In October 2006, we reported slow progress in five key UN management  reform areas—management operations of the Secretariat, oversight,  ethics, review of programs and activities (known as mandates), and human  rights. Progress on UN Management Reform Efforts Has Varied

Since October 2006, the progress of UN management reform efforts has  varied from little or no progress to substantial progress in the five areas  we reviewed—ethics, oversight, procurement, management operations of  the Secretariat, and review of programs and activities (known as  mandates). After almost 2  years of discussions that included negotiating its composition and  responsibilities, member states established an Independent Audit Advisory  Committee (IAAC) in June 2007. Since our October 2006 report, OIOS has  worked to improve the capacity of individual divisions, including internal  audit and investigations. However, UN funding arrangements continue to  constrain OIOS’s ability to audit high-risk areas, and the General Assembly  has not authorized OIOS’s financial and operational independence. The  five members of the newly created IAAC were elected in November 2007,  and the committee is expected to be operational in January 2008. Some Progress Has Been Made in Strengthening OIOS

The UN has made some progress in strengthening the Office of Internal  Oversight Services. Some Progress Has Been Made in Developing a Training Program for UN Procurement Staff

The UN Procurement Division has made some progress in developing a  comprehensive training program for procurement staff. Some progress has been made on issues involving human  resources and information technology, while little or no progress has been  made in reforming the UN’s internal justice system, reforming certain  budgetary and financial management functions, and improving the delivery  of certain services. Limited Steps Have Been Taken on the Review of UN Programs and Activities

Although UN member states agreed to continue a review of UN programs  and activities (known as mandates) in 2007, no actions have been taken to  eliminate or consolidate mandates. Various Factors Have Slowed the UN’s Management Reform Efforts

Various factors have slowed the UN’s efforts to improve the management  of the Secretariat, and many remaining UN management reforms cannot  move forward until these factors are addressed. During our review, we  identified four key factors that hinder progress on UN management  reforms: (1) disagreements among member states on UN management  reform efforts, (2) lack of comprehensive implementation plans for some  management reform proposals, (3) administrative policies and procedures  that continue to complicate the process of implementing certain complex  human resource initiatives, and (4) competing UN priorities, such as the  proposal to reorganize the Department of Peacekeeping Operations, that  limit the capacity of General Assembly members to address management  reform issues. Participation in  the United Nations report an assessment of the effectiveness of the  reforms. To assess the progress of the UN reform efforts we reviewed, we  developed the following three categories:    Little or no progress: There is evidence that few or no steps have been  taken on the reform effort. Substantial progress: There is evidence that the reform effort has been  mostly or fully implemented. 2.
Why GAO Did This Study

The United States has advocated reforms of United Nations (UN) management for many years. In October 2006, GAO reported that UN management reforms were progressing slowly and that many were still awaiting review by the General Assembly. For this review, GAO was asked to (1) determine the progress of UN management reform initiatives in five key areas--ethics, oversight, procurement, management operations of the Secretariat, and review of programs and activities (known as mandates)--and (2) identify factors that have slowed the pace of reform efforts. To address these objectives, GAO reviewed documents relating to UN management reform and interviewed U.S. and UN officials.

What GAO Found

The progress of UN management reform efforts has varied in the five areas that GAO reviewed--ethics, oversight, procurement, management operations of the Secretariat, and review of programs and activities (known as mandates). To determine the status of these reform efforts, GAO developed three categories of progress, defined as follows: (1) Little or no progress = Few or no steps have been taken; (2) Some progress = Some steps have been taken, while others remain; and (3) Substantial progress = The reform effort has been mostly or fully implemented. The ethics office has made substantial progress in staffing its office and implementing a whistleblower protection policy, as well as some progress in developing ethics standards and collecting and analyzing financial disclosure forms. Member states made some progress in improving oversight at the UN when they created an Independent Audit Advisory Committee, which is expected to be operational by January 2008. Additionally, the Office of Internal Oversight Services (OIOS) improved the capacity of individual divisions, including internal audit and investigations. However, UN funding arrangements continue to constrain the independence of OIOS and its ability to audit high-risk areas. Some progress has been made in the area of procurement, such as developing a comprehensive training program for procurement staff. However, the UN has made little or no progress in establishing an independent bid protest system. Some progress has been made in reforming management operations of the UN Secretariat, such as improving human resource functions and information technology. In contrast, little or no progress has been made in reforming the UN's internal justice system for resolving and adjudicating staff grievances and safeguarding the rights of staff members, certain budgetary and financial management functions, and the delivery of certain services. Finally, despite some limited initial actions, the UN's review of programs and activities (known as mandates) has not advanced due in part to a lack of support by many member states. Various factors have slowed the pace of UN management reforms, and a number of reforms cannot move forward until these factors are addressed. Four key factors that have slowed the pace include (1) disagreements among member states on the priorities and importance of UN management reform efforts, (2) the lack of comprehensive implementation plans for some management reform proposals, (3) administrative policies and procedures that continue to complicate the process of implementing certain complex human resource initiatives, and (4) competing UN priorities, such as the proposal to reorganize the Department of Peacekeeping Operations, that limit the capacity of General Assembly members to address management reform issues.