Monitoring refers to the continuous process of assessing progress of a scheme/project towards defined objectives and goals. It involves identification of relevant indicators and their data sources, periodic data collection and real-time processing of information for reviewing the implementation of a scheme/project. This information may also form the basis for future evaluations. Effective monitoring is the key to ensuring transparency and accountability in seamless implementation and program delivery to the intended beneficiaries.
Monitoring and Evaluation are both key processes in policy making by linking interventions with their outcomes/impacts and ensuring the objectives are achieved as planned. Both these processes focus on improving performance by identifying outputs, outcomes and impact, setting goals for each of them and measuring the achievements against the defined goals. This information can provide insights into whether a scheme/project is on track in the right direction, how the various elements of a scheme/project are working, and which of these need to be re-considered or modified; thereby, allowing for mid-course correction during scheme implementation and future improvements. More importantly, monitoring and evaluation are critical to ensure maximum effectiveness of public investments.
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Output-Outcome Framework
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Laid before the Parliament with the Union Budget for 2019-20, the Output-Outcome Framework represents an important reform towards outcome-based monitoring. It provides a framework of indicators for monitoring Central Sector (CS) and Centrally Sponsored Scheme (CSS), with outlays covering approximately 40% of the Central Government's expenditure budget. This is a paradigm shift from measuring simply physical and financial progress, to a governance model based on outcomes. DMEO has been working with Ministries and Departments to develop this framework since 2017.
The Output-Outcome Framework 2019-20 endeavors to provide measurable indicators for achievement of scheme objectives, or the 'Outcomes'. Actively tracking progress against defined targets provides two key benefits for governance: improving (i) the development impact and (ii) the public accountability of every rupee spent by the Government of India. Thus, the Output-Outcome Framework 2019-20 lays the foundation of the journey towards a stronger portfolio of Government of India's development programmes. It enables performance-based budgetary allocations and can also be used to drive budgetary and administrative convergence among existing schemes/ programmes.
With the cooperation of line ministries and implementing actors, a robust monitoring mechanism based on this Framework can revolutionize the governance and implementation of all the CS/CSS schemes of the Government of India.
For all schemes above Rs. 500 crore in allocation for 2020-21, the document can be accessed here:
https://www.indiabudget.gov.in/outcomebudget.php
For remaining schemes, the documents can be accessed here:
https://www.niti.gov.in/documents/reports
For Ministry and Department wise, documents can be accessed here:
- Global Indices for Reforms and Growth (GIRG)
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The Government of India has decided to leverage select Global Indices to drive reforms and growth across the country. The Development Monitoring and Evaluation Office (DMEO), NITI Aayog has been designated as the knowledge partner for this exercise to facilitate monitoring progress on these Indices across States/UTs through a single dashboard.
These Indices are divided across four categories – Industry, Development, Economy and Governance, and are being utilized as a means of driving India’s performance across important social, economic and development parameters tracked globally and at the indigenous level. It also aims to serve as a means of improving citizen service delivery through robust data. Another goal of this far-reaching, widespread exercise is the use of these Indices as tools for systemic reforms in the policies and processes which would help in improving the standard and ease of living, creating a conducive ecosystem for investment, and drive sustainable development.
The project would encompass monitoring selected Global Indices (presently 30) to drive reforms and growth across 19 Nodal Ministries/ Departments, 46 Line Ministries/ Departments and all State Governments. In this vein, the project will facilitate (a) Monitoring progress of the States in indigenised indices which rely on relevant data; (b) Driving reforms and growth to support improvement in outcome parameters thereby improving scores of the indices; and
hence (c) Improving India’s global ranking. To drive healthy competition among States/UTs and to motivate them to improve States’ performance on these indices, each State/UTs will be scored and ranked on their performance separately on index performance and reform actions.
Based on the discussions held at Cabinet Secretariat and NITI Aayog, Nodal Ministries/Departments have been assigned for each of these Indices. DMEO is also working with NIC and NICSI for the development of a web-based interactive dashboard to enable monitoring of the indices and reforms, which is in an advanced stage of its readiness. In parallel, DMEO is coordinating activities of the Nodal Ministries/Departments in obtaining the necessary information on the indices and reforms required for configuration of the dashboard.
- Sector Reviews
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DMEO, under its ‘Sector Reviews’ initiative, facilitates regular monitoring and review of the key infrastructure and social sectors, for some of the highest decision-makers in the country. These reviews, held in coordination with concerned Ministries/Departments, have played a crucial role in the past towards broadening of policy dialogue, developing sector policy (that addresses private and public sector issues), debottlenecking critical sector reforms, resolving inter-ministerial issues, among others.
As part of the Sector Reviews, Key Performance Metrics are defined for each of the sectors, and Annual Targets are agreed in consultation with the respective Ministries/Departments, based on long-term goals of the Ministries, 5-year Vision Plans, global benchmarks, budget allocations, national priorities, etc. The progress on these metrics is tracked through a web-based interactive Sector Review Dashboard maintained by DMEO. Review meetings are conducted regularly at highest levels to monitor the performance of sectors against these metrics. The progress on the Action Items from these meetings are also tracked on the Sector Review dashboard.
- Other Activities and Tools
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DMEO undertakes data analysis and provides recommendations based on monitoring data to a variety of stakeholders. It provides comments to Ministries and Departments at the scheme design and appraisal stage, outlining key output and outcome indicators to be monitored. It is also strengthening its capacity to set standards in the country, including a nation-wide monitoring and evaluation policy, monitoring maturity assessment of ministries etc.