 | Monitoring and evaluation (M&E) systems are the hallmark of good program management. A new wave of results-oriented programs, such as CCTs in Latin America and workfare programs in Argentina and Ethiopia, have developed and use integrated M&E, which in turn have generated robust evidence that the programs are well implemented and are achieving intended results. |
These programs demonstrate that strong monitoring systems support credible programs evaluations and that both provide feedback for improvement in productivity, effectiveness and impact. A monitoring system is an essential management tool that regularly supplies information about how well a program is working so that program managers can take action to improve the programs implementation. Monitoring is a continuous process that takes place throughout a programs life and should be an integral component of any program. A good monitoring system is comprehensive, actively used, and adapted to the country and program context. Effective monitoring systems require a strategic focus and political support more than they require costly investments in information technology. They require adequate skills, management attention, and funding and take time to develop and mature.

Program evaluation refers to an external assessment of program effectiveness that uses specialized methods to ascertain whether a program meets some standards, estimate its net results or impact, and/or identify whether the benefits the program generates outweigh its costs to society. The most frequently used types of evaluation in safety net programs are process evaluation, assessment of targeting accuracy, and impact evaluation. The value added of program evaluation is substantial, but until recently, evaluations of safety net programs have been relatively scarce in developing countries. During the last 10 years, at least minimal assessments of targeting accuracy have become increasingly available, and assessments of program impacts have become frequent for CCT and workfare programs, although they are still rare for other types of programs. Key Differences between Monitoring and Evaluation | Item | Monitoring | Evaluation | | Frequency | Is a continuous, routine activity that should be an integral component of any program | Is an infrequent undertaking | Coverage | Covers most programs | Covers a few programs | Depth of information | Identifies whether a program is being implemented as expected or whether the outcomes of the program show progress or not | Identifies the change in outcomes resulting from a program or whether the programs benefits are accruing to its intended target group | | Cost | Involves low annual costs | Involves high costs for each study | Utility | Aims at continuous program improvement and accountability | Provides information for major decisions such as starting, ceasing, expanding, or reducing a program |

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