Aid Modalities ~ Annex 1 | Table 4

ORGANISATIONAL SUPPORT / STRATEGIC PARTNERSHIP

This modality covers a range of engagements all of which focus on support for the partner organisation or its work as a whole. It may involve core or programme funding as a contribution to the partner organisational budget and strategic direction.

A strategic partnership is organisational support where there is a long term engagement between NZAID and a trusted and important not-for-profit partner with whom we share policies, goals and values and find a mutual benefit from a formal partnership. It would likely involve collaboration to further their and our strategic organisational objectives and overall development contribution.

Aid modality characteristics

General

· Long term credible partner pursuing its own strategic direction.

· Multilateral, Regional or NGO partners (not partner governments) who have been assessed as suitable.

· Strategic Partnership may be appropriate where partner assessed as playing a strategic, critical or unique role which aligns closely with NZAID policy/strategy.

· The partnership should add value to both NZAID and the partner.

Relationships and governance

· Relationship has a life beyond the funding cycle.

· Robust/regular dialogue on issues, strategy, and approach.

If strategic partnership:

· Governance via an agreed partnership document, including regular high-level discussions.

· Partnership principles and processes should underpin all dealings with the partner.

· NZAID provides multiyear funding predictability.

Design and accountabilities

· Agency capacity assessed and supported where required.

· Accept partner strategic, operational and budgetary frameworks as the key design documents.

· Focus on higher order outcomes and impact.

· Accept monitoring and reporting used by partner for its own governance body.

· Suited to core rather than project funding.

Advantages

Risks

· Adopts and uses partner systems and supports their strategic direction.

· Can lift the focus of engagement away from project management and detail, toward common strategy, objectives, and impact.

· Avoids ‘projectisation’ of partner.

· Allows for mutual endeavour/accountability.

· NZAID is exposed to the risk present within the partner agency’s policy, politics, and management and accountability systems.

· Might lead to unhappiness among the non-strategic partners.

When to use:

Where there is strong and medium-long term alignment between the partner and NZAID

· there is a longstanding and trusted relationship, robust dialogue and a commitment to continue the relationship in the medium-term.

· the partner and the role they are playing align closely with NZAID policy and strategy.

· NZAID supports the whole strategic direction of the partner.

Where the partner is effective and supported in its capacity

· Where the partner has a history of effectiveness, reporting and accountability.

· Where the partner capacity has been assessed as meeting the key requirements, including those for a strategic partnership if sought.

· Where the partner has in place or is being supported to develop adequate governance and management, a clear strategic direction and planning framework, strong implementation capacity and financial management, an ability to report on outcomes and impact.

Where both partners see mutual benefit and can resource the collaboration

· Where there is a desire by both partners to strengthen the relationship and shift from project funding to core support and/or high level policy and strategy dialogue.

· Where NZAID and the Partner have developed a partnership framework (or Strategic Partnership Framework) or its equivalent and plan regular joint processes to review the relationship and achievements.

· Where the partner would find a move to core funding rather than project funding beneficial.