The Path Forward
home-1
home-2
home-3
home-4
home-5
home-6

USAID/Nepal’s Change Management Journey

In November 2021, USAID Administrator Samantha Power laid out a transformative vision for inclusive sustainable development that would allocate more resources to local actors and organizations and integrate local voices into all parts of USAID programming. Localization involved not only financial allocations but also a shift in power, decision-making authority, and leadership to the local level across all program phases. At the same time, the Agency was also beginning implementation of the DEIA Strategic Plan, establishing the Office of the Chief DEIA Officer and making other strategic shifts to move the Agency towards a DEIA vision. This site documents how USAID/Nepal has worked towards these two, interlinked goals, including achievements, challenges, and lessons learned along the way.

Overview
Timeline
Emotional Journey
Decoding Emotions
Facts and Figures
Themes
Path Forward

This webpage documents the evolution of change management processes within USAID/Nepal, particularly in response to the Agency’s strategic shifts towards emphasis on Diversity, Equity, Inclusion, and Accessibility (DEIA) and localization. The primary aim of this webpage is threefold:

1
overview-1

To provide a comprehensive account of the changes implemented by USAID/Nepal.

2
overview-2

To take stock of Mission staff members’ reflections and emotional experiences throughout this transformative process.

3
overview-3

To disseminate the insights from USAID/Nepal change initiatives across the broader Agency.

USAID Learning For Development conducted a series of consultations from August to October 2023 across USAID/Nepal for this documentation. The data collection approach was sequential and iterative:

Desk Review: A review of relevant documentation related to localization and DEIA initiatives, including strategies, notes and slides from internal meetings and workshops, and data on funding and staffing.

Empathy Mapping: To gain deeper insights into the emotional landscape of the Mission staff during periods of change, we conducted an empathy mapping exercise across all 10 USAID/Nepal offices, engaging 88 staff members. This exercise explored staff members’ initial thoughts and feelings upon the introduction of localization and DEIA, their observations during ensuing changes, and their current perspectives and actions. Each session began with a video from the Mission Director to help set the session’s intention.

Focus Group Discussions: Building upon the insights garnered from the empathy mapping sessions, we conducted 5 FGDs with 41 staff members to explore staff reactions, experiences, and suggestions in depth.

Direct Observation: USAID Learning for Development attended relevant events and meetings occurring during the documentation process such as Insights Workshops, the 2023 Inclusive Development Learning Summit, and portfolio reviews to directly document these parts of the change process.

Key Informant Interviews: We conducted 15 purposely selected key informant interviews with past and present USAID/Nepal staff members who were closely involved in the design and execution of change initiatives including staffing, FSN empowerment, budgeting, DEIA initiatives, and localization.

Stakeholder Consultations and Survey: We conducted seven in-person interviews with government counterparts from the following ministries:

