How a Road Agency Can Transform Force Account Road Maintenance to Contracting
Recent international trends in the reform of road management, point to the need to transform force account road maintenance services. With Force Account, funding tends to be erratic; management of equipment and its support facilities inadequate, pl...
Main Authors: | , , |
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Format: | Brief |
Language: | English |
Published: |
World Bank, Washington, DC
2012
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Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/2006/06/7065214/road-agency-can-transform-force-account-road-maintenance-contracting http://hdl.handle.net/10986/11773 |
Summary: | Recent international trends in the
reform of road management, point to the need to transform
force account road maintenance services. With Force Account,
funding tends to be erratic; management of equipment and its
support facilities inadequate, planning, supervision and
execution require high standards of staffing, quality
control may be poor; and reporting systems weak. Contracted
works have the advantages that payment of work is done to
specification, rates are known making budgeting and planning
easier, risk is transferred from the Public Sector to the
Private Sector, and the profit motive tends to promote
efficiency and reduce unnecessary waste. An International
Labour Organization study in Cambodia found that contracted
road maintenance is 24 percent cheaper than force account
and Talvitie found contracting out gave 5-15 percent in
efficiency gains. Many countries have already gone through
this process and every country has a different experience.
This paper brings a systematic approach with a focus on
situation analysis, identification of options, developing
transformation strategy, addressing social issues,
management options, and monitoring efficiency and
effectiveness of the program. |
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