AnnualReport
2011

Real Aid in Action
Japan International Cooperation Systemconstruction—necessary to achieve a specific objective. Since
its establishment in 1989, JICS has appropriately and effectively
carried out the selection and procurement of goods and services needed in local areas where cooperation projects are beingimplemented.
JICS aims to become “the world’s best service provider in theinternational cooperation field” which is described in “Mission,Vision and Value” (MVV). In pursuit of this goal, JICS is building
up its base of expertise and knowledge while focusing on thedevelopment of human resources.

Japan International Cooperation
System (JICS) was the first foundationin Japan to specialize in procurement
Profile ofoperations within the field of interJICS
national cooperation. JICS’ activities
primarily focus on aid project-related
procurement and supervision operations within the Japanese government’s Official Development Assistance (ODA) programs andother cooperation programs with developing countries.
“Procurement” refers to the acquisition of and payment forgoods and services—such as transportation, design and
P Revenue by Type of ODA (FY2011) (Unit: thousand yen)

P Revenue by Client (FY2011)

Multilateral ODA

Bilateral ODA Programs with international agencies andorganizations, etc.
43,540............1.5%
MultilateralODA
Others 33,207..............1.1%

 Grant aid
2,368,132...... 81.6%
Grant assistance for the food security
project for underprivileged farmers(2KR) 5.1%
Grant assistance for the food aid
project (KR) 7.5%

Others 1.6%

Ministry of Foreign
Affairs 0.3%

International
agencies andorganizations,Japan International
etc. 1.5%
Cooperation Agency(JICA) 16.8%

Cultural grant aid 2.9%

Bilateral ODA

Non-project grant aid 10.8%

 Loan aid (ODA loan)
86,721.............3.0%Bilateral ODA

 Technical cooperation
372,259 ........12.8%

Emergency grant aid 1.8%

Recipient governments 79.9%

Grant aid for conflict prevention
and peacebuilding 8.0%
Grant aid for disaster prevention
and reconstruction 1.7%
Grant aid for community empowerment 22.5%

Program grant aid for environment and climate change 21.1%
Other activities related to grant aid (studies, research, etc.) 0.2%

Mission, Vision
and Value(MVV)

To coincide with its transition to the status of a general incorporated foundation, JICS conducted abottom-up discussion process encompassing its entire organization to determine MVV, which forms thefundamental starting point for all its strategies. The thorough adoption of this MVV by all employees is akey priority for JICS.
Definition of MISSIONMISSIONJICS will contribute to the peace and stability of the world
as a player in the international cooperation field.

VISIONJICS will set a goal to be the world’s best service provider
in the international cooperation field.

VALUE
Impartiality, fairness and transparency Maximizing the impact of the aid
JICS maintains an impartial stance to ensure fairnessand transparency.

JICS will make an effort to maximize the impactof the aid.

Reliability

Creation and Challenge

JICS will respect local input and build a trusting
relationship with its client.

J ICS will think outside the box and challenge
to create and provide new services.

JICS’ mission expresses the organization’s social raison d’etre and its philosophy regarding
its contribution to society. All JICS employees
undertake their day-to-day duties with a sense of
pride and responsibility for fulfilling JICS’ mission.

Definition of VISIONJICS’ vision articulates its medium-term goals forfulfilling its mission. Rather than being satisfied
with its current status, through the achievementof its vision JICS strives to become an organization that is trusted not only in Japan but worldwide.

Definition of VALUE

It is important that each employee adheres toJICS’ values as the organization strives to realize
its vision. All employees act in accordance withJICS’ four core values.

tsennt
Co

2

A Message from the President

3 Part 1 Principal Activities in FY2011
4 Highlights of Operations in FY2011
6 Special Feature: Commencement of a New Organizational Structure
9 The Role of JICS in ODA
13 JICS’ Major Activities in FY201113		 Grant Aid for Conflict Prevention and Peacebuilding (South Sudan)			  [Project Name: The Project for Construction and Rehabilitation of Bridges on Main Roads in Juba City]			  [Project Name: The Project for Improving Facilities and Equipment of Multi-Service Training Center in Juba]
14		
Grant Aid for Community Empowerment (Laos)			  [FY2008: Project Name: The Project for Improvement of School Environments in Three Southern Provinces]			  [FY2010: Project Name: The Project for the Improvement of School Environments in Champasack and Savannakhet Provinces]16		
Grant Aid for Community Empowerment (Mozambique)			  [Project Name: The Project for Construction of Secondary Schools in Mozambique]18		
Program Grant Aid for Environment and Climate Change (Gabon)			  [Project Name: The Forest Preservation Programme]
19 	Program Grant Aid for Environment and Climate Change “The Project for Introduction ofClean Energy by Solar Electricity Generation System” (Palau, Afghanistan, Jordan, etc.)			  [Project Name: The Project for Introduction of Clean Energy by Solar Electricity Generation System]
21		
Emergency Grant Aid (Thailand)			  [Project Name: Emergency Grant Aid for Flood Disaster in Thailand]