  • Ministry of Finance

  • Ministry of Federal Affairs and General Administration

  • Ministry of Health and Population

  • Ministry of Education, Science, and Technology

  • Ministry of Energy, Water Resources, and Irrigation

  • National Statistics Office

2021 DEIA Workforce Planning Localization FSN Empowerment 2022 2023 Staff Care team comes from DC to listen, help team members manage stress, and facilitate difficult conversations. MAY Pre-award consultations, releasing solicitations in Nepali, bringing local government and organizations together all helped open up the procurement process. Local partners need additional support during both pre-award and implementation, ranging from things like incorporating costs for quarterly travel to Kathmandu to attend partners meetings to the importance of due dates for deliverables. Lessons Learned 58 attendees from local organizations, 66% of whom have never done business with USAID. USAID compiles a of 102 local organizations. Achievements database The Agency-level DEIA trainings did not address DEIA within the Nepali context (caste, ethnicity, religion). Challenge Initially, there was a lack of common understanding of DEIA and localization, and how they differed from concepts like GESI and previous initiatives like the Journey to Self-Reliance. Challenge Morale is impacted by increased workload, loss of transportation services for FSN staff, and perceived limited opportunities for advancement. Communication around this is viewed as lacking empathy. Challenge JAN-FEB Localization is part of annual portfolio reviews, centering it as a priority for the Mission. SEP The Mission starts to map out baseline data on staff diversity, using proxies like hometown to address concerns with collecting or analyzing private information. Progress includes: • Reduced delays in activity clearances through an , enhancing transparency. • Empowered Office Directors are able to approve awards up to $1 million. • 30-40% reduction in number of PPR indicators. Achievements electronic clearance system Engaging in open dialogue about DEIA and privilege is difficult, and for some, this spurs difficult conversations that the Mission has not had before. Others chose not to engage. Challenge JUL-NOV Inclusive Development Learning Series to promote better understanding of DEIA in the Nepali context. MAY USAID’s new DEIA strategic plan goes into effect. APR - AUG Strategic Workforce Planning 1.0 begins to align the Mission workforce with the 2020-2025 CDCS. FEB-JUL RISE training on DEIA rolled out Agency-wide JAN-JUL The Program Office creates tools for localization planning, including a budget forecast exercise with Technical Offices, barriers and risk mapping, mitigation strategies, and a rapid assessment for a localization support contract. JUN-SEP To enhance outreach and dialogue with local partners, the Mission holds co- creation workshops, reverse industry days to identify barriers, and a rapid assessment of local NGOs to understand the landscape. SUMMER The Mission analyzes the additional staffing needs of the localization target, which, in combination with a focus on DEIA, is known as Workforce 2.0. JAN The USAID Advisory Committee (UAC) holds consultations with Technical Offices on how to support FSN empowerment. UAC’s work plan includes improving career progression for Nepali staff. JAN Staffing 2.0 kicks-off. JAN Burden-busting hackathon, identifying top burdens and how to address them. MAR-AUG Change Management journey workshops facilitated by Insights. MAY Localization Brief Back to share progress to date. OCT Pause, Reflect, and Act Session to revisit challenges and mitigation. JUN Local Works awards made. NOV - DEC USAID Administrator Samantha Power sets the vision for localization. NGO challenges in Nepal include restricted operational areas based on registration, government-civil society tensions. USAID is perceived as less approachable by potential partners. Lessons Learned Surge in applications lengthens recruitment. Despite USAID's equal opportunity stance, historical inequities persist, with top candidates often mirroring the status quo, especially when English language proficiency is required. Challenge The commits USAID to improving DEI throughout the Agency, outlining the following three main goals: • Diversity: Enhancing diversity throughout the Agency. • Equity: Enhancing inclusion and equity for everyone in   the workplace. • Inclusion: Strengthening accountability for promoting   and sustaining a diverse workforce and an inclusive   Agency culture. Agency’s DEI strategy Following the development of the new , USAID conducted a Strategic Workforce Analysis to identify internal staffing needs to fulfill the CDCS goal. This resulted in the approval of 18 new positions. CDCS USAID Administrator Samantha Power at Georgetown University outlining a vision for inclusive, sustainable development. USAID/Nepal aims for 40% of awards directly to local entities by 2025, surpassing the 25% Agency-wide goal. delivers a speech USAID expanded access to a wide range of DEIA-related training for the staff through an innovative virtual training program to help advance respectful, safe, and inclusive environments in USAID’s workplace and programs by building staff awareness and capacity around core themes such as: • Defining respect and civility • Employee accountability • Preventing harassment and misconduct, including   sexual misconduct • Promoting inclusive development and safeguarding in   USAID’s programs • Promoting diversity and inclusion • Advancing safety and security • Promoting staff wellness and resilience USAID/Nepal completely revamped the activity design process to emphasize localization through local stakeholder consultations and co-creation throughout the design process. This included: • Reducing the concept phase to a three-slide   presentation, • Creating a pre-obligation checklist, and • Developing an to make each   design phase easier.  