's roles and relations in order to avoid making assumptions about who does what, when and why. The aim of such an analysis is to formulate development interventions that are better targeted to meet both women's and men's needs and constraints.

Source: FAO, 2004. Training Manual on Gender Analysis for Monitoring and Evaluation, FAO, Rome

Outline of Gender Analysis

Box 5.1		Factors to consider in gender analysis
When identifying differences in gender roles, developing strategies to address gender or assessing impacts according to gender, gender differences can be analyzed in terms of the following factors and issues:
Household factors
•	Dependency and authority and gender-driven roles
•	Control over informal and formal income and headship of households
•	Time available to engage in productive, paid activities and value placed on labour
•	Time used for performing unpaid labour and productive activities
•	Bargaining power
•	Access to productive assets, economic opportunities, education and health services
•	Individual capacities and coping mechanisms including stress and personal safety.
Policy factors
•	Economic, political, socio-cultural and legal factors that influence the well-being of men and women
•	Customary and statutory laws that discriminate on the basis of gender including property rights, ownership, laws of inheritance, family laws, citizenship and labour laws
•	Resources invested in gender-related public policy
•	Underlying, accepted gender differences (pre-conditions)
•	Trade-offs faced by policy makers relating to gender
•	Efforts to eradicate barriers to gender equality
•	Strategies designed to create equality for the transaction of economic goods and influence the market to create desirable labour dynamics
•	Rewards for egalitarian practices
•	Identification and communication of practices which improve income options for women.
Institutional factors
•	Express gender in organizational goals and missions
•	Involvement of gender-sensitive stakeholders in strategic planning activities
•	Implications of existing policies and compensatory measures for men and women
•	Human resources practices for promoting equal opportunities for professional growth for men and women
•	Personnel policies with a gender equality focus
•	Specific financial allocations for gender mainstreaming and special projects for women
•	Evaluation criteria that specify gender

Source: (adapted from) Mondesire A., 1999. Gender in Sustainable Livelihoods. Issues, Guidelines and a Strategy for Action, United Nations Development Programme

Further considerations

The results of gender analysis should be incorporated at the earliest possible stage of the project cycle and should be an integral part of each stage of the project cycle.
This is not an exhaustive list of factors that should be considered in gender analysis but an overview of issues relating to individuals, policies and institutions.

Background

This framework was developed by the United Nations Development Programmes’ Sustainable Livelihoods Unit.

Other relevant frameworks, approaches and tools

# 1: The Project Design Handbook
# 2: The Social Assessment Method
# 4: Stakeholder Analysis
# 9: Addressing Gender in Development Projects

References

Mondesire A., 1999, Gender in Sustainable Livelihoods. Issues, Guidelines and a Strategy for Action,
United Nations Development Programme, http://www.undp.org/sl/Documents/Strategy_papers/gender_sl.pdf