* This content is starting part of Introduction section of this book.

After the 1997 Financial Crisis in Korea, the Korean government has been trying to reform the public sector and enhance the overall efficiency of public finance. The Ministry of Planning and Budget (MPB) has specifically focused not only on control of the input but also on the outcome of expenditure, as well setting a new goal for budget management. The MPB has adopted a series of integrated (ex-ante, intermediate, and ex-post) quality control efforts for public expenditure management during the past several years.

On ex-ante level, the MPB has been carrying out preliminary feasibility studies to raise efficiency in the decision-making process of major public investment projects since 1999. In order to mandate as well as conduct research and operational management in implementing preliminary feasibility studies, the MPB established the Public Investment Management Center (PIMA) at the Korea Development Institute (KDI), and has thus far carried out preliminary feasibility studies of one hundred and twenty projects with PIMA. PIMA organizes a separate team for each project where related experts of scholars, private research organizations and other government think tanks take part to evaluate major issues. Based on results of their preliminary feasibility studies, the MPB ruled to withhold or temporarily stop 66 projects out of 120 projects that were studied during the period of 1999-2002, while all projects except one during the previous 20 years prior to introduction of the preliminary feasibility study system, had received approval on their feasibility. The change in the study results proves that preliminary feasibility studies are markedly different compared to the past practice of superficial studies that only served as a cover for justifying selected projects.

However, the introduction of an ex-post evaluation system is still at its early stage in Korea. Although the government has been developing new architectures/frameworks of ex-post evaluation system such as performance-based budgeting and inspection of implementation completion, there are several areas where more effective and efficient evaluation of public projects and/or programs can be implemented. In response to the need to improve the effectiveness and efficiency of projects and/or programs by evaluating their goals and achievements, this is a timely opportunity to introduce a more systematic and integrated performance evaluation system in Korea. This particular volume, "Developing a Performance Evaluation System in Korea," is aimed at providing directions and strategies for the introduction of performance evaluation system in Korea, with an opportunity to share experiences and methodologies of the World Bank and OECD member countries. The volume is initiated for the purpose of compiling the status of the system in advanced countries and institutions, and examining major items of improvements needed for realistic introduction of the ex-post evaluation system. Although different evaluation methodologies could be applied for budget projects of different countries depending on the nature of projects, the volume focuses on presenting an evaluation methodology that can be applied in the most general way.

The volume comprises of the papers presented at the international workshop with the World Bank and OECD "Developing a Performance Evaluation System in Korea" (September 17-18, 2002), sponsored by the Korea Development Institute. The workshop was held at the KDI Conference Hall in Seoul.

Preface
Contents
Contributors

　I. Introduction and Overview

PartⅠ Experiences of Performance Evaluation and Approach to Evaluation of the World Bank and OECD
　II. Lessons and Challenges for Performance Evaluation
　III. OECD Experiences on Evaluation and Decision Making
　IV. The World Bank's Evaluation Experience : Evolution and Lessons

Part II. Performance Management and National Evaluation Policy : The Australian and Danish Experience
　V. Performance Management and Evaluation : The Australian Experience
　VI. National Evaluation Policies - Lessons from the Danish Approach

Part III Performance Evaluation System in Korea
　VII. The Emerging Performance Evaluation Architecture for Korea
　VIII. A Cost-Benefit Analysis of Vocational Training Program in Korea
　IX. A Framework of Financial Performance Analysis under the Accrual-based Governmental Accounting

Part IV Round Table Discussion and Rapporteur's Summary and Conclusions
　X. Round Table Discussion
　XI. Rapporteur's Summary and Conclustions