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 Duration 21 hours

Course Outline

Introduction to Cost-Effectiveness Analysis

  • The strategic value of cost-effectiveness in public administration
  • Differentiating cost-effectiveness from other evaluation methodologies
  • Defining policy alternatives and framing decision-making inquiries

Identifying and Measuring Costs

  • Direct, indirect, and opportunity cost considerations
  • Strategies for cost classification and resource allocation
  • Utilizing cost data in comparative assessments for government operations

Identifying and Measuring Outcomes

  • Outcome categories relevant to public sector contexts
  • Quantifying performance metrics, benefits, and programmatic impact
  • Integrating qualitative outcomes into structured analytical frameworks

Cost-Effectiveness Ratios and Comparative Analysis

  • Calculation and interpretation of average cost-effectiveness ratios
  • Deriving incremental cost-effectiveness ratios for marginal analysis
  • Applying ratio-based insights to support evidence-based decision-making

Decision Frameworks and Analytical Techniques

  • Implementation of decision matrices and standardized scoring systems
  • Conducting sensitivity testing on critical variables
  • Developing scenarios and comparing alternative policy options

Uncertainty, Assumptions, and Validation

  • Addressing data limitations and information asymmetries
  • Testing the robustness of cost and outcome inputs
  • Validating analytical conclusions for stakeholder oversight and review

Presenting and Communicating Results

  • Structuring comprehensive evaluation summaries for executive audiences
  • Visualizing comparative data to highlight key insights
  • Substantiating policy recommendations with empirical evidence

Applied Workshop: Completing a Full Cost-Effectiveness Assessment

  • Analyzing a multi-option policy or program scenario
  • Executing end-to-end analytical procedures for government contexts
  • Producing a decision-oriented evaluation report

Requirements

  • A foundational understanding of financial or analytical concepts
  • Experience in evaluating project options or policy alternatives
  • Familiarity with basic quantitative reasoning methods

Target Audience

  • Professionals engaged in policy and decision analysis
  • Managers responsible for evaluating project or investment options
  • Analysts supporting business, technical, or policy decisions for government agencies

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