Additionally, the Strategy Portfolio Reviews prioritized localization. Activity design toolkit The USAID Roadshows saw participation of 280-300 people from five different provinces. The Mission conducted Reverse Industry Day and Co-creation workshops to better understand the barriers of working with USAID for potential local partners. EXO consulted with each Office to understand what each team needed in terms of staffing to achieve the 40% localization goal. One new approach adopted in Workforce 2.0 was to create several full-time positions that would be completely based in the field. Under the COVID-19 addendum to the Locally Led Development APS, USAID solicited proposals from local organizations to promote long-term resilience among marginalized communities. This resulted in five awards across the Health, Economic Growth, Environment and Resilience, and Democracy, Rights, and Governance sectors. UAC led creation of the Mission’s . The plan promotes a progressive, sensible management system that attracts a diverse workforce, fosters and retains talent and enables a stronger partnership between local and American staff. The four priorities of the FSN empowerment work plan include advocating for career growth opportunities and creating more ladder positions for local staff members. Currently, 70% of the USAID/Nepal staff are local. action plan on FSN empowerment Forty-two staff, representing all 10 Offices, participated in a  Burden Busting focused on: • Understanding the Problem (what is causing this   burden?) • Mapping the Problem • Envisioning the Ideal Outcome and Process • Identifying Specific Actions to Get to the Ideal Outcome Eight small groups spent two hours tackling areas they had identified as major drags on efficiency, including long clearance periods, delegation of authority, too many meetings, inadequate support for career development, too many PPR indicators, lack of prioritization, paperwork for leadership and VIP visits and events, and the activity design process. Hackathon The Mission rolls out Staffing 2.0 with 38 new positions approved. USAID boosts outreach with Nepali-language job ads, local fairs, and community advertising. Revised descriptions prioritize inclusivity by revising education, experience, and language requirements, emphasizing soft skills over technical expertise. These are intended to help the Mission embrace differences, articulate what change is needed, better understand communication preferences and  leadership  styles, map change to date, and make recommendations for the way forward. This included “Color Energies” sessions where staff members attended workshops and conducted assessments to develop mutual understanding. This was an opportunity to communicate achievements and learning from localization to date. Each Office shared summaries of the progress to date and top lessons learned, which are highlighted throughout this timeline. Mission-wide session The purpose of was to share across the Mission what USAID/Nepal had achieved to date and identify continued obstacles to localization along with potential solutions. Discussion highlights include: • Continued challenges in the operating environment for   local NGOs–the government considers local NGOs as   disruptors, the Social Welfare Council requires fees that   are an unallowable expense for USAID–and need to   engage with government, civil society, and partners to   resolve issues. • Internal USAID procurement processes are complex and   targeted at international organizations, so there is a   need to simplify processes and update ways of working   to be more hands-on and locally tailored (such as Nepali   language RFAs). • Local NGOs need to grow their governance capacity. The   Localization Support Mechanism will support this once   awarded, but other factors, such as salary differences   between local and international NGOs, might also be at   play. • Activity design is cumbersome and lengthy; potential   solutions include auditing the required documents,   smaller design teams with well-defined roles, more   realistic timelines, and Office Director-level   clearances for smaller awards. this event The Learning Series on focused on intellectual/conceptual and emotional clarity on inclusion and included a diverse set of speakers who discussed their lived experiences; around 40% of staff took the opportunity to engage in DEIA during this series. This was followed by a November 2023 , which was intended to combine people’s reflections on how they could contribute to an inclusive workplace with USAID’s inclusive development goals. Inclusion and Equity in Programming Inclusive Development Learning Summit
