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Importance of Monitoring Systems and Development of Indicators for Sustainable Enterprise

   

Added on  2022-11-17

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Running head: SUSTAINABLE ENTERPRISE 1
Sustainable Enterprise
Name:
Institution:
Importance of Monitoring Systems and Development of Indicators for Sustainable Enterprise_1

SUSTAINABLE ENTERPRISE 2
Introduction to monitoring systems and the development of indicators
Monitoring usually addresses inputs, activities and outputs. Most monitoring systems are
designed to meet the ongoing information needs of project managers and provide information for
progress reports to donors. The importance of monitoring during programme implementation has
driven many governments and donors to invest substantial resources in developing
comprehensive monitoring systems. A Monitoring system refers to all the structures that are put
in place to ensure the effective discharge of M&E within an organization. This includes all the
institutional structures, management processes, standards, strategies, plans, indicators,
information systems and reporting mechanisms needed to undertake M&E are part of the M&E
system. The implementation of M&E systems is the actual implementation of the components.
Having an M&E system is important for gathering data and monitoring performance .M&E design should
be simple and clear and should include easy to measure indicators .The involvement of the stakeholders
(the municipality in this case) should be ensured from the outset. The paper seeks to provide close
monitoring and performance measurement are important factors in the success of the implementation of
both the M&E and the project itself as illustrated below.
Monitoring is defined as a continuous function that uses systematic collection of data on
specified indicators, to provide management and the main stakeholders of an ongoing
development intervention with indications of the extent of progress and achievement of
objectives and progress of allocation of funds (Costantino, Di Gravio and Nonino, 2015). From
this definition it can be deduced that a key function in monitoring is the collection of data during
the implementation process. Some of this data provides information for various purposes, such as
measuring if the implementation is going according to plan and, if not, which corrective actions
to take. Monitoring is also seen as a systematic attempt by evaluation researchers to examine
Importance of Monitoring Systems and Development of Indicators for Sustainable Enterprise_2

SUSTAINABLE ENTERPRISE 3
programme coverage and delivery. It involves systematic collecting, analysing and reporting data
on inputs, activities, outputs, outcomes and external factors to provide management and the main
stakeholders with information of an ongoing development intervention and an indication of the
extent of progress and the achievement of objectives. Monitoring relates more to the evaluation
of the effectiveness of the implementation process rather than to the evaluation of the impacts of
the programme. Process evaluation, also referred to as implementation evaluation or programme
monitoring, has always been an essential evaluation activity (Larson, and Gray, 2018). From the
above definitions, monitoring is mainly seen to involve continuous tracking of the actual
implementation process. This conceptualization of monitoring underpins the usage of the term
throughout this research.
Monitoring and evaluation are vital in arriving at budget decisions, good management and
accountability.
An M&E system is described as a powerful tool that is used by governments and private
organisations in improving results. A system is defined as ‘a group of interacting, interrelated
and interdependent elements forming a complex whole. An M&E system, also called a
programme management system is conceptualized as all the structures that are put in place to
ensure the effective discharge of M&E within an organization (Larson, and Gray, 2018). This
includes all the institutional structures, management processes, standards, strategies, plans,
indicators, information systems and reporting mechanisms needed to undertake M&E that
interrelate and produce information towards the holistic achievement of the organisational goals
(Costantino, Di Gravio and Nonino, 2015). Applying ‘systems thinking’, which is referred to as
‘gaining insight into the whole by understanding the linkages and interaction between the
individual elements that comprise the whole implies that to make the system work properly one
Importance of Monitoring Systems and Development of Indicators for Sustainable Enterprise_3

SUSTAINABLE ENTERPRISE 4
must identify the individual components and ensure that these components are working thereby
ensuring the working of the whole system.
It is said that there is no one model of building an M&E system as it all depends the
various reasons for which such systems are designed. However, a good M&E system is key in
streamlining and making interventions better and more successful as it serves as a key source of
information. It is important therefore to make the system work properly. For an M&E system to
work properly and be sustainable it must be driven by the need to track and measure performance
to guarantee the effectiveness of the M&E system, managers must clearly allocate tasks for
monitoring and evaluation, at every level of governance or management. A good M&E system
should incorporate ownership, credibility and management. These aspects of the M&E system
increase the chances of obtaining the involvement of stakeholders and increase the
trustworthiness of the system and hence improve the likelihood of success of its implementation.
A good M&E system must be built on the needs of the organisation in question. Given
that the main purpose of doing M&E is to be able to track changes in the conditions being
intervened, the M&E system must have the ability to track changes. It is critical to examine the
purposes and reasons that underpin the design of the Save Act M&E system in order to analyse
the successes and challenges of its implementation. A critical step in the development of a
functional M&E system is the development of an M&E plan or framework which is at the heart
of the functioning of the system as a whole, as it guides the data collection process and the
operations of the system. Mackay describes it as key in arriving at the intended destination of the
M&E system.
An M&E plan is a comprehensive narrative document on all M&E activities. It addresses
key M&E questions: what indicators to measure; sources of data, frequency of data collection
Importance of Monitoring Systems and Development of Indicators for Sustainable Enterprise_4

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