cluster development agent originators: foundation for msme clusters (fmc), unido

CLUSTER DEVELOPMENT AGENT

Originators: Foundation for MSME Clusters (FMC), UNIDO

Reducing poverty through sustainable industrial growth

Definition of a CDA or cluster broker?

A professional who works on the ground in the cluster and accompanies the process of cluster development from its initiation to phasing out

Reducing poverty through sustainable industrial growth

Why do we need a CDA?

Could we rely on a cluster stakeholder to do the job?

The issue of neutrality – trust – time

CDA is an entry point into the cluster for the implementing agency

A CDA is from outside the cluster

S/he does not have a business interest in the cluster

S/he works full time

S/he is mandated to work for a fixed time period

Single person or a team? Both is possible…

Reducing poverty through sustainable industrial growth

Who is a CDA?

A professional who works in the cluster on a daily basis and operates as a temporary catalyst of a process

Establishes trust-based relations with and among cluster stakeholders

Supports cluster stakeholders in the formulation of a joint vision for the development of the cluster

Fosters joint action on specific business objectives

Empowers local stakeholders to take the lead of the process

Reducing poverty through sustainable industrial growth

Qualities of a CDA

Willing Soul Hardworking

Open to new ideas, tries them out

Is self-motivated, assumes responsibility

Communicator Pick up and connect clues fast

Understands local (business) culture

SME expert Has familiarity, preferably experience of how SMEs work

Understands local production process

May or may not be technically qualified

Conflict Resolver Identify the symptoms of conflict

Understand its roots

Avoid conflicts

Reducing poverty through sustainable industrial growth

What is the role of the CDA?

A technical / sectoral expert

A coach

A facilitator / broker

A manager

A coordinator

A business dev expert

A trainer

?

Reducing poverty through sustainable industrial growth

What is the role of the CDA?

Accompany the process……

Identify and involve leaders

Broaden the scope of action: from first comers to the business community at large

Empower local actors – establish forums of dialogue/participation and give voice to marginalized actors

Catalyze initiatives but do not take ownership – give ownership

Build local capacities to sustain the process – governance

Progressively transfer responsibilities to cluster stakeholders – prepare for exit

Reducing poverty through sustainable industrial growth

What is the role of the CDA?

Working on the ground…doing what?

Project phase

Diagnostic

Action planning

Implementation

M&E

The CDA

1. Get to know / understand / analyze

2. Broker consensus-building, manage conflicts, identify business opportunities

3. Foster business network development4. Foster vertical linkages (supplier-producers-buyers)5. Foster public-private dialogue6. Bridge coordination gaps between firms and support

institutions 7. Give advice, solve technical and business problems,

train

8. Monitor progress, prepare reports

Reducing poverty through sustainable industrial growth

Principles for the CDA to follow?

Guiding and not deciding

Not doing but getting done

Not a perfectionist but logical

Creating but not owning - giving ownership

Innovating – taking risk

Professional support system of CDA

Reducing poverty through sustainable industrial growth

What is the role of the CDA?

Which one is the CDA?

The driver?

The front-seat navigator?

The back-seat passenger?

Reducing poverty through sustainable industrial growth

Phasing

Phase 1 Phase 2 Phase 3 Phase 4

Principal Firms

Support Firms

NDA

Association

Institutions

BDS providers

Govt. Departments

Network

Umbrella Association

Reducing poverty through sustainable industrial growth

Documents to be prepared by CDA?

Action plan

Background material for cluster visitors

Case study

Data preparation for monitoring and evaluation

Exit strategy

Final project report

Handholding of stakeholders in presentations

Implementing agency’s talking points

50 formal documents in 3 years