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GFM - WFP Finance Journey

Julia Mousquer

Created on August 10, 2023

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1963-2023

wfp finance

OUR JOURNEY

Embark on a 60-year journey with us through the history of WFP and its Finance function

Before we begin...

quiz

... almost there!

quiz

The Global Food Price Crisis

COVID-19 & the Nobel Peace Prize

Finance Strategy 2024

Shifting from food aid to food assistance

Funding & Beneficiaries

Operation Lifeline Sudan Saves Lives

IPSAS Implementation & WINGS II Rollout

1989...

2020...

2008...

1961...

2000...

2017...

2023...

Finance People Policy Action Plan

Decade of Humanitarian Challenges

Fostering Hope in Troubled Times

WFP is Born

New Corporate Information System

Strengthening Governance and Efficiency

The Future of Finance

Evolving the Finance Function

Integrated Road Map (IRM)

1961

WFP is born

19 60s

The director of the US Food for Peace Programme, George McGovern (on the right), proposes the establishment of a multilateral food aid programme with a fund of US$100 million in commodities and cash on a three-year experimental basis. A UN General Assembly resolution on 24 November 1961 officially establishes WFP as a joint UN/FAO effort, although it doesn’t become an organization until 1963.

1989

‘Operation Lifeline Sudan’ Saves Lives

19 80s

Leading a consortium of UN agencies and 40 non-governmental organizations, WFP air drops 1.5 million mt of food on war-torn and drought-afflicted regions of what is now South Sudan. It is the largest humanitarian airdrop in history — a dawn-to-dusk operation involving 20 cargo aircraft.

2000 to 2007

Fostering Hope in Troubled Times

20 00s

The world's poorest nations faced repeated natural and man-made crises in the past decade, and the number of humanitarian hotspots demanding assistance from WFP and the international community increased significantly. WFP distributed an average of 3 million MT of food annually, reaching a peak of 4.6 million MT in 2003 during the Iraq operation. The number of beneficiaries also grew from 83 million in 2000 across 83 operations to 86 million in 2007, with the highest outreach of 104 million beneficiaries in 2003.

2000

Launch of the New Corporate Information System (WINGS I)

20 00s

The introduction of the new corporate information system, known as Systems, Applications, and Products in Data Processing (SAP), marked a significant milestone. It represented the most extensive and intricate aspect of the Financial Management Improvement Programme (FMIP) initiated by the Executive Director in 1995.

Applications

SAP

Systems

Products

DATA PROCESSING

2000 to 2006

Evolving the Finance Function

Impacted by the global scenario, the Finance function underwent significant transformations, in search for more transparent and efficient systems. These included completing decentralization efforts, creating an Administration Department, and adopting results-based management. The donor landscape expanded to encompass the private sector and increased UN funding, including the Central Emergency Response Fund (CERF). Notably, risk management practices gained prominence in response to financial control issues in 2005/2006, prompting a drive to professionalize the Finance function.

20 00s

20 00s

2008

The Global Food Price Crisis

Soaring global food prices became a threat, exacerbating challenges like climate change, more frequent and severe natural disasters, tightening commodity markets, reduced food aid, surging energy costs and growing populations.

10

2008

Shifting from food aid to food assistance

20 00s

The WFP Strategic Plan (2008–2011) set out new and more flexible approaches, many of which were introduced during 2008. The first cash and voucher programme in Africa was designed for Burkina Faso; the first Purchase for Progress proposal was approved for Mozambique to enable small-scale farmers to access new markets. In 2010, 35 CBT projects with transferred value of USD 60 million.

11

2006 to 2008

IPSAS Implementation

The transition to IPSAS combined with significant improvements to the ERP, made it possible to provide a full attestation of the effectiveness of financial controls in WFP, crucial milestone towards enhanced accountability. It also represented a precedent-setting achievement within UN system. Led by Finance, involving cross-functional collaboration, it empowered field finance in shaping staffing skills and its stewardship over assets, commodities, staff benefit liabilities and project funds management.

20 00s

2009

WINGS II Rollout

SAP

WINGS II introduced IPSAS compliant processes and systems, including Grant Management, Fund Management integrated with projects life-cycle, fixed assets and inventory accounting, and improved HR/Payroll solution. This enhanced transparency and reporting with Financial Statements, real-time project and fund management reporting, and a KPI-tracking Financial Dashboard by RB/CO. It set up critical prerequisite for future FIN digital transformations.

