STATEMENT ON BEHALF OF THE GROUP OF 77 AND CHINA BY MS. DAYANA RIOS REQUENA, MINISTER COUNSELLOR IN THE PERMANENT MISSION OF THE PLURINATIONAL STATE OF BOLIVIA TO THE UNITED NATIONS, ON AGENDA ITEM 132: PROPOSED PROGRAMME BUDGET FOR THE BIENNIUM 2014-2015, ENTERPRISE RESOURCE PLANNING (ERP/UMOJA), AT THE MAIN PART OF THE SIXTY-NINTH SESSION OF THE FIFTH COMMITTEE OF THE UNITED NATIONS GENERAL ASSEMBLY (New York, 6 November 2014)

Mr. Chairman,

1. I have the honour to speak on behalf of the Group of 77 and China on agenda item 132: Proposed Programme Budget for the Biennium 2014-2015, in particular Enterprise Resource Planning (ERP)/ UMOJA.

2. We thank the Under-Secretary-General for Management, Mr. Yukio Takasu for introducing the Secretary General's Reports on the Sixth progress report on ERP/UMOJA (A/69/385). We also thank the Director of External Audit of the United Kingdom of Great Britain and Northern Ireland and Chair of the Audit Operations Committee, Board of Auditors, Mr. Steven Townley, for introducing the Third annual progress report of the Board of Auditors on the implementation of the Enterprise Resource Planning System- UMOJA (A/69/158), as well as the Chairman of the Advisory Committee on Administrative and Budgetary Questions, Mr. Carlos Ruiz Massieu, for introducing the related report of the Advisory Committee (A/69/418).

Mr. Chairman,

3. The Group of 77 and China has always been supportive of management reform initiatives aimed at increasing the efficiency and capacity of the Secretariat in delivering better results for the Organization.

Mr. Chairman,

4. The Group of 77 and China welcomes the progress achieved with the deployment of Umoja Foundation at 14 peacekeeping operations, the United Nations Logistics Base in Brindisi, Italy, and the Regional Service Center in Entebe, Uganda, on 1 November 2013, and at 14 Special Political Missions, the United Nations Truce Supervision Organization and the United Nations Military Observer Group in India and Pakistan, on 1 March 2014. Also, the Group welcomes the deployment of the integration of UMOJA Foundation and Extension 1, in pilot format, at the United Nations Stabilization Mission in Haiti (MINUSTAH) on July 2014. These achievements are particularly important in view of the difficult situation the project faced since its inception. Furthermore, the Group notes actions taken to strengthen the governance arrangements for the project in response to General Assembly resolution 66 246.

5. Despite the progress obtained, the Group remains concerned by the significant challenges and risks faced by the project, as pointed out by both the Board of Auditors and the ACABQ. Organizational readiness, delays in the implementation of project schedule, building the necessary in-house expertise, cost escalation projected for the remaining phases of the project and the lack of a consistent delivery and benefits plan. The Group intends to receive more information from the Secretariat during the informal sessions regarding these and other issues.

6. The Group is also concerned with the post-deployment issues: Accountability, resources required, inconsistency of process between locations, level of coordination throughout the Secretariat, as well as, shortage of trained experts in many missions, which is delaying the project . The Group takes notes of the establishment of the post- implementation review task force and the UMOJA Academy by the steering committee to tackle emerging problems and achieving successful project delivery. Lessons learned from these initial steps are fundamental for strengthening the implementation of the project.

7. In following its deployment, we also look forward to receiving detailed information on the continue roll-out of Umoja Foundation in departments based in New York and an update on the status of preparedness of future implementation of the project's functional phases. Systems with as large an investment such as UMOJA and the purpose of which is manifestly to harmonize and improve efficiencies must decidedly meet all needs of relevant systems alignment across departments and offices including for purposes of tracking of allocation and expenditure for cross cutting themes of declared priority to the organization and the Member States such as youth, gender, environment and others.

Mr. Chairman,

8. The Group concurs with ACABQ and the BOA on the importance of a detailed and consistent approach to benefits realization plan. More clarity on how data from ERP will be used to deliver benefits and on the potential impacts of more efficient and effective administration processes necessary for a better understanding of implications of the implementation of ERP.

9. As recommended by the ACABQ, the Group stresses the importance of providing Member States with comprehensive, high-quality, accurate and timely information to facilitate consideration and decision- making on administrative and budgetary proposals.

Mr. Chairman,

10. The Group takes note of the information presented by the Board of Auditors on the roll out of UMOJA Foundation to peacekeeping operations and special political missions as well as the status of the project as at 31 May 2014. The Group is concerned by the considerable weaknesses detected in the initial phases of the project, which led to ineffective and inefficient use of resources. Management failures that caused delays in the implementation of the project and contributed to its cost overruns. The Group will follow this issue closely and will look for assurances that similar problems do not reoccur in the project or in other initiatives.

11. The Group reiterates that a strong leadership and coordination are key to successfully manage and deliver of such a complex organization-wide business transformation. In that regard, we welcome the information provided on the future Umoja support team, but we share ACABQ's concern on the risks of dismantling the project team prematurely.

Mr. Chairman,

12. The Group of 77 and China will constructively participate in the discussion of this very important agenda item in the coming days.

Thank you.