Assessment of processes and measures for the strengthening and modernization of financial management of SEDAPAL
Latin America and the Caribbean
October 5, 2023The IADB contracted K&M to be part of a committee that is evaluating SEDAPAL´s performance and recommending key measures for improvement. As part of this work, K&M is evaluating SEDAPAL’s processes and identifying challenges to understand how and to what extent they impact SEDAPAL’s ability to provide quality services to the public. This assessment intends to propose measures to strengthen and modernize the company’s financial management. The scope of the consultancy includes producing an assessment report on SEDAPAL’s current status and a report on proposals for modernization. Key activities involve reviewing financial data, assessing organizational structures, examining strategic plans, and evaluating investment portfolios. The consultancy will also propose guidelines for financial sustainability, organizational efficiency, and potential modifications to the regulatory framework. Additionally, they will suggest alternative financing solutions and engage in coordination meetings with various stakeholders.
The objective of the service contract was to evaluate SEDAPAL’s processes to consistently deliver quality services. The assessment identified challenges and proposed measures for financial management and modernization. The consultancy tasks included producing a report on SEDAPAL’s current status and creating a preliminary document for organizational enhancement.
The consultancy reviewed SEDAPAL’s financial data, analyzed the organizational structure, and assessed strategic plans. K&M evaluated the proposed investment portfolio, focusing on financing sources and borrowing capacity, and proposed solutions for SEDAPAL to be able to implement the investment plan. Benchmarking was conducted to measure SEDAPAL against international standards. K&M also examined tariff structures and the regulatory framework, providing insights into SEDAPAL’s operational and financial direction. Recommendations were made for financial sustainability, organizational improvements, and potential regulatory changes. They also considered alternative financing for investments. The consultancy coordinated with entities like the Technical Secretariat and SEDAPAL during a week of discussions.