UN ESCAP: Independent evaluation of the Trade, Investment and Innovation Division

January 6, 2022

[The full evaluation report is available here]

DeftEdge recently carried out an independent evaluation of UN ESCAP's Subprogramme 2: Trade, Investment and Innovation Division (TIID). TIID is organized in three sections: (1) Trade Policy and Facilitation, (2) Investment and Enterprise Development, and (3) Technology and Innovation. The overall impact objective sought by the subprogramme is “inclusive and sustainable trade, investment and innovation in Asia and the Pacific,” which is expected to help member States in the region achieve relevant SDGs. The purpose of this evaluation was to provide ESCAP “actionable information to enhance the impact of the subprogramme and value of the work carried out by TIID."

Based on robust and triangulated evidence collected, the evaluation finds that the subprogramme is making a substantial contribution towards its intended outcome goals. The outputs produced by the SP2 such as its flagship publications and technical assistance are generally of very high quality and well-appreciated by its stakeholders. Despite their high potential and somewhat heterogenous performance, the networks supported and managed by the SP2 are currently at crossroads for a variety of reasons. While the potential of ESCAP Sustainable Business Network(ESBN) is yet to be fully realized, Asia-Pacific Research and Training Network on Trade (ARTNET) and United Nations Network of Experts for Paperless Trade in Asia and the Pacific (UNNExT) face a significant funding and continuance challenge. The three sections within the division also find themselves at crossroads. Having concluded the paperless trade treaty, which consumed a better part of the last decade, trade section needs to decide on its next steps to continue delivering at a high-level. The innovation section is about to conclude its most prominent project on female entrepreneurship. Despite its demonstrated potential and contribution, it will need to determine its next strategic step. Moreover, the synergies across these three sections have not yet been explored and exploited, which offers another significant opportunity for performance enhancement going forward. Finally, it is also apparent that the subprogramme is yet to assess the impact of its technical assistance, which makes it difficult to meaningfully understand or demonstrate long-term benefits to member States and other key stakeholders in the region. The change in management at the division and section levels affords a great opportunity for a major rethink, which should not be wasted.

Recommendations: Below is the summary of main recommendations, which are further elaborated in the report.

Recommendation 1: TIID needs to develop a strategy for the SP2.

TIID, in consultation with its key stakeholders, needs to develop a strategy for the subprogramme. For this purpose, TIID needs to (a) undertake extensive consultations with its internal and external stakeholders, (b) determine if it needs to reorganize its portfolio of products and services (e.g.  reducing publications, while increasing the follow-up and technical assistance), (c) reorganize workstreams to find a better interface across its portfolio of work as well as with other divisions at ESCAP and external partners, (d) examine opportunities for empowering regional voices at global forums, and (e) explore options for further strengthening TIID’s partnerships with global partners.

Recommendation 2: The investment section needs to find its competitive advantage.

The investment and enterprise development section (or TIID) needs to conduct a review of its competitive landscape for finding its fit in the ‘crowded marketplace’ on technical assistance for FDI promotion. It is currently not clear what its unique competitive advantages are and how it can be best structured withing the TIID. TIID should, therefore consider (a) increasing focus on the investment section’s distinctive competitive advantage to utilize its key strengths while avoiding duplicating the work of other more endowed international agencies in this domain, and (b) exploring further increase in collaboration with private sector in Asia-Pacific and beyond to determine that sector’s needs for technology and investments.

Recommendation 3: TIID needs a strategy for revitalizing and/or sunsetting its networks.

All TIID-managed networks are in need of revitalization and/or sunsetting for different reasons outlined in previous sections. For ESBN, TIID should (a) determine how to ensure ESBN becomes more of an ESCAP-wide platform, (b) undertake consultations to determine comfortable risk levels for partnering with private sector, and (c) createwin-win situations for more effective engagement with private sector. For all networks, TIID needs to (d) assess performance of all network members and impose stricter requirements for repeat terms, (e) consider mandatory term limits and rotation of membership, (f) assess plans on continued support for networks when funding is set to expire as well, and (g) determine criteria for sunsetting networks that have outlived their purpose.

Recommendation 4: TIID needs to strengthen its M&E systems, especially those pertaining to impact assessment.

TIID needs to develop a clear theory of change as well as an M&E plan to help collect data for various elements in the results chain. It relatedly needs to consider (a) clarifying theory of change at the subprogramme-level, along with specific indicators that should show synergies and collaboration between workstreams, (b) assessing impact of key components, especially in case for large technical assistance projects such as on female entrepreneurship, (c) assessing whether its services and interventions have actually contributed to policy formulation and implementation in member States and how this contribution can be further enhanced, (d) involving national partners, networks and academia in conducting impact assessment studies, (e) integrating indicators for collecting data on SDG Targets, gender and human-rights in policy-level interventions to assess UN’s other priorities such as ‘leave no one behind’.

Recommendation 5: ESCAP needs to focus on enhancing the visibility of the work of SP2.

Visibility is key to building an identity for modern organizations. Despite the high-quality work of the TIID/ SP2, it is relatively unknown within its ‘marketplace’ and certainly not the top choice for those seeking technical cooperation on issues of trade, investment and innovation. Thus, TIID need to focus on enhancing its visibility among its stakeholders by (a) developing and implementing a communication and outreach strategy, (b) producing communication and promotional materials (video, flyers) linked with all initiatives and projects managed by the Division, (c) exploring opportunities for collaboration, and (d) better leveraging its networks and regional governments for disseminating knowledge and information among relevant entities.

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