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Agency for International Development

Recommendations and Actions

Agency Reinvention Activities

Introduction

In his confirmation hearing on April 29th, the administrator of the Agency for International Development (AID), J. Brian Atwood, declared that he did not want reinvention efforts to be limited to a few pilot projects. Instead, he announced that the entire agency would be offered up as a reinvention laboratory. Since then, Administrator Atwood has taken a number of steps to turn rhetoric into reality. Comprehensive plans are underway to transform AID into a high performance, results-driven organization that can respond effectively and efficiently to global challenges.

There is widespread recognition that AID must change profoundly if it is to be relevant in the post-Cold War era. This agreement on the need for fundamental change encompasses AID career staff, other U.S. government agencies, Congress, and the public. It is an important asset that supports AID reinvention efforts. But it also presents a complicated challenge because there are diverse views on what kind of change is appropriate. The recently completed report by the Deputy Secretary of State has started to resolve this debate. That report will be the basis for establishing a broad consensus on the appropriate role and function of AID.

AID reinvention efforts encompass a wide number of activities. A Quality Council representing a cross-section of AID employees has been established to coordinate the reinvention plans. This Council meets weekly to review reinvention efforts and to the greatest extent possible ensure that all AID employees are given the opportunity to get involved in the reinvention process. To date, reinvention efforts include:

• New mission and vision statements. Working with AID political leadership, the Quality Council has developed new draft vision and mission statements for review, revision, and dissemination within the agency.

• Reorganization. A new organizational structure has been proposed to emphasize managing for results, creating incentives for individuals, accountability for results, reducing unnecessary bureaucratic layers, and streamlining procedures.

• Strategy statements. Agency leadership has identified four priority areas for AID (population and health, the environment, democracy, and economic growth). Strategies have been developed to provide coherence and direction to AID programs.

• Reengineering the programming system. AID is dramatically simplifying and reducing the four bulky handbooks governing the way the agency programs its funds, and is actively exploring new ways to ensure that the programming process will emphasize results, rather than inputs. Pilot efforts are being initiated in selected field programs.

• Rightsizing the field presence. AID has reviewed all countries where it presently has activities and has identified specific steps to phase out some programs, reduce the size of other field offices, and achieve economies by consolidating some services.

• Simplifying the information flow. AID has adopted an agencywide information systems plan that is a model for other agencies. This will involve analyzing and reengineering core business areas. Unnecessary reporting requirements are being identified and (where these are entirely within the authority of the agency) will be eliminated; consultations are underway with Congress on reducing congressionally mandated reports; an integrated financial system is being developed; and electronic processing of routine transactions (such as travel vouchers) is being initiated.

Vision for the Future

Within the next five years, AID will become a leaner, more focused organization with a clearly defined mission. To a significant extent, the success of AID's reinvention efforts will depend on its ability to secure cooperation and support from other key executive branch agencies (such as the State Department and the Office of Management and Budget) and Congress. In addition, a focus on results will mean that the current programming, monitoring, and auditing systems overwhelmingly geared to tracking inputs will have to be reexamined.

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