Positivity and Opportunity
Neutral/Mixed Emotions
Concern
Loss and Attachment
88 staff members across 10 Offices participated in empathy mapping exercises from August to October 2023. The empathy mapping tool enabled staff members to describe the different emotions they felt during the initial, mid, and current stages of change related to localization, DEIA, and associated initiatives. We analyzed the data from these sessions in Taquette and NVivo, resulting in four themes: Positivity, Concern, Loss, and Neutral emotions. These are presented below with the percentages during each stage (Starting point, Midpoint, and Now), along with illustrative quotes representing the most common views people expressed. Mid Point “There’s lots of talk, but no real changes.” “DEIA emphasis on D, EIA is ignored.” “Plans for staffing surge without real discussion on topics.” “Recycling past policies, we need to understand the challenges of implementation at the Mission level.” “Too many meetings, lengthy design processes.” “Workforce 2.0 decisions were largely made without meaningfully consulting with FSNs.” Frustration 37% “Happy to see that staff who would usually not have the opportunity to go to field are getting the chance to go and grow.”  “New processes are put in place after careful planning.”  “Commitment to change from Senior Management felt encouraging.”  “Participated in lots of discussions, co-creations, felt like I learnt a lot.”  “Seeing growing interests around FSN empowerment, waiting for its spirit to be realized.”  “A series of meetings and preparations made staff helped with understanding the process and confidence in the changes. Agency is also making efforts on changing the policies it used to have.” Optimism 26% “I feel anxious, government-to-government work is so complex.” “More staff, more designs, no change in policies as such though the process has been changing.” “Crucial things such as what localization is, what G2G is, what DEIA is has been left for individual interpretation, which is causing so much confusion among staff.”  “Change initiatives like Workforce 2.0 have been great, but how will change in leadership change priorities?” Apprehensive 26% “There are both risks and opportunities to localization.”  “Looking forward to clear objectives of change management, lots of surprises in the last couple of years.” “There is both resistance and curiosity to change”  “I have mixed emotions about everything related to the changes.” Uncertainly 10% Starting point “I feel frustrated by yet another initiative.”  “More work for all, more responsibilities, this is not going to be easy.”  “Systems are too bureaucratic to implement the new ideas.”  “Confused about why and how USAID was defining DEIA. Sad that USAID was disregarding the interests and aspirations of its internal staff.” Irritated 18% “I was confused but excited.”  “The initiatives to follow sound exciting, but implementation is going to be challenging.”  “Excited but skeptical about how this is different from prior efforts like USAID Forward.” Cautious 20% “How will this actually be implemented?”  “Will these changes last with changes in administration?”  “I feel the 40% localization target is very ambitious.”  “How will this benefit the staff? ”  Apprehensive 23% “I believe in this goal!”  “This is a wonderful opportunity for me to learn and grow.” “I feel like this is an encouraging step towards the development of Nepal.” “I’m excited that USAID is finally moving towards localization in a true sense.” Happy and Excited 39% After two years, people have begun to see successes, and feelings of achievement were more prominent. At the same time, many also continued to express concerns, burnout, and feelings of being sidelined. Now *As of data collection from September 2023 – November 2023 “Feeling good, like positive change is possible.” “Contributed to develop toolkits, positive discussions on how to maximize team expertise and contribute to the process.”  “Happy to learn my energy color and which color needs to dialed up or down.”  “Tried different ways of communicating, sought help both internally and externally, continuously reflected on why this is important.”  “Advocating for more local awards in my office.”   “Reading more documents, understanding these concepts by participating in workshops and training etc.” Accomplished 53%  “I’m exhausted, stretched, and overwhelmed.”  “Not every office is ready to take on G2G.”  “Started being quiet because speaking up means getting challenged.”  “During meetings with external partners, they judge our plans and preparations.”  “For DEIA, I felt there should be more discussions around this shift, but there was no safe space.”  “I feel like I am taking on a huge amount of unnecessary work.” Unseen and Unheard 22% “What if the changes go away with a new administration?” “How are we learning, documenting lessons learned?”  “New recruits will need at least a year to reach optimum level of productivity by that time. What if the focus on localization changes, what will happen then?” Worried 13% “Cautious optimism.”  “While interacting, we need to be mindful of the opposite person’s color as well, change is slow.”  “Trying to listen more to FSN perspective on things.”  “A lot has been done and a lot needs to be done.” Cautious Optimism 12%

