In addition, the Secretary-General submits proposals to the  General Assembly. Management Reform Proposals in Five Areas Are Awaiting General Assembly Review or Have Been Recently Approved

The UN has initiated reforms in five key areas: (1) modernizing the  management operations of the Secretariat, (2) improving oversight, (3)  promoting ethical conduct, (4) reviewing and updating programs and  activities, and (5) creating a Human Rights Council. In  addition, many proposed or approved reforms do not have an  implementation plan that establishes time frames and cost estimates. In July 2006, member states approved a resolution  that, according to UN officials and member state representatives, was a  positive step toward addressing several management reform initiatives. Some of the proposed or approved reforms to improve the operations of  the Secretariat do not have an implementation plan that establishes time  frames and cost estimates. Oversight Reform Proposals Awaiting General Assembly Review in Fall 2006

Reforms proposed to create an independent oversight advisory committee  and to strengthen the capacity of OIOS are awaiting review by the General  Assembly in fall 2006. Ethics Office Established, but It Is Too Early to Assess Its Impact

The UN established an ethics office in January 2006 but, as of September  2006 it continues to operate with interim staff, and some experts,  including a panel commissioned by a UN staff union to review the UN’s  internal justice system, have questioned the sufficiency of the number of  staff in the office. As the office is new and in the process of hiring permanent  staff, it is too early to determine whether the office will be able to fully  carry out its mandate. The U.S. Various Factors May Impede Full Implementation of UN Management Reforms

We identified several factors that may impede the UN’s progress toward  full implementation of management reforms: (1) considerable  disagreement within the General Assembly over their overall implications;  (2) absence of an implementation plan for each reform that includes time  frames and cost estimates; and (3) administrative guidance that may  complicate the process of implementing certain human resource  initiatives. Disagreement within the General Assembly Has Limited the Implementation of Reforms

Disagreement between G-77 and developed countries over the broader  implications of management reforms may affect the UN’s ability to fully  implement them. According to UN and member state officials, the G-77 is  concerned that some of the reforms could increase the authority of the  Secretariat at the expense of the General Assembly, thus decreasing the   G-77’s influence over UN operations. Member states disagree on some of the specifics of the  reforms in areas such as the review of programs and activities and the  details for creating the Human Rights Council, as discussed earlier, as well  as the role of the Deputy Secretary-General. Without establishing deadlines, it  is difficult to hold managers accountable for completing reform efforts. Without  determining cost estimates, it is difficult to ensure that financing will be  available when needed. According to the Secretary-General,  the General Assembly established a number of conditions for outsourcing  that severely restrict the circumstances under which it can be  contemplated. As  the largest financial contributor to the UN, the United States has taken a  leadership role in calling for improved management processes. However, progress in management reform efforts  has been slow. Appendix II: Status of UN Management Reform Initiatives

We identified and tracked the status of management reform initiatives in  five key areas—management of the Secretariat, oversight, ethical conduct,  review of programs and activities, and human rights—and identified  disagreements among member states that may affect their implementation. United Nations: Progress of Procurement Reforms.
Why GAO Did This Study

Despite various reform efforts, significant inefficiencies in United Nations (UN) management operations persist. In September 2005, heads of UN member states approved a resolution that called for a series of reforms to strengthen the organization. As the largest financial contributor to the UN, the United States has a strong interest in the progress of UN reform initiatives. GAO was asked to (1) identify and track the status of UN management reforms in five key areas and (2) identify factors that may affect the implementation of these reform initiatives. To address these objectives, GAO reviewed documents proposing UN management reform and interviewed U.S. and UN officials.

What GAO Found

Most of the UN management reforms in the five areas GAO examined--management operations of the Secretariat, oversight, ethical conduct, review of programs and activities, and human rights--are either awaiting General Assembly review or have been recently approved. In addition, many proposed or approved reforms do not have an implementation plan that establishes time frames and cost estimates. First, in July 2006, the General Assembly approved proposals to improve the management operations of the Secretariat, such as upgrading information technology systems and giving the Secretary-General some flexibility in spending authority. In addition, in fall 2006, the General Assembly will review other proposals, such as procurement and human resource reforms. Second, implementation of proposals to improve the UN's oversight capabilities, such as strengthening the capacity of the Office of Internal Oversight Services and establishing the Independent Audit Advisory Committee, are pending General Assembly review in fall 2006. Third, the UN established an ethics office with temporary staff in January 2006 that has developed an internal timetable for implementing key initiatives. However, it is too early to determine whether the office will be able to fully carry out its mandate. Fourth, UN member states agreed to complete a review of UN programs and activities in 2006, but progress has been slow and the results and time line for completion remain uncertain. Fifth, the General Assembly created a new Human Rights Council in April 2006, but significant concerns remain about the council's structure. GAO identified several factors that may affect the UN's ability to fully implement management reforms. First, although all UN member states agree that UN management reforms are needed, disagreements about the overall implications of the reforms could significantly affect their progress. Most member states are concerned that some of the reforms could increase the authority of the Secretariat at the expense of the General Assembly, thus decreasing their influence over UN operations. Member states also disagree on some of the specifics of the reforms in areas such as the review of programs and activities and the role of the Deputy Secretary-General. Second, the general absence of an implementation plan for each reform that establishes time frames and cost estimates could affect the UN's ability to implement the reform initiatives. Without establishing deadlines or determining cost estimates, it is difficult to hold managers accountable for completing reform efforts and ensure that financing will be available when needed. Third, administrative guidance, such as staff regulations and rules that implement General Assembly resolutions, could complicate the process of implementing certain human resource reform proposals. For example, according to the Secretary-General, the General Assembly established a number of conditions for outsourcing that severely restrict the circumstances under which it can be contemplated.