1. Demonstrating Value for Money is about improving aid effectiveness. “VfM is high when there is an optimum balance between all three elements, when costs are relatively low, productivity is high, and successful outcomes have been achieved.” These three elements are known as the 3Es: economy, efficiency and effectiveness. In humanitarian programming, a complementary model is sometimes useful as a basis for VfM assessments, the humanitarian VfM triangle of speed, quality and cost.
2. Essentially, VfM assessment is good programme management practice and is not particularly new. If a partner can clearly set out why they plan to programme UK funds, how they will be used, and the intended outcome, there will be enough evidence to set out why such a programme constitutes good VfM.