22
24

JICS Recent Events
Social Activities of JICS

25 Part 2 Description of Projects
26 Countries Targeted for JICS Main Projects
28 Revenue by Scheme and Client
29 Revenue by Function
30 Revenue by Type of ODA (FY1989–FY2011)
31 Revenues and Expenditures by Fiscal Year
32 Project Results by Country in FY2011
35 List of Projects in FY2011
35	  Grant Aid
41	  Technical Cooperation
43	  Loan Programs
44	 Business Contributing to the Promotion of the Appropriate and Efficient Implementation of International Cooperation Programs
Carried Out by International Agencies and Organizations, Foreign Governments and Other Organizations Engaged in International Cooperation
44	  Follow-up and After-care Activities

44	  Education and Support Promoting International Cooperation
44	  Other Activities Necessary to Achieve the Purposes of the Foundation
45

Reference Materials

45464748495051525356

FY2011 Business Report
FY2011 Statement of Revenues and Expenditures
FY2011 Balance SheetFY2011 Statement of Net Equity Increase (Decrease)
FY2011 Cash Flow Statement
A Brief History of JICS
Board of Directors / Board of Trustees
Organization Chart
The Articles of Incorporation of Japan International Cooperation System (JICS)
ComplianceJapan International Cooperation System Annual Report 20111

A Message from the President

A Message from the President

2On April 1, 2012, Japan International
Cooperation System (JICS) made thetransition to the status of a generalincorporated foundation.
In FY2011, ended March 31, 2012, theimpact of the Great East Japan Earthquake had a significant effect on ouroperations. However, thanks to the support and cooperation we received fromour staff and many other stakeholders,
we were able to steadily carry out ouroperations underpinned by the effortsof our entire organization.
During FY2011, we grappled withmany organizational issues stemming from our transition to a generalincorporated foundation in line with
the institutional reform of a charitablecorporation. First of all, we implemented various preparations for the shift
to a general incorporated foundation.
While taking into account progress in
the government’s reforms in this area,
we undertook substantial measures toensure that JICS employees fully understand the reform of the foundation’s
status and to achieve a satisfactory
consensus. Following these preparations, a formal decision was made by
our organization and we submitted anapplication to the Cabinet Office, andreceived approval to make the transition to a general incorporated foundation, which was consummated in April
2012. Simultaneously, we announced a
new set of fundamental organizational
management policies, called “Mission,Vision and Value” (MVV). On the inside
front cover of this annual report as wellas in the special feature we provide information on how MVV was formulated
and explain details of these policies.
In the future, as JICS’ operating
environment becomes increasinglycompetitive, we are committed tomaintaining a competitive advantage
as we work to fulfill our responsibilities
and roles. To realize this goal, we haveestablished three internal task forces
covering operations, human resourcesand organization, which are reviewing
solutions to a range of issues.
With regard to operations, we haveformulated a three-year Medium-term
Operational Action Plan commencing
FY2012. The plan defines the ideal stateof JICS 10 years hence, and contains
two major strategies: (1) further cultivate our existing operations focusing
on procurement agent services; and (2)develop new businesses. With regard to
the latter strategy, we held a proposal
competition with the participation of
all employees, and the organization isworking toward commercializing thehighest quality proposals.

In the area of human resources, wehave formulated a Human Resources
Development Grand Design, whichaims to nurture people who are capableof playing critical roles within an international procurement institution. We
are implementing this framework fromFY2012.
In our organization, we changed
from our FY2010 structure comprising three departments and 16 offices
and divisions to a revamped structure
comprising two offices, five departments and 18 divisions. This structure
aims to better enable managers to keep
closely in touch with their subordinates’
progress and provide more detailed
guidance and supervision. Coinciding
with this organizational overhaul, weappointed 13 new managers. Althoughsuch investments in human resource
involve costs, we recognize that it isone of the key challenges that we must
undertake. The nurturing of management talent by the entire organization
through its day-to-day operations will
become even more crucial in the future,and I believe that JICS is sure to receive
an excellent return on this investment.
In 2011, the impact of the Great East
Japan Earthquake was particularly large,
leading not only to delays in the execution of certain projects but also a reduction in the number of projects in somecore programs, including “Non-project
grant aid” and “Grant aid for communityempowerment”, compared with ouroriginal targets.
Meanwhile, as an expansion of ourexisting operations, we have been
Japan International Cooperation System Annual Report 2011

commissioned to undertake procurement execution and facilitation support
services, including ex-post procurement
audit services as part of a strengtheningof Japanese ODA loan-related operations, and construction operations related to technical cooperation projects
carried out by the Japan International
Cooperation Agency (JICA). To further
broaden the scope of these activities,
we are working to implement a structure for proactively seeking new projectcommissions.
Although we anticipate that theenvironment affecting ODA and JICS’operations will become more severe in
the future, we believe that the importance of JICS’ roles and responsibilities
will remain unchanged. To bolster theefficiency of international cooperation
project execution, we are committed tovigorously fulfilling our vital roles andresponsibilities in this field.
To become “the world’s best service
provider in the international cooperation field”, we will not rest on our laurels,
but diligently strive to enhance the trust
placed in us by our stakeholders worldwide. In these endeavors, we sincerely
look forward to your ongoing supportand encouragement.

Toru Nakatani
President
Japan International Cooperation System (JICS)