bds models
TRANSCRIPT
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Mod
elsforth
eDesign
,Delivery
andMon
itoringo
fBDS
Bu
ildingCapac
itiesofGrow
th-Oriented
Microentrepreneu
rs
NationalConference
onBusinessDevelopmentServices
M
ay21-22,
2009
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Cha
llengesinDeliveringBDS
Estab
lishingprio
rities,makin
gchoices
Effec
tivedelivery
Susta
iningprograms
Monitoringimpa
ct
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TheB
DSProc
ess
Designing
and
Selecting
Monitoring
D
elivering
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SelectingBD
S
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TypesofBDS
Market
Accessmarketingb
usiness,tradefairs,m
arketinfo,subcontracting
andoutsourcing,showrooms,
packaging,advertisin
g
Infrastr
ucturestorageand
warehousing,transpo
rtanddelivery,busin
ess
incubato
rs,telecoms,moneytransfer,internetaccess,etc.
Policy/A
dvocacytraininginpolicyadvocacy,co
nferences,policystudies,
etc.
InputSupplylinkagestosuppliers,facilitatingb
ulkbuyinggroups,
improvingsuppliercapacity,etc.
TrainingandTechnicalAssistancementoring,
feasibilitystudiesand
business
plans,franchising,m
anagementandtechn
icaltraining,legalservices,
advisory
services,accountanc
yandbookkeeping
TechnologyandProductDe
velopmenttechnology
transfer/commercialization,facilitatingtechnology
procurement,design
services,qualityassuranceprograms,etc.
AlternativeFinancingMech
anismsfactoring,e
quityfinancing,facil
itating
supplier
credit,etc.
Source:SmallE
nterpriseEducationandPromotionNetwork
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OrganizationIssues
Orga
nizationalcapacity
Otherproviders
Susta
inability
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Capa
cityIssues
ExtentthatBDS
ispartofco
rebusiness?
Availablehuman
andorganizational
resou
rces(staff,teams,systems)toprovide
BDS?
Financialresourc
es?
Businessmodels?
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BeneficiaryIss
ues
Stagesofenterpr
isedevelopm
ent
Need
s/demandfo
rspecificservices
Ability/willingne
sstopay
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Existingand
Potential
Markets
Competitors
Technologies
Inputs
Support
Services
SupplyChain
Experience
Knowledge
Entrepreneurial
Skills
Management
Abilities
Networks
Accesstocapita
l
Values
Resources
BasicServices
Infrastruc
ture
Market
Accessibility
LGU/Other
governmen
t
programs
Culture
Geographic
Area
Personal/
Institutional
Circumstances
N
atureofthe
Business
Determinantso
f
Bene
ficiaryNeed
s
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Progr
amModels
Sub-sectorledchoo
sesubsectorsthatshowpromise
of
highM
SEgrowthorthatgeneratesign
ificantlevelsof
employment
DemandledDeman
dforspecificse
rvicesdeterminethe
progra
ms
Targetpopulationledprogramisfocusedonatarget
popula
tion
Servic
esledReplica
tionofservices
alreadyprovided
succes
sfully
SupplierledDirectprovidersdeterm
inewhatservic
es
willbe
provided
Broad
economicdeve
lopmentdrivenbycross-sector
situations
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SelectionToo
ls
Client/beneficiaryi
nformation,p
rofilesandneeds
analysis
Subse
ctoranalysis,
valuechainanalysis
Marketassessment
toolssecondaryresearch,
interv
iewsofkeyin
formants,consumersurvey
s,
focus
groupdiscussions,supplierinterviews
Dema
ndanalysis
ActionResearch(testmarketing)
Partic
ipatoryRural
Appraisals
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DeliveringBDS
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Types
/Categor
ies
Trainingandtechnicalassistance
Marketingsupp
ortinputsupply,
techn
ologyandp
roductdeve
lopment,
mark
etaccess
Businessenvironmentinfrastructure,
polic
y/advocacy,alternativefinancial
mech
anisms
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DeliveryApproa
ches
Direc
tserviceprovisionImplementingagen
cy
providesservicesdirectlytoMSE
s.
Facilitation/mark
etdevelopme
ntPromoting
theco
mmercialpro
visionofserv
icesthroughl
ocal
markets.
Systemicsupportprovidedtoe
ntiremarket
system
s(analysiso
fBDSmarketsandvalue
chains,integrationinlocalandin
ternational
markets),
increasingdevelopmen
tofembedded
andbundledservices.
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D
irectSe
rvicePro
vision
Services:Training
courses,advisoryservices,
technicalservices(accounting,le
gal,etc.)
Instit
utionExamp
les:PBSP,NotreDame
Busin
essResource
Center(BRC),UP-ISSI,
INSO
L,variousMFIs,governme
ntagencies,
comm
ercialproviders,etc.
Adva
ntages:Providerstailorser
vicestotheneeds
ofclients/beneficiaries
Shortcomings:1)limitedreach,
2)oftenrequires
subsidies(givenwe
akmarketinmanyareas),3)
costtoimpactratio
ishigh
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ShiftsinIntern
ationalB
DSTrend
s
1980
stolate1990s:Traditio
naldirect
provisionwithfu
llorpartial
subsidies
Late
1990stoea
rly2000s:B
DSmarket
facilitation
Post
2002:Incorporationofsystems
approachesvaluechains,Making
Mark
etsWorkfo
rthePoor
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Facilitation/M
arketDe
velopme
nt
Services:B2Bdirectories,magazines/publications
promotingBDSser
vices,
forming
cluste
rs/association
s,supportfor
MSEsto
partic
ipateintrade
fairs,fosteringlinkageswith
biggerfirms
Instit
utionExamp
les:PlantersBank,
PinoyM
E,
PEF,PDAP,
PBSP
Adva
ntages:Ifsuc
cessful,long-
term
sustai
nabilityandw
ideraccessbyMSEstothe
se
servic
es.
Shortcoming:Diff
icultinweakmarkets(market
cannotandwillnotpayforservices).
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SystemicMarketDev
elopmen
t
Services:engaging
MSEsinvalu
echains,product
development,input
supplydevelopment,
packa
ging,marketing
Instit
utionExamp
les:SDCAsia,
UMFI,
PEF/P
CCI,Normin
Veggies,PDAP,
Hapinoy
Stores,EchoStores
Adva
ntages:MSEsrecognizeva
lue,effortsar
e
aligne
dwiththema
rket,sustainable
Disad
vantages:Re
quiresgreatermanagement
effort
(relationship
buildingandmaintenance,trust
andconfidence,communication,
transparency,
etc.)
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Sustainability
Feef
orservices
Embeddedservic
es
Third
-partypaym
ent
Piggybackingon
OtherServices
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MonitoringImpact
Outreach
Susta
inabilityandCostEffec
tiveness
Impa
ct
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Lesso
nsLearn
ed
Need
formarketresearch(whon
eedswhat,wh
o
willb
uy/pay,whoalreadyprovid
es)
Critic
alneedtokno
wyourclient
s/beneficiaries
(what
aretheirneed
s,wherearetheygoing,ho
w
canw
ehelp)
Systemsapproachesarebecomin
gincreasingly
favored
Value
ofpartnering
andnetworking
Need
toimprovepe
rformancemonitoringand
evaluation