Change is not just about process and outcomes–change is about people, and change management processes thrive and fail based on how the people involved are engaged. On this page, we present the findings from ten Empathy Mapping sessions, which took stock of how staff members felt at different phases (Starting Point, Mid-way, Now) of the change management process.

People experienced different emotions at different stages, and generally followed a curve similar to most change management processes, with more positive emotions early and late with more negative emotions in the middle.

Image Credit: Kubler-Ross Framework for Stages of Grief

Think & Feel
(Starting Point)

Out of 90 responses received and analyzed, at the starting point of the change management, 39% expressed positivity, while 23% voiced concerns. 20% gave neutral or mixed responses and 18% indicated a sense of loss and attachment. Click on each circle to see more details.

Positivity and Opportunity
Out of 90 responses, 39% expressed positivity.
The respondents navigating change within the Mission were genuinely hopeful and eager for what lay ahead. They saw this as an opportunity for learning and growth, and were excited about working more closely with government and local organizations. The general perception of localization and inclusive development was seen as an opportunity to bring sustainable solutions and a more inclusive culture. While there was eagerness, respondents also recognized the need for hard work and ongoing evaluations to make sure things progress well. Overall, there was a shared sense of unity and readiness to embrace the changes with optimism and enthusiasm.

Neutral/Mixed Emotions
20% of the responses were neutral
From these responses, there was a sense of both hopefulness and wariness, with individuals acknowledging the importance of adaptation while also expressing doubts about the feasibility and long-term impact of the changes. Additionally, there was confusion surrounding the novelty or the initiatives and how they differ from past efforts.

Concern
23% voiced their concerns
These responses reflected skepticism about the longevity of initiatives, especially from many who have worked for USAID for a long time, and worry about how to practically achieve goals given USAID rules and regulations. There was a sense of uncertainty on how staff members would build additional skills for a new style of working with different stakeholders. Confusion surrounded the complexity of DEIA implementation and its perceived benefits, especially regarding staff empowerment and local capacity building. Overall, there was a palpable sense of uncertainty and confusion, emphasizing the need for clearer guidance, practical solutions, and effective communication strategies.

Loss and Attachment
18% of the responses were that of loss and attachment
The responses showed a sense of frustration with re-introducing what some perceived as the same concept as the Journey to Self-Reliance and other past initiatives. Many felt overwhelmed and skeptical about the efficacy of diversity, equity, inclusion, and accessibility (DEIA) initiatives, and didn’t clearly see how this differed from GESI. Respondents also questioned the Agency’s commitment and saw the ambitious localization funding goal as top-down and impractical. Overall, there was a prevailing sense of skepticism, stress, and disillusionment surrounding the change management process.

See & Hear
(Midpoint)

Out of 108 responses received and analyzed, at the midpoint of the change management process, 37% indicated a sense of loss and attachment, while 26% voiced concerns. 27% expressed positivity, and 10% expressed neutral or mixed sentiments.

Positivity and Opportunity
27% of responses reflected positivity and opportunity
There was recognition of increased engagement with local stakeholders, including co-creation events and more government-to-government activities. This group perceived management as supportive, and were appreciative of initiatives like Workforce 2.0 and DEIA receiving attention. There was a sense of hopefulness and enthusiasm among many, with staff members appreciating the opportunity to engage in discussions and learning initiatives to help prepare for the new way of working.

Concern
26% were concerned
While respondents were eager for change, barriers and challenges were apparent. Confusion and anxiety arose regarding the practical implementation of initiatives like working directly with government and DEIA. Concerns also centered around the feasibility of new ideas and meeting USAID standards and bureaucratic complexities. Moreover, uncertainty loomed over the long-term sustainability of efforts like DEIA and localization. Disparity in understanding key concepts (specifically DEIA) further compounded confusion.

Neutral/Mixed Emotions
10% were neutral or mixed
There was excitement and anticipation surrounding the localization initiatives, with the Mission showing genuine enthusiasm. This was combined with a sense of uncertainty and apprehension among some, particularly regarding the clarity of objectives and the surprises encountered during implementation. Despite these mixed emotions, there was acknowledgement of the seriousness with which the Front Office was approaching change.

