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Content of TOR
The development of Project Terms of Reference is required for making the
decision on whether or not to allocate necessary funds to a proposed project. It is the
result of the project proposal process, and TOR serves as the primary report of this
process. TOR is usually required for:
Pre-feasibility and feasibility analyses
Appraisal activity
Implementation contracts designing and monitoring
Evaluation studies
Reporting and audit
Other advisory work required at any project stage
Considering the listed items, the content of Project Terms of Reference should include
business-critical information necessary for starting, implementing and monitoring
project activities. Meanwhile, the exact content of TOR varies from project to project
and significantly depends upon the scope of a proposed project.
The Background section of a TOR template usually includes several paragraphs which
address the following issues:
Work Type/Project
Generic Objective
Stage
– Audit To ensure the project remains relevant and reasonable in legal, econom
3. Issues
Any project involves a number of issues and problematic areas that must be addressed
in order for the project to be implemented smoothly. The issues are the points of
discussion or dispute throughout the project lifecycle. They cover any concern, query,
request for change, or anything else that requires a resolution during the project.
Unresolved issues may cause project failure.
The Issues section of a TOR template should highlight key issues to be studied and
disputed at every stage of the project lifecycle. Usually TOR includes a range of
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evaluation criteria to be used for issue analysis and solving. Here are generic
issue evaluation criteria for most projects:
Efficiency – this criterion determines how well a given activity transforms
available resources into desired outputs in terms of quantity, quality and time
Relevance – it help analyze whether a given activity is being performed with the
desired benefits
Effectiveness – it concerns how far the project’s outputs have been utilized and
whether the project’s purpose has been realized
Impact – this measure helps figure out the extent to which the project’s benefits
received by the target audience have an overall effect on larger numbers of people
concerned
Sustainability – this criterion identifies whether the project’s positive outcomes will
continue after funding ends.
4. Methodology
The implementation methodology of a project provides a set of broad principles and
rules from which specific procedures will be derived in order to define how to carry out
the project in a cost-effective way. It describes the main methods of project
implementation.
The Expertise section of a Project Terms of Reference template should identify the
following: