Juliaty Ansye Sopacua; Senior Advisor for Program Integration and Dev Analyses

In the dynamic landscape of development, fragmented approaches often fall short in addressing complex issues. Recognizing the need for a more integrated and systemic approach, UNDP globally has embraced a portfolio strategy, veering away from traditional project-centric methods. This shift signifies a commitment to fostering a profound understanding of interconnected challenges and addressing them comprehensively. UNDP Indonesia, too, is embracing the portfolio approach, refining our offers, and enhancing impact.

The journey towards adopting this portfolio approach has not been without its challenges. UNDP Indonesia joined the Deep Demo (DD) process in 2021, a learning and prototyping initiative to understand and implement the portfolio approach. While the process was laden with theoretical considerations, it laid the foundation for a more practical and enjoyable experience in crafting thematic portfolios.

Refining our approach to portfolio development, we've debunked the notion that it must be cumbersome. By grounding our systemic thinking in ongoing activities and leveraging sense-making and co-creation processes, we've streamlined the process. Our objective is clear: articulate UNDP Indonesia's current thematic engagements and chart expansion plans for the next 5-7 years. Commencing with asking 'Why’, we delve into the essence of our work, placing emphasis on the importance of narrating a compelling story rooted in significant achievements. This narrative forming the bedrock for our ambitious journey, and justifies our aspirations, which firmly grounds in our wealth of knowledge and experience.

The decision to develop six thematic portfolios—climate, resilience, energy, governance, finance, and digitalization—was a deliberate step. Cross-functional teams, drawn from various units, were tasked with spearheading each portfolio. With a one-month preparatory phase, teams conducted research, collected data, and defined the approach to articulate their portfolio.

Sense-making sessions followed, featuring team presentations, constructive critiques, and collaborative refinement of portfolios. Diverging from the formal sense-making process recognized by the innovation community, our approach involves open discussion, curating and critiquing our collective work, essentially, asking ourselves if things indeed made sense. After three months and numerous iterations, three robust portfolios for 2023 —Climate Action, Resilience, and Innovative Finance— were successfully crafted.

Embarking on the process without imposing a predefined structure, we intriguingly discover a shared approach across all portfolios. Despite their unique focuses, common elements emerge, such as presenting work through 'supply' and 'demand' pillars, layered initiatives (policy, technical, and knowledge and capacity), and interventions spanning from the national level down to the community. These portfolios cut across projects and enabling us to harvest the rewards of dismantling sectoral silos.

Consider our Innovative Finance portfolio, born from Indonesia's staggering $1.7 trillion SDG financing gap and the UNDP Moonshot's $1 trillion target from public and private sources, both leveraged and aligned. Envision a dynamic 3 by 3 matrices, weaving through public, private, and social finances, across layers—policies, financing instruments, and knowledge & capacity building. Delve in, and you'll uncover a trove of initiatives, both current and future. Take, for instance, our flagship private equity Indonesia Impact Fund, a ‘private finance’ initiative under the 'financing instrument' layer, ripe for strategic leveraging.

Albeit its early life, the portfolios have swiftly proven their worth in engaging with partners, serve as a conduit for sharing about our work. Partner feedback has been affirmative, acknowledging the depth of our initiatives and enhancing our credibility. The portfolios not only showcase our comprehensive understanding of specific themes but also instil confidence in potential donors about UNDP's likelihood of success.

As the year wraps up, we take pride in this rewarding journey. Gratitude extends for the direct support provided to us, as well as to the broader UNDP innovation community worldwide. Looking ahead to 2024, we are anticipating the completion of the remaining three portfolios, and we will also craft a framework to measure portfolio success, enhance interactions between initiatives, and gauge our partnership-building effectiveness. Stay tuned for our ongoing adventure, and here's to a prosperous year ahead for everyone!