LOOKING OUTSIDE THE PM STANDARDS WORLD: THE LOGICAL FRAMEWORK APPROACH

The previously discussed standards offer a generic project management approach (i.e., applicable for all project types) and do not consider differ­ent contexts (e.g., industries or project types) (Garcia 2005).

The participative process design of the LFA is based on a participatory analysis (stakeholder

analysis) as first step of the initiation process. All important stakeholders are invited to participate in the process and contribute actively to the deci­sion regarding the realization of an investment. The LFA defines important stakeholders as all organizations and individuals that are necessary to fully understand the investment and/or that have an interest regarding the investment. Each stakeholder has the possibility to define investment ideas and to share his/her opinion.

In the LFA a more holistic cost benefit analysis considering economic, social as well as ecologic principles described. The cost benefit analysis described in the LFA defines the following criteria: total costs, benefits to main stakeholder, probabil­ity of achieving objectives, and social risks (Norad 1999; The World Bank 1997). Furthermore, the LFA defines following possible additional criteria (See Table 4).

A central value of the LFA is transparency. Problems, causes and effects are analyzed and communicated to the stakeholders. This open and transparent communication form leads to a more holistic investment decision because the identified problem, cause and effects can be considered in the decision.

Values like participation, transparency and acceptance are very important in the LFA. No decision is done without the confirmation of the stakeholders. A high social responsibility about countries but also about the stakeholders itself is observable.

The described cost benefit analysis in the LFA is a potential to further develop investment analysis methods for other project types. Nevertheless, one limitation of the LFA is its focus only on the project initiation and not the consideration of managing the whole investment life cycle.