Value for Money (VfM)

A-fID directs its finances to areas where Value for Money (VfM) and impact at scale can be achieved. That is we will invest in areas where research and evidence shows there is need for improvement. We believe Quality Education, free and healthy Nutrition for Children (0-5 years old), Youth employment and empowerment and access to factual information in transparent communities, are too important priorities to be neglected in our fight to tackle poverty in Sierra Leone. From 2016 to 2020 we will gradually increase our financial commitment to adding value in these areas, and we will make lasting positive impacts in the lives of poor people. In our effort to promote gender parity, we will invest more to develop programmes that engage Faith Base Organisations (FBOs) and community leaders.

Value for Money (VfM) Rationale

The planning and efficient delivery of programmes in Sierra Leone can be challenging task in a variety of ways including:

  • Unreliable or partially complete statistics
  • Unprecedented level of fluidity in the social, political and economic environment, requiring rapid Programme adjustments to harness presented opportunities or adapt to the often-changing environment.
  • Limited local capacity to provide quality services
  • Instability in the business environment (e.g. Foreign currency volatility, supply chain inefficiencies and staffing issues)
  • Dependency on desirable imported materials required for effective delivering of projects.

To tackle these concerns A-FID will:

  • Guarantee situational (political, social and economic) analysis to underpin investments in all projects
  • In a timely manner undertake regular monitoring and periodic public perception studies to address specific project problems
  • Promote a cultural work ethics across all teams where the underlying objective is to achieve VfM across project delivery
  • Institute a habit of costs saving across all operational verticals and avoid wastage, fraud and corrupt practices
  • Enhance internal financial management systems

To achieve these objectives A-FID will ensure that:

  1. Employed and voluntary staff have the capacity to identify and implement cost savings across projects
  • Staff have time available for aforementioned situational analysis and VfM reviews
  • VfM concept is embedded and communicated across teams, programmes and projects
  • Staff have skills to calculate cost of services and materials so as to be able to identify savings and VfM in procurement
  • Regular appraisals on staff and teams are carried out to identify issues and help staff development
  • In house team member is appointed to monitor improprieties
  1. VfM is at the center of all our programmes ensuring that A-fID:
  • Avoids making over payments for goods and services
  • Carries out price comparisons in procurement activities
  • Incorporates well-defined VfM indicators in all new programmes and projects
  • Timely and swiftly acts in closing down all underperforming projects that cannot be improved
  1. The need for VfM in all projects is effectively communicated both internally, with partners and third party suppliers
    • A VfM champion is appointed to monitor the process of VfM implementation
    • We will speedily learn from partners their effective use of VfM options and readily share those knowledge
    • We will draw on and learn from research
    • All meetings to include VfM briefings, update and analysis