USAID had funded over USD35 billion for Iraq’s reconstruction efforts, but statistics were lost somewhere. The organisation has no idea of the total number of contractors hired (when it pays them) but it is able to supply Employment Data for status reports weekly. In Bangladesh, US collect more from tariffs than the amount it gives as aid which contradicts its purpose for helping. Another problem in practice is that US aid towards helping the justice system in Haiti is not effective because it does not reach the masses. The institutions set up, like the civilian-controlled police force and legal sectors, are unable to reach the bulk of the population because they use French instead of Haitian Creole, the language which the majority uses.

A possible cause could be of having too many layers of bureaucracy and thus inefficiency or ineffectiveness in delivering relevant aid to countries in need. Closing down the internal Policy and Programs Coordination Bureau and replacing it with a State Department entity meant that employees have more paperwork to do and focus less on what they were supposed to do. The purpose of bringing USAID into the state department was to ensure that the work of USAID would not interfere with foreign policy; however USAID itself was for foreign policy. It builds good relations and offers assistance to countries.
"To serve as the U.S. government’s primary instrument for human advancement in promoting security and reducing poverty in the developing world—by catalyzing the full range of America’s public and private capabilities and resources, and linking those resources effectively with the governments and people we serve, through world-class, on-the-ground presence."
The mission of USAID was also unclear. Its traditional mission was to build long-term development in countries by providing resources for the countries to strengthen themselves. President Obama said in a speech that the mission of USAID was to “advance America's interests by strengthening our relationships abroad”. With two purposes, international aid delivery might clash against one of their mission and in turn cause some lag in helping the country they wanted to help.
With the Obama administration, a new USAID administrator was elected and it might be a little too late to request a total makeover of the US foreign aid system. Nevertheless, the management could solve problems and foresee potential problems. Places to look into include merging some hierarchical levels as lower and flatter hierarchies perform more efficiently and effectively. It would also be easier to keep track of expenditure so that there would be no loss and funds can be channelled towards more beneficiaries.
Staff morale has also decreased with the many internal problems and heavy workloads. Perhaps by rotating staff on trips overseas to “aid research and development” trips, it would be an incentive for them to work harder and also personally meet the people whom would be helped.