WORLD TRADE
ORGANIZATIONWT/BFA/W/76
26 June 2002
(02-3562)
Committee on Budget, Finance and Administration Original:  English
IMPLEMENTATION OF RESULTS-BASED MANAGEMENT IN THE
WTO-SECRETARIAT.
Non-paper by Belgium, Canada and the Netherlands.
I. INTRODUCTION
1. The co-authors are pleased to contribute this paper to the ongoing discussion by the Budget
Committee of the proposal to introduce results-based management (RBM) into the WTO Secretariat.
Building on the themes first introduced by the Netherlands in its 2000 non-paper CRP(00)08 and
elaborated in the March 2002 report Performance Management Reform in the WTO Secretariat:Introduction of Results-based Management (WT/BFA/W/70) prepared by consultant Terry Slater at
the request of the Director-General, this paper seeks to assist the Budget Committee in its
consideration of this important issue by:
− highlighting the core elements of RBM;
− suggesting a number of benefits for the WTO and its members that could be derived from
RBM;
− suggesting issues for further discussion;
− addressing the relationship between RBM and TRTA; and
− proposing some ways in which the Budget Committee could facilitate the transition of the
WTO Secretariat towards a RBM approach to management.
II. CORE ELEMENTS OF RESULTS-BASED MANAGEMENT
2. Results-based management (RBM) is an on-going and cyclical approach to management that
offers enhanced organizational effectiveness, performance and accountability through the
establishment of pre-defined objectives and measurable results.  RBM combines together a number ofintegrated components, namely:
− strategic programme planning and budgeting;
− objective setting;
− implementation and monitoring;  and
− evaluation and feedback 
1.
3. Although some variations in application exist, most United Nations and Bretton Woods
institutions (including the ILO, WHO, WIPO and the UN Secretariat in general) have introduced or
are in the process of introducing RBM where it is considered to constitute “best practice”.  RBM alsoforms the basis for the management system used by the governments of many WTO Members.
                                                     
1  For more information, please see: Slater II (WT/BFA/W/70), page 3.WT/BFA/W/76
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4. The WTO Secretariat has begun to move towards RBM, but as noted by Slater, a number of
areas could benefit from further strengthening and reform.2  For example, current divisional objectives
often are neither outcome-oriented nor amenable to objective measurement.  Moreover, the system
lacks an in-depth evaluation of how a division’s performance in the past year compares against its
established objectives nor are there reasons for any discrepancies to be found.
III. BENEFITS OF RBM
5. The co-authors take note of the detailed proposal for a new RBM system for the WTO
Secretariat contained in the Slater report and endorse its conclusion that the potential benefits of
introducing such a system include:
− increased management accountability;
− increased transparency;
− improved dialogue between the Secretariat and Members, and within the Secretariat itself;
− a clearer view of the role of each division in the achievement of the overall WTO objectives;
− efficiencies and savings;
− productivity and quality improvements; and
− improved performance by the Secretariat in delivering results that respond to Members’
needs.
6. The co-authors also note Slater’s recommendation that the system be built incrementally.
With that in mind, this paper offers some suggestions for how the Budget Committee could facilitate
the implementation process.
IV. INVOLVEMENT OF THE BUDGET COMMITTEE IN RBM
7. As Mr. Slater notes on page 41 of his report, involvement of members in the RBM process is
essential.  In this respect two issues come to mind: formulation of objectives and the RBM Cycle.
(i) Formulation of Objectives
8. Slater recommends (p.18 - 21) that objectives be formulated at the level of the organisation as
a whole and at the level of divisions. Objectives at the level of divisions already exist.  There is, as is
pointed out in the report, much scope to improve these objectives and make them more outcome
oriented. We also endorse the proposed methodology to develop measurable expected results and a
strategy and work plan, based on these objectives.
9. In formulating objectives the Secretariat should, where possible, use sources that have already
a formal status in WTO, such as the WTO Agreements, Ministerial declarations, negotiation
guidelines and work programmes of WTO bodies. Ge neral principles of good management could also
be included in the objectives. It is well understood that the Secretariat can only be held accountable
for what is within its sphere of influence.  This should be taken into account while formulating theobjectives.  The approach proposed by Slater in Annex 4, namely to indicate for each objective what
the Secretariat’s contribution will be, is a good one.
10. We believe that the report gives sufficient guidance to serve as a basis for the formulation of
objectives, expected results, strategies and work plans for the budget of 2003 at the level of divisions.
The Budget Committee should give additional attention to this issue during the examination of thebudget in the second half of this year.  The formul ation of objectives for the organization as a whole
                                                     
