Can we boost efficiency through working in consortia ? Getting accountability and partnership issues right

Definitions Current situation Legal and Financial Implications Some rules Next steps

Definitions ECHO funded Actions are implemented by : One ECHO Partner NGO UN Agencies International Organisations MS specialised Agencies Several Partners By the mean of a « coordinated approach » also called « Alliance » Organised in « Consortium »

Definitions Consortium : Association of Partners that work together toward achieving joint and coordinated objective The members of the consortium are bound by a memorandum of understanding (MOU) which is a document describing a bilateral or multilateral agreement between parties The term « consortium » is not used for action for which the lead is a UN agency as the management mode is different The term « consortium » is not used for Implementing Partners assisting the ECHO Partner in the implementation of an action in the field Coordinated approach The term alliance or coordinated approach is used in cases where a group of partners coordinates their proposals (identical logframes) but submit separate proposals

Current situation (from October 2010 to July 2011) 39 actions out of 1.000/year A budget of 67 M out of approx. 1 billion 5 actions presented in consortium at the initiative of the partners themselves The other suggested by DG ECHO or mentioned in the HIP or in the operational recommendations The « Coordinated approach » was applied in a few cases only

Current situation :FPA The notion of consortium is not foreseen in the current FPA The IT systems are not configured to manage the specificities of the consortium

Legal and Financial Issues To limit the risks for Echo and the Lead Partner Sharing the financial liability of all partners involved (MoU) Co-responsibility A and P control mechanism less adapted to consortia Reporting Audits Coordination and Management Consortia partners & Implementing partners...

Some rules « Needs based » and « Result driven » The objective is the effectiveness of the response The use of « coordinated approach/ Consortium » must show a clear added value Consortium should never be forced Transparency : coordinated approach and Consortia must be announced in the HIP

Next steps Use the flexibility offered in the current FPA Adapt the IT applications to address the major legal and financial impacts New provisions to prepare and discuss together with the partners for the next FPA Reporting MoU Audit Overlap of contracts Co-financing Communication lines Visibility of the members of the consortium ……