LESS

WINGS II

NPO

12

PSF

2011 to 2017

A Decade of Humanitarian Challenges

In the 2010s, significant global crises unfolded. The Syria conflict's onset in 2011 triggered an enduring humanitarian emergency, while Somalia faced a famine due to a combination of drought and conflict, leading to widespread hunger. Conflict erupted in South Sudan in 2013, resulting in loss of life and mass displacement, and Yemen's intensifying conflict became the world's largest humanitarian crisis by 2015. In 2014, amidst the Ebola outbreak in West Africa, WFP provided food assistance to over three million affected individuals and aided 22,000 survivors while collaborating with various partners for logistics and support.

20 10s

13

2011 to 2016

Strengthening Governance and Efficiency

WFP bolstered its corporate governance structure, adopting global best practices like the COSO Internal Control system, resulting in the issuance of the organization's inaugural Statement on Internal Control. Simultaneously, we developed the Financial Resource Management Manual (FRMM), a WFP-specific Human Resources (HR) Manual set for release in 2012. Finance also implemented efficiency-enhancing tools like the Invoice Tracking System (ITS) and Bank Communication Manager (BCM).

20 10s

FRMM

COSO

2011

2013

2016

14

ITS

BCM

The four components of the Integrated Road Map (IRM)

2017

20 10s

Strategic Plan

Financial FrameworkReview

CorporateResults Framework

Policy on CSPs

The holistic framework, initiated in 2017, aims to help WFP support countries in eradicating hunger among the most vulnerable and food-insecure populations, while also advancing the 2030 Sustainable Development Agenda.

15

20 20s

2020

2020

WFP Awarded Nobel Peace Prize

COVID-19 Pandemic Upends World

It recognizes WFP’s role addressing hunger, improving conditions for peace and acting as a driving force to prevent the use of hunger as a weapon of war and conflict.

It deepens poverty, hunger and malnutrition among the most vulnerable across the globe. WFP adapts operations to minimize the impact on 138 million people targeted for assistance.

16

2020 to now

Finance Strategy 2024

Remote work via digitalization, emergency operations, FMM expansion with CBT

Excellence in Core Enabling Services

2020s

GPS roll-out, streamlined CBT tools like FSI assessment and FSP Due Diligence, PlugPAY

Operating Efficiency

Country Office Financial Dashboard and Special Accounts Financial Dashboard roll-out

Reporting Excellence

Finance Digital Transformation

RPAs and WSS forms launched, with a specific emphasis on AskFinance functionalities

17

Innovative Financing Solutions

Changing Lives Transformation Fund (CLTF), WFP Blended Finance Guidance Note, WFP Bridge

2022

Increasing Funding and Beneficiaries

WFP has witnessed remarkable growth in funding over the decades, with a particularly significant surge in recent years. As the world grappled with complex challenges such as climate change, conflicts, and economic disparities, donor contributions to WFP reached unprecedented levels. This influx of financial support allowed WFP to scale up its operations, ultimately benefiting a growing number of vulnerable populations around the world.

2020s

160 M

beneficiaries

109 M

83 M

beneficiaries

beneficiaries

14.4 B

4.3 B

1.8 B

18

REVENUE

2022

2000

2010

2022

Finance People Policy Action Plan

The Finance function made notable progress in its Finance People Policy Action Plan, including the completion of the FIT Pool exercise, filling 22 international Fixed-Term positions. Leadership development efforts continued with the 'Connected We Rise' women empowerment program, involving over a hundred Finance Officers. The year also featured knowledge-sharing initiatives like the Monthly Finance Talk Series, "Brown Bag lunches," job shadowing, WeLearn platform revamp, a new UN Reform information hub, and Finance Orientation workshops.

2020s

2023

FINANCE WORKFORCE

19

2010

The Future of Finance

In the near future, WFP Finance will undergo a transformative shift driven by evolving global priorities, tackling intricate financial challenges linked to limited access to food, rising commodity prices, resource scarcity, and worsened climate change. To meet these demands, we must expand partnerships, enhance our existing tools, and leverage technology for greater effectiveness and efficiency, broadening our landscapes and harnessing the power of innovation and transformation. Through this approach, FIN will continue its vital mission in a rapidly changing world.

what's next?

Transform
Automate
Innovate
Adapt

20

FIN