2 Slater, page 9.WT/BFA/W/76
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and perhaps a strategic vision need more discussion in the Budget Committee and the General
Council.
(ii) The RBM Cycle
11. In paragraph 90 of Slater’s report, it is proposed that decisions at the corporate level be taken
on the basis of information gained in the RBM process. In this respect, two tasks of the BudgetCommittee are important: examination and approval of the budget and the review of the Secretariat's
performance against budget where the review should  provide inputs for the examination of the budget.
In the view of the co-authors, Annex 6 provides an excellent timetable for this management cycle.
12. In order to be able to fulfil these tasks, the Budget Committee should have adequate
information at its disposal. We are not convince d that if the methodology proposed by Slater is
followed, sufficient information will be availabl e to take an informed decision on the budget level.
The proposed outline for volume 2 of the budget seems to contain insufficient quantitativeperformance data to assess whether the resources requested are justified. In that respect we propose
that such data be included in the expected results section.  Furthermore, it would be very helpful to be
able to compare expected results and budget allocation with similar data from the previous year. In the
background information section, an explanation could be given of shifts between priorities,
improvements of efficiency and proposed budget increases.
13. The Slater report unfortunately is silent on the format of the Secretariat's performance against
budget.  In order to facilitate examination by members, this report should be as lean as possible.
Furthermore, it should mirror to the extent possi ble the volume 2 of the budget document.  The
section on "background" could be used to explain possible discrepancies between the expected results
and the results attained and the identification of possible bottlenecks and lessons learned.  This sectionwill be key in providing inputs for changes in the next year budget.
V. THE INTEGRATION OF TECHNICAL ASSISTANCE PROGRAMS IN THE RBM
CYCLE
14. The co-authors agree with Slater that: ‘(…) it is important to make the point that all functions
of the Secretariat, irrespective of the funding source, should be subject to the same results-based
management system.  It would not make sense to set up a separate management system for certain
activities, simply because their funding source is different.  Only a consolidated approach will bring
synergies and co-ordinated efforts leading to higher  overall levels of performance’. Such an approach
is even more justified when consideration is given to the considerable amount of time that divisions
across the Organization spend on technical assistance.
15. Technical assistance activities, therefore, should be integrated into the objectives, the
expected results and the work-plan of each division.
16. With regard to the evaluation of technical assistance activities, it is noted that these are
already subjected to a double assessment: participants fill out a questionnaire  (developed by the
Technical Cooperation Audit), and the WTO official does the same. Both assessments are considered
jointly (‘matched’) in order to be able to make ev entual adjustments to future seminars or workshops.
This practice reflects RBM principles and when further developed, could provide members withconcrete ownership and input as far as systemic issues related to technical assistance are concerned.
17. An integration of the technical assistance assessment into the RBM-cycle not only will
provide greater ownership of technical assistance and capacity building programs, but also willWT/BFA/W/76
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provide an opportunity for fine tuning of the system3, for improved evaluation (“lessons learned”),
improved performance and adaptation to the needs of developing countries through an interplay
between beneficiaries, donor countries and the WTO-secretariat itself.  Last but not least, it will
provide an improved accountability for achieving results.  Integration of technical assistance functions
into the proposed RBM-cycle is therefore a concrete translation of the general lines set out in the
Doha Ministerial Declaration and a guarantee for obtaining the highest possible quality standard fortechnical assistance.
18. The Secretariat needs to consider how best to create the conditions that would allow all
Secretariat functions with regard to the management of the Organization as a whole to form part of an
overall RBM system.  One aspect of this might be  to incorporate the new RBM functions with those
of the Technical Cooperation Audit and Budget & Control Unit.  The acquired experience of the
Technical Cooperation Audit
4 in developing an evaluation methodology for technical assistance
programs5 constitutes in this perspective a valuable basis for integration.  This concerns in particular
the issues of the demand driven character of technical assistance and the objective-setting for
individual programs6.  The integration of these functions should not, however, entail significant
additional staffing.
VI. PROPOSALS
19. The Slater report stresses that the implementation of RBM is an incremental process requiring
the engagement of all relevant actors, including the Secretariat.  The report also emphasizes that
several basic elements for RBM are already present within the Secretariat’s structures.  The
co-authors recognize that the Secretariat and the Organization as a whole await the arrival of a new
Director-General and eventual modifications to its structure or staffing resulting from this new
appointment.  Bearing in mind the above, the co-authors would like to make the following proposals:
A. TO THE EXTENT POSSIBLE , THE SECRETARIAT SHOULD BE GUIDED BY THE
RECOMMENDATIONS OF THE SLATER REPORT IN PREPARING THE 2003 B UDGET .
 (i) In particular, Slater’s recommendations could serve as a basis for the formulation of
objectives, expected results, strategies and work-plans for the 2003 Budget at the divisional
level.
 (ii) Both quantitative and outcome-based performance indicators should be included in the
section on expected results and should be presented in a way that permits Members to make
comparisons with the 2002 Budget.
 (iii) The Background section of the Budget should be used to explain possible discrepancies
between the expected results and the results attained and the identification of possible
bottlenecks and lessons learned.  This section will be key in providing inputs for changes in
the next budget.
B. TECHNICAL ASSISTANCE SHOULD BE FULLY INTEGRATED INTO THE RBM PROCESS .
C. ESTABLISHMENT OF AN INFORMAL WORKING GROUP :
20. Considering both the technical nature of a further integration of RBM into the WTO
structures and the need for a proper follow-up and monitoring of this process, and in order not to
                                                     
3 Only systemic technical assistance issues  should be considered here, no micro-management of
individual programs.WT/BFA/W/76
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burden the regular agenda of the Budget Committee, an open-ended working party on RBM should be
created early in 2003 to discuss inter alia:
 (i) Review of implementation of RBM into the 2003 Budget;
 (ii) Progressive implementation of Slater’s recommendations on the basis of a note to be
prepared by the Secretariat;
 (iii) Objective-setting for the Organization as a whole; and
 (iv) How best to incorporate the new RBM functions outlined in the Slater report with the
existing Technical Cooperation Audit and Budget & Control functions of the Secretariat.
__________
                                                                                                                                                                    
4 WT/COMTD/W/97, of April 11th 2002.
5 WT/COMTD/W/78/Rev. 1.
6 WT/COMTD/W/97, par. 17-21.