Loss and Attachment
37% felt loss and attachment
There was a prevailing sense of discontent with the current state of affairs, characterized by a lack of clarity, mistrust, and perceived sidelining of current staff, such as prioritizing external candidates for new leadership positions. Further concerns about the implementation of DEIA initiatives, staffing changes, and the overall direction of the Mission are prominent, with many feeling unheard and excluded from decision-making processes. Additionally, many voiced fear of repercussions for voicing dissent or questioning the status quo. Overall, the prevailing atmosphere was one of discomfort and uncertainty, with individuals grappling with various challenges and anxieties as the change process unfolds.

Say & Do
(Now) *As of data collection from September 2023 – November 2023

Out of 95 responses received and analyzed, 53% expressed positivity, 22% indicated loss and attachment, 13% voiced concerns, and 13% had neutral or mixed sentiments.

Positivity and Opportunity
53% reflect positivity and opportunity.
As the change management process progressed, there was a growing sense of optimism and readiness among individuals. They recognized the importance of initiatives like DEIA and localization, actively participating in training and discussions to understand and apply these concepts. Despite challenges and uncertainties, there was a collective commitment to adapt, learn, and work together towards meaningful progress.

Concern
13% were concerned
While some were starting to grasp the Mission’s objectives and adapt to new practices, others remained confused and overwhelmed by the challenges. Concerns lingered about the long-term sustainability of the changes, especially with the potential for shifts in administration priorities. Additionally, there was a recognition of the need for ongoing learning and documentation of lessons learned, as well as building the evidence base for localization, to ensure effective implementation.

Neutral/Mixed Emotions
13% were neutral
Individuals expressed a sense of cautious optimism. They emphasized the importance of understanding each other’s perspectives and adapting to change slowly and carefully. While acknowledging positive policy leadership and efforts to incorporate DEIA, there were also concerns about the effectiveness of these efforts, particularly in addressing education requirements in hiring processes etc.

Loss and Attachment
22% expressed loss and attachment.
Some staff members felt unprepared for government-to-government engagements, while others perceived USAID rules and regulations as incompatible with the mission of localization. There were criticisms regarding the organization of inclusive learning sessions and a gradual decrease in willingness to engage in difficult conversations due to perceived challenges and lack of receptiveness. Some individuals felt unheard or marginalized, leading to a sense of disillusionment and exhaustion. People expressed desire for clearer communication, team collaboration, and more support from leadership.

Part of USAID/Nepal’s focus on localization and FSN empowerment has entailed targeting a more diverse staff composition.

USAID/Nepal Locally Employed Staff Composition

Staff Home Districts

To understand the diversity of the Mission staff composition, USAID/Nepal used home district as a proxy indicator, which stands in for less accessible data on ethnicity. The map below shows that the majority of staff are from the Kathmandu Valley area. Between 2022 and 2023, the Mission made gradual gains in increasing diversity of where people were from, such as increasing the number of staff from Koshi Province by 40% and Madhesh Province by 20%. 
The Mission has been living the values of localization through an increase in local awards and in overall funding for local organizations. This increased from 2.8% in FY22 to 4.3% in FY23, but is expected to increase further to nearly 37% of funding in FY24 as awards currently under design are made–the Mission anticipates 16 new local awards and five new government-to-government awards in FY24, compared to 13 awards open to international organizations.

Localization and G2G Funding

New and Anticipated Awards

The feedback from USAID/Nepal on the change management process demonstrated two overarching themes:
the tension between change and USAID's regulations and processes, and the importance of clear, empathetic communication.

The balancing act between USAID rules and regulations, which can be inflexible; the vision for rapid change, which requires a new way of working and thinking; and people, who are sometimes caught in the middle.

Effective communication–including empathy, transparency, consistency, timeliness, fostering safe spaces, navigating difficult conversations, and ensuring closure–was a core value across all groups. While the Mission has made some efforts to promote communication through All Hands Meetings and Insights sessions to build self-awareness around different communications styles, people still observed gaps: times where they felt they did not know what was going on, difficulty giving honest feedback, and not feeling heard.